Del Monte to invest $60 M on ARMM banana venture

MANILA, Philippines - Del Monte Fresh Produce (Philippines), Inc. is investing $60 million for a banana plantation in the Autonomous Region in Muslim Mindanao (ARMM).

A document from the Regional Board of Investments (RBOI)-ARMM showed that Del Monte plan an initial investment of P569 million to start its operations in the Municipality of Datu Abdullah Sangki in Maguindanao.

“The company is set to develop 3,000 hectares of banana plantations in the region worth $60 million of investments which is expected to generate 4,500 direct employments in ARMM,” the document read.

The document also cited that the company, through its subsidiary DELINANAS Development Corp., has filed an application for incentives with the RBOI-ARMM.

The firm’s application for incentives is under evaluation.

Del Monte Fresh Produce (Philippines) is a unit of Fresh Del Monte Produce Inc. which is engaged in the production, marketing and distribution of fresh-cut and prepared fruits and vegetables under the Del Monte brand in the world.

Fresh Del Monte Produce’s products are grown primarily in the Philippines, Central and South America and Africa.

Apart from Del Monte, RBOI-ARMM said other companies such as Tagum Development Corp. and Sumitomo Fruits are also looking to undertake investment projects on banana, solo papaya and pineapple in Maguindanao.

The RBOI-ARMM said a possible business partnership on rubber production and processing between the National Development Company and industry players in Lamitan City in Basilan is also being eyed.

Raul Angeles, BOI executive director for the Investments Servicing Group said last week they are organizing a business forum to be held in September or October to promote ARMM as an investment destination.

Angeles said the ARMM regional government sought the BOI central office’s assistance to encourage investors to do business in the region.

At present, 19 firms are registered with the RBOI-ARMM.

As of June 2012, the value of exports monitored and supervised by the RBOI-ARMM amounted to P329 million, while domestic sales reached P167 million.

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