DICT expansion for Mindanao’s projected economic growth
The Antonio Floirendo Group of Companies (ANFLOCOR) has completed it’s P5-Billion expanded Davao International Container Terminal, Inc. (DICT) to support the anticipated economic growth and development of Mindanao, specially within the Davao Region.
Strategically located in Panabo City, in Davao del Norte, the DICT is the anchor project of an agricultural and industrial complex being developed by the Anflo Management and Investment Corp. to provide for the logistical requirements of various businesses seen to grow in Mindanao.
The Philippine economy is expect ed to grow between 6.5% and 7.5% this year. This rate of growth is likely to continue into the medium term. The new Duterte administration offers a 10-point socio-economic program intending to sustain both economic expansion and distribute wealth more evenly.
A major component of the economic program is increased spending on infrastructure. The completion of the DICT project is seen to help improve the logistics backbone of Mindanao’s economy as well as create jobs in areas less progressive.
The government’s policy of dispersing of economic activities to the countryside is very consistent with the DICT’s purposes. One of the economic managers of Duterte says “Mindanao will be the main beneficiary of economic reforms. It is only an added factor that the President is from this island as well as the Speaker of the House and President of the Senate. The more important and substantial reason is that the island has the most headroom for growth.”
The private sector anticipates the forthcoming growth. The DICT is complemented by a 70-hectare export processing zone and an 88-hectare mixed-use township in Panabo, which is a component city in the province of Davao del Norte. The city is also part of the Davao Metropolitan Area, the biggest metropolis, in terms of land area in the Philippines.
President Rodrigo Roa Duterte inaugurated the DICT last Friday, September 2, 2016. DICT, a modern container port, is a joint venture between ANFLOCOR and Dole-Stanfilco, the leading producers and exporters of fresh Cavendish bananas in the Philippines. The expansion of the DICT increases its handling capacity from the current 300,000 twenty-foot equivalent units to 800,000 TEUs.
Alex Valoria, president and CEO of the Antonio Floirendo Group of Companies said, “from two quay cranes, we now have four quay cranes, eight RTG (Rubber Tired Gantry) cranes and other various container handling equipment.”
The container port has an area of 11 hectares, backed up by a15-hectare container yard. It is adjacent to a 70-hectare export-processing zone, whose locators will enjoy the benefits of duty-free importation of equipment and raw materials and income tax holiday.
There are nine shipping lines calling on the DICT, they are the American President Lines (APL), Maersk MCC, CMA CGM, Wan Hai Shipping Lines, Advance Container Lines (ACL), Regional Container Lines (RCL), Pacific International Lines (PIL), Mariana Express Lines and Cosco Shipping Lines.
Negotiations are ongoing for additional shipping lines, which are due to call on the DICT soon.
Formerly known as San Vicente Terminal and Brokerage Services, Inc. (SVT), DICT has a long history in port operations, servicing the stevedoring and arrastre requirements of break bulk shipments of fresh produce like bananas and pineapples at the Tadeco wharf.
As more and more cargoes are being shipped via refrigerated containers, DICT transformed to become the industry leader in port logistics in Mindanao. Offering world-class container terminal facilities and services in this heavily agricultural island region in the Philippines, the DICT helps ensure the global competitiveness of Mindanao’s export-grade products.
Tadeco or Tagum Agricultural Development Company, Inc. is the largest contiguous banana plantation in the world. It is the flagship company of ANFLOCOR and is considered as the global leader in the banana industry in terms of yield per hectare.
The Floirendos turned Panabo into an agro-industrial city and is now known as the “Banana Capital of the Philippines” due to numerous banana plantations scattered throughout the city.
Tadeco, which covers around 7,500 hectares of banana plantations in Panabo, annually produces and exports millions of boxes of Cavendish bananas, which is the main economic driver of the city.
Valoria said, “we are the world’s most efficient banana producer as we are number 1 in the world in terms of export yield per hectare. We continue to expand aggressively in banana operations.”
Tadeco is still growing as it ventures into other areas outside of Panabo. “To date, our banana expansion program is nearing a commitment worth PhP1.5 billion while the first phase of our new pineapple project will cost PhP1.2-billion, an investment in a very depressed and impoverished area in Mindanao. This gives us additional excitement in this project as we will be able to significantly uplift the condition of the people in these impoverished communities, as we have been able to do so in our other recent projects,” Valoria said. PHOTOS BY KIM IGNACIO