10/08/2024
AFAB aims to become self-sufficiency; As more locators pouring in their investments
BY MAR T SUPNAD
8/7
With the State-run Authority of the Freeport Area of Bataan (AFAB)’s significant events and achievements since AFAB Administrator and CEO Hussein P. Pangandaman took over the helm here,
AFAB aims to reach a level of self-sufficiency where it can operate without needing constant financial support.
However, Pangandaman clarified that AFAB will NOT separate itself from the national government as earlier erroneously reported.
One of the key indicators of progress and development of AFAB were the pouring in of
additional investments by other new locators and the expansion of other existing companies, and these serve as a key indicator of progress, said AFAB in a statement.
Administrator Pangandaman highlighted the milestones AFAB has achieved after he assumed the top post here last year, as he cited the progress made since Pres. Ferdinand Marcos entrusted to him the AFAB leadership.
AFAB is under the Office of the President in Malacañang.
Pangandaman also emphasized the key role played by the FAB enterprises and their workforce in driving FAB’s growth.
“With your support, the progress we’ve made is evident, and our data reflects our achievements,” pointed out Pangandaman.
But the AFAB chief vowed to stop not stop there, “as we continue to develop and fortify the AFAB into a stronger,
more capable organization to deliver the goals laid out in our charter.”
The focus is on strengthening AFAB’s capability to contribute more effectively as a key partner to the national government, rather than becoming independent of it.
For his part, Atty. Percival B Peralta, group head of the Office of the Administrator, AFAB, also said that in the coming years
“AFAB must stand alone by itself. And AFAB can only attain this as long as it continues to maintain a strong and genuine bond of partnership with you, our dear locators.”
Borrowing a familiar quote, Peralta said, “Together, we stand; dis-united, we fall”.
To attain this, Peralta said there should be an increase volume and improved quality of manufactured products; Higher amount of GIE as a result of increased volume of production and sales; and Improved remittances to AFAB as a result of higher amount of Gross Income Earned.
While AFAB has been given a capital contribution by the National Government amounting to P2.5B, Peralta said there is now only about P100M left to be downloaded.
Unless Congress will pass a law amending AFAB’s Charter by increasing the capital contribution of the National Government into it, Peralta said the agency’s financial position will be at serious peril and it may not be able to sustain its plans and programs to further develop the Zone for the benefit of its locators.
By looking at the above scenario, Peralta pointed out, “what AFAB wants to avoid is to incur a deficit in the years to come, wherein expenses and expenditures go beyond its earnings. And it should not happen to the extent that it will now create a burden to the National Government by requiring it to subsidize the operations of AFAB. “
AFAB, therefore, should not become a liability to the National Government.
He said to address this, active efforts are being done in inviting and entertaining prospective investors to make its income base becomes wider.
“ Our relationship must be long lasting, like married couples who are obliged to live together, observe mutual love, respect and fidelity and render mutual help and support. In our case, let us give emphasis to the last phrase, “render mutual help and support,” Peralta added.
Citing statistics, Atty Peralta said that Bataan is one of the Top 10 Fastest-Growing Provinces in Terms of Per Capita GDP Annual Growth Rates at Constant 2018 Prices, 2021-2022.
“Every Bataeno has a per capita GDP of P297,930.00. Just imagine, if the present 40,000 workers in the FAB are individually receiving an average total earnings of P20,000.00 per month, multiplied by 13 months, that’s already a whooping amount of P10.4B per year which isbeing infused to the economy of the Municipality of Mariveles and the entire Province of Bataan,” pointed out Peralta.
That amount, he said, does not include yet their share out of the 5% being charged against locators’ Gross Income Earned- One percent (1%) each for the Municipality of Mariveles and the Province of Bataan.
Peralta pointed out thag “In totality, it would necessarily result into increased amount of money in circulation and improved economic activity within these areas.”
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AFAB Administrator and CEO Hussein P Pangandaman and Journalist Mar T Supnad, right.