BOI to manufacturing firms: Do business in Central Visayas

CEBU CITY – The Board of Investments (BOI) in Central Visayas is urging more manufacturing firms to do business in the region in a bid to generate long-term employment opportunities and further spur economic growth.

The regional BOI said that of the 58 registered projects in the last two and a half years, only five were involved in manufacturing.

Mass housing, on the other hand, dominated the list with at least 33 projects, followed by renewable energy with 10.

In the same period, the manufacturing sector only offered 171 job vacancies.

Mass housing and renewable energy projects, menatime, generated 5,015 and 713 job openings, respectively.

“Mass housing projects may offer more job opportunities but it is only temporary, unlike manufacturing, as long as the business is there and running, then its employees will stay,” said BOI Senior Investment Specialist Philip Torres in an exclusive interview.

In an earlier statement, National Economic and Development Authority (NEDA) – Central Visayas Director Efren Carreon said that the region aims to reach a gross regional domestic (GRDP) product growth rate of 8.38.8 percent, reduce poverty incidence among families to 17.6 percent, and cut the unemployment rate to 3-4 percent, in the next six years.

In the last regional plan period of 2011 to 2016, the region had the highest growth momentum among all regions in the country with an average GRDP growth rate of 7.5 percent.

Torres told the Manila Bulletin that a project will enjoy fiscal and non-fiscal incentives if it is given the green light to operate and is in the list of investment priority areas.

Fiscal incentives include income tax holiday of from 4 to 6 years (depending on the type of project); exemption from taxes and duties on imported spare parts; exemption from wharfage dues and export tax, duty, impost and fees.

Non-fiscal incentives, on the other hand, include employment of foreign nationals, simplification of Customs procedures, and importation of consigned equipment.

The BOI is an attached agency of the Department of Trade and Industry responsible for the promotion of investments in the country.