The Board of Investments (BOI) recently approved the application for registration of Metro Pacific Dairy Farms, Inc. (MPDF) as a new local producer of dairy products and plant-based beverages in the country. The landmark project is set to launch operations in March 2025 and aims to strengthen the country’s food security and meet the growing demand for diverse dietary options.
MPDF will be developing a state-of-the-art integrated dairy farm and processing facility in Laguna, focusing on providing high-quality dairy and plant-based products to the domestic market. The project will utilize advanced dairy farming principles, techniques, and technology based on the “Israeli” model, incorporating artificial intelligence and modern equipment to optimize production efficiency and quality.
“We at the BOI are excited about the introduction of advanced dairy farming technology, which promises to deliver superior quality and production efficiency while significantly boosting local dairy and plant-based beverage production,” BOI Managing Head and Trade Undersecretary Ceferino Rodolfo said.
“This initiative is a crucial stride towards enhancing our food security and reducing our dependency on imported milk. Achieving greater self-sufficiency in our dairy supply likewise ensures that Filipino consumers have access to fresh, high-quality local products,” he added.
With an initial cost of more than Php2 billion, MPDF’s facility will house a thousand cows to produce 6.5 million liters of raw milk annually. The project aims to address the gap in our local dairy production capacity while also catering to the rising interest in plant-based dairy alternatives.
The Philippines’ dairy supply in 2023 was characterized by decreasing local milk production and a reliance on imports. According to the National Dairy Authority, the country imports 99% of its dairy consumption, with local production meeting only 0.98% of the total demand of 2.93 billion liters.
Further, based on the Rapid Industry Appraisal (RIA) of the Philippine Plant-Based Foods Industry commissioned by the BOI, local production capacity for plant-based milk is estimated at 24.4 million liters. MPDF’s project is expected to boost this capacity by 12%, reaching 27.4 million liters per year and enabling the local supply to meet 95% of the forecasted demand of 28.8 million liters by 2025.