Logistics firm seeks BOI perks

MANILA, Philippines - A firm engaged in providing cold storage services has filed an application with the Board of Investments (BOI) to qualify for tax perks for its facility in Cebu.

“Notice is hereby given that Cebu Subzero Logistics, Inc. is applying for registration with the BOI as new operator of cold storage facilities on a non-pioneer status with project site located at Dr. F.E Zuellig Ave., Subangdaku, Mandaue City, Cebu,” the BOI said in a published notice.

Securing BOI registration would allow the firm to enjoy incentives such as income tax holidays for four years for its project.

The firm would also qualify for duty-free importation of equipment and other non-fiscal perks.

Incentives are being offered by the government to firms that invest in preferred activities identified in the 2012 Investment Priorities Plan (IPP).

The 2012 IPP has listed agriculture or agribusiness as a preferred activity.

Agriculture activities cover commercial production and processing of agricultural and fishery products as well as related activities like irrigation, post-harvest, cold storage, blast freezing, and fertilizer production.

Cebu Subzero’s new facility could accommodate frozen food products such as assorted meats, seafood, poultry and other dairy products.

The firm is the first foray of Cebu-based King’s Group of Companies into the cold storage, logistics and warehousing business.

The firm was formed amid increasing need for cold storage of the King’s Group’s meat processing and manufacturing operations.