MANILA, Philippines - Listed Roxas and Co. Inc. has formed a joint venture with Sigma Xynergies Inc. for the establishment of a coconut processing facility in South Cotabato, estimated to cost around P881 million.
The joint venture firm, Roxas Sigma Agriventures, will operate the plant in Tupi, South Cotabato within the Soccsksargen, an area rich with coconut plantations of good quality.
The plant is targeted to be operational by the fourth quarter of 2016.
“Once operational, the facility will be able to process at least 200 metric tons per day of coconuts to produce coconut water concentrate, coconut milk, coconut cream, and virgin coconut oil (VCO), mostly for export,” said RCI chairman Pedro E. Roxas.
The Philippines, one of the largest coconut oil exporters in the world, ships out more than 70 percent of its coconut oil produce, mostly to Europe and United States.
Coconut oil, which is used in food, cosmetics, and fuel, is among the Philippines’ top 10 agricultural exports.
Non-traditional coconut exports such as coconut water, coconut milk, coconut cream and virgin coconut oil are also finding niche markets overseas.
Many local coconut growers, however, miss out on the opportunity to process coconut water because of lack of technology to preserve the highly perishable water.
Most coconut plantations are located far from processing centers. As such, farmers just throw away coconut water after harvesting material for copra.
The municipality of Tupi is strategically located near ports in General Santos City.