KIK signs agreement to develop coconut products

THE Kokonas Indastri Koporesen (KIK) will now be able to help and enhance its small-to-medium enterprises (SMEs) in collaboration with the Credit Guarantee Corporation (CGC).
The SMEs will now be able to access credit funds from financial institutions following a memorandum of understanding (MOU) signed between CGC and KIK in Port Moresby yesterday.
KIK managing director Alan Aku said the 36 SMEs they had needed financial assistance.
“KIK started its SME programme in 2016 with six and we now have 36 SMEs specifically engaged in coconut products,” he said.
“Most of them have been struggling to access credit from financial institutions. However, this partnership with CGC will help develop them and their products,” he said.
“This MOU is important for us so that we can work closely with CGC to develop the SMEs.”
Aku said the SMEs produced coconut oils, soap and lotions and the aim was to develop them into high value products.
“Coconut is a valuable commodity and many people still don’t see its potential so the aim is to bring such products to the next level,” he said.
Meanwhile, CGC chief executive officer Dominic Sikakau said the corporation had partnered with 12 financial institutions in the country and they would continue with the implementation of the partnership with KIK.
“We have already come into an agreement with 12 financial institutions in January and through those financial institutions and MOU, we hope to work with these partners to develop products to assist SMEs in the coconut industry,” Sikakau said.