Exporting Filipino food delicacies to the world

Filipino cuisine's distinct and delectable flavors are increasingly capturing the attention of food enthusiasts worldwide. This growing curiosity presents a significant and potentially lucrative business opportunity for Filipino entrepreneurs and Small and Medium Enterprises (SMEs) eager to share the country’s rich gastronomic heritage with a global audience.

Embarking on the journey of food export can unlock substantial growth and allow you to introduce your unique Philippine food products to new markets. But how to get started?

Why Filipino Food export is a smart business idea

Several compelling factors highlight why venturing into the export of food products from the Philippines is a particularly strategic business decision:

• Growing global demand for Asian flavors: Consumers are becoming more adventurous and actively seeking authentic and diverse culinary experiences, including Asian flavors. Filipino food, with its exciting and nuanced flavor profiles that often balance sweet, sour, salty, and savory notes, is exceptionally well-positioned to capitalize on this expanding appetite for Asian cuisine.
• Large overseas Filipino market: The significant number of Overseas Filipino Workers (OFWs) and well-established Filipino communities all over the globe represent a readily available and inherently loyal customer base. These individuals, totaling 2.33 million in 2023¹, often miss familiar tastes and specific Filipino food delicacies from home, creating a consistent and reliable demand for exported food products.
• Unique and diverse cuisine appealing to international consumers: Philippine food products offer a fascinating and diverse array of flavors and dishes, reflecting the archipelago's rich history and cultural influences. The unique blend of indigenous ingredients with Spanish, Chinese, Malay, and American culinary traditions has resulted in a cuisine that is both familiar and intriguingly novel to global palates.

Identifying profitable food products for export

Selecting the right list of exported food products in the Philippines is critical to success in the international market. When making these crucial decisions, consider the following key factors:

• Shelf life: Opting for products with an extended shelf life is generally advisable for international shipping. Dried fruits, canned goods, processed snacks, and other preserved items are more resilient to the longer transit times inherent in global logistics.
• Ease of transportation: Prioritize lightweight and compact items, as these tend to be more cost-effective to transport. Efficient packaging that minimizes volume and maximizes container space can also impact your overall shipping expenses.
• Market demand: Identify which Filipino food products are already popular among overseas consumers. Staples such as dried mangoes and banana chips² often have established demand. Meanwhile, instant pancit canton noodles, with the local Lucky Me! brand included in the New York Times’ Best Instant Noodles list³, various coconut-based products⁴, and sauces and seasonings, which have a US$136 million worth of exports in 2024⁵, are also widely popular.
• Compliance with regulatory requirements of target countries: Ensure that your chosen products fully comply with the food safety standards, labeling regulations, and import restrictions stipulated by your intended export destination.

What to consider before exporting delicacies abroad

Before embarking on your journey to export food products from the Philippines, several crucial considerations demand careful planning and execution:

• Conduct market research: Thoroughly identify your target countries to better understand the preferences, consumption patterns, and existing competition within those markets.
• Create a business plan: Develop a detailed business plan that clearly defines your export goals, target markets, pricing strategies, marketing and sales approach, operational plan, and financial projections.
• Packaging and labeling: Ensure that your packaging not only meets international standards for food safety and durability but also complies with the specific labeling requirements of your target countries, including accurate ingredient lists, nutritional information, and multilingual options where necessary.
• Shipping and logistics: Establish strong relationships with experienced couriers specializing in food exports, such as DHL Express. Our expertise is invaluable in navigating the complexities of international shipping, including documentation, export clearance, customs procedures, and cost-efficient transportation solutions.
• Develop a marketing & sales strategy: Implement a marketing and sales strategy that leverages online platforms, participation in relevant food trade fairs, and the cultivation of strategic partnerships with distributors and retailers in your target markets to effectively promote your products.
• Secure payment & financing options: Establish secure and reliable payment methods for international transactions and explore various financing options and resources that can support your export operations and cash flow.
• Regulatory compliance & documentation: Maintain organized records of all export documents and stay updated on the latest export regulations in the country and the specific import regulations of your intended target countries.

Challenges and how to overcome them

While the prospect of food exporting offers significant rewards, it's also important to be aware of and prepared for potential challenges:

• Competition: The global food market is intensely competitive, amounting to US$9.43 trillion⁶. To be noticed, differentiate your offerings by focusing on premium quality, developing a strong and recognizable brand identity, implementing effective marketing strategies, and highlighting Filipino food delicacies' unique and authentic aspects.
• Quality control: Maintaining consistently high standards of quality throughout your production, processing, and packaging is crucial to building trust and ensuring sustained customer satisfaction in international markets.
• Regulatory compliance: Food import and export regulations can be complex. So, dedicate resources to staying fully informed about the specific requirements of each target country and ensure unwavering compliance to avoid delays, penalties, or rejection of your shipments.
• Shipping costs: International shipping expenses can significantly impact your profit margins. Explore strategies to optimize your packaging for reduced weight and volume, and diligently negotiate favorable delivery solutions and rates with your chosen logistics partner.

Tips on how to successfully export food products from the Philippines

To achieve sustained success in the competitive landscape of food exporting, consider implementing these key tips:

• Focus on premium-quality products: Position your brand by consistently offering high-quality, authentic Filipino food products that meet or exceed international standards.
• Build strong relationships: Cultivate robust and mutually beneficial relationships with your suppliers to ensure a consistent supply of high-quality ingredients and with your distributors in target markets for effective market penetration and growth.
• Stay updated on market trends and regulations: Continuously monitor emerging trends in the global food market and stay informed about any changes or updates in international food import rules and export regulations.
• Adapt to consumer demands: Be prepared to adapt your product offerings, packaging, and marketing strategies to cater to consumers' preferences and changing demands in your target markets.
• Leverage technology: Utilize technology to streamline your operational processes, manage inventory effectively, enhance communication with international partners, and expand your global reach through online platforms and digital marketing.
• Start connecting and networking: Actively engage with food industry professionals, participate in trade events, and connect with Filipino communities in your target markets to gain valuable insights and build crucial relationships.

Understanding import regulations for different countries

Navigating the specific import regulations of your target countries is crucial for a successful market entry:

• Food safety standards: Understand and comply with each country's specific food safety standards, such as the Food Safety Modernization Act of the United States, the Food Safety Act of the United Kingdom, and the Safe Food for Canadians Act of Canada, and certifications like phytosanitary certificates for fresh produce.
• Customs documentation: Ensure you have all the essential export and import documentation required for smooth customs clearance in your target markets. This typically includes commercial invoices, packing lists, certificates of origin, and air waybills.
• Import permits & licensing: Determine if your food products require specific import permits or licenses from the government authorities in the destination country.
• Labeling requirements: Adhere strictly to the labeling requirements of your target markets, which may include providing ingredient lists and nutrition facts in multiple languages and complying with specific format and content guidelines.
• Tariffs & duties: Thoroughly understand the applicable tariffs and duties for importing your specific food products into different regions to accurately calculate your landed costs and pricing strategies. An example is if you’re exporting to South Korea, they’re all subject to a flat 10% Value Added Tax (VAT), while certain luxury items and consumer goods have a special excise tax of 10 to 20%. It’s important to note that duties and taxes must be paid in Korean Won within 15 days after your shipment has cleared customs.
• Working with customs brokers & logistics providers: Establish strong partnerships with experienced customs brokers and logistics providers in both the Philippines and your target countries. Their expertise in navigating international customs and import regulations can significantly streamline the export clearance process in the Philippines and prevent costly delays.

Common mistakes to avoid

Venturing into the world of food exporting can be rewarding, but it's crucial to be aware of and actively avoid common pitfalls:

• Poor quality control: Failing to implement rigorous quality control measures can result in product inconsistencies, spoilage during transit, and, ultimately, rejection by customs authorities or your overseas buyers.
• Inadequate packaging: Insufficient or inappropriate packaging can compromise the integrity and shelf life of your food products during international shipping, leading to damage, spoilage, and dissatisfied customers.
• Miscalculating logistics costs: Underestimating or inaccurately calculating the various costs associated with logistics, including delivery charges, insurance, customs duties, and handling fees, can severely impact your profitability and pricing competitiveness in the target market.
• Neglecting regulatory compliance: Failing to diligently research and comply with the specific export and import regulations of your target countries can lead to significant delays in customs clearance, hefty fines, or even the outright rejection of your shipments.

How DHL Express can help Filipino food exporters

The world's appetite for unique Filipino flavors is growing. By understanding the market, navigating regulations, and partnering with a reliable logistics provider like DHL Express, you can successfully share your culinary heritage globally.

Take the first step towards global expansion and unlock the vast potential of the global food market. DHL Express offers a comprehensive suite of reliable and efficient services tailored to support Filipino food exporters. Benefit from our extensive global network and dependable transit times to swiftly deliver your products while maintaining their quality. Our expertise in customs processes and regulatory compliance simplifies international trade, ensuring smooth export and import processes. Moreover, leverage our cost-effective international shipping options and advanced tracking for complete shipment visibility and peace of mind.

Ready to share the taste of the Philippines with the world? Open a DHL Express business account today and streamline your Filipino food export journey!