Shared Facilities

One of the programs mandated to be included in the Coconut Farmers and Industry Development Plan (CFIDP) is the integrated processing of coconut and downstream products or shared facilities to be implemented by the PHilMech. As mandated, the Plan shall take into account the distribution of the annual allocation of 10 percent from the Trust Fund for the shared facilities for processing of coconuts and intercrops into value-added marketable products.

The Shared Facilities are community-based enterprises, applying practical solutions on coconut processing systems and distribution towards developing the local industry. The Shared Facility Program includes processing of products such as coffee, cacao and livestock from farm diversification. The facilities will be equipped with appropriate and required machines and equipment based upon the proposal or preferences of potential beneficiaries.

The said facilities shall be shared or jointly used, owned, or operated by farmers' cooperative for the following purposes: manufacturing, packaging, labeling, storing, and marketing of selected coconut products and from farm diversification products for distribution to local and international clients. The set-up of the shared facilities include the following: building, processing equipment and machinery, storage facilities, hauling and transport vehicle, tractor or truck, coconut harvesting equipment, basic testing instruments and other ancillary equipment for processing

The Coconut Farmers and Industry Development Plan also states that all projects shall be evaluated on the basis of financial returns and increased farmers' income. A shared facility for processing is therefore configured in such a way that it is a viable enterprise, making profits for its farmer-members, can pay good prices for its raw material requirements and can sell affordable products of high quality

In general, the Shared Facility Component shall serve as a convergence of program interventions identified by the law, to optimize the use of funds thereby effectively and efficiently achieving the intended goals and impact to the coconut farmers and the industry as a whole. The key implementers for the programs include the High Value Crops Development Program, Bureau of Animal Industry, and National Dairy Authority for the intercropping, native livestock and dairy projects under the coconut-based farm improvement program; Philippine Coconut Authority for coconut processing; Cooperative Development Authority for organizational and institutional development; Agricultural Training Institute for training, education, promotion, and other capability building activities; Technical Education And Skills Development Authority for skills/capacity development; Department of Trade and Industry for marketing assistance; Department of Public Works and Highways for infrastructure development; Development Bank of the Philippines and Landbank of the Philippines for credit assistance; Philippine Coconut Authority and the Department of Science and Technology for technology and technical assistance and PHilMech in collaboration with said agencies for enterprise and business sustainability development.

The PHilMech as the lead implementing agency and PCA will spearhead the implementation of convergence activities. The target proponent groups and beneficiaries of which shall be the coconut farmers' cooperatives or in its absence, the local government units of identified coconut-producing towns. LGUs shall create local farmers' councils to provide mechanisms for consultation and participation.