Philippine agriculture to receive investment from Saudi Arabia's Far East Agricultural Company
Saudi Arabia's Far East Agricultural Company will invest in Philippine agriculture
Saudi Arabia-based Far East Agricultural Holding Company plans to invest 6 billion pesos (about 128.4 million on average) in the Philippines over the next three years to cultivate about 20,000 hectares of farmland.
Far East Agricultural Company will form a joint venture with Philippine agricultural producer and trader AgriNurture to handle the investment project.
The cultivated farmland will grow rice and corn, as well as cash crops such as bananas and pineapples.
AgriNurture said Far East Agricultural Company will provide the funding, while AgriNurture will be responsible for operating the project. Most of the crops grown will be exported to the Middle East.
The company will begin implementing the project early next year, and the share ratio of the branch still needs to be finalized. The cultivation cost per hectare for rice or corn is about 100,000 pesos, while the cultivation cost for bananas and pineapples is as high as 500,000 pesos.
If the initial 20,000-hectare farmland cultivation project succeeds, Far East Agricultural Company plans to develop more farmland in the Philippines.
Far East Agricultural Company will form a joint venture with Philippine agricultural producer and trader AgriNurture to handle the investment project.
The cultivated farmland will grow rice and corn, as well as cash crops such as bananas and pineapples.
AgriNurture said Far East Agricultural Company will provide the funding, while AgriNurture will be responsible for operating the project. Most of the crops grown will be exported to the Middle East.
The company will begin implementing the project early next year, and the share ratio of the branch still needs to be finalized. The cultivation cost per hectare for rice or corn is about 100,000 pesos, while the cultivation cost for bananas and pineapples is as high as 500,000 pesos.
If the initial 20,000-hectare farmland cultivation project succeeds, Far East Agricultural Company plans to develop more farmland in the Philippines.