Italian group eyes $100-M food processing venture in Ilocos Sur
VIGAN CITY— A group of Italian businessmen has expressed interest in putting up a food processing venture in Ilocos Sur earmarking $100 million as initial investment capital for the project.
Former Ilocos Sur Governor Luis “Chavit” Singson announced this development to newsmen recently.
He said that the group went to Ilocos Sur during his birthday on June 21, accompanied by Italian Ambassador Ruben Fedele.
Singson disclosed that the foreign investors will go into the production of mozzarella cheese as the group’s principal product. They will also produce tomato paste and salami.
He did not identify the business group except to say that it operates the “biggest mozzarella cheese factory in
The former governor said the venture will benefit Ilocos farmers who will be tapped as suppliers of raw materials like carabao milk and tomatoes that the Italians will need in their venture.
During their visit, the group led by Fedele inspected the provincial government-owned Ilocos Sur Tomato Paste Plant (ISTP) and PGMA-Multiline Food Processing Plant (PMFPP), both located in Santa town.
It was learned that the Italian group will be utilizing chiefly the tomato paste plant for its cheese and tomato paste production activities.
Ilocos Sur Governor Deogracias Victor Savellano disclosed that the group is composed of private businessmen who hail from
He said they are expected to tender a formal copy of their proposal to serve as basis for the provincial government to work on prior to formalizing a lease agreement with them.
Savellano gave his approval to the venture citing beneficial effects to the province. “It will trigger jobs for our people and generate income oppurtunities for our farmers,” he told The Star.
The governor said that the cheese and other food products that the group will develop here will be shipped to
Savellano welcomed the opportunity of hosting the production of popular Italian food products in the
“As the host for the production of popular Italian food products, Ilocos Sur could gain a notch in the tourism business as people would want to know more of or find out how Ilocos Sur looks like,”he said.
Singson said that the Italians will be bringing in modern equipment to augment existing facilities in the two Ilocos Sur plants. “They will pay in cash outright upon delivery,” Singson said when asked how they will pay the farmers for their produce.
It was learned that the farmers will be contracted to raise and tend carabaos that will be utilized for milk production to sustain the requirements of the cheese processing venture.
For this purpose, Singson said that a wide tract of land situated near the two plants (ISTP and PMFPP) has been designated to serve as a ranch for carabao-raising.
The Italians will be responsible for the supply of animals to be raised in the ranch.
In the meantime, however, Singson said that they will bring in shipments of milk powder for the mozzarella cheese production as he disclosed that the venture will start soon.
The perspective investors are now in the midst of procuring from abroad various high-tech equipment that their food processing operations would need.
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