Investment pledges at Bataan freeport soar to over P84B
MANILA, Philippines – Investment pledges approved by the Authority of Freeport Area of Bataan (AFAB) surged 38.20 times to a record high of over P84 billion in the first 10 months of 2014, from the P2.2 billion recorded in 2013, given the increased interest in locating in this emerging fashion manufacturing hub.
The P84 billion worth of investment commitments came from 17 new business projects, which included the establishment of business process outsourcing (BPO) facility and information technology related firms; a footwear manufacturing company; a distillery business; and a bulk terminal operation, among others, AFAB explained in a statement issued Thursday.
Once fully operational, these 17 projects could generate at least 5,000 jobs. As of the end November, the Freeport Area of Bataan (FAB) had 19,379 workers, up from the 17,490 employees recorded in the same period in 2013.
According to AFAB, among the more notable companies were BPO firm Grand Innovasia Concept Corp. (GICC), Perpetual Prime Manufacturing Inc. (PPMI), and Seasia Nectar Port Services Inc. (SNPSI).
GICC, which is expected to hold a groundbreaking ceremony for the complex on December 16, is currently developing an IT Technopark for BPO online and interactive gaming activities, while PPMI will manufacture high-end shoes at the FAB.
SNPSI will engage in bulk terminal operations, specifically in the handling of containers, bulk liquid and dry cargoes, refrigerated warehousing facilities, stevedoring, lightering, towing and/or storing of cargo.
The presence of SNPSI would help in attracting more investors to locate at the FAB as costs of shipment would be reduced, AFAB added.
Meanwhile, export earnings of locators in the FAB fell by 13 percent to $348.98 million as of November 27, from the $402 million recorded in the same period in 2013, due to the congestion at the Port of Manila.
As of end June this year, there were 98 registered and approved locators in the FAB as of June this year. The parent firms of these locators came from Korea, Taiwan China, United States, Japan, United Kingdom, Bahrain, France and Germany.
The FAB is touted as the emerging fashion manufacturing hub of the Philippines as it has a budding cluster of companies producing high-end brands of garments, apparel, shoes and accessories, like bags, jewelry, among others. Its vision is to be the freeport of choice in the country by 2020, becoming a center of trade, innovation and sustainable development in Asia.
