Overview Of The Coconut Industry
Philippine Coconut Industry
Philippines is the second largest coconut products producer in the world next to Indonesia. According to Philippine Coconut Authority (PCA), coconut industry is the dominant sector of Philippine Agriculture. The Philippine Coconut Industry is one of the top 5 net foreign exchange earners with the average of US $760M per year. Its contribution to Gross National Product accounts for 1.14% and it has 50% share in world coconut exports. The industry constitutes 3.1M of the 12M hectare of farmlands in the Philippines covering 68 out of 79 provinces planted with coconut. There are 3.5M coconut farmers and 25M of Filipinos are directly or indirectly reliant on the industry. In history, the centers of coconut production were the Southern Tagalog, Bicol regions, and Eastern part of Visayas. Moreover, early on 1990s, the average size of coconut farm is about four hectares. The owner of the farm employs local peasants that are usually less learned, older than a common worker, and earned lower than the average income. Historically, since 1971 many laws were passed to institute various levies on the coconut industry. The martial law regime combined all the coconut-related agencies and government operations to a single agency, the PCA.
Figure 1 shows the annual coconut production in the Philippines. The volume of production from 2002 to 2000 generally has an increasing trend from 14,068.5 in 2002 to 15,667.6 in 2009. The production trend is increasing as the government is doing ways to rehabilitate the coconut trees in the Philippines for higher volume of production. As what Jeronimo U. Kilayko, new United Coconut Planters Bank (UCPB), said about he being bound to work with the farmers through a replanting program (The Philippine Star, November 2011).
Figure 1. Annual Coconut Production in the Philippines, 2002-2009 Source: Philippine Coconut Authority, 2011
Figure 2 shows the annual volume of production per