October 30, 2006

 

Philippines' Mekeni Foods eyeing export market after explosive growth

 

After receiving the first  ISO  22,000 food safety certification, leading meat processor Mekeni Foods Corporation (MFC) is eyeing exports to the US, Europe and the Middle East.

 

A recipient of best triple AAA meat processing plant in the country, MFC is now waiting for an import permit to start its first 40-foot container meat export to Dubai.

 

Prudencio Garcia, MFC president told the Manila Bulletin that though ISO has certified numerous food processors, only the ISO 22,000 qualifies a company to export to markets in the US and EU.

 

Garcia aims to penetrate the US market since it would  have great significance on the company's goal to go global.

 

MFC is now targeting a production rate of 40 tonnes per day for the first two months after it was given certification. The company is currently producing 30 to 35 tonnes a day, a level it achieved after it launched a television campaign in the middle of the year.  Production was just 22 to 25 tonnes per day last year.

 

As it expands to Visayas and Mindanao (since it only markets mainly in Luzon at present), it may be able to hit its plant capacity of 70 tonnes a day and subsequently expand through outsourcing or plant expansion.

 

While still a relative smaller in scale compared to top dog firm Purefoods in local market share,  Hope Wibarri, MFC's plant manager said getting the ISO 22,000 certification is in itself a feat for the company as only a handful of companies has been awarded the certification.

 

Receiving the National Meat Inspection Service's (NMIS) award for three consecutive years now, many are surprised that a humble Filipino-owned company has bested top meat producers Purefoods and Nenita Foods.

 

MFC has also adopted a dealership system where housewives can be involved without having to pay dearly for a franchise. Prices for these franchises can be as low as P2,000 (US$40.10).

 

Retail price for its products also comes 10 to 12 percent cheaper than other brands.

 

Garcia said Mekeni can offer lower prices without diminished quality due to an efficient production scheme which lowers production costs.

 

Mekeni Foods is one of the success stories in Filipino entrepreneurship where it started as a small home-based chicaron (deep fried pork skins) and tocino (sweetened pork) seller in Porac, Pampanga owned by husband and wife Felix Garcia and Medica Santos.

 

The company began to flourish when the couple's children, who were working abroad, pooled their savings to put up a meat processing business.

 

MFC now has 762 workers, from 160 in 2003.