AGRICULTUAL INOCULANTS CORPORATION

Agricultural Inoculants Corporation (AIC), formerly Agro-Forestry Crop Systems Inc., is an agricultural company committed to sustainable agriculture.

Our role is to ensure, that we provide, in a socially responsible way, bio-fertilizer manufacturing technology using rapid composting inoculants that are easy to use, profitable and environment friendly. This technology when passed on to farmers, cooperatives, LGUs and the private sector, would result to on-farm efficiency, reduce farm fertilization costs and reduce carbon emission by recycling farm, animal and market waste into bio-fertilizers . AIC’s rapid composting powder has 25 beneficial microbes and enzymes with nitrogen fixing bacteria and nematode controlling fungi. Formulations developed by AIC in the manufacturing of organic fertilizers using different farm and market waste have resulted in consistent quality of organic fertilizer wherever produced. AIC’s rapid composting inoculants will produce organic fertilizers at half the price of commercial organic fertilizer. (see estimated production cost)

ORGANIC FERTILIZER MANUFACTURING PROJECT FREQUENTLY ASKED QUESTIONS (FAQ)

A. What Is the need for this project? B. What is the product acceptability? C. How does this product differ in manufacturing and marketing strategy? D. What are needed to start this project? E. How much would the organic fertilizer cost to produce? F. Can you give an outline of project cost and benefits?

(Project Data Summary)

A. Why This Project?

This project is proposed to:

1. Lessen the cost of crop fertilization and give additional income to farmers through the use of quality and cheaper organic fertilizers.

2. Curb continuous massive use of chemical fertilizer that has created an imbalance in soil nutrients, making the soil acidic, severely undermining the soil’s capacity to sustain growth yields.

3. Pursue alternative strategies in agriculture to ensure competitive yields and reintroduce practices that are environmentally friendly that will ensure sustainable agriculture.

4. Stop burning farm and market waste and recycle into organic fertilizer, helping in the reduction of global warming.

B. Product Acceptability: AIC Activator. The AIC Activator, consisting of 25 beneficial micro-organisms speed up the decomposition process of biodegradable materials and in the process incorporate micronutrients in the fertilizer necessary for plant growth. AIC rapid composting inoculants (activators) speed up the decomposition of biodegradable waste in just 21 days without the use of expensive equipments.

The Bureau of Agricultural Research (BAR) in a Memorandum of Agreement with Agro-forestry Crop Systems Inc ( reincorporated as AGRICULTURAL INOCULANTS CORPORATION (AIC)) established 16 manufacturing and testing facilities nationwide for the production and promotion of organic fertilizer using DA’s network of Regional Integrated Agricultural Research Centers (RIARCs). AIC also a MOA with Agricultural Colleges Association of the Philippines (ACAP) for rapid composting technology transfer.

RIARC sites maintained demonstration farms to test the efficacy of the organic fertilizers for the duration of their contract with BAR (2 yrs). C. Manufacturing and Marketing Organic fertilizer manufacturers employ traditional manufacturing and marketing strategies;

1) Manufacturers rely on a network of distributors, dealers and agents to sell

their fertilizers. Warehouses are established where demand is strong. The use of distributors, dealers, agents, transport, shipping and warehousing cost add a significant portion of the selling price of the fertilizer.

Project Goals: The projects aims to transfer the technology of rapid composting to LGUs, farmers, cooperatives and private individuals who wish to avail themselves of quality organic fertilizers at much lower cost. Standardization of the formulations in manufacturing process will result in consistent quality organic fertilizer.

Farm and market wastes of municipalities will be recycled into organic fertilizers. The strategy of manufacturing organic fertilizers within municipalities or “on farm” will eliminate the need for the distributors, dealers, warehousing and agents in the distribution and sales of organic fertilizer. Manufacturers will be the end users.

D. Facility Requirements

1. Covered shed with concrete flooring 2. Chopper/Shredder 3. Table top and platform type weighing scale 4. Shovels 5. Wheel barrows 6. Sieve 7. Water hose with water connection 8. Portable bag sewer (optional) 9. Electricity (optional)

E. Manufacturing Cost

ESTIMATED PRODUCTION COST 20 (50KG) BAGS

Qty Unit Total Unit Cost

INGREDIENTS (kgs) % (kgs) Cost(P) Cost Bag

1 Biodegradable Waste 50 600 Free 0 0

2 Chicken Manure 45 540 1 540 27

3 Carbonized Rice Hull 5 60 0.25 15 0.75

4 Inoculants (Kg) 1 253 253 12.65

5 Labor 25 625 25

6 Gas & Oil (Shredding) 10 200 10

7 Utilities ( Water) 2 40 2

8 Sack (recycled) 10 200 10

9 Total 1200 2046 87.40

AVERAGE RETAIL PRICE OF ORGANIC FERTILIZER PER SACK NATIONWIDE P250.00

AT A GLANCE

ORGANIC FERTILIZER MANUFACTURING

Data Summary

Implemenation: LGU

Project Cost: P49,950.00

Economic Benefits / Indicators

1 Bio-fertilizer Manufacturing Site 1

2 Employment generated 4

3 Microbial inoculants 150 kgs rapid composting inoculants

5 Cost of microbial inoculants P37,950.00

6 Training and capability building 10,000.00 (Luzon)

7 Bio-fertilizer produced per month 250 bags

8 Total bio-fertilizer produced (12 months) +/- 3000 bags

9 Estimated manufacturing cost 1 bag bio-fertilizer P87.40

10 Average market price of 1 bag bio-fertilizer P250.00

11 Market price less manufacturing cost P162.60

11 Total bio-fertilizer value produced at market price P750,000.00

12 Total bio-fertilizer value produced at cost P262,200.00

13 Income derived from project P487,800.00

14 Total hectares fertilized (10 bags / ha.) 25 hectares (per month)

1 Project total biodegradable waste recycled 180,000 tons

Project duration 12 months

BAR links up with private sector to establish bio-fertilizer production facilities in the regions

By Rita T. dela Cruz

Photos by Anthony A. Constantino

Biofertilizer production facilities will be

established in 16 Regional Integrated

Agricultural Research Centers (RIARCs) of the

Department of Agriculture-Regional Field Units

(DA-RFUs).

This was stipulated in a Memorandum of

Agreement (MOA) signed recently by Bureau of

Agricultural Research (BAR) and the Agro-

Forestry Crop Systems Inc. (AFCSI), a private

entity.

The MOA was signed in line with Executive Order (EO) promoting and developing

organic agriculture in the Philippines.

The 18 pilot experimental sites where the biofertilizer production facilities will be tested

are: Baguio City (CAR), La Union (RFU I), Isabela (RFU II), Tarlac City (RFU III), Lipa City,

Batangas, and Quezon Province (RFU IV-A), Camarines Sur and Camarines Norte (RFU V),

Iloilo (RFU VI), Cebu City (RFU VII), Leyte (RFU VIII), Zamboanga del Sur (RFU IX),

Bukidnon (RFU X), Cotabato City (ARMM), Davao City (RFU XI), Kidapawan City (RFU XII),

and Agusan del Sur (CARAGA).

The MOA was signed by BAR Director Nicomedes P. Eleazar and AFCSI President Rene T.

Naguiat. Other signatories were Mr. Tito Z. Arevalo, OIC of the Research Coordination

Division (RCD) of BAR; Mr. Roberto S. Quing, accountant of BAR, and Mr. Sergio T.

Naguiat, director of AFCSI.

BAR Director Nicomedes P. Eleazar (left) and AFCSI President Rene T. Naguiat (right) sign the Memorandum of Agreement.

The pilot sites, to be managed and operated by RIARCs, will also serve as model farms or

show windows highlighting the benefits and savings generated from using organic

fertilizer. RIARCs will promote the adoption of bio-fertilizer production technology in

collaboration with the local government units (LGUs), regional cooperative partners,

and in harmony with the Community-based Participatory Action Research (CPAR)

program of DA-BAR.

CPAR is a platform for technology assessment involving the participation of the

community together with the experts and researchers in identifying the most

appropriate technologies that meet the community's priority needs. Its ultimate goal is

to increase total farm productivity and income within the context of a sustainable

production system following the farming system approach.

The promotion of biofertlizer production technology is hoped to generate income not

only for the farmer-cooperators of CPAR but ultimately to improve the economic

activities in the regions as a whole. Through this project, resource utilization in the

regions and satellite stations of DA are optimized while at the same time protecting the

environment through proper disposal and utilization of farm and agro wastes.

Republic of the Philippines

Cordillera Administrative Region

Province of Ifugao

MUNICIPALITY OF ALFONSO LISTA

Sta. Maria, Alfonso Lista, Ifugao

BRIEF DESCRIPTION OF THE BIO-ORGANIC FERTILIZER PRODUCTION

FACILITY AT THE IFUGAO STATE COLLEGE OF AGRICULTURE AND

FORESTRY (ISCAF)

Purpose: Support facility of the proposed Community-Based Participatory Action

Research (CPAR) on Bio-Organic Fertilizer Based Crop Production in Alfonso Lista,

Ifugao.

Background: The project was established through the joint effort of the Commission

on Higher Education (CHED), Association of Agricultural Colleges and Universities in

the Philippines (ACAP), ISCAF in collaboration with Agro-Forestry Crop Systems Inc.,

and the LGU of Alfonso Lista.

The initial operations were guided by Agro-Forestry Crop Systems Inc., until full

operations.

Pilot Testing and Production: Before marketing, the product was tested in various

crops in ISCAF such as in corn and tomato, fruit trees such as pomelo and mango. The

test yielded positive results based on plant standing, volume of production (ROI), soil

condition etc. Aside from this, farmers also tested the product and the same result was

observed. At present, the production operations are significantly intensified due to

increase in demand. In fact, the Province of Apayao alone has a standing order of 65,000

bags within 12 months.

Organic agriculture boosts safe food production in Cordillera Marlowe U. Aquino Now on its fourth year, the Cordillera Administrative Region (CAR) conducted its Organic Congress to boost the practice of organic agriculture to make the production and management system inorganic and pesticide-free including its products. It was conducted with the involvement of various stakeholders in the Ifugao State College of Agriculture and Forestry (ISCAF) campus in Nayon, Lamut, Ifugao on 29-31 January 2009. It was sponsored by Ifugao provincial government, Cordillera Organic Agriculture Development Council, Inc (COADCI), and ISCAF. The activity was attended by organic practitioners and advocates, researchers and development workers, academe, non-government organizations, and private sector. Ifugao governor, Teodoro Baguilat, Jr., emphasized that they are all out to support for this cause, especially since their traditional agricultural practices originated from the system embedded in the world-famous Ifugao Rice Terraces. He believes that this could be replicated not only in Ifugao but in other areas which have clean and natural conditions ideal for organic agriculture. Moreover, it was confirmed by no other than Department of Agriculture-CAR Regional Executive Director, Cesar Rodriguez who said that their plans and programs for vegetables, rootcrops, and upland rice will adhere to organic agriculture. In addition, the congress tackled areas on organic agriculture; trends and direction; Philippine Organic Standards for crops and livestock production and processing; lessons learned and experiences of cooperatives and farmers' groups; economics of organically produced products including marketing systems; and value orientation and stewardship. These topics were discussed to enhance the complementation and collaboration of stakeholders engaged in the practice.

In order to drumbeat the full blast implementation of Cordillera Organic Agriculture, the DA through the Bureau of Agricultural Research (BAR) provided financial support worth 1.2 million pesos for two projects to the local government unit of Ifugao.

Through continuous promotion and development of organically relevant technologies and

practices like this annual congress, Cordillera will once again find its niche in local and

national markets especially in commodities with competitive advantage. It is expected that

other regions of the country will work on this concern to address food unavailability and food

insecurity, and overcome rural poverty in the process.

PROJECT PICTURES

REGION 4A Central Mindanao Regional Integrated Agricultural Research Center

Naujan, Oriental Mindoro Sagay, Negros Occidental

Trento, Agusan del Sur Alfonso Lista, Ifugao

RIARC’s and ACAP Test Sites