The Philippine Cold Chain - MAP Agribusiness and ...€¦ · The Philippine Cold Chain The Cold Chain in the Philippines presented to: Management Association of the Philippines Agri-Business

The Philippine Cold Chain

The Cold Chain in the Philippinespresented to:

Management Association of the PhilippinesAgri-Business and Countryside Development Foundation

31 May 2016

Series of POST HARVEST processes and activities performed sequentially under TEMPERATURE CONTROLLED CONDITIONS.

The main purpose of the cold chain is to preserve the quality, protect the integrity and sustain the value of fresh and perishable products as they are delivered from the source to the consumer.

What is the COLD CHAIN?

Why is the COLD CHAIN IMPORTANT?

BECAUSE

CHANGEIS COMING!

THE NEED FOR CHANGE!

Change the perspective of the consumer in exercising foodselection options in light of the recurring food poisoningincidents resulting from the consumption of contaminatedfood.

CHEAP IN NOT ALWAYS INEXPENSIVE

Dispel the “Warm Meat myth”

Approx. 50% of total food supply does not pass throughthe cold chain because of market culture.

THE NEED FOR CHANGE!

Change the outlook of the industry stakeholders from pureprofit to concern for the consumer, as part of corporatesocial responsibility.

Conformance with good practice all throughout thechain.

Acceptance that there will always be a cost to quality.

THE NEED FOR CHANGE!

The attitude of government policy maker and regulatorsfrom “shock impact” to long-term impact programs.

Policies and programs should be responsive to theopportunities available and challenges that need to beconfronted as part of the emerging worldwide scenario inthe food industry.

Asian Economic Community

RA 10611

Why is the COLD CHAIN IMPORTANT?

SOCIO ECONOMIC BENEFITSa) Optimized product value through waste

minimization.

b) Improved financial returns to shareholders,particularly in the production sector.

c) Positive outlook to expand agricultural/agribusiness activity.

d) Sufficiency of food supply – less dependence on imports.

Why is the COLD CHAIN IMPORTANT?

MARKET COMPETITIVENESS

a) Continuing market growth as a function of population.

b) Responsiveness to developing consumer awareness in terms of quality and food safety concerns.

c) Responsiveness to market opportunities and challenges emanating from Free Trade Agreements and membership in the ASEAN Economic Community

Why is the COLD CHAIN IMPORTANT?

REGULATORY COMPLIANCE/GENERAL PUBLIC INTEREST

a) Strict enforcement of R.A. 10611 (National Food Safety Act of 2013).

b) Administrative and other regulatory policies implemented by the Dept. of Agriculture and affiliate agencies.

c) Food poisoning incidents.

COLD CHAIN PROCESS FLOW

HarvestPrimary

Processing Packing Storage Transport Distribution

Imports

General outlook is for continuing growth of the cold chainindustry due to:

Population growth.

Changing consumer preferences resulting from economicdevelopment – enhancement of purchasing power.

Stricter food safety regulations.

Emerging export markets – AEC, Middle East.

OUTLOOK FOR COLD CHAIN INDUSTRY

CHALLENGES TO COLD CHAIN OPERATORS

Cost of power.

Cost of transport logistics.

Cost of doing business.

Cold Chain Association of the Philippines

Multi-sectoral grouping of business and professional organizations in

the Philippines bound together by a common mission to promote its

primary advocacies – food safety and food security.

Founded in 2002 as a response to recommendations of USDA FAS

Experts Group as part of 28-nation study on food handling practice

conducted in 2001.

The Cold Chain Association of the Philippines

Has a membership roster of 93 company members.

Affiliated with Global Cold Chain Alliance (GCCA).

Currently working in partnership with Winrock International on a4-year cold chain development program in CARAGA region inMindanao.

The Cold Chain Association of the Philippines

THANK YOU