Keytodac’s First Collective Marketing to Nestlé Tagum

Unloading of Green Coffee Beans at Nestle Tagum Buying Station

Last February 5, 2017 ​Keytodac Coffee Growers Association (KCGA), a barangay level farmer organization under Lebak Coffee Growers Association (LCGA) was able to deliver 20 tons of green coffee beans to Nestle's buying center in Tagum City as a collective marketing activity.  Although it was their first time, the product delivered was determined at Grade 1, the highest grade in terms of green coffee beans, selling at a price of 119.00 per kilo. Thirty (30) farmers were able to participate in the said activity.

​Lebak is a municipality situated in the province of Sultan Kudarat. Together with its neighbor Kalamansig, they are known as the largest producing coffee (robusta) municipalities in Mindanao. Lebak has thirteen (13) coffee producing barangays, each with its own setting and story. One of which is Keytodac where KCGA is located. As with the other 12 barangays, Keytodac has its own share of local traders dominating the coffee scene. 

Coffee Fruits during initial stages of drying

Coffee Beans before sacking

For years coffee farmers in Keytodac deliver their harvests directly to these buyers without consideration of the low prices they implement. A number of factors relates to this. Firstly, farmers in the process of production in need of financing turns to these local traders, thus creating an obligation for the farmers to pay these traders in terms of coffee harvested. And secondly is the issue of distance and transportation. Keytodac is estimated to be 30 kilometers away from the center of Lebak, and an additional 355 kilometers has to be travelled from Lebak to Tagum City – Nestle’s nearest buying station. In terms of trucking fee this translates into almost 4 pesos per kilo from Keytodac to Tagum. All this considered a farmer or even the association, especially in the absence of capital, shall turn to the nearest buyer

Weighing and sacking of products before delivery

With all these in mind the collective marketing last February 5, 2017 was a success. Facilitated by personnel from Pasali Philippines Foundation and officials from KCGA the improbability of delivering to Nestle Tagum was hurdled.