Invest in Davao Oriental

Coconut Industry

Industry Background/Situationer

Coconut is one of the most important crops in the country because of its versatile uses. It substantially contributes to local income and foreign exchange earnings. The Philippines is still enjoying as one of the world’s leading suppliers of traditional products which includes copra meal, coco oil, activated carbon & coco coir. From a declining industry caused by the unstable price of copra in the world market, the industry recovered and the situation was reversed when high-value products were developed, expanded and diversified. Among the products that are now penetrating
markets are virgin coconut oil, coco methyl ether, coco peat, coco drinks, coco food products, and handicraft items. Coco- based food products are fast gaining recognition because of its health and aesthetic values. Not to mention the fact that people now are shifting to more natural, & healthy foods.

Davao Oriental is once considered as the emerging coconut country. But with the catastrophic occurrence wiping a significant number of coco trees in the landscape, the province will surely double its efforts to become one. However, the efforts of the PCA cannot be discounted, as the number of coconut trees planted are fast rising in number. Surprisingly, the latest records from the PCA disclosed an average production of 1.303 metric tons/ hectare/ year, where a slight decline from the previous average annual production of 1.4 metric tons/hectare/year.

One of the setbacks suffered by the industry in the last ten years was the closure of the International Copra Export Corporation (INTERCO), a crude oil and copra pellets mill/exporter operating in the City of Mati. As impact to said closure, major businesses operating within the province also suffered setbacks and losses. One of these is the franchise holder power distribution company, where the INTERCO gets its power requirement for its milling operations. However, with the province’ competitive advantage, one can still explore new opportunities with the industry both in the domestic and export markets.

Investment Opportunities

  • Coco gifts, toys, housewares making
  • Coco diesel processing
  • Activated carbon processing
  • Coco coir & coco peat processing
  • Virgin coconut oil processing
  • Integrated coconut processing
  • Coco-based food processing
  • Coco briquettes production
  • Integrated coco oil
  • Nutraceutical processing plant
  • Coconut production area for
  • Hybrids/macapuno production

Quick Facts

  • Land Area: 516,446 ha
  • Total Agricultural Area: 315,600 ha
  • Total Area Planted to Coconuts: 201,956.84 ha
  • Total No of Barangays: 183
  • Total No of Coco Farmers: 274,348 Farmers
  • Total No of Coconuts Planted: 20,489,996

Existing Players

  • 74,348 Coco Farmers
  • Copra Traders
  • 3 Coco Coir Processors
  • Coco Coir Exporters
  • 1 Geo-textile Producer
  • 1 VCO Producer
  • Coco Novelty Makers
  • Coco Lumber Dealers
  • Granulated Charcoal Trader
  • Coco Charcoal Makers
  • Fresh Young Coco Retailer
  • Whole Coconut Buyers
  • Backyard Dehuskers
  • Micro Food Processors
  • Farm Laborers
  • Coco Sugar Plant

Existing Facilities in Davao Oriental

  • Copra Dryers
  • Geo-textile plant
  • Decorticating plant/machines
  • VCO processing facility
  • Dehusker
  • Laborers

Domestic and Export Market Potentials

  • Coconut oil
  • Coco diesel/biofuel
  • Copra meal/pellets
  • Desiccated coconut
  • Virgin coco oil
  • Coco fiber /sheets
  • Geo-textile
  • Coco peat
  • Coco-based food products (juice, candies, jam, flour, sugar, milk, nata de coco)
  • Coco gifts/toys/housewares (baskets/trays)
  • Granulated charcoal
  • Coco wine (Lambanog & tuba)
  • Coco food seasonings (vinegar sauce)