Marketing strategies for selected industrial tree plantation species in the Philippines
2001
Centeno, V.A.
The study found that there are many opportunities for expanding the market of ITPS [industrial tree plantation species]. There is a huge demand for wood both in the domestic and international markets as wood processors continue to search for alternative sources of raw materials to replace scarce and expensive wood from natural forests. Current market-trends also indicate a preference for light colored wood. The study also showed that a mismatch in demand and supply existed between the plantation owners and the wood users. The wood based industry needs a reliable supply of raw material but the plantation owners could not reach out to the available market. Most plantation owners were only able to supply the raw material needs of wood users within their locality. Effective marketing intermediaries are needed. And because plantation owners practiced poor marketing strategies, they could not get the best price for their products. Many plantation owners were found to have limited capital which hindered their access to technology. In addition, they hardly applied proper silvicultural practices and value-added activities. CFIP [Chamber of Furniture Industries of the Philippines] had been promoting the development and use of ITPS. It has projected that as a result of its efforts, a "win-win" situation for the manufacturers and the plantation owners could be realized. Technologies developed for the utilization of ITPS were not available to plantation owners and this could be traced to poor information and technology dissemination. The relative remote location of the plantation owners is relation to the source of technology development could be the greatest factor that contributed to this situation. Processors generally prefer sourcing their log requirements from large tracts of continguous plantations
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