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The slow growth in production has affected raw material supply to agri-based
industries such as coconut oil milling and activated carbon. In turn, this affected
investments and job creation.
j. Global Competitiveness
Global competitiveness is defined as the ability of a product to sustainably
compete with exports in the global market or with imports in the local market. As most
coconut products, are exported, the premier measure is cost competitiveness. A sound
strategy for competitiveness is coconut-based farming system comprising two elements:
replanting with good clones; and market-based intercropping with other crops and/or
livestock. Marginal lands with senile trees, if not suitable for intercrops because of
distance from market and other constraints must be shifted to other use such as timber or
fruit trees.
The inputs of coconut industry are relatively strong due to availability of good clones.
The farms production is good because of favorable climate in most areas and the
availability of technology is at hand.
There is a lot of other value adding to coconut industry because of its resourcefulness;
a lot of products can be created with the coconut.
The Philippine coconut industry shows stable and growing export and domestic
market.
There are a lot of good prospects for value added products like Virgin Coconut Oil,
geotextiles, etc.
There is a demand for alternative fuel which is the coconut methyl ester-biodisel
b. Weaknesses
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There are 30% of standings trees which are senile or over 60 years old.
Logistics has a high assembly cost due to poor roads and fragmented, small holdings.
There is shortage of raw materials, high assembly cost, low quality of copra in
refineries.
The cost of raw materials in other value adding products that can be made from
coconut is high.
There is a lot of competition from other tropical oils such as palm oil and palm kernel
oil.
III.Objectives
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To unite all elements of the coconut industry and work for their common good.
Promote harmonious coordination among the various sectors of the industry for the
common benefit of the producing, trading, processing and consuming public.
To inculcate and preserve high standards of honor and integrity among its members
and to promote just and equitable principles and practices of trade.
To provide a forum for discussion of problems, issues affecting the coconut industry
and/or any of its sectors, inter alia.
Formulations of solutions or long term goals that will help the industry have a
sustainable development.
Formulation of regulation that farmers should do intercropping to maximize the land
area of coconut farm not just for the coconuts but for other fruits and vegetables that
can help the farmers alleviate their life and have an extra income besides from
coconut farming.
To present an opportunity the members of PCA and the farmers to discuss the
problems which affect the coconut industry and have a possible solution that would
Engage in Civil society organizations such as NGOs, Pos, producer group, etc. in
roadmap development implementation, and monitoring.
The coconut industry is a study in contrasts. The coconut farmers form among the
largest stakeholders in Philippine agriculture but are among the most impoverished.
Land diversification potential is among the highest but derives among the least
support from the government. If the Government desires high growth in agriculture
and job creation in the medium-term, it has to look at the coconut lands as a major
vehicle.
Planting and replanting program. The industry has to expand the planting and
replanting program to increase production to supply a stable and growing market.
This must be done in strategic areas identified as having the most potential for
growth.
Establish standards and enhance marketing given the prospects of value added
products, it is imperative that national standards be established which are acceptable
in the international markets. Corollary to attaining this is the creation of village level
processing plants as close to the market to arrest quality deterioration.
Expand production through the use of coconut oil for biodiesel will need a few
thousand hectares given a 1% blend of biodiesel and petroleum diesel. To avoid
compounding the already poor supply reliability in the export market, there must be
expansion of production.
VI. Conclusion
Philippine Coconut Industry is one of the major sources of foreign exchange and
the Philippines top export earners. It is among the top ten export produce of the country as
exhibited by the good export performance of both traditional and non-traditional coconut
products. In this case, many products can be made using coconut shell, husk and copra meal. It
can have a lot of value adding products like desiccated coconut milk & powder, buko juice,
virgin coconut oil, delicacies, biodiesel, etc. About one third of the countrys arable agricultural
land or 3.26 million hectares is planted to coconut representing sixty four out of total seventy
nine provinces, and 1,195 out of the 1,554 municipalities in the country. It provides a sustainable
income source for Filipinos by way of employment generation through its many programs. But
theres a lot of problem facing this coconut industry that the government or the private sectors
should change and have a sustainable development by implementing such policies that will
trigger the increasing of problems with this industry.