BOI approves 3 manufacturing projects worth P6.95 billion

THE Philippine Board of Investments (BOI) recently approved three expansion projects in the manufacturing sector with a combined investment amount of P6.95 billion.

The BOI approved Metalcast Corp.’s P100-million project as an expanding producer of aluminum die-cast parts for motorcycle and automotive parts along with the P2.86-billion project of Philippine Resin Industries Inc. for the manufacture of suspension-type polyvinyl chloride resins and the P3.99-billion project of San Miguel Yamamura Asia Corp. as an expanding producer of glass containers.

“Investor confidence is real. The Philippines continues to be a magnet for investments, and this is due to the country’s improving business environment, sound macroeconomic policy, political stability, favorable demographics and, of course, our people, who have always been the country’s prime asset in attracting foreign investments,” Trade Secretary and BOI Chairman Ramon M. Lopez said.

“The influx of these expansion projects is expected to sustain the growth momentum of manufacturing from last year as the sector posted robust growth in terms of investments to meet not only the strong domestic demand but also to fuel the export growth of the sector,” Trade Undersecretary and BOI Managing Head Ceferino S. Rodolfo said.

Rodolfo noted these projects capitalized on the momentum of the surge of manufacturing investments recorded by the BOI in 2017 to P96 billion, up 95 percent, from P49.3 billion in 2016.

Lopez earlier announced investments in manufacturing surged by 244 percent, posting a record of $1.15-billion inflows. The figures accounted for 35 percent of the $3.3-billion equity capital placements in 2017.

Lopez made the statement following the Bangko Sentral ng Pilipinas’s (BSP) report that the 2017 net foreign direct investments (FDI) hit an all-time high $10.1 billion, surpassing expectations to expand by 21 percent, over the $8.3 billion recorded in 2016.

The BSP report said over 21 industries received FDI inflows. One-third of the total equity placements were attracted to the manufacturing industry, while the other industries that received bulk of total inflows included gas, steam and air-conditioning supply; real estate; construction; and wholesale and retail trade activities.

“The manufacturing industry has been delivering on its promise to be a pillar of economic growth in the country. Since 2012 the Department of Trade and Industry has intensified its campaign and link in efforts of both government and private sectors to revitalize the manufacturing industry,” he said. “The sector remains a highly viable investment area and a source of meaningful and well-paying jobs for the people.”

Source: https://businessmirror.com.ph/boi-approves-3-manufacturing-projects-worth-p6-95-billion/