Shoe manufacturers boosted

The local government of Marikina City is giving a tax-free incentive to those who have newly opened a shoe manufacturing business on their first year to further boost the city’s shoe industry and to encourage more shoemakers.

“On the second year, they are entitled to a 50-percent discount on tax. This is to encourage more shoe manufacturers, especially the small and medium scales who had been affected by the pandemic, to open shops again,” Marikina Mayor Marcy Teodoro said.

“If they want to open again, their classification is new. They will qualify to the 100 percent tax free incentive,” he added.

Currently, from 6,000 or 7,000, Marikina has only 3,000 registered shoemakers and manufacturers of leather goods, according to Teodoro.

“Many have actually closed,” he added.

Aside from the tax incentives, the city government has also looked for a bank which can give low interest loans to shoemakers.

“But most of those who stopped, because this is a family business, the truth is that it’s not their only source of income,” Teodoro said.

He, however, stressed that so far none from the big shoemaker and manufacturers of leather goods have closed down their shops during the pandemic.

Big shoemakers, Teodoro said, were categorized as those who had a P100-million capitalization, while medium scale were categorized as those with below P100-million capitalization.

“We are really sad about the closing down of some shoe factories because the most affected here are the workers, that’s why we support those who lost their jobs,” the mayor added.

Teodoro also said that they have perpetually waived fees for shoemakers and manufacturers of leather goods who will participate in shoe bazaars every year.