BOI approves perks for new ATI container yard

The Board of Investments (BOI) has approved the application of Asian Terminals Inc. (ATI) for registration as a new operator of an integrated passenger terminal and container yard service facilities on a pioneer basis.

ATI is spending P700 million to build a domestic terminal on Pier 15 , South Harbor at the Port of Manila.

With the approved BOI registration, ATI would be entitled to a six year income tax holiday (ITH) from September this year, or actual start of commercial operations, whichever is earlier, but in no case earlier than the date of registration.

However, the BOI stressed that only income derived from the registered activity – which is the domestic passenger terminal and container yard operation, would be subject to the ITH incentive.

The terminal includes a container yard with an annual throughput capacity of 300,000 TEUs (20-foot equivalent units), five berths that can accommodate larger ships, and the Eva Macapagal Super Terminal.

The domestic terminal is supposed to be an important milestone in the 10-year, $300 million modernization of the South Harbor where ATI has been the sole port operator for the international container and general stevedoring terminals since 1990.

ATI has already invested P100 million to build the passenger terminal building out of the total project cost of approximately P700 million, including support facilities and equipment.

The 2,878 square meter Eva Macapagal Super Terminal will provide passengers with the best amenities in inter-island travel.

It will have a 1,700 seating capacity and would include space for a fully-airconditioned lounge, fastfood outlets, drinking fountains, TV sets, public address system, public telephone booths, restrooms, ticketing booths and a clinic.

ATI, according to the BOI, can avail of a bonus year in each of the following cases, but the aggregate ITH availment (basic and bonus years) should not exceed eight years.