CPFI President and CEO Chris Po, alongside Joe Ling, Managing Director of Linaco
virtually sign a contract which extends the long term partnership between the two
Century Pacific Agricultural Ventures Inc (CPAVI), the coconut manufacturing arm of the CPFI group of companies, has signed a long-term contract as original equipment manufacturer (OEM) for the Linaco Group, a leading regional coconut producer headquartered in Malaysia. Linaco’s high-value coconut products are available in 40 countries, located across Europe, Middle East, China, Hong Kong and Australia.
The partnership commenced in 2018, with CPAVI signing on as OEM of Linaco’s leading coconut milk brands. After more than two years of working together, both companies agreed to increase volume commitments and expand the range of products that CPAVI will produce to serve Linaco’s growing requirements. The multi-year contract, valued at more than USD50 million, strengthens CNPF’s position as a fast-growing player in the Philippine coconut industry.
The Company is augmenting its manufacturing capacity, with an additional investment of PHP300 million to address the growing demand for high-value coconut products globally. This comes at a time when product health and safety continues to be top of mind among consumers amidst the ongoing COVID-19 pandemic.
In line with the Company’s pivot towards healthier products, the coconut business started in 2013 through an ongoing long-term contract with Vita Coco, the world’s leading coconut water brand. Today, CPAVI is one of the largest suppliers of Vita Coco globally. The Company has likewise diversified into other high-value coconut categories such as desiccated coconut, virgin coconut oil, coconut flour and coconut milk.
Noel Tempongko, Vice President and General Manager of CPAVI’s coconut business said, “We are honored and thrilled to sign this new agreement with Linaco. We view this renewed partnership as a gesture of their continuing trust in our capabilities as a high-value coconut producer and supply partner. This augurs well not only for our company, but for all our suppliers and coconut farmers from Mindanao given the assurance of market access for their products over the next few years.”
Joe Ling, Managing Director of Linaco said, “This new agreement will further strengthen our partnership with CNPF. We thank the team for their continuing understanding and support, which led to the achievement of this new milestone.”