Davao del Norte eyes oil palm as pest threatens banana plantations

TAGUM CITY, Philippines—The Davao del Norte government is eyeing the development of oil palm plantations in the province as an option to banana plantations, which are supposedly threatened by Fusarium wilt, a pernicious plant disease caused by a type of soil-borne fungus.

The disease, discovered in the province last year, has so far affected a small portion of the estimated 17,000 hectares of land planted to Cavendish bananas but officials said it was not far-fetched that  Fusarium wilt could kill the industry, one of the country’s top exporters with receipts of  $720 million last year, in the near future.

In the 1950s and the 1960s, Fusarium wilt  supposedly wiped out the entire banana industry in Central America and the Caribbean.

“With the problem caused by Fusarium wilt to the local banana industry that reduced yield, oil palm is a good alternative,” Vedastito Galvez, head of the Davao del Norte office of the Department of Trade and Industry told reporters on Monday.

He said that initially, the provincial government planned to develop 5,000 hectares for oil palm under a joint venture scheme with farmers.

Galvez said the Federation of Cooperatives (FedCo) has shown interest in partnering with the provincial government for the development of an oil palm plantation. The plan, he said, will be fueled by a P1.2-billion fund, largely from government financial institutions.

About P500 million of the initial fund, which would be sourced from the Land Bank of the Philippines and other government financial institutions, will be used for putting up an oil palm processing plant, he said.

“Oil palm cultivation is a viable agricultural crop as it is more productive and cheaper to plant, thus generating better income for farmers,” Galvez said.

Data from Malaysia and other oil palm-growing countries showed that a hectare of oil palm could yield up to 7,250 liters of processed oil per year. Palm oil can be processed for cooking and for industrial uses.

Davao del Norte Governor Rodolfo del Rosario said the 5,000 hectares can eventually be increased.

He said there are at least 80,000 hectares of land available throughout the province for oil palm growing.

“The move to develop oil palm plantations is not meant to replace banana, coconut or rubber as major products but only as an alternative crop,” Galvez said.