Millionaire boost: Coconut sector in the Dominican Republic receives key foreign investment
The Dominican agricultural sector is experiencing a moment of significant transformation. According to Hecmilio Galván, executive director of the Special Fund for Agricultural Development (FEDA), the coconut industry has attracted an initial foreign investment of 7 million dollars, a figure projected to reach 20 million dollars in the short term.
This capital comes from the Danish multinational Pindstrup, a leading company in agricultural substrates with over a century of history, which has acquired the La Mundial del Coco plant, located in the municipality of Cabrera, María Trinidad Sánchez province. For Galván, this operation not only validates the country’s productive potential, but is also the direct result of government policies aimed at fostering competitiveness in the countryside.
Industrial expansion and value added
Pindstrup’s strategy includes an ambitious roadmap: increasing coir processing from 12,000 to 60,000 tons annually. This increase responds to the high demand for high-quality substrates in the North American and European markets, transforming what was once an agricultural byproduct into a high-value commercial raw material.
- Industrial capacity: Projected increase of 60,000 tons of fiber.
- Economic impact: Greater added value to coconut husk and derivatives.
- Scope: Strengthening of the entire production chain, from the collector to the exporter.
Industry growth must be accompanied by industrialization, financing, technical training, and market access to ensure that new opportunities reach local producers directly.
Hecmilio Galván, Executive Director of FEDA
Strategic alliances for producers
FEDA has proposed the creation of strategic alliances between the public sector, local producers, and the company Pindstrup. The main objective is for the increase in industrial capacity to translate into a greater demand for raw materials, thus encouraging the planting of new coconut plantations in the country.
During the recent National Coconut Festival in Nagua, crucial topics such as setting fair prices for the husk and logistics optimization were addressed. The arrival of this investment promises to boost the region’s economy, generating direct and indirect jobs and offering a new source of income for Dominican farmers through the comprehensive utilization of the harvest.
