Feasibility study of establishing a semi-intensive shrimp farm in Boo. Buhangin, Atimonan Quezon utilizing the advance technology of the San Miguel Corporation

• Main Author: Tua, Exequiel T.
• Format: text
• Language: English
• Published: Animo Repository 1985
• Subjects: Shrimp culture; Shrimp fisheries; Shrimps; Marketing; Entrepreneurial and Small Business Operations
• Online Access: https://animorepository.dlsu.edu.ph/etd_masteral/2506
• Institution: De La Salle University

The project, Exelta Realty and Development Corporation (ERDC) Semi-Intensive Shrimp Farm, will be located at Bo. Buhangin, Atimonan, Quezon. The project site is a swamp covering a total area of 1.50 hectares, more or less, and approximately 30 meters away from the shore of Lamon Bay.The proposed project which develops a 1.50 hectare of marshland into a semi-intensive shrimp culture farm, shall be patterned after the semi-intensive shrimp farms of San Miguel Corporation (SMC) at Calatrava, Negros Occidental. The semi-intensive prawn culture technology of SMC shall be employed on the project. There will be 3 harvests per annum, Pelletized B-Meg shrimp feeds shall be used for feeding the stocks and the maximum stocking density will be 200,000 pieces of fry per hectare. A retired SMC Agri-Business Group employee will be hired to supervise the development and operation of the farm.Shrimp culture looms as the most promising source of non-traditional export of the country and potential source of income for local fishfarmers primarily due to the tremendous demand for shrimps in the local and foreign markets. In the local market, 43.53 percent of the total demand had not been satisfied in the past 10 years and the supply gap is projected to persist in the future. Abroad, FAO projected the import requirement of Japan and USA to reach 271,500 MT and 245,520 MT by 1986. Philippine export to Japan and USA which absorbs approximately 85.95 percent and 8.46 percent, respectively of the total export, accounted for only 2.69 percent and .27 percent, respectively of their total import. Of the 21 species found in the Philippines, the Panaeus Monodon popularly known as Tiger Prawn is the shrimp specie that will be cultured in the proposed shrimp farm. Extensive evaluation of the project site revealed it is ideal for the purpose.The total project cost of P3,286,206 will be financed by P2,300,000 GFSME loan and the remaining P986,206 will be shouldered by the proponent. The financial analysis, break-even analysis and investment appraisal based on the projected financial statements all yielded favorable result. The project will be profitable and will be able to survive significant reduction in selling prices, sales revenue and production based on break-even analysis and sensitivity analysis. The desirability of the project is further reflected by a payback period of 3 years and 5 months, annual rate of return of 63.39 percent NPV of P1,520,000 and a DCF-ROI of 27.94 percent. Moreso, the project will support the Ten-Year Integrated Fisheries Plan and the Fisheries Development Plan for 1986. It will promote regional dispersal of capital and facilitate transfer of technology in semi-intensive shrimp culture.Finally, the factors that are critical to the success of the project are identified as: suitability and accessibility of project site, management and operation of the project, marketing of the produce and availability of the required capital.All the critical factors have been properly taken into consideration. The project site has been evaluated and judged suitable. To avoid or minimize the risk of project management and marketing of the produce, the corporation will enter into a Shrimp Growing Agreement with SMC in order to tap its technology and to have an assured market for the farm produce. Regarding finance, the GFSME which has been aggressively financing aquaculture project will be the prospective funder of this project.