Cambodia intercepts $30-M Taiwan projects
The Philippines lost to Cambodia $30 million in business projects from Taiwan which already had definite plans to locate at the Subic Bay Freeport & Special Economic Zone (SBFSEZ) but reconsidered after Cambodia came up with more attractive incentives.
Among the projects that moved to Cambodia were a bicycle manufacturng firm and a footwear maker.
Manila Economic and Cultural Office (Meco) deputy resident representative to Taiwan Romulo Manlapig said in an interview over the weekend the main reason for the Taiwanese firms to choose Cambodia was the countries lack of competitive incentives.
When these companies proposed to locate in Subic through its proposed clustering program under the planned “super economic corridor” among Subic, Clark and Kaohsiung in Taiwan, Cambodia offered a more attractive set of incentives which the Philippines do not have, Manlapig said.
“We need to enhance our competitiveness, we are not as competitive as our neighboring countries in the region,” he added.
The Taiwanese companies were among a group of firms that earlier committed to invest in the either in Subic or Clark under the economic corridor scheme.
The country is shifting from attracting major companies to small and medium enterprises (SMEs) operating in Taiwan to spur additional employment and at the same time, attract high technology products.
The government announced last January that a new wave of Taiwanese investors who are small and medium enterprise owners are considering to put up major facilities for the manufacture of bicycle for exports inside the Freeport area.
Manlapig even made a confirmation that about $30 million in fresh investments from at least 10 Taiwanese bicycle makers were locating in Subic.
Manlapig said the Taiwanese companies are the focus of government for locators in the country’s economic zones because of their big labor requirements. “The metal working industry has a very strong support industry that is why we are very keen to get them in.”
“Hopefully, when the whole cluster is here already, it would be using 100 percent local content unlike in the automotive assembly where some parts are still being imported,” he added.
Manlapig even expressed confidence then that the Philippines is offering the Taiwanese a “good deal. We have a competitive locator environment for them.”
Another factor which the government hoped would bring in more Taiwanese investors is a newly-signed agreement between the Philippines and Taiwan linking Subic Bay, Clark and Kaohsiung under a so-called “Super Economic Corridor.”
He added components of the proposed project have already been developed in the last four to five months of negotiations. “The corridor’s arrangement is propelling the movement of certain industrial clusters into Subic and Clark,” he said.
“Within the next two quarters, we will witness accelerated movement of investments into the country from Taiwan and vice versa,” he said.
A top Subic Bay official also confirmed earlier that the Taiwanese bicycle makers want to locate in a 20-hectare property where parts to be manufactured include Shimano transmission for whole bicycle production.
By Ayen Infante - Daily Tribune
Among the projects that moved to Cambodia were a bicycle manufacturng firm and a footwear maker.
Manila Economic and Cultural Office (Meco) deputy resident representative to Taiwan Romulo Manlapig said in an interview over the weekend the main reason for the Taiwanese firms to choose Cambodia was the countries lack of competitive incentives.
When these companies proposed to locate in Subic through its proposed clustering program under the planned “super economic corridor” among Subic, Clark and Kaohsiung in Taiwan, Cambodia offered a more attractive set of incentives which the Philippines do not have, Manlapig said.
“We need to enhance our competitiveness, we are not as competitive as our neighboring countries in the region,” he added.
The Taiwanese companies were among a group of firms that earlier committed to invest in the either in Subic or Clark under the economic corridor scheme.
The country is shifting from attracting major companies to small and medium enterprises (SMEs) operating in Taiwan to spur additional employment and at the same time, attract high technology products.
The government announced last January that a new wave of Taiwanese investors who are small and medium enterprise owners are considering to put up major facilities for the manufacture of bicycle for exports inside the Freeport area.
Manlapig even made a confirmation that about $30 million in fresh investments from at least 10 Taiwanese bicycle makers were locating in Subic.
Manlapig said the Taiwanese companies are the focus of government for locators in the country’s economic zones because of their big labor requirements. “The metal working industry has a very strong support industry that is why we are very keen to get them in.”
“Hopefully, when the whole cluster is here already, it would be using 100 percent local content unlike in the automotive assembly where some parts are still being imported,” he added.
Manlapig even expressed confidence then that the Philippines is offering the Taiwanese a “good deal. We have a competitive locator environment for them.”
Another factor which the government hoped would bring in more Taiwanese investors is a newly-signed agreement between the Philippines and Taiwan linking Subic Bay, Clark and Kaohsiung under a so-called “Super Economic Corridor.”
He added components of the proposed project have already been developed in the last four to five months of negotiations. “The corridor’s arrangement is propelling the movement of certain industrial clusters into Subic and Clark,” he said.
“Within the next two quarters, we will witness accelerated movement of investments into the country from Taiwan and vice versa,” he said.
A top Subic Bay official also confirmed earlier that the Taiwanese bicycle makers want to locate in a 20-hectare property where parts to be manufactured include Shimano transmission for whole bicycle production.
By Ayen Infante - Daily Tribune
posted by OlongapoCity Zambales at
7:27 AM
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