Business World | Thursday, May 14, 2009
N. J. C. Morales
A VISIT last week by Saudi Arabian businessmen could result in $300 million in investments to develop 20,000 hectares of farm lands for commercial crops.
"There is an initial indication of a $300-million investment," Marriz B. Agbon, president of the Philippine Agricultural Development and Commercial Corp., told reporters yesterday.
Saudi Agriculture Minister Fahad A. Balghunaim led 20 businessmen for the five-day visit last week.
"Bulk [of investments] will generally go to Mindanao, either for banana or pineapple production," Mr. Agbon said in a phone interview. "As a business, they are looking to fulfill [the needs of their] domestic market first."
The country has 1.9 million hectares of arable, idle lands, with Mindanao accounting for 171,000 hectares, data from the Environment department show.
Mr. Agbon said the Philippine Economic Zone Authority has said these investors could target ecozones, where lease could run for 75 years.
