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Report of the 18 th ACC Meeting, 78 May 2015, Bangkok, Thailand Page 1 of 20 THE REPORT OF THE 18 TH MEETING OF THE NATIONAL FOCAL POINT FOR THE ASEAN COCOA CLUB (ACC) ON ASEAN COOPERATION AND JOINT APPROACHES IN AGRICULTURE AND FOREST PRODUCTS PROMOTION SCHEME 7 8 May 2015 The Berkeley HotelPratunam, Bangkok, Thailand INTRODUCTION 1. The 18 th Meeting of the National Focal Point for the ASEAN Cocoa Club (ACC) on ASEAN Cooperation and Joint Approaches in Agriculture and Forest Products Promotion Scheme was held on 78 May 2015 at the Berkeley HotelPratunam, Bangkok, Thailand. FINAL
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THE REPORT OF THE 18TH MEETING OF THE NATIONAL FOCAL POINT
FOR THE ASEAN COCOA CLUB (ACC) ON ASEAN COOPERATION
AND JOINT APPROACHES IN AGRICULTURE AND FOREST PRODUCTS PROMOTION SCHEME
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  • Report of the 18th

    ACC Meeting, 78 May 2015, Bangkok, Thailand Page 1 of 20

    THE REPORT OF THE 18TH

    MEETING OF THE NATIONAL FOCAL POINT

    FOR THE ASEAN COCOA CLUB (ACC) ON ASEAN COOPERATION

    AND JOINT APPROACHES IN AGRICULTURE AND FOREST PRODUCTS

    PROMOTION SCHEME

    7 8 May 2015

    The Berkeley HotelPratunam, Bangkok, Thailand

    INTRODUCTION

    1. The 18th Meeting of the National Focal Point for the ASEAN Cocoa Club (ACC) on

    ASEAN Cooperation and Joint Approaches in Agriculture and Forest Products Promotion

    Scheme was held on 78 May 2015 at the Berkeley HotelPratunam, Bangkok, Thailand.

    FINAL

  • Report of the 18th

    ACC Meeting, 78 May 2015, Bangkok, Thailand Page 2 of 20

    2. The Meeting was attended by 56 delegates from the government and private sectors of

    eight ASEAN member countries namely Indonesia, Lao PDR, Malaysia, Myanmar,

    Philippines, Singapore, Thailand and Viet Nam. The list of delegates is in Annex 1.

    OPENING CEREMONY

    Opening Remarks from the Chairman of the ASEAN Cocoa Club (ACC)

    3. The Chairman of the ACC, Datuk Dr. Lee Choon Hui, Director General of the Malaysian

    Cocoa Board (MCB) welcomed and thanked all delegates from Indonesia, Lao PDR,

    Malaysia, Myanmar, Philippines, Singapore, Thailand and Viet Nam for attending the 18th

    ACC Meeting.

    4. He expressed his appreciation to Thailand and especially to the Department of

    Agriculture, Ministry of Agriculture and Cooperatives, Thailand for hosting the 18th

    ACC

    Meeting. He also thanked and congratulated the ACC Secretariat and the Local Organizing

    Committee of the Horticulture Research Institute, Department of Agriculture, Thailand

    for their hard work, support and team cooperation rendered in ensuring the success of the

    Meeting.

    5. He also congratulated the ACC Technical Working Group on Food Safety (ACC TWGFS)

    and ACC Technical Working Group on Good Agricultural Practices (ACC TWGGAP) for

    successfully concluding their meetings on 6 May 2015.

    6. In his welcoming remarks, the ACC Chairman highlighted that more than 4.37 million

    tonnes of cocoa beans was produced last year. About 0.42 million tonnes was from

    ASEAN countries, accounted for 9.6% of the world cocoa beans supply. The total cocoa

    grindings in ASEAN was estimated at 681,600 tonnes. As a whole, the ASEAN accounted

    for 16% of the total world cocoa grinding in 2013/2014. Cocoa is a virtuous crop that

  • Report of the 18th

    ACC Meeting, 78 May 2015, Bangkok, Thailand Page 3 of 20

    creates jobs and generates income for millions of workers around the world including the

    developing region of ASEAN.

    7. He also highlighted that the key challenges facing the cocoa industry include low

    productivity and quality, infestation of pest and diseases, aging trees stocks, complex trade

    flows and changing taxation climate, land pressures, aging farmers, improper use of

    chemicals, low farmer income and poor labor practices as well as health and social issues.

    All these challenges have negative impacts on cocoa especially the productivity and quality

    of cocoa as well as the environment. As such, revitalizing the cocoa sector will require a

    large financial investment, matched with industry cooperation and an innovative approach.

    8. He emphasized that the role of the ACC is very important as one of the platforms for the

    ASEAN member countries to act collectively in formulating policies and strategies to

    overcome issues and challenges facing by cocoa industries and at the same time strengthen

    and enhance further the intra-ASEAN trade on cocoa and cocoa products. The full text of

    his opening remarks is in Annex 2.

    Opening Speech from the Deputy Director General of the Department of Agriculture,

    Ministry of Agriculture and Cooperatives, Thailand

    9. Dr. Suwit Chaikiattiyos, the Deputy Director General of Department of Agriculture,

    Ministry of Agriculture and Cooperatives, Thailand expressed his special tribute to the

    ACC for once again choosing Thailand as the venue for the 18th

    ACC Meeting. He also

    welcomed members from Indonesia, Lao PDR, Malaysia, Myanmar, Philippines,

    Singapore, Thailand and Viet Nam to Bangkok, Thailand and to the 18th

    ACC Meeting.

    10. He highlighted that the cocoa industry in Thailand has been growing. The total area was

    832 hectares with a production of about 100 tonnes per year. Thailand also imported

    20,000 tonnes cocoa bean per annum.

  • Report of the 18th

    ACC Meeting, 78 May 2015, Bangkok, Thailand Page 4 of 20

    11. He also highlighted that the ACC role as a working group level on specific sector under the

    frame of ASEAN cooperation on agriculture is to initiate and implement areas of

    cooperation that would be beneficial to the ASEAN member countries. Therefore, the 18th

    Meeting of the ACC in Thailand is a good opportunity for member country representatives

    to gain understanding and perception on cocoa production, processing and trade situations

    as well as seeking ways to strengthen cocoa trade within and outside the ASEAN region.

    The full text of his speech is in Annex 3.

  • Report of the 18th

    ACC Meeting, 78 May 2015, Bangkok, Thailand Page 5 of 20

    AGENDA ITEM 1: OPENING REMARKS

    12. The Chairman of the ACC, Datuk Dr. Lee Choon Hui, the Director General of the MCB

    expressed his sincere gratitude and appreciation to all the delegates from Indonesia, Lao

    PDR, Malaysia, Myanmar, Philippines, Singapore, Thailand and Viet Nam for attending

    the 18th

    ACC Meeting. He also thanked the Local Organizing Committee of the

    Horticulture Research Institute, Department of Agriculture, Thailand and the ACC

    Secretariat for their hard work, undivided assistance and support in successfully organizing

    this Meeting.

    AGENDA ITEM 2: ELECTION OF CHAIRMAN AND VICECHAIRMAN

    13. Datuk Dr. Lee Choon Hui, Director General of the MCB was unanimously elected as the

    Chairman of the 18th

    ACC Meeting and Mrs. Peyanoot Naka, Assistant Director of

    Horticulture Research Institute, Department of Agriculture, Ministry of Agriculture and

    Cooperative, Thailand as the ViceChairperson.

    AGENDA ITEM 3: ADOPTION OF AGENDA

    14. The Meeting adopted the Agenda of the 18th ACC Meeting as in Annex 4.

    AGENDA ITEM 4: BUSINESS ARRANGEMENTS

    15. The Meeting was held in plenary.

  • Report of the 18th

    ACC Meeting, 78 May 2015, Bangkok, Thailand Page 6 of 20

    AGENDA ITEM 5: COUNTRY PRESENTATION ON THE LATEST DEVELOPMENT

    OF THE COCOA INDUSTRY IN THAILAND

    16. Mrs. Peyanoot Naka, Assistant Director of the Horticulture Research Institute, Department

    of Agriculture, Thailand presented the latest development of the cocoa industry in Thailand

    which covered the following:

    i. Cocoa Production

    ii. Thailand Cocoa Standard

    iii. Maximum Residue Limits (MRLs) on pesticides residue

    iv. The status of cocoa industry and trade

    v. Importing and exporting issues

    vi. Future prospect

    vii. Cocoa research and development

    Her slide presentation appears in Annex 5.

    AGENDA ITEM 6: MATTERS ARISING FROM THE PREPSOM36TH AMAF, 2022

    SEPTEMBER 2014; PREPSOM14TH AMAF PLUS THREE, 22 SEPTEMBER 2014;

    36TH

    AMAF, 23 SEPTEMBER 2014 AND 14TH

    AMAF PLUS THREE, 24 SEPTEMBER

    2014 IN NAY PYI TAW, MYANMAR

    17. The ACC Secretariat presented the report of these meetings provided by the ASEAN

    Secretariat. As reported by the ASEAN Secretariat, there was no ACC related matter

    arisen and there was no followup needed by the ACC for PREPSOM36th AMAF, 2022

    September 2014; PREPSOM14th AMAF Plus Three, 22 September 2014; 36th AMAF,

    23 September 2014 and 14th

    AMAF Plus Three, 24 September 2014 in Nay Pyi Taw,

    Myanmar.

  • Report of the 18th

    ACC Meeting, 78 May 2015, Bangkok, Thailand Page 7 of 20

    18. In the 36th AMAF Meeting held on 23 September 2014, for Cooperation in Agriculture, the

    Meeting noted that good progress has been achieved in enhancing ASEAN agriculture. The

    meeting endorsed several documents for crops including ASEAN Standards for Cocoa

    Beans (ASEAN Stan 34: 2014). For Cooperation in Trade in Agricultural and Forestry

    Products, the Meeting noted that the Memorandum of Understanding (MoU) on ASEAN

    Cooperation and Joint Approaches in Agriculture and Forest Products Promotion Scheme

    (2010-2014) expired in 2014. The Meeting discussed and agreed to sign the new MoU on

    ASEAN Cooperation and Joint Approaches in Agriculture and Forest Products Promotion

    Scheme (2015-2019).

    AGENDA ITEM 7: MATTERS ARISING FROM THE 21ST

    MEETING OF THE JOINT

    COMMITTEE ON ASEAN COOPERATION AND JOINT APPROACHES IN

    AGRICULTURE AND FOREST PRODUCTS PROMOTION SCHEME, 78 JULY 2014

    IN PHUKET, THAILAND

    19. The ACC Secretariat presented the report of the 21st Meeting of the Joint Committee on

    ASEAN Cooperation in Agriculture and Forest Products Promotion Scheme (JCM) held on

    78 July 2014 in Phuket, Thailand as provided by the ASEAN Secretariat. There was no

    ACC related matters arisen from this Meeting and no followup needed by the ACC for

    JCM.

    20. As reported by the ASEAN Secretariat, the report of the 17th ACC Meeting held on 78

    May 2014 in Kota Kinabalu, Sabah, Malaysia has been reported to the 21st JCM held on 7

    8 July 2014 in Phuket, Thailand.

    21. The JCM also discussed and endorsed the draft MoU on Joint Committee (JC) on ASEAN

    Cooperation in Agriculture and Forest Products Promotion Scheme and the Meeting

    requested the ASEAN Secretariat to report to SOMAMAF Leader the MoU for final

    endorsement and sought confirmation to sign the MoU at AMAF Meeting in September in

    Myanmar.

  • Report of the 18th

    ACC Meeting, 78 May 2015, Bangkok, Thailand Page 8 of 20

    AGENDA ITEM 8: ENHANCE INTRA AND EXTRAASEAN TRADE AND LONG

    TERM COMPETITIVENESS OF ASEANS FOOD, AGRICULTURE AND FORESTRY

    PRODUCTS/COMMODITIES

    8.1 Tariff and NonTariff Barriers on Cocoa Beans and Cocoa Products

    8.1.1 ASEAN Trade in Goods Agreement (ATIGA)

    22. Indonesia reported that as of 2015, seven ASEAN member countries namely Brunei,

    Indonesia, Lao PDR, Malaysia, Philippines, Singapore and Thailand have implemented

    zero import tariffs on cocoa beans and products with the exception of Cambodia, Myanmar

    and Viet Nam. These countries still impose import tariffs between 05% for several cocoa

    products. The ATIGA tariff reduction schedule for 2015 is in Annex 6.

    8.1.2 ASEAN Free Trade Area (FTA) between ASEAN and other countries

    23. Indonesia reported that the tariff imposition on cocoa beans and products in 2015 is zero

    percent for ASEANAustralia and ASEANChina. For ASEANKorea, the tariff

    imposition on cocoa beans and products will be zero in 2016. Under the ASEANNew

    Zealand, the import tariffs impose on chocolate and other food preparations containing

    cocoa is 5%. The import tariff for ASEANIndia is 10% for cocoa butter, fat and oil. The

    tariffs schedules for ASEAN FTA with Australia, China, Korea, India and New Zealand

    appear in Annex 7.

    8.1.3 Most Favoured Nation (MFN) Tariffs

    24. There is no update report on the MFN tariff rates from the ASEAN member countries.

  • Report of the 18th

    ACC Meeting, 78 May 2015, Bangkok, Thailand Page 9 of 20

    8.1.4 NonTariff Barriers (NTBs)

    25. There is no update report on the NTBs from the ASEAN member countries.

    8.2 Technical Working Group on Good Agriculture Practices (TWGGAP)

    26. Dr. Divina M. Amalin the Chairperson of the ACC TWGGAP presented the report of the

    4th

    Meeting of the ACC TWGGAP.

    27. She informed the Meeting that the 4th ACC TWGGAP Meeting was held on 6 May 2015 at

    the Berkeley HotelPratunam, Bangkok, Thailand. The Meeting was attended by 20

    delegates and observers from ASEAN member countries. The ASEAN member countries

    present were Indonesia, Lao PDR, Malaysia, Myanmar, Philippines and Thailand.

    28. Dr. Divina M. Amalin from the Philippines was the designated Chairperson of the ACC

    TWGGAP and Mr. Panit Ngangoranatigar of the Department of Agriculture, Ministry of

    Agriculture and Cooperative, Thailand was unanimously elected as the Vice Chairman.

    29. The Meeting was informed that the Philippines, Indonesia and Thailand has reported the

    current activities on GAP for cocoa in their respective countries.

    30. She also informed the Meeting that the Working Group is able to come up with the draft of

    the ASEAN GAP for cacao which was drafted during the 3rd

    ACC TWGGAP Meeting held

    at Kota Kinabalu, Sabah, Malaysia in 2014. However, since most of the ACC TWGGAP

    members were not present in the meeting, the ASEAN GAP document is still being

    finalized. This document will be presented to the ACC Meeting after it has been endorsed

    by the designated members of the ACC TWGGAP in their next meeting.

  • Report of the 18th

    ACC Meeting, 78 May 2015, Bangkok, Thailand Page 10 of 20

    31. The Meeting noted the appeal by the ACC TWGGAP for the members present during the

    meeting to confirm the designated ACC TWGGAP members for each member countries

    comprised of 2 technical members and 2 non-technical members. This will facilitate the

    finalization of ASEAN GAP for cacao. The full report of this meeting is in Annex 8.

    8.3 Technical Working Group on Food Safety (TWGFS)

    32. Dr. Sabariah Samsudin, the Chairperson of the ACC TWGFS presented the report of the 7th

    Meeting of the ACC TWGFS held on 6 May 2015 at the Berkeley HotelPratunam,

    Bangkok, Thailand.

    33. The Meeting was chaired by Dr. Sabariah Samsudin, Director of the Cocoa Downstream

    Technology Division, MCB and co-chaired by Mrs. Peyanoot Naka, Assistant Director of

    Horticulture Research Institute, Department of Agriculture, Ministry of Agriculture and

    Cooperatives, Thailand.

    34. The Meeting was attended by 22 members and observers from Indonesia, Lao PDR,

    Malaysia, Myanmar, Philippines, Thailand, Viet Nam and Secretariat of the ACC TWGFS.

    35. The highlights of the report are as follows:

    i. Indonesia reported that twenty one (21) pesticide residues namely ametryn, carbaryl,

    carbofuran, carbosulfan, chlorpyrifos, chlorpyrifos methyl, cyfluthrin, deltametrin,

    diazinon, dieldrin, ethion, fenitrothion, fenthion, imidacloprid, lambda-cyhalothrin,

    lindane, malathion, methidathion, permethrin, profenofos, and propoxur are not

    detected in cocoa beans (Limit of Quantification: 0.01 mg/kg).

    ii. Philippines reported on the two (2) training of trainers on the Philippine National

    Standards on Cacao Beans and Tablea held on 3-5 September 2014 and 13- 15 April

    2015 in two (2) regions.

  • Report of the 18th

    ACC Meeting, 78 May 2015, Bangkok, Thailand Page 11 of 20

    iii. Indonesia informed the Meeting that in 2014, Indonesia issued Ministry of

    Agriculture Regulation No. 67/2014 on Quality Requirement and Marketing of

    Cocoa Bean. This regulation sets the mechanism for monitoring and quality standard

    of cocoa bean.

    iv. The Philippines reported on the Food Safety Act which was signed into law in 23

    August 2013. The implementing rules and regulations is awaiting publication this

    year.

    v. Indonesia informed that there was no further update pertaining to the establishment

    of the maximum levels for cadmium in cocoa and chocolate products imposed by

    European Union (EU). Indonesia also informed that Codex Committee on

    Contaminants in Foods (CCCF) has initiated a work on Maximum Levels for

    Cadmium in Chocolate and Cocoa-Derived Products.

    vi. Indonesia reported that cadmium was not detected with Limit of Detection (LOD) of

    0.0063 mg/kg and 0.13 - 0.59 mg/kg, respectively in cocoa beans and cocoa powder

    produced by Indonesia cocoa grinders. The cadmium content for both products is in

    compliance with the requirement of Indonesia National Standard of Cocoa Powder

    (Maximum Permitted Level: 1 mg/kg).

    vii. Malaysia informed the Meeting that the range value of cadmium content for cocoa

    beans from different regions of Malaysia, cocoa liquor and cocoa powder from

    Malaysian cocoa grinders are 0.04 - 0.51 mg/kg, 0.03 - 0.31 mg/kg and 0.06 - 0.60

    mg/kg, respectively.

    viii. Viet Nam informed the Meeting that the highest level of cadmium detected in cocoa

    beans is 0.75 mg/kg. This finding is from a single study and in a single sample and

    any interpretation should be undertaken with caution.

  • Report of the 18th

    ACC Meeting, 78 May 2015, Bangkok, Thailand Page 12 of 20

    ix. Malaysia informed the Meeting that nine (9) pesticide residues namely ametryn,

    chlorpyrifos, cypermethrin, cyproconazole, fluazifop-butyl, isazofos, metalaxyl,

    oxadixyl and quizalofop-ethyl were not detected in cocoa beans from different

    regions of Malaysia. Malaysia will share the test method of cadmium with

    Philippines.

    x. The ACC TWGFS requested the ACC Secretariat to forward the ASEAN Code of

    Practice for the Prevention and Reduction of Ochratoxin A (OTA) Contamination in

    Cocoa Beans for endorsement by the Joint Committee on ASEAN Cooperation and

    Joint Approaches in Agriculture and Forest Products Promotion Scheme.

    xi. The Meeting agreed to have each country presentation on Food Safety Standard and

    Regulation related to cocoa and cocoa products in the next meeting as proposed by

    Philippines.

    xii. The Meeting agreed on sharing information of Mutual Recognition Agreement

    (MRA) pertaining to cocoa and cocoa products in ASEAN Consultative Committee

    on Standards and Quality Prepared Foodstuff Product Working Group (ACCSQ

    PFPWG) within the sovereign rights of every ASEAN country. Thailand agreed to

    lead this new initiative.

    The full report of the ACC TWGFS meeting is in Annex 9.

    AGENDA ITEM 9: PROMOTE COOPERATION, JOINT APPROACHES AND

    TECHNOLOGY TRANSFER AMONG ASEAN MEMBER COUNTRIES AND

    INTERNATIONAL, REGIONAL, ORGANIZATION AND PRIVATE SECTOR

    9.1 Trials on Selected Cocoa Progenies in Selected ASEAN Region

    36. The Meeting was informed that the Joint Progeny Trial Programme in Indonesia started in

    December 2005. The objective of the trial is to select the superior genotype clonal material

  • Report of the 18th

    ACC Meeting, 78 May 2015, Bangkok, Thailand Page 13 of 20

    resistance to pest and disease such as cocoa pod borer (CPB) and vascular streak dieback

    (VSD). The clonal selection was done by testing some promising cocoa hybrids in

    Indonesia and Malaysia using similar progenies.

    37. Indonesia reported that the yield potential based on the pod number per tree during the year

    of 20092014 indicated that hybrid combination of C 1038 x BR 25 and PBC 159 x NA 33

    are having a higher number of pods per tree.

    38. The Meeting was also informed that the hybrid combination of C 1038 x BR 25, PBC 123

    x QH 22, PBC 159 x QH 22, TSH 858 x KW 162 showed strong resistance to VSD

    infestation. The full report by Indonesia is in Annex 10.

    39. Malaysia reported that the trial was established in April 2006 under the ASEAN Cocoa

    Club Joint Project with an objective to produce hybrids population which possesses good

    yield and flavor as well as acceptable bean characteristics. The two institutions involved in

    the project are the MCB and Indonesian Coffee and Cocoa Research Institute (ICCRI).

    40. The analysis of variance of the cocoa pod yield per tree (PYT) and dry bean yield (DBY)

    showed that the main effects (progeny and time) were significant at 5% significant level.

    However, the interaction effects were not significant. The progeny effects explained that

    there were few progenies performed better than others throughout the years and performed

    consistently as there were no interaction effects between progenies and years.

    41. The results for cocoa PYT showed that throughout the 7 years of trial from 2008 to 2014,

    progeny KW162 x KW163 produced the highest pod yield per tree (6.819) followed by the

    KW162 x KEE2 (6.068) while TSH858 x KW163 produced the lowest pod yield per tree

    (1.426).

    42. The result for cocoa DBY showed that over the 7 years period from 2008 to 2014, progeny

    KW162 x KEE2 produced the highest average dry bean yield (211.30 kg/ha) followed by

  • Report of the 18th

    ACC Meeting, 78 May 2015, Bangkok, Thailand Page 14 of 20

    the KW162 x KW163 (200.46 kg/ha) while TSH858 x KEE2 produced the lowest average

    dry bean yield (55.74 kg/ha).

    43. For the VSD assessment conducted in April 2014, the statistical analysis on VSD scoring

    showed that no significant difference among the progenies in terms of level of resistant

    towards VSD in year 2014. All of the progenies have the range between 2.6 to 3.1 of VSD

    scores which were categorized as moderate resistant. However progeny KW162 x KW163

    had the lowest VSD score (2.618) followed by KW162 x KEE2 (2.633) while only

    TSH858 x KW163 had a score above 3.00.

    44. Overall, the result showed that the progenies KW162 x KEE2 and KW162 x KW163 were

    the most productive among those tested in this trial. These progenies also possessed

    moderate resistance towards the VSD.

    45. Malaysia informed the Meeting that the next step of this breeding programme is to

    undertake individual tree selection focusing on high yield potential, good flavour and

    acceptable bean characteristics and tolerant to VSD. The full report is in Annex 11.

    9.2 Project on Pest and Diseases (P&D) Management

    46. Malaysia informed the Meeting that the three areas of research collaboration are as

    follows:

    i. Cocoa Pod Borer (CPB)

    ii. VSD

    iii. Black pod diseases (BP)

    47. Malaysia informed the Meeting that only one project proposal on Particle Film Technology

    as a Pest Control Strategy in Sustainable Cacao Production has been prepared by Malaysia

    and Indonesia. The project proposal entitled Particle film technology as pest control

  • Report of the 18th

    ACC Meeting, 78 May 2015, Bangkok, Thailand Page 15 of 20

    strategy in the management of cocoa pod borer was prepared by the MCB and submitted

    to the Ministry of Science, Technology and Innovation (MOSTI), Malaysia in October

    2014 for research fund approval. No fund was granted yet as the proposal needs to be

    revised and resubmitted with some amendments. The full report is in Annex 12.

    48. Dr. Amalin of the Philippines reported that Philippines has undertaken the project using

    fine clay as an agent against cacao mirid bug in the Philippines. Three experiments are

    conducted in laboratory, field cage and open field assessments. The experiments in

    laboratory and field cage were successfully done. However, the experiment in the open

    field was not able to be carried out due to the recent flooding that badly hit the Philippines.

    9.3 Training and Exchange of Technical Expertise and Research Materials

    49. Malaysia reported that there are no reports on the training and exchange of expertise and

    cocoa hybrid seeds among the ASEAN member countries. The full report is in Annex 13.

    9.4 Enhancement of Private Sector Involvement

    9.4.1 Cocoa Association of Asia (CAA)

    50. Mr. Richard Fahey, Chairman of the CAA presented the latest development on the

    programmes and activities carried out by the CAA in 2014 and are as follows:

    i. CAANam Long University Project that provides technical training to farmers on

    best agricultural practices for cocoa farming and proper fermentation techniques

    ii. Attended the ASEAN Cocoa Club Meeting, 7th-8th May 2014, Kota Kinabalu,

    Sabah, Malaysia

    iii. Attended the 6th Indonesian International Cocoa Conference & Dinner, 1517 May

    2014 in Bali, Indonesia

  • Report of the 18th

    ACC Meeting, 78 May 2015, Bangkok, Thailand Page 16 of 20

    iv. Liason with FCC for clarification on certain bean quality definitions as per FCC

    rules

    v. CAA grinds the quarterly grinds (compilation of Malaysian, Singapore and

    Indonesian grinds as contributed by CAA members) are ongoing and posted on

    CAA website.

    The report is in Annex 14.

    51. He also highlighted that the negative 10% growth in Asia grindings in 2014 was due to the

    changes in the tax structure in export of cocoa beans in Indonesia as well as tariff

    disadvantage on cocoa butter from Asia in European Union as compared to the West

    African countries. The processors in Asia will be the first to be hit if there are any drop in

    demand of cocoa products in Europe.

    9.4.2 Cocoa Manufacturers Group (CMG), Malaysia

    52. The Meeting noted the status development and the activities conducted by the CMG for

    2014 presented by Mr. Brandon Tay Hoe Lian, the Chairman of the CMG.

    53. He informed the Meeting that the CMG membership comprises of six cocoa grinders and

    Federation of Cocoa Manufacturers as the acting secretariat of the CMG.

    54. Mr. Brandon also presented the CMG activities in 2014 as follows:

    i. MCBCMG quarterly meetings

    ii. Technical Committee Meeting on Cocoa Industry Research

    iii. MCBCMG Meeting with Department of Agriculture Biosecurity

  • Report of the 18th

    ACC Meeting, 78 May 2015, Bangkok, Thailand Page 17 of 20

    55. He also highlighted the cocoa grinding performance in Malaysia. The total cocoa grindings

    in Malaysia in 2014 dropped to 244,423 tonnes from 285,608 tonnes in 2013. He

    anticipated that the weak performance would continue in 2015 due to poor demand. His

    slide presentation appears in Annex 15.

    9.4.3 Indonesia Cocoa Association (ASKINDO) and Indonesia Cocoa Industry

    Association (AIKI)

    56. Indonesia reported that the cocoa beans production in Indonesia in 2014 was 400,687

    tonnes, 17% lower as compare to last year production of 482,248 tonnes. The production

    capacity increased from 150,000 tonnes in 2010 to 391,000 tonnes in 2014 and is expected

    to increase further to 461,380 tonnes in 2015. The increase in the Indonesia cocoa

    processing industry has significantly increased the value of cocoa products export to

    240,966 tonnes and imports of cocoa beans to 109,409 tonnes in 2014.

    57. Indonesia also reported the following activities carried out in 2014 as follows:

    i. Gernas Program where in February 2015, the House of Representative, DPR has

    approved the budget of Rp. 1.1 billion to continue the Gernas Kakao program that

    aimed to help in improving the Indonesian cocoa farms.

    ii. Indonesia Cocoa Day 2014 which was held in Makassar, South Sulawesi on the 14th

    September 2014. The 2015 celebration will be held in the city of Yogyakarta in

    September. The report is in Annex 16.

    9.4.4 Cocoa Foundation of the Philippines (CocoaPhil)

    58. Dr. Divina M. Amalin of the CocoaPhil presented the status development of the cocoa

    industry in the Philippines in 20142015.

  • Report of the 18th

    ACC Meeting, 78 May 2015, Bangkok, Thailand Page 18 of 20

    59. She highlighted that there are around 10,000 to 15,000 cocoa farmers nationwide and the

    annual consumption in beans equivalent is about 30,000 tonnes. The average production of

    cocoa beans in the Philippines is around 10,000 tonnes with a current average yield per tree

    is 1.30 kilos dried beans. The value of imports per year for cocoa is USD 42 million

    excluding chocolate products and the average value of exports is USD 3.5 million.

    60. She also highlighted that the major cocoa growing regions in the Philippines are in Davao

    region, Northern Mindanao, CARAGA, West Mindanao and Eastern Visayas. Davao

    region produced 77 % of cocoa beans supply in the last 5 years (2006-2011)

    61. She also reported on various partnerships programmes with both government and private

    sectors in cocoa farming. Her slide presentation appears in Annex 17.

    AGENDA ITEM 10: OTHER MATTERS

    10.1 ASEAN Cocoa Club National Focal Point

    62. The ACC Secretariat updated the Meeting on the current National Focal Points 2015

    submitted by the member countries which is in Annex 18.

    63. The Meeting was informed that the total number of memberships of the ASEAN Cocoa

    Club National Focal Points in 2015 remains at 27 with the changes in the focal points for

    Indonesia, Thailand and ASEAN Secretariat. Change was also made on the designation of

    the national focal point of Singapore.

    64. The ASEAN member countries are requested to inform of any changes in their focal points

    to the ACC Secretariat.

  • Report of the 18th

    ACC Meeting, 78 May 2015, Bangkok, Thailand Page 19 of 20

    10.2 Strategic Plan of Action on ASEAN Cooperation in Cocoa Sector 20162020

    65. The Meeting noted that in line with the signing of the Memorandum of Understanding

    (MoU) on ASEAN Cooperation and Joint Approaches in Agriculture and Forest Products

    Promotion Scheme for 20152019 during the 36th AMAF on 23 September 2014 in Nay

    Pyi Taw, Myanmar, the ASEAN member countries are requested to propose the new

    programmes and activities for the Strategic Plan of Action on ASEAN Cooperation in

    Cocoa Sector for 20162020. The new SPA on ASEAN Cooperation in cocoa sector will

    be discussed and endorsed in the 19th

    ASEAN Cocoa Club Meeting in 2016.

    AGENDA 11: DATE AND VENUE OF THE NEXT MEETING

    66. The Meeting requested Indonesia to consider hosting the 19th ACC Meeting on the ASEAN

    Cooperation and Joint Approaches in Agriculture and Forest Products Promotion Scheme

    to be held tentatively in the first week of May 2016 as proposed by Philippines.

    AGENDA 12: ADOPTION OF THE REPORT

    67. The Meeting unanimously adopted the Report of the 18th Meeting of the ASEAN Cocoa

    Club on the ASEAN Cooperation and Joint Approaches in Agriculture and Forest Products

    Promotion Scheme held on 78 May 2015 at the Berkeley HotelPratunam, Bangkok,

    Thailand.

  • Report of the 18th

    ACC Meeting, 78 May 2015, Bangkok, Thailand Page 20 of 20

    ACKNOWLEDGEMENT

    68. In his closing remarks, the Chairman expressed his gratitude and thanked to all delegates

    for their active participation in the Meeting. It had been a fruitful two days meeting and he

    was glad that progress has been made in the programmes and activities planned last year.

    He also thanked the Local Organizing Committee and the ACC Secretariat for their

    support, hard work and making this Meeting happening in Thailand.

    69. The delegation of Indonesia, Lao PDR, Malaysia, Myanmar, the Philippines, Singapore,

    Thailand and Viet Nam expressed their sincere appreciation to the Thailand Government in

    particular the Department of Agriculture, Ministry of Agriculture and Cooperatives,

    Thailand for the warm hospitality accorded to them and the excellent arrangements made

    for the Meeting as well as the ACC Secretariat and the Local Organizing Committee of

    Thailand for their hard work and team cooperation rendered in ensuring the successful of

    the Meeting.

    70. The Meeting was cordially held in the traditional spirit of ASEAN solidarity.

    Bangkok, Thailand

    8 May 2015