A crabmeat canning factory in Negros Occidental can now enjoy tax breaks under the new corporate tax reform law, after its application was approved by the Board of Investments (BOI).
The BOI said in a statement on Monday it has approved the registration of Carthage Crab Meat Processing (CCMP), a newly established cannery in Bacolod City, Negros Occidental.
Once fully operational, it will source 20 percent of its raw crab requirements from local fishers. It will also locally source 50 percent of its packaging materials and ice.
BOI said the project cost P9 million.
According to the agency, Western Visayas produces 42 percent of the total crab supply in the Philippines, which are then exported overseas. BOI estimates there are around 42 picking plants in the region.
It said CCMP could help at least five picking plants reopen, with each plant projected to employ 70 to 100 workers.
Ranked as the fourth major fishery export of the Philippines, blue swimming crabs (locally known as alimasag) are particularly found in “nearshore shelf areas at depths above 70 meters,” according to fishsource.org.
The Visayan Sea and Guimaras Strait are the most important crabbing areas in the country, containing about half of the country’s crab picking stations. Other fishing areas for alimasag are Masbate, Cebu, Leyte and Palawan.
The Philippines is the fourth biggest exporter (in value terms) of prepared/preserved crab next to Indonesia, China and Vietnam.
BOI said the entry of CCMP in the export market would help increase the country’s export volume by 11 percent to 3,809 metric tons from 3,416 metric tons. INQ