Farmer cooperatives to supply fastfood chains

Author: DA-AFID | 24 August 2022

While the supply situation of white onions in the country has become a growing concern, onion farmers have been working with the Department of Agriculture Agribusiness and Marketing Services (AMAS) to directly sell their produce to institutional buyers.

In a consultation meeting attended by DA, SINAG, onion growers, traders and buyers, farmers expressed their strong objection against the importation of white onions.

A cooperative composed of onion farmers from Nueva Ecija declared that they will be harvesting their off season onion before the end of November. As such any importation processed at this point might arrive at a time that they will be harvesting.

According to Bonena Cooperative President Israel Reyugal , “May paunang ani na po kami bago matapos ang Nobyembre, kapag binaha nanaman po tayo ng importasyon, sadsad nanaman ang presyo ng mga itinanim naming mga magsasaka”.

Price monitoring reports showed a significant increase in the prices of red and white onions. Unavailability of white onions in wet markets was also observed. DA AMAS sees the problem in the supply situation as an opportunity for aggressive market linkage of farmers to institutional buyers.

According to DA, based on their consultations, red onions are acceptable to household consumers. Institutional buyers on the other hand prefer white onions.

DA AMAS began exploratory talks with fastfood chains and restaurant owners to get their volume requirement and other pertinent details inline with quality control and product specifications to guide farmers on what variety to plant while working on strengthening contract growing.

Series of consultations and market linkage activities have resulted to the market entry of farmer cooperatives and fastfood chains agreed to buy directly from farmers.

Enhanced market facilitation and assistance in business development is the thrust of DA agribusiness and marketing along side strengthening production support to help farmers improve their yield and meet market demand all year round. # # #

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