(by COIR NOTES, vol 2, may 1995)
Through the efforts of Aktion Kokos, headed by Mr. Bernd Schutze, and the Church of Westfalia in Germany, a meeting was set up between the Philippine POs / NGOs, a represcntative of the HENKEL Corporation and the GTZ (consultant to the German Government) last May 4, 1995 at the Ateneo de Manila University. The meeting centcred on the interest of HENKEL to put up funds for projects that may be of assistance to coconut farmers in the Philippines. This fund, according to HENKEL may be channeled to the Philippines through the GTZ projects.
The HENKEL Corporation of Germany is one of the Ieading buyers of coconut oil in the Philippines . According to Mr. Bernd Schutze, HENKEL intends to manufacture a detergent soap using coconut oil as base. This "environmentally safe" detergent shall be made available to the German public for half a Mark higher than the selling price. The half a Mark increase will be put into social and economic use for coconut communities in thc Philippines.
The situation the small coconut farmers face is so crucial that the very existence of the Philippine coconut industry is threatened and the lives of a third of the Filipino population with it. Under such a situation it is most encouraging to note that a big multi-national corporation such as HENKEL is contemplating on generating funds for the bcenefit of thc small coconut farmers and farmworkers in the Philippines. However, the Coconut Industry Reform Movement (COIR) cautions that for the move to be truly advantageous to the intended beneficiaries it is important for HENKEL to note the following:
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COIR believes that business, in general, entail a social responsibility. Developing environmental-friendly products, for example, must be governed not by the principle of profit and loss alone but also by a duty to protect and preserve nature and its inhabitants. It is in this light, that COIR suggests that HENKEL put up its own fund (from profits) for the benefit of its sources of raw materials in order for the move to be truly meaningful.
- Any intended support for the small coconut farmers and farmworkers must be made accessible to them in the most appropriate way. If HENKEL, should decide to provide support funds for such use, COIR proposed that the funds be coursed through widely acceptable channels from Germany to the Philippines. The Church of Westfalla or any other social organization acceptable to the corporation is a most viable option from fhe German end. From the Philippine side, NGO networks may be tapped to implement projects needed by the small coconut farmers and farmworkers. This proposal was presented in contrast to the idea of coursing the funds through the GTZ and its partner, the Philippine government. To channel the funds through the lines of the German government, i.e. GTZ, is tantamount to adding a tax burden to the German consumers. Moreso, the implementation of projects will go through a very bureaucratic process as the GTZ will have to pass through the Philippine government before any implementation can be achieved as in the case of the Bondoc Development Program (BDP). The BDP has had trouble with the release of rhe funds intended for the project due to the bureaucracy in Philippine Government. All funds to be released for this particular project needs to be included in the General Appropriations Act. This process takes a very long time. It will, therefore, give the intended beneficiaries (small coconut farmers and farmworkers) a harder time to avail of the benefits due them if this arrangement ensues.
- Lastly, COIR suggests that the Philippine partner be given enough freedom to determine the details of the project, how and where the funds may be allocated, and the mechanism for implementation. This proposal is based on the premise that the small coconut farmers and farmworkers' participation and involvement in determining priorities for project undertaking is of utmost importance. NGOs who have unrelentlessly provided services and enpertise will be able to provide the necessary inputs for project implementation. And with proper consultation with the German partner, the project shall have better chances of benefiting our small coconut farmers and farmworkers.
The abovementioned were contained in an open Ietter from COIR addressed to the HENKEL Corporation in Germany.
Further communications with the HENKEL Corporation must be pursued in order to clarify matters before going into dettails of the project, if it pushes through.
Send letters to:
COIR NOTES
262 15th Avenue
Cubao, Quezon City
Philippines
Tel-FAX NO. 912-4005
