Overview

Launched in August 2019, the project titled “Promoting Inclusive Economic Growth through the Valorization of Coconut Husks” represents a strategic Public-Private Partnership aimed at revitalizing rural economies in Mindanao, Philippines. Spanning six years and scheduled to conclude in July 2025, this initiative is a flagship effort under the Danida Market Development Partnerships (DMDP) framework, which leverages competitive challenge funding to catalyze sustainable development.

The project is spearheaded by a consortium comprising the Integrated Rural Development Foundation (IRDF) and BIOGROW (VILA SARL), a leading European producer of ecological substrates. Together, they aim to convert coconut husk waste—an abundant but underutilized by-product—into high-value cocopeat and coco fibre products, thereby creating a new industrial ecosystem rooted in local agriculture.

Objectives

The DMDP project is designed to address multiple development challenges through a cohesive and inclusive strategy:

Economic Empowerment

  • Establish a commercially viable value chain for coconut husk by-products.
  • Create sustainable employment for 3,000 farmers and farmworkers, including 1,156 women and 300 youth.
  • Increase monthly income by ₱1,125 per farmer, lifting households out of poverty.

Industrial Development

  • Enable BIOGROW to build high-specification production facilities in Mindanao.
  • Develop a robust local industry for cocopeat and coco fibre, enhancing export potential.

Peace and Stability

  • Target regions affected by rural poverty and socio-political instability, including Davao del Sur, North Cotabato, and parts of the Bangsamoro Autonomous Region in Muslim Mindanao (BARMM).
  • Use economic opportunity as a tool for peacebuilding and inclusive growth.

Capacity Building

  • Establish a Coconut Training Center to equip farmers with technical skills and knowledge.
  • Promote long-term resilience through education and community engagement.

Strategic Framework

The project operates under the Danida Business Partnerships (DBP) model, which requires applicants to present a solid business case and co-finance the initiative. This structure ensures:

  • Commercial viability from the outset.
  • Risk-sharing between public and private sectors.
  • Additionality through targeted funding that unlocks private investment.

By mitigating early-stage infrastructure risks, the DMDP fund enabled BIOGROW to enter a developing market with confidence, laying the groundwork for long-term industrial transformation.

Key Data Summary

Component Detail
Project Title Promoting Inclusive Economic Growth through Valorization of Coconut Husks
Approval Year 2018
Implementation Period August 2019 – July 2025
Geographic Focus Mindanao, Philippines
Funding Mechanism Danida Business Partnerships (DMDP)
Partnering NGO IRDF
Key Commercial Partner BIOGROW (VILA SARL)

 

As Mindanao stands at the crossroads of agricultural innovation and inclusive development, the DMDP project offers a compelling blueprint for how strategic partnerships can unlock untapped potential in rural economies. From transforming coconut husks into high-value products to empowering thousands of farmers, this initiative is more than a business case—it’s a catalyst for lasting change. To explore the full scope of its implementation, challenges, and impact, please continue reading the complete assessment report. For more detailed information, please click the link to access the full text.

An Assessment of the DMDP Project: Promoting Economic Growth through the Valorization of Coconut Husks in Mindanao (2019–2025)