Manufacturing investments in Davao pushed
Subscribe Now October 07, 2015 at 01:08pm
Ivan C. Cortez, DCIPC officer-in-charge, told reporters Tuesday at the sidelines of the BIMP-Eaga Trade and Tourism Investment Forum at the Marco Polo Hotel-Davao that sustainable economic growth can be also achieved in manufacturing industry.
"The battle cry of DCIPC is to promote into the manufacturing sector kasi if you look at the bulk of our investment only about 5 percent is in manufacturing, masyadong maliit, if we want a sustain type of economic development it has to be in manufacturing," he said.
"If you will be a manufacturing belt in Mindanao lahat ng raw materials papasok dito for value adding, and if you are value-adding growth will be sustained," Cortez added.
Cortez said that since Davao has a lot of players in the Information and Communications Technology (ICT) industry, the center feared that ICT will come to a saturation point in five to 10 years from now where small players will not be able to sustain in the industry.
"ICT will have a saturation point for not too long time, maybe in five to ten years’ time. Saturation point, kasi everybody is into building a lot of professionals and they are looking for clients for that. And it is expected na the small players magsisialisan yan and ang maretain are only the players who have already established relationships with big companies and clients," Cortez said.
DCIPC is eyeing locations for investments in the manufacturing sector.
"We are already a target for manufacturing investments, the challenge is how to facilitate the entry of this particular investments, may misconception pa kasi sa Mindanao," he added.
Of the 34,000 issued business permits in Davao City, only 2,000 are into manufacturing mostly light to medium manufacturing firms.
The manufacturing industry contributed a total of P 174.3 million, around 12 percent of the total new investment for the first semester at P1.4 billion of new investments poured in Davao region during the first semester of 2015 based on Davao Region Economic Performance and Update for first the semester of 2015 prepared by the Board of Investments-Davao Extension Office.
Under the manufacturing industry, the Starbridge Global Corp. poured some P169.2 million, while the Consolidated Plywood Industries Inc. contributed P5 million.
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