Marketing In Southern
Tagalog, lanzones is available from August to October and in Mindanao, peak season occurs from July to November. Secondary fruits may occur during January to April.Contract buying is practiced
before the fruits mature. In this marketing method, the yield is estimated and the price is agreed upon by buyer and farmer. The buyer takes care of the trees until the fruits are harvested. Part
of the payment is received in advance by farmer and the balance is paid after the fruits are all harvested. In Thailand and Malaysia, lansium are also available from August to October. Fruits are sold along highways
and supermarkets just like mangosteen. Marketing Channels Marketing ParticipantsThe marketing participants involved in the lanzones commodity system are the following:
1. Farmer/Lessee – orchard owner who sells through the "prenda ariendo" and "pakyaw" arrangement. 2. Farmer – orchard owner who prefers to sell during harvest; may own a stall in the market centers which serves as
outlet for his fruits. 3. Assembler – trader who buys the fruit from several farmers in the barangays and sell to a few or just one buyer. 4. Assembler/Medium Distributor – trader based in the trading center who
buys from several farmers either through "prenda ariendo", "pakyaw" or during harvest; bulk of commodity handled is sold to transient traders. 5. Assembler/Distributor/Shipper (TC and MC) – trader whose buying
practices is the same as that of the assembler/medium distributor but bigger percentage of fruits handled is shipped to Manila and the rest is sold to transient traders the retailers in the market and trading centers
and to consumers. 6. Assembler/Large Distributor – trader based in the market center whose operations are the same as that of the medium distributors in the trading center but on the relatively bigger scale. 7.
Transient Trader (TC and MC) – trader from outside the area who conducts buying activities from distributors at the trading or market center and transports the commodities to the province for further selling. 8.
Retailer (TC and MC) – trader based in the trading or market center who handles volume for sales is the smallest compared to other traders. Sells only to consumers. 9. Consumers – ultimate buyers.
Marketing Channels and Geographic flow (Davao City) Like other fruits in Davao City, lanzones are mostly sourced from the Calinan and Toril districts. However, there are supplies of lanzones coming from the
municipalities of Moncayo, Montevista, Nabunturan, Mawab and Compostela in Davao del Norte. Most traders in the market center procure lanzones from the said outside areas. Farmer/Lessees who only
sell through the "prenda ariendo" and "pakyaw" has only four options where to sell their produce. They can only sell to those traders who have enough capital to enter into those arrangements which include shippers
and large and medium distributors in the trading and market centers. On the other hand, buyers of farmers who only sell during harvest include all the market players in trading and market centers, which at times
may include consumers. Assemblers buy only from the second type of farmers and sell to retailers in the trading and market centers. In the trading center, the assembler/distributor/shippers do not
only ship the fruits to Manila, but also sell to transient traders, retailers at the trading center, and directly to consumers. On the part of the assembler/medium distributors, Bulk of their volume handled goes
to transient traders. Others are bought by retailers, both at the trading and market center consumers in the area. Shippers in the market center have the same option as those based in the trading
center except selling to consumers while the assembler/large distributors also sell most of their fruits to transient traders and the rest go to the market center retailers and consumer. Marketing
Channels: data sourced by Marketing Information Needs Assessment Report, 1992, Bureau of Agricultural Statistics Competition
Thailand, Malaysia and Indonesia are the possible competitors for the export markets of Philippine lanzones. Lansium, specifically duku and longkong are commonly grown in Thailand, Malaysia and Indonesia.
These countries are promoting their cultivation for domestic consumption and export as well. Malaysia has cultivated 4,077 hectares of duku terranganu and 1,535 of longkong. Thailand is exporting longkong to
Singapore, Taiwan and other countries. Malaysia is exporting both duku and longkong to Singapore, Thailand and other countries.Competing for the market share of lanzones in the Philippines are
imported fruits such as apple, grapes and oranges from Mainland China. Prices Based on 1998 BAS data, the average farmgate price of lanzones in the Philippines was P15.34 per kilo while in Mindanao, it ranges
from P10.39 to P19.39/kilo. Southern Tagalog recorded the highest farm price with P38.59/kilo followed by Eastern Visayas with P30.00/kilo. Cost and Return Analysis In Thailand, a 12-15 year old longkong produces 20-28
tons per hectare per year. At farm gate price from 40 to 80 baht, gives a gross income of over 400,000 baht. Farm expenses ranges from 20,000 to 30,000 baht per hectare per year. Net income earned is
about 370,000 baht per year. Longkong in Thailand costs about 100 to 140 baht per kilogram compared to lanzones of 20 to 30 baht per kilogram.In the Philippines, lansium which includes the "Paete", "Jolo"
and "Duku" are found to be fruitful in Davao and Cotabato particularly when provided with proper irrigation, fertilization and pruning. The farm gate price in Mindanao in 1998 ranged from P10.00 to P19.00 per
kilogram (Table). A ten-year-old tree with a yield of 100 kg. gives P10,000 to P90,000 per tree or P100,000 to 190,000 per hectare per year.
Constraints The local cultivars have limited potential
exports because the fruits are highly perishable after ripening and the skin exudes milky latex which is messy to the hands and lips. Reportedly, this peculiar characteristic of the fruit is a turn-off for most
Chinese consumers in Hongkong.The yield of lanzones in the country is relatively very low and bienniality of fruiting is usually experienced by farmers.
Market Opportunities The development of
superior package of technology through global technology searches (GTS), hastens the commercial production of longkong, a superior cultivar with export potential. In the past, the problem of planting longkong in
the Philippines was the unavailability of planting materials. Today, grafted longkong plants are available in some nurseries in Kabacan, Cotabato. Grafted planting materials are now made available in limited
quantity. Moreso, adaptive research carried by Mr. Pablito P.Pamplona and Ms. Marisa E. Garcia of the University of Southern Mindanao (USM) show that cultural management for high yielding of longkong is applicable
to other lansium groups such as "Duku", "Paete" and "Camiguin". Techniques for the off-season of longkong were found applicable to other cultivars of lansium.A publication entitled "Technological
Advances in the Production, Post Harvest Handling and Marketing of Lansium with Emphasis on Longkong in the ASEAN" of USM and Central Mindanao Agriculture and Resources Research and Development Consortium (CEMARRDEC)
cited the commercial potential of longkong. The fruit is uniquely different from other lansium cultivars such as the "Langsat", "Paete", "Jolo", and "Camiguin". The ripe fruits are aromatic, devoid |