SUBIC BAY FREEPORT – A Php60-billion investment project to be implemented by an Australian firm here is expected to push this premier free port into the ranks of top global logistics centers.
This was announced by Subic Bay Metropolitan Authority (SBMA) chairman Robert Garcia at a press briefing here on Friday, wherein he also cited other new investment projects that have been approved by the SBMA board of directors.
Garcia said the Asian Institute of Aviation (AIA) will occupy seven hectares of land near the Subic Bay International Airport (SBIA) and will build hangars and food processing stations for its intermodal logistics business.
He said that AIA will be joined by an Australian firm, which will buy into the company for the new operations.
“The business model of the company is to export from Australia to China, Japan, and other Asian countries, via airplanes,” Garcia said.
“The company will import meat, sea food, and other agricultural products from Australia by plane or by ship to Subic Bay, and will process and package these products according to customer orders and then deliver them to customers,” he also said.
Garcia explained that the Australian partner has been doing the processing already in Australia, but because the processing in Australia entails higher labor cost, it has decided to do the processing in Subic.
The operation, Garcia said, will become intermodal.
“They will ship out by air since they have seven jets. They will also ship out via seaport, and their volume for the seaport is 60 containers per month,” he said.
“Aside from the Php60-billion investment, the project will generate 800 jobs, aside from those during the construction of facilities, and the company “has also shown interest in providing new equipment for the tower at the Subic airport,” he said.
The new investor also plans to build hangars for maintenance and repair operations (MRO) that will cater to jets in Hong Kong.
“It is too expensive to park jet there. You pay USD3,000 just to park it outside without a hangar,” Garcia added.
He said the new investment has been approved in principle by the SBMA board after the proponents showed proof of funds.
He added that the construction of proposed facilities will still be subject to detailed engineering design.
“This is a good project for us,” Garcia said./PNA/LAP/ZST/MD/PS