The Philippine Department of Agriculture (DA) is strengthening its cooperation with South Korean agricultural machinery manufacturers to support the development of a 20-hectare Korea Agriculture Machinery Industry Complex (KAMIC) in Nueva Ecija. Led by Secretary Francisco Tiu Laurel Jr., the DA delegation recently visited the Korea Agricultural Machinery Industry Cooperative (KAMICO) to discuss investment incentives and implementation issues.
The proposed KAMIC aims to modernize agricultural practices, enhance food security, and support technology transfer. During the meetings, Philippine officials highlighted government incentives for foreign investors, including a six-year income tax holiday and a reduced corporate tax rate of 20% for eligible projects. KAMICO expressed interest in further engagement and requested follow-up discussions with the Department of Trade and Industry (DTI) in Manila to clarify specific terms.
Land lease costs for the project site in Cabanatuan City in Luzon were also discussed, with the DA committing to negotiate fair rental terms with local government authorities.
The delegation also met with major agri-machinery firms Tong Yang Moolsan (TYM) and Asia Tech. TYM, which already supplies equipment through government programs, was encouraged to expand into machinery for high-value crops. Meanwhile, Asia Tech expressed plans to localize production and use Philippine-sourced materials, potentially creating a new supply chain and manufacturing base aligned with sustainability objectives.
(Source: Department of Agriculture)
