Kalinga coffee business grows with PRDP investment

Date Published: December 10, 2016

After more than a year, Kalinga coffee farmers are now more optimistic and motivated as their enterprise subproject will receive soonest, a funding assistance from the Department of Agriculture’s Philippine Rural Development Project (PRDP).

The Kalinga Integrated Coffee Processing and Marketing Enterprise which is a P14.8-million subproject under the I-REAP (Enterprise Development) Component of the PRDP is expected to boost the economic status of coffee farmers in Kalinga and improve the quality of their coffee as well. The enterprise is also expected to increase the volume of coffee production of the province and encourage farmers to maintain and expand their coffee areas.

Since its approval from the World Bank in September of last year, the enterprise proponent groups has been consistently conducting meetings in preparation for its implementation and finalization of their operations manual while waiting for the release of funding. Likewise, they have entered into marketing agreements with some institutional buyers in Kalinga and in Baguio.

Despite the subproject’s time lags specifically in the procurement stage, the proponent groups await the immediate distribution of the requested machineries and equipment in time for the next harvest season.

The Kalinga Coffee Enterprise was conceptualized in response to the need for alternative buyers and market expansion that will give higher income to coffee grower members. It is funded by the World Bank (20% loan proceeds) through the PRDP with cost sharing from the DA (10%), LGU (10%) and PGs (20% cash/kind).

PRDP is a development project under the DA designed to contribute to the national goals of the inclusive growth, job creation and poverty reduction. (Elvy S. Taquio, RPCO CAR InfoACE Unit)

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