CITY CASE STUDY CAGAYAN DE ORO

URBAN AGRICULTURE IN CAGAYAN DE ORO: A

FAVOURABLE RESPONSE OF CITY GOVERNMENT AND
NGOS

G.E. Potutan, W.H. Schnitzler, J.M. Arnado, L.G. Janubas and R.J. Holmer

1. Introduction

Cagayan de Oro is a boomtown located on the central coast of Northern Mindanao

in the Southern Philippines. Its total land area is about 48,885 ha. Of this area
44.7% is classified as agricultural and 38.4% as open space. Annual rainfall is
1,600 mm per year. The mean annual temperature is 27 0C.

About 500,000 people presently live in Cagayan, predominantly in urban areas.

The annual population growth is 4.4%, compared to 2.3% nationally. Since 1960,
the population has doubled. The number of households increased to 84,085 in 1995
- an increase of 21,589 households since 1990. The average household size
declined from 5.4 persons to 5.1 persons over the same five-year period. Eighty-
two percent of the population lives in urban areas. Population density is 3,519
persons/km2 in urban barangays1 and 203 persons/km2 in periurban2 ones. The
average population density is 876 persons/km2.

The population of Cagayan de Oro is young; the median age is 20.6 years
(National Statistics Office 1997). Thirty-seven percent of the population is between
0 - 14 years, 61% is in the productive age group between 15 - 64 years and 2.4% is
65 and older.
Agriculture employs about 9% of the total economically active population (City
Planning and Development Office 1995).

In Cagayan, 79% of the land is periurban and 21% is urban. Topographically, the
city covers: a) 33,000 ha of coastal land (ca. 70%); b) 12,000 ha of hilly and
mountainous land (ca. 25%); and c) 3,800 ha of riparian land (ca. 5%). Of the
22,000 ha allocated by the city for agriculture, only 2,276 ha (10%) is used for
crop production. Some farming occurs on steep and rocky "marginal" areas, of
which another part is dedicated to forestry. Though actual figures are not available,
it is estimated that about 50% of agricultural areas are solely dedicated to
agriculture.

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The soils in periurban barangays are regarded as first class, while the commonly
found soils in urban barangays are regarded as second class.

Table 1: Actual land use in Cagayan de Oro City

Actual land use Area Percentage
(ha) (%)
Agricultural 21,845 44.7
Open spaces 18,775 38.4
Residential 4,669 9.6
Others 2,751 5.6
Industrial and 815 1.7
commercial
Total 48,885 100.0
Source: Cagayan de Oro City Assessment Department 1995.

Most agricultural lands are situated in periurban areas. This land is largely owned
by private individuals who have tenants to till the land. More than 18,000 ha
covering the coastline, parks and plazas, all river islands and all areas designated
for approved commercial and residential subdivision plans, are classified as open
spaces. Some of the open spaces in both urban and periurban areas are used for
urban agriculture.

2. Urban agricultural production

In the periurban areas of Cagayan de Oro, some 13,000 small-scale farmers and
tenants (of whom 3,000 are women) produce on 2,276 ha of land (1995). They
produce rice, maize, banana, coffee, root crops, fruit and vegetables, for both home
consumption and market sales. The production is characterised by monocropping.

Farmers report many constraints in urban crop production: pests, limited

knowledge on appropriate inputs, poor infrastructure, high rates for additional
labour, lack of capital, limited access to land, and adverse climatic conditions such
as excessive temperatures.
Levels of crop production in Cagayan de Oro are lower compared to the
neighbouring rural provinces of Bukidnon and Misamis Oriental, which are
situated in upland areas.

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Table 2: Agricultural production in Cagayan de Oro Citya and neighbouring provinces

Misamis Orientalb and Bukidnonb
Cagayan de Oroa Misamis Orientalb Bukidnonb
CROP Area Volume Area Volume Area (ha) Volume
(ha) (t) (ha) (t) (t)
Maize 1,162 1,813 8,150 15,066 195,710 402,558
Rice 115 455 3,242 7,470 71,490 288,420
Coffee 65 39 5,988 3,228 23,640 19,478
Fruit 579 12,420 2,179 25,220 35,766 375,026
Root crops 304 2706 1,029 7,344 10,016 88,399
Vegetables 55 560 791 5,336 1,642 18,059
TOTAL 2,280 17,993 21,379 63,654 338,264 1,191,940
a) 1995; b) 1990
Source: City Agriculture Office; Department of Agriculture Region X, 1995.

2.1 Periurban vegetable production

Some farms specialise in commercial vegetable production. The average farm size
is 1.7 ha and on average 0.5 ha is planted with vegetables. On 55 ha, or 2% of the
cultivated area close to the city, vegetables were grown in 1995 (City Planning and
Development Office 1995).

Most farmers grow eggplant, squash, string beans, tomatoes, bell pepper and bitter
gourd. The yields of bell pepper, tomato and eggplant in Cagayan de Oro are less
than half of those obtained in the upland areas (such as in Bukidnon). This
indicates that the varieties grown are not well adapted to the climatic conditions in
the lowlands. Findings of the Periurban Vegetable Project (PUVeP) survey among
100 vegetable farmers showed that, for 44% of the farmers, vegetable production is
their only source of livelihood (Potutan 1998).

Of the vegetable farmers, 46% extract water from a river or stream, 20% from deep
wells, 11% from irrigation canals and 12% depend entirely on rainfall. Eighty-six
percent of the farmers reported that they applied chemical fertilisers; 82% actively
controlled pests, diseases and weeds in the last three crops, of which 90% used
insecticides, 36% fungicides, 4% herbicides and 50% natural control measures. Of
those who applied synthetic pesticides, 49% personally encountered ill effects the
last time they sprayed, including headache (55%), nausea (31%) and chest pain
(14%).

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Of farmers questioned, 24% had heard of the government Integrated Pest

Management (IPM) programme and 12% of them had received training. The
impact of IPM training was ambivalent, as 36% of farmers increased their level of
pesticide use after receiving training, 36% maintained the same level of pesticide
use and 73% just changed the commercial brand of their pesticides. Only 27%
reported that they decreased the level of pesticide application and used less toxic
chemicals after receiving IPM training.

Vegetable farmers mentioned more than 15 constraints to higher levels of

vegetable production. The most frequently mentioned constraints are unfavourable
climatic conditions (63%), insect damage (53%), lack of capital (53%) and
irregular water supply (23%). Among other notable limitations to vegetable
farming were the presence of plant diseases (7%), poor soil fertility (7%), poor
water quality (5%) and a lack of access to marketing facilities (3%).

2.2 Livestock

The livestock - including poultry - industry in the city can be categorised into
commercial and domestic production. In 1995, production reached 158,000 head,
of which 135,000 were chickens (see Table 3). There is only one slaughterhouse in
the city, which also caters for neighbouring towns. It is inadequate to cater to the
needs of the growing population.

Table 3: Livestock population in Cagayan de Oro (1992-1995)

Species 1992 1993 1994 1995
Carabaos 1,593 1,609 1,367 1,411
Pigs 10,237 10,204 13,986 12,399
Goats 3,523 3,523 3,337 3,252
Cattle 4,570 4,581 5,245 4,010
Horses 453 462 424 409
Chickens 75,000 74,999 74,874 135,072
Ducks -- -- -- 1,350
Total 95,376 95,378 99,233 157,903
Source: City Veterinary Office.

Animals kept for home consumption are also slaughtered at home. No data have
been recorded as to how much meat is produced by livestock reared at home.

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2.3 Other types of urban agriculture

2.3.i Backyard gardening

Backyard gardening is common. The City Agriculture Office (CAO) estimates that
about 40% of all households (94,672 in1997) maintain backyard gardens. These
produce mainly leafy vegetables, fruits and ornamental plants. The fact that this
practice is common in both urban and periurban areas signifies its economic
importance: families can save on food items, which they would otherwise have to
buy. In addition, most households own domesticated animals.

2.3.ii. School gardens

Ninety-six percent (75 out of 78) of public elementary schools in Cagayan de Oro
maintain a school garden. This activity is pursued by pupils as part of the school
curriculum and supervised by principals and teachers. The size allotted for gardens
ranges from 500-1,000 m2. The pupils usually plant leafy vegetables, fruits,
ornamental and herbal plants. In some schools, parents are involved in maintaining
and guarding these gardens. School administrators adopted bio-intensive
gardening, designed for pupils to learn urban agriculture in both formal and
informal education approaches.

2.3.iii. Agroforestry
Some reforestation projects for the production of mahogany and other trees have
been implemented in Cagayan de Oro, mostly on hilly land in the Lumbia, Malasag
and San Simon barangays, about 10-15 km from the town centre. Some 30
subsistence farmers have acquired access to these government lands through their
local leaders (barangay captains). They plant mainly vegetables and maize under
the trees.

2.3.iv. Aquaculture
As Cagayan de Oro is a coastal city, marine fishing is dominant. Six hundred full-
time and 797 part-time fishermen provide about 70% of the demand for fish in the
city (CAO estimate, 1998)

Aquaculture has not yet gained popularity among city farmers. This could be
explained by the lack of knowledge about appropriate aquaculture systems,
relatively high investment costs and the limited technical assistance. In light of the
city's growth and the availability of brackish water, the government may give more
attention to aquaculture development by providing adequate financial and technical
assistance.

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At the moment, 18 urban farmers (6 full-time and 12 part-time) engage in

aquaculture, producing mainly tilapia, milkfish, and prawn/shrimp. The production
is small-scale and market-oriented, in ponds of 3-6 ha in size. The average
production of milkfish is 40 kg/ha.

2.3.v. Plant nurseries

Plant nurseries focus on the production of fruit-tree saplings or ornamental plants,
mainly for parks and plazas. No concrete data related to the area coverage and the
actual number of farmers engaged in this activity are available.

3. Food security, health and nutrition

In Cagayan de Oro, vegetables are considered a “poor man’s food” rather than a
“luxury food”. There are two factors associated with this. Firstly, compared to
meat and fish, vegetables are cheaper in the city. Secondly, vegetables are readily
accessible, as they are widely grown in backyards, small farm lots and school
gardens. Farming families, because of their low income, eat more fish and eggs
than meat (Potutan 1998).

The estimated daily per capita consumption of vegetables is less than 75 grams,
which is consistent with findings of similar surveys (Philippine Association of
Nutrition 1997). This is far below the recommended daily human intake of 200
grams of vegetables necessary to assure sufficient vitamin and micronutrient
supply (AVRDC 1996). Daily consumption of vegetables is highest among farmers
(85%) and lowest among consumers in the higher socio-economic classes (64%).
Respondents belonging to the higher class have by far the greatest meat
consumption (78%); this was lowest among farmer respondents (7%). This
suggests that, while urban farmers belong to the poorer economic classes, they
have a healthier diet because of their farming.

There are differences between the crops available in the market and commonly
consumed crops. This difference is attributed to home garden production (40% of
the households do backyard gardening). In other words, a large proportion of
consumers do not purchase all of their vegetables from the market.

A PUVeP survey among 302 pupils (average age 7.86 years and average weight
19.11 kg) found that 69% of the pupils are malnourished. Among the malnourished
children, only very few belonged to households with backyard gardens. Numerous

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children among the well-nourished group came from families who had backyard
gardens and earned an adequate income from other sources (PUVeP 1998).

Some farmers’ practices pose risks to human health. Ninety-two percent of the
respondents wear protective garments when administering pesticides. Often only
partial protection is possible, as most farmers use an incomplete or inappropriate
set of protective clothing (Potutan 1998).

4. Urban agriculture and the city environment

Daily, about 250 m3 of city waste is disposed at the city sanitary landfill site in
Barangay Carmen. It is estimated that about 60% of the waste materials are
organic. This could be used for organic fertiliser production if appropriate
technologies and management approaches were available.

A PUVeP survey (Potutan 1998) found that 25% of all respondents (periurban
farmers) produced compost. The city government is presently cooperating with the
PUVeP in collecting fruit and vegetable leftovers from the wholesale market in
Agora, which are used for different experiments regarding composting
technologies and compost application for certain vegetable cultivars.

Some of the periurban farmers are using government lands for crop production. For
instance, a group of “eco-aides”3 petitioned the government to use unused areas of
the landfill site for production. Not only do the farmers recycle organic waste by
making compost of it, they also guard the area from illegal dumping and building.
Other groups of farmers use the lands covered by reforestation projects by planting
various crops under the trees. Since they are using government lands, they are
responsible for guarding the seedlings/trees and keeping out scavenging animals.

5. Urban agriculture and the household economy

Traditionally, farming falls under the male domain, while women are responsible
for household chores like cooking, cleaning and laundry. However, marketing of
agricultural produce is mainly a women’s task: 73% of vendors of agricultural
products are women (Arnado et al. 1998, Potutan et al. 1998). According to most
vegetable vendors, on average they earn about 25% over their capital outlays.

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The closest estimation on farmers’ earnings is the PUVeP survey, which found that
net farmers’ earnings are on average about 30% of their production costs. Farmers
spent a weekly average of 50 PhP on the purchase of vegetables, but all other
respondent groups spent 100 PhP on the same. As farmers, on the other hand,
consume more vegetables, this strongly indicates that farming significantly
contributes to in-kind family income.

To both farmers and sellers, the seasonality of vegetable supply is an issue. Among
the farmers, 30% reported occasional oversupply of vegetables during the harvest
season; 20% said they had problems with regard to limited market display area,
and 13% said that middlemen dictate vegetable prices. Among the wholesalers,
40% mentioned lack of supply of vegetables as their primary concern, 20%
remarked on limited display area in their market, and 13% mentioned cheap
wholesale prices. Among the retailers, 23% mentioned lack of vegetable supply,
22% limited display areas in the market and 21% lack of capital.

Small-scale food processing from urban agricultural production is promoted in the

city with the City Agriculture Office (see below) taking the lead role. The products
pursued are peanut butter, cashew nuts, banana chips, longaniza sausage, tocino
ham, tablea chocolate, papaya pickles and camote candy. On average, each vendor
dealing with small-scale food processing earns about 35% over total costs.

6. Policy perspective

In 1991 the Philippine Government signed the Republic Act No. 7160 known as
the "Local Government Code”. This law stipulates the decentralisation of powers
and resources from the national level to local government units (cities and
municipalities). It broadens the margin of decision-making and the area of action
of local institutions. Furthermore, decentralisation is seen as a measure with which
to reduce migration and, thus, to avoid conflicts and congestion in urban centres. In
this respect, the city of Cagayan de Oro is exercising its full powers in terms of
devolved functions, including the delivery of agricultural services.

Shortly after the passage of the Local Government Code, the City Agriculture
Office (CAO) was established. Since then, the CAO takes responsibility for all
matters relating to urban agriculture. The CAO facilitates several agricultural
activities in Cagayan de Oro including: a) agricultural extension services; b)
Cagayan de Oro Greening Project; c) fisheries sector improvement; d) social

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forestry sector improvement; e) Farming Youths Development Programme; f)

home management extension services; and g) strengthening of farmers' co-
operatives.

The objective of the agricultural extension services is to assist growers in farm

management and to help farmers adopt appropriate farming technologies. Projects
under this programme include Sloping Agricultural Land Technology, Farmers’
Field School (IPM), Barangay Nursery, Scion Grove Establishment and many
more. The Cagayan de Oro Greening Project aims to promote planting around the
city. Projects under this programme include park maintenance and seedling
production. CAO extends assistance to improve the fishery and forestry sectors by
strengthening fishermen and forestry co-operatives. The Department of Trade and
Industry (DTI) in the city provides training in small-scale food processing of fruits
and vegetables. The CAO also provides training on livelihood and income-
generating projects among wives of farmers. Among these are swine and backyard
cattle fattening, handicraft and soap-making, and low-cost recipes.

Through PUVeP initiatives, the City Government is now more aware of the
importance of urban agriculture, but collaboration is mutual, as the City Economic
Enterprise Department (CEED) has been supporting the project ever since it
started. The CEED facilitates the provision of organic wastes from the markets to
PUVeP as well as to urban and periurban farmers needing them.

The media such as local TV stations (e.g. ABS-CBN) and newspapers (e.g.
Goldstar Daily and Sunstar) cover most of the PUVeP activities. These institutions
are essential in promoting support for and creating awareness of urban agriculture
among farmers and the public alike.

The City Government classified almost 50% of the city’s total land area as
agricultural. Maximising the use of this area for better agricultural production will
surely enhance the farmers' capability of managing small- and medium-sized farm
enterprises.

The City Council passed several ordinances relating to urban agriculture. Most of
these laws pertain to budgets and approval of CAO-sponsored projects, such as the
Greening Project and the provision of agricultural extension services. A substantial
part of city laws allows for the provision of strong opposition by the City Council
towards undertakings that pose a threat to the environment.

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For instance, City Ordinance No. 3031-94 opposes the construction of industries in
Barangay Malasag’s reforestation area.

7. Factors affecting the development of urban agriculture

The support of the city government for urban agriculture is manifest in proposed
legislation pertaining to home gardens, school gardens and access to government
lands for periurban and urban farmers. But planning, policy initiatives and program
monitoring are still limited and scattered. Policy-makers need to be more aware of
the importance of integrating urban agriculture into urban planning and budgeting.

Two factors contributed to the city government's favourable response to the

development of urban agriculture: firstly, the realisation of the potential of urban
agriculture for enhancing food security (through research by Xavier University,
PUVeP and other research institutes) and secondly, there is a critical mass of
advocacy by farmer groups, and on behalf of farmer groups by NGOs, with respect
to urban agriculture in order to create more income.

However, the success of integrating urban agriculture into general policy has been
limited thus far. There is no general plan that brings together the different urban
agriculture activities, and there is limited support extended to aquaculture, school
gardens, and livestock, including poultry. Overall, the city is just in the initial stage
of developing economically and ecologically sustainable agriculture.

Working methods and procedures regarding the planning and implementation of

urban agriculture projects are not holistic, e.g. socio-economic status, cultural
practices and existing development structures are not well considered. Through an
integrated approach, areas of production, consumption and marketing of urban
agriculture products must be equally assessed.

In the 1998 PUVeP study, several potential constraints were identified regarding
the socio-economic interactions of periurban vegetable consumption, production
and marketing in Cagayan de Oro. The reasons for low vegetable consumption are
attributed to lack of information and educational campaigns (i.e., poor consumer
guidance regarding the nutritional value of vegetables) and cultural dietary tastes.
Possible reasons for low vegetable production are limited knowledge on
appropriate inputs, poor infrastructure, high labour rates, limited access to land,
climatic constraints such as high temperatures, attack from insect pests and lack of

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capital. Vegetable marketing constraints may be attributed to poor policy formation

and regulations, social aspects such as the involvement of middlemen, product
varieties, standard operating practices and a lack of market display areas and
capital.

To address these constraints, it is recommended that partnerships of all

stakeholders in urban agriculture be strengthened. Already many NGOs have been
assisting the development of urban agriculture in Cagayan de Oro by strengthening
collaboration, most notably with local administrations and municipalities.
However, to some extent, co-ordination between NGOs and local government is
not well defined. Each of these institutions has different perspectives on how to
implement agricultural activities.

8. Community participation activities

Activities at the local level are backed by a sustained flow of information through
the media and by successful co-operation of NGOs and government. A network of
NGOs called the Philippine Partnership for the Development of Human Resources
in the Rural Areas (PHilDHRRA) is instituting tripartite partnership among
People’s Organisations (POs), NGOs and Local Government Units (LGUs). The
approach has been adopted among different farmer groups in the city (specifically,
one assisted by the Mindanao Consortium for Agricultural Research and Rural
Development - MinCARRD).

The tripartite approach has a clear process. First, an NGO will assist a farmer
group (PO) in organising a co-operative. It deploys a community organiser to
facilitate basic training in management, bookkeeping, marketing and gender
sensitivity. Then the community organiser will train farmers in how to link with
government agencies, such as the CAO, the Department of Agrarian Reform and
the Department of Agriculture. After three years, the NGO will pull out from the
community so that the farmers’ organisation is able to stand on its own. This
approach proves to be effective in most communities, as it is comprehensive and
integrated.

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In conclusion, we feel that the prospects for the further development of urban
agriculture in Cagayan de Oro are promising:
• farmers are interested to be trained and to apply better farming technologies to
improve yields and the quality of their products and thus improve agricultural
production;
• institutional support for urban agriculture is increasing on account of a)
successful project showcases; b) tripartite partnerships between local
government, NGOs and POs; c) collaboration between various agencies - a
clear example is the CAO, which has been co-ordinating its activities closely
with PUVeP as well as with NGOs in the city; and d) legislation in support of
urban agriculture; and
• agroecological awareness of stakeholders is critical. An integrated approach
improves information, planning and all other activities in the field of urban
planning, food production and marketing. Networked information on specific
technical and environmental issues stimulates people into further action and
strengthens the awareness of decision-makers. Therefore, research and
community action must be promoted.

1 The term "barangay" refers to the smallest local administration unit.

2 Cagayan de Oro has 57 periurban and 23 urban barangays. The term “periurban” in this study
refers to barangays within the municipality, located at the periphery of the urban center. The
city government classifies these still as rural barangays. These barangays are rapidly
changing, particularly through the construction of industrial, commercial and residential
complexes. Urban barangays are closest to the city centre. The population density is relatively
high and some infrastructure is available (e.g. paved roads, telephone, public transport,
education, hospitals, shopping malls, retail and wholesale markets, etc.).
3 So-called “eco-aides” collect waste like plastics, paper, glass and metal, and sell this. The
earnings of a scavenger can be as high as PhP 500 per day (US$ 12) (personal comment, City
General Public Services Office, 1998).

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