A farmers’ association here signed a memorandum of agreement with Epicurean Partners Exchange, Inc. (EPEI) — the company behind Kenny Rogers Roasters and Seattle’s Best Coffee, Sunday afternoon in Barangay Mamala, this town.
Eran Lagos, brand representative of EPEI, said in a telephone interview on Monday that under the MOA, the 50 farmer-members of Mamala Vegetable Farmers will supply raw agricultural products such as cabbage, carrots and herbs including basil and arugula, to the company’s 104 stores around the country.
Lagos said the company will buy all the farmers’ harvest in their (farmers) set price and the term is in “lock-in” term for the whole year. “This means regardless of the fluctuating price in the market, the company will buy the farmers’ products on their terms,” he added.
He said Epicurean will get 30 tons of cabbage, carrots and herbs every month from the Mamala farmers.
However, in a separate interview, Amy Rosales, president of the Mamala Vegetables Farmers, said they can readily supply the company with as much as five tons of cabbage per day.
Lagos said since the farmers are dealing directly with the company, both are in a win-win situation as the “middleman” scheme that jacks up the products’ prices is eliminated.
He said this oftentimes results in failure of sales due to the unreasonably high prices set by middlemen.
“With the signing of the MOA, the farmers can declare their own farmgate price,” Lagos noted.
He also said they have trained the farmers on how to make proper costing by computing their whole capital (including seeds, fertilizer, etc.) to determine the price they will set on their produce. (PNA)