THE GOVERNMENT is in talks with three groups on the possible negotiated sale of a 103-hectare portion of the Food Terminal Inc. complex in Taguig City, said Finance Secretary Margarito B. Teves.

Teves declined to identify the three, citing nondisclosure agreements, saying only that one was a real estate group that diversified into other businesses while the two others just expanded into real estate development.

“We believe (the sale) would push through, but circumstances might change,” the finance chief said.

He added that whether the sale would be realized would be known before the end of November, although his “stress level is getting higher” in relation to being able to sell the property within the year.

In October, the Privatization and Management Office for the third time declared a failure of bidding of the FTI asset, from which the government hopes to raise some P13 billion.

Also last month, Teves said the government intends to have the FTI land sold within the year as the space to keep the budget deficit below the target limit of P250 billion gets tighter.

Yesterday, he said the target cap would be breached if the government fails to privatize the FTI land and its 40-percent stake in PNOC Exploration Corp.

Teves said the deficit may hit P300 billion unless the Supreme Court decides in favor of the government regarding the ownership of the 24-percent San Miguel Corp., privatization of which is expected to yield some P50 billion.