SBMA SEES REVENUE FROM SUBIC ICT SECTOR UP 15%

July 28, 2017

SUBIC BAY FREEPORT—The Subic Bay Metropolitan Authority is projecting a 15-percent increase in revenue from the Information and Communication Technology (ICT) sector this year after posting an average monthly income of P6 million from it over the past five months.

SBMA Administrator and CEO Wilma T. Eisma said the agency’s Business and Investment Department for ICT made the forecast after a consistent growth that has eclipsed 2017 revenue targets.

She said that with the average monthly collection of P6 million, the agency’s BID-ICT is expecting to generate around P76.4 million at the end of the year.

“This figure would be higher by 15.64 percent than the revenue we posted for ICT in 2016,” Eisma said.

The BID-ICT, which handles locators engaged in business process outsourcing (BPO), business process management (BPM), and other related industries, has collected a total of P68,314,258 in revenue for 2016, said Cleofe Espineli, who heads the department.

At last count, there are 95 locators engaged in ICT inside the Subic Freeport, said Espineli. These are infusing more than P32.17 billion worth of investments and employing nearly 2,000 Filipinos.

Espineli added that as of May this year, BID-ICT has already recorded a total revenue of P29,902,215, which is 35.15 percent higher than its 2017 revenue target.

She also said that BID-ICT is currently processing the expansions of some existing locators that will result in additional committed investments of P273 million and additional 608 personnel.

When completed, the expansion projects will generate additional revenue of P15.1 million for the SBMA.

“With my team’s commitment, determination and malasakit (compassion) for SBMA, we will deliver the best that we can. We wanted to be part of the SBMA team that keeps winning,” Espineli said.

Earlier, Eisma reported that in terms of over-all financial performance, SBMA posted P1.25 billion in revenue for January to May of 2017, which is 7.7 percent higher than the P1.16 billion in the same period last year.

“But the most interesting fact here is that the SBMA has already posted a net income P240.21 million from January to May this year, or 126 percent higher than the P106 million that was posted last year in the same period,” Eisma noted.

“Even if there are clouds over our heads that trouble our beloved agency, let us continue to perform with excellence and malasakit so that we will continue to contribute bigger shares to the government than ever before,” Eisma also said.

(c) Butch Gunio

Advertisements

SBMA CHAIR CITES ‘MAJOR GAINS’

 

Philippine Daily Inquirer / 07:32 AM July 14, 2017

The Subic Bay Metropolitan Authority (SBMA) bagged its single biggest foreign direct investment in recent years, scored a record six new revenue increases this year, and doubled its fuel-storage capacity in 24 years, its chair, Martin Diño, announced on Monday.

Diño, in a press statement, bared these “major gains” by SBMA in the first quarter of 2017 to debunk reports of inefficiency amid a leadership row with other SBMA officials who, he said, opposed his ‘‘uncompromising crusade against corruption, smuggling and abuses of some Freeport officials victimizing business locators.’’

He said his exposés of a spate of smuggling, like the sewing machine declared as scrap materials and petroleum products,  and the botched importation of white sugar and substandard steel bars might have enraged those behind the racket, including officials with pending court cases.

Diño had been involved in a leadership row with SBMA administrator Wilma Eisma who accused him of exercising powers beyond his authority as chair. The law that created the SBMA vests the powers of the chair and administrator in just one person, but an administrative order by the then President Gloria Macapagal-Arroyo separated the two positions, resulting in a conflict between the two officials, both of whom were appointed by President Duterte.

Diño explained that he was only doing his job based on the marching orders of Mr. Duterte to clean Subic of corruption and bring back the Freeport to its former glory as a leading transshipment and logistics hub in Asia.

Under his term as chair, Diño said the SBMA approved the proposal of the Singapore-based Dynamic Konstruct International Eco Builders Corp. to build a $797 million new industrial estate at Redondo Peninsula where the Hanjin shipbuilding firm is located.

He also cited a 7.59 percent increase in revenue from P676.3 million in first quarter of 2016 to P727.6 million for the same period this year;  a 148-percent increase in net income from P18.8 million in Q1 2016 to P46.7 million in Q1 2017; a 24.84 percent increase in cash and investments; and more than P40 billion in new investments.

Diño said the Philippine Coastal Storage and Pipeline Corp., operator of petroleum-storage facilities in SBMA and the Subic-Clark fuel pipeline, opened only recently its three 180,000-barrel storage tanks and two tank-truck loading racks that increased its fuel storage capacity to 5.2 million barrels.
Read more: http://newsinfo.inquirer.net/913831/sbma-chair-cites-major-gains#ixzz4mlHnkjHb

MANILA TRAFFIC HELPS BOOST SBMA INCOME

July 13, 2017

CLARK FREEPORT—The horrendous traffic in Metro Manila is actually helping boost the revenues of the Subic Bay Metropolitan Authority (SBMA) in Zambales.

“We are up P614 million. Our biggest income is the port operations and we are being helped immensely by the traffic in Manila,” said SBMA Administrator Wilma Eisma during the Balitaan media forum organized by the Capampangan in Media Inc., in cooperation with the Clark Development Corp., last week.

Eisma said SBMA doesn’t have any form of government subsidy and the income is derived from the authority’s operations alone.

“Businessmen are losing money because of the traffic in Manila and Subic is not only cheaper in terms of operations,  but just the ease in doing business and doing things right are big factors,” she added.

Eisma also said SBMA has approved and signed some very exciting prospects, including the development of a new industrial park and a solar farm at the Redondo Peninsula, an area which was used by the US military as bombing target practice.

However, the fate of Dynamic Konstruct International Eco Builders Corp. (DKIEBC), which has signed an agreement with SBMA in the development of the industrial park and a solar farm in the peninsula, will be known after the board meeting on July 13.

Eisma said DKIEBC was not able to come up with a deposit of P500 million, after the deadline expired on July 12.

She said the money is meant “just to make sure that they can do the job and they have the money to do it”.

“I’m prepared to rescind the contract if they don’t meet the deadline,” she added. “But I cannot pre-empt the July 13 board decision.”

Eisma described the project as very ambitious that is why they have to be cautious.

“It’s more like an industrial city with a solar farm, which is self-sufficient in electricity and even in water they are looking in desalination, including creating their own energy in waste to energy projects,” she said.

Eisma added the project started with the time of chairman Roberto Garcia and “it carried over to our time”.

She said she was the last holdover in the voting because “I wanted to make sure that they have the money to support it because it’s really a grand project.”

Eisma said just like in Clark, “We don’t have property to lease out in Subic. We have in theory 64,000 hectares, but only 14,000 are actually usable and now we are going to the new frontier like the Redondo Peninsula.”

Eisma, a lawyer by profession, said they are now in talks with local government units (LGUs) to consider going out because under the law, “We can come out with business incentives outside the fenced area.”

Some of the business incentives include the 5-percent income tax, visa-free assistance and tax-free importations, unlike regular investors which pay the regular tax rate.

But it has to be very carefully implemented and strictly monitored, she added.

Eisma said they already met with the mayors of Hermosa, Morong, Subic, Castillejos, San Antonio and San Marcelino to come up and identify contiguous areas of up to 400 hectares in their respective areas which can be leased to investors.

Meanwhile, Eisma said recently she had been chosen by the Board of Investments  to help sell the Central Luzon growth corridor. That is why she joined the business investments mission in Taiwan and, in two weeks, she will join another mission to South Korea.

(c) Ashley Manabat

CLUZON TOUTED AS IDEAL SITE FOR TAIWAN’S TRADE

July 12, 2017

SUBIC BAY FREEPORT: The Philippines is now pushing to establish Central Luzon as the ideal destination for Taiwanese investments under Taiwan’s New Southbound Policy that seeks enhanced economic collaboration with countries in Southeast Asia, South Asia and Australasia.

Speaking as a member of the Philippine delegation in the recent Philippine Investment Promotion Plan (PIPP) Investment Roadshow to Taiwan, Subic Bay Metropolitan Authority (SBMA) administrator and chief executive officer Wilma Eisma urged business groups in Taipei and Taichung City to take a closer look at the Central Luzon Manufacturing and Logistics Zone (CMLZ) as prime investment destination.

“We know that you are already very familiar with the (special economic) zones in the Philippines, but please allow me to re-introduce to you a prime business location, a manufacturing and logistics hub north of Manila, Philippines,” Eisma said.

She said the CMLZ – composed of Clark Freeport, Subic Bay Freeport, and the Freeport Area of Bataan on more than 90,000 hectares area – has several advantages that make it a haven for businesses and managed by devoted agencies that have come together as one unit.

“Together we have worked closely to maximize our potential as one manufacturing and logistics zone. By joining forces, we now offer you many advantages,” Eisma added.

The first advantage of locating in CMLZ, she told Taiwanese businessmen, is its strategic location being “a critical entry point to the ASEAN region populated by some 650 million people, as well as a natural gateway to East Asian economies such as China, Japan, Hong Kong, Singapore, Taiwan and South Korea.”

Moreover, the CMLZ is at the crossroads of international shipping and air lanes, and accessible to the ASEAN region within three to four hours by plane via the Clark International Airport and four days by ship to and from the Port of Subic.

Eisma also pointed out that Clark hosts eight passenger airlines for international and domestic flights, as well as four cargo operators like Federal Express and UPS, while Subic has 10 shipping lines that call at various seaports.

Eisma likewise cited the 93.77-kilometer Subic-Clark-Tarlac Expressway as another major infrastructure that connects the Clark airport and the Subic seaport, thus enabling a faster and more efficient logistics and supply chain system for business locators and tourists.

The combination of these infrastructures and other facilities, Eisma pointed out, “presents a workable business platform for foreign businesses engaged in the manufacturing, as well as industrial estate development, shipbuilding, aviation and aerospace, and business process outsourcing.”

She added that the three free port zones in the CMLZ are perfect for targeted key industries like electronics, automotive parts and aerospace products for Clark; shipbuilding and maritime industries, including cruise ships for Subic; and high-end garments manufacturing for Bataan.

The Taiwan investment road show was organized by the PIPP, an aggrupation of 19 investment agencies that seek to create quality jobs by attracting high-impact, innovative, and inclusive investments.

(c) PATRICK ROXAS

TAIWAN SETS EYES ON CENTRAL LUZON AS TARGET FOR ‘SOUTHBOUND’ INVESTMENT

July 12, 2017

SUBIC BAY FREEPORT—Central Luzon is now being eyed as an ideal destination for Taiwanese investments under Taiwan’s New Southbound Policy, which  seeks enhanced economic cooperation with the Asean, as well as countries in South Asia and Australasia.

Speaking in the recent Philippine Investment Promotion Plan  Investment Roadshow to Taiwan, Subic Bay Metropolitan Authority Administrator Wilma Eisma urged Taiwanese businessmen in Taipei and Taichung City to consider the so-called Central Luzon Manufacturing and Logistics Zone (CMLZ) as a prime investment destination.

Eisma said the CMLZ—composed of Clark Freeport, Subic Bay Freeport, and the Freeport Area of Bataan—has ample space for manufacturing with its land area of more than 90,000 hectares, superb perks for businesses and management by agencies that have come together as one unit.

“Together, we have worked closely to maximize our potential as one manufacturing and logistics zone.  By joining forces, we now offer you many advantages,” she told businessmen.

Eisma said the foremost advantage of locating in CMLZ is its strategic location, as the area “is a critical entry point to the Asean region populated by 650 million people, as well as a natural gateway to East Asian economies, such as China, Japan, Hong Kong, Singapore, Taiwan and South Korea”.

She added the CMLZ is at the crossroads of international shipping and air lanes, and accessible to the Asean region within three to four hours by plane via the Clark International Airport, and four days by ship to and from the Port of Subic.

Another advantage, Eisma said, lies in the developed infrastructure support at CMLZ, like the eight passenger airlines with international and domestic flights, as well as four cargo operators in Clark and the 10 shipping lines that call at Subic’s various seaports.

Eisma also cited the 93.77-kilometer Subic-Clark-Tarlac Expressway, which connects Clark and Subic, thus enabling a faster and more efficient logistics and supply-chain system for business locators and tourists.

“These developed infrastructures enhance our strategic location and internal supply-chain systems,” she said, adding the combination of these infrastructures “presents a workable business platform for foreign businesses engaged in the manufacturing, as well as industrial estate development, shipbuilding, aviation and aerospace and business-process outsourcing.”

http://www.businessmirror.com.ph/taiwan-sets-eyes-on-central-luzon-as-target-for-southbound-investment/

(c) Henry Empeño