From childhood summers to a global enterprise: celebrating the export potential of MSMEs

Micro, small and medium-sized enterprises (MSMEs) represent over 99% of the business enterprises in the Philippines and account for over 60% of its jobs. With support from the government, the European Union (EU), and the UN, they are poised to become an even bigger economic asset for the country and help reach  the goal of achieving upper middle income country status.

In this article, we are featuring one of the businesses supported by the EU funded ARISE Plus Philippines project.

Dreaming better

Nestled 72 kilometers south of Manila, the quaint farm in Sta. Maria, Laguna, holds more than just childhood memories for Jessica R Gutierrez, CEO of Amazing Foods Corp. 

It's where her passion for nature and the dream to transform the crops into authentic healthy food preserves and farming into a lucrative venture for her family first took root. 

"My siblings and I were always in awe of the bountiful harvests at our grandparents' farm. When the yields suddenly stopped, it was a disturbance," Ms Gutierrez reminisces. 

The dwindling returns, resulting from tenant farmers abandoning agriculture, seeded a promise among the siblings to restore the farm's former glory.

Sta. Maria's hidden potential

Sta. Maria, may be poor and remote, but is a vital rice-producing region. Jessica's vision extended beyond the immediate, seeing potential in the 13 hectares of mountainous land dotted with coconut and fruit-bearing trees. 

"We envisioned a sustainable farming method that would respect and preserve our environment," Ms Gutierrez says. 

This led the siblings to explore the virgin coconut oil (VCO) market, inspired by government training sessions that revealed the coconut's vast untapped potential.

Going international with support from the Department of Trade and Industry (DTI)

Introduced in 2005, Sta. Maria VCO initially struggled to gain traction. 

"The first three years challenged our resolve as the local market was slow to embrace coconut oil as a dietary staple," she says. 

However, their perseverance paid off when online platforms like Alibaba opened international doors.

 "Our breakthrough came with our first overseas client from Japan, swiftly followed by others from Sweden and Croatia," she recalls, highlighting the importance of their organic certification in securing these pivotal deals.

The Department of Trade and Industry has supported the company in their export journey.  Enabling its participation in international trade fairs has been instrumental in exporting abroad, including to the EU. 

Amazing Foods Corp. has since expanded its product lines from VCO food supplements to other coconut by-products including healthy soaps, coco ginger tea, jams, chips from root crops and fruits and massage oils.  

Utilizing the Generalized Scheme of Preferences Plus (GSP+) 

They were able to tap into the EU’s special incentive scheme to encourage export diversification in developing countries, called GSP+. Under this scheme, the Philippines has been benefitting from zero tariff on two-thirds of all product categories entering the European Union market since 2014. 

 Support from ARISE Plus Philippines

Amazing Foods Corp. has also benefitted from ARISE Plus Philippines, a project that trains and mentors Philippine micro, small, and medium enterprises (MSMEs) to further develop their global export capabilities. This programme, funded by the EU, is implemented by the International Trade Centre (ITC), a joint agency of the UN and the World Trade Organization.

Ms Gutierrez says that they now pay close attention to documentation and certifications, as well as logistical requirements to expand and upgrade their product offering to the global market.

Participation in the ANUGA Trade Fair in Germany further helped to expand their markets, she adds. 

A mission of health and sustainability

Amazing Foods Corp has since flourished into a mid-sized company and continues to thrive on a year-round supply of fresh coconut from over 150 hectares of organic plantation. 

They are just one of 168 MSMEs and entrepreneurs in the coconut, game development, processed food and tech sectors that received support from the EU funded ARISES Plus Philippines.

The EU is the fourth largest trading partner of the Philippines accounting for 7.9% of the country’s total trade in 2021. 

ARISE Plus Philippines is a project of the Government of the Philippines, with the Department of Trade and Industry as lead partner together with the Department of Agriculture, Food and Drug Administration, Bureau of Customs, the Department of Science and Technology, as well as the private sector. It is funded by the EU with the International Trade Centre (ITC) as the technical agency for the project.