A CEBU-BASED specialty grocery retailer is expanding its network of farmer-partners and local micro, small and medium enterprises (MSMEs), improving market access for agricultural producers as demand for locally sourced food continues to grow.
Bobby Adan, founder of Prutasan ni Adan, said the company now works directly with farmers and local food producers through its supplier development program, allowing them to sell their products without passing through multiple layers of traders.
“We work directly with farmers. The program benefits them because they have a direct market for their products,” Adan said.
Adan started the business during the Covid-19 pandemic, selling imported fruits through Facebook with an initial capital of P5,000. It has since grown into a specialty grocery offering fresh produce, dairy products, coffee, meats and other premium food items.
Although the business initially focused on imported fruits such as blueberries, strawberries and apples, Adan said customer demand prompted the company to diversify its product line and increase its sourcing of locally made goods.
“We listen to our customers. That’s why we expanded into yogurt, coffee and many other products,” he said.
The company now sources a growing range of products from Cebu-based entrepreneurs and food manufacturers, including honey, homemade delicacies and other specialty food items.
Adan said many suppliers now approach the company through social media to offer their products.
He said the company’s direct sourcing model enables it to offer consumers premium-quality local produce while providing farmers with better prices and a reliable market.
Its locally sourced products include fruits and vegetables, as well as premium durian and mangoes delivered regularly from different parts of the country.
Helping startups gain market access
Beyond farmers, the company also provides shelf space for Cebu-based startup food brands.
“We support Cebu brands. Many of them are just starting, and we want to help them grow,” Adan said.
The company recently opened its flagship store at Banilad Town Center with an investment of P8 million. The outlet, its largest branch to date, carries a wider selection of fresh produce, healthy food, coffee and locally made products.
Rather than simply expanding its store network, Adan said the company intends to deepen its partnerships with farmers.
“We don’t want to leave farmers behind. As we grow bigger, we want them to grow with us,” he said.
Adan’s expansion reflects growing investor interest in agribusiness, a sector that economist Bernardo Villegas said is beginning to attract significant capital from major business groups.
“Agriculture and agribusiness will begin to be the lead sector,” Villegas said.
He said the renewed interest comes as the Philippines seeks new growth drivers beyond consumption, remittances and the business process outsourcing industry. / KOC