Agri sector seen gaining P28B from E-Mart deal

The Philippine government has secured some P28 billion in earnings for the agriculture sector with a deal signed with South Korea’s largest supermarket chain, E-Mart, during President Duterte’s visit to Seoul.

During the week-long Philippine Food Festival hosted by the retailer giant, Duterte sealed a three-year deal to supply E-Mart with its fruit and food requirements.

According to Agriculture Secretary Emmanuel Piñol, E-Mart president and CEO Gab-soo Lee told Duterte of the huge demand for Philippine fruits in South Korea. Of the total procurement of the supermarket chain from the Philippines, 58 percent were bananas, pineapples and mangoes.

Lee was quoted as saying that E-Mart preferred to source its fruit supplies from the Philippines due to its proximity to South Korea, resulting in fresher products.

Other sources of the company’s agricultural products are Vietnam, Thailand and South America.

“The supply deal is expected to boost the growth of Philippine agriculture and benefit thousands of Filipino farmers,” said Piñol.

E-Mart, operating under the oldest and largest South Korean retailer company, Shinsegae, has 160 outlets nationwide, and has recently opened a branch in Vietnam.