Niugini Organics, an expanding exporter of organic coconut products made in PNG, is showcasing a business model which benefits smallholder groups in East New Britain. Business Advantage PNG spoke with director Dennis Hill to find out more.
Directors Debra and Dennis Hill with the Niugini Organics team. Credit: Jody Cleaver.
Niugini Organics has exported organic coconut products manufactured at its headquarters near Keravat in East New Britain since 2008.
A PNG-owned company, it produces coconut oil and soaps from its 1,150 square metre manufacturing factory.
The company has a growing export market, which is most established in Australia and New Zealand, where its products are found in thousands of health stores and supermarkets.
Niugini Organics Director Dennis Hill tells Business Advantage PNG his company is continuing to develop its export markets, especially in Europe, the United States, and even Kazakhstan.
‘Our strategic advantage for doing business here is obviously the supply of coconuts in a town that happens to have a good port with a reasonable amount of direct overseas shipping,’ says Hill, who founded the company with his wife, Debra.
Landowner contribution
The foundation of Niugini Organics’ business is a strong partnership with local smallholders who supply coconuts, with around 200 groups now involved in the operation.
An operation with smallholder groups has been critical for Niugini Organics. Credit: Jody Cleaver.
Hill says Niugini Organics has focused on establishing the smallholder operation as an integral part of its business.
‘We specifically run it as a smallholder operation, not a buying point where we just buy coconuts. We have a buying plan and a schedule we put out weeks in advance, and all of the smallholders are also organically certified,’ Hill explains.
With PNG’s agricultural sector looking for a boost, Hill believes the smallholder model should potentially provide wider benefits for other businesses in the industry.
‘The smallholder model, where you have an integrated company that really sticks to its own business and does what it is good at—which is producing a product—isn’t utilised enough,’ Hill said.
‘Then they utilise smallholders to do what they can do—that’s a model that works. It is a bit of a pity in a way that more businesses don’t follow that model.’
Company growth
Hill said Niugini Organics has no intention of changing its model by becoming a landowner in East New Britain. Instead, the company will continue to focus on the production of its goods.
‘One thing that we don’t want is the issue of large land ownership and the complications that brings,’ Hill explains.
‘There is a certain amount of ethical decision-making there. Everything is better served by sharing it out. You can utilise your capital for expansion of the core business without spreading it over things such as the cost of land ownership.’
Hill says Niugini Organics’ regular investment in coconuts from local landowner groups was directly benefiting the area of East New Britain.
The next generation of coconut farmers on East New Britain. Credit: Jody Cleaver.
‘Coconuts are a big expenditure for us. We are spending between K1000 and K2000 each day, 7 days a week,’ Hill notes.
Challenging times
Copra, the dried meat of the coconut, remains one of PNG’s leading agricultural exports, despite global demand declining significantly in recent decades.
In 2014, PNG exported more than 48,000 tonnes of copra, which was worth K63.7 million to the country, according to Bank of PNG statistics. This was a significant increase on 2013, as prices improved during the first half of the year.
Prices have fluctuated throughout 2015, as production from leading producers—including the Philippines and India—has dropped. Copra oil averaged K2,550 per tonne on the export market in the March quarter.
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I am interested in RAW coconut
Get in touch with me (Paul)
pc311@ymail.com
Hi,
Are there any copra buyers in Port Moresby ?
Am interested to sell copra from Papuan Coast to Gulf Province.
Let me know of any buyers.
My email: henry.kairi@yahoo.com
Thanks
Henry Kairi
We are from the National Superannuation Fund Limited in PNG, we’re interested in registering your team to save up for your long term retirement benefits.
You can contact Rhaymoly Alphonse on 3131 818 for more details on PNG superannuation or email ralphonse@nasfund.com.pg
Vijayan Kaprat I’m interested to sell to your company coconut and its byproduct
Steven Fox, are you still buying copra around the NGI Region?
I’m buying from local farmers , the supply of copra is huge . However I want assistance to sustain the business . Is there any help out there… thanks Joshua Ken
Hi Joshua
Kindly assist me to get Copora meals to India and SriLanka.
Regards
+61452201075
Hi Bobby, I am trying to buy copra from locals in Port Moresby. Am looking for buyers in Port Moresby.
My island community have the capacity to sell 500 litres of coconut virgin oil per month and looking for established local or international market to sell to. Coral Island coconut oil are of very high quality. Be our partner. You can contact me on prinscholai@gmail.com
Good day,
We seek to buy Copra in the Niugini Islands region, top price paid, minimum 200t per call. Our next ship will call into Kavieng and Kimbe late October 2018 the following call end January.
Hi Stephen,
There are places in Kimbe that requires your services as I speak. Buying on location will be an absolute bonus for the locals. Please advice if your services are still in operation.
Regards
Ben
Weni and Mandol Investments Ltd is producing VCO oil and seeking buyers overseas is HACCP certified please email me if any one is interested to buy our product
Hi
I am Peter Nguna.
I am into coconut oil production and looking for a market for my coconut oil.
Can some one assist. I am based in East New Britain Province and just started producing copra oil but will modified my operation to include virgin coconut oil.
Thanks
Peter Nguna
Hi Peter, I might have a buyer for you
Contact me, 71333703/ 78606164
I’m quite impressed about the health benefits of coconut, and the by byproducts, is the business I want to get into, mainly coconut oil, for export I reside in Sydney, but I’m looking forward to do this business, please can someone contact me Zeph by name upiakwu@gmail.com thanks
I am interested in exporting business with your company. Could you please inform me about this. I am from Aitape Sandaun Province of PNG.
We are looking for Copora meals to India
I want to sell coconut Husk . I was searching for a buyers. Can anyone help?
Hi please can we establish contact to see any further possibility of supplying copra and other coconut products ..
Thank you
Joseph.
We are looking for Copora meals to India and SriLanka.
Please let me know.
Regards
Sorry, my e-mail:pramatus2@gmail.com . Kind regards. Peter Romo Amatus.
Hi!
I’m buying copra from local farmers. The supply of copra is huge. However I want to get extra funding to sustain the business. Is there any help out there. Thanks. Peter
Hi, Deepak.
Yes, I have seen your comments regarding Copra Industry in PNG and Im very interested to partner with you in this industry.
Im from papua New Guinea and I reside in Kimbe, west New Britain Province.My District is Dominated with Coconut and Cocoa crops only.
If you a interested,Could please share your details wth me for further discussion.
Below is my email address..
bsaile@gmail.com
I’ve been recently given a licence to export dry copra out of PNG and need a market. Can any interested partner contact me on .alufrancis6@gmail.com
I am doing research on the possibility of utilization coconut husks, shell and leaves in PNG. I would like to venture into process these here in PNG. Interested partner from overseas can share idea with me.
Hi Maxwell, I am doing research on the exact same thing with coconut husks and shells in particular. Any luck with establishing business partners overseas and exporting these products? Email me on w.eroro361@gmail.com thanks,
Winnie
Good day Sir,
I want to sell dry coconut to over sea market. That husk, she’ll and meat. How can you help me. Here is my email. marykeas2011gmail.com
Thank you.
Hi,
Yes, we are interested. We have coconut oil mill/refinery in Lithuania.
Please give an offer for 40′ HC trial.
Kind Regards,
Vytautas Bernatonis
MD
http://www.premiumoils.eu
Greetings!
I have Bangladeshi clients who are in need of dried copra meat. kindly email me product specification and quotation at; crimsonmeadow@gmail.com
Warm regards,
Virginia Balagot
Hi, we can supply 1000t min every 6 weeks in our chartered ships
What is the item ? Copora meals?
I need a partner in the Asian countries in regards to coconut husk.
Yes i am srilankan we need high fat desiccated coconut , do you can provide us To Qatar
Respect sir:
I am Deepak from India in state of Tamil Nadu .I have seen and study about your country has of agriculture in that you have developed in coconut yeild as for copra etc.But PNG should want to develope more in coconuts products because coconut is an Eco Friendly In Nature. without using any chemical or any pesticides there are many things to make it coconut as things like coir fiber ,coir pith ,coir rope ,coir flooring mat etc.I have more ideas about coconut because I had running coconut Traders and coir industry business as own in India plz think it off about this idea to develope PNG.
Thanking you
Iam impressed with what we can do with coconuts.
Hello Deepak,
Could you please share your contact details for me to contact you. I reside in the capital city of Papua New Guinea and I’m from South India where we locally supply copra.
I would like to be part of the network
I have made alot of cocnut oil but i need a market i have 5 plantation own
how could you help mi
kuriva
Yes. We can provide market for your coconut oil. Please reply to the following email address> aggies@optonline.net.
Pls contact us for any enquiries regarding coconut and coconut byproducts manufacturing in Papua New Guinea . Exports, Manufactring in to value added products , efficient utilisation of all coconut products , including husk, shell .Expert guidance can be given. The entrepreneurs from East new Briton , Madand and Bogainville are most welcome .
Thanks
Vijayan
Hi Vijayan, please supply me your email address. I want to discuss a few things with you regarding this industry and overseas export.
My email is w.eroro361@gmail.com
Tx,
Winnie