DAVAO CITY—The Japanese business chamber in Mindanao is awaiting the approval for its application to operate an export economic zone in Davao del Sur for Japanese businessmen who are keen on putting up labor intensive ventures in the area.
Akihiro Ushimaru, president of the Japanese Chamber of Commerce in Mindanao Inc., told the Business Mirror on Friday, that it has already submitted its application to the Philippine Export Zone Authority (Peza) to develop an industrial and export processing zone in Digos City, the capital of Davao del Sur.
"This industrial zone would be primarily developed for Japanese businesses," he said.
The proposed zone would cover 38 hectares, of which 8 hectares are already being occupied by Japanese firm Nakayama Technology Corp., a member of the Nakayama Group of companies.
The Nakayama factory produces industrial and residential products.
Ushimaru is the executive vice president of the company. He said tax incentives granted to locators in industrial and export pro cessing zones is a major attraction to Japanese investors who are keen on setting up shop in the area.
Japanese investors in Mindanao are fewer compared to those who have set up shop in Luzon and the Visayas.
Ushimaru said Mindanao accounted for only 65 of the chamber's 1,000 members all over the Philippines.
In areas like the Philippines, he said the primary issue is still the peace and order situation. "But many are interested to invest," he said.
He said Japanese businessmen are keen on manufacturing and food processing "because Mindanao is very rich in fisheries and agriculture, but it lacks processing and manufacturing operations."
Ushimaru said the chamber would also like to increase its contribution to job generation in the region.
Despite the small numberof Japanese businessmen in Mindanao, their ventures have hired 20,000 workers.
Aside from fiscal incentives, he said Japanese businessmen also want to be assured of the availability of reliable and adequate infrastructure such as roads and ports.
Ushimaru made his statements during the second Joint Foreign Chambers Meeting on Friday at the Seda Hotel here.
Japanese businessmen were joined by members of the European Chamber of Commerce of the Philippines and the American Chamber of Commerce of the Philippines.
Source: Business Mirror; News; 21 October 2013
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