Creating a small farmer powered sustainable derivate chain in Mindanao Note: This project has been cancelled, because the applicant has requested to prematurely terminate the project.The applicant F. Bergwerff Beheer B.V. was established by Mr Bergwerff who was active in the international fruit conservation and irrigation industry for almost 30 years. He is the inventor of the Controlled Atmosphere technique that was further developed through his venture ECO2 B.V..The local partner Jerbecoss Incorporated is active in agricultural commodities related trading and investments.The majority of farmers in the province of Misamis Orienta, Mindanao and surrounding areas grow coconut, cassava and corn for the cattle feed industry. The farmers face difficulties in drying their corn and cassava properly resulting in losses and poor quality of the produce. Because corn and cassava are season products, the supply has peak periods resulting in pressure on prices. The waste materials of the produce do not have any economic value and are discarded in the area.Therefore, the project partners intend to facilitate the marketing and processing of the farmer's produce and the vast waste streams. The aim is to establish a facility for the processing of all wood and waste materials into high quality carbon. The carbon shall be sold to the Mindanao Silicon Metal Cooperation. With the excess heat of the carbonisation of agricultural waste, corn and cassava that is bought from the farmers will be dried and sold to the cattle feed industry. To have the best price for the dried agro produce peak supply should be prevented. Therefore, storage equipped with low oxygen technology will be implemented to enable longer storage of the produce.A joint venture will be established between F. Bergwerff Beheer B.V. and Jerbecoss Incorporated.Corporate Social Responsibility (CSR)VCA, ISO 9001 and ISO 14000 will be implemented during the project.Impact•	Employment and working conditionsAt the end of the project 88 jobs will be created of which 22 at a medium-/high-level. Two years after finalisation of the project 117 staff will be contracted. Salaries will be at least 10% higher for medium/high positions and 25% for basic-level staff. Free basic meals will be provided and a small medical centre for employees and their families will be established.•	Innovation / Transfer of knowledgeOperation of the gasifier and the ECO2 machinery is entirely new for the Philippines.•	Chain effectsDuring the pilot project 300 farmers will be contracted. Two years after the project has been finalised the project partners expect to contract 3,000 farmers. The newly established joint venture will negotiate contracts with the farmers via the Landcare foundation. Further, the project partners have decided that 50% of the premium they will receive on the sales price, to the cattle feed producers in relation to the average normal sales price in the market on time of sale, will be transferred to the farmers.•	EnvironmentThe project has a positive impact on the environment. The project will contribute to the reduction of emission of greenhouse gasses and tar in the atmosphere which will be used to provide the heat for drying the produce of the farmers. The purpose of the project is to produce 900 tons of charcoal and 3,500 tons of dried cattle feed.