Bataan Freeport secures P1.5B in investments
The Authority of Freeport Area of Bataan (AFAB) has secured more than P1.5 billion in investments since its establishment two years ago, with an oil firm and a business process outsourcing company also eyeing the economic zone as their new home.
AFAB data showed that the biggest investment—$30 million, or more than P1.2 billion—came from garments manufacturer Luen Thai International Group, which was expected to generate more than 6,000 new jobs once operational.
Luen Thai will be opening a cotton fabric mill, water treatment facility, cotton knit facility and wash facility in the area by early next year. The plant will serve as one of the conglomerate’s production bases, to help supply the requirements of such global brands as Carhartt, Dillard’s, Levi’s and Polo Ralph Lauren.
Another big investor in the ecozone is Interline Realty and Development Corp. (IRD), which has committed to invest P160 million to establish a ferry port, gas station, commercial building, hotel and souvenir shops within AFAB.
Once operational, IRD’s facilities will employ about 75 people.
Also expected to set up shop in the free port is Kampac Oil Middle East, which recently inked a memorandum of agreement with AFAB for the establishment of an oil storage facility in the area.
The company, which is involved in oil exploration and trading, is looking for a 100-hectare property within the ecozone to house its planned oil depot.
An Indian BPO firm has also expressed interest to put up a facility within AFAB, which should generate hundreds of new jobs.
AFAB chairman and administrator Deogracias Custodio said the number of locators in the area had increased by 40 percent over the past year.
Over the past year, 16 companies had either already started operating or were planning to set up facilities within the 1,742-hectare AFAB. These companies engaged in manufacturing, trading, logistics, wholesale and retail, services and tourism.
New investors in AFAB are One Source Petroleum Marketing Co., Lewisberg Warehousing and Logistics, North Binghamton Solutions Corp., Off-Road Adventure and Classic Automotive Restorers Inc., Good Sail Trading Inc., Greenville River Manufacturing Corp., Half-Moon Bay Duty Free Inc., Twenty Oaks Marketplace Corp., Executive Heights Bed and Breakfast, Clarkes Point Industrial Corp., Trans-Am Waste and Rags Philippines Inc., South Charnwoods Industrial Corp. and Kinetix Industries Corp.
AFAB now hosts more than 50 locators from different countries.
Locators are entitled to a four-year income tax holiday that can be extended to eight years; duty-free importation of capital equipment, spare parts, other supplies, and raw materials; exemptions from wharfage dues, export taxes, imposts and fees; and domestic sales allowance of up to 30 percent of total sales.
AFAB also provides permanent resident status to immediate family members of foreign investors and is also the only investment promotion agency that sells real estate to investors.
