SIAP president Benson Dakay said he is optimistic that demand worldwide for carrageenan will continue to grow steadily.
In this year’s IMR International Food Hydrocolloids Conference, it was noted that world demand for carrageenan, specifically food-grade carrageenan, is expected to grow by an average of five percent to six percent in the next 10 years. Thus, demand will soar from 35,226 metric tons in 2002 to as much as 70,000 metric tons by 2012 as the global economy also improves.
Aside from the traditional markets, there are emerging new markets such as China, India, the ASEAN countries and Australia. Meat-eating regions and countries in Latin America such as Brazil, Mexico, and Central and South American countries also have high potential for semi-refined carrageenan food grade in meat and in poultry and dairy processing.
Dakay said SIAP hopes to be at the forefront when demand takes off.
Currently, seaweed exports average about $130 million annually, with semi-refined carrageenan accounting for 58.2 percent, refined carrageenan, 27.87 percent, and dried raw seaweed, 13.4 percent.
He said the NISDP will include a comprehensive five to 10-year seaweed farming expansion plan nationwide.
Currently, there are some 26,300 hectares devoted to seaweed farming, spread out over Southern Luzon, the Visayas and in Muslim Mindanao, specifically, Tawi-Tawi, Sulu, Basilan and Zamboanga.
Dakay said there are still 255,000 hectares that can be tapped for productive and profitable seaweed farming.
"There is a huge potential for job generation if the program takes off, specially for semi-skilled, highly-skilled and technical manpower, including allied services such as transport, trucking, stevedoring, plastic bag manufacture, automotive and other services," noted Dakay.
SIAP is aiming to expand the cluster off traders and seaweed farmers, already involving 103,650 families nationwide by organizing a Provincial Development Council in each province producing seaweed.
The council will be composed of local representatives of government agencies involved in the program, the provincial government and the academe.
Dakay said the council will be coordinating closely with existing SIAP clusters that will be tapped to organize provincial seaweed farmers and local traders association.
"The aim here is that production and marketing will be integrated. The produce will go to seaweed manufacturers or exporters and because of the value-added created, seaweed prices will be steady," said Dakay, adding that local seaweed farmers will be encouraged to sell to carrageenan manufacturers instead of exporting raw seaweed.
The NISDP will also focus on improving seaweed processing, research and development (R&D).
"Research is important if the Philippines is to maintain its competitiveness in the world market. We should adopt a program of continued research on factors affecting the quality of seaweed and seaweed products, develop or look for varieties that have potentials for commercial production and continue researches on product development that will expand the application of seaweed products," said Dakay.
Along with R&D, the NISDP will also adopt a more active market promotion for carrageenan and other seaweed products.