Why Source Coconut Raw Materials in the Philippines?

It’s difficult to overstate the importance of coconuts to Filipinos. The coconut industry is a significant contributor to the Philippine economy, and it’s also responsible for maintaining the livelihood of more than 2.5 million farmers in the country. On top of adding to the national gross domestic product (GDP), coconuts and coconut products are also ever-present in Filipino homes. They are used in all aspects of everyday life, from sheltering and feeding people to supporting skincare and health regimens.

It’s not just Filipinos who are enjoying the bounties of this hardy and generous crop. Coconuts sourced from the Philippines are now being used by individuals and groups from different countries for industries like health and wellness, beauty, hair care, home care, and even pet care.

Are coconut raw materials integral to your own company’s operations and production process? If so, you may have already considered partnering with a coconut oil manufacturer from the Philippines for your supply of coconut ingredients. Here are four good reasons to push through with the idea and to source Philippine-grown coconut ingredients for your business:

The Philippines Offers Competitive Prices for Coconut Raw Products

The fact that coconut trees can be found just about anywhere in the world is a testament to their importance to humanity. Historically, people found the trees to be quite useful in their daily lives and cultivated them near their communities.

Coconut trees originated in the region between Southeast Asia and Melanesia, however, and the trees exhibit the greatest level of genetic diversity in these locations. They have thriving populations in the Philippines, which is a part of Southeast Asia.

In the Philippines, the tree is grown for commercial and industrial purposes in 69 out of the country’s 82 provinces. As of 2023, about 3.62 million hectares of land are dedicated to cultivating coconuts. The ubiquity of coconut trees and the relatively affordable cost of labor compared to other countries contributes to the reasonable price of raw coconut materials from the Philippines. As a result, cost savings is one of the major factors behind why many international businesses choose to source coconuts from the country. 

The Country Serves as a Base for Many Trusted Coconut Product Manufacturers

Public and private organizations in the Philippines have long recognized the potential of the coconut industry. There are dedicated government organizations tasked with supporting coconut farmers and ensuring the continued development of the coconut industry, for example the Philippine Coconut Authority (PCA). At the same time, many local businesses have also invested heavily in facilities for processing coconut products in an effort to make coconut raw materials more accessible to other companies.   

As such, international businesses will find that procuring coconut raw materials from the Philippines is a straightforward process. There are guidelines that you can follow so that you can easily and quickly connect with coconut farmers, manufacturers, and facility managers. Since there’s also an abundance of coconut suppliers in the country, your company will have plenty of options if you need a supplier who can meet a specific set of requirements.

If your top priority is to find a supplier who can offer quality, fair trade, and organic coconut materials, there are coconut ingredient suppliers in the Philippines who can keep up with your expectations and serve as your partner in offering clean and ethically sourced products to your customers. Do your research and look for suppliers who are vetted by your industry.

The Archipelago’s Location is a Convenient Starting Point for Product Shipments

The Philippine archipelago is set in an advantageous location that’s easily accessible by air and water freights. Flanked by the Pacific Ocean and the South China Sea, the country is situated along some of the busiest trade routes in the world.

According to a 2016 report from the Oxford Business Group, more than half of the global annual merchant fleet tonnage pass by the straits of Malacca, Sunda, and Lombok, with many ships continuing on to the West Philippine Sea. The busy routes that surround the archipelago are used to transport a third of the world’s crude oil and half of its liquefied natural gas.

Taking these figures into consideration, it’s easy to see the country as a convenient starting point for shipments of coconut raw materials. With your coconut source located in such an accessible area, looking for a dependable shipping services provider will prove to be a doable task. 

A Thriving Coconut Industry Can Improve the Resilience of Farming Communities in the Country

It’s a well-known fact that the Philippines is frequently at the receiving end of natural disasters like typhoons, earthquakes, and volcanic eruptions. More often than not, the farmers in the country are among the first to feel the impacts of these events, as these often damage agricultural land. 

There are different approaches that stakeholders can take to address such issues, but innovation in coconut farming in particular has served as a practical means for helping farmers find their bearing after a natural disaster. For instance, the coconut tree is well adapted to contour farming, so it’s proving to be a helpful crop to smallholders who have limited capital and farming grounds.

The continued growth of the coconut industry in the Philippines has directly assisted farmers in becoming more open to smarter and more ecological farming practices. This, in turn, can help them contribute to curbing the effects of climate change. It also gives them the means to renew their farming operations while on a budget after a devastating natural disaster. 

Now is as good time as any to check out coconut raw material suppliers from the Philippines. It’s highly likely that you’ll be able to find a coconut supplier who can serve as your company’s long-term partner in bringing eco-friendly and ethically sourced coconut products to your target market.