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Development of Agribusiness Enterprises - Asian Productivity ...

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Financing/Credit Inadequacy <strong>of</strong> financial resources<br />

for agribusiness<br />

High interest rate<br />

Low recovery <strong>of</strong> bank loans<br />

Marketing Lack <strong>of</strong> infrastructure (e.g., telephones<br />

and roads)<br />

Inability to supply quality products<br />

- 11 -<br />

Allocation <strong>of</strong> more credit/funds for<br />

agribusiness enterprises<br />

Reduction <strong>of</strong> the interest rate<br />

Improvement <strong>of</strong> recovery rate<br />

Improvement <strong>of</strong> infrastructure, particularly<br />

in the rural areas<br />

Provision <strong>of</strong> facilities and training<br />

Strengthening <strong>of</strong> marketing linkages<br />

(e.g., through exhibitions abroad and<br />

locally)<br />

Provision <strong>of</strong> post-harvest technology<br />

Group II (Indonesia, Republic <strong>of</strong> Korea, Malaysia, the Philippines and Vietnam)<br />

Chairperson: Mr. Prajogo Utomo Hadi<br />

Rapporteur: Ms. Nemelita G. Sungcaya<br />

Area Issues Strategies/Measures<br />

Policy Lack <strong>of</strong> or poor infrastructure<br />

facilities (e.g., farm-to-market roads,<br />

ports, agribusiness terminal markets,<br />

chain cold storage, drying facilities<br />

and storage)<br />

Constant shifting/inconsistency <strong>of</strong><br />

policies<br />

Overlapping <strong>of</strong> policies<br />

Management Lack <strong>of</strong> or poor incentive system for<br />

encouraging improved production<br />

performance<br />

Poor management capability<br />

Technology Seasonality <strong>of</strong> supply <strong>of</strong> agricultural<br />

products<br />

Little financial support for R&D <strong>of</strong><br />

SMEs<br />

High cost <strong>of</strong> technology<br />

Focusing <strong>of</strong> government spending<br />

on infrastructure development<br />

Establishment/implementation <strong>of</strong><br />

monitoring mechanism on infrastructure<br />

development<br />

Strengthening and/or organization <strong>of</strong><br />

the private sector (SMEs) and undertaking<br />

regular consultation with<br />

them<br />

Undertaking appropriate consultation<br />

with concerned agencies<br />

Setting up a reward system<br />

Designing a set <strong>of</strong> standards<br />

Formulation <strong>of</strong> sustainable and<br />

innovative training program (SME<br />

and government partnership)<br />

Improvement <strong>of</strong> productivity<br />

Establishment <strong>of</strong> common service<br />

facilities (e.g., cold chain storage)<br />

for SMEs<br />

Increasing financial support for<br />

R&D<br />

Provision <strong>of</strong> incubators<br />

Creation/establishment <strong>of</strong> strategic<br />

alliances with SMEs <strong>of</strong> developed<br />

countries<br />

Provision <strong>of</strong> support for SME participation<br />

in technology transfer from<br />

developed countries

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