Estimating the Total Annual Economic Loss Attributed to Climate Variations in Agusan Marsh Wildlife Sanctuary: The Case of Fishing and Farming Activities in Talacogon, Agusan del Sur, Philippines

Abstract

The cost of alterations in the quantity or quality of ecosystem services (ES) that are traded on commercial markets can be approximated with the aid of a revealed preference approach, such as the market price method. This study used the market price method to estimate the total annual economic loss from the changes in the demand and supply of fish and crops due to climate variations in Agusan Marsh Wildlife Sanctuary (AMWS). Household interviews were done in the municipality of Talacogon using four sets of structured survey instruments to gather information such as the quantity supplied monthly by fisherfolks and farmers as well as the quantity demanded by residents at different market prices. The consumer surplus and producer surplus during peak and off-seasons were calculated to estimate the annual loss in economic benefits to consumers and producers. The most commonly consumed and produced products in terms of fishing and farming were Channa striata and Oryza sativa L., respectively. Climate variations have an impact on both fishing and farming commercial activities. During the dry season (March to August), fewer fish are caught due to low water levels in rivers and lakes, while crops cannot be planted during the wet season (September to February) because a lot of land areas are flooded. The total annual economic loss was calculated at PHP 99,974.50. This estimated monetary value can be a basis for decision-makers and concerned stakeholders to efficiently allocate funds for sustainable programs to capacitate the fisherfolks and farmers to increase adaptation mechanisms for climate variations.