1. Introduction
Super typhoon Yolanda/Haiyan hit the Philippines on 8 November 2013 with wind speeds of up to 235 km/h, rainfall of up to 30 mm/hr, and storm surges 6 meters high in some areas.[1] As of 21 November, as many as 13.2 million people are estimated to have been affected, including over 3,900 killed and 4.4 million displaced. Over 1 million homes have sustained damage. Other infrastructure such as roads, airports, seaports, water supply, and electricity lines were devastated. Additionally, the storm caused severe shortages in potable water, food stocks, and medical supplies.
The response has rapidly shifted from provision of essential items to recovery of shelter and livelihoods. The IRC program strategy includes provision of material support for reconstructing shelters as well as assistance to either re-start or continue livelihoods, particularly fishing-focused livelihood systems in coastal areas which have been particularly impacted. Many fishing communities lost critical assets, such as boats, fishing nets, and other material. The physical market infrastructure – the places where fish are bought, sold, and processed – have been affected. The livelihoods of women and youth, who fill specific roles in the fish-oriented livelihood systems have been impacted as well as fishermen.
The purpose of this analysis is to understand how fishing market systems have been impacted by the typhoon, and to identify specific populations in the fishing livelihood system to whom additional livelihood support should be directed in order to re-start fish-based income-earning strategies. The study covered all the coastal barangays of Batad (Alinsolong, Banban, Binon-an, Embarcadero, Tanao and Salong) and San Dionisio (Nipa, Siempre, Viva, Poblacion, Naborot Island, Tiabas, Sua, Bagacay, Borongon, Agdaliran and Odjongan), municipalities of Iloilo Province, Region VI, and focused on the fish capturing activity (excluding aquaculture and seaweed growing activities). The assessment adapted the EMMA methodology to accomplish the assessment objective, but follows the data gathering and analytical processes of the EMMA toolkit. The assessment fieldwork took place from December 7th to December 11th, beginning with including half-day workshops in each municipality with fisherfolks association representatives and personnel in charge of fishery sector within the municipal governments. Focus group discussions were conducted with fishermen in all the barangays of the assessed area, as well as semi-structured interviews with traders, commissioners, vendors, households and boat builders.
The study focused on livelihoods related to fishery activities system. It included mainly markets systems for boat building, fishery activity and fish trading.
Based on the assessment findings, the EMMA team has identified 6 main recommendations to support the re-starting and continuation of fishing-based livelihoods in coastal areas impacted by Typhoon Yolanda. These recommendations are (for more detail on these recommendations, see Section 5 below):
1. Support households to rebuild 16 to 18ft boats and access to 6.5 to 7.5 HP engine, potentially including additional grant for fishing material and inputs;
2. Support the boat builders market system, to reduce market-based bottlenecks to reconstructing boats (mainly the availability of skilled boatbuilders);
3. Support local fish traders and vendors for access to capital to restart their activities;
4. Targeting should be done at barangay rather than household level - some barangays are less affected than others, but there not major differences in terms of the impact of the storm between households (participating in fishing activities) within a barangay;
5. Monitor financial institution decisions for support to fishermen;
6. Monitor boat building material, engine and spare parts prices and availability when taking the final decision for program design.
2. Fishing and Trading Market System
1. Fishing and trading market system[2]
Market environment, Institutions and Rules.
Fishefolks association
There is one fisherfolks association in each and every coastal barangay (and two additional ones for Naborot Island in San Dionisio and an island belonging to Tanao barangay in Batad). Most associations have existed for over 10 years, some of them are almost 20 years old, but very few are active and functional. Only one association actually includes all the fishermen of the Barangay into the association (in Agdaliran, San Dionisio), and only two of the fisherfolk associations are offering any kind of activity (providing a credit system and commercialization of dried fish in Barangay Ban Ban, Batad Municipality; Offering a social security system in Agadaliran, San Dionisio). According to key informants, the fisherfoks association creation was promoted by the municipalities, in order to give access to projects, grant, credit, but have largely been inactive since then. It is not clear why some fishermen are not part of the associations.
The municipal ordinances define a framework for the sustainable management, conservation and development of coastal and fisheries resources. It includes the rules, fees and other regulations for fishery activities (including permit and registration), as well as seaweed , pearl, mussels or oyster growing, and the preservation of specific areas. This document is available at municipality level.
Permiting and registration requirements: Fishermen are supposed to be registered as well as their boat and to pay license and fees according to fishing gear, size of their boat and power of the engine, but some fishermen are not registered[3].
Municipal and Barangay fish and aquatic resources management council (BFARMC and MFARMC) are present at municipal and barangay levels, and in charge together with FARM Office of the implementation of the municipal ordinance, as well as to formulate propositions for its evolution.
The Deputized Fish Guardians (Bantay dagat) are in charge of the control of the fishing materials (to make sure material is respecting the norms) as well as ensuring that the laws are respected, in particular regarding closure period for specific types of fishes (e.g. fishing of tabagak, Hasa-hasa and other mackerel species is prohibited from November to March, spawning season) and restriction regarding fishing gears (Sinsoro & Likos) as well as trawling[4] in municipal water. According to some informants, these rules are not fully respected most of all for vessel operating during night time.
Logging restrictions are in place for native woods but some hulls coming from Masbate seems to be from illegal logging. Risk of illegal logging is low for small and medium size (below 20ft) where local wood can be used. Normally, permits are required for cutting trees for timber, but following Yolanda the authorities suspended this requirement.
Traders, vendors and commissioners have to be registered and are paying for business permit and daily fees in the markets where they are operating.
The Market Chain
Market actors description:
Fishermen owning boats are about 400 to 500 in Batad and 600 to 700 in San Dionisio[5]. Some fishermen are also involved in farming labor or carpentry, but fishing is their main source of income.
Percentage of the fishermen using each fishing gearFishing gear / BATAD / San Dionisio
Crab pot (panggal) / 7.4% / 14.0%
Crab net (pangasag) / 2.0% / 28.5%
Gill net (palubog) / 29.6% / 36.1%
Bubo (fish) / 2.3% / 30.3%
Bubo (squid) / 0.0% / 0.2%
Bag net (baskal / 0.0% / 1.2%
Sinsoro / 0.0% / 4.9%
Hook and line (panagat)
Fish and/or squid / 93.5% / 63.9%
Likos = gill net (kulong style) / 1.1% / 3.5%
Trawl / 3.8 % / 15.5 %
Compressor / 2.5% / 1.4%
100,0% / 100,0%
The main type of fishing practiced by most fisherfolk is "hook and line" (panagat) which is used by 93% of the households in Batad and 64% in San Dionisio. Gill net (palubog) and Crab net (mainly in San Dionisio) are the next most important types of fishing gear. It's important to highlight that most of the households are involved in more than one type of fishing using different types of fishing gear. Most of the fishermen involved in passive gears[6] (e.g. Gill net, crab net, bubo) and more seasonal fishing gears[7], are also involved in hook and line. The fishermen owning only a non-motorized boat will be involved mainly in hook and line and crab pot. Trawling was significantly present in only 2 barangays (Batad and northern part of San Dionisio), and Sinsoro commercial fishing in only 2 barangays (San Dionisio). Batad municipality has no municipal water greater than 10.1 km from the coast, meaning no commercial fishing or trawling is technically allowed in this municipality.
Commercial fishing (sinsoro and Likos) and trawl are the types of fishing requiring more financial investments, hook and line is the one requiring less investment. Investment for gill net, bubo crab net and crab pot will depend of the size of the net, the number of cages (bubo) and crab pots, as well as the fishing area (distance from the coast). (See annex-01 for more information on type of boat, material required and main types of fishes or crab captured). The investment for fishing material can go from 500 (200 crab pots, 25 pesos each one) to thousands of Pesos (for Gill net, it is common to see fishermen with 5 to 7 net set, each one can cost from 2500 4000 pesos)
The wives of fishermen are mainly involved in net repairing but also in fish drying, selling (directly to consumers) and sometime directly in fishing activity with their husband (about 10 to 20% of households).
Capitalista: Some people (commonly called capitalista) from coastal or non coastal barangays will invest in fishery activity, mainly for commercial fishing, but will not be working on the boats. They will generally be the owners of the boats. Boat operators and helpers will operate the boats and will receive payment according to agreed sharing system (see below). The Capitalista or boat owner will generally come to collect the catch and sell it.
Traders, vendor and commissioners are mainly women.
The traders will buy directly from the fishermen (and in few cases from commissioners) and sell to vendors, wholesalers, commissioners and processing plants. Often the traders come from the community in which they buy fish, but they are also based in the trading centers (Estancia, San Dionisio, Concepcion). The traders will also provide loans without interest (see below in services) to the fishermen and can sometimes support fishermen for supply of ice. For example, traders will go to a trading center (e.g. Sara) to sell their fish and bring back ice for fishermen when coming back to the Barangay. They do not own vehicle and have no storage capacity, and generally purchase from 3 to 15 fishermen.
The vendors will buy from the fishermen, from traders or commissioners, and sell directly to the consumers. They have in general a limited financial capacity. Similar to traders, the vendors buy on a regular basis from 3 to 15 fishermen.
The commissioners are based mainly in San Dionisio (9), Alinsolong (Batad), Estancia and Concepcion and will sell their products mainly to traders, vendors and in few cases directly to the consumers. The commissioners agree with the traders or fishermen on a percentage (7 to 10%) they will keep on the price the commissioner will be selling the product. the fishermen will get 90 o 93% of the selling price. The fishermen will trust the commissioner regarding the selling price (they will just agree on a minimum and leave the product with the commissioner) when traders will stay with the commissioner until the transaction is done. The commissioners also provide credit without interest to the fishermen. They usually have access to formal credit as well as informal 5:6 credit systems (See Section key infrastructure, inputs and market services below). The commissioners do not need transport (they sit in the same location where they received and sell directly the fish) and usually do not have storage except for iceboxes. The commissioner will have to be registered and pay fees for their activity.
A key difference between traders and vendors and the commissioners is that the traders and vendors will buy from the fishermen at an agreed price and decide the selling price taking in account their expenses and the market price, whereas the commissioner will take the product, sell it and will take a percentage (previously agreed with the fishermen or traders) on the selling price.
Processing plants are operating in San Dionisio (1), Siempre Viva (3), Estancia and Concepcion.
They are mainly processing Lobo-Lobo, squid, crab, shrimp and shells. They may buy directly from the fishermen and traders, but more often they rely on "collectors" from the processing plants present in few barangays. The Collectors will buy directly from the fishermen within the community. Some processing plants will only accept products from their collector or traders who are previously selected according to minimum quality criteria[8], they will not accept to receive products directly from the fishermen. The processing plants visited normally process a minimum of 2 to 3 tons of product per day, they will employ from 5 to 20 regular employees, plus 20 to 40 contractual employees according to supply. They will mainly export their product to Taïwan. Fish not accepted by the processing plants are often sold directly by the fishermen in the local market, and sometimes sold as bait within the Barangay.
Fish Drying: Only few traders are involved in fish drying, the wives of fishermen mostly to it themselves before selling it to traders or consumers. When the quantities of fish, shrimps or squid are not enough to justify a trip to the place where the commissioners or traders are located, fishermen will prefer to dry their catch and either to sell it locally or to wholesalers when they gathered enough quantities.
The prices (buying and selling) for the processing are stable all year around. Prices on the market (see annex-02 for indicative prices for Sara market) for most of the fishes will be around 20% higher in low season in comparison to peak season. The vendors and traders will in average sell at a price 20php to 40 php higher than the buying price, according to operational costs (transport, storage & ice if necessary). Some traders acting only as intermediate will add from 5php to 10 php per kg depending of the product and transport costs.
Price setting: the prices will be set according to the prices on the main markets (Estancia, Sara, Concepcion). The vendor / traders will deduct their expenses and the expected net benefit to set the price at which they will buy from the fishermen. In only few cases the fishermen will be the one deciding the prices he wants to sell, and price will be set after a short negotiation (fishermen normally sell to only one person, so there is no real competition among buyers to influence the price setting). The vendor will always try to keep his normal margin, and if the price is too low on the market for him/her to get his normal benefit, she/he will store and keep the product up to one week, until the price reaches the expected minimum selling price.