SMC is to build a new glass plant in Davao Occidental
San Miguel president and chief operating officer has announced that San Miguel Yamamura will soon break ground for a glass manufacturing with 800-metric ton capacity.
Conglomerate San Miguel Corp. is spending USD 700 million to build the country’s largest glass manufacturing facility.
San Miguel president and chief operating officer Ramon Ang said in an interview at the sidelines of the company’s annual stockholders meeting that San Miguel Yamamura would break ground over the next two months for a glass manufacturing with an 800-metric ton capacity.
The plant, which will rise within the company’s industrial estate in Davao Occidental, is expected to be completed over the next 24 months.
Ang said the production plant would cater primarily to the export markets including the US, Australia, New Zealand and Europe.
“The plant will be competitive because of very low power rate within the industrial estate,” Ang said.
He said aside from the glass manufacturing facility, San Miguel would also build a plastics manufacturing facility and carton converting plant..
Phase 1 of the glass manufacturing project will cost roughly USD 700 million, Ang said.
San Miguel has a joint venture partnership with Japan’s Nihon Yamamura Glass Company Ltd. for packaging.
San Miguel Yamamura posted a 3% increase in revenues in the first quarter to PHP 25 billion. Consolidated operating income went up 2% to PHP 2.3 billion, as a result of improved efficiency and cost management.
San Miguel owns a 2,000-hectare industrial estate in Malita, Davao Occidental that is expect to attract both local and foreign companies.
Ang said he remained bullish on Mindanao despite the current developments in the region.
He said he was hopeful that recent actions taken by President Rodrigo Duterte would finally resolve the long standing peace and order problems in Mindanao.