P C I
hilippine offee
ndustry
Introduction: WHY invest in coffee?
•Love for coffee as a
beverage, health drink, •Livelihood- production/processing •Lucrative business -create jobs, •Environmental protection, •Food security , •Suitability of Philippines for growing quality coffee.
RATIONALE
• • •
•
GLOBAL SCENARIO IN THOUSAND 60 KG BAGS
0.7% increase in total world production from 2014-15 3.5% increase in total production from 2014-15 by Philippines % Change 2014-15
TOTAL
144 960
146 506 142 278 143 306 0.7
Arabicas Colombian Milds Other Milds Brazilian Naturals Robustas
88 420 11 523 29 143 47 753 56 540
88 400 13 488 26 838 48 074 58 106
82 889 14 571 25 768 42 551 59 389
82 890 14 845 25 755 42 289 60 416
0.0 1.9 0.0 -0.6 1.7
IN THOUSAND 60 KG BAGS 2.0 % increase in total global coffee consumption from 2014-15 8.8 % increase in total consumption from 2014-15 by Philippines
World total
143 430
147 811 150 389 152 204
2.0%
Africa
9 839
10 690
10 455
10 621
2.6%
Asia & Oceania
28 421
29 649
31 260
33 131
5.2%
Central America & Mexico
5 149
5 154
5 215
5 242
0.6%
Europe
49 459
50 499
50 960
50 116
0.4%
North America
25 730
26 931
27 679
27 975
2.8%
South America
24 831
24 888
24 819
25 120
0.4%
Philippine Coffee Data(2014) Average yield per tree
Actual
Standard
Fresh cherry
kg
Dried cherry
grams
530
Green bean
grams
265
Number of trees per hectare Total number of trees *(@1,500/ha)
trees million
700 82.215
Total number of hectares planted
ha
Total production producti on (2014)
metric tons
Total consumption
metric tons
Per capita consumption (2012)
kg cups
1.325
2 to 4
1,100 176.176*
117,451 75,454
dried cherry
37,727
green bean
132,000
green bean
1.30
green bean
66
Philippine Coffee Situationer Production volume and yield are decreasing by 3.51%/year and 2.53%/year 2.53%/ year respectively over the last 10 years. Production area decreasing by 1.02% 1.02%/year /year over the last 10 years. 140000
120000
0.9
0.8
0.7 100000 0.6 80000
0.5
Area (ha) Volume (MT)
60000
0.4
Yield (MT/ha)
0.3 40000 0.2 20000
0
0.1
0
Area- 117,451 117,451 has Vol- 37,727 mt Yield- 0.32 GBE
Total production volume decreasing by an average of 3.9%/year by variety decrease is Arabica (1.68%), Excelsa (6.4%), Liberica Liberica (4.41%), and Robusta (4.25%)
140,000 122,645
121,399
96,433
94,536
119,657
119,999
88,526
88,943
120,000
116,459
100,000 80,000
78,634 60,000 40,000 20,000 0 2009
2010 PRODUCTION (MT)
2011
2012
AREA HARVESTED (Ha)
Coffee production declined by 4.06 % in 2014 which totaled to 74,454 MT dried berries (37,747 mt gbc) in 117,451 hectares
2013
Volume (2014)
74,454 metric ton (dried berries)
37,727 mt
GBC SOCCSKSARGEN SOCCSKSARGEN = 28,000 mt (36.74%) 14,000
Major Producing Regions:
Davao Davao Region = 11,793 mt (15.76%)
5,896
ARMM = 10,349 mt (13.34%)
5,175
Northern Mindanao = 5,416 mt (6.78%) 2,708 CAR = 5,251 mt (6.95%) Sultan Kudarat Kudarat = 22,613 mt (30%)
Major Producing Provinces:
2,626 11,307
Davao Davao del Sur = 5,083 mt (6.7%)
2,541
Sulu = 4,831 mt (6.4%)
2,416
Bukidnon = 4,225 mt (5.6%)
2,112
Area (2014)
117,451 hectares (Philippines) SOCCSKSARGEN SOCCSKSARGEN = 27,013 hectares (23.0%)
Major 5 Production Regions:
Davao Davao Region = 21,141 hectares (18.0%) ARMM = 14,094 hectares (12.0%) CALABARZON CALABARZON = 12,919 hectares (11.0%) Northern Mindanao = 11,754 hectares (10.0%) Sultan Kudarat Kudarat = 19,079 hectares (16.38%)
Major 5 Production Provinces:
Bukidnon = 9,034 hectares (7.76%) Cavite = 8,331 hectares (7.15%) Compostela Valley Valley = 7,588 hectares (6.52%) Davao Davao City = 6,527 hectares (5.60%)
Yield (2013)
0.98 kgs./bearing tree
Zamboanga Zamboanga del Sur = 2.28 kgs./bearing Top 5 Provinces with Highest Yield:
tree Bataan = 2.17 kgs./bearing tree Marinduque = 2.17 kgs./bearing tree Bulacan = 2.14 kgs./bearing tree Biliran = 1.97 kgs./bearing tree
Philippine Coffee Situationer Top 5 Production Area: SOCCKSARGEN (23%) followed by Davao Region (18%), ARMM (12%), CALABARZON (11%), and Northern Mindanao at 10% in 2014
Production Area (hectares) 2014
Philippine Coffee Situationer Production volume (By Region) highest is in SOCCKSARGEN (37%) followed by Davao Region (16%), ARMM (15%), and Northern Mindanao at 8% in 2015
SHARE IN PRODUCTION AREA BY COFFEE VARIETIES, 2014
Robusta is the main variety planted at
PHILIPPINE COFFEE SITUATIONER 1. Decline in production and planted hectarage due to increase in shifting to other crops, conversion to real estate, recreation areas and urbanization 2. Low yield is attributed to old age of trees with limited or no rejuvenation, poor farm practices- limited knowledge on appropriate coffee technology of farmers , aged farmes and lack of equipment, adequate post-havest facilities and limited access to certified planting materials, limited access and application of fertilizers and biocontrol 3. Limited access to credit 4. Growing Growing demand is but manufacturers manufacturers and end-users rely on imports 5. Coffee Coffee consumption consumption dominated by soluables shifted from local nilaga’ brewed coffee ‘nilaga’
PHILIPPINE COFFEE SITUATIONER 7. The most common variety is Robusta which accounted for over 69% production in 2015 followed by Arabica (24%), Excelsa (6%) and Liberica (1%) 8. Coffee farming is dominated by small farmers with an average farm size of 1-2 hectares 9. Coffee farmers generally sun dry their fresh coffee cherries and have them milled through local millers ( due to limited post-harvest facilities – dehullers and depulpers ) 10. Strong presence of consolidators/traders/processors to support farmers
Cost Structure, Value Added and Margin of Typical Robusta Coffee Farm
Cost of inputs Fer ti l i zer Pesti ci des Sacks Total C ost of i nputs Cost of del iv ivery of i np nputs to fa rm rmgate
Cost of materi a l i nputs Labor cost (sal a ri es and wa ges)
12.04 5.63 0.14 17.81 1.46
17.81 12.84
Rent
4.17
Depreci ati on
1.04
Far mer's Processi ng C ost Dryi ng
2.17
Far mers Val ue Added l abor - fa rm
12.84
Dehul l i ng
2.50
+ R ent
Sor ti ng
0.83
+ Depreci ati on
1.04
+ L abor - pr i ma ry processi ng
5.50
-
+ Profi t M ar gi n
0.83
Buying price of green beans Processing costs: Roasting Grinding Packaging
Cost of delivery to end-user end-user
4.17
34.95
Fa rmers Sel l i ng Pr i ce L ess: Tota l Fa rmer's Cost
80.00 45.05
Cost Structure, Value Added and Margin of Typical Arabica Coffee Farm (Mindanao) Cha in Node Input Supply
Cost Cost of inputs fe fertiliz ers pes tic ides s ac k s Tot al c os t of inputs
P/kg
Cost of delivery of inputs to farmgate
Farm Production
Cos t of material input s Labor c os t (s alaries and wages ) Rent Deprec iat ion
1.51 41.01 10.00 2.81
Farmer's Produc tion Cos t
55.33
Primary Processing
P/ kg
Profi t Ma rgin
P/kg
1.51 1.51
Logistics
Logistics
Va lue Adde d
-
-
Farmer's proc es s ing c os t de d epulping was hing drying Tot al Proc es s ing Cos t Tot al Farmer's Cos t (a)
Logistics
Cos t of delivery to t rader
Trade
Buying price
Primary Processing
Dehulling Sorting Tot al Trader's Cos t (b)
Logistics
Cos t of delivery to proc es s or
Secondary Processing
Buy ing pric e of green beans Proc es s ing c os ts : Roasting Grinding Pac k aging
Farmer's Value Added labor - farm + rent + deprec iation + labor - primary proc es es 8.08 + profit margin
5.68 0.30 2.10
64.07 = F ar arm er er's Value A dd dded
Farmer's s elling pric e 41.01 10.00 - Total farmer's c os t 2.81 = Farmer's Profit Margin 8.08 60.93
125.00 64.07 60.93
122. 83 83
0.66
125.00 3.00 3.00
Trader's s elling pric e - Total t rader's c os t = Trader's margin
175.00 131.50 43.50
Proc es s or's s elling pric e - Total proc es s or's c os t = Proc es s or's margin
440.00 215.34 224.66
131.50
0.50
175.00 25.00 4.00 6.00
Cost Structure, Value Added and Margin of Modern Arabica Coffee Farm (Benguet) Cha i n Node Input Supply
Cost Cost of inputs fe fert iliz ers pes ticides s ac k s Tot al c os t of input s
P/kg
Cost of delivery of inputs to farmgate
Farm Production
Cos t of material input s Labor c ost (s alaries and wages ) Rent Deprec iat ion
20.29 10.43 10.87 5.54
Farmer's Produc tion Cos t
47.13
Primary Processing
Farmer's proc es s ing c ost de depulping dry ing dehulling
Tot al Farmer's Cos t (a)
Cos t of delivery t o proc es s or
Processor Buy ing price of green beans Seconda ry Processing Processing Proc es s ing c ost s : Roas ting Grinding
Tot al Proc es sor's Cost (b)
Logistics
Profit Ma rgi n
P/ kg
-
-
Tot al Proc es sing Cos t
Logistics
P/kg
9.07 11.00 0.22 20.29
Logistics
Logistics
Va lue Adde d
Cos t of delivery t o end us er
Farmer's Value Added labor - farm + rent + deprec iation + labor - primary proc es es 5.43 + profit margin
0.65 4.35 0.43
53.42 = Farmer's V al al ue ue Added
Farmer's selling price 10.43 - Tot al farmer's c ost 10.87 5.54 = Farmer's Profit Margin 5.43 146.58
200.00 53.42 146.58
178. 85 85
0.86
200. 00 40.00 8.00
257. 60
9 60
Proc ess or's s elling pric e - Total proc ess or's c os t
416.00 257.60
= Proc es sor's margin
158.40
• Increase yield of green coffee beans by 0.3 mt/ha to 1 mt/ha by 2022 and production by 5% per annum. • Lessen coffee bean importation by 65%.
and
coffee
products
• Improve farmers’ farmers’ standard of living from poverty level of 15% per annum through diversified sustainable agro-livestock-fishery agro-livestock-fishery farming sy systems. stems. • Increase rural employment by 3%. 3% . • Adaption of environment-friendly technologies e.g. Organic sustainable farming system, sloping agroforest land technologies
FARMS, PRODUCTIVITY, PRODUCT QUALITY AND PROFITABILITY IMPROVEMENT OF COFFEE FARMERS’
•
Production and accessibility to high quality planting materials through the establishment establishment of community-based community-based clonal / seed seed gardens nurseries
•
Support for farm inputs (fertilizer, (fertilizer, seeds, seedlings, biobio controls, post harvest facilities) and techno demo/ coffee farms on best practices in key production areas: areas : multiple cropping, proper soil nutrient management, pruning, pests and disease bio-control management, harvesting, postharvest practices through organized farmers groups and/or engagement of service providers
•
Provide continuing education program on coffee production and processing by empowering the farmers, IPs, and other stakeholders
•
Establish Techno Demos Farms as venue for training/capability
REHABILITATE EXISTING FARMS AND EXPAND NEW COFFEE PRODUCTION AREA IN HIGHLY SUITABLE SITES •
Target Area: 117,454 hectares, implement community based rehabilitation program at 16,000 hectares per annum, with farm input provisions and trainings
•
Establishment of community based clonal / seed gardens and nurseries to produce the needed certified quality seedling requirements of each coffee production cluster clust er,, districts and regions
•
Provision of certified planting materials- seeds, seedlings, farm inputs- plastic bags, potting medium, fertilizers organic granule/foliar for community seed and clonal gardens and nurseries
EXPAND NEW COFFEE PRODUCTION AREA IN EXPAND HIGHLY SUITABLE SITES •
Establishment of state-of-the-art state-of-the-art coffee farms /plantations
•
Integration Integration and and harmonization harmonization of efforts efforts and data data base base of the major players- Coffee farmer’s organizations, DAR, DENR, PCA, DA, LGU, Civil Society Organizations, Non-government Organizations, Private Sector
•
Select highly suitable sites and adopt the environmental requirements of coffee growing and Good Agriculture Practices
•
Strict adherence to adoption of coffee technologies/practices and high quality assurance /standards of green bean coffee production (GAP & Philippines Standard of green coffee coff ee beans).
(MARKET AWARENESS FOR CONSUMPTION OF LOCAL COFFEE)*
Identify, forge market agreements between coffee growers and customer –end user for GBC or value added coffee products Provision of appropriate quality processing equipment Improvement of packaging Development of new products and processing technology Market Niching for Philippine coffee: Branding, Quality seal, single origins, organic, specialty, specialty, etc. Capability building on Q (Arabica) and R (Robusta) grading and cupping Promotion Promotion of specialty coffee – arabica, liberica, excelsa Institution building (Agriculture & Fishery Councils coffee Sectoral groups, TWG from National to Provincial levels,) levels,) Investment promotion from seed to cup
COFFEE 2016-2030 2016
Local Demand (MT) at 0.4 kg/capita kg/capit a Imports (M T) 93%
2017
100,000
63,829.00
2018
2019
2020
2021
2022
110,250
115,763
121,551
127,629
134,010
68,829.00 74,079.00 79,591.50
85,380.15
105,000
91,457.55 97,839.45
Production (MT) from existing 7%
36,171
36,171
36,171
36,171
36,171
36,171
36,171
Imports 93%
93,000
92,400
91,508
90,295
88,732
86,787
84,427
7,000
12,600
18,743
25,468
32,819
40,841
49,584
88,350
87,780
86,932
85,780
84,296
82,448
80,205
7,350
13,230
19,680
26,741
34,460
42,883
52,063
0.32
0.32
0.6
1.0
1.0
1.0
10
Local Demand (7%) Imports less 5% Demand increase 5% Yield (T/ha) Yield (T/ha), increasing 20%/year 22,747.60
Present area (ha)
113,738
22,747.60 22,747.60
113,738
113,738
22,747.60
113,738
22,747.60
113,738
22,747.60
113,738
22,747.60
113,738
COFFEE AND BEYOND
2023
2024
2025
2026
2027
2028
2029
2030
Local Demand (MT) at 0.4 kg/capita
140,711
147,747
155,134
162,891
171,035.55
179,587.33
188,566.69 197,995.03
Imports (MT) 93%
104,540
111,576
118,963
126,720
134,864.55
143,416.33
152,395.69 161,824.03
36,171
36,171
Production (MT) from existing 7%
36,171
Imports 93%, at 5% reduction
81,612
78,306
74,464
Local Demand (7%)
59,098
69,441
80,670
Imports less 5%
99,312.53 105,996.77
113,736.38
120,383.72 120,383.72
Demand increase 5%
62,053.33
84,703.36
97,490.08
Yield (T/ha) Yield (T/ha), increasing 20%/year Present area (ha)
0.32
36,171
72,912.92 72,912.92
0.32
36,171
0.6
22,747.60
22,748
22,747.60
113,738
113,738
113,738
70,043 64,994
36,171
36,171
59,263.82
52,798.67 45,538.86
120,323.51
135,768.02 152,456.17
128,121.32
136,245.51
144,775.91 153,732.83
111,344.14
126,339.68
142,556.42 160,078.98
92,848 106,042
1.0 22,747.60
36,171
1.0 22,747.60
113,738 113,738
1.0 22,747.60 113,738
1.0
1.0
22,747.60 22,747.60 113,738 113,738
Physical Targets Targets for Coffee by variety TARGETS Total Expansion Area (ha) Target Expansion (Robusta), ha
2017
2018
2019
16090
16,597
18257
12335
12448
13693
4022
4149
4564
1000
1000
1000
Target Expansion (Arabica), ha
Target Expansion (Liberica) Demand-Consumption
2020
2021
2022
s m Poor Quality e l b Planting o r Materials P
Clonal /seed /seed gardens s n o it n e v r e t n
Planting materials Accreditation/C ertification
Low yields (0.30.6 t/ha GCB) Uneven Quality Supervised Techno demo/ farms on farms on rehabilitation to increase yield to 1.2 t/ha GCB), new plantings
Limited processing equipments Poor quality beans
Half of coffee supply is imported Limited export
Provision of processing equipment Improvement of packaging Development of new products and processing technology
Specialty coffee – coffee –direct direct users Branding Quality Seal Benchmarking Improvement of Supply/ Value chain /
Self-sufficiency by 2022 -30 Increase farmer’s
income Increase production
Strategies and Policies INPUTS: Improve quality and availability of planting material Key Result Area Accreditation of plant nurseries and certification of seed/clonal gardens and seedlings
Performance Indicators No. of accredited nurseries No. of certified seed/clonal gardens Available good quality planting materials 6 months after giving the bidding award)
Training/Retooli ng of propagators and provision of IEC materials
No. of trainings conducted No. of IEC materials produced No. of propagators
Action Programs
Working Group
Timeline
Promote accreditation /certification of nurseries
LGU,
Train/retooling plant Train/retooling nursery evaluators (PNE) and plant materials inspectors (PMI), Farmers
BPI, SCUs
2018-2022
Service Providers
& onwards
DA-ATI, TESDA, LGU,
Jan-Dec 2017
Industry Associations, Private sector
2018-2019
Private Sector Sector,,
Jan-Dec 2017
DA-RFOs,
Invest in mother clonal / seed gardens and nurseries (1 per major coffee area)? Conduct trainings for nursery establishment, propagation of planting materials Reproduce and
& onwards
FARM PRODUCTION: Enhance farm efficiency and investments Key Result Area Yield improvement
Performance Indicators Ave. yield from 300 kg/ha to 2.0 tons/ha (Arabica) Ave. yield from 700 kg/ha to 1.5 tons/ha (Robusta) Net Income > PhP84,000/year
Production expansion new planting and replanting areas
Total expansion area ≥100,000 ha to address deficit
Expansion of
Number of clonal
Action Program IEC campaign on GAP/best farm practices including seed selection, rejuvenation, etc.
Working Group
Timeline
Private Sector, DA ,BPI, ATI, PCARRD, LGU Service Providers/Investors Underlined- Lead Agency
Jan-Dec 2017
Jan-Dec 2017
Promote investment for new plantation development
Continuing Industry/third party group Service Providers DA,DTI,DENR, PCA, NAPOCOR Private Sectors
Develop PPP for
Continuing -
Jan-Dec 2017
Provision for Farm inputs fertilizers, bio-controls
Develop PPP for planting and replanting projects;
2018-2022 & onwards
2018-2019 & onwards
FARM PRODUCTION: investments Key Result Area
Adaption of GAP and GMP (with certification)
Trainings/Retoo ling on postharvest management
Performance Indicators
No. of GAP certified farms No. of GMP certified processing companies No. of skilled farmers/ farm workers/ SMEs
Enhance
farm
Action Program
efficiency
Working Group
Benchmarking and best practices dissemination
DA, BPI, BAFS, ATI, SCUs, Private sector, LGU
Conduct trainings on GAP/GMP
Service providers
Conduct trainings with TESDA/ATI accredited coffee experts
Private Sector, TESDA, LGU, SCUs, ATI , DA, DTI Service providers
and
Timeline
Jan-Dec 2017 20182022 & onwards
Jan-Dec 2017 20182022 &
PROCESSING: Improve competitiveness Key Result Area
Performance Indicators
Lower processing costs
Power, labor and material input cost per kg
Improved Quality of coffee products (GCB, roasted and brewed)
Better prices of coffee products
Action Programs Enhance processing efficiency (provision of processing technology)
Establish and promote quality standards for Philippine Coffee. Strengthen and build competencies of farmers/ processors for the adoption, dissemination of standards; Incentivize compliance to product standard Improve packaging and labels of coffee products including
Working Timeline Group Private Sector, DA, DTI, Philmech, DOST
Jan-Dec 2017
Private Sector
Jan-Dec 2017
2018-2022 & onwards
DA, BAFS, DTI
2018-2022 & onwards
Service Providers
PROCESSING: Improve competitiveness Key Result Area Adequate appropriate appropriate post-harvest facilities
More value adding on farm products
Upgrading and adjustment of processing methods
Increased investment in Specialty Coffee Business
Performanc e Indicators
Action Programs
Working Group
No. of pulping, washing, fermentation, drying, hulling, storage facilities
Establish village/ SME level facilities
No. of value added products produced
Conduct workshops on Industry clustering and value chain analysis and entrepreneurial entrepreneuri al trainings
SCUs, DA, Private Sector, DTI,DA,DOST
Provide Coffee postharvest trainings
Private Sector,
Jan-Dec 2017
DA, DTI, DOLE, DOST, PhilMech
2018-2022
Provision of appropriate facilities (local or imported) with affordable terms
Service Providers
& onwards
Promote investment opportunities opportunitie s in specialty coffee markets
DTI, Private sector, DA
Jan -Dec 2017
Service Providers
2018-2022
No. of SMEs with Productivity and efficiency
No. of new SMEs in the Specialty Coffee business (roasters,
Private Sector,
Timeline
Jan-Dec 2017
DA, PhilMech 2018-2022 & onwards Jan-Dec 2017 2018-2022 & onwards
MARKET: Improv Improve e market price and coffee standards Key Result Area
Performance Indicators
Action Programs
Working Group
Timeline Jan-Dec 2017
Transparent pricing linked to world market
Farm price as a percent of world price
Daily world price access from DA website / SMS
Private Sector, Service Providers
2018-2022 & onwards
Geographic branding and standards for coffee
No. of geographic brands and standards for Philippine coffee products
Convene concerned organizations to settle standards
DA, BAFS, Industry Associations, Associatio ns,
Jan-Dec 2017
Enhanced market intelligence, access and marketing
No. of new markets accessed
Find alternative markets
Private sector, DA - AMAS, DTI, Industry Associations, Associatio ns,
No. of market opportunities
Tap
DTI, DA, LGU
DTI,
2018-2022 & onwards
Jan-Dec 2017 2018-2022 & onwards
MARKET: Improv Improve e market price and coffee standards Key Result Area
Performance Indicators
Action Programs
Enhance access to market information: price, market, volume
No. of price and market information provided to farmers
Daily world price and other market information are made available by web and SMS.
Working Group
Timeline
Private Sector,
Jan-Dec 2017
DTI, DA, AMAS,LGU
2018-2022
Service Providers
Branding and promotion of Philippine Coffee
No. of geographic brands and standards for Philippine coffee products
Establish/ develop and aggressively promote Philippine Coffee (Quality, brand, logo) Disseminate quality standards Registration of Brand and logo
Enhanced market intelligence, access and marketing strategies for specialty coffee
No. of new markets accessed No. of market opportunities
Develop Market niching with the Specialty coffee Market and other alternative markets
BPS, DA, BAFS, Industry Associations, DTI-
Private sector, DA AMAS, DTI, Industry Associations, Associatio ns,
Jan-Dec 2017 2018-2022
Jan-Dec 2017 2018-2022 & onwards
SUPPORT SERVICES Financing : Access Access to long-term funds Key Result Area
Access to long term financing
Performance Indicators
Longer grace and repayment periods of loans Lower interest rates
Action Programs
Review financing program for coffee Develop appropriate financing packages for coffee farmers/ SMEs DA to endorse proposal to LBP/ SB Corporation
Working Group
Timeline
LBP, DBP, AGFP ACPC
Jan-Dec 2017
Private Sector
2018-2022
DA LGU Service Providers
SUPPORT SERVICES : Reduce logistics cost to processors/market Logistics Key Result Area Farm to Market Roads
Performance Indicators Length of FMRs to coffee farms
Action Programs Advocacy to prioritize FMRs
Lower transport cost/ton km
Working Group
Timeline
Industry assns. LGU, DA (PRDP)
Jan-Dec 2017
Private Sector Sector.. DPWH
2018-2022 & onwards
Farmers Organizations Establishment of Tram Lines
No. of tramlines established
Identify areas
Industry assns. DA, PhilMech Private Sector Sector,, LGU
Jan-Dec 2017 & onwards
SUPPORT SERVICES R & D : Improve research and extension services Key Result Area
Performance Indicators
GCB yield not lower than 1kg/tree Improved production and postharvest technologies
Grade of coffee in each region is not lower than 2
Trained QA staff/ para-technicians,
Action Programs
Train farmers R and D program on variety and CM by region Establishment of coffee grading and cupping laboratory Identify, Train, appoint QA technicians
Working Group
Timeline
CavSU, BSU, UPLB DA-BAR, DOSTPCAARRD, DTI, experts Private Sector People’s Organization/ service providers
2017-2022 & onwards
SUPPORT SERVICES Policies : Appropriate investment incentives Key Result Area
Performance Indicators
Action Programs
Working Group
Improved policies Law(s) giving incentives to (eg propagation coffee farmers of seedlings) and propagators Policy on Plant now pay later Decreasing Scheme GCB importation Policy on Rollover mechanism of production and processing subsidies
Review existing rules on incentives on coffee industry
Office of DA Secretary
Jan-Dec 2017
DoF, DTIBOI, BoC,
2018-2022 & onwards
Install appropriate investment incentives friendly programs
Timeline
SUPPORT SERVICES Market Intelligence: Reliable Industry Data Key Result Area
Performance Indicators
Improved collection and recording of industry data and data bank (e.g. production, area, trade, demand)
Industry data aligned with private sector estimates
Reconciled Data base of the Coffee industry
- Geo tagging of producers and processors
Action Programs Conduct Coffee Industry Regular Census
Working Group
Industry associatio ns, PSA, Private Establishment/ Sector, regular DAupdating of HVCDP Buyer-supplier PCAF, and coffee LGU, DTI network database
Timeline
Jan-Dec 2017 2018-2022 And onwards
SUPPORT SERVICES Organization : Industry Unity in Diversity Key Result Area
Performance Indicators
Action Programs
Aligned government government Conduct seminar Improved and private sector industry on organizational organizational initiatives development and relational Organized Coffee NTWG structure Team building b uilding
Strengthen AFCs coffee coffee sectoral groups
Number of functional Regional and Provincial Coffee councils/subcouncils Organized AFCs coffee sectoral groups
Conduct Regular TWG/ Council Meetings
Working Group
Timeline
Industry assns, DA, Private Sector/
RDCs, DTI, LGUs
Jan-Dec 2017 2018-2022
Conduct regular AFC coffee sectoral groups
DA-PCAF DA-PCA F
CHALLENGES AND ACTION PLANS IN COFFEE
Low yields (300-600 kg/ha) due to lack of fertilization, fertilization, maintenance and old trees Limited good quality planting materials for expansion Limited accredited nurseries/ seed gardens Limited market market opportunities oppor tunities and fluctuating prices for green coffee beans (GCB)
Underdevelop Underdevelop direct corporate
Establishment of techno demo farms for best practices and trainings on GAP Rehabilitation of old trees, provision for inputs Establishment of community based clonal /seed gardens and nurseries Accreditation of nurseries and certification of planting materials Provision Provision of o f processing equipment Improvement Improvement of packaging packaging and branding Development of new products and processing technology including specialty coffee and Quality Seal Establish /develop direct corporate buyer of
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Effectively cascade Good Agricultural Practices (GAP) and other PNS on coffee on community coffee growers’ association/ groups
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Ensure/ Conduct continuous, updated coffee education education and training in all levels of coffee sectoral AFCs/groups AFCs/groups
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Provide appropriate Production/Post Harvest facilities only to coffee producing groups
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Support the revised National Greening Program
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Strengthen the Production and Promotion of Specialty Coffee
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Start the Branding Philippine Coffee
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Establishment / regular updating of coffee database
THANK YOU!
DAGHANG SALAMAT MARAMING SALAMAT PO
DAKAL A SALAMAT PU DIOS TI AGNINA
SALAMAT KADA KA K AYO AMEN A MEN
Physical Targets Targets for Coffee Production Production TARGETS
2017
2018
2019
19,575
19575
19,576
5,872.5 13408 2682
5,872.5 13831 2766
5,872.5 15215 3043
16,090
16,597
18,257
0
4,827
29,363
29,363.5
2020 19,576
2021
2022
19,576
19,576
5,872.5
5,872.5
5,872.5
14,633
31,625
43,641
50,944
41,113
46,988
53363
58738
64,631
45,935
61,621
84,988
102,379
115,575
New Planting Total Total yield + increment
