I.A.

Desicated Coconut

• By: Claudie M. Mendoza

 Nature

• Desiccated coconut is the disintegrated and dehydrated kernel

from mature coconuts.

• Manufactured from fresh mature nuts.

• The PCA describes desiccated coconut as a pure, white, pared,

hedydrated, and shredded coconut meat prepared from the fresh
kernel of the coconut to be suitable for human consumption.
 Properties and Characteristics

• Principally characterized as crispy, sweet, pleasant and having a

fresh taste.

• Snow white in color and has very low fatty acid content.
 General Uses

• Generally used as filler for chocolate bars and other

confectionary products.

• Also used as nut meat for candies, biscuits, cookies and cakes

• Used as in ingedient in ready to cook mixes and in packaged

and canned foods.
 History and Significance

• The Philippine Coconut industry can be traced back to the

Spanish colonial period, where our ancestors were forced by
Spaniards to plant coconuts.

• In 1926, 90% of US demand for desiccated coconut was

supplied by the Philippines

• By the end of 2009, the Philippines was considered as the

world’s largest producer of coconuts
 History and Significance

• 69 out of the 82 provinces of the Philippines are coconut-

producing provinces

• 3.6 Million hectares of land are planted with coconut trees

• There are 2.5 Million coconut farmers in the Philippines

• There are 347 Million coconut trees in the Philippines

 History and Significance
• The Philippines dominates the export of desiccated coconut.

• From 2008 to 2010

• The Philippines exported an average of 129,000 metric

tons per year

• Indonesia had an average annual export volume of 50,000

metric tons

• Sri Lanka averaged 41,000 metric tons per year

 History and Significance

• From 2008 to 2012 export earnings from desiccated coconut

grew at a rate of 5.54%

• By the end of 2012, earnings from desiccated coconut exports

were measured at USD 200 Million
 I. B. The coconut industry in
the Philippines

• By: Francis R. Doble

 History
• The coconut was introduced in the Philippines by imigrants
from the Indo-Malayan archipelago in the early 12th and 13th
century.

• Early uses where for food, wine, vinegar and oil.

• The Philippine coconut industries roots can be traced back to

the Spanish Colonial Period.

• 1642 - Gubernatorial edict of Governor-General Sebastian

Corcuera
 History
• 1840 - Coconuts were traded with Chinese and Malay traders.

• 1898 - Copra and coconut oil were exported to Europe as raw

materials for soap and margarine.

• 1898 to 1902 - Transfer of the Philippines from Spain

• 1926 - 90% of US demand for desicatted coconut was supplied

by the Philippines.

• 1935 - $ 221 Million was invested by the US to be used in

coconut plantations
 History
• During the Presidency of Manuel L. Quezon, an average of
Php 21 Million per month of coconut excise money were
remitted and provided a large source of the annual national
budget.

• WWII - copra and coconut oil were used to extract glycerine

to be used in the production of explosives.

• 1960- 1975 - The area planted and used as coconut

plantations expanded from 1.60 million hectares to 2.283
million.
 History
• 1960-1975 - coconut export increased by 39.56% from 1.34
MMT to 1.86 MMT boasting hefty export revenue of US$
483.80 million, increasing by 79% from US$ 270 million.

• 1970’s to the 1980’s imposition of the coconut stabilization

levy to harness the inflationary effect brought by the high
prices of copra and coconut oil in the world market.

• The stabilization levy ended & indefinitely suspended in

1982.
 Current state of the Philippine
Coconut Industry

• The coconut is the country’s top export commodity

making it its top dollar earner among other agricultural
exports.

• The major exports are crude and refined oil, copra meal,
desiccated coconut, activated carbon, and oleo-chemicals.
Exports account for 80% of production and 20% are
consumed locally.
Table 1: Value of Coconut Exports by type for
selected years
(Source: National Statistics Office)

Coconut Product 1985 1995 2000 2005

$ 328.5 $ 690.6 $ 350.9
Crude Coconut Oil $ 482.8 Million
Million Million Million
$ 18.8 $ 26.3 $ 135.5
Refined Coconut Oil $ 174.5 Million
Million Million Million
$75.7 $ 60.7 $ 73.2
Desiccated Coconut $ 127.1 Million
Million Million Million
$ 14.3 $ 22.0 $ 31.0
Activated Carbon $ 39.2 Million
Million Million Million

$ 35.5 $ 54.0 $ 23.4

Copra meal/cake $ 28.1 Million
Million Million Million
 Current state of the Philippine
Coconut Industry

• Problems in the Coconut Industry:

• Unorganized supply chain
• Low farm, market productivity
• Inadequate infrastructure support
• Low allocation on research and development
• Corruption in the Bureaucracy
• Controversy in the Coco Levy Fund.
 Current state of the Philippine
Coconut Industry
• The Problem with the Coco Levy Funds

• Enacted in 1971 during the time of President Ferdinand

E. Marcos.

• Only about 33% of the Php 9.68 billion or US$185.37

million (exchange rate at Php 52.22 per US$ 1.00),
estimated total amount of levy in 1997, was used to
support programs directly benefitting farmers.
 Current state of the Philippine
Coconut Industry
• The Problem with the Coco Levy Funds

• Imposed through a series of major funds, enacted

between the 1970’s and 1980’s

• Coconut Investment Fund (CIF)

• Coconut Consumer Stabilization Fund (CCSF)
• Coconut Industry Development Fund (CIDF)
• Coconut Industry Stabilization Fund (CISF)
 Current state of the Philippine
Coconut Industry
• The problem with the Coco Levy Funds

• Assets and properties acquired through the coco levy funds has been a
priority of the subsequent administrations after Marcos.

• PCGG has recovered around Php 100 Billion but these recovered
funds remain to be unutilized.

• Senate and the House crafted several bills regarding the utilization of
the funds but up until now there is still no actual law to distribute and
return this fund to coconut farmers.
 Current state of the Philippine
Coconut Industry

• The problem with the Coco Levy Funds

• In 2019 President Rodrigo Duterte vetoed the coco

levy trust fund bill.