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CONTENT
I.     INTRODUCTION:
       1. Background
       2. What is Cassava?
       3. Why Cassava ?
II.    FARMERS AND CASSAVA IN ASEAN :
       1. Farmers in ASEAN
       2. Cassava in ASEAN
III.   CASSAVA BUSINESS IN ASEAN :
       1. Cassava Trading in ASEAN
       2. Cassava Industry in ASEAN
       3. Cassava : Prosperity for All
IV.    FUTURE            CASSAVA          BUSINESS
       DEVELOPMENT IN ASEAN :
       1. Organization
       2. Management of Cassava Business
V.     CONCLUSION:
       1. Cassava for Farmer’s Prosperity
       2. Cassava for All
FIGURES
REFERENCES
AUTHOBIOGRAPHY OF PRESENTER

                          1
I. INTRODUCTION

  1. Background .

  ASEAN countries mostly are developing countries in the tropical
  areas with two sessions during the year, dry session and wet or rainy
  session. It rich with biodidersity of plants and animals. It rich with
  volcanous mountain and with long beach, especially in Island
  Developing Countries like Indonesia and the Philippines. Natural
  resources are aboundant in ASEAN Region as a whole.

   All ASEAN countries, except Singapore, are agrarian countries,
  which are the income of the people mostly come from agriculture.
  From about 500 million people life in ASEAN region, not less than
  60% are farmers and peason , where their life very depending on
  agriculture. There are some very important crops to ASEAN People in
  supporting their life, such : rice as a staple food, cassava as a
  staple food when the food crisis is occured in the regian, corn
  mainly for animal feed, soybean as a source of protein ( to make
  tempe and taufu for human consumption ), and many other local food
  crops are available and varied from place to another place in ASEAN
  countries.

  The increase in population and the growing urbanization of the
  developing world, including ASEAN, will lead to significant global
  changes and new challenges for feeding the increasing population.
  On the basis of current projections, it is expected that by 2020
  cassava will be increasingly used in processed form for food, feed
  and starch-derived products. From a global perspective, non-food and
  non-feed uses of cassava will also grow in volume as a result of
  biotechnology research that enhances varietal characteristics and
  lowers its cost as a source of raw material. Thus, business
  opportunities for the uses of cassava as a human food, animal feed
  and industry raw material exist both in the domestic as well as export
  markets and, if well exploited could, offer good returns and
  investment.
                                   2
ASEAN countries should be regionally integrated — it’s about time.
But the process should consider the following:

1. more power should be given to farmers’ groups; we should be able
    to influence and participate in policy-making processes, both at
    the national and regional levels. For this, we have to build the
    capacities of farmers’ groups to the governments
2. need for a transparent process
3. there must be a subsidizing mechanism like the CAP of EU
4. integration must be a collaboration of government, private sector
    ,grassroots groups, including farmers’ groups, and other civil
    society organizations
5. must be pursued, but based on common interests, common
    principles, mutual benefits, and mutual respect
6. should enhance voice of small countries
7. integration must start with sub-region cultures first understanding
    each other; promoting common language (Malay language for
    Indonesia, Malaysia, Philippines)
8. implement common projects and programs, share information and
    resources
9. should be pursued in all aspects, not only in industry or post-
    industry, but also in other important ones, i.e. Agriculture,
    economy, etc

ASEAN is embarking on building an ASEAN Economic Community
(AEC) by 2015, which will be a single market and production base. In
the process of working towards the AEC, the enhancement of
competitiveness of food, agricultural and forestry products in
international markets, and the empowerment of farmers through the
promotion of agricultural cooperatives has become regional priorities.
Emerging and cross-cutting relatedissues such as food security,
mitigation and adaptation of climate change to the agriculture and
forestry sector, and sanitary and phytosanitary (SPS) are also part of
the priorities.

Initiatives towards the Realisation of ASEAN
Integration
Through the harmonisation of quality and standards, assurances of
food safety, and standardisation of trade certification, ASEAN
agricultural products are expected to be ready to compete in the
global market by offering safe, healthy and quality foods. ASEAN has
been developing good agricultural practices (GAP), standards for the
                                 3
production, harvesting and post-harvest handling of agricultural
produces, the ASEAN maximum residue limit of pesticides, criteria for
the accreditation of livestock and livestock products establishments,
guidelines on good management practices for shrimp, and a code of
conduct for responsible fisheries to be used as references for
developing national priorities and means to support the agro-industry.

Ensuring food security continues to be the fundamental goal of
ASEAN. In response to the increasing concern on food security
in the region recently, the ASEAN Statement on Food Security,
ASEAN Integrated Food Security (AIFS) Framework and
Strategic Plan of Action on ASEAN Food Security (SPA-FS) have
been adopted to ensure long-term food security and to improve
the livelihoods of farmers in the ASEAN region. One of very
important and very demanding Food Crops,           by ASEAN
Cummunity, in supporting the ASEAN Integrated Food Security
(AIFS), is CASSAVA .


2. WHAT IS CASSAVA ?

Cassava originated in Brazil and Paraguay. Today it has been given
the status of a cultigen with no wild forms of this species being
known.

Cassava is a perennial woody shrub, grown as an annual. Cassava is
a major source of low cost carbohydrates for populations in the humid
tropics. The largest producer of cassava is Brazil, followed by
Thailand, Nigeria, Zaire and Indonesia. Production in Africa and Asia
continues to increase, while that in Latin America has remained
relatively level over the past 30 years. Thailand is the main exporter
of cassava with most of it going to Europe. It was carried to Africa by
Portuguese traders from the Americas. It is a staple food in many
parts for western and central Africa and is found throughout the
humid tropics. The world market for cassava starch and meal is
limited, due to the abundance of substitutes.

      Cassava is a root crops, generally it well known by rural people
in developing countries, including in ASEAN member countries. It is
very common be called in the lathin name, Manihot utilissima Pohl or
Manihot esculenta Crantz. In the International trade, it has meny
names , such as : cassava ( English ); yuka ( Spain ); mandioca (
                                 4
Portugese ); and cassave ( Dutch ). I believe there are many other
   names in different countries, like in ASEAN Countries as well, in the
   Philippines, it is commonly called as kamoteng kahoy or balinghoy; in
   Indonesia commonly called as Singkong; even in one Country like
   Indonesia, it has also many difference names according to the region,
   for example : kaspe ( Central Java ndonesia); telo puhung ( East
   Java, Indonesia ); and sampeu or dangdeur or singkong ( West Java,
   Indonesia ).




         Figure-1 : Cassava stalks, Darul Hidayah   Figure -2 : Cassava
trees,




                      Figure -3 : Cassava Vietnam

   Description

   Unprocessed cassava root

   The root is long and tapered, with a firm homogeneous flesh encased
   in a detachable rind, about 1 mm thick, rough and brown on the
   outside. Commercial varieties can be 5 to 10 cm in diameter at the
   top, and 50 to 80 cm long. A woody cordon runs along the root's axis.
                                           5
The flesh can be chalk-white or yellowish; raw cassava tastes like a
mixture of potato and coconut flesh, it breaks like a carrot, and
darkens quickly upon exposure to the air. For this reason, the skinned
root must be kept under water until it is ready to be cooked. The root's
flavor spoils in a day or so, even if kept unskinned and under
refrigeration, which is a problem for supermarkets. A solution is
usually to freeze it or seal it in wax.




                     Figure 4 : Cassava




Figure 5 : Cassava –Manggu ( Subang, West Java, Indonesia )


The cassava plant gives the highest yield of food energy per
cultivated area per day among crop plants, except possibly for
sugarcane. Cassava roots are very rich in starch, and contain
significant amounts of calcium (50 mg/100g), phosphorus (40
mg/100g) and vitamin C (25 mg/100g). However, they are poor in
protein and other nutrients. In contrast, cassava leaves are a good
source of protein if supplemented with the amino acid methionine.

                                           6
The oldest evidence of cassava cultivation comes from a 1,400 year
old Maya site, Joya de Ceren, in El Salvador.[1] although the species
Manihot esculenta likely originated further south in Brazil and
Paraguay. With its high food potential, it had become a staple food of
the native populations of northern South America, southern
Mesoamerica, and the West Indies by the time of the Spanish
conquest, and its cultivation was continued by the colonial
Portuguese and Spanish. Forms of the modern domesticated species
can be found growing in the wild in the south of Brazil. While there
are several wild Manihot species, all varieties of M. esculenta are
cultigens.

In many places in the Americas, yuca was the staple food. This
translated into many images of yuca being used in pre-Colombian art.
The Moche people often depicted yuca in their ceramics.



3. WHY CASSAVA ?

The Cassava is a plant with a lot of usefulness, especially it’s “root” or
generally called “Cassava Root” which is the most importance part of
cassava plant. The cassava root, other than being edible as food, it
also used as the raw materials in agro-based industry, animal feeds
and industrial purposes as follows.

It is used in various industries, for instance,

•   Food and Beverage: The cassava starch will be used in both its
    original form and its other modified forms, for instance, the instant
    noodle, sago, seasoning sauce including beverages;
•   Sweeteners: They are glucose and fructose which are used as the
    sweeteners in the beverage industry;
•   Textile Industry: It is used for slipping the thread and to make the
    thread being without hair during the weaving and to fortify the
    thread including the cloth printing in order to make the cloth being
    shining and durable;
•   Paper Industry: To mix it with the paper in order that the paper
    pulp to be tough and thick;
•   Glue Industry: To use it for producing glue including any products
    that’s their mixture is the glue;


                                   7
•   Plywood Industry: To use it in form of glue made from cassava
    starch in the process of plywood manufacture in order to make the
    plywood becomes qualified, tough and durable;
•   Medicine Industry: To use it as the diluent of capsule medicine and
    pill;
•   Monosodium Glutamate: To use it for producing the MFG for
    seasoning food;
•   Bio-Degradable Material Products: To use the cassava starch to
    be transformed as product by mean of adding the bio-degradable
    substance to be in place of plastic.
•   Animal Feeds: It is used as the ingredients of animal feeds;
•   Alcohol: It is used for producing alcohol for the liquor manufacture
    and the disinfectant.
•   Gasohol: To be used for producing Ethanol and mixed with fuel
    which is a renewable energy source




Cassava Root




•   Cassava starch
•
•
•
•
•
•
                                  8
•
Cassava has a function to support the food diversification and food
self reliance. The choice made due to the various fuction of cassava,
such as for food, feed , fuel and other industrial function, including for
degridable plastic. In fact that cassava has a multi function.

Regarding food utilization, widespread initiatives have been
undertaken in many vulnerable countries that target cassava to meet
more of the dietary staple needs. This is particularly evident in sub-
Saharan Africa, where consumption of cassava (mostly in the form of
fresh roots and basic processed products) is on the rise. However,
the overall production gain in the region is expected to barely match
growth in population, bringing about little change in per caput food
availability. Measures to promote domestic cassava flour over
imported cereals, either through direct consumption or through
blending remain active throughout the world and constitute an
important driver for higher cassava food consumption. Brazil
mandates the inclusion of 10 percent cassava flour in wheat flour and
it is estimated that 50 percent of the country's cassava crop is utilized
in such blending. Though several major producing countries in West
Africa have also promoted this initiative, especially Nigeria, many
have fallen short of enforcement, owing to the limited availability of
cassava flour.

The demand for cassava by ethanol sectors will again emerge as the
most significant driver in the expansion of cassava utilization. A
typical production system can produce about 280 litres (222 kg) of
96 percent pure ethanol from one tonne of cassava roots with
30 percent starch content. China is forecast to produce around
5 million tonnes of ethanol from cassava in 2009, requiring around
7 million tonnes of dried cassava. The country has also secured
agreements with several neighbouring countries to supply its ethanol
industry with the feedstock. In Thailand, an ethanol plant with a
capacity to produce up to 0.5 million litres of ethanol per day was due
to go on-line in 2008, but, owing to rising costs during that year,
construction was suspended. However, the ethanol facility is
expected to start production late in 2009. Thailand requires around
2 million litres of ethanol to meet its 10 percent fuel substitution plan.
Likewise in Indonesia, cassava is set to be used in 5 percent ethanol
mandatory gasoline blends. With soaring prices of competing
feedstocks, sugar and molasses, cassava-based ethanol distilleries in
both countries are expected to operate at full capacity.
                                  9
Utilization of cassava as animal feed, in the form of dried chips and
  pellets, is mostly concentrated in Brazil and Colombia in Latin
  America and the Caribbean, Nigeria in Africa, China and the Republic
  of Korea in Asia. Little is known how feed usage has faired in the
  former two regions, but the demand for cassava feed ingredients in
  Asia has plummeted. Similarly, in Europe, cassava applications in the
  manufacture of feed ingredients have been virtually non-existent in
  2009.

II. FARMERS AND CASSAVA IN ASEAN

  1. FARMERS IN ASEAN :

  Farmers in ASEAN generally are small farmers with limited land
  holder for their farming. There are living in rural areas with other rural
  community . Their education are relatively low, pliminary school up to
  secondary high school. There are very limited graduated from
  university.

  The income of the farmers in ASEAN Countries are most relatively
  low, some times difficult to meet the family needs, such for food,
  cloths, education, etc.

  Asean Farmers Asosiation (AEA) :

  AFA( Asean Farmers Asosiation ) is a regional alliance of farmer
  federations and organizations in eight countries in East Asia,
  representing ten million farmers. As a regional organization, its aim to
  be:

  1. an advocacy group on farmers’ rights and development, at
     national, regional And international levels
  2. facilitator of our members’ commercial activities
  3. a venue for solidarity and exchange

  The members are in Indonesia, Philippines, Thailand, Cambodia,
  Vietnam, South Korea, Japan and Taiwan. The organization hopes
  to expand its membership to other East and South Asia countries in
  the next three years.

  Farmers’ Situation and Issues

                                    10
1. Asia is the world’s largest and most populous continent, with more
than 60% of total human population. It is the largest consumer of rice;
it has the most extensive forestry and fishery resources as well.

2. The farming population in Southeast Asia is on the average 40-
80%, as compared to Europe, which has only 5% farming population,
and US, 1.7%.

3. As of 2002, the population of poor people or those who earn less
than US$ 1/day is 1.2 billion, of which 75% (or 900M people) is found
in the rural areas, and in which 600M people alone are found in
rural South Asia.

4. The poverty situation in ASEAN countries (2002) range from 32%
in Thailand up to 77.7% in Cambodia, mainly from the rural areas.

5. The typical farmer in East and South Asia is :

small scale, subsistence farmer , working on lands less than 2
hectares , either a man or a woman.

6. The Farmers main problems are:

a. lack of access and control over natural resources, mainly land and
   water. If farmers do not own the lands for their farming , farmers
   cannot decide on how best to use them for their own benefit.
   Farmers will remain to be poor however big the income from the
   farm will be, as much of the income go to the landowners.
b. insecure incomes and massive displacement due to global
   agricultural trade liberalization. Advocates of free trade promised
   development to developing countries. But our experience in the ten
   years of implementation of WTO, and ASEAN economic
   integration through free trade, say that this is not so. The rules of
   global agricultural trade are unfair. It is like Sumo wrestling where
   one contestant weighs 200 kilos, and the other, just 50 kilos.
   Agricultural products from the developed countries are heavily
   subsidized, thus they are sold cheaper in our markets.
   Governments of developing countries subsidize very little, if at all.
   We can hardly compete. The entry of cheap agricultural products
   in our countries have lowered our incomes and made us more
   insecure. Many of us have lost our livelihoods.
c. food security risks We are asked to plant export crops –
   asparagus, cut flowers, etc. But many of us are afraid to do this,
                                 11
because we do not know how to plant them, we don’t have the
     capital, and we don’t know where to sell them. We want to plant
     staple crops because at least we will be assured we will have
     something to eat. If our countries will depend on imports for even
     our staple food, like rice, chicken and vegetables, what will happen
     to us if suddenly there is shortage of supply from them? Even if we
     will have the money, we will go hungry.
d.   increasing dependence on big national and transnational
     agribusiness corporations -Agriculture technologies being
     promoted by governments rely more and more on seeds, systems,
     inputs produced and sold by big agribusiness corporations.
e.   climate change – We are becoming more and more vulnerable to
     global climate change. We still do not know how we can cope us
     with the effects of global warming in our farms and communities.
f.   inadequate government support to agriculture, specially to small
     men and women farmers- We find governments’ inadequate
     support
g.   weak organization of farmer’s groups and representation in
     government decision making bodies – except in Vietnam and
     Korea, only 10-20% of farmers are organized , able to put a
     significant number of people in government offices.

Our Bases of Unity

Farmers’ organizations came together in AFA to promote an 8-point
peasant agenda, which includes:

1. promote sustainable agricultural policies and practices
2. study and promote alternatives to globalization
3. promote agriculture towards the young
4. promote fair and just treatment of farmers in developing countries
5. promote food security measures to small farmers
6. promote farmer-to-farmer market exchanges
7. push for an ASEAN provision on access to farm resources, and
   rural development and protection of human rights
8. strengthen AFA at national and regional levels, so it becomes able
   to participate in international development processes.

Current Efforts in Advocacy and On-Ground Projects

In promoting the above agenda, one of our strategic aims is to
influence key inter-governmental regional and international decision-

                                   12
making bodies on common agricultural issues affecting small men
and women farmers, namely:

a. ASEAN economic integration, including ASEAN charter and FTAs
   with various countries
b. GATT-WTO-AoA /Doha Round
c. FAO – for pro small farmer policies and programs and support to
   on-ground SA projects
d. IFAD Farmers’ Forum – for genuine representation of farmers in
   agricultural policies and programs , and for support for capacity
   building work and on-ground poverty alleviation projects
e. WB – for more pro-small farmer agricultural framework and
   policies We also would like to be actively involved in discussions
   about climate change and bio-fuels, as these emerging issues are
   likely to impact seriously on us.



2. CASSAVA IN ASEAN:

Cassava grow in all countries in ASEAN Region. Most people in rural
areas, farmers and non farmers are very familier with cassava. Many
rural people very depending on cassava. Their live, school of their
children are supported by cassava.

CASSAVA IN BRUNEI DARUSSALAM.

OFFICIAL NAME           : Sultanate of Brunei
CAPITAL                       : Bandar Seri Begawan
SYSTEM OF GOVERNMENT          : Absolute Monarchy
AREA                    : 5,765 Sq Km (2,226 Sq Mi)
ESTIMATED 2000 POPULATION     : 318,000




                        LOCATION & GEOGRAPHY: Brunei is
                        located on the northwest coast of the island

of Borneo in South East Asia. It is bound by the South China Sea to
the north and the Malaysian state of Sarawak to the west and south.
The country is divided into two separate enclaves by Sarawak with
the main part to the west containing the Brunei-Muara, Tutong and
                                13
Belait districts while the east contains the Temburong district. The
terrain in the western enclave consists of hilly lowlands and the
eastern enclave contains a wide coastal plain that rises to the
mountain regions of Sarawak. Equatorial rain forests which are very
dense in some places cover 75% of the land area and mangrove
swamps as well as sandy beaches lie along the coastal plains. Major
Cities (pop. est.); Bandar Seri Begawan 46,000, Kuala Belait 21,200,
Seria 21,000, Tutong 13,000 (1991). Land Use; forested 86%,
pastures 1%, agricultural-cultivated 1%, other 12% (1993).



ECONOMY: Gross National Product; USD $4,001,000,000 (1993).
Public Debt; nil. Imports; BD $2,280,700,000 (1992). Exports; BD
$3,630,200,000 (1992). Tourism Receipts; USD $35,000,000 (1990).
Balance of Trade; BD $1,946,000,000 (1992). Economically Active
Population; 111,955 or 43.0% of total population (1991).
Unemployed; 4.7% (1991).

MAIN TRADING PARTNERS: Its main trading partners are Japan,
Thailand, Singapore, South Korea and other ASEAN countries.

MAIN PRIMARY PRODUCTS: Bananas, Cassava, Coffee, Fish, Oil
and Natural Gas, Rice, Timber.



CASSAVA IN CAMBODIA
Kompong Cham Province

Cassava is a plant originally coming from South Africa. From there
it was spreading to various tropical and sub-tropical regions. Cassava
is a crop that can be processed into many other products such as
ethanol, animal feed or cassava starch/flour for human consumption.

Cassava, cultivated as a family-business, can be found mostly in the
districts of Memot, Tambeir and Tbaung Khmom in Kampong Cham
Province.

-Production: Cultivated area is 62,300          ha,   yields   amount
approximately to 1,006,816 tons/year.

-Markets: Local processing companies and export to Vietnam as a
dry chip.
                                14
CASSAVA IN INDONESIA

In Indonesia, cassava is classified officially as a food crops, so its
development should be under the respondibility of Ministry of
Agriculture. Almost all cassava roots and their derivative products (
e.g. chips, pellets, starch, food, feed and chemicals ) are traded or
processed in other sectors, outside the jurisdiction of the Ministry of
Agriculture. As trading and/or processing activities affect the cassava
grower, directly or inderectly, any attempt to resolve cassava
production problems by only focusing on its cultural practices will
fail.A holistic view and approach through integrating all related parties
concerned( cassava growers, traders, processors, and consumers)
as a continuum is unavoidable.

Cassava is grown mainly by small farmers who use labor-intensive
methods. Due to its wide adaptability, cassava can be grown over a
wide range of soil and climatic conditions as well as levels of
management. However, most areas allocated to cassava are
uplands, characterized by marginal soil fertility, with sloping or
undulating topography, underdeveloped infrastructure ( especially
transportation ), and a number of other relatively unfavorable
circumstances.

Most cassava in Indonesia is produced by small farmers that are
weak in resources endowment , either in economic or social terms.
Little purchased inputs, especially chemical or inorganic fertilizers,
are applied, and as a result cassava production is frequently blamed
as the cause of soil degredation. The crops is mostly grown in upland
areas with undulating topography. Since its planting time should be
compatible with the distribution of rainfall, the flexibility in planting and
harvesting time is limited. As a consequence, the existence of a peak


                                   15
in planting and harvesting time is difficult to avoid. Abundance of
cassava roots during the peak harvesting time results in low prices.

From an individual farmer’s point of view, his income is determined by
his productivity level. Logically, any improvement in productivity
should increase farmer’s income. However, this rarely happens,
because the price is governed by total amount of roots produced . As
price fluctation is the result of supply and demand imbalance, any
decrease in price can be perceived as an indicator of limited demand.
There is a belief that cassava farmers, especially the low income
groups, are trapped in a vicious cycle : changes in yield-planted area
production, are countered by changes in prices which go up and
down. This condition in turn prevents farmers from improving their
income.

If the opinionthat demand is the most important limiting factor for
production growth is true, the best solution should be a demand led-
strategy. Demand for cassava in Indonesia is mainly in the areas of
food., industry ( mainly processing of starchand starch-based
products), export and feed. Future prospects for using cassava as
food will depend mainly on : (1) rice availability, since rice is the most
preferred staple food for Indonbesian people; and (2) cassava
product development activities , as the social bias against cassava as
being a food for the poor is strong and real. The existence of starch
processing and starch –based industries, especially on a large scale,
have been present for some time., but their role in improving farmers’
wefare should be questioned. The growth in cassava exports will face
two barriers: first, strong competition from Thailand, and secondly, the
domestic price. Demand for cassava as a raw material for production
of feed depend on its price in relation to that of maize.

It can be concluded that from the growers view point cassava is
a cash crop rather than a subsitence crop, and therefore the
crop is a source of income rather than a source of food. As a
consequence, every effort to improve the crop’s performance should
strife to ensure an increase in the grower’s welfare. In addition, there
has no be a significant increase in net income for individual farmers,
                                  16
due to correct balance between production and demand. In fact,
economic and social issues are the principal constraints.
Unfortunately, these two issues are beyond the farmer’s
control.Concerted effortsamong farmers, government and non-
government organizations, research and development agencies, and
others are urgently needed. While technical expertise should
continously be improved, much is known already to help increase the
present productivity level towards its full yield potential.



CASSAVA IN MALAYSIA

In Malaysia, the processing of sago starch predates that of cassava,
having been established before 1416. With its introduction, cassava,
which is a much shorter term crop, quickly replaced sago palm as the
preferred raw material among starch processors. Hence, except for
a small amount serving the fresh food market, cassava is planted in
Malaysia mainly for starch processing.            The cassava area in
Peninsular Malaysia has declined steadily to 1,631 ha in 1997 after
peaking in 1976 at 20,913 ha. This decline is due to the curbing of
illegal cultivation; land alienation policy with a bias against cassava;
switching from cassava to more lucrative crops; rising costs of
production; low prevailing price for cassava roots; and competition for
land for agricultural and non-agricultural activities during the
economic boom prior to July 1997. Of the eight starch factories
reported in Perak in 1984, only two are still in operation. Recently, in
Sabah, a starch factory opened to process roots supplied through
contract farming from an area of more than 3,000 ha.            In trade,
cassava starch takes the form of flour, flakes, pearls and starch
powder. There is a growing demand for starch with imports
amounting to 88,210 tonnes in 1997.

Most of this starch is used in food industries, particularly for making
monosodium glutamate (using about 3,000 tonnes of starch per
month). Other significant users are manufacturers of glucose, bakery
and biscuit products, textiles and paper. There is also increasing
                                  17
interest in growing edible varieties of cassava for processing into
snacks.

The future potential in terms of domestic demand for cassava starch
is very good. Since the onset of the economic downturn faced by
Southeast Asia, the Malaysian government has actively encouraged
agriculture (to offset the country's huge food import bill amounting to
almost US$ 2.9 billion a year) by providing easier access to farmland.
There is recent renewed enthusiasm for planting cassava for
production of starch, dried chips for livestock feed and sweeteners
(high fructose glucose syrup or HFGS). For large-scale mechanized
cassava production, certain prerequisites of soil type, terrain, climate
and farm size matching the factory's capacity, must be

satisfied. While land is hard to come by in Peninsular Malaysia, more
than 80,000 ha of land are still available in Sabah.

Starch is the most likely product to be feasible and profitable in the
immediate future compared to dried chips and HFGS production,
because of a high demand in the local market, and a well-established
technology for starch processing. Stable, high-yielding varieties with
intermediate to high starch content to ensure higher starch recovery
are required; better still if they can be harvested early.

The potential of using cassava as a carbohydrate-rich animal
feedstuff is promising, but being low in protein compared to maize,
additional protein is required from another source, entailing extra
costs. Also, it is costly to dry cassava by artificial means. Although it
is technically possible to produce HFGS from cassava, it involves
converting starch by enzymatic processes – a complicated and
expensive procedure. This does not seem economically feasible in
the immediate future, given the current low world price for sugar.
Instead, modified starches and their products have very good future
potential as profitable agro-based industries. Modification of starches
not only expands their scope of utilization by altering their physico-
chemical characteristics, but also increases their value as compared
to native starch.
                                  18
An alternative use of cassava, which has some prospects, is the
production of snack foods. Although oil-fried crisps and crackers are
traditional snacks produced by cottage industries, only recently have
attempts been made by larger food processors to improve their
quality and packaging, and to target the more up-market urban
consumer and overseas market. Preliminary work at MARDI has
shown that cassava makes a very good raw material for extruded
snacks.

CASSAVA IN THE PHILIPPINES

Cassava (Manihot esculenta, Euphorbiaceae.) is a perennial shrub
native to South America that is now grown throughout the tropics.
Other common names for cassava are tapioca, mandioca, manios,
sagu, yuca. In the Philippines, it is commonly called as kamoteng
kahoy or balinghoy. It is a major source of calories for some 300
million people in the developing countries of the world. It is one of the
world's most efficient converters of solar energy to carbohydrates.

Cassava is grown both as a single crop, and in combination with
sorghum, maize, groundnuts, cowpeas, yams, sweet potatoes ,
upland rice and certain other vegetables.

 Plant only high varieties and according to needs. For starch, VC-1,
VC-2, VC-3, Datu, Lakan or Golden Yellow can be used. For food, or
feeds, use only Lakan or Golden Yellow varieties.

Select only fresh, mature or healthy stems. The planting materials are
considered fresh if the latex or sap comes out within six (6) seconds
after cutting and mature if the diameter of the pith or cork is not more
than half the diameter of the cortex. It is considered healthy if it is
pest-free and the diameter of the stem is not loess than 1.5 cm.

Obtain stalks from a healthy stand which is at least eight (8) months
old. Rouge out other varieties that are mixed with the recommended
varieties if any. Use a saw or bolo to prepare cuttings at 20-30cm
long. Keep the stalks for not more than five days, under shade in
upright position. Handle carefully and do not throw cuttings to avoid
damage to the nodes. Do not use cuttings stored for more than 5
days.

                                  19
CASSAVA IN THAILAND.

Traditionally an agrarian economy with rice as its main product, the
country's agricultural sector has since expanded to cope with the
demands of its newly industrialized state. Thai agriculture has a clear
advantage over other newly industrializing economies, namely the
large portion of land allocated for cultivation, a climate suited to the
growth of a wide variety of crops, and high quality strains of
agricultural products.

Cassava production is anticipated to record strong growth in Asia,
much on account of Thailand, where, according to officials, a
20 percent rise in production is foreseen in 2009, exceeding
30 million tonnes for the first time. The international market for Thai
cassava products has traditionally been the main growth driver for the
country's crop, but concerns over subdued demand abroad prompted
the Government to intercede heavily in the sector, through reinstating
its usual price insurance and intervention purchase scheme, as well
as granting preferential credit to farmers. However, the fiscal strain of
supporting the agricultural sector has led the Government to launch in
November an 'agricultural options programme', in place of the price
pledging or insurance scheme. The programme seeks to remove
some of the distortionary effects of price supports and will encourage
quality over quantity. It will also minimize a longstanding problem of
cross-border subsidization of agricultural production, whereby roots
from neighbouring countries have been able to benefit from minimum
prices. Against the backdrop of falling domestic root prices during the
planting period, these incentives (or at least the expectations of
continued strong support) were largely behind the record cassava
area in 2009, but expectations of robust demand for the crop as a
feedstock for ethanol in domestic and neighbouring distilleries have
also played a role.




CASSAVA IN VIET NAM
                                  20
In the News: Pest and disease crippled Cassava production in
  SE Asia

  International Center for Tropical Agriculture CIAT scientists and their
  partners in Southeast Asia have issued urgent preliminary guidelines
  to tackle deadly pest and disease outbreaks that have crippled
  cassava production in parts of the region.

  The move follows a CIAT investigation into reports from Thailand’s
  eastern and northeastern regions, of damaged and stunted cassava
  plants with low root yields.

  Cassava is an essential pro-poor crop in the region, where it is grown
  by around 5 million smallholders, mainly to supply the starch
  processing and animal feed industries. In Thailand alone, the industry
  is worth US$1.5 billion, and the country accounts for three-quarters of
  the world’s cassava exports.



III. CASSAVA BUSINESS IN ASEAN
     1. Cassava Trading

  Cassava exports rise on ASEAN demand


  Demand from Thailand and Vietnam helped to drive up the Kingdom’s
  cassava exports 88 percent in the first three months of 2011,
  compared to the same period last year, according to Camcontrol, a
  division of the Commerce Ministry.

  Cassava exports between January and March totalled 204,618, up
  87.7 percent from 108,987 tonnes in 2010.

  Higher prices also helped to boost export revenues for Cambodia.

  Revenues for the period equalled US$9.9 million, or about a 143
  percent increase from last year’s $4.1 million.

  Khuon Savuth, director of Camcontrol, tied the rise to demand from
  the Kingdom’s larger neighbors and said the increasing prices are
  pushing more and more farmers to plant cassava.

                                         21
“The high price of cassava not only improves the living standard of
people but also upholds the national economy.”

Chhorn Saroem, President of Chey Chamroeun Company, which
exports agricultural products to Thailand, said the increased farming
boosted her cassava shipments in the first three months of the year
50 percent higher than the same period last year.

“This year the farmers throughout Pailin province flock to cultivate
more cassava than other crops because of high price,” she said.

She added that a tonne fetched 370,000 riels this year compared to
110,000 riel last year.

Khiev Sophet of Pailin, who typically grows corn, said he emphasised
cassava this season because of its higher price. He said, even with
the increased farming of the crop, “I believe the price should hold for
next year.”

According to data from Camcontrol, Cambodia’s cassava exports in
2010 totalled just 165,229 tonnes worth $12 million.

Global cassava production in 2009 is forecast at 242 million tonnes,
4 percent above the record of the previous year. The high price
episode of 2007/2008 for traded food staples reminded policy-makers
in many vulnerable countries, as well as the international community,
to look toward indigenous crops as an alternative source to potentially
expensive and volatile cereals. Among these crops, cassava has
been at the forefront. As a 'crisis crop', cassava roots require few
inputs, can be left in the ground for well over one year and harvested
when food shortages arise or when prices of preferred cereals
become prohibitive. These attributes are behind an anticipated
expansion of output in Africa, of about 3 percent, to some
121.5 million tonnes in 2009.

Table 1. World cassava production
                           2006        2007        2008*         2009**



   WORLD                    224         217         233 391       242

                                  22
483         536                069

                         117         104                121
Africa                                       118 461
                        449         952                469

Nigeria                 45 721      34 410   42 770    45 000

Congo, Dem. Rep.
                        14 989      15 004   15 020    15 036
of

Ghana                   9 638       9 650    9 700     10 000

Angola                  8 810       8 800    8 900     9 000

Mozambique              6 765       5 039    8 400     9 200

Tanzania,      United
                        6 158       6 600    6 700     6 500
Rep.of

Uganda                  4 926       4 456    4 942     4 500

Malawi                  2 832       3 239    3 700     4 000

Madagascar              2 359       2 400    2 405     2 000

Other Africa            15 251      15 354   15 923    16 233



Latin America           36 311      36 429   37 024    36 606

Brazil                  26 639      26 541   26 600    26 000

Paraguay                4 800       5 100    5 300     5 400

Colombia                1 363       1 288    1 444     1 500

Other          (Latin   3 509       3 500    3 680     3 706


                               23
America)



   Asia                     70 465     75 882      77 631        83 715

   Thailand                 22 584     26 411      25 156        30 088

   Indonesia                19 987     19 988      20 269        20 500

   Viet Nam                 7 783      7 985       8 300         8 600

   India                    7 620      8 429       8 959         9 200

   China, mainland          7 500      7 875       8 300         8 700

   Cambodia                 2 182      2 215       3 604         3 275

   Philippines              1 757      1 871       1 941         2 200

   Other Asia               1 053      1 108       1 102         1 151

   Oceania                  258        272         275           280



While promising ethanol prospects are behind record cassava crops
in Indonesia and Viet Nam, (the region's other principal producing
countries), falling cotton and coffee returns in those countries have
also prompted more farmers to switch to cassava cultivation. Officials
in Viet Nam put the 2009 harvest at around 8.6 million tonnes. In less
than one decade, cassava output in the country has more than
quadrupled, reflecting a strategy to gear the sector towards
predominantly supplying the international market. However, future
progress is likely to be moderated by policy measures to limit the
cassava area to no more than 400 000 ha. In the Philippines, public-
private sector efforts to develop competitive domestic animal feed
and ethanol industries through the commercialization of cassava

                                  24
could pave the way for a record cassava output of well over 2 million
tonnes. The country has earmarked a doubling of the cassava area
by 2014 from current levels. Smaller cassava producing countries in
the region, such as Cambodia and the Lao People's Democratic
Republic have also attracted foreign direct investment from mainland
China and the Republic of Korea to expand their cassava energy
feedstock and starch production, through land lease initiatives and
capital outlays towards processing. This initiative contributed to a
surge in cassava plantings in Cambodia in 2008 by around
60 percent giving rise to an official production record of 3.6 million
tonnes. Prospects for 2009, however, have been marred by adverse
weather conditions, which could see production fall by 10 percent.

Global cassava trade set to recover in 2009, but increasingly confined
to regional and cross-border transactions

After experiencing a near 15 percent contraction in 2008, world trade
in cassava products in the current year is expected to rise by
32 percent to a record 12.5 million tonnes (chip and pellet weight
equivalent).



Table 2. World exports of cassava (product weight equivalent)
         TOTAL              2006     2007     2008 2009



         Flour and starch    4 852 4 686 4 265 4 651

         Thailand            4 616 4 416 3 963 4 316

         Others              236     269    302   335



         Chips and pellets 5 629 6 506 5 187 7 802


                                25
Viet Nam           1 041 1 317 2 000 4 000

         Thailand           4 348 4 824 2 848 3 450

         Indonesia          132     210    170    160

         Others             108     156    169    191


This forecast is based on the improved competitiveness of cassava
starch relative to grain based products, combined with soaring
international demand for cassava as a feedstock for ethanol
production, which have resulted in a stronger pace of cassava
shipments to date by Thailand, by far the world's largest
international supplier. Overall, the country is anticipated to ship
around 7.8 million tonnes of cassava chips, pellets and starch in
2009, up by 14 percent in volume from the previous year. But the
arrival of Viet Nam on the arena to fulfil rising industrial
requirements in Southeast Asia represents the main reason behind
the prospect of record trade in the year.

China (mainland) looks set to consolidate its position as the
most important buyer on the global stage, accounting for over
70 percent of all inflows in 2009.

Table 3 : Thai Trade in Cassava
                             2005 2006 2007 2008         2009



 TOTAL                       6 240 8 964 9 240 6 810 7 766



 Flour and starch total      3 212 4 616 4 416 3 963 4 316

 Japan                       622     694    729    873   725

 China                       525     723    694    611   1 125


                               26
Chinese province of Taiwan 502         676        548     483 620

 Indonesia                     348    968     667        417   270

 Malaysia                      229    312     256        296   400

 Others                        986    1 244 1 523 1 284 1 176

 Chips and pellets total       3 028 4 348 4 824 2 848 3 450

 China                         2 766 3 963 3 168 1 214 3 000

 Republic of Korea             265    268     20         474   111

 European Union                246    341     1 436 989        20

 Others                        -249   -224    200        170   319

    Source: TTTA, FAO



Trade in Chips and pellets

The composition of cassava trade has undergone major changes.
Trade in pellets (mainly for animal feed), once the bedrock of
international cassava demand, has collapsed. In 2009, the share of
pellets in the total volume of trade amounted to just over 2 percent,
compared with over 84 percent at the beginning of the decade. Asian
countries, especially China and the Republic of Korea, have taken
over the European Union as the major destination for cassava feed
ingredients, and look set to import around 275 000 tonnes in 2009.
Concerns about a permanent retreat of the European Union from the
import market are resurfacing again. Despite some activity in 2008,
the European Union purchased just 17 000 tonnes in 2009 so far and
is unlikely to engage in any major purchase in the foreseeable future.
Increased availability of cheap feedstuffs in Member States has
minimized demand for cassava, to close to disappearance.

Global trade in chips is again expected to be centred in Asia,
with China established as the world's leading importer, principally
to meet capacity of the burgeoning cassava-based ethanol sector.
                                27
Indeed, demand for chips by the country is set to underpin aggregate
cassava trade in 2009 and imports of the feedstock could rise by as
much as 50 percent from the previous year, to 7.7 million tonnes. In
the past, Thailand has met this demand, but in the current year, Viet
Nam is likely to emerge as the chief supplier, with around 4 million
tonnes of cassava chip exports, around double the level of last year.
As members of the ASEAN community, imports to China from both
Thailand and Viet Nam attract zero duty, which, by boosting the
competitiveness of cassava, has constituted an important driver for
the expansion of the regional market.

As for cassava starch and flour, world trade is expected to
rebound, but not to the same degree foreseen in the global chips
market. Thailand is expected to dominate international
shipments, with China again anticipated to be the leading starch
buyer, reflecting the policy-induced price advantage that cassava
based starch has maintained over grain products in that market. The
Chinese Province of Taiwan has engaged in significant international
purchases during the course of the year, following the liberalization of
alternative markets for maize starch.

Experiences of Small Cassava Farmers in Bukidnon, a presentation
by Ms. Agnes Bolaños, Executive Director, Agri-Aqua Coalition for
Development- Mindanao during the 3rd LSFM RTW, related about
the case of Balugo farmers’ Multi-purpose Cooperative in supplying
cassava chips and by-products to San Miguel Corporation, one of the
biggest food and beverage processing company in the Philippines.




                                 28
2. CASSAVA INDUSTRI IN ASEAN

Here’s a list of popular culinary uses of cassava in the
Philippines.

There are two kinds of cassava; the bitter and the sweet. Bitter
cassava are used as source of flour that are use to make tapioca,
bread, cakes and pasta. It is also the source of ethanol for fuel and
animal feeds. It has some medicinal uses too.




Cassava is the third largest source of carbohydrates for human food
in the world. This article will focus on the culinary uses of sweet
cassava. Especially now that the price of rice had gone so high and
some countries are experiencing rice crisis, like the Philippines.
Cassava is the best alternative. Cassava is much cheaper than rice
and can be prepared in several ways as a food.

Cassava Cake




                                29
Grated cassava are mixed with condensed milk, evaporated milk,
coconut milk, sugar, eggs and grated coconut and then baked for
about 25 minutes. Toppings are added consist of egg yolks,
condensed milk, coconut milk and coconut cream and then baked
again for another 25 minutes. This is a Filipino favorite desert.

Cassava Bibingka




It is cook by mixing the eggs, sugar, evaporated milk, grated cassava,
butter then pour into a greased pan lined with banana leaves or
cookie sheet. Coconut milk with flour and condensed milk are then
added. Followed by egg yolks pour over baked bibingka and sprinkled
with grated cheese and broil till golden brown.



Cassava Pudding




Packets of cassava is mixed with evaporated milk, sweetened young
string coconut, condensed milk, and butter and baked for an hour.

Cassava Chips




                                30
Cassava chips are prepared by slicing thinly the cassava in uniform
manner and deep fried and then soaked into a mixture of water and
sugar, drained and fried again. There you have it, fresh and nutritious
cassava chips.

Sweetened Cassava (Minatamis na Kamoteng Kahoy)




Sweetened cassava is so easy to prepare. Peel and slice the cassava
according to your style, caramelized sugar in the pan then pour sliced
cassava and wait until all liquid evaporated. It’s done, so easy.



Boiled Cassava




Simply peel the cassava and cut them according to your desired size
and boil it and serve it with your favorite dish or dishes. It can also
serve as a snack by dipping it in sugar.

Fried Grated Cassava




This is one of the easiest and affordable ways of cooking cassava.
Peel and grate the cassava add sugar and mix well. Pour some
cooking oil in the pan, put one cup of grated cassava and flattened it
after a few minutes turn the other side until golden brown.
                                 31
Cassava Balls (Bola-Bolang Kamoteng Kahoy)

Just mix grated cassava, salt, flour, chopped spring onions and dice
carrots (optional) and deep fry. Serve with sauce, it’s done.




Mashed Cassava (Nilupak Na Kamoteng Kahoy)




Cassava For Energy

China imports 98% of cassava production from Thailand to produce
biofuel, the US uses 16% of the world's corn supply - enough to feed
350 million people - to produce ethanol only to be burned in its SUVs.
Al Gore , who once supported the policy of ethanol production, now
calls it a mistake because the rush for biofuel is driving the food
prices . The Food and Agriculture Organization ( FAO )) has asserted
that food prices have gone up by 15% during October 2010-January
2011 alone, bringing additional 45 million people below poverty line.
The soaring food prices are the cause of political turmoil in Algeria,
Egypt and Bangladesh. My intention is not to make a case against
production           of          nukes           and            biofuel.

This is about 0.2% of the world's total GDP and is well within the
capability of G20 nations that account for about 90% of world's GDP.
If rich nations are really serious in saving the planet, some sacrifice
needs to be made by them. This is the only way to reduce our
                                 32
dependence on fossil-based energy. The last four Conference of
Parties - Bali (2007), Poznan (2008), Copenhagen (2009) and the
latest at Cancun (2010) - have not achieved anything worthwhile .

•   The Philippine Energy Plan. The President's Energy Plan aims to
    make the country 60% energy independent by 2010. Promotion of
    alternative fuels, including biodiesel and bioethanol, is one of the
    five components of the plan
•
•   The Biofuel Act of 2006 (THE PHILPPINE)

    a. Mandates a minimum 1% biodiesel blend into all diesel engine
       fuels, which increases to 2% after two years.
    b. Mandates a minimum 5% bioethanol blend into all gasoline fuel
       distributed and sold in the country within two years, going up to
       10% after 4 years. (source: Philippine DOE)
    c. Investments will go into land for marginalized landless farmers
       who are supposed to benefit from the opportunity to grow
       biodiesel feedstocks including sugar cane, cassava, maize,
       soybeans and jatropha.


CASSAVA BUSINESS : PROSPERITY FOR ALL

The vision for cassava is that cassava will spur rural industrial
development and raise incomes for producers, processors and
traders. Cassava will contribute to the food security status of its
producing and consuming households.

A raison d'être for developing a global cassava marketing strategy is
the belief that it will contribute to the economic development of
processing communities and well-being of numerous disadvantaged
individuals in the world. It is suggested that a necessary condition for
the implementation of this strategy is the existence of a growing
demand for cassava.

To achieve this vision the Global Cassava Strategy is proposed. The
essence of the Global Cassava Strategy is to use a demand-driven
approach to promote and develop cassava-based industries with the
assistance of a coalition of groups and individuals interested in
developing the cassava industry.


                                  33
The strategy consists of identifying, in a systematic manner, the
opportunities and constraints of cassava at each stage of the
commodity development cycle. This can be done by groups and
individuals interested in developing the cassava industry; producers,
processors and consumers of cassava, as well as associated
national, international and non-governmental organizations. Concepts
of business development and management as well as international
economic cooperation are important tools in implementing the
strategy. Scientific support is also essential to help overcome
important problems within the production-processing-marketing
continuum. Adaptive research is essential to ensure that existing and
evolving knowledge is harnessed in an appropriate and useful
fashion. The overall aim is to achieve demand-driven technical
change and economic growth.

The Global Cassava Strategy suggests the utilization of "industry
analysis". Industry analysis consists of identifying, in a systematic
manner, the opportunities and constraints at each stage of the supply
chain. Industry analysis involves stakeholders in a participatory effort
to identify strengths, weaknesses and opportunities. Industry analysis
is a demand-driven approach to technical change through:

i) Explicitly considering stakeholders as equal partners in
     determining the needs and future plans for a dynamic cassava
     industry;
ii) Building a practical, shared vision for cassava development;
iii) Helping make action plans for the industry, including the who,
     what, why, and how, plus the question, with whose money?
iv) Building better linkages with private sector organizations;
v) Better links with and among public-sector institutions;
vi) Co-stewardship of research and service outputs with users;
vii)Rapid introduction of high-impact technologies through public and
     private sector partnerships.

The initiation of this Strategy will require catalysts capable of
identifying marketing opportunities, and bringing these to the attention
of stakeholders, and champions, capable of providing support and
resources for the growth and development of cassava markets. Even
if the stakeholders agree that there is a growth market for cassava,
there may still be need for research and development, provision of
infrastructure and investments, and changes in policies to grasp the
new opportunity.

                                 34
A necessary and perhaps first step in the development of a market-
driven global cassava strategy is the identification of markets that are
growing or could potentially grow. A second step is the provision of a
consistent supply of a relatively uniform product. A third step, related
to step two, is to provide the market with a competitively priced
product that meets the consumers' requirements. A fourth step is to
secure the cooperation of those associated with the market
opportunity.

The development path for cassava will be product-, location- and
time-specific. Nevertheless, it would appear that if the market growth
potential exists because of a structural change in the economy (e.g.
decreasing number of farmers and increasing number of urban
consumers of cassava products, resulting in market growth) one
would expect that NGOs and national governments would be in the
best position to act as champions and catalysts. If, on the other hand,
the market growth exists because cassava is price competitive then
both national and international agencies may act as champions and
catalysts. Finally, in the case where cassava has a unique advantage
the catalyst or champion may not be a national or international
agency, but instead be an industry or corporation that has proprietary
interest in cassava.

The global strategy should be seen as comprising both bottom-up
and top-down approaches. The global strategy is an amalgamation of
national, regional and continental strategies and plans, augmented by
global efforts to identify and stimulate markets. The national efforts
will be the action-sites for implementing the global strategy. The
global effort assists with financing, changing policies that constrain
markets.

National strategies should evolve from a process of industry analysis.
In this process, the relevance of roots and tubers, especially cassava,
as a possible entry point in developing a national strategy should be
explored. In particular, special reference should be given to the role of
the cassava production-processing-marketing continuum in specific
ecological zones or socio-geographic communities, from the
viewpoint of food security or income generation and economic
diversification.

Regional strategies should be developed where farming systems,
environmental conditions, and processing and utilization of cassava
are similar. Regional strategies should be supportive of and
                                  35
supported by regional entities such as ASARECA in East and Central
Africa, SACCAR in Southern Africa, or CORAF in West Africa that are
actively involved in agricultural development of root crops. These
regional entities could act as champions or catalysts for cassava.

The continental strategy expands on national and regional strategies.
The continental strategy highlights the needs and support that
transcend national and regional concerns.

The Global Strategy seeks global support to help implement the
strategy. Development banks and institutions such as the World
Bank, Asian Development Bank, Inter-american Development Bank
and African Development Bank may play a vital role. The Global
Strategy provides assistance to cassava-growing nations that are
developing and supporting national strategies. The Global Strategy
should assist with the development of a global forum for the pursuit of
cassava market opportunities, identification of source of capital, and
promotion of a strong base of research support for global genetic
resource and enhancement studies, including biotechnology.

A Case Study : INDONESIA

An analysis for one cluster of Mocaf agroindustry development.

Minimum size of one cluster : 300 hectares

One Farm Family manages minimum land : 2,5 hectares

The cassava high yeilding varity be grown by farmer who joint the
Cluster : Darul Hidayah or Manggu, with the productivity about 100
ton/hectare of fresh cassava with the manurity is 10 months.

Every month the farmer grows 0,25 hectares due to the maturity of
cassava to be grown ( Darul Hidayah or Manggu varieties ) is 10
months. Thus the farmer can harvest his cassava every month for
0.25 hectares for 10 months duration of one period of cassava
farming.

If the Darulhidayah or Manggu variety grown by farmer can produce
100 ton fresh cassava per hectare, then for 0.25 hectare every month
the farmer can harvest about 25 ton of fresh cassava. That mean the
farmer can produse cassava every month about 25 ton of fresh
cassava.
                                 36
For one Cluster of 300 hectares will be managed by 120 farmers and
they will be grouped into 6 groups or 20 farmers for each group of
farmers.

All fresh cassava produced by all farmers in the Cluster should be
processed into Cassava Chips or Dried Cassava, even it can be
further processed by farmers as a group into Cassava Powder or
Modified Cassava Flour ( Mocaf ) or Starch/Tapioca. Farmers who
joint the Cluster , will never sale fresh cassava, but only sale
processed cassava to the factory or customers. Even in the very near
future, those farmers , member of Cluster of Cassava Agroindustry
will never sale any fresh cassava any more.

In general the cost of production for produsing 30 tons of Cassava
Chips per hectare ( from 100 ton fresh cassava per hectare, ) about
IDR 25 million or equivalence to USD 2.8 thousands/hectar, including
the cost of slicer and dryer. Thus the cost of 0.25 hectar/month for
producing 7,5 ton of cassava chips is USD 700 . If the price of 1 ton
cassava chip is IDR 2,000,000 or USD 222/ton chips. Then the
revenu of farmer by selling 7.5 ton of chips totaly USD
1,665/month. Therefore the income of farmer for a month
become USD 1,665 – USD 700 = USD 965/month ( from 0.25
hectare of land ) or equivalent to IDR 8.7 million/month. This is
relatively high income for the farmer in general compared to those of
other crop’s farmer including rice farmer. This is the income for the
farmer, during the month of 11th up to the 20th. At the month of
20th all loans of farmer to the Bank or to the money lender is
completly paid.

Starting at the month of the 21 st. every farmer will have higher
income due to less in expences in producing the same amount of
chips, 7.5 tons/month. The farmer will have saving in from seeds,
fertilizer, and the processing equipment (slicer and dryer). It was
calculated the farmer’s income starting the month of 21st and beyond
will be around Rp 16 million/month or equivalence to USD
1,800/month.

All participant farmers in the cluster, 120 farmers, work together to
produce Chips every month and send it to the factory of Mocaf. That
every month the Mocaf Factory received around 120 X 7.5 tons of
Chips = 900 ton Chips/month and sell to Indofood. The factory make
profit about IDR 300,000/Ton or equivalent to USD 33/ton. Thus
every month the Factory can earned frofit : 900 ton x USD 33 =
                                37
USD 29,700/month.The Cassava Business in ASEAN Region
  through the Agroindustry Clustering Model Development will
  become one of choice by farmers and businessmen, because
  this model can give benefit to all cassava stakeholders,
  including Farmers or we can said that Cassava : Prosperiry for
  all.



IV. FUTURE CASSAVA BUSSINES DEVELOPMENT IN ASEAN :

  1. Organization
  • ASEAN CASSVA BUSSINES BOARD (ACBB)
  • ORGANIZATION STRUCTURE :
     - General Chairmen (Base on Rotation)
     - Nine Chairmen
     - Secretary General
     - Secretary
     - Treasure
     - Vice Treasure
     - Directors of division (The Numer will be discussed)
  • VISION :
     Cassava Business in ASEAN as a prime mover in increasing
     prosperity of the farmers

  •   MISION :
      - Increasing Cassava production in ASEAN
      - Quality Control on Cassava production
      - Strengthening intra ASEAN tread and ASEAN international
        tread in Cassava
      - Increasing income of the cassava Famers and other stake
        holders
      - Achieving and increasing prosperity for all

  •   OBJECTIVE :
      Increase income of the farmers of the cassava famers and other
      cassava stake holder
                                 38
•   PROGRAM :
      Exchange information on cassava
      Joint Research and Deployment ln cassava
      Training and Education in cassava business
      Exchange of expert in cassava
      Exchange of Visit

  •   OFFICE (Will be discussed)
  •   FINANCIAL (Will be discus)

  2. MANAGEMENT OF CASSAVA BUSINESS
  1. In each ASEAN member country Should establish a National
     Cassava Business Board (NCBB).
  2. Will be online operation between ASEAN Cassava Business Board
     and all National Cassava Business Board
  3. Establish cassava agro- industry cluster model to be introduced
     and be implemented by the cassava famers in all ASEAN member
     countries.
  4. The Farmers will sell only semi processed and processed cassava
     products : Cassava Chips, Dried Cassava, Cassava Powder,
     Mocaf, Tapioka, Starch, Ethanol, etc.
  5. Every National Cassava Business Board (NCBB) Should have a
     stock of Cassava Product Ready For Sale.

V. CONCLUSION
   1. Cassava Business In ASEAN
      Cassava Business In ASEAN is very good opportunity, due to
      increase of world demand on cassava and relative high price
      Cassava Business In ASEAN is very prospective in the future,
      especially in facing food crisis suc as in the year of 2025 (food
      diversivication)
  2. Cassava : Prosperity for All
     Sense Cassava has multy full process : food, feed, fuel
     (bio ethanol), bio degradable plastic an some medicinal
                                   39
product, there for cassava will give benefit to many stake
holder. This means cassava can give prosperity for all.

Nusa Dua, Bali, 8 November 2011
Presenter,
Mr. Suharyo Husen
Chairman, Indonesian Cassava Society (ICS)




                         40

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CASSAVA BUSINESS IN ASEAN 29102011 REV-3

  • 1. CONTENT I. INTRODUCTION: 1. Background 2. What is Cassava? 3. Why Cassava ? II. FARMERS AND CASSAVA IN ASEAN : 1. Farmers in ASEAN 2. Cassava in ASEAN III. CASSAVA BUSINESS IN ASEAN : 1. Cassava Trading in ASEAN 2. Cassava Industry in ASEAN 3. Cassava : Prosperity for All IV. FUTURE CASSAVA BUSINESS DEVELOPMENT IN ASEAN : 1. Organization 2. Management of Cassava Business V. CONCLUSION: 1. Cassava for Farmer’s Prosperity 2. Cassava for All FIGURES REFERENCES AUTHOBIOGRAPHY OF PRESENTER 1
  • 2. I. INTRODUCTION 1. Background . ASEAN countries mostly are developing countries in the tropical areas with two sessions during the year, dry session and wet or rainy session. It rich with biodidersity of plants and animals. It rich with volcanous mountain and with long beach, especially in Island Developing Countries like Indonesia and the Philippines. Natural resources are aboundant in ASEAN Region as a whole. All ASEAN countries, except Singapore, are agrarian countries, which are the income of the people mostly come from agriculture. From about 500 million people life in ASEAN region, not less than 60% are farmers and peason , where their life very depending on agriculture. There are some very important crops to ASEAN People in supporting their life, such : rice as a staple food, cassava as a staple food when the food crisis is occured in the regian, corn mainly for animal feed, soybean as a source of protein ( to make tempe and taufu for human consumption ), and many other local food crops are available and varied from place to another place in ASEAN countries. The increase in population and the growing urbanization of the developing world, including ASEAN, will lead to significant global changes and new challenges for feeding the increasing population. On the basis of current projections, it is expected that by 2020 cassava will be increasingly used in processed form for food, feed and starch-derived products. From a global perspective, non-food and non-feed uses of cassava will also grow in volume as a result of biotechnology research that enhances varietal characteristics and lowers its cost as a source of raw material. Thus, business opportunities for the uses of cassava as a human food, animal feed and industry raw material exist both in the domestic as well as export markets and, if well exploited could, offer good returns and investment. 2
  • 3. ASEAN countries should be regionally integrated — it’s about time. But the process should consider the following: 1. more power should be given to farmers’ groups; we should be able to influence and participate in policy-making processes, both at the national and regional levels. For this, we have to build the capacities of farmers’ groups to the governments 2. need for a transparent process 3. there must be a subsidizing mechanism like the CAP of EU 4. integration must be a collaboration of government, private sector ,grassroots groups, including farmers’ groups, and other civil society organizations 5. must be pursued, but based on common interests, common principles, mutual benefits, and mutual respect 6. should enhance voice of small countries 7. integration must start with sub-region cultures first understanding each other; promoting common language (Malay language for Indonesia, Malaysia, Philippines) 8. implement common projects and programs, share information and resources 9. should be pursued in all aspects, not only in industry or post- industry, but also in other important ones, i.e. Agriculture, economy, etc ASEAN is embarking on building an ASEAN Economic Community (AEC) by 2015, which will be a single market and production base. In the process of working towards the AEC, the enhancement of competitiveness of food, agricultural and forestry products in international markets, and the empowerment of farmers through the promotion of agricultural cooperatives has become regional priorities. Emerging and cross-cutting relatedissues such as food security, mitigation and adaptation of climate change to the agriculture and forestry sector, and sanitary and phytosanitary (SPS) are also part of the priorities. Initiatives towards the Realisation of ASEAN Integration Through the harmonisation of quality and standards, assurances of food safety, and standardisation of trade certification, ASEAN agricultural products are expected to be ready to compete in the global market by offering safe, healthy and quality foods. ASEAN has been developing good agricultural practices (GAP), standards for the 3
  • 4. production, harvesting and post-harvest handling of agricultural produces, the ASEAN maximum residue limit of pesticides, criteria for the accreditation of livestock and livestock products establishments, guidelines on good management practices for shrimp, and a code of conduct for responsible fisheries to be used as references for developing national priorities and means to support the agro-industry. Ensuring food security continues to be the fundamental goal of ASEAN. In response to the increasing concern on food security in the region recently, the ASEAN Statement on Food Security, ASEAN Integrated Food Security (AIFS) Framework and Strategic Plan of Action on ASEAN Food Security (SPA-FS) have been adopted to ensure long-term food security and to improve the livelihoods of farmers in the ASEAN region. One of very important and very demanding Food Crops, by ASEAN Cummunity, in supporting the ASEAN Integrated Food Security (AIFS), is CASSAVA . 2. WHAT IS CASSAVA ? Cassava originated in Brazil and Paraguay. Today it has been given the status of a cultigen with no wild forms of this species being known. Cassava is a perennial woody shrub, grown as an annual. Cassava is a major source of low cost carbohydrates for populations in the humid tropics. The largest producer of cassava is Brazil, followed by Thailand, Nigeria, Zaire and Indonesia. Production in Africa and Asia continues to increase, while that in Latin America has remained relatively level over the past 30 years. Thailand is the main exporter of cassava with most of it going to Europe. It was carried to Africa by Portuguese traders from the Americas. It is a staple food in many parts for western and central Africa and is found throughout the humid tropics. The world market for cassava starch and meal is limited, due to the abundance of substitutes. Cassava is a root crops, generally it well known by rural people in developing countries, including in ASEAN member countries. It is very common be called in the lathin name, Manihot utilissima Pohl or Manihot esculenta Crantz. In the International trade, it has meny names , such as : cassava ( English ); yuka ( Spain ); mandioca ( 4
  • 5. Portugese ); and cassave ( Dutch ). I believe there are many other names in different countries, like in ASEAN Countries as well, in the Philippines, it is commonly called as kamoteng kahoy or balinghoy; in Indonesia commonly called as Singkong; even in one Country like Indonesia, it has also many difference names according to the region, for example : kaspe ( Central Java ndonesia); telo puhung ( East Java, Indonesia ); and sampeu or dangdeur or singkong ( West Java, Indonesia ). Figure-1 : Cassava stalks, Darul Hidayah Figure -2 : Cassava trees, Figure -3 : Cassava Vietnam Description Unprocessed cassava root The root is long and tapered, with a firm homogeneous flesh encased in a detachable rind, about 1 mm thick, rough and brown on the outside. Commercial varieties can be 5 to 10 cm in diameter at the top, and 50 to 80 cm long. A woody cordon runs along the root's axis. 5
  • 6. The flesh can be chalk-white or yellowish; raw cassava tastes like a mixture of potato and coconut flesh, it breaks like a carrot, and darkens quickly upon exposure to the air. For this reason, the skinned root must be kept under water until it is ready to be cooked. The root's flavor spoils in a day or so, even if kept unskinned and under refrigeration, which is a problem for supermarkets. A solution is usually to freeze it or seal it in wax. Figure 4 : Cassava Figure 5 : Cassava –Manggu ( Subang, West Java, Indonesia ) The cassava plant gives the highest yield of food energy per cultivated area per day among crop plants, except possibly for sugarcane. Cassava roots are very rich in starch, and contain significant amounts of calcium (50 mg/100g), phosphorus (40 mg/100g) and vitamin C (25 mg/100g). However, they are poor in protein and other nutrients. In contrast, cassava leaves are a good source of protein if supplemented with the amino acid methionine. 6
  • 7. The oldest evidence of cassava cultivation comes from a 1,400 year old Maya site, Joya de Ceren, in El Salvador.[1] although the species Manihot esculenta likely originated further south in Brazil and Paraguay. With its high food potential, it had become a staple food of the native populations of northern South America, southern Mesoamerica, and the West Indies by the time of the Spanish conquest, and its cultivation was continued by the colonial Portuguese and Spanish. Forms of the modern domesticated species can be found growing in the wild in the south of Brazil. While there are several wild Manihot species, all varieties of M. esculenta are cultigens. In many places in the Americas, yuca was the staple food. This translated into many images of yuca being used in pre-Colombian art. The Moche people often depicted yuca in their ceramics. 3. WHY CASSAVA ? The Cassava is a plant with a lot of usefulness, especially it’s “root” or generally called “Cassava Root” which is the most importance part of cassava plant. The cassava root, other than being edible as food, it also used as the raw materials in agro-based industry, animal feeds and industrial purposes as follows. It is used in various industries, for instance, • Food and Beverage: The cassava starch will be used in both its original form and its other modified forms, for instance, the instant noodle, sago, seasoning sauce including beverages; • Sweeteners: They are glucose and fructose which are used as the sweeteners in the beverage industry; • Textile Industry: It is used for slipping the thread and to make the thread being without hair during the weaving and to fortify the thread including the cloth printing in order to make the cloth being shining and durable; • Paper Industry: To mix it with the paper in order that the paper pulp to be tough and thick; • Glue Industry: To use it for producing glue including any products that’s their mixture is the glue; 7
  • 8. Plywood Industry: To use it in form of glue made from cassava starch in the process of plywood manufacture in order to make the plywood becomes qualified, tough and durable; • Medicine Industry: To use it as the diluent of capsule medicine and pill; • Monosodium Glutamate: To use it for producing the MFG for seasoning food; • Bio-Degradable Material Products: To use the cassava starch to be transformed as product by mean of adding the bio-degradable substance to be in place of plastic. • Animal Feeds: It is used as the ingredients of animal feeds; • Alcohol: It is used for producing alcohol for the liquor manufacture and the disinfectant. • Gasohol: To be used for producing Ethanol and mixed with fuel which is a renewable energy source Cassava Root • Cassava starch • • • • • • 8
  • 9. • Cassava has a function to support the food diversification and food self reliance. The choice made due to the various fuction of cassava, such as for food, feed , fuel and other industrial function, including for degridable plastic. In fact that cassava has a multi function. Regarding food utilization, widespread initiatives have been undertaken in many vulnerable countries that target cassava to meet more of the dietary staple needs. This is particularly evident in sub- Saharan Africa, where consumption of cassava (mostly in the form of fresh roots and basic processed products) is on the rise. However, the overall production gain in the region is expected to barely match growth in population, bringing about little change in per caput food availability. Measures to promote domestic cassava flour over imported cereals, either through direct consumption or through blending remain active throughout the world and constitute an important driver for higher cassava food consumption. Brazil mandates the inclusion of 10 percent cassava flour in wheat flour and it is estimated that 50 percent of the country's cassava crop is utilized in such blending. Though several major producing countries in West Africa have also promoted this initiative, especially Nigeria, many have fallen short of enforcement, owing to the limited availability of cassava flour. The demand for cassava by ethanol sectors will again emerge as the most significant driver in the expansion of cassava utilization. A typical production system can produce about 280 litres (222 kg) of 96 percent pure ethanol from one tonne of cassava roots with 30 percent starch content. China is forecast to produce around 5 million tonnes of ethanol from cassava in 2009, requiring around 7 million tonnes of dried cassava. The country has also secured agreements with several neighbouring countries to supply its ethanol industry with the feedstock. In Thailand, an ethanol plant with a capacity to produce up to 0.5 million litres of ethanol per day was due to go on-line in 2008, but, owing to rising costs during that year, construction was suspended. However, the ethanol facility is expected to start production late in 2009. Thailand requires around 2 million litres of ethanol to meet its 10 percent fuel substitution plan. Likewise in Indonesia, cassava is set to be used in 5 percent ethanol mandatory gasoline blends. With soaring prices of competing feedstocks, sugar and molasses, cassava-based ethanol distilleries in both countries are expected to operate at full capacity. 9
  • 10. Utilization of cassava as animal feed, in the form of dried chips and pellets, is mostly concentrated in Brazil and Colombia in Latin America and the Caribbean, Nigeria in Africa, China and the Republic of Korea in Asia. Little is known how feed usage has faired in the former two regions, but the demand for cassava feed ingredients in Asia has plummeted. Similarly, in Europe, cassava applications in the manufacture of feed ingredients have been virtually non-existent in 2009. II. FARMERS AND CASSAVA IN ASEAN 1. FARMERS IN ASEAN : Farmers in ASEAN generally are small farmers with limited land holder for their farming. There are living in rural areas with other rural community . Their education are relatively low, pliminary school up to secondary high school. There are very limited graduated from university. The income of the farmers in ASEAN Countries are most relatively low, some times difficult to meet the family needs, such for food, cloths, education, etc. Asean Farmers Asosiation (AEA) : AFA( Asean Farmers Asosiation ) is a regional alliance of farmer federations and organizations in eight countries in East Asia, representing ten million farmers. As a regional organization, its aim to be: 1. an advocacy group on farmers’ rights and development, at national, regional And international levels 2. facilitator of our members’ commercial activities 3. a venue for solidarity and exchange The members are in Indonesia, Philippines, Thailand, Cambodia, Vietnam, South Korea, Japan and Taiwan. The organization hopes to expand its membership to other East and South Asia countries in the next three years. Farmers’ Situation and Issues 10
  • 11. 1. Asia is the world’s largest and most populous continent, with more than 60% of total human population. It is the largest consumer of rice; it has the most extensive forestry and fishery resources as well. 2. The farming population in Southeast Asia is on the average 40- 80%, as compared to Europe, which has only 5% farming population, and US, 1.7%. 3. As of 2002, the population of poor people or those who earn less than US$ 1/day is 1.2 billion, of which 75% (or 900M people) is found in the rural areas, and in which 600M people alone are found in rural South Asia. 4. The poverty situation in ASEAN countries (2002) range from 32% in Thailand up to 77.7% in Cambodia, mainly from the rural areas. 5. The typical farmer in East and South Asia is : small scale, subsistence farmer , working on lands less than 2 hectares , either a man or a woman. 6. The Farmers main problems are: a. lack of access and control over natural resources, mainly land and water. If farmers do not own the lands for their farming , farmers cannot decide on how best to use them for their own benefit. Farmers will remain to be poor however big the income from the farm will be, as much of the income go to the landowners. b. insecure incomes and massive displacement due to global agricultural trade liberalization. Advocates of free trade promised development to developing countries. But our experience in the ten years of implementation of WTO, and ASEAN economic integration through free trade, say that this is not so. The rules of global agricultural trade are unfair. It is like Sumo wrestling where one contestant weighs 200 kilos, and the other, just 50 kilos. Agricultural products from the developed countries are heavily subsidized, thus they are sold cheaper in our markets. Governments of developing countries subsidize very little, if at all. We can hardly compete. The entry of cheap agricultural products in our countries have lowered our incomes and made us more insecure. Many of us have lost our livelihoods. c. food security risks We are asked to plant export crops – asparagus, cut flowers, etc. But many of us are afraid to do this, 11
  • 12. because we do not know how to plant them, we don’t have the capital, and we don’t know where to sell them. We want to plant staple crops because at least we will be assured we will have something to eat. If our countries will depend on imports for even our staple food, like rice, chicken and vegetables, what will happen to us if suddenly there is shortage of supply from them? Even if we will have the money, we will go hungry. d. increasing dependence on big national and transnational agribusiness corporations -Agriculture technologies being promoted by governments rely more and more on seeds, systems, inputs produced and sold by big agribusiness corporations. e. climate change – We are becoming more and more vulnerable to global climate change. We still do not know how we can cope us with the effects of global warming in our farms and communities. f. inadequate government support to agriculture, specially to small men and women farmers- We find governments’ inadequate support g. weak organization of farmer’s groups and representation in government decision making bodies – except in Vietnam and Korea, only 10-20% of farmers are organized , able to put a significant number of people in government offices. Our Bases of Unity Farmers’ organizations came together in AFA to promote an 8-point peasant agenda, which includes: 1. promote sustainable agricultural policies and practices 2. study and promote alternatives to globalization 3. promote agriculture towards the young 4. promote fair and just treatment of farmers in developing countries 5. promote food security measures to small farmers 6. promote farmer-to-farmer market exchanges 7. push for an ASEAN provision on access to farm resources, and rural development and protection of human rights 8. strengthen AFA at national and regional levels, so it becomes able to participate in international development processes. Current Efforts in Advocacy and On-Ground Projects In promoting the above agenda, one of our strategic aims is to influence key inter-governmental regional and international decision- 12
  • 13. making bodies on common agricultural issues affecting small men and women farmers, namely: a. ASEAN economic integration, including ASEAN charter and FTAs with various countries b. GATT-WTO-AoA /Doha Round c. FAO – for pro small farmer policies and programs and support to on-ground SA projects d. IFAD Farmers’ Forum – for genuine representation of farmers in agricultural policies and programs , and for support for capacity building work and on-ground poverty alleviation projects e. WB – for more pro-small farmer agricultural framework and policies We also would like to be actively involved in discussions about climate change and bio-fuels, as these emerging issues are likely to impact seriously on us. 2. CASSAVA IN ASEAN: Cassava grow in all countries in ASEAN Region. Most people in rural areas, farmers and non farmers are very familier with cassava. Many rural people very depending on cassava. Their live, school of their children are supported by cassava. CASSAVA IN BRUNEI DARUSSALAM. OFFICIAL NAME : Sultanate of Brunei CAPITAL : Bandar Seri Begawan SYSTEM OF GOVERNMENT : Absolute Monarchy AREA : 5,765 Sq Km (2,226 Sq Mi) ESTIMATED 2000 POPULATION : 318,000 LOCATION & GEOGRAPHY: Brunei is located on the northwest coast of the island of Borneo in South East Asia. It is bound by the South China Sea to the north and the Malaysian state of Sarawak to the west and south. The country is divided into two separate enclaves by Sarawak with the main part to the west containing the Brunei-Muara, Tutong and 13
  • 14. Belait districts while the east contains the Temburong district. The terrain in the western enclave consists of hilly lowlands and the eastern enclave contains a wide coastal plain that rises to the mountain regions of Sarawak. Equatorial rain forests which are very dense in some places cover 75% of the land area and mangrove swamps as well as sandy beaches lie along the coastal plains. Major Cities (pop. est.); Bandar Seri Begawan 46,000, Kuala Belait 21,200, Seria 21,000, Tutong 13,000 (1991). Land Use; forested 86%, pastures 1%, agricultural-cultivated 1%, other 12% (1993). ECONOMY: Gross National Product; USD $4,001,000,000 (1993). Public Debt; nil. Imports; BD $2,280,700,000 (1992). Exports; BD $3,630,200,000 (1992). Tourism Receipts; USD $35,000,000 (1990). Balance of Trade; BD $1,946,000,000 (1992). Economically Active Population; 111,955 or 43.0% of total population (1991). Unemployed; 4.7% (1991). MAIN TRADING PARTNERS: Its main trading partners are Japan, Thailand, Singapore, South Korea and other ASEAN countries. MAIN PRIMARY PRODUCTS: Bananas, Cassava, Coffee, Fish, Oil and Natural Gas, Rice, Timber. CASSAVA IN CAMBODIA Kompong Cham Province Cassava is a plant originally coming from South Africa. From there it was spreading to various tropical and sub-tropical regions. Cassava is a crop that can be processed into many other products such as ethanol, animal feed or cassava starch/flour for human consumption. Cassava, cultivated as a family-business, can be found mostly in the districts of Memot, Tambeir and Tbaung Khmom in Kampong Cham Province. -Production: Cultivated area is 62,300 ha, yields amount approximately to 1,006,816 tons/year. -Markets: Local processing companies and export to Vietnam as a dry chip. 14
  • 15. CASSAVA IN INDONESIA In Indonesia, cassava is classified officially as a food crops, so its development should be under the respondibility of Ministry of Agriculture. Almost all cassava roots and their derivative products ( e.g. chips, pellets, starch, food, feed and chemicals ) are traded or processed in other sectors, outside the jurisdiction of the Ministry of Agriculture. As trading and/or processing activities affect the cassava grower, directly or inderectly, any attempt to resolve cassava production problems by only focusing on its cultural practices will fail.A holistic view and approach through integrating all related parties concerned( cassava growers, traders, processors, and consumers) as a continuum is unavoidable. Cassava is grown mainly by small farmers who use labor-intensive methods. Due to its wide adaptability, cassava can be grown over a wide range of soil and climatic conditions as well as levels of management. However, most areas allocated to cassava are uplands, characterized by marginal soil fertility, with sloping or undulating topography, underdeveloped infrastructure ( especially transportation ), and a number of other relatively unfavorable circumstances. Most cassava in Indonesia is produced by small farmers that are weak in resources endowment , either in economic or social terms. Little purchased inputs, especially chemical or inorganic fertilizers, are applied, and as a result cassava production is frequently blamed as the cause of soil degredation. The crops is mostly grown in upland areas with undulating topography. Since its planting time should be compatible with the distribution of rainfall, the flexibility in planting and harvesting time is limited. As a consequence, the existence of a peak 15
  • 16. in planting and harvesting time is difficult to avoid. Abundance of cassava roots during the peak harvesting time results in low prices. From an individual farmer’s point of view, his income is determined by his productivity level. Logically, any improvement in productivity should increase farmer’s income. However, this rarely happens, because the price is governed by total amount of roots produced . As price fluctation is the result of supply and demand imbalance, any decrease in price can be perceived as an indicator of limited demand. There is a belief that cassava farmers, especially the low income groups, are trapped in a vicious cycle : changes in yield-planted area production, are countered by changes in prices which go up and down. This condition in turn prevents farmers from improving their income. If the opinionthat demand is the most important limiting factor for production growth is true, the best solution should be a demand led- strategy. Demand for cassava in Indonesia is mainly in the areas of food., industry ( mainly processing of starchand starch-based products), export and feed. Future prospects for using cassava as food will depend mainly on : (1) rice availability, since rice is the most preferred staple food for Indonbesian people; and (2) cassava product development activities , as the social bias against cassava as being a food for the poor is strong and real. The existence of starch processing and starch –based industries, especially on a large scale, have been present for some time., but their role in improving farmers’ wefare should be questioned. The growth in cassava exports will face two barriers: first, strong competition from Thailand, and secondly, the domestic price. Demand for cassava as a raw material for production of feed depend on its price in relation to that of maize. It can be concluded that from the growers view point cassava is a cash crop rather than a subsitence crop, and therefore the crop is a source of income rather than a source of food. As a consequence, every effort to improve the crop’s performance should strife to ensure an increase in the grower’s welfare. In addition, there has no be a significant increase in net income for individual farmers, 16
  • 17. due to correct balance between production and demand. In fact, economic and social issues are the principal constraints. Unfortunately, these two issues are beyond the farmer’s control.Concerted effortsamong farmers, government and non- government organizations, research and development agencies, and others are urgently needed. While technical expertise should continously be improved, much is known already to help increase the present productivity level towards its full yield potential. CASSAVA IN MALAYSIA In Malaysia, the processing of sago starch predates that of cassava, having been established before 1416. With its introduction, cassava, which is a much shorter term crop, quickly replaced sago palm as the preferred raw material among starch processors. Hence, except for a small amount serving the fresh food market, cassava is planted in Malaysia mainly for starch processing. The cassava area in Peninsular Malaysia has declined steadily to 1,631 ha in 1997 after peaking in 1976 at 20,913 ha. This decline is due to the curbing of illegal cultivation; land alienation policy with a bias against cassava; switching from cassava to more lucrative crops; rising costs of production; low prevailing price for cassava roots; and competition for land for agricultural and non-agricultural activities during the economic boom prior to July 1997. Of the eight starch factories reported in Perak in 1984, only two are still in operation. Recently, in Sabah, a starch factory opened to process roots supplied through contract farming from an area of more than 3,000 ha. In trade, cassava starch takes the form of flour, flakes, pearls and starch powder. There is a growing demand for starch with imports amounting to 88,210 tonnes in 1997. Most of this starch is used in food industries, particularly for making monosodium glutamate (using about 3,000 tonnes of starch per month). Other significant users are manufacturers of glucose, bakery and biscuit products, textiles and paper. There is also increasing 17
  • 18. interest in growing edible varieties of cassava for processing into snacks. The future potential in terms of domestic demand for cassava starch is very good. Since the onset of the economic downturn faced by Southeast Asia, the Malaysian government has actively encouraged agriculture (to offset the country's huge food import bill amounting to almost US$ 2.9 billion a year) by providing easier access to farmland. There is recent renewed enthusiasm for planting cassava for production of starch, dried chips for livestock feed and sweeteners (high fructose glucose syrup or HFGS). For large-scale mechanized cassava production, certain prerequisites of soil type, terrain, climate and farm size matching the factory's capacity, must be satisfied. While land is hard to come by in Peninsular Malaysia, more than 80,000 ha of land are still available in Sabah. Starch is the most likely product to be feasible and profitable in the immediate future compared to dried chips and HFGS production, because of a high demand in the local market, and a well-established technology for starch processing. Stable, high-yielding varieties with intermediate to high starch content to ensure higher starch recovery are required; better still if they can be harvested early. The potential of using cassava as a carbohydrate-rich animal feedstuff is promising, but being low in protein compared to maize, additional protein is required from another source, entailing extra costs. Also, it is costly to dry cassava by artificial means. Although it is technically possible to produce HFGS from cassava, it involves converting starch by enzymatic processes – a complicated and expensive procedure. This does not seem economically feasible in the immediate future, given the current low world price for sugar. Instead, modified starches and their products have very good future potential as profitable agro-based industries. Modification of starches not only expands their scope of utilization by altering their physico- chemical characteristics, but also increases their value as compared to native starch. 18
  • 19. An alternative use of cassava, which has some prospects, is the production of snack foods. Although oil-fried crisps and crackers are traditional snacks produced by cottage industries, only recently have attempts been made by larger food processors to improve their quality and packaging, and to target the more up-market urban consumer and overseas market. Preliminary work at MARDI has shown that cassava makes a very good raw material for extruded snacks. CASSAVA IN THE PHILIPPINES Cassava (Manihot esculenta, Euphorbiaceae.) is a perennial shrub native to South America that is now grown throughout the tropics. Other common names for cassava are tapioca, mandioca, manios, sagu, yuca. In the Philippines, it is commonly called as kamoteng kahoy or balinghoy. It is a major source of calories for some 300 million people in the developing countries of the world. It is one of the world's most efficient converters of solar energy to carbohydrates. Cassava is grown both as a single crop, and in combination with sorghum, maize, groundnuts, cowpeas, yams, sweet potatoes , upland rice and certain other vegetables. Plant only high varieties and according to needs. For starch, VC-1, VC-2, VC-3, Datu, Lakan or Golden Yellow can be used. For food, or feeds, use only Lakan or Golden Yellow varieties. Select only fresh, mature or healthy stems. The planting materials are considered fresh if the latex or sap comes out within six (6) seconds after cutting and mature if the diameter of the pith or cork is not more than half the diameter of the cortex. It is considered healthy if it is pest-free and the diameter of the stem is not loess than 1.5 cm. Obtain stalks from a healthy stand which is at least eight (8) months old. Rouge out other varieties that are mixed with the recommended varieties if any. Use a saw or bolo to prepare cuttings at 20-30cm long. Keep the stalks for not more than five days, under shade in upright position. Handle carefully and do not throw cuttings to avoid damage to the nodes. Do not use cuttings stored for more than 5 days. 19
  • 20. CASSAVA IN THAILAND. Traditionally an agrarian economy with rice as its main product, the country's agricultural sector has since expanded to cope with the demands of its newly industrialized state. Thai agriculture has a clear advantage over other newly industrializing economies, namely the large portion of land allocated for cultivation, a climate suited to the growth of a wide variety of crops, and high quality strains of agricultural products. Cassava production is anticipated to record strong growth in Asia, much on account of Thailand, where, according to officials, a 20 percent rise in production is foreseen in 2009, exceeding 30 million tonnes for the first time. The international market for Thai cassava products has traditionally been the main growth driver for the country's crop, but concerns over subdued demand abroad prompted the Government to intercede heavily in the sector, through reinstating its usual price insurance and intervention purchase scheme, as well as granting preferential credit to farmers. However, the fiscal strain of supporting the agricultural sector has led the Government to launch in November an 'agricultural options programme', in place of the price pledging or insurance scheme. The programme seeks to remove some of the distortionary effects of price supports and will encourage quality over quantity. It will also minimize a longstanding problem of cross-border subsidization of agricultural production, whereby roots from neighbouring countries have been able to benefit from minimum prices. Against the backdrop of falling domestic root prices during the planting period, these incentives (or at least the expectations of continued strong support) were largely behind the record cassava area in 2009, but expectations of robust demand for the crop as a feedstock for ethanol in domestic and neighbouring distilleries have also played a role. CASSAVA IN VIET NAM 20
  • 21. In the News: Pest and disease crippled Cassava production in SE Asia International Center for Tropical Agriculture CIAT scientists and their partners in Southeast Asia have issued urgent preliminary guidelines to tackle deadly pest and disease outbreaks that have crippled cassava production in parts of the region. The move follows a CIAT investigation into reports from Thailand’s eastern and northeastern regions, of damaged and stunted cassava plants with low root yields. Cassava is an essential pro-poor crop in the region, where it is grown by around 5 million smallholders, mainly to supply the starch processing and animal feed industries. In Thailand alone, the industry is worth US$1.5 billion, and the country accounts for three-quarters of the world’s cassava exports. III. CASSAVA BUSINESS IN ASEAN 1. Cassava Trading Cassava exports rise on ASEAN demand Demand from Thailand and Vietnam helped to drive up the Kingdom’s cassava exports 88 percent in the first three months of 2011, compared to the same period last year, according to Camcontrol, a division of the Commerce Ministry. Cassava exports between January and March totalled 204,618, up 87.7 percent from 108,987 tonnes in 2010. Higher prices also helped to boost export revenues for Cambodia. Revenues for the period equalled US$9.9 million, or about a 143 percent increase from last year’s $4.1 million. Khuon Savuth, director of Camcontrol, tied the rise to demand from the Kingdom’s larger neighbors and said the increasing prices are pushing more and more farmers to plant cassava. 21
  • 22. “The high price of cassava not only improves the living standard of people but also upholds the national economy.” Chhorn Saroem, President of Chey Chamroeun Company, which exports agricultural products to Thailand, said the increased farming boosted her cassava shipments in the first three months of the year 50 percent higher than the same period last year. “This year the farmers throughout Pailin province flock to cultivate more cassava than other crops because of high price,” she said. She added that a tonne fetched 370,000 riels this year compared to 110,000 riel last year. Khiev Sophet of Pailin, who typically grows corn, said he emphasised cassava this season because of its higher price. He said, even with the increased farming of the crop, “I believe the price should hold for next year.” According to data from Camcontrol, Cambodia’s cassava exports in 2010 totalled just 165,229 tonnes worth $12 million. Global cassava production in 2009 is forecast at 242 million tonnes, 4 percent above the record of the previous year. The high price episode of 2007/2008 for traded food staples reminded policy-makers in many vulnerable countries, as well as the international community, to look toward indigenous crops as an alternative source to potentially expensive and volatile cereals. Among these crops, cassava has been at the forefront. As a 'crisis crop', cassava roots require few inputs, can be left in the ground for well over one year and harvested when food shortages arise or when prices of preferred cereals become prohibitive. These attributes are behind an anticipated expansion of output in Africa, of about 3 percent, to some 121.5 million tonnes in 2009. Table 1. World cassava production 2006 2007 2008* 2009** WORLD 224 217 233 391 242 22
  • 23. 483 536 069 117 104 121 Africa 118 461 449 952 469 Nigeria 45 721 34 410 42 770 45 000 Congo, Dem. Rep. 14 989 15 004 15 020 15 036 of Ghana 9 638 9 650 9 700 10 000 Angola 8 810 8 800 8 900 9 000 Mozambique 6 765 5 039 8 400 9 200 Tanzania, United 6 158 6 600 6 700 6 500 Rep.of Uganda 4 926 4 456 4 942 4 500 Malawi 2 832 3 239 3 700 4 000 Madagascar 2 359 2 400 2 405 2 000 Other Africa 15 251 15 354 15 923 16 233 Latin America 36 311 36 429 37 024 36 606 Brazil 26 639 26 541 26 600 26 000 Paraguay 4 800 5 100 5 300 5 400 Colombia 1 363 1 288 1 444 1 500 Other (Latin 3 509 3 500 3 680 3 706 23
  • 24. America) Asia 70 465 75 882 77 631 83 715 Thailand 22 584 26 411 25 156 30 088 Indonesia 19 987 19 988 20 269 20 500 Viet Nam 7 783 7 985 8 300 8 600 India 7 620 8 429 8 959 9 200 China, mainland 7 500 7 875 8 300 8 700 Cambodia 2 182 2 215 3 604 3 275 Philippines 1 757 1 871 1 941 2 200 Other Asia 1 053 1 108 1 102 1 151 Oceania 258 272 275 280 While promising ethanol prospects are behind record cassava crops in Indonesia and Viet Nam, (the region's other principal producing countries), falling cotton and coffee returns in those countries have also prompted more farmers to switch to cassava cultivation. Officials in Viet Nam put the 2009 harvest at around 8.6 million tonnes. In less than one decade, cassava output in the country has more than quadrupled, reflecting a strategy to gear the sector towards predominantly supplying the international market. However, future progress is likely to be moderated by policy measures to limit the cassava area to no more than 400 000 ha. In the Philippines, public- private sector efforts to develop competitive domestic animal feed and ethanol industries through the commercialization of cassava 24
  • 25. could pave the way for a record cassava output of well over 2 million tonnes. The country has earmarked a doubling of the cassava area by 2014 from current levels. Smaller cassava producing countries in the region, such as Cambodia and the Lao People's Democratic Republic have also attracted foreign direct investment from mainland China and the Republic of Korea to expand their cassava energy feedstock and starch production, through land lease initiatives and capital outlays towards processing. This initiative contributed to a surge in cassava plantings in Cambodia in 2008 by around 60 percent giving rise to an official production record of 3.6 million tonnes. Prospects for 2009, however, have been marred by adverse weather conditions, which could see production fall by 10 percent. Global cassava trade set to recover in 2009, but increasingly confined to regional and cross-border transactions After experiencing a near 15 percent contraction in 2008, world trade in cassava products in the current year is expected to rise by 32 percent to a record 12.5 million tonnes (chip and pellet weight equivalent). Table 2. World exports of cassava (product weight equivalent) TOTAL 2006 2007 2008 2009 Flour and starch 4 852 4 686 4 265 4 651 Thailand 4 616 4 416 3 963 4 316 Others 236 269 302 335 Chips and pellets 5 629 6 506 5 187 7 802 25
  • 26. Viet Nam 1 041 1 317 2 000 4 000 Thailand 4 348 4 824 2 848 3 450 Indonesia 132 210 170 160 Others 108 156 169 191 This forecast is based on the improved competitiveness of cassava starch relative to grain based products, combined with soaring international demand for cassava as a feedstock for ethanol production, which have resulted in a stronger pace of cassava shipments to date by Thailand, by far the world's largest international supplier. Overall, the country is anticipated to ship around 7.8 million tonnes of cassava chips, pellets and starch in 2009, up by 14 percent in volume from the previous year. But the arrival of Viet Nam on the arena to fulfil rising industrial requirements in Southeast Asia represents the main reason behind the prospect of record trade in the year. China (mainland) looks set to consolidate its position as the most important buyer on the global stage, accounting for over 70 percent of all inflows in 2009. Table 3 : Thai Trade in Cassava 2005 2006 2007 2008 2009 TOTAL 6 240 8 964 9 240 6 810 7 766 Flour and starch total 3 212 4 616 4 416 3 963 4 316 Japan 622 694 729 873 725 China 525 723 694 611 1 125 26
  • 27. Chinese province of Taiwan 502 676 548 483 620 Indonesia 348 968 667 417 270 Malaysia 229 312 256 296 400 Others 986 1 244 1 523 1 284 1 176 Chips and pellets total 3 028 4 348 4 824 2 848 3 450 China 2 766 3 963 3 168 1 214 3 000 Republic of Korea 265 268 20 474 111 European Union 246 341 1 436 989 20 Others -249 -224 200 170 319 Source: TTTA, FAO Trade in Chips and pellets The composition of cassava trade has undergone major changes. Trade in pellets (mainly for animal feed), once the bedrock of international cassava demand, has collapsed. In 2009, the share of pellets in the total volume of trade amounted to just over 2 percent, compared with over 84 percent at the beginning of the decade. Asian countries, especially China and the Republic of Korea, have taken over the European Union as the major destination for cassava feed ingredients, and look set to import around 275 000 tonnes in 2009. Concerns about a permanent retreat of the European Union from the import market are resurfacing again. Despite some activity in 2008, the European Union purchased just 17 000 tonnes in 2009 so far and is unlikely to engage in any major purchase in the foreseeable future. Increased availability of cheap feedstuffs in Member States has minimized demand for cassava, to close to disappearance. Global trade in chips is again expected to be centred in Asia, with China established as the world's leading importer, principally to meet capacity of the burgeoning cassava-based ethanol sector. 27
  • 28. Indeed, demand for chips by the country is set to underpin aggregate cassava trade in 2009 and imports of the feedstock could rise by as much as 50 percent from the previous year, to 7.7 million tonnes. In the past, Thailand has met this demand, but in the current year, Viet Nam is likely to emerge as the chief supplier, with around 4 million tonnes of cassava chip exports, around double the level of last year. As members of the ASEAN community, imports to China from both Thailand and Viet Nam attract zero duty, which, by boosting the competitiveness of cassava, has constituted an important driver for the expansion of the regional market. As for cassava starch and flour, world trade is expected to rebound, but not to the same degree foreseen in the global chips market. Thailand is expected to dominate international shipments, with China again anticipated to be the leading starch buyer, reflecting the policy-induced price advantage that cassava based starch has maintained over grain products in that market. The Chinese Province of Taiwan has engaged in significant international purchases during the course of the year, following the liberalization of alternative markets for maize starch. Experiences of Small Cassava Farmers in Bukidnon, a presentation by Ms. Agnes Bolaños, Executive Director, Agri-Aqua Coalition for Development- Mindanao during the 3rd LSFM RTW, related about the case of Balugo farmers’ Multi-purpose Cooperative in supplying cassava chips and by-products to San Miguel Corporation, one of the biggest food and beverage processing company in the Philippines. 28
  • 29. 2. CASSAVA INDUSTRI IN ASEAN Here’s a list of popular culinary uses of cassava in the Philippines. There are two kinds of cassava; the bitter and the sweet. Bitter cassava are used as source of flour that are use to make tapioca, bread, cakes and pasta. It is also the source of ethanol for fuel and animal feeds. It has some medicinal uses too. Cassava is the third largest source of carbohydrates for human food in the world. This article will focus on the culinary uses of sweet cassava. Especially now that the price of rice had gone so high and some countries are experiencing rice crisis, like the Philippines. Cassava is the best alternative. Cassava is much cheaper than rice and can be prepared in several ways as a food. Cassava Cake 29
  • 30. Grated cassava are mixed with condensed milk, evaporated milk, coconut milk, sugar, eggs and grated coconut and then baked for about 25 minutes. Toppings are added consist of egg yolks, condensed milk, coconut milk and coconut cream and then baked again for another 25 minutes. This is a Filipino favorite desert. Cassava Bibingka It is cook by mixing the eggs, sugar, evaporated milk, grated cassava, butter then pour into a greased pan lined with banana leaves or cookie sheet. Coconut milk with flour and condensed milk are then added. Followed by egg yolks pour over baked bibingka and sprinkled with grated cheese and broil till golden brown. Cassava Pudding Packets of cassava is mixed with evaporated milk, sweetened young string coconut, condensed milk, and butter and baked for an hour. Cassava Chips 30
  • 31. Cassava chips are prepared by slicing thinly the cassava in uniform manner and deep fried and then soaked into a mixture of water and sugar, drained and fried again. There you have it, fresh and nutritious cassava chips. Sweetened Cassava (Minatamis na Kamoteng Kahoy) Sweetened cassava is so easy to prepare. Peel and slice the cassava according to your style, caramelized sugar in the pan then pour sliced cassava and wait until all liquid evaporated. It’s done, so easy. Boiled Cassava Simply peel the cassava and cut them according to your desired size and boil it and serve it with your favorite dish or dishes. It can also serve as a snack by dipping it in sugar. Fried Grated Cassava This is one of the easiest and affordable ways of cooking cassava. Peel and grate the cassava add sugar and mix well. Pour some cooking oil in the pan, put one cup of grated cassava and flattened it after a few minutes turn the other side until golden brown. 31
  • 32. Cassava Balls (Bola-Bolang Kamoteng Kahoy) Just mix grated cassava, salt, flour, chopped spring onions and dice carrots (optional) and deep fry. Serve with sauce, it’s done. Mashed Cassava (Nilupak Na Kamoteng Kahoy) Cassava For Energy China imports 98% of cassava production from Thailand to produce biofuel, the US uses 16% of the world's corn supply - enough to feed 350 million people - to produce ethanol only to be burned in its SUVs. Al Gore , who once supported the policy of ethanol production, now calls it a mistake because the rush for biofuel is driving the food prices . The Food and Agriculture Organization ( FAO )) has asserted that food prices have gone up by 15% during October 2010-January 2011 alone, bringing additional 45 million people below poverty line. The soaring food prices are the cause of political turmoil in Algeria, Egypt and Bangladesh. My intention is not to make a case against production of nukes and biofuel. This is about 0.2% of the world's total GDP and is well within the capability of G20 nations that account for about 90% of world's GDP. If rich nations are really serious in saving the planet, some sacrifice needs to be made by them. This is the only way to reduce our 32
  • 33. dependence on fossil-based energy. The last four Conference of Parties - Bali (2007), Poznan (2008), Copenhagen (2009) and the latest at Cancun (2010) - have not achieved anything worthwhile . • The Philippine Energy Plan. The President's Energy Plan aims to make the country 60% energy independent by 2010. Promotion of alternative fuels, including biodiesel and bioethanol, is one of the five components of the plan • • The Biofuel Act of 2006 (THE PHILPPINE) a. Mandates a minimum 1% biodiesel blend into all diesel engine fuels, which increases to 2% after two years. b. Mandates a minimum 5% bioethanol blend into all gasoline fuel distributed and sold in the country within two years, going up to 10% after 4 years. (source: Philippine DOE) c. Investments will go into land for marginalized landless farmers who are supposed to benefit from the opportunity to grow biodiesel feedstocks including sugar cane, cassava, maize, soybeans and jatropha. CASSAVA BUSINESS : PROSPERITY FOR ALL The vision for cassava is that cassava will spur rural industrial development and raise incomes for producers, processors and traders. Cassava will contribute to the food security status of its producing and consuming households. A raison d'être for developing a global cassava marketing strategy is the belief that it will contribute to the economic development of processing communities and well-being of numerous disadvantaged individuals in the world. It is suggested that a necessary condition for the implementation of this strategy is the existence of a growing demand for cassava. To achieve this vision the Global Cassava Strategy is proposed. The essence of the Global Cassava Strategy is to use a demand-driven approach to promote and develop cassava-based industries with the assistance of a coalition of groups and individuals interested in developing the cassava industry. 33
  • 34. The strategy consists of identifying, in a systematic manner, the opportunities and constraints of cassava at each stage of the commodity development cycle. This can be done by groups and individuals interested in developing the cassava industry; producers, processors and consumers of cassava, as well as associated national, international and non-governmental organizations. Concepts of business development and management as well as international economic cooperation are important tools in implementing the strategy. Scientific support is also essential to help overcome important problems within the production-processing-marketing continuum. Adaptive research is essential to ensure that existing and evolving knowledge is harnessed in an appropriate and useful fashion. The overall aim is to achieve demand-driven technical change and economic growth. The Global Cassava Strategy suggests the utilization of "industry analysis". Industry analysis consists of identifying, in a systematic manner, the opportunities and constraints at each stage of the supply chain. Industry analysis involves stakeholders in a participatory effort to identify strengths, weaknesses and opportunities. Industry analysis is a demand-driven approach to technical change through: i) Explicitly considering stakeholders as equal partners in determining the needs and future plans for a dynamic cassava industry; ii) Building a practical, shared vision for cassava development; iii) Helping make action plans for the industry, including the who, what, why, and how, plus the question, with whose money? iv) Building better linkages with private sector organizations; v) Better links with and among public-sector institutions; vi) Co-stewardship of research and service outputs with users; vii)Rapid introduction of high-impact technologies through public and private sector partnerships. The initiation of this Strategy will require catalysts capable of identifying marketing opportunities, and bringing these to the attention of stakeholders, and champions, capable of providing support and resources for the growth and development of cassava markets. Even if the stakeholders agree that there is a growth market for cassava, there may still be need for research and development, provision of infrastructure and investments, and changes in policies to grasp the new opportunity. 34
  • 35. A necessary and perhaps first step in the development of a market- driven global cassava strategy is the identification of markets that are growing or could potentially grow. A second step is the provision of a consistent supply of a relatively uniform product. A third step, related to step two, is to provide the market with a competitively priced product that meets the consumers' requirements. A fourth step is to secure the cooperation of those associated with the market opportunity. The development path for cassava will be product-, location- and time-specific. Nevertheless, it would appear that if the market growth potential exists because of a structural change in the economy (e.g. decreasing number of farmers and increasing number of urban consumers of cassava products, resulting in market growth) one would expect that NGOs and national governments would be in the best position to act as champions and catalysts. If, on the other hand, the market growth exists because cassava is price competitive then both national and international agencies may act as champions and catalysts. Finally, in the case where cassava has a unique advantage the catalyst or champion may not be a national or international agency, but instead be an industry or corporation that has proprietary interest in cassava. The global strategy should be seen as comprising both bottom-up and top-down approaches. The global strategy is an amalgamation of national, regional and continental strategies and plans, augmented by global efforts to identify and stimulate markets. The national efforts will be the action-sites for implementing the global strategy. The global effort assists with financing, changing policies that constrain markets. National strategies should evolve from a process of industry analysis. In this process, the relevance of roots and tubers, especially cassava, as a possible entry point in developing a national strategy should be explored. In particular, special reference should be given to the role of the cassava production-processing-marketing continuum in specific ecological zones or socio-geographic communities, from the viewpoint of food security or income generation and economic diversification. Regional strategies should be developed where farming systems, environmental conditions, and processing and utilization of cassava are similar. Regional strategies should be supportive of and 35
  • 36. supported by regional entities such as ASARECA in East and Central Africa, SACCAR in Southern Africa, or CORAF in West Africa that are actively involved in agricultural development of root crops. These regional entities could act as champions or catalysts for cassava. The continental strategy expands on national and regional strategies. The continental strategy highlights the needs and support that transcend national and regional concerns. The Global Strategy seeks global support to help implement the strategy. Development banks and institutions such as the World Bank, Asian Development Bank, Inter-american Development Bank and African Development Bank may play a vital role. The Global Strategy provides assistance to cassava-growing nations that are developing and supporting national strategies. The Global Strategy should assist with the development of a global forum for the pursuit of cassava market opportunities, identification of source of capital, and promotion of a strong base of research support for global genetic resource and enhancement studies, including biotechnology. A Case Study : INDONESIA An analysis for one cluster of Mocaf agroindustry development. Minimum size of one cluster : 300 hectares One Farm Family manages minimum land : 2,5 hectares The cassava high yeilding varity be grown by farmer who joint the Cluster : Darul Hidayah or Manggu, with the productivity about 100 ton/hectare of fresh cassava with the manurity is 10 months. Every month the farmer grows 0,25 hectares due to the maturity of cassava to be grown ( Darul Hidayah or Manggu varieties ) is 10 months. Thus the farmer can harvest his cassava every month for 0.25 hectares for 10 months duration of one period of cassava farming. If the Darulhidayah or Manggu variety grown by farmer can produce 100 ton fresh cassava per hectare, then for 0.25 hectare every month the farmer can harvest about 25 ton of fresh cassava. That mean the farmer can produse cassava every month about 25 ton of fresh cassava. 36
  • 37. For one Cluster of 300 hectares will be managed by 120 farmers and they will be grouped into 6 groups or 20 farmers for each group of farmers. All fresh cassava produced by all farmers in the Cluster should be processed into Cassava Chips or Dried Cassava, even it can be further processed by farmers as a group into Cassava Powder or Modified Cassava Flour ( Mocaf ) or Starch/Tapioca. Farmers who joint the Cluster , will never sale fresh cassava, but only sale processed cassava to the factory or customers. Even in the very near future, those farmers , member of Cluster of Cassava Agroindustry will never sale any fresh cassava any more. In general the cost of production for produsing 30 tons of Cassava Chips per hectare ( from 100 ton fresh cassava per hectare, ) about IDR 25 million or equivalence to USD 2.8 thousands/hectar, including the cost of slicer and dryer. Thus the cost of 0.25 hectar/month for producing 7,5 ton of cassava chips is USD 700 . If the price of 1 ton cassava chip is IDR 2,000,000 or USD 222/ton chips. Then the revenu of farmer by selling 7.5 ton of chips totaly USD 1,665/month. Therefore the income of farmer for a month become USD 1,665 – USD 700 = USD 965/month ( from 0.25 hectare of land ) or equivalent to IDR 8.7 million/month. This is relatively high income for the farmer in general compared to those of other crop’s farmer including rice farmer. This is the income for the farmer, during the month of 11th up to the 20th. At the month of 20th all loans of farmer to the Bank or to the money lender is completly paid. Starting at the month of the 21 st. every farmer will have higher income due to less in expences in producing the same amount of chips, 7.5 tons/month. The farmer will have saving in from seeds, fertilizer, and the processing equipment (slicer and dryer). It was calculated the farmer’s income starting the month of 21st and beyond will be around Rp 16 million/month or equivalence to USD 1,800/month. All participant farmers in the cluster, 120 farmers, work together to produce Chips every month and send it to the factory of Mocaf. That every month the Mocaf Factory received around 120 X 7.5 tons of Chips = 900 ton Chips/month and sell to Indofood. The factory make profit about IDR 300,000/Ton or equivalent to USD 33/ton. Thus every month the Factory can earned frofit : 900 ton x USD 33 = 37
  • 38. USD 29,700/month.The Cassava Business in ASEAN Region through the Agroindustry Clustering Model Development will become one of choice by farmers and businessmen, because this model can give benefit to all cassava stakeholders, including Farmers or we can said that Cassava : Prosperiry for all. IV. FUTURE CASSAVA BUSSINES DEVELOPMENT IN ASEAN : 1. Organization • ASEAN CASSVA BUSSINES BOARD (ACBB) • ORGANIZATION STRUCTURE : - General Chairmen (Base on Rotation) - Nine Chairmen - Secretary General - Secretary - Treasure - Vice Treasure - Directors of division (The Numer will be discussed) • VISION : Cassava Business in ASEAN as a prime mover in increasing prosperity of the farmers • MISION : - Increasing Cassava production in ASEAN - Quality Control on Cassava production - Strengthening intra ASEAN tread and ASEAN international tread in Cassava - Increasing income of the cassava Famers and other stake holders - Achieving and increasing prosperity for all • OBJECTIVE : Increase income of the farmers of the cassava famers and other cassava stake holder 38
  • 39. PROGRAM : Exchange information on cassava Joint Research and Deployment ln cassava Training and Education in cassava business Exchange of expert in cassava Exchange of Visit • OFFICE (Will be discussed) • FINANCIAL (Will be discus) 2. MANAGEMENT OF CASSAVA BUSINESS 1. In each ASEAN member country Should establish a National Cassava Business Board (NCBB). 2. Will be online operation between ASEAN Cassava Business Board and all National Cassava Business Board 3. Establish cassava agro- industry cluster model to be introduced and be implemented by the cassava famers in all ASEAN member countries. 4. The Farmers will sell only semi processed and processed cassava products : Cassava Chips, Dried Cassava, Cassava Powder, Mocaf, Tapioka, Starch, Ethanol, etc. 5. Every National Cassava Business Board (NCBB) Should have a stock of Cassava Product Ready For Sale. V. CONCLUSION 1. Cassava Business In ASEAN Cassava Business In ASEAN is very good opportunity, due to increase of world demand on cassava and relative high price Cassava Business In ASEAN is very prospective in the future, especially in facing food crisis suc as in the year of 2025 (food diversivication) 2. Cassava : Prosperity for All Sense Cassava has multy full process : food, feed, fuel (bio ethanol), bio degradable plastic an some medicinal 39
  • 40. product, there for cassava will give benefit to many stake holder. This means cassava can give prosperity for all. Nusa Dua, Bali, 8 November 2011 Presenter, Mr. Suharyo Husen Chairman, Indonesian Cassava Society (ICS) 40