December 7, 2010

Philippines to attract investors in soy industry expansion

The Philippines is trying to attract investors, including Chinese companies, to invest in the soy expansion project, an official of a new multi-agency government initiative for food security said on Monday (Dec 6).

"We already sent feelers to some Chinese investors," Marriz Agbon, National Convergence Initiative (NCI) focal chairperson, said.

"We hope to increase production so that we can slowly wean the country from importing soy," Agbon said.

In 2009, the Philippines imported from the US about five million tonnes of soymeal.

This year, industry insiders see total imports of soymeal amounting to 1.6 million tonnes, growing on the back of the pork and poultry sector's increasing demand for animal feed.

The country's production of soymeal, however, is negligible at less than 1,000 tonnes annually, according to government figures.

While the NCI head could not say how much the expansion of soy production would cost, the government has identified Davao and Cotabato provinces as pilot sites for soy production.

Dr. Rene Rafael Espino, director of the high-value commercial crops program at the Agriculture Department, noted that the government is currently crafting a road map to increase soy production.

Under the NCI, the departments of Agriculture, Environment and Natural Resources, and the Agrarian Reform were tasked to pool their resources to develop the country's agriculture enterprise and agribusiness, as well as the policy framework that will govern them.