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Business As Usual

Food firms’ role in sustainable development of agri industry

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Food manufacturers, consumers and farmers should all take a proactive role in ensuring the sustainable development of the agriculture industry to ensure long-term quality food supply.

This was emphasized by Agriculture Undersecretary Jose Emmanuel Paras during the First Sustainable Agriculture Initiative (SAI) Platform–Philippine Convention, a gathering initiated by Nestle Philippines, Inc. (NPI).

NPI’s mother company, Nestle S.A. in Switzerland, is one of the three companies that founded the SAI Platform in Europe – a platform that has either already benefited or laid the groundwork for sustainable agriculture development in several countries.

The convention seeks to duplicate these efforts by bringing together the country’s leading food manufacturers and government agencies and non-government organizations concerned with food production.

"Progress here and elsewhere has exacted a heavy toll on food production," observed Paras. "This is why we need to ensure the needs of the present without risking the needs of the future."

NPI chairman and chief-executive-officer Nandu Nandkishore echoed his statement. "This is why we in the food industry should share practices and experiences that will ensure sustainability from an environmentally and economically-sound point of view," he said in his welcome remarks during the convention.
Ensuring the needs of the present without risking the needs of the future
The SAI Platform in Europe was founded by leading players in the food industry to actively support the development and communication worldwide of the need for sustainable development.

SAI Europe representative Patrick Leheup, the special guest speaker of the Philippine convention, explained that the need to ensure a long-term and efficient supply of agricultural raw materials is very important.

"The SAI Platform supports agricultural practices and agricultural production systems that preserve the future availability of current resources and enhance their efficiency," he pointed out. "This increases agriculture’s contribution to the optimal satisfaction of society’s environmental, economic and social requirements."

The SAI Platform’s key actions include raising and communicating to the relevant audiences the need for a sustainable agriculture platform; managing knowledge on sustainable agriculture practices; identifying and involving stakeholders (farmers, consumers, and food manufacturers); and supporting the implementation of sustainable agriculture practices.

Since its implementation in 1996, the SAI Platform in Europe has come up with several programs. These include several pilot projects for the potato, tomato, cereal and coffee industries.
Nescafé-initiated SAI practices
SAI practices have not been exclusive to Europe, though. Leading coffee brand Nescafé of NPI, through its Coffee-Based Sustainable Farming System (CBSFS), has implemented a program that lives up to the platform’s vision.

Launched only three years ago, the CBSFS helps farmers increase their income by allowing the planting of other crops alongside coffee in relatively the same amount of space as a mono-crop coffee plantation.

"The idea is simple: plant coffee tree rows five meters apart and spaced two meters apart in the row with the companion crops planted in between the wide five-meter space," explained NPI Agricultural Services Department head Joel Lumagbas, who presented the study on sustainable agriculture during the convention.

CBSFS then provides farmers an alternative income while they wait for the coffee harvesting season and gives them the option to wait for the best time to sell their coffee crop.

Nescafé’s has also established buying stations wherein farmers can directly sell their crops at guaranteed actual market prices.

Founded 20 years ago, they can be found in key coffee-producing areas around the country including Davao, Iloilo, Isabela, Zamboanga, Cotabato, Agusan del Sur, Palawan, Tuguegarao, Solano, Bacolod, Bohol, Calamba, Alabang and Cavite.

Another Nescafé-initiated SAI-related practice is the establishment of the Nestle Experimental and Demonstration Farm (NEDF). Here, farmers are trained on the proper way of growing coffee and how to best deal with weed problems.

"The NEDF reinforces the importance of good crop management and provides farmers with quality and high-yielding Robusta coffee planting materials," said Lumagbas.

To date, the NEDF provides 80 percent of all Robusta cuttings in the Philippines, with Nescafé currently sourcing its coffee from around 100,000 Filipino coffee farmers and 300,000 farm workers.
Sharing experiences and practices
The gathering likewise saw the participants sharing experiences and practices in their different industries and coming up with suggestions on how to address their various issues.

Those from the sugar industry, for one, informed the convention that they have already come up with what they call a Sugar Masterplan, which will oversee its sustainability until 2010.

This involves programs that address the shelter, education and livelihood of sugar workers; the development of bio-ethanol to help reduce oil importation; and the creation of a special action group for the environment.

The coffee, cacao and mango industries, meanwhile, emphasized the need for good farming practices and knowledge-sharing not just between farmers and food manufacturers, but to the public as well.

For the rice, fruits and vegetable industries, programs were proposed for a plowback mechanism, wherein a fund will be set up for a future initiative; a distance agri-business education; bringing processing technologies to farm hands; and the holding of intercropping education seminars, among others.

The coco and palm oil group, meanwhile, called attention for the need to implement the studies done by the Philippine Coconut Authority (PCA).

The food manufacturing companies which attended the convention included Nestle, All Asian Countertrade/Sweet Crystal Millers, Coca-Cola Export Corp., Delfi Foods, Dole Philippines, Inc., Figaro Foundation, Kraft-General Foods, Inc., San Miguel Corp., San Pablo Manufacturing, Splash Nutraceutical Corp./Splash Foundation, Inc., Universal Robina Corp., Victorias Milling Corp., and Vitarich Corp.

The government agencies and non-government organizations, meanwhile, included the Cooperative Development Administration, Green Philippines Movement, Management Association of the Philippines-Agribusiness and Countryside Committee Foundation, National Food Authority, Phil. Association of Sugar Millers, Sugar Alliance of the Philippines, Philippine Business for Social Progress, Phil. Rice Research Institute, Phil. Sugar Research Institute Foundation Inc., Sugar Regulatory Board, Philippine Coconut Authority, the Department of Agriculture, PNP-DILG, the National Economic Development Authority, and the Panlilio Corp.

AGRICULTURE

COFFEE

FARMERS

FOOD

NESCAF

PHILIPPINE COCONUT AUTHORITY

PLATFORM

PRACTICES

SAI

SUSTAINABLE

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