Nestle opens 3 new coffee buying stations

MANILA, Philippines - Consumer goods manufacturer Nestlé Philippines recently opened three new buying stations in key coffee-producing provinces, enabling farmers to have ready access for their produce.

Small and medium-scale coffee producers and intermediaries can now sell their coffee to new Nestlé buying stations in Silang, Cavite; Lapuz Norte in Iloilo; and Bagong Pook in Lipa, Batangas.

Around 5,500 local coffee growers in Cavite, Iloilo City, and parts of Antique, Capiz, and Guimaras are expected to benefit from the increased market access as well as training in plant propagation.

Edith de Leon, senior vice president and head of Corporate Affairs of Nestlé Philippines, said the establishment of the new coffee is part of its Farmer Connect program under the global coffee initiative NESCAFÉ Plan.

Through Farmer Connect, Nestlé directly sources green coffee beans from local producers, helping the company ensure local supply of coffee to Nestlé’s factories.

“Coffee buying stations enable coffee farmers to sell their coffee harvest based on the prevailing market price. By sourcing directly from local farmers, we are not only assured of long-term supply of the right quantity and quality of green coffee on which our brands depend, but it also secures robust coffee livelihoods for our small farmers,” De Leon said.

Nestle buys coffee from farmers at prevailing market prices.

De Leon said the company regularly sends price updates on coffee via SMS to local growers to allow them to get maximum profits out of their produce. After grading of coffee beans, farmers get paid on the same day they deliver their produce to the satellite station.

Through the buying stations, coffee growers can also get access to best agricultural practices in coffee farming, production, and processing. Nestlé’s in-house agronomists provide farmers and suppliers with trainings on the latest and sustainable coffee-growing techniques that ensure quality produce and maximum yield.

“Nestlé Philippines sees sustainability in coffee production as a key priority in order to achieve self-sufficiency in the local sector by 2020. Nestlé supports this goal through coffee buying establishments in key coffee-producing areas in the country. Through these stations, Nestlé is ensured of access to the high-quality coffee-resource base in the country, securing a sustainable supply chain while improving the coffee industry,” De Leon said.

Last year, Nestlé procured 54,000 metric tons of coffee beans locally.

Nestlé operates 10 other satellite coffee buying stations in Silang in Cavite, Lipa City in Batangas, Tuguegarao City in Cagayan Valley, Tagbina in Surigao del Sur, Cagayan de Oro City in Misamis Oriental, Tagum City in Davao del Norte, General Santos City in South Cotabato, Maramag in Bukidnon, Buenavista in Agusan del Norte and Iloilo City in Iloilo.