Buying stations make it easier to get into the coffee business

Posted by oink2 Sunday, December 4, 2011 1 comments
 Now, just about anyone with a parcel of land can become a supplier of coffee beans to supply the country's growing demand. One no longer needs a warehouse full of coffee beans to directly trade with the 'big guys.'

More than 25 years ago, the ordinary Filipino coffee farmer would sell his produce to a middleman or to some unscrupulous coffee trader who bought the coffee beans at extremely low prices. Some coffee farmers stuck it out with coffee while a large percentage opted to shift to other cash crops, which eventually led to a shortage in supply.

Then the Nestle Satellite Buying Stations came into the picture, giving the ordinary coffee farmer the choice to become an entrepreneur in his own way as a direct supplier of green coffee beans.

Green coffee beans is the term used to refer to un-roasted coffee beans.

Today, with about 12 satellite buying stations nationwide, Nestle is able to give local coffee farmers a new opportunity. Strategically placed in areas where there is a high density of coffee farmers, the Nestle buying stations purchase coffee beans based on the prevailing world market price.

“We are an ardent supporter of the Philippine coffee industry, being the largest buyer of green coffee in the country,” said Edith de Leon, head of corporate affairs of Nestle Philippines. “We look forward to contributing further to the growth of the coffee industry by collaborating with the various coffee stakeholders to help the country attain self-sufficiency in terms of coffee supply.”

The Department of Agriculture shows that current coffee production in the country is around 34,000 metric tons, while demand is pegged at 60,000 metric tons annually.

The qualities of the beans that Nestle purchases are of the Philippine Robusta variety, that do not exceed 16 percent triage by weight and more than 12 percent moisture content. Coffee beans should also be packed in bags made of jute or other natural fiber.

With the Nestle buying station purchasing coffee beans at world market price, there is a renewed sense of hope for an ordinary coffee farmer who can sell his coffee beans at the right price.

Currently, Nestle operates 11 buying stations in Tagum, Iloilo, Isabela, Zamboanga, Cotabato, Agusan del Sur, Tuguegarao, Solano, Bacolod, Bohol, Calamba, Alabang, and Cavite. The Nestle Satellite Buying Stations open in each province depending on the time wherein the supply is most abundant.

Nestle is also upgrading its coffee processing facilities in Cagayan de Oro City to further increase the production of coffee for the local market as demand continues to grow two to three percent annually.

source: entrepreneur.com.ph

1 comments:

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