Nestlé inks MOA with Tagbina LGU, coffee coop for PPP

MANILA, Philippines - Nestlé Philippines Inc. signed a memorandum of agreement (MOA) with the Kahayagan Coffee Growers Multi-Purpose Cooperative and the municipal government of Tagbina, Surigao del Sur last June 7 to formally launch Project Coffee (Coffee Technologies and Funds to Fuel Economic Empowerment), a comprehensive public-private partnership (PPP) which aims to address the challenges facing smallholder coffee farmers in Mindanao.

Specifically, the project plans to establish Tagbina as a model for sustainable small-scale coffee communities in the Philippines, develop farming entrepreneurs through successful cooperative/farmer associations and introduce new robusta technologies.

“Collaborations such as these are at the heart of Nestlé’s efforts to make coffee farming a sustainable and attractive livelihood,” said Edith De Leon, senior vice president, head of corporate affairs, Nestlé Philippines Inc., emphasizing that such initiatives are essential to grow the country’s coffee industry and improve long-term crop supply.

“We are confident that this project will pioneer a development model – one that creates shared value for all stakeholders involved – that can be replicated and adapted in other parts of the country,”  she added.

In cooperation with the Tagbina local government, Nestle will manage and oversee the implementation of the project which is funded by a €175,000 grant from Deutsche Investitions- und Entwicklungsgesellschaft (DEG), one of Europe’s largest development finance institutions.

Among its planned activities are training programs in sustainable farming practices, provision of technical assistance in the areas of coffee production and post-production, introduction of green coffee quality standards technology and the establishment of a seedling nursery.

The agreement also states that Nestlé will purchase the beneficiary cooperative’s produce provided it passes the company’s quality standards.  

Among those who were present during the signing ceremony were Donell Polizon, municipal mayor, Tagbina; Angel Wassmer, corporate affairs executive, Nestlé Philippines Inc. and Leonardo Evangelista, chairman, Kahayagan Coffee Growers Multi-Purpose Cooperative.