Local coffee production, rehab program receive P84.1 M funding

Author: DA-AFID | 28 September 2022

The Department of Agriculture, through its High Value Crops Development Program (HVCDP), has set aside P84.15 million (M) to fund projects that aim to increase and improve the production of Philippine coffee.

The HVCDP’s 2022 budget for coffee aims to improve productivity, product quality and profitability of Filipino coffee growers for the long term.

As one of the most traded agricultural commodities in the world, coffee is a major contributor to the Philippine economy.

Hence, the development of the industry is on top of the government’s to-do-list.

A substantial part of the fund will go to the rehabilitation of 486,450 old trees amounting to P30.37M, while P10.56M is earmarked for the acquisition of planting materials to be distributed to local growers. In addition, P7.79M will go to the maintenance of production facilities in DA stations, and P5.84M for research and development.

The coffee fund will also be used for capability enhancement and training of stakeholders, construction of storage facilities, roasting centers and other production equipment, as well as various farm inputs.

Presently, the country is 15% self-sufficient in coffee. Bulk of the production comes from Mindanao at 83.63% share, followed by Luzon at 9.18%, and Visayas at 7.2%.

However, production has been on a downtrend. In 2015 yield was posted at 36,171 metric tons (MT) green coffee beans (GCB), which was reduced to 30,320.47 MT GCB in 2020, ebbing average yield of 0.64 to 0.54 MT/ha. In 2021, production dipped to 30303.59 MT GCB.

Last June, the Department launched the Coffee Industry Road Map 2021-2025, along with other commodity road maps, as guide to the improvement of the different Philippine agriculture sectors.

Through this detailed plan, key players and government agencies will be guided on the progress of the industry. It aims to increase yields, incomes, and improve farm productivity.

The road map was designed to enhance farmers’ technical capability and skills, and create avenues to attain food security and alleviate poverty.

Through the 5-year strategy, DA will intensify the promotion of local coffee products for the short term. For the medium term, it shall forge partnerships with the private sector, while linking local growers with high-end local coffee shops.

For the long-term, an online database of information such as current price, production volume, and yield, among others will be created to provide valuable information to stakeholders. This can be easily accessed by stakeholders, and be used to initiate opportunities towards the development of quality coffee products that are globally competitive. ###  (Adora D. Rodriguez, DA-AFID)

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