Franklin Baker to double production with purchase of coco processing plant

Global coconut producer Franklin Baker Company of the Philippines is acquiring a coconut processing plant in Davao del Sur, which will allow it to expand into other coconut products.

In an e-mailed statement, Franklin Baker said the plant can double the company's existing production capacity, both in desiccated (preserved) coconut and coconut water concentrate.

The acquisition will also fast-track the company's entry into other coconut-related products like coconut water, virgin coconut oil, coconut milk and coconut flour.

“Demand for our products is unprecedented and we are making this investment in order to build for the future and to ensure that Franklin Baker continues to provide world class coconut products to an ever expanding range of international customers," Franklin Baker president and CEO Jerry Lorenzo was quoted as saying.
 
The move to acquire a fully-built plant is part of the company's global expansion strategy and to maintain its position as a top supplier of coconut products, the company official said.

“We are delighted to be making this investment and also recognize that this is an investment in the Philippine economy with the resultant positive impact on the local community and the potential for creating up to 1,000 new jobs locally in Davao," he added.

Franklin Baker currently operates two manufacturing facilities – one in San Pablo, Laguna and another in Sta. Cruz, Davao del Sur.

The two plants have a combined annual capacity of 65 million pounds of desiccated coconut and up to 4 million liters of coconut water concentrate, equivalent to 60 million liters of single strength coconut water.

Franklin Baker – formerly owned by General Foods and Kraft Foods – has been producing desiccated coconut and other coconut products for over 100 years, supplying to Kraft Foods, Hershey’s, Kellogg’s, General Mills, Nestle and major producers in Europe, Latin America, Asia and the Middle East. — Danessa O. Rivera/JDS, GMA News