To achieve the best result from coconut convergence, the farmer force must be given new importance.
We relate here the four points successfully advocated by farmer groups at the technical working group of the Senate agriculture committee on Sept. 22. We then state the farmers’ progressive position on a non-traditional coconut industry paradigm that is gaining acceptance from previously opposing sectors.
Four levy points
Coconut Industry Reform Movement (COIR) executive director Joey Faustino, who actively participated in the establishment of the small farmer and fisherfolk-oriented Alyansa Agrrikultura and Agri Fisheries 2025, reported that the farmers’ voice was the prevalent force in the TWG coconut levy consensus.
Reflecting the views of other farmer leaders such as Omi Royandoyan of Centro Saka and Cita Esmao of Pambansang Koalisyon ng Kababaihan sa Kanayunan, he wrote on the TWG meeting’s outcome: “The good news is that no one opposed the following: that the trust fund should directly benefit the poor and marginalized coconut farmers; that farmers should have majority participation in planning and decision making regarding the fund; privatization of coco levy assets is subject to review and recommendation by the Trust Fund Committee (not automatic), and that coco farmers are losing over a billion pesos yearly on this fund, ergo any delay causes more.
The farmers prevailed over traditionally more powerful sectors. The opposing positions that lost were: that the trust fund should be used by large corporate processing plants, because they would also benefit farmers indirectly; that since the coconut levy is a government fund, the government should have the sole or at least the majority role in decision-making; that coco levy-funded assets should automatically be privatized (the consequence is that high value-adding coconut units such as processing plants would be under the control of businessmen instead of the farmers); and that the 45-year delay in using the levy should be given more time to study its best use.
Progressive paradigm
The farmers’ force should be felt not only on the coconut levy, but also on the coconut industry itself. Below is a COIR table constructed by former Assemblyman Oca Santos and Faustino proposing a farmer-oriented progressive paradigm. It is gaining wide acceptance and contrasts greatly with the traditional view.
The single product line of copra has made our farmers poor. Integrated processing looks at the value-chain for various uses and markets. For example, coconut water and virgin coconut oil can be sold for selected domestic and foreign markets.
The monocrop coconut mentality does not take into account farm optimization and integration. This means maximizing the use of land to consider intercropping and even setting up small processing facilities. For example, intercropping cacao or coffee can increase the farmer’s yield per hectare from P20,000 to P130,000, and even more with processing
The large-scale traditional view of one owner can indeed take advantage of economies of scale. But using a village-level, community-based, and land-consolidated approach can also achieve this, and more. More creativity from the farmers can be harnessed to promote small and micro-enterprises that will meet their community needs and increase their incomes.
A one-investor-dependent approach will make the farmers merely cogs in the investor’s wheel. Equity-sharing by having the farmers put up their own investments through responsible sourcing and borrowing will make them take ownership of the enterprise.
This progressive approach by the farmers is supported by Coalition for Agriculture Modernization in the Philippines (CAMP) President Ben Peczon, who represents science and academe in the Agri Fisheries Alliance. At the Senate coco levy hearing and the TWG meeting, the other three of the five coalitions in the AFA contributed actively. Missing was AFA’s Philippine Chamber of Agriculture and Food, Inc. (PCAFI) representing agribusiness. Likewise missing was the Department of Agriculture, even though the Department of Trade was there. For true coconut convergence, organizations such as PCAFI and DA must be actively involved for the industry to significantly prosper.
As we finally recognize and benefit from the farmer force in coconut convergence, we must also listen to the farmers’ voice in the other areas of our long neglected agriculture. This is the only way agriculture can truly progress.
(The author is chair of Agriwatch, former secretary for Presidential Flagship Programs and Projects, and former undersecretary for agriculture, trade and industry. For inquiries and suggestions, email agriwatch_phil@yahoo.com or telefax (02) 8522112).