To earn extra, OFWs may bring Agri Karts back to their host countries

A taste of home
By Tina Arceo-Dumlao
Philippine Daily Inquirer
Posted date: June 05, 2010

SINCE THE hordes of Filipinos working or living overseas have turned into an exact science the practice of bringing local goods and delicacies back to their host countries, why not make them earn from selling them, too?

That desire to provide Filipinos overseas with such an opportunity to make an extra income gave birth to the Pinoy Agri-Kart program of the Department of Agriculture.

Inspired by the iconic Philippine jeepney, the Pinoy Agri-Kart features traditional products such as coffee, native chocolate and chicharon as well as new offerings such as flavored lambanog, malunggay noodles and organic cosmetics, which promise to be surefire hits among Filipinos yearning for the taste and feel of home.

For an investment of just P175,000, OFWs and other entrepreneurs interested in promoting and selling proudly Philippine-made products will get the specially designed kart, initial inventory of elegantly packaged goods worth P40,000, security deposit and even some marketing materials and the franchise fee for the first year.

Where to invest

On the second and third years of the contract, the investor will shell out an annual fee of roughly P50,000 for the right to operate the Pinoy Agri-Kart.

The Pinoy Agri-Kart has done the rounds of food and agriculture events here and abroad since it was launched in May 2009 and a sample Pinoy Agri-Kart is now on permanent display at the Duty Free Shop in Manila and in the popular tourist destination of Loboc in Bohol to give OFWs as well as international tourists and local travelers an idea of where to invest their hard-earned money.

There are also Pinoy Agri-Karts on display in the Philippine trade office in Shanghai, the Philippine embassy in Xiamen, the 7101 Flavors restaurant in Singapore to promote the business concept among Filipinos there.

The DA has also struck an agreement with the Manila International Airport Authority to set up a Pinoy Agri-Kart at Terminal 3 of the Ninoy Aquino International Authority, one of the country’s busiest gateways.

Helping OFWs

According to former Agriculture Secretary Arthur C. Yap, who came up with the Pinoy Agri-Kart concept, the department saw it fit to develop the social franchising scheme to help entrepreneurs –primarily OFWs – maximize the potential of their earnings.

Yap tells SundayBiz in an interview that there have been too many stories of OFWs losing their precious money to frivolous purchases, ill-advised business ventures or get-rich-quick schemes, so the DA decided to present them with a viable business option.

With the Pinoy Agri-Kart, Yap says OFWs will get to invest in a real business based on products they are familiar with. And they do not have to worry too much about getting a market because they will primarily be selling to their fellow Filipinos overseas.

Yap estimates that investors will start realizing a handsome profit as soon as eight months after the Pinoy Agri-Kart is set up in high-traffic areas such as malls or in centers abroad where Filipinos usually congregate.

And there are as many opportunities to make money within local shores, too, as Filipinos around the country are also looking for something new and exciting to spend their money on.

Good for home folks

This is an ideal arrangement for OFWs who have decided to stay home and with money and time on their hands to nurture a fledgling business that helps mostly small- and medium-scale entrepreneurs –mainly from the countryside – find that vital market for their unique products, which were developed or enhanced with the help of the DA.

The Pinoy Agri-Kart program falls under the Agribusiness Exports Showroom project, which was opened in 2007 at the DA head office in Quezon City to showcase food and agriculture-based products and link local and foreign buyers with local suppliers and processors.

In 2008, the showroom was placed under the Philippine Agricultural Development and Commercial Corp., the agribusiness investments promotion and marketing corporate arm of the DA and since then, growth has skyrocketed.

From 25 to over 1,000

From 25 export products, the showroom now showcases 1,053 products from snack food to health and wellness products and handicrafts – some of which will be sold through the Pinoy Agri-Kart.

“We think of the AES as an incubation center where the entrepreneurs can immediately get feedback from the market on their price, quality and labeling. Based on that feedback, they can immediately adjust and we help them by getting them in touch with experts on standards and packaging to improve sales,” says Minky Alba, who manages the showroom.

From just P30,000 a month in gross receipts in 2007, sales have ballooned to P300,000 a month.

“More than the sales, the impact has been on the increase in the market for the entrepreneurs or the improvement in their products so they can sell more Filipino goods here and abroad,” adds PADCC chief Marriz Agbon.