MANILA, Philippines - The Board of Investments (BOI) has given tax breaks to two investment projects with a combined worth of almost P1 billion.
The government gives both fiscal and non fiscal incentives to investments that fall under the Investments Priorities Plan (IPP) crafted annually by the BOI.
Filipino corporation SMC Shipping and Lighterage Corp. (SMCSLC) filed an application with the BOI for the operation of its second oil tanker.
A second hand 5,522.2 metric ton double hulled motor tank tagged as “Alios Triton” will be bought and refurbished. This vessel was built and manufactured in Greece in November 2005.
The vessel will undergo the required sea worthiness test by the Marina before being commercially used in November. SMCSLC, likewise, applied for advance authority to import the vessel.
The ship will be used in hauling and transporting petroleum products for Petron Corp. The tanker will be bought for $11.5 million or P552.3 million. The remainder of the P733.54 million investment will be used as working capital and for other operational expenses.
The BOI promotes the shipping industry since recent trends point to declining players in the business. Often regarded as capital intensive but less profitable, this industry needs much support from the government.
Meanwhile, DMC Urban Property Developers Inc. registered its third housing project dubbed as the Magallanes Residences. This involves the construction of three buildings on a 10,743 square meter land in Davao City with residential and commercial units.
Only 103 units of the 344 units will be registered with the government.
The project cost is pegged at P176.99 million. A total of 312 new employees will be hired when commercial operations start in November.