All dressed up

Guaranfood Manufacturing Co. started in 1988 as a producer of Hawaiian ham in the San Pablo City, Laguna, home of Clarissa Cavero.

"I put in an initial capital of P180,000. To save on costs, my 52-square meter home was also my factory. It was a backyard business," said Cavero.

After a year, Guaranfood shifted production to condiments, making the ham a seasonal product during the Christmas season.

"I started making catsup since I previously worked with a catsup company where I first applied my degree in food technology," said Cavero. She sourced the raw material for banana catsup from banana plantations in Mindanao and for tomato catsup from the Mountain Province.

Today, Guaranfood makes catsup, sauces, vinegar, and pickles as well as dressings such as burger dressings and spaghetti sauces for several fastfood chains.

"Given the same quality, our products are priced cheaper than most commercial brands in the market," said Cavero. "It is, however, increasingly difficult to keep prices down with the continued deterioration of the peso. We import our soya oil, which is in short supply locally. The higher packaging cost for bottles and plastics is also a problem for small companies."

Production

Guaranfood currently operates from a 1,800 sqm. plant in Laguna, which is equipped with centrally controlled machinery and complete in-line steamed jacketed kettles for the production of the condiments.

Production averages at 2,000 gallons a day, going up to 4,000 gallons a day during the peak months of September to December.

"We have a laboratory operated by highly trained qualified personnel in research and development to assure that products are of optimum quality," said Cavero. "We also recently installed a complete waste water treatment facility to ensure that we would not contribute to the fast deterioration of aquatic resources."

To maximize production, the company is looking at toll packing arrangements, starting with the Middle East.

It is also working for compliance certification as a Hazard Analysis and Critical Control Point (HACCP) and Good Manufacturing Practices (GMP) practitioner. HACCP and GMP are standards or benchmarks established by global markets like the United States, Japan, and Europe prior to allowing the entry of food products into their countries.

"We intend to enter the export market through distributors because it is very expensive and difficult to establish company outlets abroad. We are initially interested in shipping to Asia, where regulations for food preparation imports are not as rigid," said Cavero.

Locally, the company is looking for distributors based in Bicol, the Visayas, and Mindanao. It also promotes its products in trade fairs.

"We are strong in the institutional market. Now, we want to be also known in the retail market," said Cavero.

Guaranfood received the Balikatan sa Kabuhayan/Urban Livelihood award from the Technology and Livelihood Resources Corp. in December 2000 and the TLRC award for micro-entrepreneurs in 2001.