BOI approves investments of 2 export-oriented companies

The Board of Investments (BOI) has approved the investment applications of two local firms which will primarily operate to answer the need of the Japanese market.

Nakashin Davao International Inc. (NDII), a 60 percent Filipino and 40 percent Japanese-owned corporation, is investing P190 million to produce and export food products to Japan.

NDII will produce processed food such as flying fish meat, breaded fish, squid fry cuts, steamed octopus, mango cubes and many other food products.

The Japanese counterpart of the project will bring in advanced technology for the food processing plant in Panacan, Davao City.

Raw materials will be procured from all over the Philippines particularly from Region 11. The project will employ 228 workers.

NDII has chosen the Philippines as a base for its operations because it has competitive advantage in processed food in terms of availability of abundant food source, suitability of climate and soil fertility to grow a variety of agricultural products.

Trade and Industry Secretary Juan B. Santos said that many local enterprises operate manual and semi-annual mechanized systems in the food industry.

Santos is encouraging food firms to upgrade technology through automation in order to increase production, establish hygienic processes and penetrate the international market.

The government supports the development of the food industry which is identified as one of the sectors that will largely contribute to the country’s export shipment.

The other company that will take advantage of the needs of the Japanese market is Uniwood Manufacturing (UMC) which will infuse P10 million to produce finished builders woodworks.

UMC will produce quality builders’ woodworks such as moldings, nailing materials, flush doors and door jambs made from kiln-dried gemelina.

The company will source gemelina wood from community-based forest management projects and individual tree farmers in Region 11, specifically in Davao Oriental, Davao del Norte, Compostela Valley and Davao del Sur.

Santos said there is sufficient supply of trees from the region for the next 20 years since there is 38,500 hectares planted with gemelina.

"The advent of high level of environmental awareness resulted to increased preference in the use of plantation wood species," Santos said.

"Woodworking industries are now slowly shifting to the use of gemelina as a substitute for Philippine hardwood."

UMC’s manufacturing operations will employ 90 workers in its facility in Lapu Lapu, Davao City.