A leading German manufacturer of gypsum-based plasterboards will invest $50 million to set up a new plant in Batangas, a trade official said on Sunday night.
Knauf Gips KG’s new facility is also expected to generate 100 direct jobs.
“They are investing $50 million to set up a new plant that will be the beginning of their local production of plasterboards for the domestic and export markets,” Department of Trade and Industry (DTI) chief Ramon Lopez told reporters via Viber.
Lopez said the company recognizes the fast-growing Philippine market, the stability of the business environment under the administration of President Rodrigo Duterte, and the quality output of Filipino workers.
“This investment is expected to generate 100 direct jobs at the start, which is expected to grow over time. Starting production capacity is 16 million square meters (of plasterboards) and they have provided space for future expansion,” he added.
Meanwhile, the DTI and Board of Investments (BoI) have committed to provide assistance in documentary requirements and accredited contractors as the company aims to commence commercial production by early 2018, Lopez said.
Knauf Gypsum Philippines Inc. had broken ground on its plasterboard and other building solutions plant within the Calaca Seaport in Batangas.
Knauf Gypsum Philippines will put up the manufacturing facility in a six-hectare property within the industrial park, formerly known as Phoenix Petroterminals and Industrial Park.
Knauf’s project in the country is registered with the BoI and will be given fiscal and tax incentives under a pioneer status.
Knauf has 150 manufacturing plants and sales organizations globally and employs about 26,000 people.