Coconut oil producer expands to banana chip processing

published April 28, 2010 in BusinessWorld

TACLOBAN CITY -- Coconut oil manufacturer SC Global Coco Products, Inc. has expanded its portfolio to include processing banana chips for export.

Emmanuel S. Licup, managing director of SC Global, said they were encouraged by the high demand for banana chips in the US and Europe.

The company based in Baybay City announced that it is looking for suppliers of the saba and cardaba varieties, which are ideal for cooking and processing into banana chips (deep-fried sliced banana coated with sugar or honey).

Both varieties can be eaten raw or cooked. It can be processed into catsup or used for cakes and pastries. Cardaba is said to provide nutritional value similar to that of potato.

"We need a very large supply. The plant started to operate last month and we need 35 metric tons per day," Mr. Licup told BusinessWorld.

10,000 hectares needed

In terms of hectarage, he said they required around 10,000 hectares planted exclusively to bananas.

He said they have been working with the Department of Agriculture (DA), the Department of Agrarian Reform (DAR), German Technical Cooperation and local government units to boost banana production in Leyte.

Currently, SC Global sources its raw materials from Mindanao.

"Our plant is now operating under capacity. We want to operate at full capacity as long as the required raw material is available. We would like to encourage farmers to intercrop bananas in coconut farms," Mr. Licup added.

Records from the DA showed that Leyte island has 30,600 hectares devoted to banana plantation.

In Eastern Visayas, a hectare of banana farm has an average yield of eight metric tons (MT) with a farm-gate price of P6 per kilo or P6,000 for every MT.

The region produces an average of 250,000 MT of banana.

SC Global mainly produces coconut by-products such as crude coconut oil, virgin coconut oil, coconut fatty acid distillate and organic flour.

Its other products are refined, bleached and deodorized coconut oil, cochin, copra cake and mill, and coconut biofuel and lubricants. (Sarwell Q. Meniano)