CARGILL Inc. announced on Wednesday it would invest $235 million (P12.5 billion) in the country over the next two years to expand its operations to meet the growing demand of Filipinos for meat products.
“The company is focused on helping meet the increased domestic demand for chicken and pork, as well as delivering solutions in key areas of the global agricultural supply chain,” Cargill said in a statement.
Cargill’s announcement came as the company celebrated its 70th year in the Philippines, its first office in the Southeast Asian region.
“We are proud to have been in the Philippines since we started our business here 70 years ago. Working closely with the government, our customers, partners and the community, we are helping farmers thrive and are bringing safe and nutritious food to Filipino tables,” said Dave MacLennan, chairman and CEO of Cargill.
“We are grateful for our partnership with the Philippine government as they welcome investments that enable Cargill to grow alongside the Filipino people and the local economy,” MacLennan added.
MacLennan said the $235-million investment would be spread across its local agricultural supply-chain portfolio, which include importation of commodities, copra business, animal feeds and aqua feeds business and C-Joy, the firm’s joint venture with Jollibee Foods Corp. to process chicken for domestic consumption.
MacLennan noted that China and Southeast Asia are the top 2 investment hubs due to its growing population and booming economies.
“In the next five years we want to be bigger. And we want to be bigger in Asia, specifically in Southeast Asia and China,” he said. “That’s our clear intention.”
Cargill Philippines Inc. President Philip G. Soliven said a portion of the hundred-million dollar investment would be poured in the Visayas and Mindanao regions.
“Investment in agriculture is needed by the country. And yes we will respond to the need of this sector as it makes sense for the company and for the country,” Soliven said.
“And it makes sense [to invest in] Mindanao as it is an important agricultural area for the country,” Soliven added.