FOOD manufacturer Century Pacific Food, Inc. (CNPF) has extended its long-term agreement with coconut water brand Vita Coco.
In a stock exchange disclosure on Wednesday, the company said its $165-million multi-year contract as the original equipment manufacturer for Vita Coco will strengthen its position as a top coconut water exporter.
“The extension of our long term agreement with the global leader in packaged coconut water is proof positive that both parties are fully confident that, together, we will continue on the growth trajectory we have seen over the last few years into the foreseeable future,” CNPF Vice President and general manager for coconut business Noel M. Tempongko, Jr. said.
CNPF Executive Chairman Christopher T. Po added that the long-term agreement with Vita Coco will bode well for the company as it assists in creating value for the said fruit.
“For CNPF, our growing presence in the global coconut market is in line with our long-term vision of a diversified portfolio of shelf-stable food and beverage products,” Mr. Po said.
“We will continue to leverage on our manufacturing expertise to capitalize on emerging global trends, particularly towards health and wellness products,” he added.
The company said its extended deal with Vita Coco is projected to benefit coconut farmers in Mindanao as they are assured of market access for their produce over the next few years, thus increasing their income.
CNPF recently partnered with non-profit organization Friends for Hope for the annual donation of 100,000 coconut seedlings in the next five to eight years to smallholder coconut farmers that will replace senile trees in Mindanao.
“In addition to supporting farmer incomes and expanding long-term coconut supply in the region, planting the coconut trees will sequester about 416,680 metric tons (MT) of greenhouse gas emissions over the next eight years, allowing the company’s coconut subsidiary aims to be ‘carbon-neutral’ by 2028,” the company said.
The company earlier invested P300 million for the improvement of its coconut manufacturing capacity in order to keep up with international demand for high-value coconut products.
Shares of CNPF rose 2.17% or 38 centavos to end at P17.90 apiece on Wednesday. — Revin Mikhael D. Ochave
