PROGRAMS

AND INITIATIVES
FOR THE
CACAO INDUSTRY
JENNIFER E. REMOQUILLO
Assistant Director
BPI-High Value Crops Development Program
Philippine Cacao Summit and Exposition
SM Seaside, Cebu City
May 27-29, 2016

WHY EXPECT A TURNAROUND FOR THE

PHILIPPINE CACAO INDUSTRY?
Inclusive Growth : 90% are small farm holdings, more jobs and
livelihood opportunities, promotes countryside development
Cacao production expansion is recognized to provide significant
contribution to poverty alleviation and sustainable agriculture
Achievements and lessons learned from past programs can be
capitalized to escalate upgrading and expansion
Farmers expressed willingness for equitable growth and
development
Supportive institutions and policies Cacao is included in the
pipeline of support as priority high value crops

WHY EXPECT A TURNAROUND FOR THE

PHILIPPINE CACAO INDUSTRY?
Good germplasm collection that is par with the worlds best
materials
Recognized capability to supply good quality fermented beans to
the global market which pays premium for quality beans
Expanding domestic demand and growing opportunities in creating
rural enterprises for cacao products processing

THE PHILIPPINE CACAO INDUSTRY

Around 10,000 to 15,000 cacao farmers nationwide
Major growing regions include : Davao Region, Northern
Mindanao, Zamboanga Peninsula, Eastern Visayas and ARMM
In 2015, cacao production in the Philippines increased by 11%
which totalled to 6,023 MT dried beans. This is due to increase in
number of bearing trees in Davao City and Davao del Norte. The
top producing region is Davao with a share of 82 percent to the
national output.

Production, Area and Yield

(2006-2015P)

Source :

FY 2015 Top Producing Regions by Volume

(MT)
82% of local cacao is from
Region 11

Source :

FY 2015 Top Producing Regions by Area

(MT)

Source :

OPPORTUNITIES

EXPORTING

PROCESSING

LOCAL
TRADING

CACAO
PRODUCTION

NURSERY
OPERATION

Specific
INPUT
Inputs
SUPPLIER
S

- The domestic market is vastly undersupplied;

- Impending global supply shortfall, demand on
upward trend;
- Under utilized capacity, presence of support
facilities;
- Increase demand for cacao processed products, i.e
chocolate
-- Presence
ofof
consolidators/exporters
Availability
support services;
- Entry of new players, encourage competition &
pushes prices;
- Premium price for fermented and certified cacao
- Large coconut and banana areas available for
intercropping
- Availability of government support programs
- Extensive R&D on varietal improvement
- Good germplasm
- Availability of input suppliers
Source: Phil. Cacao Industry

CONSTRAINTS
EXPORTING

PROCESSING

LOCAL
TRADING

CACAO
PRODUCTION

NURSERY
OPERATION

Specific
INPUT
Inputs
SUPPLIER
S

- High transport cost

- Beans production still limited
- limited value adding activities
- Low level of consciousness on product quality &
standards
- Price fluctuation, cacao being a globally traded
commodity
- Inadequate fermentation facilities and skills on
fermentation
- Low farm productivity level, low level skills on
GAP
-- Inadequate
of good
qualityand
seedling
Inadequate supply
postharvest
facilities
basic infras
materials
- Limited access to high yielding scion/clone
materials
-- High
cost of farm
inputs
Proliferation
of non-accredited
nurseries
Source: Phil. Cacao Industry

WHAT HAVE BEEN

DONE?
(Initiatives for the Cacao
Industry)

PRODUCTION
SUPPORT

- Provision of quality planting materials, farm

equipment and
machineries, establishment, maintenance and
rehabilitation of
production facilities (nurseries,
garden)na
Dahil budwood
sa planting materials

ipinamahagi dito sa aming

lugar
ng
Department
of
Agriculture mas madagdagan
ang
kita
nang
aming
magsasaka sa darating pang
panahon makakatulong din po
eto na makabuo ng trabaho at
Napapakinabangan din namin
ang bakanteng lupa sa ilalim
ng niyogan na magsisilbing
silongan ng cacao.
-Kent A. Maneja
HVCDP Technician
Parasan, Molave,
Zamboanga del
Sur

CABATUAN
CACAO
GROWERS
ASSOCIATION
of
Cabatuan, Iloilo received training
on Cacao Production Technology
prior to their availment of cacao
seedlings.
Their
existing
production support the needs of
their locally produced chocolate
tablea making.
FRANCISCO GONZAGA, JR
AT/Municipal Cacao
Coordinator
Cabatuan,Iloilo

Daghang Salamat sa inyong

suporta sa amoa. Nabuhe ang among paglaum
nga molambo. Ampingan namo kining mga
proyekto para sa among komunidad.
- This is the voice of the farmers in Sitio Kinsekinse, Brgy. Salapawan, Paquibato
District, Davao
City

Given by the Department of Agriculture and it

helps us a lot in our cacao nursery project
operation and development of our lands. Thank you
very much. - REHOBOTH Association, Panabo City,
Davao del Norte

14

The Community Participatory Nursery Program

of DA provides livelihood to our farmer
cooperatives and associations.
- Provincial Agriculture Office of Compostela Valley

MARKET
SUPPORT
MARKET

SUPPORT

- Access to network of buyers thru conduct of market

studies/research activities ( market reconnaisance,

benchmarking,
value chain analysis)
- Market related events conducted and participated
(local and
international)

EXTENSION
SUPPORT
EXTENSION

SUPPORT

-Trainings (TOT, Season long, POT, GAP) ,info and

advocacy,
technology demonstrations, strengthening of
organizations

RESEARCH AND
DEVELOPMENT

- Collection, Characterization and Identification of

Cacao Clones in
Major Growing Areas Using Morphology and
Genetic Markers
- Yield Performance of Different Cacao
Varieties/Clones under
CARAGA Condition
- Land Resources Evaluation and Suitability
Assessment of
Strategic Production Areas for Cacao and Coffee
- Collection, Characterization and Identification of
Cacao Clones
in Major Growing Areas using Morphological and
Genetic

POSTHARVEST
AND
PROCESSING
POSTHARVEST
AND

PROCESSING

- Provision of postharvest/processing

equipment and
facilities for various cacao products

This collapsible dryer will surely

improve the quality of our beans
and we are excited to use this
innovative dryer especially to
our far flung members who
cannot access our big dryers.
Mr. Zambrana Samson,
Chairman of Sothern Davao
MPC, Basiawan, Sta. Maria,
Davao del Sur

Dako ang among pasalamat sa DA

sa gihatag na 8 units collapsible
dryers ug fermentation facilities sa
among mga myembro sa
CacaoNNet kay makabaligya nami
ug maayong presyo sa among
cacao beans. - Dagohoy Magaway of Task
Force Mapalad-

20

We are so happy with this cacao

grinder as we can save cost in having
our beans brought to Chinese traders in
Calinan. Now we can increase our
income. Daghang Salamat sa DA.
Rosalina Manuta, Secretary of
Samahang Magniniyog ng
TawanTawan

We would like to thank DA for

giving us this warehouse where
we can store our cacao beans
while waiting for a better price in
the market. Tipulog Bantay
Kinaiyahan Assoc. (MTBKA)

 Provision of Cacao Products Processing Facility

nagpapasalamat po kami sa mga
proyektong naibigay ng Department of
Agriculture 4B sa aming samahan,
malaking pagbabago ang naibigay nito
sa kabuhayan namin.
-

- dahil sa fermentation box, dryer,

grinder, molder at processing facility
mas napadali at napabilis ang aming
pagprocess
ng
cacao
mula
sa
pagferment hanggang sa paggawa ng
tablea.
- dahil sa mga proyektong ito hindi lang
kami ang natutulungan ganon din ang
kumunidad (non-members) dahil hindi
na mahirap sa kanila ang magbinta ng
kanilang mga produkto (cacao beans).

Processing
facility

Molder

Fermentation
Box

Dryer

- dahil dito umangat na ang aming kita

mula 50-70%.
ANGELITA ANDAO
RIC President
Bgy. Maoyon, Puerto Princesa City

Grinder

Napakalaking tulong ang Cacao Processing

Center na ipinagkaloob ng DA-RFO III sa bayan
ng San Luis, Aurora sa pagproseso ng tablea,
chocolate spread, cacao 3 in 1 and chocolate
bar - LGU-San Luis, Aurora

REGULATORY
SUPPORT
Bureau of Agriculture and Fisheries
Standards
- Training of Trainers for the Code of Hygienic

Practices for
Philippine Cacao
- Philippine National Standards for Cacao
Beans
- Philippine National Standards for Tablea
- Pilot Testing of Proposed Traceability
System for
Philippine Cacao Beans

Bureau of Plant Industry

- Plant Nursery Accreditation Program
The activities are being conducted through
Administrative Order No. 25 series of 2013. The
objective is to ensure availability of quality
materials of different high value and plantation crops
. It is
being implemented in collaboration with designated
plant nursery evaluators from the different Regional
Field Offices nationwide.
- Plant Material Certification Program
The objective is to ensure certify fruits and
plantation
trees and seedling which are of good quality
based
on true-to-type of variety which is National

WHERE DO WE WANT TO
GO?

2022 Cacao Challenge

To produce 100,000 MT of fermented
beans by year 2020 for the export
and domestic markets through a 40%
annual increase in production.

Development Directions
1.
2.
3.
4.
5.

Increase in productivity level

Expand production areas
Moving Up the Value Chain
Strengthen market presence: Branding
Level up quality standards
Source: Phil. Cacao Industry

1.

Industry Strengthening,
and Promotion

Expansion

- Assistance in the creation of National and

Regional
Industry Councils & TWGs
- Establish Industry Databank
2.

Strengthening Market Linkage and

Promotion
- Participation to regional, national &
international
fair/exhibits
- Market linkages and
referrals (local and
Source: Phil. Cacao Industry

3. Increase Production and Access to

Quality Planting Materials
- Establishment of nurseries and budwood
gardens
(including training)
- Plant nursery accreditation and certification
- Planting material distribution

4. Improve Farm Productivity

- GAP on cacao
- Integrated pest management
- Provision of farm infrastructures (FMR,
Irrigation)
- Provision of postharvest facilities,
fermentation, dryers
-Training on cacao fermentation and drying

5.

Enhancement of Value Added Products

- Productivity enhancement trainings
- Provision of cacao processing facilities
(common service
facilities)

6.

Continual Research and Development

- Varietal improvement program
- Cultural management program
- Pest and diseases control program
- Improvement of postharvest
technologies
- Cacao industry profiling, mapping and
geo-tagging

7. Resource Mobilization and Generation

Thank You
and
Have a Blessed
Day!