The JGF-ASHI Partnership Advances the Agro-Entrepreneurship Path of Filipino Farmers

According to 2021 data issued by the Philippine Statistics Authority (PSA), Filipino farmers continue to be among the poorest in the nation, with roughly one in three of them living below the poverty line.

The World Bank stated in 2022 that enhancing farmers’ access to financial services and markets is essential to raising their standard of living.

Through its Farmer Entrepreneurship Program (FEP), the Jollibee Group Foundation, the social development arm of the Jollibee Group, has pledged to improve the lives of smallholder farmers in the nation in response to the appeal to assist Filipino farmers. In order to assist smallholder farmers in transitioning from producers to agro-entrepreneurs capable of supplying corporate markets like the Jollibee Group, the FEP brings together stakeholders from many sectors.

“JGF has always been focused on pursuing innovative solutions that will make a lasting impact on the communities we serve and ensure food security and access. As we envision every Filipino family having food on the table alongside our goal to contribute to the achievement of the United Nations Sustainable Development Goals’ Zero Hunger (SDG 2), we find it important to uplift the lives of our smallholder farmers, the very people who bring food to our table,” said JGF President Gisela Tiongson.  

To do this, the Foundation partners with various institutions that assist and advise farmers in every step of their agro-entrepreneurship journey to increase and maintain a steady income. To facilitate this assistance, FEP introduced the Agro-Enterprise Clustering Approach (AECA), which aims to achieve inclusive agricultural productivity by guiding cooperative and associations in the country in the clustering and collective marketing of their agri products.

Microfinance institution Ahon Sa Hirap, Inc. (ASHI) is among JGF’s reliable partners. ASHI became an FEP partner in 2013, and they saw AECA as an opportunity to assist more farmers by combining it with their financing services.

Financial Goals

Arnolfo Pan, Area Manager of ASHI Grameen Agricultural Program (AGAP) Luzon, has been with ASHI for 20 years and has been part of FEP for 12 years now.

“Dahil sa FEP, na-encourage ako lalo matuto ng farming. Natuto ako mag-marketing at magkaroon ng negosyo at mag-set ng financial goals (I was encouraged to learn more about farming. I also learned to do marketing, have a business, and set financial goals because of this program).”

Taking a holistic approach to empowering farmers, ASHI also improves the capability of its farmer-beneficiaries through training, consultations, and seminars that aim to boost their confidence as entrepreneurs. ASHI now combines financing and non-financing services, including financial literacy training, values formation, farmer organizing activities, and linkage to markets to empower the farmers to become self-sufficient while being proactive members of their clusters. 

Like FEP, ASHI also hopes to give the farmers a better grasp of the demands and makings of the institutionalized farmers market and the capacity to empower other smallholder farmers needing assistance.  

“Bilang anak ng isang magsasaka, tumutulong rin akong magturo ng makabagong agricultural practices sa ibang tao. Isa sa mga naituro ko sa iba kong kapamilya at mga ASHI members ay kung paano paangatin pa ang buhay nilang magsasaka upang maging farmer entrepreneur, at kung paano makakatulong sakanila ang ASHI dahil hindi nalang pa-lending ang ginagawa namin (As a farmer’s son, I also help educate people on new agricultural practices. One of the many things I shared with my family and my co-ASHI members is how to improve their livelihood as farmers by becoming a farmer entrepreneur. And how ASHI can help them transition to one as we offer other farmer support besides financial assistance),” Pan added. 

Farmer Entrepreneurs

In 2022, AGAP became the first group in Luzon to deliver directly to Chowking branches in Laguna.

Angel Dorado, ASHI’s Business Development Department Head, said this progress is attributable to the AGAP farmers’ mindset change.  “Pag pasok ko sa department na ito at sa FEP, new challenge para tulungan ang mga farmers. Dati mas individual sila mag-isip. Ngayon, importante na ma-develop sila into cluster na merong one goal, one dream, and one mindset (Being part of this department gave me a new challenge to help our farmers. Before, they had individual approaches to farming. Now, we needed to put them into clusters with one goal, one dream, and one mindset).”

Currently, 94% of FEP farmer groups are certified under the Philippine Good Agricultural Practices (PhilGAP), ensuring that crop production complies with food safety standards. This was made possible by the mentoring and training they received from FEP and other partner organizations.  

30 FEP farmer groups nationwide have supplied the Jollibee Group with 11 million kilograms of fresh veggies valued at over P500 million in sales as a result of these activities.

Not only do these achievements guarantee Jollibee Group a sustainable supply chain, but they also improve the lives of farmers and their families. Pan proudly stated that he used the program’s assistance to finance his nephews’ schooling, build a home, and purchase a car, among other things.

Like Dorado, the AGAP farmers have become determined to achieve and scale their business even more. “Mas lumalabas na ideas nila. Pangarap na nila na araw-araw na sila maka-deliver, na maging mas maayos pa ang samahan nila dahil  nakikita na nila ang benefit ng ginagawa natin sa kanila na mapaayos ang kanilang buhay (They now begin to think of more ideas. They also have dreams of consistently being able to deliver and to have better relations with their cluster because they now see the benefit of the program in uplifting their lives),” he said.