Thai agri giant investing $2 B in Philippines

MANILA, Philippines – Thailand’s biggest agriculture company is pouring $2 billion worth of investments in the Philippine livestock sector over the next five years.

Agriculture Secretary Emmanuel Piñol said Charoen Pokphand (CP) Group has pledged $2 billion to boost production of hogs and poultry for local consumption and for the export market.

“The reason why they chose to invest heavily in the Philippines is because they see our country as a major hub for agricultural production in the region, owing mainly to the status of being bird flu free and foot-and-mouth disease free,” Piñol told reporters.

CP Group is eyeing about 60,000 hectares of agricultural land that will be planted with corn and soybean which will then be used for animal feeds.

“The impact of this is we will now have a ready market for corn in the areas to be established. It will also improve technology of farmers in planting,” Piñol said.

“There were attempts to propagate soy bean in the country but these were never successful. With the initiative of CP, we will be able to develop a new crop which is a growing requirement for feeds,” he added.

While the CP Group is already present in the Philippines, particularly in Luzon, it plans to expand its operations to the Visayas and Mindanao where the threat of typhoons is less.

Among these areas include Palawan, Negros, Bohol, Bukidnon, Saranggani, Caraga, Maguindanao and North and South Cotabato.

This new investment pledge is expected to create 2,000 jobs.

Piñol said a technical working group would be created to assist the investors. He is preparing the necessary documents and expects the memorandum of agreement to be signed by end-April.

Source: http://www.philstar.com/business/2017/03/25/1684209/thai-agri-giant-investing-2-b-phl