Century Pacific Food Inc. (CNPF), said Monday it signed a long-term agreement with Vita Coco Company Inc., one of the world’s leading coconut water brands.
The new agreement, which covers supply of additional 90 million liters of coconut water to Vita Coco over the next five years, will involve an additional investment of $40 million, CNPF said in a disclosure to the stock exchange.
“The expansion of the multi-year agreement with Vita Coco conveys our mutual trust and respect for each other as business partners, a relationship built through consistency, collaboration and excellence,” said CNPF vice president Noel Tempongko Jr.
“We are thrilled to enter into this new agreement and eagerly anticipate the opportunity to meet the heightened demand. As such, we are planning to invest in additional capacity, which will create more jobs in Mindanao and help stimulate the local economy,” he said.
CNPF said the previous agreement signed in 2020 remained in force and is up for renewal discussions in 2025. The new contract is on top of the existing agreement.
It said the expansion is expected to create at least 1,500 quality new jobs and will also support the growth of the local coconut industry in Mindanao, where CPNF operates.
The Philippines is second largest producer of coconuts in the world, with about 2.5 million coconut farmers.
“We look forward to further solidifying our long-term partnership with Century Pacific. Our mutual ambition to serve consumers better with healthier products has taken us to new heights in innovation and quality. This agreement also creates an avenue by which we collaborate to make a positive impact on society and help build thriving communities among smallholder farmers in the Philippines,” Vita Coco chief operating officer Jonathan Burth said.
CNPF is one of the Philippines’ largest branded food and beverage companies. It is primarily engaged in the manufacturing, marketing, and distribution of processed marine, meat, milk, coconut, plant-based and pet products.