PHIVIDEC Industrial Authority Administrator and CEO Joseph Donato J. Bernedo (left) and PhilCo Director Buncha Punyatanakorn (right) seal the landmark agreement with a handshake following the official lease signing on April 11, 2025. (DCC/PIA-10)
CAGAYAN DE ORO CITY – A Thailand-affiliated company is establishing a coconut processing facility in Misamis Oriental, which is expected to generate 2,500 jobs and expand market access for coconut farmers in northern Mindanao and nearby provinces.
A 20-year lease agreement was signed on April 11 between PHIVIDEC Industrial Authority (IA) and PhilCo Food Processing, Inc., an affiliate of the Thai World Group of Companies, to establish the facility within the PHIVIDEC Industrial Estate in the municipality of Tagoloan.
The plant will occupy a 39,596-square-meter site in Mohon, Tagoloan, and will produce 78,000 tons of ultra-high temperature (UHT) coconut milk annually, along with frozen coconut meat. With an initial rental of P6.335 million per year, increasing by five percent annually, this investment highlights northern Mindanao’s growing appeal as an industrial hub.
“This signing is a game-changer for PHIVIDEC and northern Mindanao,” said lawyer Joseph Donato J. Bernedo, PHIVIDEC Administrator and Chief Executive Officer (CEO). “PhilCo, as part of the Thai World Group, brings world-class expertise that will create over 1,000 direct and 1,500 indirect jobs, uplifting local communities and coconut farmers.”
Bernedo added that PhilCo plans to source about 500,000 coconuts daily from farmers in Northern Mindanao and surrounding provinces, boosting Mindanao’s agricultural economy.
“This investment speaks directly to the heart of the Philippine economy-our people, our land,” Bernedo said. “By creating 2,500 jobs, this project promises opportunity and dignified work for our citizens, particularly in Mindanao. It will also breathe new life into the coconut industry, offering better incomes and a stable market for thousands of Filipino coconut farmers.”
Bernedo further noted that the investment will benefit other businesses within the PHIVIDEC estate. “Apart from generating jobs and helping coconut farmers market their produce, there’s also an expected income for our port. Once they produce, they will use our port facilities, which brings additional revenue for PHIVIDEC. The supply chain requirements of the facility will also benefit other local businesses,” he said.
PhilCo Director Buncha Punyatanakorn explained that PHIVIDEC was chosen for its infrastructure and proximity to raw materials. “PHIVIDEC has a good facility, a seaport, land, and labor. It’s close to our raw material, coconut,” Punyatanakorn said.
He also pointed out the Philippines’ position as the largest coconut producer globally. “The prices of coconut here are reasonable, and there are a lot of suppliers. We already sent our survey team to many places such as Dipolog, Pagadian, Zamboanga del Norte, and Lanao. We contacted some farmers and suppliers already. They just want us to start our factory soon.”
Construction of the facility is set to begin in October 2025, with commercial operations targeted between December 2025 and January 2026.
The Philippine Economic Zone Authority (PEZA) has granted PhilCo six years of income tax holiday and other tax incentives under the CREATE MORE Act.
PhilCo, pending registration with the Securities and Exchange Commission (SEC), is fully owned by Lucky Force International Limited, a Hong Kong-based company under the Thai World Group. Until registration is completed, Lucky Force will serve as co-lessee and guarantor under the lease agreement. (Apipa Bagumbaran)
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