TVIRD creates agribusiness subsidiary

MANILA, Philippines - TVI Resource Development (Phils.) Inc. (TVIRD), the local affiliate of Canadian miner TVI Pacific Inc., has created a wholly owned subsidary for an agribusiness joint venture in Zamboanga del Norte, company officials said yesterday. 

The subsidiary called  TVI Agriproducts Inc. recently signed a memorandum of understanding  (MOU) with agricultural commodity manufacturer a marketer Kennemer Foods International (KFI) for  a joint venture for the contract growing of cacao beans in the municipalities of Siocon and Baliguian in Zamboanga del Norte.

Siocon and Baliguian are neighboring municipalities of TVIRD’s Canatuan polymetallic mine in the province which would be decommissioned this year.

The cacao growing venture woud provide livelihood to workers who previously depended on the operations of the mine.

“Our partnership with Kennemer comes at an opportune time that TVIRD is winding up its mineral processing operations in Canatuan,” said TVIRD President Eugene Mateo. “We are confident that this operation will further improve the economic condition of our local community members who are also our key partners in this endeavor.”  

KFI is one of the cacao suppliers of US based candy maker Mars Chocolate. It is working on a similiar agreement with the Department of Agriculture (DA) in Davao and Campostella Valley which were ravaged by Typhoon Pablo in December. 

TVIRD vice president for corporate social commitments Renne Subido said the joint venture would be formed this year. The total capital expenditure for the project has not yet been fixed.

The cacao business would intially cover 100 hectares of consolidated plantations in the municipalities of Siocon and Baliguian in Canatuan Zamboanga del Norte. An initial budget of P20  to P30 million has been allotted for the development of an initial 100 hectares of cultivation area.

The cultivation area is expected to expand to 1,600 hectares of block farms in four years.

The venture is expected to contribute to the community employment gains worth P100 million annually.

TVIRD spokesman Kaycee Crisostomo said the venture would continue to exist even after the proper closure of the mine.

Farmers cultivating the 100 hectares initially identified for cacao growing are currently putting up nurseries for cacao seedlings to be used in the systematic growing which would commence in August.