2 garment firms get BOI perks

MANILA, Philippines - Two firms engaged in the export of children’s garments have secured tax perks from the government for its projects.

“The Board of Investments (BOI) approved the P13.64 million projects of H&S Inc., and I2 Industries Manufacturing Inc.,” the agency said in a statement yesterday.

The BOI said H&S, which is engaged in the export of children’s dresses, has invested P9.64 million to expand its facility in Binangonan in Rizal.

The expansion is expected to lead to the production of an additional 150,000 dozens of dresses per year to accommodate increasing demand.

The firm currently produces 31,200 dozens per year.

All of its products will be shipped to the US but the firm also has plans of exporting garments to South American countries in the future.

Commercial operations of the expanded facility began in June and 200 jobs are expected to be created.

Apart from H&S, the BOI has also approved the registration of I2’s P4 million garment facility in San Ildefonso in Bulacan.

I2, a new export producer of children’s dresses as well as polo shirts and shorts, intends to manufacture 25,000 dozens of garments per year.

Its products will be exported to the US and Australia.

The company’s facility will start commercial operations in August and will employ 85 personnel.

With the registration of the projects approved by the BOI, the firms can enjoy incentives such as income tax holidays.

Under the 2012 Investment Priorities Plan, export activities can get incentives from the government.

The two firm’s projects are expected to help increase the country’s export sales.

Last year, the country’s garment exports reached $1.57 billion, 17 percent lower than 2011’s $1.89 billion.