The Goilala District Development Authority (DDA) has prioritized heavy investment in agriculture, particularly in coffee farming, in close collaboration with the Goilala Development Corporation Limited (GDCL) becoming the first 100% local business to purchase coffee directly from local farmers.
Goilala, in the Central Province of Papua New Guinea, is known for the Tolukuma Gold Mine, but today, the Member for Goilala and Chairman of the District Development Authority, Honorable Casmiro Aia, said it works towards setting Goilala on the exporters’ map as the producers and suppliers of the country’s quality coffee.
Aia said that direct purchasing empowers local farmers and strengthens the district's coffee industry with a clear priority to one day export quality Goilala Coffee.
Goilala in 2022 first exported a container of coffee to Dubai, under a 3rd Party export arrangement officiated by MP Aia in Lae.
The National Cup Testing Competition in the same year resulted with Goilala organic coffee scoring 84% and 85% respectively, which is A & AA in grading. Internal quality assessment and tests done by CIC Provincial Extension Coordinator and CIC Team based in Port Moresby ensure quality is maintained.
Today, the DDA, including the company and the committed coffee farmers in Goilala, hope to maintain the grade and quality title their coffee holds in quality checks.
This January, a total of 17,917 kilograms of coffee parchment, packaged in 50kg bags, was purchased by GDCL at K6 per kilogram, amounting to K107,502. The purchase directly benefited more than 100 coffee farmers from Lower Vetapu in the Woitape Local Level Government (LLG).
The occasion was witnessed on January 8 at the Ononge Airstrip by Hon. Aia and Dr. Titus Girau, District CEO for Goilala. GDCL General Manager, Mr. Ronald Kolalio, officially handed over the funds to the Ononge Coffee Growers Cooperative Society executives, who facilitated the payments to the farmers the following day.
Aia said Goilala DDA decided to invest heavily in agriculture, especially coffee and other agricultural projects that will follow, to create direct revenue for the locals.
"In doing so, we encourage them to be self-reliant rather than relying on the handout mentality from the government. This handout mentality promotes laziness and develops a parasitic attitude feeding off the hard work of the government and other people,” he emphasized.
Aia expressed gratitude to the Coffee Industry Corporation (CIC) for supporting Goilala's coffee initiatives and called on the Ministries of Coffee and Agriculture to extend further assistance.
Economic Independence Driven by Agriculture
Hon. Aia has also made a called for a stronger focus on economic independence for PNG, emphasizing agriculture as the key driver for sustainable development and poverty reduction. He expressed concern over the nation’s reliance on imports and the lack of economic empowerment for its citizens.
“This country was given political independence but was not given economic independence.”
“Papua New Guinea is still an import driven country. We need to cultivate the land to cut down on imports, especially food items that can grow here by our people to sustain ourselves and generate little income for our people,” Aia said.
Highlighting agriculture as a solution to social issues, Aia said farming could address poverty and curb rising crime and social disorders driven by food insecurity.
The MP acknowledged the importance of infrastructure but warned that it must be complemented by strategies that empower people economically.
“There is no problem building roads, bridges, and other critical infrastructure like clinics, classrooms, communication towers, police stations, and health centers. However, we need to craft mechanisms to encourage our people to be economically independent and be able to have money in their pockets to attend to their wide range of demands,” he explained.
Without disposable income, he said rural communities cannot fully utilize the infrastructure built for them.
Given Goilala’s remote geography, Aia acknowledged the critical role of aviation partners in enabling agricultural operations with Air Sanga, Farland Aviation, Helifix Aviation, and Loma Aviation in meeting our transportation needs in Goilala.
To complement the DDA's efforts, Goilala has launched the Goilala business arm, an initiative aimed at addressing critical issues in the district. The first major step has been the purchase of coffee in Ononge, which will soon expand to Woitape, Tapini, and Guari local-level governments.
“Having come a long way with many struggles, we decided to come up with Goilala Business to complement DDA to attend to some of our pressing issues. The purchase of coffee in Ononge is the first and will roll out to the entire Goilala from Woitape LLG to Tapini LLG and finally to Guari LLG,” Aia said.
His vision for Goilala reflects a broader push for self-reliance and sustainable development, aligning with national goals to strengthen PNG’s economic independence through grassroots initiatives.
Accessing Local and International Coffee Markets
Goilala coffee has gained interest from both domestic and international markets, notably in South Korea and Dubai. However, Goilala Development Corporation Limited remains cautious about exporting due to limited capacity and logistical hurdles.
"We'd prefer to export, but we lack the consistent supply volume required. For now, we're focusing on local sales, buying at K6 per kilo from farmers and aiming to sell at K8 or K12.”
"With the high costs of transport, breaking even with sales and profit especially overseas, would be a great success," General Manager for GDCL Ronald Kolalio explained in an exclusive interview with PNG Business News.
The company is the business arm of the Goilala District Development Authority (DDA), taking steps to unlock the economic potential of the remote Goilala District in the Central Province.
Kolalio described the process as a game-changer with the opportunity to change the negative labeling of Goilala in the country for social issues. He emphasized the company’s renewed efforts to drive local development through agriculture and infrastructure projects.
The company’s first major venture focuses on capitalizing on Goilala’s renowned coffee production, which is highly rated on the global market. At the beginning of January 2025, the company purchased K107,000 worth of coffee from farmers in Ononge, Woitape LLG.
However, moving the coffee to market has proven difficult due to the region's rugged terrain and lack of reliable transport.
"Out of the 365 bags we bought, we've only managed to move 41 bags due to limited access. The only way in and out is by air, and small airplanes can't carry much cargo," the General Manager shared their challenge.
"Cloud cover and tough geography make flying difficult, limiting how much coffee we can bring out at a time."
To address these challenges, GCDL plans to collaborate with DDA projects to utilize return cargo trips for transporting coffee bags and is exploring charter flights to speed up delivery.
Long-term plans include establishing a coffee processing facility in Goilala to secure an export license and reduce dependency on third-party exporters. Kolalio confirmed negotiations a currently in progress for land to build this facility on.
Beyond agriculture, GCDL is stepping into the construction sector to improve the district’s struggling infrastructure. The DDA, dissatisfied with the performance of external contractors, is now relying on GCDL to deliver critical road projects.
"We have two machines on route to Tapini, earmarked for two critical roads— from Tapini to Kerau and Tapini to Woitape," he said.
Progress is hindered by flooding and wet road conditions, but once weather permits, construction will begin—offering a lifeline to remote communities and a more logistically convenient for coffee purchasing.
"If all goes according to plan, we hope to generate profits from construction, coffee, and other ventures to declare dividends to the DDA. This will support the DDA’s social obligations in health and education."
Established in 2016 under the leadership of the late Hon. William Samb, GDCL struggled to progress due to funding constraints. Operations stalled after Samb’s passing, but the company was recently revived by MP Aia.
"The Goilala Development Corporation is owned 100% by the Goilala DDA, for the people," the General Manager explained.
"The wisdom behind setting up the company is a great undertaking. When William Sumb set out to do this, he had a very long-term view about the successes that could be achieved. And it gives me great pleasure to be part of this company and project, to work closely with DDA and the Member Casmiro, to change Goilala through agriculture – coffee.”
The company officially resumed operations in December 2024, marking its first active year in 2025.
He emphasized the company’s broader mission to reshape Goilala’s image, which has often been overshadowed by negative perceptions.
"Presently, when you mention Goilala, people think of crime. But we want Goilala to be known for something positive, like our coffee," he shared. "If a Korean chooses Goilala coffee over other brands that would mean everything to us."
Despite formidable logistical and environmental challenges, the people of Goilala have shown remarkable resilience and determination. The General Manager praised their efforts and expressed pride in contributing to the district's progress.
"Goilala is a very challenging place, but the people are very hardworking, resilient, and hospitable. I’m privileged to be part of the change shaping a better image for Goilala," he said.
MP Aia commended both GDCL and the hardworking farmers for their dedication. He reaffirmed his commitment to advancing the district's coffee industry by advocating for an export license for Goilala.
Cyprian Ile, Chairman of the Ononge Coffee Growers Cooperative Society and Woitape LLG Coffee Rehabilitation Projects Coordinator, expressed gratitude for GDCL's partnership with local farmers.
"This is the first direct partnership with our people, especially coffee farmers in the district, where their coffee parchment was previously sold to companies outside of the district."
Mr. Ile reiterated MP Aia’s comments and stated that the timely payment would help farmers meet crucial family financial obligations, including school fees, healthcare bills, and household expenses.
He noted the relief this brought to parents preparing for the upcoming academic year, easing the burden of school-related costs such as uniforms and supplies.
The purchase marks the beginning of ongoing efforts, as GDCL plans to continue buying coffee parchment from farmers in Woitape Station, Jongai, Sopu, and Tapini Station.