28/02/2023
SUCCESS STORY | Cebu Federation of Dairy Cooperatives (CEFEDCO)
CEFEDCO was formed when four cow-milking cooperatives merged as the Liloan-Consolacion Federation of Dairy Cooperatives thru the initiative of the National Dairy Authority (NDA) to address the growing problem of milk supply deficiency in 1989. Cooperative members underwent training in Bukidnon and were given 281 pregnant dairy cattle imported from New Zealand. Each โco-opโ was awarded P5,000, a total of P20,000 initial federation investment, in addition to the P250,000 they collectively availed from the government.
Two years later, it was transformed to a Federation of Cooperatives with 4 initial member cooperatives: Tayud Dairy Producers Coop., San Vicente Dairy Coop., Garing Dairy Coop. and Yati Coop.
In 2015, the cooperative was invited to the One Town, One Product (OTOP) Fair in Mandaue City. This is a program that enables localities and communities to determine, develop, support, and promote products or services that are rooted in its local culture, community resource, creativity, connection, and competitive advantage.
As their own โpride-of-placeโ representing the first income class municipality of Consolacion, CEFEDCO displayed their well-known 100% Fresh Cowโs Milk and flavored Choco Milk.
DTI Cebu introduced the Shared Service Facilities (SSF) initiative to them. Hearing this, Plant Manager Bienvenido C. Rodriguez was reluctant and hesitant, but with constant communication and relentless interest shown by the office, the cooperative finally came up with a purposeful project proposal.
In 2016, CEFEDCO became a beneficiary of SSF Milk Processing Project worth P3,370,000.00. The cooperative was granted with machineries such as Homogenizer, Plate Heat Exchanger, Cream Separator, Fabricated Condensing unit for Ice Bank and Secondary Storage.
The project has become favorable for the cooperative by reducing its production and operation cost. Rodriguez mentioned that their old homogenizer machine was vulnerable to damage and repair which has always been a stumbling block to the process that resulted to poor efficiency and increase in expenditure.
The Central Milk Processing Plantโs (CMPP) machineries are capacitated to produce barely an amount of 250 L/hr of pasteurized milk. This incapability required employees to work the whole day. However, out of about 700 bottles produced in a day, the cooperative can only sell half of it. Other products are then put to waste.
For Rodriguez, it all โspoilsโ down to poor marketing strategies and inefficient plant operation.
Moreover, in 2018, the cooperative was subjected for upgrade and was granted a project worth P3,000,000.00. New interventions added include an Ice Bank with Ice Making Machine and pipeline installation which aims to improve the cooling capacity and obtain higher productivity. This extended the range of shelf life of various products from 7 days to a month.
In 2022, DTI Cebu transferred the ownership of the SSF for milk processing to the CEFEDCO after having successfully proven that they can sustainably manage and operate the facility in accordance with the objectives of the DTI project.
The cooperative has assisted 24 MSMEs, 700 dairy farmers, 414 beneficiaries and generated a total sales of Php 26M from 2016-2019.
Today, the cooperative aims to enhance their packaging and conduct a good manufacturing practices training for their farmers by the last quarter of 2022.
Interested customers may reach them via their page: Dairy Products (Cebu Dairy Fresh). For more information on local products and produce proudly made from Cebu, visit DTI Cebu page.
