BAR TODAY || Official Quarterly Publication of the Bureau of Agricultural Research

LDPs of the DA: an analysis
by Laarni C. Anenias

January-March 2001
Volume 3 No. 1

The Livestock Dispersal Program (LDP) is one of the most expensive initiatives of the Department of Agriculture (DA). An assessment study on LDPs showed an even increasing budget allocation over the last 11 years.

The BAR-funded study, titled Assessment of the Livestock Dispersal Program of the DA, was the second component of the Imperatives for Trade Competitiveness and Technology Assessment of the Livestock Sector. The study focused on three LDPs of the most expensive commodity: cattle. It aimed to harmonize the results of the three LDPs taken into consideration, thus providing basis for assessing its impacts.

Profile of LDPs
Forty-five years ago, President Magsaysay's administration started implementing the LDPs. Until today, it has been one of the government's initiatives to provide additional income to farmers. The study looked into the practices of three flagship LDPs:

Multi-Livestock Development and Loan Program (MLDLP)
MLDLP started in 1989 from the initiatives of the National Agriculture and Fisheries Council. The program provides financial assistance to its beneficiaries through conduit banks that have satisfied the guidelines set by the program. Beneficiaries of the program must either be organized cooperatives or members of any farmers' associations or cooperatives. Livestock markets, local ranchers, and DA stock farms serve as sources of animals to be loaned to beneficiaries. The Bureau of Animal Industry (BAI) implements this program.

Barangay Livestock Breeding Loan Program (BLBLP)
BLBLP started in 1996 during the term of then DA Secretary Salvador Escudero III. The program aimed to "cater to the livestock needs of rural poor not included in the MLDLP," specifically to the 21 poorest provinces in the country. The program likewise covers Muslim regions and other coconut-growing provinces that are most often hit by typhoons. BAI likewise implements this program.

Dairy Cattle Dispersal (DCD)
DCD, implemented by the National Dairy Authority (NDA), aims at empowering dairy cooperatives; thus creating a more competitive dairy industry. NDA initially identifies new dairy sites in specific key areas. Cooperatives are then chosen, and given assistance in the form of dairy animal loans and technical assistance. When these cooperatives are equipped with the necessary skills to undertake dairy operations, institutionalization phase then follows when dairy cooperatives are left on their own.

Targets and accomplishments
The study indicated that "except for MLDLP, BLBLP and DCD had no clear target number of beneficiaries and animals to be dispersed annually since 1994." Data analyzed on program accomplishments were limited in years when BAI and NDA made targets for BLBLP and DCD, respectively.However, the BAI explained that in the case of BLBLP, these numbers were dependent on the number of requests received from regional, provincial, barangay officials, and other local government units.

Data gathered revealed that MLDLP had a 102% average accomplishment in number of beneficiaries in 1994-98. Accomplishment rates in animals dispersed during the same time period reached 151%. BLBLP, on the other hand, rated only 33% in both average animals dispersed and number of beneficiaries in 1997-98. Moreover, DCD likewise recorded a low average, 43%, in animals dispersed in 1996-97.

Recommendations
To complement the initiatives of the different LDPs, the study recommended that all LDP providers should come up with a set of unified implementation guidelines. Among the recommendations included for the enhancement of the guidelines were:

Financing scheme that may allow the government a return of investment of about 10%-15%

LDP Success/Failure Medium Term Milestones, hinged on economic and social well-being of beneficiaries

LDP programs that enhances empowerment for rural poor and discourages dependency to government support

Sustainable government livelihood or economic assistance to the poor

Another unified effort from the LDPs, this time in adopting an integrated set of socioeconomic indicators as basis for assessing all its initiatives, was likewise recommended by the study. A management information system could also be established to improve the LDP's monitoring and evaluation mechanism. Moreover, the study recommended a review on the LDP objectives to integrate a mechanism for improving the genetic make-up of animals dispersed. A mapping activity, which would give a clear profile of the LDPs' beneficiaries and their specific locations, was likewise proposed. Capability-building training programs, designed to equip the LDP providers with the necessary skills, could also be implemented.