Trans-Asia Shipping Lines Inc. has obtained incentives for its P1.5-billion Cebu City-based shipping vessel, specializing in roll on roll off (RoRo) passenger and cargo operations.
The Fiscal Incentives Review Board (FIRB) yesterday said it has approved the grant of four years of income tax holiday, five years of enhanced deductions, and 11 years of duty exemption on importations to MV Trans-Asia 21.
The new shipping vessel which has 8,971 gross tonnage sails the Cebu-Cagayan de Oro route on a reduced travel time at comparable rate.
Trade Secretary Ramon Lopez said there are limited shipping lines serving the Cebu-CDO-Cebu route.
“The entry of a new player will contribute to enhancing the competitiveness of the region’s water transport with focus on passenger safety, welfare, and comfort,” Lopez said.
The project is expected to stimulate a higher flow of goods and services between the cities of Cebu and Cagayan de Oro.
Apart from an increase in productivity and efficiency of the transport of goods and services, the new shipping vessel also seeks to stimulate industry linkages and agricultural trade between Central Visayas and Northern Mindanao.
