BOI’s Procurement Matching and Financing Forum in Cotabato Expects P414-M Investments Yield
A total of P414 million from nine investments leads are expected to be realized as a result of the “Procurement Matching Activity and Financing Forum” conducted by the Board of Investments (BOI) through its Domestic Investments Promotion Service (DIPS), Davao Extension Office at the Grand Shine Hotel in Kidapawan City on May 28, 2019.
In cooperation with the Department of Trade and Industry (DTI) Cotabato Provincial Office, the event links a network of micro, small and medium enterprises (MSMEs) with the growership program of large enterprises like San Miguel Foods, Inc. (SMFI). This business model is envisioned to encourage business inclusion and sustainable growth by strengthening marginal MSMEs in areas of technology, marketing and financing. A partnership with a large enterprise can absorb business risk components and make these MSMEs improve their bottom line and become more bankable.
Around 50 individuals representing various organizations such as the Central Mindanao Green Works, Association, Philippine Chamber of Commerce and Industry, Cotabato Chapter, JV Ventures, Inc. and other businessmen participated in this program. During the matching session, nine participants have agreed to partner with SMFI. Among the nine, four individuals who are already into poultry growing have expressed intention to upgrade its poultry facilities in their respective areas. Five other individuals intend to venture into new poultry projects.
SMFI’s growership program will play a pivotal role in its Php2.2 billion integrated feed mill plant in Sta. Cruz, Davao del Sur, which along with its Php1.3 billion dressing plant in the same area requiring around 40,000 heads of chicken per day. By partnering with BOI and tapping the MSMEs, the procurement process could ramp up the SMFI dressing plant requirements and improve its efficiency utilization. Meanwhile, the Development Bank of the Philippines (DBP) has also committed to back up the financing needs of the MSMEs.
SMFI looks to attract more partners as it is expanding its poultry growing operations the Davao and SOCSKARGEN regions. Aside from MSMEs, SMFI targets cooperatives and OFWs to beef up its growing network. Under the growership program, it will provide day-old chicks, feeds, vaccines and medicines, technical assistance, laboratory services and payment schemes. On the other hand, the grower will provide the land, poultry house, feed warehouse or “bodega”, poultry equipment, water and electricity, security, labor, and proper farm management.
The Negosyo Center in DTI Cotabato has committed to further assist and promote the activity in the whole province to attract more interested parties and private individuals. (Press Release/BOI)