Agriculture.ph Blog

Agribusiness success story

One successful agribusiness venture that continues to surge is Harbest Agribusiness Corporation owned by our good friend Arsenio ‘Toto’ Barcelona. This company started in 1997 with the introduction into the local market of the hybrid seeds of Known-You Seed Company of Taiwan. Years before, another company tried to introduce the same but the venture did not last long.

It took a very determined Toto Barcelona to make Known-You Seeds become a byword among progressive Filipino farmers. At first, Toto had to contend with the high cost of the hybrid seeds that he was promoting. Many farmers complained that unsprouted seeds of hybrid ampalaya were costing as much as P5 apiece. But that did not discourage Toto to promote Known-You Seeds. He just had to show that by planting hybrid seeds, yield could be multiplied many times and in the end the farmers will make more income.

For a start, he had to buy initial seeds which were first planted in trials at UP Los Baños with the help of Dr. Diosdado Castro, former staff of the Asian Vegetable Research and Development Center (AVRDC) in Taiwan. As expected, the trials were successful and that gave him confidence to make the business an honest-to-goodness business. He also had to conduct field demonstrations in the provinces.

Among the seeds that have now become bestsellers are Red Lady papaya, Bright Jean sweet corn, Phoenix squash, seedless and other varieties of watermelon, honeydew melons, ampalaya, tomatoes, eggplant, various sweet and hot pepper varieties, patola, upo and others.

He had made collaborations with local government units as well as the SM Foundation in training farmers on the production of high-value crops.

How did he get the Taiwan connection? Well after graduation, he was hired by a friend to manage a donut factory in Taipei. The posting led to one business after another, including organizing farm tours in Taiwan for agribusinessmen from the Philippines. That eventually led him to recognize the potentials of Known-You Seeds. Today, aside from seeds, Harbest Agribusiness also distributes various farming inputs, including small tractors for land preparation in vegetable farms. The operation is now nationwide. A new office in Bicol was inaugurated just recently.

Written by Zac Sarian

Source: Manila Bulletin

A hobby goes big time

MANILA, Philippines – Fe Mejia-Vidal started her now popular CBN Bonuan Boneless Bangus products 14 years ago with only 20 pieces of bangus (milkfish) and P500 capital. CBN are the initials of the names of her three children.

At the start, people knew about her products only by word-of-mouth, but over the years, her fame has spread far and wide, from the province of Pangasinan to different parts of the Philippines and even to other countries. Her products can now be found in malls, restaurants, hotels all over the country.

One day, she recalled, during a convention of certified public accountants at the mayor’s office, she hung a streamer in front of her residence upon the prodding of her friend who believed in the potential of her product.

To her surprise, convention delegates stopped by to taste her delicacies, and bought her products.

When she would accompany her children to school, she would tell her fellow mothers she had bangus products. She brought samples and they sold out immediately.

From an initial 20 pieces of bangus, Kagawad Fe – as her neighbors call her, since she was a former barangay kagawad (councilor) – is now the biggest producer of boneless products, with average daily production of 30 banyeras (tubs), each tub containing 120 pieces of bangus.

During peak season starting September, CBN produces daily as much as 50 to 60 banyeras of boneless products like daing, tinapa, belly, relleno, lumpia, kilawen, longganisa, nuggets, burger, and siomai.

She used to have a Taiwanese client who brought her products to Hong Kong and Singapore and ordered one ton of boneless bangus twice a month.

Balibayans are among her loyal clients who bring her products to different countries.

Dagupan City’s biggest mall CSI, which has many branches in the province of Pangasinan as well as in La Union and Candon in Ilocos Sur, sells boneless bangus products made by CBN.

Vidal, a former teacher, employs 40 workers who help her meet the rising demand for her products. During peak season, she hires more helpers. Her workers process the fish manually, but they are certified hygienic, she shared.

While competition is tight in this business, she said she has the edge because of the quality of bangus she uses – only the best and the freshest, and only those that are grown and harvested in Pangasinan.

Looking back, Vidal said she and her husband Renato are blessed with their business and are able to give their three children a good education. They were also able to acquire several properties through their hard work.

She is thankful to their products’ official carriers, Victory Liner and Dagupan Bus, for helping them deliver their products promptly to their clients, who pick up the boxes and crates of their bangus at bus terminals in various parts of the country.

“In this business, trust is very important, and I maintain this with my clients,” she said.

Asked why she does not put a brand on her products that will make people identify the producer, Vidal said,” So that my clients who sell our products will also have the chance to earn, otherwise people will go straight to us.”

“In this life, it is important to share your luck and blessings with others,” she added.

Written By Eva Visperas

Source: Philippine Star

Carreon’s sweet success

THE PROVINCE of Pampanga has had such a longtime romance with lavishly prepared dishes and sweet delicacies that through the years, many Kapampangans did not hesitate to call on their innate culinary talent to start their own business. Only a few, however, could boast of having lasted decades in the local food industry.

Carreon’s Sweets and Pastries (Carreon’s) is among those who did. Put up by Lourdes Carreon in 1946, the backyard business quickly became popular for its pastillas de leche, mazapan de pili, caramel, empanaditas, and yema. Ms. Carreon’s tasty delicacies eventually gained such a strong following that she no longer needed to peddle her products from house to house, as she did during the post-war period.

Word-of-mouth have prompted customers to take the long drive to Magalang, Pampanga to buy Carreons’ sweet offerings—the only place where they could be bought until another store was opened in San Fernando. Until now, according to Francis Carreon, who now manages the start-up founded by his grandmother, limited distribution remains the business’s biggest challenge.

“We have regular customers from as far as Manila but Carreon’s is not available there, so that’s lost opportunity. While we want to cater to them, it’s still difficult [at this stage]. We got a lot of calls requesting that we open in a nearer location, which we recently have,” said Mr. Carreon, an applied economics graduate who took over the family business in 2004.

While consignment to groceries and supermarkets is a common means of distribution for food manufacturers, Carreon’s prefers to sell in its own stores. “That’s not the direction we want to take since some might see it as commercialization. Given that our products are highly perishable, it would be difficult to consign. We want to keep the home-cooked quality and keep them preservative-free, which is what most customers want,” Mr. Carreon explained.

While the company may be missing out on a bigger clientele because of its remote location, Mr. Carreon said that operating in the province still has its advantages. For instance, carabao’s milk, the main ingredient of most of Carreon’s products, is readily available in the countryside. In addition, provincial labor rates are lower and because the store stands on the family’s property in Magalang, monthly rent is done away with.

It also helped that the enterprise got some support from government agencies like the Department of Science and Technology (DOST) and the Department of Trade and Industry (DTI), as well as private organization Philippine Business for Social Progress (PBSP).

DOST helped upgrade Carreon’s equipment and improve its look and packaging, which resulted in more efficient production and brisk sales. “We really saw a great impact on our business. Before, this time of the year would already have been our lean season, but demand has remained non-stop since October. Parang Pasko pa rin (It still seems like Christmas),” said Mr. Carreon.

DTI helps with exposure and promotion, primarily by inviting Carreon’s to partcipate in its trade fairs. The agency also pioneered the brand name “Vida Pampanga!” the province’s official brand of quality and excellence. Carreon’s is a member of the Sweets and Delicacies Association of Pampanga, the first industry group to be granted the Vida Pampanga! seal in the province.

PBSP, meanwhile, supports the region’s SME sector through advisory programs conducted by experts in different fields. “They help and teach us on accounting, food processing and we only pay for incidental expenses, unlike if we hire others, we’d have to pay a big amount,” Mr. Carreon said.

The third-generation entrepreneur believes that the region’s proximity to Metro Manila and to export zones make the province a potent ground for entrepreneurship. “Pampanga is quickly developing and this provides people with numerous opportunities for business and potential for success. If you have a good business idea, now is the time to start,” Mr. Carreon tells his Kabalen entrepreneurs.

Carreon’s Sweets and Pastries is at 427 San Nicolas I, Magalang, Pampanga; tel. no. (045) 343-4492 and telefax (045) 866-0609. Its San Fernando store is located at Stall D22, Maligaya Shopping Center, MacArthur Highway, Dolores. Contact Francis Carreon at carreons.sweets@gmail.com or at 0917-896-1253.

Written by Hannah M. Muralla

Source: Business World Online

Chicharon maker eyes exports

R. LAPID’S Chicharon and Barbecue is aiming to be the country’s exclusive exporter of crispy pork skin or chicharon to the United States after investing in production and packaging machines.

“I am trying to get a Hazard Analysis and Critical Control Points (HACCP) accreditation and comply with the International Organization for Standardization. If I complete [the certifications], I will be the exclusive chicharon exporter in the country,” Rey C. Lapid, president and owner of R. Lapid’s, told BusinessWorld on the sidelines of the World Food Expo 2009 in Pasay last week.

The company’s bid to export will begin late this year by increasing chicharon production through a new boiler and kettle machine.

Mr. Lapid said his firm would buy a new machine in the second half and is choosing among suppliers from China, the United States or Taiwan. The purchase will be financed through loans from state-run Land Bank of the Philippines.

“With the boiler, I can save up to 30% of production cost by using less electricity, diesel and liquefied petroleum gas,” Mr. Lapid said, adding that chicharon output might increase by 30%-40% from the current 5,000 kilogram of imported pork skin processed daily.

Meanwhile, a P4-million aluminum packaging machine will be used starting next year, Mr. Lapid added.

HACCP is a management system to address food safety through the analysis and control of biological, chemical, and physical hazards from raw material to the production, handling, manufacturing, distribution and consumption of the finished product.

R. Lapid’s has received an accreditation from the National Meat Inspection Service for “Good Manufacturing Practices.”

Mr. Lapid said the market for chicharon exports to the US would be overseas Filipinos.

R. Lapid’s, which was established in 1974, began importing raw materials from the US and European countries in 1996 and from Canada since last year.

Expansion of R. Lapid’s stores will be made through motorcycle-style or multi-cab rolling stores given high rental fees in malls and business establishments, Mr. Lapid said.

To date, R. Lapid’s has 100 stores, of which 95 are in Luzon. Five are in the Visayas. — Neil Jerome C. Morales

Source: Business World Online

Seminar updates Dole partners on what fresh produce is

THE business of selling “fresh produce” in these times means engaging everyone involved in the food-distribution chain on the necessary innovation and quality standards to ensure that what goes onto the shelves, right up to the consumers’ forks, is indeed fresh and safe.

Dole, a global producer and marketer of high-quality fresh fruits and vegetables committed to fulfill its customers’ needs and consumers’ expectations in the critical areas of quality assurance and food safety, recently held the first-ever Fresh Produce Seminar entitled “Fresh Farm and Beyond” at Dusit Thani Hotel, Makati.

The event sought to expand and deepen the knowledge of their business partners and potential clients on fresh produce. The seminar also discussed cutting-edge farming techniques, harvesting processes and handling requirements of Dole produce, including bananas, pineapples, papayas, asparagus and other vegetables. This allowed clients to discover the delicate step-by-step process products undergo, from seed to shelf to fork.

The seminar also highlighted the importance of addressing quality management, assurance and food safety in the production and distribution of products that bear the Dole trademark.

Dole headlined its continuing efforts to develop new innovative food offerings through state-of-the-art production and processing infrastructure. These new offerings include a growing line of value-added products and ready-to-eat food offerings such as the Apple Slices and Cavendish Singles that focus on providing healthy snacking options and convenience to consumers by being widely available in supermarkets, convenience stores, fast-food chains and gas stations.

Topping the event was a showcase of the marketing programs and products Dole is set to launch during the remainder of the year. Leveraging on being the world’s largest producer and marketer of high-quality fresh fruits and vegetables, Dole provides consumers in more than 90 countries with high-quality food products. While maintaining its strong global market leadership, it also continues to strengthen its commitment to the Philippine market with local farms located in the northern and southern parts of the country that deliver the freshest fruit and vegetable offerings available nationwide.

Source: Business Mirror

Davao agri store goes greener

WITH the environment taking multiple blows from all other industries worldwide and the country’s carbon footprint getting bigger by the minute, one agricultural dealer in Davao holds its ground and decides to even the odds a little bit and go organic all the way.

Tilson Trade, to date, is the only 100 percent agri-organic store in Davao City. Its wide array of fungicide, pesticide, foliar and composted fertilizers is purely organic delivering the same growth quality as its chemical-based counterparts but definitely without the harmful effects to humans, animals and to the general environment — a plus factor the world surely needs in these trying times.

“All our products are sourced out from nature itself, processed and then introduced back to nature as plant boosters among others,” Tilson Trade operations manager Paul Lumbre explained.

Its banner product Pag-Asa Organic Fertilizer, for one, is a product of fish and cow droppings processed under very strict and advanced technology. Once introduced back into the soil, it restores and maintains soil richness to provide necessary nutrients to plants without the environmental trade-offs usually associated with chemical-based fertilizers.

“It’s the microorganisms in our fertilizers that keep the soil as rich as ever. This means lesser re-fertilization within each cycle that translates to bigger profit/yield to our local farmers,” Lumbre said.

Tilson Trade is also the first to innovate its packaging into smaller 2-kg. packs which makes handling easier and the cost more affordable by the local market. These smaller packages are becoming a hit among household fertilizer users who find the standard 50 kg. sacks cumbersome and too costly for gardening use.

It is this marketing savvy that brought its products closer to the city farmers and businessmen alike.

Their products are sold at NCCC Mall Supermarket, Chua’s Orchid Garden inside NCCC Mall, Garden Classic, SM City Mall, Davao Flower Garden and Tiange Village across SM City Mall in Matina.

Tilson Trade holds store at Omnor Building on Buhangin Diversion Road. It is a small, unassuming structure with big dreams of one day making it big in the industry. They take pride in starting local initiatives to promote affordable, sustainable and environment-friendly farming methods. For interested parties Tilson Trade communication lines are open beyond store hours: (082) 302-6563 or 0908-677-9111. (BOT)

Source: Sun Star

Sunsweet introduces Philippine Pineapple, an unbelievably sweet and juicy dried fruit snack

Taste and nutrition have long been topics of discussion when making choices for your diet. With so much uncertainty over what products are healthy in the marketplace, Sunsweet Growers is proud to lead the way by delivering delicious, convenient and nutritious foods to help people lead healthier lives. The latest addition is the release of Sunsweet’s Philippine Pineapple in a 6-ounce package – now making it easier to get the maximum health benefits out of a satisfying snacking choice. And, it’s so sweet and juicy you won’t believe it’s actually dried fruit!

What makes Philippine Pineapple different is the extraordinary effort Sunsweet goes through to bring top-quality product to consumers. Philippine Pineapple is grown in ideal conditions in the Philippines, planted at elevations of 2,000 to 3,000 ft, where cooler temperatures add more moisture to the finished product versus pineapple grown in hotter climates or at lower elevations.

“People are searching for healthy snacking alternatives and dried fruit is a treat that’s always smart to eat,” said Steve Harris, vice president of marketing at Sunsweet Growers. “Not only is Philippine Pineapple great for a quick and convenient snack, it really does satisfy the most serious sweet tooth!”

In today’s fast-paced, snack-driven culture, perishability and convenience make fresh fruit difficult to eat. Sunsweet’s offering of delicious and nutritious products, like Philippine Pineapple, makes eating dried fruit a smart choice – anytime, anywhere.

About Sunsweet Growers, Inc.

Headquartered in Yuba City, Calif., Sunsweet Growers, Inc. is one of the world’s largest handlers of dried fruits including dried plums, apricots, cranberries and raisins. A grower-owned marketing cooperative, Sunsweet provides one-third of the world’s dried plums. The Sunsweet brand is widely recognized as representing products that promote a healthy lifestyle for today’s consumer.

Philippines: San Miguel ‘interested’ in Dole Food

Beer-based San Miguel Corp said Monday it is interested in acquiring the Philippine and regional operations of US multinational Dole Food Co., the world’s largest fruit and vegetable producer.

“We confirm that the Company is interested in Dole Food Co. and its other units in the Asia-Pacific Region,” locally-listed San Miguel said in a statement to the Philippine Stock Exchange, reacting to a local news report.

San Miguel, southeast Asia’s largest food and beverage outfit, did not say if there are ongoing negotiations or whether any are planned in the short term. The company is also aggressively expanding into heavy industries.

Dole’s Philippines unit grows pineapple and bananas in the southern region of Mindanao.

Source: economictimes.indiatimes.com

Floirendo-led pineapple exporters merge

The Securities and Exchange Commission approved on Tuesday the merger of Floirendo-owned pineapple exporters Davao Agricultural Ventures Corp. and Southern Fresh Products, with the former as the surviving entity.

Davao Agricultural Ventures will add Southern Fresh Products’ P1.02 billion in assets to its own tally, worth P780.68 million. The surviving company will also assume Southern Fresh Products’ liabilities worth P423.33 million. Both companies said the merger would make operations more efficient.

Davao Agricultural Ventures told corporate regulators it would no longer issue shares to Southern Fresh Products’ stockholders since both firms are owned by Davao-based Anflo Management & Investment Corp. and Del Monte Fresh Fruits Far East B.V.

The surviving firm will instead treat Southern Fresh Products’ book value of P500 million as additional paid-in capital, the company said in its merger proposal.

Source: Business World Online

KM Foods Inc.: Promoting GSC tuna products

THIS small business has time and again proven why it could reap several recognitions in the food processing industry, not only in the local community but also in the national level.

Awarded as the product innovator and emerging entrepreneur of Yaman Awards in 2008, one of the highlights of Yaman Gensan, which recognizes micro, small and medium enterprises in this city, KM Foods Inc. is chosen anew as one of the finalists for this year’s Yaman Awards.

KM Foods produces tuna value-added products, such as tuna chorizo, embotido, tocino, siomai, shanghai rolls, nuggets, bola-bola, and others.

It is a 100 percent family-ran business managed by Ramon Gabaldon, Belma Gabaldon, who stands as finance officer, their daughters Shenera Jane as marketing manager, and Khrisna Marie as exhibit manager. The couple’s one-year old grandson is now added to the KM Foods family as the company’s latest endorser.

From its humble beginnings, Ramon and Belma never expected that their business could bring a big impact to the community not only by creating livelihood for residents of General Santos City, but also inspiring young entrepreneurs to pursue the passion of engaging into any kind of business.

KM Foods, named after the couple’s youngest daughter, Khrisna Marie, started in November 2003 after Ramon’s stint as an OFW in Papua New Guinea.

The birth of the company “accidentally” happened when the couple brought their manufactured tuna value-added products during a family gathering at the house of Ramon’s sister.

“It was not intended for business. We just produced it for household consumption. But right after that event, by word of mouth, we were forced to produce more because there were orders from family and friends. We only had three varieties that time — tuna chorizo, embotido, and tuna tocino. Now, we already have nine varieties to choose from,” Ramon said.

Eventually, KM Foods’ products entered a wider market through the family’s small sari-sari store.

In December of the same year, the family decided to purchase a chest freezer since their products could not already be stocked in a refrigerator.

“We had our first chest freezer, but we never bought it in a cash basis. We were still starting that time and we never had the money to buy one right away. We had it in an installment basis,” he said.

It was Ramon’s passion to discover, experiment, and innovate, as well as his passion for cooking that pushed him to pursue the business he and his family never expected to have.

Before engaging in the business, which officially started in January 2004, Ramon tried his luck abroad for two years. When he was working as an overseas Filipino worker (OFW) in Papua New Guinea, his wife started selling tuna value-added products from an existing producer.

“When I came back here, I observed that most of the tuna value-added products in Gensan are almost the same in processing as well as its taste. For example, tuna chorizo is used as a filling for tuna shanghai rolls, tuna siomai, and even tuna embotido has the same taste with these products. I told my wife we will make our own product. The story began there and the rest is history,” Ramon said.

A year after launching KM Foods, the company produced four more products — tuna shanghai rolls, tuna nuggets, tuna siomai, and tuna bola-bola. Ramon said more products are to be produced soon.

“The family is also looking at the possibility of producing other value-added products, maybe we’ll use pork for chorizo, tocino, and others, but this will be under a different trade name. KM Foods will still be here to provide non-pork and halal products for consumers,” he said.

He said they are lucky enough to engage in the kind of business that they are into because the business is not so much affected by the impact of the global financial crisis.

Ramon also said the company has no plans yet of establishing an office outside the city since they could not afford to have one at present.

“To encourage more dealers would be better rather than establishing another office. In 2004, we already started encouraging dealers nationwide. We have dealership schemes and even housewives can be a dealer. It’s enough to start with P5,000 worth of products,” he said.

KM Foods believes that its products found a bigger market because of the products’ quality.

“We have a few variants but we can assure our clients that when we say tuna, it’s really tuna,” he said, adding that KM Foods’ products are MSG-free. All of its products also have no preservatives. Its shelf life could reach up to six months when frozen.

Ramon said the company now holds 24 direct production workers from only two in 2003 when they started.

“Housewives are also engaged as on-call workers when operations are at full-blast,” he said.

KM Foods’ plant is strategically located at NLSA Road in Lagao, General Santos City.

Through its authorized dealership and exclusive distributorship schemes, KM Foods serves its regular market in as far as Bontok, Mountain Province, down to Bongao in Tawi-Tawi. Its products also reach different regions in the country.

When asked if the company has plans to accommodate the market abroad, Ramon said the company will still focus on the local market. However, he was quick to add that KM Foods’ products have already reached to Kuala Lumpur in Malaysia, Singapore, Hong Kong, Taiwan, Hawaii, the US mainland, and in the Middle East. This is because from time to time, the products are hand carried abroad by OFWs.

Aside from it was recognized as the Emerging Entrepreneur of 2008 and the Product Innovator in the Yaman Awards in 2008, KM Foods was also invited to join the city’s Tuna Festival in 2006 where it stood up with the rest of tuna value-added producers as one of the city’s pride.

In the same year, KM Foods was the only tuna value-added producing (TVAP) company that represented General Santos in the prestigious “Best of the Islands” National Trade Fair 2008 at SM Megamall in Mandaluyong City. It came out as an awardee in the processed food category that raised Region 12 to the 5th rank out of 17 participating regions nationwide.

“The event really opened doors for us, not only for KM Foods, but also for other tuna value-added products in General Santos,” he said.

KM Foods is also an awardee in the recent Yaman Mindanao Island Otop Fair and was considered as the third topseller, the only from Region 12ÿ and an only awardee in the Department of Agriculture’s Agri-Aqua Fair in July 2007.

It was also endorsed by the Bureau of Fisheries and Aquatic Resources (BFAR)-Central Mindanao as their “Regional Commodity Champion” and sent two delegates (Mr. Ramon Gabaldon, and Ms. Shenara Jane Gabaldon) to the National Food Summit in Pampanga in 2008.

Written By Joy Romares-Sevilla

Source: Sun Star