Seven ARB Organizations sign for 250-hectare cacao production in Davao City

pic1july25More than 250-hectare agricultural land will be planted with cacao in selected Agrarian Reform Communities (ARCs) in Davao City. This came as good news to farming families in Davao City after seven 7 Agrarian Reform Beneficiaries Organizations recently signed the Cacao Production and Purchase Agreement with Kennemer Foods International, Inc. (KFII) for a period of 10 years.

Provincial Agrarian Reform Program Officer (PARPO) II Ernesto B. Tan said the 7 ARB Organizations are ARB Cooperative (ARBCO), Carmen Agricultural Multi-Purpose Cooperative (CAMPC), Balacan Development Multi-Purpose Cooperative; Suawan Proper Multi-Purpose Cooperative, Fatima Multi-Purpose Cooperative (FMC), Callawa Bonggan Employees ARB Cooperative (CABEARBCO) and Latungan Farmers Multi-Purpose Cooperative.pic2july25

Tan said the ARBOs will establish a cacao nursery with proper guidance and recommendation of KFII for its cacao production. Their produce will then be sold to the company.

Simon Bakker, President of KFII, said their company has the technology, technical and management expertise, and marketing capability to plant, cultivate, harvest, market and export cacao which could be an advantage in terms of marketing the farmers’ produce.

Bakker added that the farmers will be provided with high quality cacao seedlings and they will be trained on the proper care, cultivation and harvesting of cacao. 

Bakker noted that their company will purchase all cacao beans produced by the 7 ARBOs at a competitive price which is not less than seventy percent (70%) of the world market price of cocoa when the beans are sold. 

Ruel D. Larosa, CARPO of Program Beneficiaries Development (PBD), said that Php 24 million pesos loan from Land Bank of the Philippines will finance the cacao production under the Agricultural Production Credit Program (APCP) of which the DAR will assist these cooperatives in the submission of loan requirements to LBP. 

Larosa added that at least 300 ARBS who are into cacao production are expected to get a net income of Php90 thousand per hectare (with 1,100 trees/ha.) for the next five years.