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Asian Journal of Agriculture and Development (AJAD) - Call for papers!

Productivity and Resources Use in Moluccan sau [Albizia falcataria (L.) Fosb.] Pulptimber Plantation in PICOP, Bislig, Surigao del Sur

(Philippines), Master of Science (University of the Philippines Los Baños)

Thesis Abstract:

The study endeavored to access the relative significance of various variables considered important in determining the magnitude of output of Moluccan sau tree farms in the vicinity of PICOP, Surigao del Sur.

Data were gathered through interviews with 148 planttaion owners. Statistical analysis included the fitting of the Cobb-Douglas type of production function to the data and the applicationo fthe least squares multiple regression and correlation technique in determining resources productivities.

Findings revealed that the avearage tree farm area of Moluccan sau was8.18 hectares, and the average capital investment on each tree farm was P10,905.35. Land had the biggest share (71.18%) of this capital investment, while the intrepreneur's capital represented 11.57% of the total capital investment.

Man-Labor utilization of each tree farm averaged 176.22 man-days. SIte production, plating and timber stand improvement treatments were tyhe major farm operations requiring 86% of the total man-labor needs in pulptimber production.

All of the derived elasticities of production exhibited by the four resuorce or input categories (land, man-labor, operating expenses, and tools and equiptment expenses) were significant at one percent probability level. The sums of these elasticities was 1.01, indicating an increasing returns to scale for all tree farms.

Tree farm area, man-labor utilization and operating expenses gave varying marginalvalue products significantly higher than their marginal input costs. However, the investment on tools and equipment gave a negative coefficient , suggesting a need for reducing the use of this resource realtive to the other factor inputs.

Approximately 95% of the amount of variation in the tree farm output was accounted for by the four explanatory variables.

Statistical analysis indicated that economics of scale is possible by increasing the size of Moluccan sau tree farms to more than 70 hectares. The desired level of man-labor utilization is about seven times its present geometric mean level, while the desired level of capital investment is about 26 times its geometric mean. Thus, additional financing is needed for all tree farms