Sweet Peace: The Journey of MCC Coco Sugar Project

How the MCC coco sugar project started?

What? We can make sugar out of coconut toddy? This was my initial reaction when Mr. Louie Pacana said that we can provide economic opportunities to the PDCs if we will make it as a flagship project of GoP-UN ACT for Peace programme (A4P). I researched a lot about it until I found myself allocating Php5,000,000.00 fund during our Annual Work and Financial Planning workshop at Eden Garden, Davao City.

I developed project proposal based from the feasibility study conducted by Mr. Pacana. It took me almost a year to convince the programme to approve the coco sugar project. A4P approved Php4,912,000.00 total coco sugar project cost to be implemented by SCMPPDALCI with 12 PDCs (Sapu Masla, Cablalan, Tuyan, Lun Padido, Baliton, Katubao, Lumatil, Daliao, Datu Dani, , Palian, Bunao, and Kalkam) as beneficiaries.

Social Marketing of the Coco Sugar to Various aAgencies

In order to promote the project, Engr. Cynthia C. Guerra, Area Manager of A4P allowed me to explore partnership with various agencies.

We first discussed the coco sugar project with Mr. Ernesto Casiple, DTI South Cotabato RuMEPP Coordinator who eventually suggested me to present it with Mrs. Flora Gabunales, DTI South Cotabato Provincial Director which I did on November 17, 2011 at Punta Isla, Lake Sebu South Cotabato. This resulted to the conduct of Inter-Agency Consultation on Coco-Sugar Project on December 16, 2010 participated in by DTI Region 12, DTI South Cotabato, DTI Sarangani, PCA South Cotabato, Food and Drug Authority, South Cotabato Chamber of Commerce, TESDA, DOLE, SCMPPDALCI (10), Kapayapaan Kapatid Council, and we from the A4P AMO SCM. The meeting also led for a Mind Mapping Workshop at MDFI, Koronadal City on January 6-7, 2010 resulting to the creation of Project Advisory Group (PAG) chaired by the DTI South Cotabato.

The Capacity Building Processes

Series of capacity building for the key staffs of proponents and beneficiaries were carried out by the DTI-South Cotabato being the chair of the PAG. Among the training done during the on-set of the project implementation are:

Date	Activity/Location
Feb. 4, 2010	Coconut Farmers meeting at Tupi, South Cotabato
Feb 5-7, 2010	Hiring of plant supervisor, raw material supervisor, and administrative officer.
Feb. 8-9, 2010	Coco sugar exposure study at PCA Aruman, Carmen, Cotabato
Feb.16-20, 2010	Conduct of Corporate Management Workshop at Koronadal City
Febr. 25-28, 2010	Exposure to Phil Food Expo, FDC, DTI Central office and actual business meeting at Manila
March 2010	Farm assessment and evaluation (March 2010)
Mar.15-19, 2010	In house coco sugar production training in NSCPC—PCA Aroman, Carmen, Cotabato
March 24, 2010	Tappers, cook, and farmers orientation on
April 6-7, 2010	Coco Agri- Training (Pest Control, Nutrition and Valuing the Coconut)
April 13-14, 2010	Corporate Good Manufacturing Practices
March-June 2010	Securities and Exchange processing of Mindanawan Coco-sugar Corporation Registration
June ’10-Today	Continuing Capacity Building

Coco Sugar Production

The coco sugar processing plant was launched on July 21, 2010, however, the operation of the processing plant started in June 2010 where the micro entrepreneurs do the whole process of coco sugar making and then sell it to the processing plant. Before the coco sugar processing plant, I suggested to make a policy that only coco syrup shall be purchased from the micro-entrepreneurs and the coco sugar final processing will be in the coco sugar processing plant to have a uniform color and to ensure Good Manufacturing Practices.

Mrs. Lilian Mationg, FDA South Cotabato Coordinator said that the FDA certification processing needs to be fast tracked by the MCC to strengthen marketability of the coco sugar.

DTI-South Cotabato under the RuMEPP implemented the Enhanced-Coco-Sugar Industry Development (e-Coco SID) Project of Php890,000.00 with additional Php450,000.00 as business development support to the coco-sugar project.

PCA 12 launched their KAANIB project on October 9, 2010 in Tupi, South Cotabato with Assistant Secretary for Field Operations  Edilberto de Luna as the representative of DA Secretary Proceso J. Alcala. Regional coconut central nursery was established in the coco sugar processing plant and coco sugar bulk marketing is currently assisted by Mrs. Elvie Silva, PCA 12-OIC for shipping to Manila buyers.

The Coco Sugar Challenges and Recommendations

1.    Raw material supply sourcing: Frequent problem of MCC is when the raw material suppliers are trained with the technology and started selling of coco syrup to the MCC plant, eventually, other institutions offers for a higher price then they shift. I order to avoid this reality the following are my recommendations: Make a legal business arrangement: There must have to be business arrangement made between the MCC and the raw material supplier that needs to be notarized and to be witnessed by the concerned BLGU. i.e. the partners must sell his/her coco syrup to MCC for at least 2 years, etc.

2.    MCC Organizational Challenges: It is natural for any growing organization to face disagreements as it is among the signs that everybody is concern. Recommendation are: Quarter BOT Meeting: BOTs must have to propose operational policies that could promote for the strengthening of the business. Not just complains without suggestions; Operation Staff Regular Updating: With the help of the high technology today, operation staff must inform the BOTs on good and challenging new pertaining MCC operation through text or e-mail for immediate feed backing; Transparency of MCC Operation: Inventory and Books of accounts must be done on time i.e. Journal Book, Cash Disbursement Book, Cash Receipt Book, Stock Cards, etc.

3.    Coco sugar marketing this is the very problem today of the business. The following are my suggestions: Massive IEC i.e. distribution of brochures, local radio and tv programme advertisement, etc. for coco sugar to increase patronizing of local buyers. The packaging and labeling must have to be enhanced. Attend Trade Fairs Trade fairs are great opportunity to market products. Since DTI is supporting the industry, ask them for a support during such activities to improve marketing; Search coco sugar buyers from internet i.e. California-based company run by a Filipino American is planning to triple or even quadruple it imports of coco sugar product from the Philippines by 2011. Filipino American Sarahjean Camarenesi, co-founder of Coconut World, said it on Thursday during Philippine Coconut Industry Summit held by the Department of Agriculture in Quezon City on Dec. 8-9, 2010. For more details, please visit http://www.gmanews.tv/story/208048/us-based-fil-am-company-to-import-more-coco-sugar There must have to be a marketing plan The owners must not rely only from agencies that support them for marketing coco sugar. There must have to be a marketing plan that must be religiously followed by the staff manning the coco sugar processing plant.