PH Farmers receive Aid as Modern Equipment is provided via ADAMCO

Ada Manufacturing Corporation (ADAMCO) is a company that aids farmers in becoming entrepreneurs by providing access to quality agricultural equipment with affordable financing. To further support Filipino farmers, ADAMCO has put up 37 branches nationwide. Furthermore, the company has recently raised about P1 billion in corporate notes facility through its financial advisor GIV Capital Holdings Corp. The company’s actions are heavily supported by the Development Bank of the Philippines and the Security Bank Corporation.

The notes have a five-year tenor, as its principal has to be repaid quarterly. The proceeds will then be used to support the company’s capital expenditure and working capital requirements.

“We deeply appreciate the support of GIV Capital, DBP, and Security Bank for what we are trying to do for the country. My firm belief is that agriculture should be taken as a promising business, and not as a dreaded occupational destination of the children of farmers. We do this by providing access to top-notch equipment with reasonable financing,” said Roberto Alingog, founder and chairman of ADAMCO.

This funding has allowed ADAMCO to establish a presence in the industry as it acts as proof that there is money in modernized farming.

“DBP shares the vision of ADAMCO in promoting modernity and technological advancement in the agricultural sector, and in providing our farmers access to modern agricultural machinery. Like ADAMCO, we also believe that modernization is a key element to agricultural productivity, which is why it is our honor to be a part of this funding activity that aims to benefit our Filipino farmers and agripreneurs,” said Emmanuel G. Herbosa, President and CEO of DBP.

“This Corporate Notes Facility is an important milestone in ADAMCO’s mission to help transform the agricultural sector, and we look forward to supporting the company in its future endeavors. We’re proud to support these projects that align with our mission to enrich lives, empower businesses, and build communities sustainably through financial service excellence.” shares Charles M. Rodriguez, Executive Vice President and Head of Wholesale Banking Segment of Security Bank.

ADAMCO was first established in the 1970s when its founder noticed a lack of simple motorized equipment in his home province of Isabela. Since then, the company has grown to be the leading dealer of agricultural equipment in the country.

According to Alingog, modern machines have are essential to efficient farming as delays caused by a lack of manpower result in substantial losses year-round.

“Since the 1970s, when the Philippines first started pushing for mechanized agri-machinery adoption, the theory that agri-machinery will displace farm labor and result [in] massive unemployment in the countryside has been hounding government policy-makers. However, there has never been a report that there was indeed a large displacement of farm labor resulting [in] massive unemployment,” said Federico De Guzman, Product Development Director of ADAMCO.

“Farming families did not want (and still do not want) their children to become traditional farmers.” The farmers who grow old and retire are not replenished [at] the same rate, he added.

“It is always very heart-warming to see the excitement in the eyes of the farmers when we deliver the agri-machinery to them and teach them how to operate the machines. Their feeling of going to the next higher level of economic life is intense and palpable,” said Ada Alethea A. Alingog-Nanayakkara, President of ADAMCO.

Source: CNN Philippines