Economic zone (ecozone) logistics services activities will be entitled to incentives under in the Strategic Investment Priorities (SIPP) plan, a move that will encourage more investments to projects that support ecozone locators, according to Tereso Panga, officer-in-charge director-general of the Philippine Economic Zone Authority (PEZA).
In a text message yesterday, Panga also said the PEZA board chaired by Trade Secretary Alfredo Pascual on Fridayapproved P8.7 billion worth of investments from.
Panga said under the old regime, PEZA has been approving ecozone logistics support activities but subject only to tax and duty free importation and zero value-added tax rating on local purchases as their incentives.
The Board, Panga said, recommended the same incentives for new export logistics support enterprises to be registered by PEZA under the Corporate Recovery and Tax Incentives for Enterprises.
With the inclusion in SIPP, these activities could enjoy perks under under Tier 1, which include all qualified activities relating to the fight against the COVID-19 pandemic.
“This will encourage the registration of more ecozone logistics export enterprises as a critical ecozone supply chain as they cater exclusively to the requirements of export-oriented locators,” Panga said.
The agency at its board meeting has given incentives to locator-investors with investments worth P5.66 billion and ecozone developers with projects costing P3.02 billion. – Irma Isip
