Among the world's top biggest exporters, the Philippines is a well-known and leading producer of carrageenan. "Philippine-grade" carrageenan is one of the most reliable inputs in meat processing, processed food, dairy products, condiments, personal care products, and pet food products.


About Carrageenan

The Philippines produces high-quality, food-grade carrageenan. About 70% of Philippine carrageenan exports are refined carrageenan, while about 27% are semi-refined. As an export industry, Philippine carrageenan exhibits high export performance vis-à-vis its key competitors, with exports from 2004 to 2013 reaching an average of US$ 101.5 million and amounting to about 13,100 tons per year. Nonetheless, there remains much room for growth in the manufacture of carrageenan through investments in the production of raw materials (seaweed) and advanced technology for processing.

With a global market of 50,400 tons amounting to US$ 615.9 million in 2013, the Philippines stands to benefit from this growing market through increased production of red seaweeds and carrageenan and the conduct of sound research and development initiatives to enhance locally-produced carrageenan.






IPP 2014-2016

The manufacture of carrageenan as a commercial processing activity can be considered among the preferred activities listed in the IPP. Commercial processing covers the (1) extraction of higher value substances from agricultural and fishery raw materials through bioprocessing; or (2) conversion of agricultural and fishery products or wastes to a form ready for further processing or final consumption.

Commercial processing of agricultural products should involve the use of domestically-produced raw or semi-processed agricultural products, unless these inputs are not locally available (NLP) or are not in sufficient quantity (NISQ).

If using imported raw or semi-processed agricultural products that are locally-produced (LP) or in sufficient quantity (ISQ), the project may qualify for registration, provided that the finished/final product is for export, or the project qualifies for pioneer status.

The manufacture of carrageenan as export products can also be considered as among the export activities listed in the IPP. The production and manufacture of export products covers the production/manufacture of non-traditional export products and with export requirement of at least 50% of its output, if Filipino-owned or at least 70%, if foreign-owned.




Shared Service Facilities (SSF) Project

The Shared Service Facilities (SSF) Project is a major component of the MSME Development (MSMED) Program of the DTI and aims to improve the productivity and competitiveness of MSMEs by providing them with machinery, equipment, tools, systems, skills, and knowledge under a shared system.

The SSF Project seeks to address processing and manufacturing gaps and bottlenecks in the value chain of priority industry clusters, particularly those in agribusiness.



Board of Investments

Mr. Francis Peñaflor
Sectoral Champion

Industry and Investments Building,

385 Senator Gil Puyat Ave.,

Makati City, Philippines

Tel. No. (+632) 895-3977