Schemes for Manufacturers
Repurposing of products to help fight Covid-19
Philippine manufacturers are working with us to help the country and the world in the fight against COVID-19, re-purposing their products to produce the much-needed COVID-19-related products, recognizing the need of the nation and the world to Heal as One.
This involves using alcoholic liquor to create alcohol disinfectants; turning ready-to-wear garments into office uniforms to Personal Protective Equipment (PPEs) and even making medical gloves from rubber balloons.
Do you have a product line that you think can be re-purposed as a critical COVID-19 product? If so, get in touch. Book an appointment with a BOI specialist via our Facebook page.
We can help you strengthen your capabilities, navigating you through as you re-purpose your product lines, focusing on your strengths in product development, logistics, production systems, and your skilled workforce.
We have closely coordinated the re-purposing of manufacturing capabilities towards the production of COVID-19 products. Together we have helped ensure a steady supply of products need to combat the pandemic.
Business operations and incentives
Under Bayanihan Act 2, companies engaged in the manufacturing, importation, and distribution of critical items needed in an effort to eliminate the health and economic impact of Covid-19 can now avail of the incentives and/or request their business operations to remain unhampered amid quarantine restrictions through accreditation with BOI.
This was made possible through the Joint Memorandum Circular (JMC) No. 20-05 of the Department of Trade and Industry (DTI) and Department of Finance (DOF). For more information on BOI accreditation, click here or book an appointment with a BOI specialist via our Facebook page for further assistance.
Donations of PPE
PPE which is donated by businesses to their workers in the Philippines, and intended only for company use only, does not require clearance from the Food and Drugs Administration (FDA) to pass through customs.
Tax incentives are available for those wishing to donate PPE to national government, hospitals or community organisations. To find out more, book an appointment with a BOI specialist via our Facebook page.
Incentives for the production of Covid-19 related products
The accreditation scheme to register as a manufacturer of Covid-19 related products has now closed. This offered grants and tax incentives to produce PPE, vital medical equipment and medicines deemed critical by the Department of Health. We are grateful for the participation of BOI partners in this scheme.
Longer, lasting support for companies through the Proposed 2020 Investment Priorities Plan
BOI recently proposed in its 2020 Investment Priorities Plan (IPP) the addition of pandemic-mitigating activities, such as the manufacture of COVID-19 essential goods, to eligibility for investment incentives including income tax holidays and exemption from tax and duty on imports of capital equipment. This is with the President for his approval.
BOI is also working on the passage of the CREATE Bill which will provide tax breaks for struggling businesses, including manufacturers.
President Duterte recently signed into law the Bayanihan Act 2 which provides, among others, a range of new measures to help Philippine businesses and industries. Under the new law, qualified manufacturers of medical equipment and other essential goods may be exempted from business taxes, import duties, and other fees as determined by the Bureau of Customs (BOC) and Bureau of Internal Revenue (BIR). To find out if you’re eligible, book an appointment with a BOI specialist via our Facebook page.