Regional Board of Investments Autonomous Region in Muslim

Regional Board of Investments Autonomous Region in Muslim Mindanao (January-September 2012) ACCOMPLISHMENT REPORT

Regional Board of Investments Autonomous Region in Muslim Mindanao Through RBOI’s strong effort to strengthen its capacity to create investments in ARMM that will bring about gainful employment, increase income and better life to its people, RBOI revitalized its linkage with the local government units (LGUs), line agencies and with its existing and potential investors through the following initiatives:

I. 1. Investment Facilitations Support 1. RBOI has drafted the ARMM Investment Priority Plan (IPP) for 2012 to serve as ARMM inputs in the national IPP to be approved by President Benigno Aquino III.

I. 2. Investment Facilitations Support 2. The ARMM Regional Government (ARG) through the Regional Board of Investments (RBOI-ARMM) and the Mindanao Development Authority (Min. DA) signed a Memorandum of Agreement (MOA) for a partnership on the Program “Investments Facilitation in Mindanao"

I. 3. Investment Facilitations Support 3. RBOI is a signatory of Memorandum of Agreement (MOA) forged among Philippine Investment Promotion Agencies (IPA) to implement an integrated collaborative and harmonized investment promotion program in accordance with the National Investment Promotion Plan (NIPP).

I. 4. Investment Facilitations Support RBOI-ARMM organized an Economic Meeting in Lamitan City with ARMM Economic Consultant, Dr. Cieleto Habito and some members of the business sector and government agencies. The group discussed investment opportunities in the Province of Basilan.

II. Networking on Investments for Local Executives (NILE) The conduct of NILE Seminar-Workshops by RBOI is designed to capacitate ARMM LGUs to formulate their own Local Investments and Incentives Code (LIIC) and create Investment Promotion Centers (IPC) in their respective areas. The NILE is one strategy for LGUs to be proactive in setting-up favorable conditions in attracting local and foreign investors, a tool to local economic progress

II. 1 NILE in Parang, Maguindano RP Linda Food House and Restaurant, May 24, 2012 • Thirty-five (35) participants composed of local officials and staff of the Municipality of Parang, Maguindanao, representatives from the private sector and other stakeholders attended the one-day NILE workshop-seminar. *The LGU of Parang is now finalizing its Local Investment and Incentives Code (LIIC) adopting the Midsayap, Cotabato LIIC which is now for final deliberation in the Municipal Council for the approval of the Mayor. *The LGU has submitted the names of staff to undergo training on investments promotions in Davao City to prepare and capacitate them in managing their own IPC.

II. 2. NILE in Lamitan City, Province of Basilan Lamitan Plaza Restaurant, June 5, 2012 • • The LGU-Lamitan City is now finalizing its Local Investment and Incentive Code (LIIC) adopting the Sta Cruz, Davao del Sur LIIC now for final deliberation in the City Council for the approval of the Mayor. The LGU has sent the names of staff to undergo training on investments promotions in Davao City to capacitate and prepare them to manage their own IPC. Thirty-three (33) participants composed of local officials and staff of the local government of the City of Lamitan, Basilan Province representatives from the private sector and other stakeholders attended the oneday NILE workshop-seminar organized by RBOI-ARMM

II. 3. NILE in Tawi-Tawi Province Dan Mar Beach Resort, Bongao, Tawi-Tawi, June 25, 2012 Seventy-seven (77) participants to include five (5) mayors from the province attended the activity. Provincial Governor of Tawi-Tawi, Hon. Sadikul A. Sahali and members of the League of Mayors who actively participated in the NILE Seminar Workshop committed to formulate their own Local Investments and Incentives Code (LIIC) adopting the Santa Cruz Municipality, Davao del Sur, LIIC as their model code.

III. NILE in the Province of Lanao del Sur Social Hall Capitol Complex, Marawi City, September 16, 2012 Seventy-four (74) participants composed of municipal officials, MPDCs and private sector representatives participated in said activity. The attendees actively participated in the NILE Seminar- Workshop. The LGUs committed to formulate their own Local Investments and Incentives Code (LIIC) as well as the setting –up of Investment Promotion Centers (IPC)

III. NILE in the Province of Maguindanao OSRC/PESO Lumpingan, Buluan, Maguindanao September 20, 2012 Thirty -seven (37) participants attended the NILE Seminar-Workshop on September 20, 2012 at OSRC/PESO, Lumpingan, Buluan, Maguindanao . The Provincial Government committed to formulate their own Local Investments and Incentives Code (LIIC) as well as the setting –up of Investment Promotion Centers (IPC) in their area.

III. NILE in the Municipality of Jolo, Sulu ACC Conference Hall, October 5, 2012 Thirty -five (35) participants attended the NILE Seminar-Workshop on October 5, 2012 at ACC Hall, Municipality of Jolo, Province of Sulu. . The Municipal Government committed to formulate their own Local Investments and Incentives Code (LIIC) as well as the setting –up of Investment Promotion Centers (IPC) in their area.

III. On Site Monitoring of RBOI Registered Firms The On Site Monitoring of RBOI Registered Firms was aimed at evaluating the status of operations of the firms and to continue the good working relationship the RBOI and these companies established. It was also an avenue for RBOI and these firms to discuss issues and concerns affecting the success of their business ventures, identify collaborative efforts to keep the governmentinvestor partnership going towards sustaining socio-economic development in ARMM.

III. On Site Monitoring of RBOI Registered Firms Through the agency's interaction with the companies, the following information were derived for action by the ARMM Regional Government : 1. These firms signified plans of further business expansions in ARMM as they perceive positive trends in the economy of the region and expressed confidence in the Hataman Administration; ARMM government should provide efficient logistics support by improving transportation systems and telecommunication facilities and ensuring energy security to strengthen production, market link and connectivity; Improving the services and facilities of Polloc Port in Parang Maguindanao with emphasis on the provision of storage facilities to ensure the delivery of fresh and quality fruits to target markets both local and foreign considering the timeline of transporting these perishable products to its destinations without the danger of spoilage; 2. 3.

III. On Site Monitoring of RBOI Registered Firms 4. Present reforms with regards to high shipping cost, the government should revisit the shipping industry's regulatory environment to lower the cost of shipping in ARMM and make it competitive as compared to other regions; 5. Revisit that total log ban policies in the region and provide support mechanisms to synergize environmental preservation and protection along with investments; 6. There should be continuing peace building efforts to assure stability of investment climate in the region; and 7. ARMM Regional Govt (ARG) to organize a LAND CONSOLIDATION COMMITTEE for easy matching with investors looking for available lands to be used for r investment projects

III. On Site Monitoring of RBOI Registered Firms 2. La Frutera Inc. , Farm Manager, Mr. Jun Aguelo assisting the RBOI team during the on site monitoring tour at the company’s banana packing plant on April 25, 2012 in Buluan, Maguindanao 1. RBOI personnel in a Plant Tour at Agumil Philippines Inc. , Buluan, Maguindanao on April 25, 2012. The company is engage in oil palm milling

III. On Site Monitoring of RBOI Registered Firms 4. RBOI Technical Team at the Philippine Trade Center (PTC) Inc. Corn Starch Processing Plat, Sultan Kudarat Maguindanao with top managers of the company, Mr. Manuel S. Yap Jr. , PTC’s General Manager (1 st right) Administrative Officer, Mr. Rodolfo Lim (1 st left) on May 23, 2012 3. ARDEXCOR Administrative Officer, Mr. Danilo A. Parrenas explaining to RBOI team during the field monitoring on April 26, 2012, that their company follows strict standards to ensure the delivery of quality and fresh cavendish banana to the international market.

III. On Site Monitoring of RBOI Registered Firms Executives of MKAVI lead by the SVP of Unifrutti, Mr. Eduardo Bullecer (extreme right), Ms. Joyal Maquinto, PR Officer of Unifrutti (2 nd right) and Musmera M. Dimaporo (3 rd right), HR Manager of MSI during a discussion with RBOI team at Mayor Manabilang’s Residence in Bumbaran, Lano del Sur on June 14, 2012 The RBOI team lead by its Chairman/Managing Head, Mr. Sakiran A. Hajan during an on site monitoring at the MINRICO production plant in Sultan Kudarat, Maguindanao on May 23, 2012. The company is into veneer plywood and builder/wood work production

III. On Site Monitoring of RBOI Registered Firms The RBOI team in a plant tour at the ITIL Cassava Processing Plant on July 5, 2012 in Balabagan, Lanao del Sur In a plant tour on June 15, 2012, Wao Dev’t Corp. Manager and former Vice Mayor of Wao Municipality, Mr. Alexis B. Pablico explains to the RBOI Chairman/Managing Head, Sakiran A. Hajan and staff about how the pineapple packing plant is being managed to maintain fresh fruits that is based on global standards

IV. NEW INVESTMENTS DEL MONTE FRESH PRODUCE (PHILIPPINES) INC. With an initial investment value of P 569 Million to start its operations in the Municipality of Datu Abdullah Sangki, Maguindanao, the Del Monte Fresh Produce Philippines Inc. through its subsidiary firm DELINANAS Development Corporation has filed its application for incentives with the agency and is now undergoing evaluation. The company is set to develop 3, 000 hectares of banana plantations in the region worth $60 Million of investments which is expected to generate 4, 500 direct employments in ARMM.

V. Investments in the Works CEO dialogues with the executives of Tagum Development Corporation (TADECO) and Sumitomo Fruits (SUMIFRU) regarding investment projects on banana, solo papaya and pineapple were organized by RBOI which was participated by representatives from the Local Government Units (LGUs) of Parang and Upi of the Province of Maguindanao. After the CEO Dialogue was the conduct of field inspection by these companies to confirm the suitability of the soil/land other factors with said fruit commodities for production/investment.

V. Investments in the Works A CEO dialogue was also organized by RBOI for the LGU of Lamitan City with the National Development Company (NDC) for a possible business partnership on rubber production and processing participated by industry players. NDC is willing to fund 40% of the processing plant while the remaining balance of 60% will be financed by the industry player/s.

VI. Current Status of ARMM Investments At present, nineteen (19) firms are registered with RBOI Of the 19 firms, four (4) of these have applied for expansion and were approved by RBOI namely: 1). Minrico Lumber Com. , Inc. , 2). Weena Express Inc. , 3). Alip River Dev’t Export Corp and 4). Agumil Philippines, Inc. . Two (2) firms also applied for modernization and expansion that were approved by RBOI: 1). Matling Industrial and Commercial Corporation and 2). Philippine Trade Center Inc. As of June 2012, the value of exports monitored and supervised is P 329 M while P 167 M for domestic sales. Since 1992, the agency has serviced thirty-three (33) firms which have registered with the agency.

VI. RBOI Support Activities Seven (7) top investors in ARMM received recognition from the Regional Board of Investments (RBOI-ARMM) during the agency's 21 st Anniversary last May 17, 2012, acknowledging their great contributions in the socio-economic growth of ARMM through the creation of employment, providing income to families, generation of government revenues, and helping improve the peace and order condition in the areas where these companies are located.

VI. RBOI Support Activities Five (5) employees of RBOI namely: Executive Director, Moner K. Dumama, Research Division Chief, Larzon G. Santos, Investment Supervising Specialist, Engr. Virginia S. Montaner, Investment Supervising Specialist, Engr. Jun M. Macalawan and Senior Investment Specialist, Elisa M. Ibrahim received special recognition for their continuous services and for adhering to the vision, mission and mandate of the agency for the past 21 years.

VI. RBOI Support Activities The Bulingan Falls in Lamitan City is a potential tourist destination that can attract domestic and foreign tourists. RBOI will include said tourist spot in its promotions of investment opportunities in the region. RBOI-ARMM staff at the Maarena Beach Resort in Lamitan City. A beach filled with white sand, a promising tourist destination for local and foreign visitors. RBOI will assist the LGU Lamitan in promoting said resort.

VI. RBOI Support Activities RBOI technical staff at the Sta. Clara Agrarian Reform Beneficiaries Development Cooperative (SCARBDC) Office at its Rubber Processing Plant. RBOI organized an investment dialogue with the National Development Company (NDC) for possible business matching opportunity RBOI staff visited the LARBECO office to discuss the projects of their cooperative particularly on rubber for a business matching meeting with the National Development Company

VI. RBOI Support Activities The RBOI team visited the Tawi Multi-Specie Hatchery, a P 21 Million project equipped with state of the art hatchery facilities and equipment properly managed by a fishery expert, a former Mega Sardines staff, Arlyn Carroz who will be invited during the RBOI Convergence Forum come September 2012 for a business matching with a possible investor

VII. Publicity and Promotions -Radio interviews were aired over DXMS and DZRH. -TV interviews was aired through TV Patrol, ABS-CBNCotabato City. -The RBOI- ARMM official website www. rboiarmm. org was launched during the agency’s 21 st Anniversary. -Said anniversary highlighting the recognition of top investors was also featured in the ARMM official website (www. armm. gov. ph). Press releases were also published in two local newspapers namely Kotawato Express, Mindanao News Star and national daily, Manila Bulletin.

VIII. 1 ST RBOI Board Meeting Towards stronger and vigorous investment and employment generation was theme during RBOI’s 1 st Joint Man. Com and Board Meeting on July 4, 2012 at the RBOI Conference Room, Cotabato City. The joint meeting was organized to discuss the policy directions of RBOI for investment generation in ARMM under the Hataman Administration. It was also to build good working relationship among the management staff and the members of the Board for the effective and efficient achievement of the goals and objectives of RBOI.