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Butuan City Food Exchange Terminal Concept Paper

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Chapter I

1.1 Project Title 1.2 Project Site 1.3 Proponent 1.3.1 Type : Private Sector Group – SEC Registered : Establishment of a Coconut Sugar Production Facility : Barangay Tabok, Lagonglong, Misamis Oriental

1.3.2 Business Name : Katilingbanong Pamahandi sa Mindanaw Foundation, Inc. (KPMFI) 1.3.3 Contact Person : Hon. Ariel C. Hernandez 1.3.3 Office Address : Balay Mindanaw Peace Center 53 A 12th Street, Zone 2, Bulua, Cagayan de Oro City 1.3.4 Contact Number : 0822.735946 1.4 Estimated Project Cost 1.4.1 Total Project Cost : P2,036,372 1.4.2 Equity Counterpart : P 110,000 1.4.3 To be Acquired : P1,926,372 1.5 Source of Fund: Department of Agrarian Reform (DAR) 1.6 Market Feasibility The Food and Agriculture Organization (FAO) of the World Bank reported that coconut sugar sweeteners are the single most sustainable sweetener in the world. The Katilingbanong Pamahandi sa Mindanaw Foundation, Inc. (KPMFI) will produce premium grade coco sugar made from coco toddy locally known as tuba. The coco sugar will be positioned as the best and healthy alternative to commercial cane sugar and artificial sweeteners which is very good for persons with diabetes mellitus and health conscious consumers. Demand data revealed that Philippines have the 10th highest incidence of diabetes worldwide and an estimated six million Filipinos suffer from diabetes. Given that the initial target market of the coco sugar project are health conscious and diabetic persons in Misamis Oriental and neighboring areas, average projected demand in the next five years is estimated at 1.7 million kilograms and will increase at a rate of 153,136 kilograms per year. Supply of coco sugar on the other hand cannot fully serve both local and export demand of the product. In Misamis Oriental, Spythe Global Enterprises produces 25 metric tons of coco sugar a month and is catering to Manila and export markets through its established marketing arm.

© 2010 Project Feasibility...

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