Palace retains perks for key industries
The Philippine government has retained the incentives granted for 13 key industries under the newly approved 2013 Investment Priorities Plan, according to a Malacañang memorandum published in newspapers Wednesday.
Memorandum Order No. 59, which approves the 2013 Investment Priorities Plan, identified the 13 “preferred activities:” agriculture/agribusiness and fishery; creative industries/knowledge-based services; shipbuilding; mass housing; iron and steel; energy; infrastructure; research and development; green projects; motor vehicles; strategic projects; hospital/medical services; and disaster prevention, and mitigation and recovery projects.
“The extent of entitlement to incentives shall be based on the project’s net value added, job generation, multiplier effort and measured capacity,” the order stated.
Nine sectors, meanwhile, are on the so-called “mandatory list,” which covers activities that require their inclusion in the IPP as provided under existing laws.
These are industrial tree plantation; exploration, mining, quarrying, and processing of minerals; publication or printing of books/textbooks; refining, storage, marketing and distribution of petroleum products; ecological solid waste management; clean water projects; rehabilitation, self development and self-reliance of persons with disability; renewable energy; and tourism.
Also identified in the order are sectors included on the ARMM list, which covered priority activities eligible for incentives as identified by the Regional Board of Investments of the ARMM in accordance to Executive Order No. 458.
These sectors are export activities; agriculture, agribusiness/aquaculture fishery; basic industries; consumer manufactures; infrastructure and services; industrial service facilities; engineering industries; logistics; BIMP-EAGA trade and investment enterprises; tourism; health and education services and facilities; halal industry.
In a text message, Trade Secretary Gregory L. Domingo said that the implementing rules and regulations for the 2013 IPP would be issued in two weeks. The memorandum itself will take effect 15 days after its publication on yesterday.
The IPP is the country’s blueprint for investment promotions to develop the countryside and generate jobs. It identifies the priority economic activities and the sectors that are eligible for incentives.
The Board of Investments spearheads the interagency effort to annually craft the IPP, which is meant to attract more investments and mobilize private capital in key areas of the economy.
Meanwhile, the BOI is already preparing the 2014 IPP. The agency is currently undertaking studies, in partnership with the private sector, to develop the country’s industry roadmaps.
The agency hopes to issue the 2014 IPP by December this year, Domingo said.
