Need an export boost? Invest in high value crops

Fruit districts

MANILA, Philippines — Higher investments in the high value crops sector, particularly in dollar-earning commodities, would improve the country’s trade advantage and competitiveness, an agriculture industry group said.

The Philippine Chamber of Agriculture and Food Inc. (PCAFI) said the government should consider creating “fruit districts” where production areas of fruits will be organized around packing houses and processing plants to ensure efficient supply chain and reduce market costs.

The facilities may involve processing plants to manufacture juice, frozen slices, dried fruits, among others.

The districts can be created for the likes of mango, banana, pineapples, among others, according to PCAFI.

The government can also invest in programs that will improve the bamboo and okra industries, which have been driven by the private sector for the longest time. Export earnings from bamboo can go as much as $30 million, such as the case in 2009, PCAFI said.

“We request for consideration to provide P100 million each for every region from the DA regional field offices in order to provide planting materials, develop bamboo plantations and help the livelihood of rural farmers,” PCAFI president Danilo Fausto said.

Meanwhile, okra farmers need support through fertilizers, chemicals and loans at zero interest to improve the quality and volume of their harvest to capitalize growing demand abroad, PCAFI said.

“The government should also improve its chemical testing facilities to accommodate all chemicals that are permitted in key markets like Japan to ensure that okras shipped out of the country are compliant with the pesticide and chemical residue rules of importing countries,” PCAFI said.

PCAFI added that the investments would prevent Philippine okra shipments from being rejected or suspended by Japan and other foreign countries due to over residue of chemicals.

“Okra growers need help with these same issues to expand their sales channel in Japan,” Fausto said.

The Department of Agriculture should also register the Philippine calamansi to the International Geographic Indication to protect the fruit’s brand, PCAFI said. The registration will make sure that only calamansi grown in the country can be labeled as “Philippine calamansi,” PCAFI added.

“This is important because the Philippines is the main producer of calamansi in the world and there are increasing cases of other countries growing and marketing similar products under the same name,” Fausto said.

The government should also invest in a laboratory in Region XII to improve its capacity to analyze basic yellow 2 chemical contaminants that has been a growing concern of China in imported durians from other countries, PCAFI said.

“Thailand and Vietnam have been heavily affected as tons of durian exported to China have been rejected. We need to have the equipment in place before the onset of durian season, coming July to November,” Fausto said.