SEIPI pushes for restoration of PEZA autonomy

The Semiconductor and Electronics Industries in the Philippines Foundation Inc. (SEIPI) is pushing for the restoration of the autonomy of the Philippine Economic Zone Authority (PEZA) under the bill seeking to amend the Corporate Recovery and Tax Incentives for Enterprises (CREATE) Act to encourage investments in the sector.

- LOUELLA DESIDERIO

SEIPI president Dan Lachica told reporters on the sidelines of the Tatak Pinoy Act Forum yesterday that the group welcomes the initiative to amend the CREATE Act, which was approved into law under the previous administration to rationalize the incentives system for investors.

He said the implementation of the CREATE Act has led to the country losing potential investments in the electronics industry.

“ There were many lost opportunities in terms of investment in new products,” he said, noting that some investments for new products in the electronics industry initially eyed to be made in the Philippines, went to neighboring countries due to the changes in the incentives system.

He said one company looking to expand in the Philippines opted to bring its $1.6-billion investment to Vietnam instead because o f the move to rationalize incentives here.

Without new investments in new products, he said the industry is stuck with legacy products, which affects its growth performance.