PROJECT PROPOSAL

A. PROJECT INFORMATION
1. Project Title Procurement of (1) unit Hauling Vehicle and (10) units of Freezer for
Supply-Delivery and Storing of Agricultural and Dairy Products

2. Name of Organization Calinog Farmers Agriculture Cooperative

3. Chairman/President Marlon S. Cerbo

Address PCC Bldg., Brgy. Simsiman, Calinog, Iloilo

Contact Number 0927-982-2909

4. Project Location PCC Bldg., Brgy. Simsiman, Calinog, Iloilo

5. Grant Amount Requested ₱ 2,468,125.00

6. Grant Purpose Specify the items to be financed by grant and ensure that the items are
allowed for grant request

 Supply and Delivery of members produced agricultural and

milk and milk by-products
 Storing and maintaining high quality products
 Hauling of raw materials for Kadiwa Store and Processing
facilities

7. Total Project Cost Grant + Counterpart. Counterpart is at least 20% of the TPC

₱ 1,485,000.00 - Supply and Delivery of Agricultural and Dairy Products

₱ 489,500.00 - (10) units of Freezer – 3 Doors

₱ Coolman (300)

₱ 493,625.00 – Cooperative Counter Part

₱ 2,468,125.00

8. Project Duration 5 years

B. SITUATIONAL ANALYSIS

Description of the core problem being addressed, goals of the proposed enterprise,
SWOT analysis.
C. AGRIBUSINESS PROJECT DESCRIPTION:
1. Project Objectives Description of intended benefits

 Through School Based Milk Feeding Program,

beneficiaries are expected to develop their milk drinking
habit and be provided with the nourishment needed to
become more productive Filipinos

 To produce and deliver high-quality of dairy products,

crop productions and supporting the livelihood of our
farmer-members.

2. Project Beneficiaries A total of 6892 beneficiaries with farmers’ association and the
location are Badiangan, Bingawan, Calinog, Janiuay, Lambunao and
Capiz area including 176 farmer-members of Calinog Farmers
Agriculture Cooperative

3. Project Location Geographical coverage of the project (production area),

commodities and number of producers, existing and expansion
area coverage

PCC Bldg., Brgy. Simsiman, Calinog, Iloilo

Location (barangay/community) where store operates

4. Products/commodities List of commodities/products of the enterprise.

List of commodities

1. Milk Products such as:

  Fresh Milk
 Flavored Milk (Choco, Melon, Pandan, Strawberry and
Ube)
 Bread (Karabun)
2. Vegetables and Crop Production such as:
 Squash, Eggplant, Banana, String beans, Okra etc.

3. Poultry Products
 Meat and Egg Products

4. Assets financed by grant Description of assets to be acquired out of the grant and the
capacity/specifications of such assets

DA-AMAD - ₱ 1,000,000.00 - Stake truck

₱ 500,000.00 – Working capital (Kadiwa Store)

₱ 1,500,000.00 – Total Amount Grant

5. Nature of business Description of the existing agribusiness activities engaged in (e.g.

(agribusiness activities) assembly, processing, warehousing, logistics/transport,
distribution, retail) and the new/additional value-adding activities
as a result of the grant.

- Processing and Marketing of Fresh Milk and Milk By-products

- Hauling and trading/selling of vegetables - crop products, and

other meat products

6. Capacity or volume of Production capacity (for processors) or volume of sales (for those
business engaged in selling, marketing). Indicate sales/capacity per
commodity group.

Particulars Production Capacity Volume (Qty) Sales (Php)

Toned Milk 400,000 343,832 6,532,808.00
Nutribun/Karabun Fill the box
(Bread)
Pasteurized Milk Fill the box
(Fresh and Assorted
Flavored Milk)
Vegetables/Crops and Fill the box
Etc.
Meat and Poultry Fill the box
Products
D. MARKETING ASPECT. Description of target market. Sample format:

This section should describe the current supply and demand situation in the city or municipality of
the commodity/ies to be produced in the project as well as the potential/identified target market.
Define the marketing plan and strategy such as distribution channels, advertising, and promotions
(i.e agri-tourism site)

Supply and Demand Situation: (for Goods)

Annual Annual Remaining Volume to be
Target
Demand Supply (by Unmet supplied by
Market / Product
(specify existing Demand (or the enterprise
Customer
volume) suppliers) Gap)

SDO All products

Toned Milk 184,7 184,704 All products
Iloilo/3rd are delivered
(200ml/packs) 04 packs packs are delivered
District

SDO All products

Toned Milk 126,304 184,704 All products
Iloilo/2nd are delivered
(200ml/packs) packs packs are delivered
District

SDO-Passi Toned Milk 32,824 32,824 All products All products

City (200ml/packs) packs packs are delivered are delivered

Indian Fresh Milk 3000

2,500 packs 500 packs
National (1000ml/pack) packs 500 packs

Assorted
Walk in
Flavored Milk,
costumers
200ml

DSWD- Assorted
Calinog Commodities

DSWD-
Assorted
Barotac
Commodities
Viejo

(add rows if necessary)

Supply and Demand Situation: (for Services)
Type/ Annual Annual Remain Payment Scope of
Scope of Demand/ Service Unmet Terms services to be
Target Service Requirement Provided Demand/ provided by
User/
Needed/ (by Requirement the
Customer Required existing (or Gap) enterprise
(specify)
service
provider) (based on the
unmet
demand)

Target Market: (for Goods)

Target
New
Target Buyer Existing Frequency Payment Marketing
Location Volume
(specify) Volume Sold of Delivery Terms Arrangements
Sold/Un
it
 Consignm With contracts between
ent, Implementing agency
Toned Milk,
payments and cooperative
3 District
rd
5772 8501 Weekly (for
DepEd done after
of Iloilo @200ml/pa packs 32days)
completio
cks n of
delivery

Consignm With contracts between

ent, Implementing agency
Toned Milk,
payments and cooperative
2 District
nd
3947 5200 Weekly (for
DepEd done after
of Iloilo @200ml/ packs 32days)
completio
packs n of
delivery

Consignm With contracts between

ent, Implementing agency
Toned Milk,
payments and cooperative
3298 4287 Weekly (for
DepEd-Passi Passi City done after
@200ml/pa packs 24days)
completio
cks n of
delivery

Pork Meat With contracts between

LGU- and Chicken Weekly Consignm Implementing agency
DSWD 558 kgs
Calinog Dressed, (6mos) ent and cooperative
417kg

Vegetables With contracts between

LGU- and other Weekly Consignm Implementing agency
DSWD 3.5 tons
Calinog commodities (6mos) ent and cooperative
, 2.7tons

Pork Meat With contracts between

LGU-
and Chicken Weekly Implementing agency
DSWD Barotac COD
Dressed, (6mos) and cooperative
Nuevo
417kg

Vegetables With contracts between

LGU-
and other Weekly Implementing agency
DSWD Barotac COD
commodities (6mos) and cooperative
Nuevo
, 2.7tons

Fresh Milk,
Indian National Iloilo
50 120kg Daily COD
(Bombay) Province Cash
@kg/packs
 Fresh Milk
and assorted
Within
flavored 120bottl
Walk in Clients Calinog Daily COD
milk, es
vicinity
75@200ml/
bottles
Cash

(add rows if necessary)

Target Market: (for Services)

Target New/
Target Existing
Additional Frequency Payment Service
User/ Location Services
Services of Service Terms Arrangements
Customer Provided
Provided
(specify)

Upon Payments

(add rows if necessary)

Marketing Plan and Strategy

Product: (add description on Product Form, Product Quality, Packaging, and Unique Selling
Proposition) Describe your products (by products)
Product Packaging Quality
Pasteurized Milk, 1000ml Bottle/Polyethylene All products produced are
100% quality
Pasteurized Milk, 200ml Bottle All products produced are
100% quality
Choco Milk, 200ml Bottle All products produced are
100% quality
Pandan Milk, 200ml Bottle All products produced are
100% quality
Strawberry Milk, 200ml Bottle All products produced are
100% quality
Melon Milk, 200ml Bottle All products produced are
100% quality
Ube Milk, 200ml Bottle All products produced are
100% quality
White Cheese, 100g Polyethylene All products produced are
100% quality
Pastillas, 100g Polyethylene All products produced are
100% quality
Karabun (Bread-80g) Polyethylene All products produced are
100% quality
Toned Milk, 200ml Polyethylene All products produced are
100% quality
Please, see Annex ____

Price: (specify the prices of products to be offered, and add a description on the pricing strategy
used)

Product Price Qty

Pasteurized Milk 130.00 1000ml
Pasteurized Milk 30.00 200ml
Choco Milk 25.00 200ml
Pandan Milk 25.00 200ml
Strawberry Milk 25.00 200ml
Melon Milk 25.00 200ml
Ube Milk 25.00 200ml
White Cheese 70.00 100g
Pastillas 70.00 100g
Karabun (Bread) 10.00 80g
Toned Milk 19.00 200ml

Place: (add description on delivery mechanisms and marketing channels)

District Municipality Schools
Badiangan Badiangan Central Elementary School
Bingawan Bingawan Central Elementary School
Cabatuan Central Elementary School
Cabatuan Tiring Central Elementary School
Calinog Central Elementary School
Calinog Jaycon Elementary School
Janiuay Pilot Elementary School
3rd District Janiuay Madong Elementary School
DELMES, Poblacion, Lambunao, Iloilo
Caninguan Central Elementary School
Lambunao East Magbato Sibacungan Elementary School
Maasin Central Elementary School
Maasin Tubang Elementary School
Mina Mina Central Elementary School
Pototan Pilot Elemtary School
Pototan Rizal Elementary School
Alimodian Central Elementary School
2nd District Alimodian Alibango Central Elementary School
Leganes Leganes Central Elementary School
Leon Central Elementary School
Leon Buga Central Elementary School
New Lucena New Lucena Central Elementary School
Pavia Pavia Pilot Elementary School
San Miguel San Miguel Central Elementary School
Santa Barbara Santa Barbara Central Elementary School
Zarraga Zarraga Central Elementary School
Passi City
 Promotion: (add description on promotional strategies, i.e., Push and Pull strategies)
 Exhibits
 Radio Station
 Social Media Platform

E. BUSINESS OPERATIONS

1. Management. Describe the management system of the business that would include:

(a) Management set-up – identifying and defining the responsibilities of key officers and personnel
involved in managing and operating the business. Indicate whether they are working full time or
part time for the Project and their brief backgrounds.

(Add Figure and description for Current Org Structure)

(Add Figure: Proposed Org Structure)

Proposed Employee/Staff:
Job Title No. of Qualifications Duties and Responsibilities Salary /
Staff Honorarium /
Daily Wage

Manager 1  A bachelor's degree in Implement the plans/Programs and 21,000.00

business administration supervises the day-to-day
or a related field operations.
 Have an experience in
Renders report to the BOD during
cooperative atleast 2
board meeting.
years
 Computer literate
(Microsoft Excel, Word
and PowerPoint)
 Mentally fit and
physically fit
 Atleast 25 years old and
above
 Can work under
pressure
 Well knowledgeable on
the cooperative’s
operations

Treasurer/ 1  Must be a bachelor Ensure the maintenance of full and 11,550.00

Cashier degree complete records of cash
 Computer literate transactions.
 (Microsoft Excel, Word
and PowerPoint)
Ensure that all cash collections are
 Mentally Fit
deposited in accordance with the
 Atleast 25-50 years old
policies.
 Can work under
pressure
 Know how on basic
accounting

Bookkeeper 1  with atleast 2 years  Record and update book of 12,100.00

working experience and accounts.
willing to be trained  Prepare and submit monthly
 Must be a bachelor financial reports to the
degree manager
 With pleasing
personality
 Male-Female

Staff/Encoder 1  Atleast senior high Accurate and efficiently recording 11,000.00

school graduate/ and encode all data needed
college graduate
 Computer literate
 Pro-active
 With pleasing
personality
 18 years old and above

Quality 1  Senior High  Conduct Milk Quality Testing 15,000.00

Control Officer Graduate/College  To ensure the quality of the
Graduate; products and implement the
 With pleasing standard procedure of FDA;
personality;  Monitor the operation
 Must have a training during production;
related to Quality  Report to General Manager
Control and Assurance;
 Atleast 20 years old and
above;
 Must have a health
certificate issued by the
local health office;


Processors 8  Senior High School  In-charge in processing, 500 per day

Graduate/College packaging and marketing of
Graduate milk and milk products,
 Physically Fit observing and maintaining
 Can lift up atleast 50kg FDA standards.
 Must have a health  Submit the sales report to
certificate issued by the treasurer or general
local health office manager


Driver 1  Have a driver’s license  In-charge for hauling of raw 500.00 per day
 materials
 Physically fit 
 Knowledgeable in  In-charge for delivery of
trouble shooting finished products
 Have an experience as a
driver, atleast 2 years

Delivery Staff 8  Physically fit  In charge for hauling of raw 500.00 per day
 Strong and Flexible materials
 Must be 18 years old  In charge for delivery of
and above finished products
 Can lift up atleast 50kg  and in-charge for the

(add rows if necessary)

(b) Financial recording and internal control system on cash handling and business operations
(procurement, inventory management, sales). Indicate the financial records maintained and the
persons handling financial and business transactions and their responsibilities.

2. Technical Aspect. This section explains the project with description by components including the
following information:

(Add Figure: Process Flow Chart, and brief description)

Transport of Raw Receiving of Raw Conduct Milk

Dairy Farmer Farm Quality Testing
Milk Milk
Collection of Raw Milk

Storing Milk Processing

Marketing Delivery of
Finished Products

Production Process
Input
Activity Dura Respons Quality control
Description Require Output Location
Process tion ibilities Measurement
ments

Conduct Before the products process 1- Qualit

Milk into pasteurization and by- 2hou y
Testing products. It involves various rs Assur
tests to evaluate different ance
aspects of milk. This includes Office
measuring quantity, r
assessing organoleptic
characteristics like
appearance and taste, testing
compositional characteristics
such as fat content and
protein levels, and evaluating
 physical and chemical
properties. These tests
ensure the safety, quality,
and regulatory compliance of
dairy products, helping
producers maintain quality
control and observe to
standards for consumer
safety.
(Flavored -Prepare clean casserole and Milk
Milk) ingredients Proce
Mixing of ssor
Ingredients - Measure all the ingredients

- Mix dry ingredients first

before adding

-Adding the liquid ingredients

Heating Heat the mixture at a

temperature of 75°C - 80°C

Cooling - Cool the mixture under

running water

- Prepare ice water bath and

transfer the casserole. Let it
cool at 20°C and below

Packing 1. For bottling procedure:

and
- label the sticker (expiry date
Labelling
and production date)

- Wash and disinfect the bottle

and let it dry for a few minutes

- Stick the prepared label to

the bottle and start packing

2. For Milk packed with

polyethylene:

- Measure and pack the milk;

- Indicate date of expiry on the

label using the stamp and seal.

Storing Store at a temperature of:

- Refrigerated 0°C - 4°C

- Frozen - 18°C - 25°C

(Fresh Prepare clean container and

Milk) Re- cloth strainer. Measure each
Strain milk and strain. Record the
 data.

Pasteurizin  For double

g
Boiling

- Temp- 72°

 For milk packed by

polyethylene

- Temp-78°

Cooling -Prepare ice water bath and

dip packed pasteurized milk.
Let it cool until <20°

Packing 1. For double Boiling:

and
Labelling -Label the sticker (expiry date
and production date)

- Wash and disinfect the bottle

and let it dry for a few minutes

- Stick the prepared label to

the bottle and start packing

2. For Milk packed with

polyethylene:

- Measure and pack the milk;

- Indicate date of expiry on the

label using the stamp and seal.

Storing Store at a temperature of:

Refrigerated 0°C - 4°C

Frozen - 18°C to -25°C

(add rows if necessary)

Production Schedule (Sample only. The proponent must input information based on their
business operations and must show volume of output per activity.)
Activities M T W TH F SA SU

Production of Toned Milk 11,211 11,211 11,211 11,211 11,211 11,211 11,211
(200ml/pack)

Packaging of Toned Milk 11,211 11,211 11,211 11,211 11,211 11,211 11,211
(200ml/pack)

Storing of Toned Milk(200ml/pack) 11,211 11,211 11,211 11,211 11,211 11,211 11,211

Delivery of Toned Milk

40,284 27,728 10,463
(200ml/pack)
Processing of Raw Milk (liter or kg) 45 38 40 41 45 44 45

Packaging of Pasteurized Milk (Liter

45 38 40 41 45 44 45
or kg)

Storing of Pasteurized Milk (Liter

45 38 40 41 45 44 45
kg)

Processing assorted flavored milk

250 250
(200ml/bottles)

Packaging assorted flavored milk

250 250
(200ml/bottles)

Storing assorted flavored milk

250 250
(200ml/bottles)

Pick Up of Empty Styro Box, pcs 150 150

Purchasing of Goods (assorted Fill the Fill the Fill the

commodities) box box box

Fill the Fill the Fill the

Packaging of assorted commodities
box box box

Fill the
Delivery of Goods
box

(add rows if necessary)

(a) availability of the project site;

(b) specifications of machinery and facilities needed; (Sample only. The proponent must input
information based on their requested machinery and facility.)

Equipment/ Purpose Specifications Rated No. of Units Unit Cost

Capacit
Machinery Propose Existing
y
Requirement d

Delivery To be used in Engine: 2,499cc, 2.5L 1 1 1,485,00

vehicle delivery and 4JA1, Direct Injection 0
supply of milk and Common Rail Blue
milk by products Power Diesel Engine,
to every drop off Euro4, Max Power
point of 78/3,900, Max Torque
market/beneficiar 176.5/1, 800, Fuel Tank
y Capacity 50Liters Euro
IV

Transmission: MUA-
5S, 5 Speed Manual
Transmissions

Brake: Front
 Ventilated Disc, Rear
Drum Leading and
Trailing, Hydraulic-
Vacuum Assisted Dual
Circuit, Brake Control
Deceleration Sensing
Proportioning Valve
2,447,50
(DSPV)
0
Tires: Wheel 15x5.5JJ
(6studs). Tires 195R
14C 8PR

Suspension: Front Coil

Spring Double
WishBone, Rear Leaf
Spring Semi Elliptical

Convenience: Tuner
Radio with USB, Two
Speaker, Dual Air-con,
Reverse Warning
Buzzer Equipped

Electric System:
65D26R x 1, Voltage
and alternator 12V-90V

Dimension: LxWxH
(4,600mm x 1,695mm x
1,955mm) Outside
dimension

Capacity: GVW
2,950kgs, Payload
1,655kgs

Centro Body: Utility

Van 3years warranty

Available: White

Chest For storage of Model: FC-29ADF2 10 15 489,500.

Freezer finished products 00
to preserve the
freshness and
quality of the dairy
and agricultural
products

(add rows if necessary)

(c) complete list of Assumptions. Provide all assumptions used and attach as Annexes (i.e.,
recovery rate, volume of raw materials, stocking density, crop production plan, etc.)
(d) supplemental documents such as Detailed Engineering Design, Program of Works and
basis of cost estimates.

F. FINANCIAL ANALYSIS AND PROJECTIONS

The analysis must be able to show that cash revenues are enough to cover the operation and
maintenance costs of the facility, equipment and/or vehicle funded by the grant and that the
business generates positive net income (if assembly, processing, logistics/distribution, or marketing
business) or at least break-even (in case of Kadiwa retail stores). By break-even, it means the gross
margin from sales can cover the cost of operating and maintaining the Kadiwa store.

The financial statements required are: (a) projected cashflow statement and (b) projected income
statement. The profitability analysis shall include: (a) net profit analysis, and (b) return on
investment.

● Projected Income Statement (1 cycle)

● Projected Income Statement (Yearly, for 5 years)

● Projected Cash Flow Statement (Yearly, for 5 years)

● Profitability Analysis:
○ Net Profit Margin; NPM = (Net Income after tax / Revenue) * 100%
○ Return on Investment; ROI = (Net Income / Total Investment Cost) * 100%

Projected Income Statement (1 cycle). (Sample only. The proponent must input information
based on their assumptions, business operations, and projected volume of output)
Revenue Amount in Php

Sales from Milled Rice 22,464,000.00

Other income from Rice Hull 311,040.00

Total Revenue 22,775,040.00

Expenses

Cost of Goods Sold 19,162,848.00

Operating Expenses 1,359,360.00

Total Expenses 20,522,208.00

NET INCOME 2,252,832.00

(add rows if necessary)

Projected Income Statement (5 years).

YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5

Revenue

Sales from Milled Rice

Other income from Rice Hull

 Total Revenue

Expenses

Cost of Goods Sold

Operating Expenses

Total Expenses

NET INCOME

(add rows if necessary)

Projected Cash Flow Statement (5 years). (Sample only. The proponent must input information
based on their assumptions, business operations, and projected volume of output)
YEAR 0 YEAR 1 YEAR 2 YEAR 3 YEAR 4 YEAR 5

Cash Flow from Operating Activities

Sales

Payment for Purchases

Payment for Direct Cost

Payment for Operating Expenses

Net Cash Flow from Operating

Activities

Cash Flow from Investing Activities

Purchase of Hauling Vehicle

Rehabilitation of Warehouse

Net Cash Flow from Investing

Activities

Cash Flow from Financing Activities

Donations and Grant

Net Cash Flow from Financing

Activities

Total Net Cash Flow

Cash, Beginning Balance

Cash, Ending Balance

(add rows if necessary)

G. PROJECT COST REQUIREMENTS

Source of funds

Project cost component Description Amount (Php) (Financial Grant/

Proponent’s
Counterpart)

a. Fixed assets

Land

Office/building/warehouse

Machinery, equipment, vehicle

b. Working capital

Purchase of produce for sale

Operating expenses (specify expenses)

*Training Activities (for LGU proponents

only)

Total Project Cost

(add rows if necessary)

Also, a separate table must be presented showing the proponent’s equity of not less than 20% of the
total project cost using the table below.

Proponent’s Counterpart
Components/Line Item Total Counterpart
Cash In Kind

(add rows if necessary)

H. PROJECT BENEFIT ANALYSIS

This includes the projected improvements in the welfare of the beneficiaries and the country as a
whole, such as: (a) increase in farmers' income, (b) increase in number of clients/consumers, (c)
increase in volume and value/price of products, and, (d) jobs generated.
Direct Benefits of the Project Specify economic benefits of the Project to the area
coverage e.g. procurement at higher farm gate price,
reduced losses, etc.
 -It will reduce transportation cost.

- Support transport of milk, milk by products and

agricultural products

- facilitate deliveries for Milk Feeding Program

- To store our dairy products and agricultural

products

- Preserving and extending shelf life of dairy products

and agricultural products

- Maintaining the high-quality standards of our

products

- It will generate employment

- Increase coop income

Number and type of direct beneficiaries How many farmers/fisherfolk are benefitted? How
many are members of the FCA/CBO? How many are
non-members?

176 members including dairy farmers and crop

producer farmers.

Grant amount /Beneficiaries Ratio Amount of grant divided by number of direct

beneficiaries

Comparative Analysis of Farmers Income

BEFORE AFTER
ACTIVITIES
(w/o the Project (w/ the project)

REVENUE

Interest of Share Capital 288,078.51

Patronage Refund 123,462.22

Total Revenue 411,540.73

Expenses

Cost of Goods Sold

Operating Expenses

Total Expenses

Net Income 411,540.73

(add rows if necessary)

 The increase of income of farmer ___% & additional benefits on __________(e.g. patronage refund)

Comparative Analysis of Cooperative’s Income

BEFORE AFTER
ACTIVITIES
(w/o the Project (w/ the project)

REVENUE

Sales 7,765,329.00

Sales (SPF) 2,798,340.00

Expenses 10,563,669.00

Total Expenses

Net Income

(add rows if necessary)

I. WORK PLAN

Amount
Month Month Month Mont Month
Activities of grant Month 6
1 2 3 h4 5
releases

Upon execution of MOA 2,162,187

.50

First release

Activity:

Activity:

Second Release

Activity:

Activity:

Third release

Activity:

Activity

Monthly Reports of fund

status and disbursements

(Revise and add rows if necessary)

J. SUSTAINABILITY AND RISK MANAGEMENT PLAN

Capacity Development Plan

Activities to Support
Proposed Responsibility Time Source of
Aspects be Service
Interventions Center Frame Fund
Undertaken Provider

(add rows if necessary)

Business Continuity Plan

Business
Business Involved Threats Continuity/Activity Resources
Details Recovery Time
Function Needed

(add rows if necessary)

Business Continuity Plan for Key Assets

Resources to
Preparedness Measures Response Early Recovery
Protect

(add rows if necessary)

Sustainability Plan
Enterprise Target Timeline of Strategies Actions to Responsible Estimated
Objective Implementation to Meet be Taken Personnel Cost
Target

(add rows if necessary)