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Business

Let’s use our ‘coconuts’

SPYBITS - The Philippine Star

A dangerous pest is threatening the entire coconut industry, spreading all over the country and killing millions of coconut trees. One of my personal friends, Albert Garcia, president of the Chamber of Herbal Industries of the Philippines Inc. (CHIPI), which counts virgin coconut oil producers among its members, told us the situation is causing a major panic among coconut industry stakeholders, with the “cocolisap” leaving a trail of destruction in Batangas, Cavite, Laguna, Quezon and other parts of Luzon, and now spreading through Bicol and Mindanao.

Coconuts are a major agriculture export with the Philippines accounting for more than 50 percent of the total output of coconut cooking oil all over the world. Aside from cooking oil, the “tree of life” also has other products like virgin coconut oil which has gained global fame for its many health benefits, nata de coco and of course, coco water (buko juice) which the President even mentioned during his State of the Nation Address in 2012, proudly telling Filipinos that coco water exports have risen from almost two million liters in 2010 to more than 16 million liters in 2011.

News about scale insect infestation of thousands of coconut trees in a barangay in Batangas was reported to the Philippine Coconut Authority (PCA) in 2010, but little was done about it perhaps because insect infestations are fairly common occurrences. By 2011, the infestation had spread to other areas in Batangas and reached Laguna, with reports also coming from the province of Quezon. The PCA and the Department of Agriculture rolled out several measures to contain the scale insect invasion and even claimed that the mitigation measures like leaf pruning, spraying activities including the application of salt were working and that the trees fully recovered.

It seems the government agencies spoke too soon, because the pests continued their destruction, resulting in millions of dead coconut trees while many more are dying, their leaves turning yellow or brown. Apparently, government entomologists thought they were dealing with scale insects usually found in the Philippines. As it turns out, they were dealing with a more destructive strain believed to have come from Manado, Indonesia through one of the international ports in Batangas. The insect attacks the leaves of the coconut tree, obstructing the production of chlorophyll and causing the tree to die. What’s also scaring coconut farmers is the speed by which the infestation is spreading because the pests are airborne and therefore travel very fast.

Newly appointed food security czar and agriculture modernization Secretary Francis “Kiko” Pangilinan has sounded alarm bells over the coconut infestation, warning it could reach  the Zamboanga peninsula by yearend if not controlled, with over P32 billion in potential losses. Kiko outlined a P750-million plan to combat the infestation, but coconut industry players do not agree with the proposal to inject synthetics or chemical pesticides on the coconut trees.

True, the injection of these chemicals will be faster and may be cheaper, turning the coconut trees into virtual poison for the insects. But such a drastic measure will have more costly consequences in the long run because it could make coconut products unsafe for consumption as well.

Virgin coconut oil producers are particularly concerned that the naturalness of coconut products and by-products will be affected. The use of chemicals could result in Philippine coconut products being rejected by consumers in the international market who would prefer cleaner and “chemical-free” products. Even locals would hesitate buying a product like coco water if they find out it came from a tree that was injected or sprayed with a poisonous chemical. An even more disturbing thought is the fact the use of pesticides on the trees could also kill other insects like butterflies and even birds and smaller animals.

According to sources, the use of the chemical/synthetic products is being pushed by a former member of the academe who is now representing a foreign company dealing the synthetic products. Coconut industry players know that consumer perception could adversely affect the market, which is why they are opting for natural methods that can effectively kill these insects. One of them is to introduce the right predator insects that can target the pests like what was done in Indonesia before. We’re also told that two local companies have developed effective natural products that can successfully kill the pests.

But one thing is clear: lack of real understanding about the infestation problem coupled with little action has led to this alarming (some say calamitous) state of affairs for the entire coconut industry – but it will only make matters worse if government opts for the quick fix solution through the use of chemicals or synthetic products that in the long run could result in the outright banning of coconut by-products from the international market. We just need to use our “coconuts” for the right solution.

Costco to open soon?

We received information that the Costco brand, one of the biggest retailers and the largest membership warehouse chain in the US, is coming to the Philippines late this year. Costco has chains located in many parts of the world including Japan, South Korea and Taiwan, and its entry in the Philippines will put it head to head against S&R, another American style warehouse club that so far has four branches in Metro Manila including one in Alabang.  

We’re not sure who the local partner will be but most likely it will still be business tycoon Lucio Co behind the branded warehouse chain or at the very least a major stockholder of the new joint venture partnership.

***

Email: [email protected]

 

ALBERT GARCIA

BATANGAS

BICOL AND MINDANAO

CHAMBER OF HERBAL INDUSTRIES OF THE PHILIPPINES INC

COCONUT

COSTCO

DEPARTMENT OF AGRICULTURE

KIKO

LUCIO CO

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