A.

Background

Coconut is one of the identified promising in the province of Tawi-Tawi

alongside seaweed. However, the growth of coconut industry in Tawi-Tawi is started
deteriorating as result of massive conversion of land to housing project and to other
economic activities like mining and road widening. Coconut and its by-products are
important for food security of the country as well as main source of livelihood to most
farmers. The continuing decrease on production would affect the food supply chain
especially on palm related products. Farmers are also forced to sell their land because of
lack of funds to sustain daily needs of their family and to cultivate for more. The growing
challenges on production do not only happen in Tawi-Tawi but as well as in other parts of
the country. Because of this, former President Rodrigo R. Duterte signed last February
26, 2021 and June 8, 2022 respectively the Coconut Farmers and Industry Trust Fund
(CFITF) and Coconut Farmers and Industry Development Plan (CFIDP).

The objectives of the CFIDP are to increase income and productivity of coconut
farmers; poverty alleviation, education and social equity, and rehabilitation and
modernization of the coconut industry. Thus, the Tawi-Tawi Coconut Industry Roadmap
borne to ensure coconut farmers in Tawi-Tawi will receive necessary supports and
benefits from the national governmental to supplement their farm inputs and needs. The
Philippine Coconut Authority (PCA) is the mandated agency to monitor the progress of
the implementation. The MTIT is a partner agency that also ensures the industry’s growth
and progress.

The coconut industry sector in Tawi-Tawi has started making names for its by-
products. There are identified coconut products manufactured in Tawi-Tawi like Coconut
Virgin Oil (VCO), coco shell charcoal briquette, sugar production out of coconut sap and
novelty items from coconut shell that could possibly pass national and international
standard should there have support both on technical and financial aspect. As such and
promotion of industry by former President Duterte, the MTIT, as leading agency for
investment development, in partnership w/ PCA take the lead in developing the coconut
industry roadmap for Tawi-Tawi. The coconut industry roadmap is a component of
Growth Enhancement Approach towards Regional Economic Development (GEARED)
Program, of MTIT - Tawi-Tawi.

Part of the initiative was the creation of Coconut Industry - Provincial Technical
Working Group (CI-PTWG). The CI-PTWG will serve as the voice that represents the
sector in the development arena and the craft master for the action/plan to be taken by the
industry in Tawi-Tawi. The composition of CI-PTWG is line agencies (PCA, MTIT,
MAFAR, MENRE, MOLE, MOST, PSA, MPW, BPMA, CSEA), academe (TRAC),
PLGU (OPAO & PPDO), private sector (TCCI, Traders, Consolidators & Input supplies)
and farmers, (shown in Annex 1).
 B. Production

Provincial Production

 Pls.change 55,180 to 49,860, 50% to 46%, 20-30 to 8-22 (per harvest) but due to word
annual must be 32-88

Note: Coconut is among the prime industries in Tawi-Tawi, with over 49,806 hectares of coconut
area, covering 46% of the province’s total land area of 108,740 ha. In this sense, Tawi-Tawi
relatively leads in the scale of coconut area plantation and total land area among the provinces.
Despite this, the province is the second lowest in terms of annual nut production (132 million
nuts); next to Basilan who is still recovering from coconut-pest devastation. This can be owed to
its alarming number of senile (1,902,068) and non-bearing (694,114) coconut trees, almost
surpassing the estimated total number of productive, bearing trees (2,973,791). Moreover, Tawi-
Tawi has the lowest nut productivity rate among the region’s provinces, with an average annual
nut yield of 8-22 per tree. (per PCA data)

 @ 2nd  - 17,920 (PCA)

C. Current Structure of the Industry

Key Players

The key players in the coconut production sector are the coconut farmers. PCA further classifies
coconut farmers as Farm Owner (Owns a minimum of 0.50 ha of land and planted to at least 50
coconut trees; Owns or tills the coconut farm himself and/or with assistance from tenants and/or
laborers’), Farm Grower (Owns less than 0.50 ha. Land and planted a minimum of 20 coconut
trees); Farm Tenant (Leases a coconut land from legitimate owner and manages the coconut
farm); Farm Tenant-Workers (Tills the farm and processes the coconut harvest, and is often
remunerated by the shared income from the produce the tenant sells), Farm Worker (Laborers in
coconut plantations for cash wages or in-kind compensation); and others (No proof of
ownership but occupants of undocumented public or private lands of at least 0.50 ha. and planted
with at least 50 coconut trees).They facilitated the labor processes required from coconut
fertilization, harvesting, to copra making). In Tawi-Tawi, coconut farmers are NCFRS
beneficiaries and are often affiliated in an association, organization, or cooperative. As per PCA
data, there are 20 accredited coconut farmers organizations, 13 of which are registered
cooperatives enumerated below:
Note: Farm Owner (Owns a minimum of 0.50 ha of land and planted to at least 50 coconut trees;
Owns or tills the coconut farm himself and/or with assistance from tenants and/or laborers’),
Farm Grower (Owns less than 0.50 ha. Land and planted a minimum of 20 coconut trees); Farm
Tenant (Leases a coconut land from legitimate owner and manages the coconut farm); Farm
Tenant-Workers (Tills the farm and processes the coconut harvest, and is often remunerated by
the shared income from the produce the tenant sells), Farm Worker (Laborers in coconut
plantations for cash wages or in-kind compensation); and others (No proof of ownership but
occupants of undocumented public or private lands of at least 0.50 ha. and planted with at least
50 coconut trees).
 List of Coconut Farmers Cooperative Members Plantation Hectares
Luuk Pandan Coconut Producers Cooperative

Karungdong Coconut Farmers Producers Cooperative

Luuk Tulay ARB Producers Cooperative

Tampakan ARB Farmers Producers Cooperative

Jakarta-Parang Pantay ARB Producers Cooperative

Lapid-Lapid ARB Producers Cooperative

Mapun Farmers Producers Cooperative

Rizqi Agriculture Cooperative

Kapatagan Farmers Marketing Cooperative

Languyan Mudjahada Farmers Marketing Cooperative

Jakarta Producers Cooperative

Simalac Farmers Marketing Cooperative

New Himbah Marketing Cooperative

Note: Still waiting for PCA response

Input Supplies ( Suppliers)

List of Farmer-Participants Location Seedling Farm

(size)

Note: Still waiting for PCA response

Market Linkages
 List of Registered Copra Name of Establishment Level
Dealers / Buyers and
authenticated @ PCA Tawi-
Tawi

Assalam Copra Buyer Assalam Copra Buyer Municipal

JNT Copra Buyer JNT Copra Buyer Municipal

A.K. Copra Buyer AK Copra Dealer Municipal

GMG Marine Enterprises GMG Marine Products Municipal

Enterprises

Amm’s J Enterprises Amms-J Enterprises Municipal

Bongao Fish Trading Bongao Fish Trading Municipal

FLT Enterprises FLT Enterprise Municipal

JR Enterprises JR Copra & Seaweeds Buying Municipal

Station

F. Cost of Production & Return of Investment

*24 nuts/tree; 100 trees/ha (source:PCA – TWT)

The sample coconut farm owner-tiller has 10 hectares of cocal area, with 1000 bearing trees.
With 22 nuts/tree productivity, his annual volume of production is 66,000 nuts (22,000/harvest).
At 0.8 average kilogram per husked nut, the annual volume of nuts processed into copra is
52,800kg (17,600 kg/harvest). And in the copra making process, the coconut farmer can produce
0.239kg of copra per kilo of husked nuts. Hence, he can produce 12,619.2 kg of copra per year
(4,206.4 Kg/harvest) from his 10-ha farm. On a per hectare basis, the coconut farmer’s copra
production volume is 420.64kg/ha. To put it on a national scale, with a ratio of 1,297kg per ha, a
coconut farmer in Tawi-Tawi is severely disadvantaged at more than half disparity.

F.1. Productivity of Coconut

Particular Quantity
Cocal Area (ha.) 10
Bearing Trees 1,000
Average nut production/tree/harvest 8-22
Average harvest/year 3
Copra Conversion rate (Nuts:kg copra) 4-5:1
 Nuts production/harvest 22,000
Copra Production (kg)/harvest 5,500
Ratio of copra weight (kg.)/hectare 550
Note: As of this time (PCA), 100 trees/hectare

In terms of pricing, the sample local trader’s buying price of copra is 20PhP/kg
(September 2022). As per the local trader, this final pricing statement already accounts for
numerous weight-affecting factors (i.e., sacks, warehousing, transportation, and other logistic
costs). That said, the producers are the price-takers––the most affected population of price
fluctuations. At 20PhP/kg, the sample coconut farmer’s annual gross income per ha is
8,412.8PhP from the mean copra volume of 420.64kg/ha. To calculate the sample coconut
farmer’s net income, outlined below are the costing deductions of copra production.

F.2. Income per hectare

ITEM AMOUNT (PhP)
Per Harvest Per Year
Gross Cash Income 11,000.00 33,000.00
Cash Costs
Hired Labor Costs 5,233.00 15,699.00
Transportation Cost 2,400.00 7,200.00
Land Tax
Other Costs
Total Cash Costs 7,633.00 22,899.00
Net Cash Income 3,367.00 10,101.00
Profit Cost Ratio 1:2.25 1:2.25

II – THE COCONUT INDUSTRY VALUE CHAIN

The Tawi-Tawi’s Coconut Industry Value Chain…

Note: This data is based on Coconut Production Survey for Year 2019 (latest data from PCA)
# of cocal area: 49,806 has
# of nuts per annum: 83, 543,595
Crude Coconut Oil- (CNO or CCO)
Novelty item can also be made out of shell production
 B. INDUSTRY STATUS
B.1. COCONUTINDUSTRY PRODUCTION

COCONUT PRODUCTION SURVEY

BASELINE DATA for Year 2019
Source: PCA - Tawi-Tawi
B A R A N G A YS GENERAL LAND CLASSIFICATION Average Nut
TOTAL TOTAL
REGION/PROVINCE T (Coconut Area in Hectares) NO. OF Production/
O Wit h COCONUT COCONUT
MUNICIPALITY T C o c o nut COASTAL COASTAL INLAND INLAND FARMERS Harvest
A Tre e s AREA (Has.) TREES
L FLAT UPLAND FLAT UPLAND (pcs)
ARMM/TAWI-TAWI 204 184 35,338.5 1,129.0 9,777.0 3,610.0 49,854.5 17,920 5,569,973 83,549,595

Bongao 35 33 4,833.0 - 3,858.0 - 8,691.0 3,884 894,339 13,415,085

Languyan 20 20 4,374.0 30.0 3,268.0 506.0 8,178.0 2,981 817,100 12,256,500
Mapun 15 15 4,768.0 - - 1,188.0 5,956.0 1,653 607,214 9,108,210
Panglima Sugala 17 16 2,748.5 219.0 2,551.0 1,751.0 7,269.5 1,661 729,387 10,940,805
Sapa-Sapa 24 23 2,349.0 35.0 - 40.0 2,424.0 1,507 520,530 7,807,950
Simunul 15 15 3,842.0 - 100.0 - 3,942.0 1,760 454,187 6,812,805
South Ubian 31 19 1,464.0 - - - 1,464.0 1,040 153,865 2,307,975
Sibutu 16 16 2,707.0 - - - 2,707.0 936 259,525 3,892,875
Sitangkai 9 5 1,000.0 - - - 1,000.0 302 101,204 1,518,060
Tandubas 20 20 7,118.0 845.0 - 125.0 8,088.0 2,196 1,020,772 15,311,580
Turtle Islands 2 2 135.0 - - - 135.0 - 11,850 177,750

ARMM / TAWI-TAWI 204 184 35,338.5 1,129.0 9,777.0 3,610.0 49,854.5 17,920 5,569,973 83,549,595

IV – ANNEXES

Annex 1: The Coconut Industry Provincial Technical Working Group of Tawi-

Tawi (CI-PTWG)

POSITION AGENCY//ORGANIZATION Name of Representative/s

Chairman PCA Nur-Aina B. Ingkagan
Provincial Coconut Development Manager
Co-Chairmen MAFAR Dr. Aidarus I. Nami
Provincial Director
MTIT Termizie G. Masahud
Provincial Director

Members MOST Shirmal S. Mudjahiron

Provincial Head

MENRE Dr. Jonel I. Mohammad Monel

PENRO

TESD Dr. Maryam S. Nuruddin

Provincial Director
 MOLE Haipa H. Jumdain
Provincial Head

CSEA Marilyn O. Davis

Cooperative Development Specialist

PSA Masil H. Mohammadsha

Provincial Director

MPW Borris-Zanzibar L. Kadil

District Engineer
PLGU-OPAG Louie Nova
Provincial Agriculturist
PPDO Engr. Wahab U. Bakil
PPDC
Industry Value Chain Stakeholders:
Tawi-Tawi Chamber of Commerce & Atty. Aquino J. Sajili
Industry (TCCI) President
Bongao Port Management Authority Hji. Damir I. Sali
(BPMA) Manager
Academe Dr. Edgar Puhagan
TRAC
Trader Tita T. Samsuya
BOMATRA

Coconut Farmers Representative Hji. Abirin A. Akmad

President, Karungdong Coconut Farmers
Producers Coop.
Hardware/ Input Provider

SECRETARIAT
Head MTIT FATIMA NEYYAR H. HASSAN Chief
Trade and Industry Development Specialist

Team Leader MTIT GUNNA H. MOHAMMAD

Senior Trade and Industry Development
Specialist

Focal Persons MTIT SHERELAIDA D. MOHADALI

Trade and Industry Development Specialist

ALFAIDA S. SABDANI
Trade and Industry Development Analyst

CONSULTANT CYRIL JAKE ALMANZOR

Business Analyst/Consultant
Almanzor & Benturado Business
Consultancy
Annex 2:`Directory of Tawi-Tawi Coconut Industry Players
Annex 3. List of Coconut Farmers Cooperatives
NAME OF COOPERATIVES
BONGAO
1. Mandulan MNLF Producers
Cooperative
2. Luuk Tulay ARB Producers
Cooperative
3. Luuk Pandan Coconut Producers
Cooperative
4. Karungdong Coconut Farmers
Producers Cooperative
5. Tarawakan ARB Producers
Cooperative
6. Montay-Montay Producers
Cooperative
7. Sitio Panglima MNLF Producers
Cooperative
8. Lapid-Lapid ARB Producers
Cooperative
9. Luuk Pangdan MNLF producers
Cooperative
10. Barangay Ipil MNLF Producers
Cooperative
11. Kasambuhan Raayat Boheh Basag
Producers Cooperative
12. Kapatagan Farmers Marketing
Cooperative
PANGLIMA SUGALA
1. Magsaggaw Agrarian Reform
Beneficiaries Cooperative
2. Magsaggaw Producers Cooperative
3. Lagayas ARB Farmers Producers
Cooperative
4. Kulape MNLF Producers
Cooperative
5. Magsaggaw MNLF Producers
Cooperative
6. Karaha Land Owners Tulong Tabang
Marketing Cooperative
Source: CSEA-BARMM Tawi-Tawi
LANGUYAN
1. Jakarta Parang Pantay Producers
Cooperative
2. Marang-Marang Raayat Farmers
Producers Cooperative
3. Indigenous Farmers and Fisher Folks
Marketing Cooperative
4. Languyan Mujahada Farmers
Marketing Cooperative
5. Jakarta Producers Cooperative
6. Simalak Farmers Marketing
Cooperative
7. Darul-Islam Farmers Producers
Cooperative
8. Gagandilan Languyan Marketing
Cooperative
MAPUN
1. Sikub Mubarak Farmers Producers
Cooperative
2. Mapun Farmers Producers
Cooperative
SIBUTU
1. Hidaya ARB Producers Cooperative
SIMUNUL
1. West Simunul ARB Producers
Cooperative
2. Kasambuhan Ma Barangay Sokah
Bulan Producers Cooperative
SOUTH UBIAN
1. Tampakan ARB Farmers Producers
Cooperative
TANDUBAS
1. New Himbah Marketing Cooperative
 Coconut By-Products in Tawi-Tawi Province
N Coconut Name of Processing
Owner/Producer Remarks
o. By-Products Plant & Location
1. Coconut Sugar Coconut Sugar Processing Tarhata Uddok No production due
Kulape,Panglima Sugala, Tiamwatt to no sap tapper
    Tawi-Tawi
       
2. Handicraft/ Coconut Shell Processing for Abtajirl A. Abirin Market match w/
Novelty Items Novelty Items/Handicraft Euzel Souvenir
  Luuk Pandan, Bongao, Tawi- Shop of Pag-asa,
    Tawi Bongao
(Order as needed)
     
3. Charcoal Coconut Shell Charcoal Omar K. Hashim Waiting for
Briquette Briquette pulverizing
  Kulape, Panglima Sugala, machine
  Tawi-Tawi (on ordered)
         
4. FWM Virgin Coconut Oil Albasher Aranan Contract Supplier
Virgin Coconut Trading Mohammad for use in
Oil   Languyan
  Municipal Hospital
   

Annex: Copra Buyer/Trader/Consolidator

Copra Buyer/Trader/Consolidator Location Owner/Contact Person

No. Name of Registered &
Establishment Authenticated @
PCA - Tawi-Tawi
1. Assalam Copra Buyer Assalam Copra Buyer Batu-Batu, Pangima Sugala, Tawi- Vilmalyn P. Jalaidi
Tawi
2. JNT Copra Buyer JNT Copra Buyer Batu-Batu, Pangima Sugala, Tawi- Annabelle C. Lazano/ Noriel
Tawi Cabañog
3. AK Copra Dealer A.K. Copra Buyer Tubig Mampallam, Bongao, Tawi- Hj. Arula “Rustom” A.
Tawi Karanain/ Faizal A. Janung
4. GMG Marine Products GMG Marine Chinese Pier, Bongao, Tawi-Tawi Glorina M. Gonzales/ Michael
Enterprises Enterprises Yu/ Shaojie Yu

5. Amms-J Enterprises Amms’J Enterprises Chinese Pier, Bongao, Tawi-Tawi Abduljalil Canon Ahaja/ Sitti
Marnie P. Ahaja
6. Bongao Fish Trading Bongao Fish Trading Chinese Pier, Bongao, Tawi-Tawi Rick M. Samsuya
 7. FLT Enterprise FLT Enterprises Chinese Pier, Bongao, Tawi-Tawi Bentobel O. Tan/ John
Loue Tan/ Hilda B.
Gatunan
8. JR Copra & Seaweeds JR Enterprises Chinese Pier, Bongao, Tawi-Tawi Hj. Tutoh S. Ajam
Buying Station

9. Royal Marketing - Chinese Pier, Bongao, Tawi-Tawi Hj. Abdulajid Jaji

Sibutu Port, Sibutu, Tawi-Tawi

10. Nursan Enterprises - Chinese Pier, Bongao, Tawi-Tawi Abdulsan A. Mallah

11. CS Copra Dealer - Tubig Mampallam, Bongao, Tawi- Suradi A. Ammad

Tawi
13. Juwari Ibrahim - Mahalu, Mapun, Tawi-Tawi Juwari Ibrahim

14. Mapun Trading - Mahalu, Mapun, Tawi-Tawi Greg Banalo

15. Rickman Trading - Mahalu, Mapun, Tawi-Tawi Greg Banalo

V – REFERENCES

PCA – Tawi-Tawi
Tubig-Boh, Bongao, Tawi-Tawi

VI – LIST OF ACRONYMS
ATI - Agricultural Training Institute

AMAD -

BARMM- Bangsamoro Autonomous Region in Muslim Mindanao

BIMP-EAGA - Brunei, Indonesia, Malaysia, Philippines- East ASEAN Growth Area
BPMA - Bongao Port Management Authority

CCBOF

CCEDP - Coffee Cacao Enterprise Development Program

CFA - Coconut Farmers Association

CF - Coconut Farmers

CFIDP - Coconut Farmers and Industry Development Plan

CFITF -Coconut Farmers and Industry Trust Fund

CFP - Coconut Fertilization Program

CFO - Coconut Farmers Organization

CIP - Coconut Intercropping Program

CI-TWG - Coconut Industry-Technical Working Group

CSEA - Cooperative and Social Enterprise Authority

FMR

GAA- General Appropriation Act

GAP- Good Agriculture Practices

GEARED - Growth enhancement Approach towards Regional Economic Development

GMP - Good Manufacturing Practices

HACCP

KEDP - Kaanib Enterprise Development Program

KRA - Key Result Area

MAFAR - Ministry of Agriculture, Fisheries and Agrarian Reform

MENRE - Ministry of Environment, Natural Resources and Energy

MOLE - Ministry of Labor and Employment

MOST - Ministry of Science and Technology

MPW - Ministry of Public Works

MTIT - Ministry of Trade, Investments and Tourism

NCFRS - National Coconut Farmers Registry System

OPAg - Office of the Provincial Agriculture

PCA - Philippine Coconut Authority

PLGU - Provincial Local Government Unit

PPDO - Provincial Planning and Development Office

PSA - Philippine Statistics Office

PRESCO

TCCI - Tawi-Tawi Chamber of Commerce and Industry, Inc.

TESD - Technical Education and Skills Development

TRAC - Tawi-Tawi Regional Agricultural College