Manila, Philippines — The Board of Investments (BOI) has granted the highest level of fiscal incentives to a project backed by the Department of Science and Technology's (DOST) Collaborative Research and Development to Leverage the Philippine Economy (CRADLE) program. This initiative, focusing on advanced structural building systems, aims to enhance the domestic construction industry.
According to Philippines News Agency, the PHP125-million project by Accutech Steel and Service Center, Inc. (ASSCI) has been registered under Tier III of the Corporate Recovery and Tax Incentives for Enterprises (CREATE) law, marking the first such registration. The project introduces a new production line for designing and manufacturing steel frame modules or panels, employing cutting-edge technologies in computer-aided design and engineering.
Trade Undersecretary and BOI Managing Head Ceferino Rodolfo highlighted the adoption of cold form steel (CFS) or light gauge steel (LGS) framing as a significant technological advancement in the local construction sector. The ASSCI's project, recognized for its innovative approach, benefits from substantial tax reliefs and duty exemptions aimed at encouraging research and development in the construction industry.
The incentives under Tier III include a six-year income tax holiday, five years of enhanced deductions after the tax holiday, and a 12-year exemption from duties on the importation of capital equipment and raw materials. These benefits underscore the government's commitment to fostering innovation and technological advancement through partnerships like that between ASSCI and De La Salle University-Manila under the CRADLE program.
This collaboration has led to the development of a new CFS-based structural system that integrates screw piles and design for manufacturing and assembly technology, setting a new standard for rapid technology application in housing construction.