A FREEPORT RISING ABOVE THE TIDES
Central Luzon has been the epicenter of developments over the last decade. Aside from standing right next to the dynamic Metro Manila, in its own right, it boasts opulent nature spots, historical and cultural sites, while enjoying a robust economy.
As one of the counter-magnets to the overpouring activities in the Metro, the vibrancy of the region is complemented by the golden age of infrastructure and its active ports.
Outside Metro Manila is the Freeport Area of Bataan (FAB) located in Mariveles, Bataan. Due to its proximity to the country’s regional center and as the only Freeport in Manila Bay, it has become a prime transit point for domestic, regional and global shipping.
Bataan Economic Zone, which was the first economic zone in the Philippines, was officially converted into FAB in October 2009 during former president Gloria Arroyo’s administration under Republic Act (RA) No. 9728 or the Freeport Area of Bataan (FAB) Act of 2009.
The law mandates the Authority of the Freeport Area of Bataan (AFAB) “to actively encourage, promote, induce and accelerate a sound and balanced industrial, economic and social development of the country to provide jobs to the people, especially those in the rural areas, increase productivity and individual and family income, and thereby improve the level and quality of living conditions through the establishment, among others, of special economic zones in suitable and strategic locations in the country and through measures that will attract legitimate and productive foreign investments.”
Since its inception, it has been standing as an imperative connection between sea and land transport, as well as a provider of livelihood to thousands of people, especially when it began its operations in 2010.
INCREASING PRODUCTIVITY, GENERATING LIVELIHOOD
Back in 2010, the AFAB had only 39 enterprises operating under its wings. The group strategically worked to invite in new investors and convince the existing ones to stay and expand.
The AFAB’s hard work paid off with 143 enterprises registered today — 266-percent increase since it started a decade ago. It has come a long way from the $213 million worth of exports in 2010 to the $700 million worth of exports in 2018 — a record in the history of the FAB.
In 2019, it landed over P29 billion investments from 18 new investors from different industries, including information and communications technology (ICT), business process outsourcing (BPO), real estate, manufacturing, transportation, storage, wholesale and trade, and utilities.
With this, the AFAB penciled in a 326-percent increase in investment, which is higher than the P7-billion investment recorded in 2018. It also marked a 119-percent investment increase compared to the P13-billion three-year average from 2016 to 2018.
Also, AFAB’s Port Services Division (PSD) has recorded a total of 268 vessel calls since its creation in 2015, showing further increase in port activities through the years.
With the surge of pledged investments and new industries, the first year of operations is bound to increase employment and create more than 6,000 new jobs, including construction personnel.
On top of this, the AFAB broke another ceiling as it recorded a total of 45,020 direct FAB workers in October 2019. Of the said number, 33,198 workers reside in Mariveles while the remaining are from other towns within Bataan or neighboring areas.
“Each one is a crucial part of the FAB’s success. I have no doubt in my heart that the success that the FAB has attained, and will continue to attain in the years to come, is due largely to our ever-hardworking FAB workers,” AFAB chairman and administrator Emmanuel Pineda said during his second State of the Freeport Address last Oct. 10, 2019.
For years now, FAB has played a key role in the upbeat economic activity, not only in the entire country, particularly in coastal areas and places outside the Metro.
Together, FAB and Mariveles have become a growth hub, following the mandate of RA 9728. Its achievements allowed the once underdeveloped Mariveles to rise above the tides and thrive, bringing along other areas near the municipality and the province.
ON TO THE NEXT DECADE
FAB capped the decade as the fastestgrowing freeport in the Philippines and is more optimistic about what’s ahead.
As a consistent growing freeport, AFAB proudly shared that it is behind the 400-percent increase in Mariveles business tax collections, a 400-percent increase in BIR tax collections. It is also one of the forces helping Bataan to have the lowest poverty incidence in the country.
To further strengthen the power and functions of AFAB, President Rodrigo Duterte signed into law RA 11453 last Aug. 30, 2019. The law will allow AFAB to be more responsive to the growing demands of the international business market. One of the salient features of the said law is that it allows AFAB to have expasion areas all over the province of Bataan, giving the option for both local government unit involved and the interested clients to partner with AFAB.
With this in place, AFAB, the proponents of the law, as well as the people of Bataan, are hopeful for higher migration of businesses and skilled workers into the province. This will enhance the positioning and competitiveness of the port, enabling its greater contributions to national development.