Dutch firm to put up coco peat plant in Mindanao

MANILA, Philippines - Netherlands-based Van der Knaap Group of Companies is expanding to the Philippines by investing $1- to $1.5-million to form a company in Davao Oriental for the processing and marketing of coco peat.

In a statement from the Department of Trade and Industry (DTI), Dinesh Fernando, managing director of Euro Substrates (Pvt) Ltd. for Sri Lanka, one of the companies under the Van der Knaap Group, said the firm is currently establishing a company with an initial investment of $1- to 1.5-million in Mati, Davao Oriental.

Fernando is arranging a visit of Ron van der Knaap, chief executive officer of the Van der Knaap Group of Companies to the Philippines.

The plan is to explore business opportunities in Laguna and Quezon.

“We can work with the DTI. The DTI can support a selected number of producers with the required machines to produce; we give the technology for them to process it and ensure the market.  We kick start from there,” Fernando said.

He said the group is looking at the Philippines for the processing of coco peat, citing growing demand.

“We see the market growing and we will support the growth not from Sri Lanka and India because we have problems in resources (in these countries),” he said.

Coco peat is made from coconut husks.

Raw coco peat is currently being sold in the local market as soil conditioner. It is not being processed into coco peat products used for horticultural and agricultural applications.

Through processing, coco peat can be turned into a high value planting medium which can be exported.

The Van der Knaap Group provides sustainable and high quality products and services for horticulture worldwide.

The group has over 30 years of experience, with turnover of $50 million and sales to over 50 countries around the globe.