The Board of Investments (BoI) has granted incentives to the P63.3-million post-harvest facility project of Davao Maramag Agri-Venture, Inc. (Dmavi) in Bukidnon to help boost agricultural productivity.
The company, which will enjoy incentives such as a tax holiday, is expected to employ 46 workers and will start its operations in March 2013.
The post-harvest facility will have an annual capacity of 24,000 metric tons. The facility’s output will be dried corn grains, which serve as raw materials in manufacturing feeds for livestock and poultry.
Dmavi has entered into a 10-year agreement with San Miguel Corp. to further build up its capacity.
There are 54 post-harvest facilities in the Philippines, yet these account for only 5 percent of the capacity needed by the sector, according to the Philippine Maize Federation (PhilMaize).
“Together with the Department of Agriculture (DA) we see the extreme need for this kind of investment in the country,” PhilMaize president Roger Navarro said in a letter to the BoI, noting that another facility owned by the Mindanao Grains Processing Co. Inc. is also seeking BoI registration.
Bukidnon is among the top corn-producing provinces in the country.
The BoI said the project will also benefit allied industries specifically those engaged in logistics, corn supply, plastics, sacks and containers and capital equipment.
The BoI has included agriculture and agribusiness as among the preferred activities under the BoI’s Investments Priorities Plan 2012, or IPP. The IPP outlines investment activities considered to be enablers or triggers for job creation and value-added activities to the economy.