FTI back on the auction block

MANILA, Philippines – Three years and 3 failed biddings after, the sprawling state-owned Food Terminal Inc (FTI) property is back on the privatization block.

The Privatization Management Office (PMO) said they are urging interested parties to place their bets for one of the largest agro-industrial complexes in Metro Manila.

PMO Chief Karen Singson said the government would be publishing the invitation to bid by next week. The Aquino administration is eyeing to raise more than the P7 billion to P9 billion tab set by the previous government for the 103-hectare estate.

“Everyone is invited to bid for the parcel. This is a straightforward property sale. Other parameters such as the minimum target selling price and pre-qualification requirements will be detailed at the bidding notice to be published on national newspapers,” Singson said.

The government will bid out only 74 hectares of the property, which currently hosts over 300 companies. The proceeds will go to the Department of Agrarian Reform for the Comprehensive Agrarian Reform Program and to the Department of Agriculture.

“The government will study its options for the unprivatized special economic zone area located within the FTI Complex, including the utilization of the same by the Department of Agriculture for food-sufficiency projects,” Singson said.

In previous attempts to privatize the property, Robinson’s Land, Ayala Group and Henry Sy’s SM Development Corp. expressed interest. However, they snubbed the 2009 auction, resulting in a failure of bidding. – Rappler.com