Local coffee blends and coffee shop operator are giving international coffee brands such as Starbucks and Nestlé a run for their money, the Department of Trade and Industry said.

DTI Secretary Jesli A. Lapus said noted that through the One Town One Product (OTOP) program of the DTI coffee producers have been making inroads as coffee shop operators using their own house coffee blend.

Philippine coffee blend has been a promising product that poses a challenge to international brands such as Starbucks and Nestlé in the local market, Lapus said.

Lapus cited Cavite’s Café Amadeo Development Cooperative for its “Pahimis Blend,” and Batangas Merlo Agricultural Corporation in the manufacture of Café de Lipa Coffee and as an operator of Café de Lipa Coffee.

Years back, Lapus said, the coffee industry has been described as a declining industry. The introduction of OTOP in the provinces of Cavite and Batangas has revitalized the industry by inspiring members to introduce product and market innovations.

Café de Lipa, for instance, was challenged to open it’s own coffee shop when Starbucks opened a franchise in Lipa City. “The entrance of Starbucks seems to be a blessing as Café de Lipa goes head to head with the international brand in its backyard.”

On Christmas Eve, December 24, 2009, Café de Lipa had the soft opening of its latest shop at SM-Lipa City. The latter’s response to the entry of Starbucks in the thriving Lipa City business district illustrates how aggressive Merlo can be in meeting its competition.

Other Café de Lipa coffee shops are located in San Carlos and at Petron Station complex, both in Lipa City, in Macapagal Ave., Baclaran, Parañaque City, at Mall of Asia in Pasay City, at Market! Market! in Taguig City.

Merlo Agricultural Corporation is also the producer of Café de Lipa brand. It has been among DTI-Batangas busiest OTOP MSMEs. It is also a major supporter of the Barako Coffee Fest of Lipa City and has participated in the Center for International Trade Expositions and Missions (CITEM)  International Food Exhibit and National Trade Fair.

The Filipino firm saw the opportunities brought by the OTOP program to position itself more aggressively as coffee producer initially and now as coffee shop operator.

Café Amadeo Development Cooperative, on the otherhand, was formally organized on June 28, 2002.
With the support of government and the private sector, the Cooperative has become an inspiration to the then dying coffee industry in Cavite and with its marketing success.