Photo Courtesy of Department of Agriculture RFO X
CAGAYAN DE ORO CITY – South Korean food corporation sought the assistance of the Department of Agriculture Regional Office 10 and 13 in sourcing more cassava tubers for starch production.
DA-10 OIC-Regional Executive Director Carlene Collado said last week that Daesang Philippines, Corp., a food processing company, is engaged in the business of cassava starch production.
Daesang Philippines Corporation has established a manufacturing plant inside the PHIVIDEC Industrial Estate in Sta. Ana, Tagoloan, Misamis Oriental. The Korean firm eyed deliveries from different cassava clusters to their facility to fill their need of 400 metric tons per day to overall meet their annual starch production target of 33,000-40,000 metric tons.
“Daesang Philippines is set to have its manufacturing plant completed by July of this year and is expected to be in operations the following month,” Collado said.
Collado said that the DA has hosted a Prospective Cassava Suppliers’ Meeting here last week, to tap more farmers’ cooperatives and associations (FCAs) for its fresh cassava tubers requirement.
Incherl Han, Daesang President said that they need suppliers for their food processing plant.
“We are here to introduce our tapioca project to the farmers, consolidate, and explain the series of processes related to tapioca tuber raw material such as purchase, delivery, inspection, and payment,” Han said.
Daesang Philippines, DA, the Board of Investments, the Department of Agrarian Reform, and the Cooperative Development Authority (CDA) signed a Memorandum of Agreement in April 2022 to provide a support mechanism to empower cassava farmers.
The proximity of cassava-producing FCAs in Northern Mindanao to the Tapioca starch manufacturing facility was one of the factors why Daesang Philippines put up a processing plant in Tagoloan town.
In the said agreement, Daesang will buy the cassava harvest of two FCAs and a trader from Manolo Fortich town, in Bukidnon province; and three FCAs from Magsaysay, Balingoan, and Alubijid.Misamis Oriental.
However, Daesang Philippines wants more cassava growers to seal a deal with them even as they eye expanding to the nearby CARAGA region.
Daesang Philippines tackled during the business meeting proper its required quantity, receiving flow, delivery, quality testing, pricing policy, incentives, receiving flow and calculation examples, payment term, purchasing flow, and future commitments.
“We would like to express our joy that we have this suppliers’ meeting, so we can discuss the receiving and purchasing protocols, and open new possibilities of perhaps, extending the opportunity by which we could all benefit, both from the farmers’ viewpoint and the regional economy, in general,” Collado said.
Collado added that through Daesang, the DA has found allies or partners who will help in spurring local economic activities.
Mischelle Egama, DA-NorMin’s cassava focal person said that for 2023, the department continues the supply of cassava stalks, farm tractors, hauling trucks, and information-advocacy materials, and the establishment of model farms to support cassava clusters in the region.
Egama revealed that for 2024, DA will enhance its strategies, ranging from the provision of high-yielding planting materials, fertilizers distribution, the conduct of training and research, the establishment of model farms, and the provision of farm machinery, equipment, and hauling truck.
Cassava buying price agreed from the meeting is starch-content based on 25 percent content and with DA providing market pricing references. These will be factored in during price negotiations between Daesang and the cassava-producing FCAs.
“I believe that if each one of you and Daesang will work together, we will be able to uplift cassava farmers’ lives, provide employment, contribute to the development of the agriculture sector in the Philippines, and stabilize the local economy.” Songho Baek, Daesang Philippines factory manager said.
