TACLOBAN CITY - Eastern Visayas' coconut industry players are working hard to supply the 100,000 metric tons annual coconut-based fiber demand of China.
Edilberto Nierva, Philippine Coconut Authority (PCA) regional manager told Leyte Samar Daily Express that they have been inviting foreign investors to help develop the region's coco coir products by establishing processing plants in Leyte and Samar.
Their eagerness to attract more investors has started after Chinese businessmen expressed their interest to import coco coir from the Philippines during the recent visit of President Gloria Macapagal-Arroyo to China.
Coconut fiber twines from coconut husks is used in producing erosion control geo-textile net.
"We are very aggressive in encouraging businessmen to invest in coco coir processing because of its good market potential," Nierva said.
As a result, he said a group of investors from China, Taiwan and Japan are now conducting feasibility studies in some areas of Region 8 for possible establishment of processing plants.
Nierva added that there's a huge advantage if these groups of foreign investors will operate in the region because they have a direct marketing agreement with big companies in China.
China is losing about 2,400 square kilometer of land to desertification each year and needs the same size of geo-textiles to control the devastation That figure is estimated to reach 260,000 sq. km. soon and concentrated mostly in the northern areas especially Beijing and Harbin among others.
The PCA official is optimistic that the region could provide at least 50% of the total China's demand for coconut-based geo-textiles being the second largest coconut producing area in the country.
"The region has enough raw materials but we need investors to develop its market potential," Nierva said.
Currently, Giant Export and Import Manufacturing Corporation based in Dagami, Leyte has tied up with a Chinese firm. Their commitment is to export 2,000 metric tons of coco coir monthly but its operating machine has a capacity to produce only 30 tons in a month.
Giant opened up its plant in March this year. They have been storing their producing for shipment to China until they will be able to meet the requirement.
Coco-coir production starts with the buying of husks, fresh or dried, from the coconut farmers which are either delivered directly to the production plant or collected at different pick-up points, usually at the roadside, where they are piled-up. In the region, processing plants buy coconut husks at P5 per piece. These husks become raw fiber (30%) or coco coir through a decorticating machine.
After the decorticating process, the coco-fibers are then compacted using a baling pressmachine and now ready to be sold in graded and standardized form.
