Cebu City

Investment Opportunities in
Cebu, Philippines
JOEL MARI S. YU
Managing Director
Cebu Investment Promotions Center
Cebu City, Philippines
Cebu Investment
Promotions Center
Presentation Outline
Cebu Investment
Promotions Center
• Overview of Cebu, Philippines
• Cebu’s Value Proposition
• Cebu as a Manufacturing Destination
• Cebu as an IT/BPO Destination
• Cebu as a Tourism and 2nd-Home
Destination
South East Asia
SOUTH KOREA
JAPAN
CHINA
Hong Kong
INDIA
MANILA
CEBU
PHILIPPINES
SINGAPORE
AUSTRALIA
Cebu Investment Promotions Center
Overview of Cebu
Cebu Investment
Promotions Center
Location
Center of the Visayan Islands
569 km. South of Manila
Area
5,000 sq. km.
Climate
• Generally fair, temperature range:
23-33 degrees Celsius
•
Languages
•
Local Dialects: Cebuano/
Tagalog
International Dialects: English
and Mandarin
• Population
The island of Cebu has a
population of
4.2 Million people.
Flights to Cebu
•
•
•
•
•
•
1 hour from Manila, over 30x daily
4 hours from Tokyo, 6x weekly
3 hours from Singapore, 10x weekly
2 hours from Hongkong, 21x weekly
4 hours from Incheon, 22x weekly
2 hours from Taipei, 2x weekly
Cebu Investment Promotions Center
Flights to Cebu
•
•
•
•
•
3 hours from KL, 2x weekly
4 hours from Pusan, 2x weekly
3.5 hours from Kansai, 2x weekly
3 hours from Bangkok, 2x weekly
3 hours from Papua New Guinea, 2x weekly
CEBU’S VALUE PROPOSITION
• Cebu is the biggest and fastest growing local
economy in the Philippines outside Metro Manila.
• It is a proven successful destination for Foreign
and Domestic Investments.
• Today, there are over 500 Foreign Direct Investors
(FDIs) in Manufacturing, Services and Tourism
located in Cebu.
• It is also embedded in a resort environment.
Some of the country’s finest beaches and dive
spots are in the island of Cebu.
Cebu’s Distinctive Competencies
• Cebu has a well-developed International Airport and
Seaport.
• Cebu has a labor force that has quantity and quality.
This labor force is fed by 414 high schools, over 30
colleges and 11 universities. Cebu produces an average
of 23,000 college graduates annually.
• Cebu is cost-effective for business and living costs. The
minimum wage in Cebu ($7.88) is 37% less than in
Manila ($10.75) and overall cost of living in Cebu is at
least 30% less than in Manila.
• There are 10 PEZA-registered Economic Zones in Cebu.
• Cebu has world-class medical facilities and
practitioners that have international accreditation
and capabilities for performing organ transplants and
open-heart procedures.
• Cebu has earned international acclamation as an
investment destination. It is ranked 8th best
Outsourcing Destination in the world by Tholons and
has been cited by FDI Magazine (Financial Times of
London) as one of Asia’s Cities of the Future.
Special Economic Zones in Cebu
Local gov't. units and the private sector are being encouraged
to put up special economic zones in selected areas of Cebu.
EXISTING SEZ’s
# Has.
1. Mactan EPZ I
150
2. Mactan EPZ II
64
3. Technopark, Naga
150
4. West Cebu Ind'l. Park, Balamban 202
5. Cebu Light Industrial Park
70
6. MRI Ecozone
28
7. Cebu IT Park
24
8. Cebu South Road Properties
300
9. Cebu Business Park
30
10. Pulangbato – Bogo City
Cebu…
As a Manufacturing Destination
Cebu Investment Promotions Center
Light Engineering and Manufacturing
• There are over 300 foreign direct
investors in light engineering and
manufacturing located in Cebu.
Some of the Well-known FDI’s in CEBU
• PENTAX
• MITSUMI
• NEC
• TAMIYA
• TSUNEISHI HEAVY INDUSTRIES
• OLYMPUS
• NCR(National Cash Register)
• TIMEX
• LEXMARK
• LEAR AUTOMOTIVE
• FAIRCHILD SEMICONDUCTORS
• KEPPEL SHIPYARD
• EPSON
FDI’s Contribution to Cebu Today
Cebu Investment
Promotions Center
Manufacturing Sector – Ecozones (as of Dec 2012)
No. of
Locators
No. of
Employees
MEZ 1
158
58,814
MEZ 2
CLIP
54
35
12,216
1,756
WCIP
MRI Ecozone
20
7
16,873
16,615
New Cebu Township
4
876
278
107,150
Total
Source: PEZA.
Cebu…
As an IT-BPO Hub
Cebu Investment Promotions Center
IT Industry in Cebu
as of End of 2012
No. of Companies
No. of Employees
Voice Operations (Call
Centers)
35
45,000
Non-Voice Operations
(CAD, Financial
Services, etc.)
104
50,000
TOTAL
139
95,000
Cebu Investment Promotions Center
Cebu…
As a Tourism and Second Home Destination
Cebu Investment Promotions Center
CEBU AS A TOURISM
DESTINATION
• Cebu is a world-class beach-oriented destination in the
Philippines
• It is also a historical, cultural, religious & heritage
destination. Cebu ranks no. 1 as the top tourism
destination in the country
• Cebu’s success in tourism has been achieved through…
- a well-planned & deliberate mix of infrastructure,
including an international airport
- a wide array of hotel & resort facilities that includes
international names such as Shangri-la, Marriott,
Marco Polo, Imperial Palace, Radisson Blu, Movenpick.
- Aggressive and innovative marketing
WHY CEBU IS THE BEST SECOND HOME DESTINATION . . .
Location, Geography & Climate – Tropical island that has
over 700 kms of coastline, with average temperature of 22
to 33 degrees celcius, a storm-free island paradise –
assuring year- round swimming & golfing weather and
endless potentials for other leisure activities… while
access is made convenient by an international airport and
seaport.
Peace & Order – Cebu is considered as among the safest
Cities in Asia as attested by low crime rates and high crime
resolution statistics.
Language & Culture – English is widely spoken and also
used by TV & print media.
Cebu Investment Promotions Center
WHY CEBU IS THE BEST SECOND HOME DESTINATION . . .
Cost of Living is at least 30% cheaper than Manila.
Cosmopolitan Living & World class amenities
Educational hub with 11 universities & over 30 colleges
spread all over Cebu.
Medical Care - world class medical professionals and
facilities that are at par with the best in the country.
Cebu Investment Promotions Center
Cebu Investment
Promotions Center
Thank you very much…
Joel Mari S. Yu
Managing Director
Cebu Investment Promotions Center