What's Happening?
Century Pacific Food has announced the acquisition of a coconut-processing plant from Roxas Sigma Agriventures, investing approximately $45 million to purchase and upgrade the facility. Located in Tupi, South Cotabato, Mindanao, this site marks the company's
third coconut facility in the Philippines. The new plant will produce coconut cream, coconut milk, virgin coconut oil, and coconut water concentrate. Century Pacific aims to expand its capabilities to cater to both domestic and export markets by adding new product lines and improving efficiency. The acquisition aligns with the rising global demand for coconut products driven by health and wellness trends.
Why It's Important?
The expansion of Century Pacific Food's coconut production facilities is significant as it positions the company to better meet the growing global demand for coconut products. This move not only enhances the company's competitiveness in the coconut industry but also creates economic opportunities for local communities in Mindanao. By increasing production capacity, Century Pacific can innovate and offer more high-quality coconut products, supporting its mission to deliver affordable nutrition. The acquisition also strengthens the company's presence in the shelf-stable, plant-based nutrition market, which is increasingly popular among health-conscious consumers.
What's Next?
Century Pacific Food plans to further expand its coconut operations, potentially increasing its workforce and production capabilities. The company has renewed a long-term supply agreement with The Vita Coco Company, valued at approximately $240.7 million, which will run for five years starting January 2026. This agreement is expected to bolster Century Pacific's market presence and support its growth strategy. As the company continues to invest in its facilities, it may explore additional partnerships and product innovations to capitalize on the health and wellness trends driving demand for coconut products.
