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MILMAR DISTILLERY INNOVATING ON THE LAMBANOG TRADITION BY TICHOT SAN PABLO 16 SME.COMmunity.PHilippines Milmar Distillery’s Myrone V. Zabat, “Crown Prince of Lambanog” One of the biggest makers of lambanog in the Philippines is Milmar Distillers, based in San Pablo, Laguna. Established by Milagros Zabat in 1979, Milmar traces its roots to Sunville, a company founded in the 1960s by her parents, Crescencio Santos and Purita Villanueva. At one point in its history, Milmar was distributing its products all over the country, outselling gin and rum. After shifting its concerns to the purified water business, the company has now refocused its lambanog business strategies under the stewardship of Milagros’ youngest son, Myrone Zabat and his wife Evelyn. A real man’s drink Pure, simple and potent, lambanog is a real man’s drink, although admittedly, some women can outdrink most men. Vodka comes from potatoes, wine and grappa come from grapes, and most other alcoholic drinks come from grains. Harvesters just stoop to collect potatoes, grapes and grains. In comparison, lambanog comes from coconut flowers. Men climb up tall coconut trees, without any safety nets or lines, moving from one tree to another, balancing precariously on bamboo poles some thirty feet up in the air. Few professions are more dangerous than that of these macho men, called ‘mangangar it’. T hey ex t ract sap coming out from cut coconut flowers in the form of ‘tuba’ or toddy, which is distilled into lambanog, a very strong liquor usually ranging from 80 to 90 proof. More knowledgeable aficionados even prefer the stronger 94 proof version. From about a hundred coconut trees, approximately 30 to 50 gallons of tuba are harvested, which gives about 10 to 15 gallons of lambanog. Milmar buys its lambanog from different suppliers, carefully checking its quality. High quality lambanog has a peculiar scent, which according to Myrone, is similar to ‘plastic balloon.’ The distillate is clear, and the taste is distinctive. Myrone says, “Gumuguhit sa lalamunan at mainit sa tiyan.” Traditional spirit Lambanog is steeped in tradition. In Laguna, Quezon and other southern Luzon provinces, the spirit is imbibed in fiestas, weddings, birthday parties, special occasions, celebrations, and everyday ‘tagay’ bouts where men sit around in a circle waiting for their turn to drink. Fishermen savor a drink after a good catch. Farmers go for their lambanog jugs after working in the fields. Men frequent public markets to drink from shot glasses dipped into lambanog vats. Some prefer lambanog with raisins, chewing gum or ginseng. The distillate has other uses too: some people use it as a disinfectant in place of rubbing alcohol; others put sugar in a saucer of lambanog and use this as a dip for fried bananas; and still others use it as a meat tenderizer. It is also possible that somebody has thought of using it as an alternative fuel, given that lambanog is much cheaper than kerosene, diesel or gasoline. Innovative flavors Traditional ‘puro’ lambanog still accounts for most of M i l ma r ’s s a le s. My r one, set t i ng his sights on broader horizons, has introduced innovations in t he ma nu fac t u re a nd ma rket i ng of their products. He has introduced a new product line — flavored lambanog, which is now available in grape, allseason, strawberry, red apple, root beer, orange, peppermint and bubblegum flavors. These colorful products appeal to the younger segment of the market, and demand for it is constantly increasing.
SME FOCUS Bottoms up. From traditional ‘puro’ lambanog to a selection of exciting new flavors. Lambanog also makes very good cocktail drinks, in bars here and abroad. In fact, the lambanog imbibed in a 5-peso jigger sold at a village store in the Philippines is also mixed in $12- cocktails in hip New York bars and is even a specialty of a five-star hotel in Makati. Looking to expand their business, Myrone has extended the company’s market reach through several channels. They now sell products carrying the Milmar brand name. Myrone has also gone into toll manufacturing for different customers, who market the products under their own brands. Milmar also sells to exporters who bring the brew to Japan and the United States. These bold marketing strategies have added new dimensions to the marketing of the original product, setting new growth directions for the company. Business challenges Milmar faces many business challenges. Myrone points out that excise taxes for lambanog and ethanol are the same. This is detrimental to them, since lambanog is sold in its pure form, while ethanol is diluted into gin, giving out double the quantity of the alcoholic drink. Another problem is that, because lambanog is inexpensive, economical order quantities must be larger. There is also the matter of delivering small quantities to customers in Metro Manila. To facilitate this, the company has tied up with distributors or has entered into production agreements for local and international brands. Secrets of success My rone shares the secrets of his success: he immerses himself in all aspects of the business. He is in direct contact with suppliers, knows everything there is to know about the manufacturing process, takes good care of employees, and cultivates strong relationships with buyers. He believes in the quality of his products, and will not hesitate to show this by sharing a drink with prospective business partners. Another success factor is the company’s social conscience. Employees enjoy job security and are treated professionally. Aside from providing jobs to their regular workforce, Milmar also indirectly generates jobs for countless people in the lambanog industry, from the harvesters to the sellers of this potent liquid. Milmar presently distributes its products in Southern Luzon and Metro Manila. Myrone’s vision is to reach former markets nationwide and to expand its export market presence. To achieve these goals, he has partnered with Planters Development Bank, which is known for its strong support for small and medium enterprises. Plantersbank San Pablo branch manager, Randy B. de Luna, Myrone’s co-member in the San Pablo Jaycees, takes care of the Milmar account. With the guidance of Myrone Zabat and the assistance of Plantersbank, Milmar is ready to ensure the success of this truly Filipino drink, transcending its traditional image and reaching new markets. Milmar Distillery Inc. 85 F. Marino St., Lakeside Park Subdivision, San Pablo City Tel No.: (049) 562 -0169 E-mail: milmardistillery@yahoo.com 17 VOL. NO. 03 / ISSUE NO. 04
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