MANILA, Philippines - Listed agribusiness firm AgriNurture Inc. (ANI) is allocating P1 billion for rice production in the next planting season to help augment rice output in the country.
In a briefing, ANI chief executive officer and president Antonio Tiu said the company is targeting a total of 10,000 hectares of rice farms by the end of 2013.
ANI, through a joint venture with Beidahuang Seed Group of China, is focused on developing hybrid rice seed varieties which yield more than the regular inbred varieties. The group sells these to farmers and buys the farmer’s produce for sale to the domestic market.
“The rice business will flourish given the shortage. We want to capitalize on this,” Tiu said.
The Philippines has become one of the world’s top rice importers as it continues to suffer from rice shortage. Last year, the government was forced to import 2.4 million tons of rice from other east Asian countries and the United States.
To achieve sufficiency in rice supply, the government aims to increase palay output to 19.2 million tons this year and 21.12 million tons by 2013.
The Department of Agriculture said earlier the Philippines could reduce its rice imports should the government succeed in persuading farmers to change their cropping schedule.
Aside from rice, ANI remains upbeat on the prospects of its coconut water business, which has become one of the most in demand consumer beverages in the US. “We’ll continue expanding our coco water business. We are the only coco water producer in the Philippines,” he said.
ANI, in partnership with US best-selling coconut juice brand Vita Coco, is building a $5-million coconut juice production facility in Pili, Camarines Sur, which is expected to churn out 36 million liters of coconut juice each year. Vita Coco is sold at over 20,000 US retailers including whole food market, GNC, Kroger, Ralph’s, Stop &Shop, select Costco and Walmart stores and several independent groceries.
Tiu said the company plans to build two or three more plants in Visayas and Mindanao to capitalize on the strong demand for fresh coconut water.
Meanwhile, Tiu said its Big Chill fruit shake business would make its initial foray into the overseas market with its first store to rise at the Hong Kong International Airport. He aims to put up 1,000 stores overseas in the next five years.