Xpost from Coconut info /Philipines

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: Fri Feb 27, 2004 12:23 am

Subject: Philippine Coconuts and China - Shilhavys

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A story appeared yesterday in the Philippines regarding: " China mulls loan

to help R.P. develop geotextile exports. " The story can be read on the

Internet here:

http://www.abs-cbnnews.com/NewsStory.aspx?section=BUSINESS & oid=45595

I know that a lot of folks from the Philippines are on this list, and

hopefully some from the PCA (Philippine Coconut Authority).

Just a word of warning here. This article makes it look like the Chinese

want to control about 400,000 hectares of coconuts for the geotextile

industry, at the expense of copra. Copra is the raw material used for

commercial coconut oil production in the Philippines. The Chinese want to

loan the Philippines $100 million dollars to develop the geotextile

industry, and some of that money is to go towards " farm inputs, like

fertilizers, to enhance productivity of coconut trees in identified areas,

while $15 million will be used to finance the development of seeds for the

intercropping component of the project that includes production of ramie,

kenaf, corn, tea and other cash crops. "

Are you folks in the Philippines aware that we are on the brink of a major

turn in the coconut oil industry here in the U.S., as well as Europe, and

that there will probably be a shortage of coconuts due to the fact that many

have cut down coconut trees in the Philippines for many years now, and not

replanted them? We are beginning to see this already, as reportedly some

desiccated coconut plants are shutting down in the Philippines for lack of

coconuts.

The development of the geotextile industry is a good thing for the economy

and farmers, but there could be long-term negative consequences if the

Philippines starts using fertilizers on coconuts, when up until now most

farmers have not. Organic, sustainable agriculture is the trend these days,

and will be for years to come. What will be the effect on copra and coconut

oil if you start intercropping these other " cash " crops, like corn, that

traditionally are heavily fertilized and used with pesticides? You certainly

will not pass USDA organic certification standards, and you will be unable

to market those coconuts as edible in the US or Europe. Is the geotextile

industry worth that? What happens when the Chinese stop buying coconut coir?

Why not develop BOTH the coconut oil industry, which is set to take off here

in the Western countries, along with this geotextile market in China? Say NO

to the Chinese who want to introduce chemical fertilizers and intercopping

crops that would require fertilizer and pesticides. Make sure you know that

intercropping does not affect the life of your coconut trees. The geotextile

industry can be developed without these " advances " in agricultural

technology, that would hinder coconut oil production. If the West starts

buying large quantities of coconut oil to meet the new demand, as we see is

happening and will happen to a much greater degree in the not too distant

future, who will be there to meet the demand if your copra production goes

down, or even if it just stays the same?! You can be sure that other coconut

producing countries will step in to meet the demand.... Just a word of

friendly warning from a couple who can maybe see the future of coconut oil,

and maybe see it a bit brighter than some in the Philippines do. By all

means develop the geotextile industry, but please do not sacrafice coconut

oil for the sake of Chinese money!

and nita Shilhavy