Republic of the Philippines

NATIONAL FOOD AUTHORITY

Cagayan Valley Regional Office
Mabini, Santiago City
September 29, 2015
FOR

DIR. DANILO I. PASTRANA

NFA Regional Office No. 02

FROM

COMMITTEE ON MARKETING OPERATIONS

SUBJECT

EVALUATION REPORT ON THE POSIBLE DISPOSITION OF EXISTING LDPE

POLYBAGS

I. BACKGROUND
This refers to the existing inventory of LDPE Polybags of Region 02 that remain unutilized due to
stoppage of the repacking of Iron Fortified Rice intended for distribution to the beneficiaries of Food for
School Program.
II. FACTS
1. LDPE Inventory as of August 30, 2012:
PROVINCE
1 KG CAP.
ALLACAPAN
CAGAYAN
26,685
KALINGA
ISABELA
N. VIZCAYA
32,700
QUIRINO
IFUGAO
MT. PROVINCE
TOTAL

2 KG CAP.
288,000
32.3166
287,500

2. The above LDPE Inventory were bought by the region to be used as plastic container for rice to be
repacked for distribution to the beneficiaries of Food for School Program of DSWD and DepEd.
3. Said LDPE inventory were purchased in 2008. Most of it were still sealed and has no signs of
deterioration.
4. Unit cost per book value is P0.419 per piece.
II. ANALYSIS/EVALUATION:
1. 1 kg capacity is not suited due to its limited capacity as sample plastic bag to be used by Quality
Assurance Officer when drawing of samples in the warehouses. 2kg capacity can be used instead.
2. Huge volume of LDPE 2kg capacity
IV. RECOMMENDATION:
1.

Based on the facts presented, the Committee on Marketing Operations hereby recommends the
following:
a. To offer such LDPE for sale to interested buyer.
b. To recommend that minimum bid price

c. Transfer of palay/rice stocks to other provinces/NCR shall only be undertaken when the
Magapit bridge will become passable to all kinds of vehicles;
d. To source the rice stocks from NFA Isabela and Cagayan in case we will be instructed to
send to NCR since these provinces have surplus inventory.
e. To hold the stocks in palay form rather in milled rice form to prevent quality decline
f. To defer/reset the time table of Private Miller-Contractor to mill our stocks until such time
that the road going to NCR will be passable.

For your further evaluation and approval.

COMMITTEE ON MARKETING OPERATIONS
ELIMAR C. REGINDIN
Economist IV, Member

CORAZON C. PANGAN
Regl. Operations Officer, Member
MARILOU C. ARELLANO
Regional Accountant
MARIO M. GONZALES
Asst. Regional Director

APPROVED BY:
DANILO I. PASTRANA
Regional Director

THELMA T. TABUAC
RSQAO, Member

FAXMESSAGE FOR TRANSMISSION

September 29, 2015
TO

DIR. DANILO I. PASTRANA

NFA Regional Office No. 02

FROM

COMMITTEE ON MARKETING OPERATIONS

SUBJECT

EVALUATION REPORT ON THE POSIBLE DISPOSITION OF EXISTING LDPE

POLYBAGS

I. BACKGROUND
This refers to the existing inventory of LDPE Polybags of Region 02 that remain unutilized due to
stoppage of the repacking of Iron Fortified Rice intended for distribution to the beneficiaries of Food for
School Program.
II. FACTS
2. LDPE Inventory as of August 30, 2012:
PROVINCE
1 KG CAP.
ALLACAPAN
CAGAYAN
26,685
KALINGA
ISABELA
760,400
N. VIZCAYA
32,700
QUIRINO
IFUGAO
MT. PROVINCE
TOTAL

2 KG CAP.
288,000
32.3166
322,300
287,500
102,000

5. The above LDPE Inventory were bought by the region as plastic container for rice to be repacked
for distribution to the beneficiaries of Food for School Program of DSWD and DepEd.
6. Said LDPE inventory were purchased in 2008. Most of it were still sealed and has no signs of
deterioration.
7. Unit cost per book value is P0.419 per piece.
III. ANALYSIS/EVALUATION:
1. 1 kg capacity is not suited due to its limited capacity as sample plastic bag to be used by Quality
Assurance Officer when drawing of samples in the warehouses. 2kg capacity can be used instead.
2. Huge volume of LDPE 2kg capacity
IV. RECOMMENDATION:
2.

Based on the facts presented, the Committee on Marketing Operations hereby recommends the
following:
a. To offer such LDPE for sale to interested buyer.
b. To recommend that minimum bid price
c. Transfer of palay/rice stocks to other provinces/NCR shall only be undertaken when the
Magapit bridge will become passable to all kinds of vehicles;
d. To source the rice stocks from NFA Isabela and Cagayan in case we will be instructed to
send to NCR since these provinces have surplus inventory.
e. To hold the stocks in palay form rather in milled rice form to prevent quality decline

f.

To defer/reset the time table of Private Miller-Contractor to mill our stocks until such time
that the road going to NCR will be passable.