THE Board of Investments (BOI) has granted incentives to a unit of San Miguel Pure Foods Co., Inc. for its proposed meat processing plants in Sta. Cruz, Davao del Sur, and Pagbilao, Quezon.

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Shares in SMPFC dropped six centavos or 0.19% to end at P309 each on Friday, July 7, 2017.

In a statement, the attached agency of the Department of Trade and Industry (DTI) said it approved San Miguel Foods, Inc.’s (SMFI) application for registration as a producer of whole dressed chicken and further processed chicken parts for a P1.3-billion facility in Davao del Sur and P1.1-billion project in Quezon.

Both projects are scheduled to be operational by January 2018 and are expected to employ 1,127 people.

The Davao del Sur plant will produce 17,215 metric tons (MT) of dressed chicken and 16,892 MT of further processed chicken parts annually, while the Quezon plant will have an annual output of10,00 9MT of processed chicken and 22,972 MT of further processed chicken parts.

Broilers will come from SMFI’s contract growers.

“The finished products will boost the domestic market demand with further processed chicken parts targeted for established fastfood brands like Jollibee, McDonald’s, and KFC within Mindanao, South Luzon and (Greater Manila) areas,” Trade Undersecretary and BOI Managing Head Ceferino S. Rodolfo was quoted in the statement as saying.

Both plants will be fully mechanized, integrated processing facilities that will utilize the technology of electric stimulation in carcasses. It is expected to improve the quality of chicken by enhancing bleeding capability of carcass and meat tenderness even without maturation by chilling process.

The two facilities will be constructed as “AAA” plants in compliance with the standards set by the National Meat Inspection Service.

The plants will have blast freezers, chilled holding rooms, cold storage for frozen products and corresponding utilities.

They will be also be equipped with wastewater treatment facilities in accordance with the Clean Air Act and the presence of rendering plants to convert solid waste into poultry meal for its feed milling activities.

SMPFC is the food division of San Miguel Corp., which is one of the country’s largest conglomerates. SMFI has diversified products in the agro-industrial sector, with businesses ranging from commercial feeds and poultry to pork and beef.

Shares in SMPFC dropped six centavos or 0.19% to end at P309 each on Friday. — Krista Angela M. Montealegre