Title
Guidelines for Sustainable Livestock Multiplier Farms
Law
Memorandum Order No. 40, S. 2015
Decision Date
Nov 24, 2015
The Department of Agriculture, in partnership with local government units, establishes thirty sustainable livestock and poultry multiplier farms to enhance the income of farmers and fishermen by providing them with quality breeding stock of native pigs, chickens, goats, sheep, and honeybees.
livestock law
poultry farming
administrative order

Administrative issuance authority and approvals

  • The Memorandum Order is issued through the Department of Agriculture.
  • Jose C. Reaao, Undersecretary for Operations (Livestock) Natal, recommends approval.
  • Proceso J. Alcala, Secretary, Department of Agriculture, approves the Memorandum Order.

Objective and project partnership

  • The Multiplier Farms Project (MFP) aims to establish strategic areas of the country multiplier farms where deserving recipients may obtain animals for livelihood.
  • The project uses multiplier farms to enable farmers and fishermen to increase income.
  • The MFP is implemented through partnership with qualified Local Government Units (LGUs).

Project description and farm modules

  • The Department of Agriculture, working with LGUs, establishes thirty (30) Multiplier Farms (MFs) in strategic areas of the country.
  • The MFs breed animals including native pigs, native chicken, goats, sheep, and honeybees.
  • The offspring are distributed to deserving and qualified farmers and fishermen.
  • Each MF is organized in modules that include housing and facilities for feeding, water, and lighting, and includes biologics and insurance.
  • Each MF is expected to serve as a source of quality stock of native chicken, native pig, goat or sheep, and honeybees.
  • After two years, the LGU establishes an operating multiplier farms capable of serving as the source of quality stock, with these production expectations:
    • Goat/sheep multiplier farms produce 120 sheep/goats after two years of operation.
    • Native chicken multiplier farms generate about 1,700 potential replacement pullets for other multiplier farm modules.
    • Native pig multiplier farms generate about 120 piglets per year as a source of foundation stocks.
    • Honey production is expected at 600 kg/year.

MF composition and animal inventories

  • Each MF consists of these modules and stocking patterns:
    • One goat/sheep module with 10 heads female and 2 male.
    • One native chicken module of 50 heads pullets plus 10 roosters.
    • Ten (10) colonies of honeybees.
    • One native pig module of 10 gilts plus 1 boar.
  • MFs include provisions for housing, feeding, water, lighting, biologics, and insurance.
  • The LGU must maintain the original inventory of the MF as indicated in the approved project document to attain project objectives and targets.

Funding and eligible LGU conditions

  • The project allocates PHP43,860,136.67 under the General Appropriations Acts of 2014 and 2015.
  • Eligible LGUs may participate in the MFP without unliquidated advances, subject to eligibility criteria and documentary submissions.

LGU eligibility criteria and documentary requirements

  • LGUs must demonstrate competence and readiness to sustain and operate a MF.
  • The LGU must show that livestock sector enhancement through MF establishment and programs forms part of the LGU’s agriculture priorities.
  • The LGU must prove the proposed MF benefits the highest number of deserving households and has positive potential for agricultural development.
  • The LGU must demonstrate the viability of the selected site.
  • Documentary requirements include:
    • Title to or usufruct or a legal document showing entitlement to use the proposed site, plus a location map clearly indicating the proposed site and intended development; the site must have at least 5,000 sq. meters.
    • A Letter of Intent addressed to the Secretary, through the DA-Regional Executive Director.
    • A project proposal showing feasibility, including the name and qualification of the proposed manager/supervisor of the MF.
    • A Sanggunian Resolution supporting the MF for specific sites and committing to provide needed financial counterpart to sustain MF operation.
    • A Sanggunian Resolution authorizing the Local Chief Executive to enter into an agreement with the Department of Agriculture and approving said agreement.

Implementation mechanics and approvals

  • Documentary requirements must be submitted to the Office of the Regional Executive Director (RED) of the DA Regional Field Office (DA-RFO) with jurisdiction over the LGU.
  • Upon receipt of complete documentary requirements, the DA-RFO evaluates the proposal and submits a recommendation within ten (10) days.
  • The DA-RFO transmits to the Office of the Secretary a recommendation to approve or disapprove, stating the basis, after evaluation.
  • The Office of the Secretary forwards the approved/disapproved proposal to the Office of the Agri-Pinoy National Livestock (NLP) Program.
  • The Agri-Pinoy NLP notifies the DA-RFO RED and the LGU applicant of the approval/disapproval.
  • If approved, preparation of a memorandum of agreement starts to effect fund transfer for the financial support indicated in the proposed project.
  • LGUs must strictly use the funds for MF establishment in accordance with government rules and regulations and Republic Act No 9184.

Offspring distribution and technical support

  • The female offspring of the animals belong to a pool for distribution to qualified recipients.
  • The male animals, except those selected for breeding purposes, may be sold or distributed for fattening and subsequent slaughtering.
  • National livestock agencies, the Agricultural Training Institute, and DA-RFO provide technical assistance to recipients as needed for implementation aspects.
  • DA-RFO through its Agribusiness and Marketing Assistance Division (AMAD) provides guidance to LGUs on setting up market structure and linkages for produce of LGU recipients.
  • During LGU operation, the MF must maintain the original inventory indicated in the approved project document to achieve project targets.

Project costs by MF module

  • The project sets separate module cost requirements, with LGUs shouldering costs outside the support of the Department of Agriculture for each module:
    • Native Chicken Multiplier Farm:
      • Total cost: PHP253,060 for establishment, necessary capital outlay, initial MOOE, and capability building.
      • Capital and MOOE items include:
        • Support to forage development: MOOE 30,000 (incubator (300 capacity)), plus CO 35,000 (incubator), CO 3,000 (weighing scale 5kg cap), and MOOE 15,000 (net and wire fencing for holding shed).
        • Housing: CO 35,000.
        • Drugs and biologics: MOOE 5,060.
        • Capability building: MOOE 20,000 with quantity 5 (total 100,000).
        • Chickens: unit CO 500 for quantity 60 (total 30,000).
    • Sheep/Goat Multiplier Farm:
      • Total cost: PHP592,250 for establishment, capital outlay, initial MOOE, and capability building.
      • Capital and MOOE items include:
        • Housing: CO 200,000.
        • Fencing: CO 50,000.
        • 10 heads does and 2 males stocks: unit CO 15,000 for quantity 12 (total 180,000).
        • Insurance: MOOE 600 for quantity 12 (total 7,200).
        • Support pasture development: MOOE 50,000.
        • Drugs: MOOE 5,050.
        • Training: MOOE 20,000 with quantity 5 (total 100,000).
    • Honeybee Multiplier Farm:
      • Total cost: PHP240,000 for establishment of one MF of 10 colonies, starter kit/colony, and capability building.
      • Other additional costs outside DA support are shouldered by the LGU.
      • Package includes nucleus colony (queen, drone, worker, guard, etc.) and honey production and storage supplies/accessories (top box, housebox, wax foundation, brood frames, smoker, spatula, etc.).
      • Costs include:
        • One package colony: CO 20,000 unit for quantity 10 (total 200,000).
        • Training: MOOE 2,000 unit for quantity 20 (total 40,000).
    • Native Pig Multiplier Farm:
      • Total cost: PHP288,690 for establishment, capital outlay, initial MOOE, and capability building.
      • LGU shoulders costs outside DA support.
      • Costs include:
        • Stock delivered: CO 6,000 unit for quantity 11 (total 66,000).
        • Insurance: MOOE 240 unit for quantity 11 (total 2,640).
        • Housing (20 sqm): CO 55,000.
        • Fencing: CO 50,000.
        • Support to pasture establishment: MOOE 50,000.
        • Training: MOOE 20,000 with quantity 3 (total 60,000).

Recipient eligibility for distribution

  • LGUs select the recipient of its MF.
  • MF recipients may be individuals, community-based organizations, and state universities and colleges (SUCs).
  • Recipients must:
    • Have experience in handling animals.
    • For all recipients other than SUCs, be willing to undergo training in animal management.
    • Take care of animals and other inputs provided by the project to the best of ability and resources.
    • Provide optimum nutrition and health care to animals as advised by competent technician/veterinarian.
    • Be ready and willing to comply with contract terms, including provisions on repayment or delivery of the offspring to the MF.
    • Have no delinquent record or non-compliance in MOA entered with the DA and DA-RFO projects.

Duties and responsibilities of DA and LGU

  • For the first year of MF establishment, DA must:
    • Provide inputs including animals, biologics, housing, and insurance (animal).
    • Support capability building through the Agricultural Training Institute.
    • Monitor the status of the MF and its inputs.
    • Prepare an MOA between DA, LGU, and the LGU next-in-line recipient.
    • Effect transfer of project funds to the LGU.
    • Provide animal insurance in favor of DA for the first year only.
  • The LGU must:
    • Provide yearly financial allocation for labor, feeds, utilities, and other needs for MF maintenance.
    • Provide necessary manpower and supervision for day-to-day operations.
    • Select responsible recipients for distribution of animals produced in the MF.
    • Maintain simple records for the MF and submit regular reports to DA through the DA-RFO on inventory, mortality, and distribution.
    • Provide needed information to DA monitoring activity.
    • Receive needed transfer documents of inputs provided by DA.
    • Provide insurance for succeeding years.

Reporting, monitoring, and coverage systems

  • The implementation of the intervention is covered by the regular monitoring and reporting systems under the Agri-Pinoy Livestock Program and that of the Department of Agriculture as a whole.

Penalties and sanctions

  • The Memorandum Order does not impose penalties or sanctions for non-compliance.

Repeal, separability, and transitory effects

  • The Memorandum Order provides that it supersedes inconsistent issuances.
  • The Memorandum Order takes effect immediately upon signing.

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