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Proposal for a Coconut-Based Food Manufacturing Plant in the Philippines

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Proposal for a Coconut-Based Food Manufacturing Plant in the Philippines
CHAPTER 1
INTRODUCTION
1.1 Rationale
The Philippines until now is still primarily an agricultural country despite the previous plan to make it an industrialized economy by the year 2000. Philippine agriculture has been known to have four major production sectors namely coconut, rice, corn, and sugar production. Of these sectors, the coconut industry proves to be very important in the country since one third of the population depend on coconut production for livelihood.

The country is the second top producer of coconuts next to Indonesia and is the top exporter of coconut products accounting about 59% share of the world’s coconut exports according to the 2012 statistics by the United Nation’s Food and Agriculture Organization (FAO). The country has the world’s widest geographical area allocated to coconut cultivation. According to the Bureau of Agricultural Statistics (BAS), as of 2007, 3.36 million hectares of Philippines’ land area are coconut zones which comprise 27% of the country’s total cultivated area, representing 68 out of 79 provinces and 1,195 out of the 1,554 municipalities in the country. Major coconut producing areas in the country include Quezon as the largest producer, producing 1,114,760.53 metric tons, followed by Davao Oriental and Davao del Sur, Leyte, Zambaonga del Norte, Lanao del Norte, Zambaonga del Sur, Misamis Occidental, Maguindanao, and Misamis Oriental (Bureau of Agricultural Statistics, 2011).

The coconut (Cocos nucifera) is a very versatile crop which in fact requires very little care. The coconut palm can adapt to a wide range of soil types. Although coarse sand is its natural habitat, best growth is obtained on deep soils with good physical structure and chemical properties. They can grow on light, medium and heavy soils, loams and clays which are well drained and can tolerate saline and infertile soils. Coconuts can tolerate alkaline soils up to pH 8 and acidic soils with pH 4.5. The ideal soil pH range however is 5.5-7.

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