Commodities giant Cargill unveils two-year Philippine growth plan with US$235 million investment
PRIVATE commodities giant Cargill has unveiled plans to ramp up its investment in the Philippines, in line with its 70th anniversary operating in the country.
Cargill will put another US$235 million into its Philippine businesses over the next two years, the group said on Wednesday (Nov 28), adding that its priorities are meeting the growing demand for chicken and pork, and delivering global agricultural supply chain solutions.
It now has some 2,200 workers in the Philippines, after starting work on a poultry processing tie-up with fast food incumbent Jollibee Foods Corp last year.
Cargill said that the fresh investments would go towards expanding its animal feed and nutrition business and agricultural supply chain businesses, as well as growing the Cargill Joy Poultry Meats Production (C-Joy) joint venture.
Renato Huelgas, agriculture project leader for the joint venture, had previously said that the project is “changing the game on how protein is delivered to consumers, bringing best-in-class capabilities in food safety, product innovation and supply chain management to Jollibee’s dynamic brand”.
Cargill opened its first animal nutrition pre-mix plant in Malolos, in Bulacan province, in December 2017, with an investment of US$12 million. This followed its four other animal nutrition facilities - feed mills, which Cargill owns and operates, in Villasis, Baliuag, Pulilan and Villanueva.
The group, which is also a leading coconut exporter, has identified the Philippines as a key growth market for its animal nutrition business in Asia.
It also announced on Wednesday that it would put US$130,000 into an Inclusive Business Capacity Building Fund to support local farmers.
Dave MacLennan, chairman and chief executive of Cargill, said in a media statement that the company is “grateful for our partnership with the Philippines government as they welcome investments that enable Cargill to grow alongside the Filipino people and the local economy”.
“Supporting the Inclusive Business Capacity Building Fund is another way we can help the world build food security,” added Mr MacLennan.
“Smallholder farmers are an essential piece of feeding nearly 10 billion people by 2050 and they need all the help they can get to become more productive and profitable. I am also particularly pleased to see that this programme also focuses on advancing women in agriculture.”