Understanding Agribusiness Models in the Bamboo Sector: A Case From Central Luzon, Philippines | Research on World Agricultural Economy

Understanding Agribusiness Models in the Bamboo Sector: A Case From Central Luzon, Philippines

Edgelly G. Vitug

College of Management and Business Technology, Nueva Ecija University of Science and Technology, Partida, San Miguel, Bulacan 3011, Philippines

DOI: https://doi.org/10.36956/rwae.v6i3.2218

Received: 26 May 2025 | Revised: 11 June 2025 | Accepted: 13 June 2025 | Published Online: 2 July 2025

Copyright © 2025 Edgelly G. Vitug. Published by Nan Yang Academy of Sciences Pte. Ltd.

Creative Commons LicenseThis is an open access article under the Creative Commons Attribution-NonCommercial 4.0 International (CC BY-NC 4.0) License.


Abstract

The Philippine bamboo industry represents a significant economic and environmental sector, characterized by its versatility, rapid growth, and rising global demand. This research aims to define the bamboo industry in Central Luzon and evaluate the business models of 36 registered bamboo enterprises under the Department of Trade and Industry’s (DTI) Bamboo Industry Cluster, utilising the Business Model Canvas (BMC) framework. A descriptive quantitative design was utilized, employing total population sampling and a structured questionnaire validated by domain experts. The findings indicate that the majority of enterprises operate on a micro-scale, depending on self-financing, backyard sourcing, and manual production techniques. Desirability is rooted in specific customer segments and value propositions that emphasize environmental sustainability and artistic expression. Feasibility is enhanced by informal networks, referrals, and cooperative partnerships; however, it is limited by restricted capital, automation challenges, and a consistent supply of bamboo. Viability is achieved through lean operations and income diversification, with numerous enterprises reporting modest profits and alternative revenue streams from farming, non-bamboo products, and machinery rentals. The results underscore the need to enhance innovation capacity, institutional support, market access, and value chain integration. Recommendations include strengthening procurement policies, semi-mechanization, IP protection, and shared service facilities. The study offers a strategic analysis of the potential for local bamboo enterprises to achieve sustainability, competitiveness, and social inclusivity as catalysts for rural development and ecological resilience.

Keywords: Bamboo Enterprises; Business Model Canvas; Enterprise Models; Innovation Practices; Supply Chain Development


References

[1] Department of Trade and Industry, 2015. Philippine Bamboo Industry Development Roadmap. Available from: https://www.dti.gov.ph

[2] Lapis, A.B., et al., n.d. [Data on bamboo species in the Philippines]. As cited in Philippine Bamboo Industry Development Roadmap.

[3] Virtucio, F. D., & Roxas, C. A. (forthcoming). Bamboo production in the Philippines. Ecosystems Research and Development Bureau, Department of Environment and Natural Resources.

[4] Official Gazette, 2010. Creating the Philippine Bamboo Industry Development Council. Official Gazette of the Republic of the Philippines. Available from: https://www.officialgazette.gov.ph/

[5] Africa Renewal, 2016. Bamboo: Africa’s untapped potential. Available from: https://www.un.org/africarenewal/magazine/april-2016/bamboo-africa%E2%80%99s-untapped-potential (cited 20 June 2025).

[6] CBI Ministry of Foreign Affairs, 2017. Exporting value-added bamboo products to Europe. Available from: https://www.cbi.eu/market-information/timber-products/value-added-bamboo-products

[7] Future Market Insights, 2021. Bamboos market snapshot (2021 to 2026). Available from: https://www.futuremarketinsights.com/

[8] Department of Agriculture Regional Field Office 5, 2021. Bamboo techno guide. Available from: https://bicol.da.gov.ph/wp-content/uploads/2021/09/Bamboo-technoguide-2021.pdf

[9] Cruz, R.D., 2020. Bamboo offers many agricultural and agribusiness opportunities. Agriculture Magazine. Available from: https://www.agriculture.com.ph/

[10] Department of Environment and Natural Resources – Region III, 2018. National Greening Program: Bamboo plantation data by province. DENR Region III. Available upon request from the DENR Region III Office

[11] Department of Science and Technology - Forest Products Research and Development Institute, 2015. Local engineered bamboo industry can look forward to better days. Available from: https://fprdi.dost.gov.ph/

[12] Plantations International, 2022. Bamboo investment profile. Available from: https://www.plantationsinternational.com/bamboo/

[13] Ching, H., Fauvel, C., 2013. Criticisms, variations and experiences with business model. European Journal of Agriculture and Forestry Research. 1(2), 26–37.

[14] Mansfield, T., 2019. Alex Osterwalder’s Business Model Canvas template: Why use it and how. Available from: https://interaction.net.au/.e

[15] Amanullah, A., Aziz, N., Hadi, F., et al., 2015. Comparison of Business Model Canvas (BMC) among the three consulting companies. International Journal of Computer Science and Information Technology Research. 3(2), 462–471.

[16] Strategyzer, n.d. Business models. Available from: https://www.strategyzer.com/expertise/business-models

[17] Business Research Method, 2022. Descriptive research. Available from: https://research-methodology.net/descriptive-research/#_ftn2 W

[18] Business Libretext, 2021. Designing the business model. Available from: https://biz.libretexts.org/

[19] Department of Trade and Industry – Region III (2022). Bamboo value chain stakeholder consultations: Central Luzon summary report. Based on focus group discussions conducted with industry stakeholders. Available upon request from DTI Region III.

[20] Philippine News Agency, 2021. DENR backs bamboo planting to rehab Manila Bay, riverbanks. Available from: https://www.pna.gov.ph/articles/1131164

[21] Pampanga State Agricultural University (PSAU), n.d. Research and extension on bamboo-based livelihood. Available from: https://psau.edu.ph

[22] President Ramon Magsaysay State University (PRMSU), n.d. Bamboo propagation and innovation initiatives. Available from: https://prmsu.edu.ph

[23] Tarlac Agricultural University (TAU), n.d. Bamboo research and development programs. Available from: https://tau.edu.ph

[24] Mishra, S., Kanchan, P., 2021. A study on consumer purchasing behavior towards bamboo-based products. International Journal of Science and Research (IJSR). 10(9). Available from: https://www.ijsr.net/archive/v10i9/SR21916215934.pdf

[25] Nurdiah, E. A. (2016). The potential of bamboo as building material in organic shaped buildings. Procedia – Social and Behavioral Sciences, 216, 30–38. https://doi.org/10.1016/j.sbspro.2015.12.004

[26] Cahiles-Magkilat, B., 2022. PBBM urged to compel DepEd to use bamboo school chairs. Manila Bulletin. Available from: https://mb.com.ph/2022/09/05/pbbm-urged-to-compel-deped-to-use-bamboo-school-chairs/

[27] Hassan, R., Nawaz, A., Lashari, M., Zafar, F., 2015. Effect of customer relationship management on customer satisfaction. Procedia Economics and Finance. 23, 563–567.

[28] Castillo, F.G. Jr., 2018. Consumer buying behavior: the multicultural influence in the Philippines. The International Journal of Business Management and Technology. 2(2), 71–75.

[29] Chen, J., 2022. After-sales service support: examples and best practices. Investopedia. Available from: https://www.investopedia.com/terms/a/aftersales-support.asp.

[30] Chron, 2021. The importance of customer feedback. Available from: https://smallbusiness.chron.com/importance-customer-feedback-2089.html

[31] Paychex, 2022. What is cash basis accounting? The pros and cons of this method. Available from: https://www.paychex.com/

[32] Gasingan, D., 2022. LBP supports bamboo industry thru KAWAYAN Financing Program. Philippine Information Agency. Available from: https://pia.gov.ph/ W

[33] Efti, S., 2019. Why referrals are the most valuable form of marketing. Forbes. Available from: https://www.forbes.com/

Online ISSN: 2737-4785, Print ISSN: 2737-4777, Published by Nan Yang Academy of Sciences Pte. Ltd.