The importance of having a business name

On paper, Davao-based EHD Food Products was set up in 1990 with a capital of P15,000 to distribute shrimp paste or bagoong from Pangasinan. In reality, the business came before the business name.

"I had no stall in the public market. I was a sidewalk vendor. So, I had to wake up at two in the morning to reach the market by three. I had to be there early so that, by nine, just before the policemen got there to drive us away, I had sold enough," said sole proprietress Estenelie Dioquino.

Almost immediately, the benefits of having a business name came in. The company received assistance from government agencies such as Department of Trade and Industry, which provided training, packaging and labeling consultancy as well as access to local trade fairs; and the Department of Science and Technology, which provided assistance in quality control management and in the development of new products such as stir-fry small shrimps or guisadang alamang and fruit preserves.

Production

In 1995, the company decided to manufacture its own brand of shrimp paste.

"Even with the 30-day credit that my supplier, a relative of my husband, Carmelo, in Dagupan, Pangasinan, extended to me, the transportation expense was eating into my margins. We asked the relatives of my husband to teach us how to make shrimp paste," said Dioquino.

To meet market demand, EHD took out a P1.69 million loan from the Small Business Corp. to purchase equipment that has increased monthly production to 1,000 cases of 72 bottles each, which translates to monthly sales of P446,900.

The company is also in the process of constructing a factory on a two-hectare lot in Panabo, Davao del Norte. When completed, the Dioquinos will have back one-third of their 128-square residential property in Toril, Davao City.

Today, the company has over P5 million in assets and 10 regular employees. An additional 40 to 50, many of whom are marginalized neighbors who have not finished their high school education, are contracted during the peak season from September to January. Every step in the production process is done in-house, from the cleaning and mixing of raw materials to packing and distribution.

Markets

EHD products are available in major supermarkets in Davao and in neighboring provinces such as Cotabat o, Agusan, Surigao, Butuan, and Cagayan de Oro. This year, the company is looking at expanding outside Mindanao.

"Next month, we will hold exploratory talks with supermarket owners in Metro Manila. In about five years, we hope to venture into exports," said Dioquino.

EHD’s success has not gone unnoticed. It has been given the "Outstanding Achievement Award" by the Rotary Club of Downtown Davao.

It has been quite a journey, indeed for the former sidewalk vendor who used to scamper for safety at the sight of policemen –SLara