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philbern · July 21st, 2005, 08:02 AM

Here's another article about Surigao. Soon, it will become as famous as Maine for its lobsters!

Vol. XVIII, No. 255
Thursday, July 21, 2005 | MANILA, PHILIPPINES
Agribusiness

BY BEVERLY T. NATIVIDAD, Reporter

Small town sees success in lobster farming

Notwithstanding the penchant for eating seafood, lobster dishes are still rarely served owing much to the fact that they are generally high-priced, raw or cooked.
The lobster project has done a lot to improve the livelihood of the townsfolk.

In a remote town in Surigao del Norte, however, lobster farming has been a thriving business for quite some time due mainly to the combined effort of the local governments, cooperatives, nongovernmental organizations, and government financing institution Quedan Credit and Rural Guarantee Corp. (Quedancor).

The town of Libjo can be reached via a two-hour pump boat ride from the pier of the capital, Surigao City. Libjo is in one of the Dinagat islands, at the opposite of the more famous surfing island destination of Siargao.

While Siargao harbors the bigger waves of the Pacific Ocean, the Dinagat islands lie in the calmer waters of the Surigao Strait, making it ideal for seafood farming.

Lobsters, or locally known as banagan, are crustaceans with a hard shell, stalked eyes, four pairs of legs, a pair of antennae, and a handlike appendage for holding food.

They are far more expensive than other crustaceans like shrimp and crab with farmgate prices pegged at around P2,700 per kilogram (kg) during peak seasons. In Manila, they could be sold to as high as P4,000/kg when sold live.

"They are in great demand both in the local and export market because of their delicate flesh. Its dish is considered to fit for queen, emperors and the like," said Masicap Development Foundation Inc., a nongovernmental organization, in a feasibility study submitted to Quedancor.

Lobster farming in Libjo started when Vice-Mayor Romeo Villarosa Sr., invested in the venture in 2003 to help his constituents start an aquaculture of grouper, mud crabs, seaweeds, and lobsters, as an income-generating opportunity.

Eventually realizing the big market for aquaculture products for local consumption and export, the project proponents, with the help of Masicap Development, drafted a feasibility study to seek additional funding from Quedancor.

Since the Libjo residents had already started the aquaculture project with an equity of P7 million, Quedancor provided a funding of around P4 million as supplement working capital and for the construction of additional cages.

"Before financing projects such as this, we orient them with the type of projects that we support and then we require them to submit a project feasibility study. We want to see if they have sufficient manpower and expertise to undergo the project. Also, the proponents have to be real fisherfolk to qualify for funding," said Christopher Gilos, project coordinator for Quedancor.

The project proposal sought to sustain the aquaculture industry of Surigao del Norte through the farming of high-value aquaculture products to supply the increasing export demand for products such as lobster and groupers (lapu-lapu).

"The project will supplement the shortage of supply of aquaculture products particularly on grouper, lobster, mud crab, and seaweed for export. The financial ratios of this study proves the feasibility of the project since it will provide a [more than twofold] return with a payback within eight months and 15 days," said the study.

The lobster farming project was initially planned to supply the buyers and exporters in Surigao City as target market.

Considering, however, that lobster is a high-value product, they also planned to penetrate the export market.

In a survey of Surigao City buyers, particularly those registered with the office of the provincial agriculturist, the average monthly demand for live lobsters are around 11,700 kg.

On the average, they are priced between P600 and P1,000/kg, and could go as high as P2,700/kg during peak seasons.

From Surigao City, the aquaculture products (groupers, cuttlefishes, squids, abalones and sea cucumbers) are eventually purchased by Cebu and Manila middlemen and exported to neighboring countries.

"Export market for live grouper and live lobster are China, Thailand, Hong Kong, Taiwan, and other countries where Chinese are highly concentrated," said the feasibility study.

The demand-supply analysis of the project shows that at present production rates in Surigao, the yearly lobster demand is pegged at around 140,400 kg, while the projected supply until 2008 is only between 10,080 kg and 10,620 kg.

July 21st, 2005, 08:02 AM	#32
philbern Queefbuster Join Date: Jun 2005 Posts: 69	Here's another article about Surigao. Soon, it will become as famous as Maine for its lobsters! Vol. XVIII, No. 255 Thursday, July 21, 2005 \| MANILA, PHILIPPINES Agribusiness BY BEVERLY T. NATIVIDAD, Reporter Small town sees success in lobster farming Notwithstanding the penchant for eating seafood, lobster dishes are still rarely served owing much to the fact that they are generally high-priced, raw or cooked. The lobster project has done a lot to improve the livelihood of the townsfolk. In a remote town in Surigao del Norte, however, lobster farming has been a thriving business for quite some time due mainly to the combined effort of the local governments, cooperatives, nongovernmental organizations, and government financing institution Quedan Credit and Rural Guarantee Corp. (Quedancor). The town of Libjo can be reached via a two-hour pump boat ride from the pier of the capital, Surigao City. Libjo is in one of the Dinagat islands, at the opposite of the more famous surfing island destination of Siargao. While Siargao harbors the bigger waves of the Pacific Ocean, the Dinagat islands lie in the calmer waters of the Surigao Strait, making it ideal for seafood farming. Lobsters, or locally known as banagan, are crustaceans with a hard shell, stalked eyes, four pairs of legs, a pair of antennae, and a handlike appendage for holding food. They are far more expensive than other crustaceans like shrimp and crab with farmgate prices pegged at around P2,700 per kilogram (kg) during peak seasons. In Manila, they could be sold to as high as P4,000/kg when sold live. "They are in great demand both in the local and export market because of their delicate flesh. Its dish is considered to fit for queen, emperors and the like," said Masicap Development Foundation Inc., a nongovernmental organization, in a feasibility study submitted to Quedancor. Lobster farming in Libjo started when Vice-Mayor Romeo Villarosa Sr., invested in the venture in 2003 to help his constituents start an aquaculture of grouper, mud crabs, seaweeds, and lobsters, as an income-generating opportunity. Eventually realizing the big market for aquaculture products for local consumption and export, the project proponents, with the help of Masicap Development, drafted a feasibility study to seek additional funding from Quedancor. Since the Libjo residents had already started the aquaculture project with an equity of P7 million, Quedancor provided a funding of around P4 million as supplement working capital and for the construction of additional cages. "Before financing projects such as this, we orient them with the type of projects that we support and then we require them to submit a project feasibility study. We want to see if they have sufficient manpower and expertise to undergo the project. Also, the proponents have to be real fisherfolk to qualify for funding," said Christopher Gilos, project coordinator for Quedancor. The project proposal sought to sustain the aquaculture industry of Surigao del Norte through the farming of high-value aquaculture products to supply the increasing export demand for products such as lobster and groupers (lapu-lapu). "The project will supplement the shortage of supply of aquaculture products particularly on grouper, lobster, mud crab, and seaweed for export. The financial ratios of this study proves the feasibility of the project since it will provide a [more than twofold] return with a payback within eight months and 15 days," said the study. The lobster farming project was initially planned to supply the buyers and exporters in Surigao City as target market. Considering, however, that lobster is a high-value product, they also planned to penetrate the export market. In a survey of Surigao City buyers, particularly those registered with the office of the provincial agriculturist, the average monthly demand for live lobsters are around 11,700 kg. On the average, they are priced between P600 and P1,000/kg, and could go as high as P2,700/kg during peak seasons. From Surigao City, the aquaculture products (groupers, cuttlefishes, squids, abalones and sea cucumbers) are eventually purchased by Cebu and Manila middlemen and exported to neighboring countries. "Export market for live grouper and live lobster are China, Thailand, Hong Kong, Taiwan, and other countries where Chinese are highly concentrated," said the feasibility study. The demand-supply analysis of the project shows that at present production rates in Surigao, the yearly lobster demand is pegged at around 140,400 kg, while the projected supply until 2008 is only between 10,080 kg and 10,620 kg.