COMPETING WITH SWISS CHOCOLATE

COMPETING WITH SWISS CHOCOLATE

The land area of the Philippines is about seven times bigger than that of Switzerland. Cacao does not grow in Switzerland, but they are smart enough to import cacao from many other countries to process them into some of the finest chocolates in the world. Despite their small land area, they can sustain a dairy industry that supports their massive production of milk chocolates.

In contrast, the Philippines grows some of the best cacaos in the world, some of which are probably exported to Switzerland in its raw form. Despite our large land area, we are unable to sustain a dairy industry even for our own domestic needs, so much so that we must import most of our milk supplies. Not just milk itself, but everything else that are made from milk products, such as cheeses and ice creams.

So what is it that enables Switzerland to do what it is doing, and what is it that prevents the Philippines form doing what Switzerland is doing? Certainly, it is not the land, because we are already producing the cacao crops. Certainly, it is not the milk, because we are able to import that as an alternative to local production. Certainly, it is not the people, because many local entrepreneurs are already producing chocolate products even if it is only on a small scale. Could it therefore be the government?

To say the least, the government is not famous for helping the local chocolate makers in getting more financing, getting better technology, increasing their production and expanding their markets. Perhaps some government agencies are doing their part here and there, but I could not see or feel the massive intensity that is needed to push forward a global product by gaining dominant market shares.

The government may not see it as I am seeing it, but from this point on, the government should already be mobilizing all the agencies that should already be involved in the complete supply chain of supporting the chocolate industry, and that should include production, processing, packaging, marketing, advertising and financing, among others. The approach should be all inclusive and should be well coordinated.

Who should be included in the complete supply chain? Offhand, the more obvious ones are the National Development Company, the Department of Agriculture, the DOST, the DENR, the DTI, the NEDA, the DBP and the DFA, among others. The delegation from the DTI should include the Design Center of the Philippines and the delegation from the DFA should include their economic diplomacy units. I understand that the government might not be so used to this type of intense cooperation, but is it not time that it does that to gain market dominance in certain priority products such as chocolates? IKE SENERES/09-10-2024

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