Jollibee Group Highlights Role of Collaboration of Smallholder Farmers in Achieving a Sustainable Supply Chain

MANILA - The Jollibee Group, through its Farmer Entrepreneurship Program (FEP) in partnership with the Jollibee Group Foundation, Inc. (JGF), is reinforcing sustainable business practices and contributes to the improvement of the economy by empowering smallholder farmers.

The Jollibee Group, through its Farmer Entrepreneurship Program (FEP) in partnership with the Jollibee Group Foundation (JGF), is reinforcing sustainable business practices and contributes to the improvement of the economy by empowering smallholder farmers. Joseph Tanbuntiong, CEO of Jollibee Group Philippines highlighted during his speech at the inaugural Agriculture and Food Security Summit that sourcing directly from farmer cooperatives has become a key procurement growth strategy of the company.

FEP provides training, resources, and direct market access to these farmers, making them long-term partners in Jollibee Group’s supply chain. This initiative not only strengthens the company’s procurement strategy but also improves the livelihoods of Filipino farmers.

"In our pursuit of a sustainable supply chain and our commitment to inclusive business practices, we had to take a close look at how our company can be part of the solution in improving the plight of the farmers. This is why our social development arm, the Jollibee Group Foundation, created the Farmer Entrepreneurship Program," said Joseph Tanbuntiong, CEO of Jollibee Group Philippines. Tanbuntiong made the remarks during his speech at the Makati Business Club’s Agriculture and Food Security Summit last September 16.

With the theme, "Food is Everyone's Business,” the summit brought together key figures to address pressing food security issues and to empower the farming sector through collaboration. Department of Agriculture (DA) Secretary Francisco Tiu Laurel delivered a keynote on the Nine-Point Plan of the government.

Sustainable Procurement in Action

Jollibee Group brands, including Jollibee, Chowking, Greenwich, and Mang Inasal, source various vegetables—such as onions, tomatoes, and bell peppers—directly from FEP farmers. In 2023, 24% of Jollibee Group’s onion supply came from FEP farmers, with plans to increase this to 33% by end of 2024. This sustainable approach ensures a reliable supply while supporting environmental and economic sustainability.

“Intending to strengthen our partnership with them, our procurement team has committed to prioritizing sourcing produce from the FEP farmers to ensure cost leadership, and supply resiliency, and contribute to the development of the local economy,” added Tanbuntiong.

Empowering Farmers Through FEP

Since its launch in 2008, FEP has organized over 1,000 farmers into 30 groups across 16 localities. These farmers have supplied more than 11 million kilograms of vegetables to the Jollibee Group, generating PHP 500 million in sales. Beyond procurement, FEP trains farmers in agro-entrepreneurship, helping them operate as business partners. The program ensures that farmers meet stringent quality standards, such as Philippine Good Agricultural Practices (PhilGAP) certification. Kalasag Multipurpose Cooperative, a key FEP farmer group, became the first onion cooperative in the Philippines to achieve a PhilGAP certification in 2017.

Strengthening Partnerships for Sustainability

JGF signed a Memorandum of Understanding to join forces with MBC and other companies to work together in empowering farmer cooperatives to achieve a sustainable supply chain.

FEP’s success is built on strong partnerships with local government units, microfinance institutions and cooperatives, the Department of Agriculture (DA) and academic institutions. Recently, JGF signed a three-year agreement with the DA to train more farmers nationwide in value chain development, further scaling the program.

“Our work with farmers has not been just about procurement. It was a collaborative effort in promoting innovation, process improvement, and benchmarking best practices or new technology in agricultural value chain management. This collaboration across cross-functional teams within Jollibee Group and other like-minded groups has fostered shared responsibility,” said Tanbuntiong.

During the inaugural Makati Business Club’s Agriculture and Food Security Summit, Jollibee Group Foundation President Gisela Tiongson highlighted the need for farmers to earn profitably to make agriculture an appealing long-term career including the youth.

At the summit, Gisela Tiongson, President of JGF, emphasized the importance of building strong farmer cooperatives that go beyond financial services to include consolidation, marketing, and other value-adding activities. "Most farmers are not formally trained as entrepreneurs, so they need support to put in place the needed financial, human resource, and enterprise system," she said.

Tiongson highlighted the need for farmers to earn profitably to make agriculture an appealing long-term career. “The goal is for farmers’ children to say, ‘I will stay in this industry because I can earn well for my family.’”

Transformative Impact

FEP has had a transformative impact, providing farmers with stable incomes, access to financial services, and improved living conditions. With the help of partners, the program has also provided warehousing and cold storage facilities, enabling farmers to scale operations sustainably.

“Reflecting on the past 16 years of Jollibee Group and Jollibee Group Foundation working with cooperatives and farmers, I am reminded of the incredible power of participation and inclusion —what can be achieved when we come together, united by a shared purpose. Our experience with FEP and the farmer cooperatives demonstrate that meaningful change is not only possible but sustainable.” concluded Tanbuntiong. (PR)