THE PHILIPPINE Economic Zone Authority (PEZA) pointed to food processing, rubber-based manufacturing, logistics, and renewable energy as Mindanao’s best investment openings.
Abdullah Adel-Khan Alug, PEZA Zone administrator and Mindanao cluster head, presented on Oct. 28, during the 2nd day of the Mindanao Development Forum (MDF) at Dusit Thani in Davao City.
Alug identified four growth areas for the region: high-value food and agribusiness, resource-based manufacturing, export infrastructure and logistics, and digital services.
In agro-industry, he cited value-added coconut products, premium cacao and coffee, processed tropical fruits, and seafood.
“Reliable raw material supply, product standards, cold-chain access, traceability, and quality certification are key success factors,” he said.
He also pitched rubber products, molded components, footwear, and sporting goods, citing existing sports equipment manufacturing in Mindanao as proof of export-quality capacity.
He added local suppliers would need to meet standards for quality, traceability, and consistent volume.
On energy, Alug flagged opportunities in grid strengthening, substations, storage, and renewable sources such as hydro, solar, geothermal, and biomass to serve new and expanding zones.
He also promoted climate-resilient ecozone design, including drainage, flood protection, and hazard planning.
For halal and regional export markets, Alug proposed coordination with the Mindanao Development Authority and the Bangsamoro government, as export opportunities in the BIMP-EAGA subregion have great potential.
However, he flagged export opportunities requiring buyer and regulatory validation.
He recommended exploring aggregation and processing across Mindanao and checking buyer demands and route costs.
Alug also named candidate areas for study: Davao and Panabo for processing and manufacturing; Northern Mindanao for industrial processing; Soccsksargen for seafood and food; Caraga for resource processing; and the Bangsamoro region for halal and food.
“The challenge is to convert these advantages into investment-ready opportunities through strong partnerships among government, investors, economic developers, development institutions, and local communities,” Alug said.
Investors in PEZA zones may avail of incentives under the CREATE MORE law, including income tax holidays of four to seven years for projects below PhP50 billion and 10 years for larger ones.
The total tax incentives are 14 to 40 years, while non-fiscal perks include long-term land leases of up to 99 years.
Alug reported that Mindanao should bank on agri-processing, rubber, energy, and Halal exports, as the region draws only a small share of the agency’s approved investments.
PEZA approved P309.629 billion in investments nationwide from January to October 2026, up 76.56% from the same period in 2025. Of that total, only P11.115 billion, or 3.59%, went to Mindanao.
As of September, PEZA counts 42 ecozones and 142 registered business enterprises in Mindanao.
Davao Region hosts the most, with 19 of the 42 zones, mostly IT parks and centers in Davao City, plus industrial estates in Panabo City and Tagum City.
Mindanao ecozones have generated 112,416 jobs from 1995 to August 2026 and US$2.176 billion in exports from 2024 to August 2026.
Nationwide, PEZA zones employ 1.826 million workers and posted $38.66 billion in exports from January to July.
The agency’s top Mindanao locators include Taganito HPAL Nickel Corp.; Sarangani Energy Corp.; Panhua Integrated Steel Inc.; Philco Food Processing Inc.; Head Sport Philippines Inc.; Novococonut Inc.; and Hijo Superfoods Inc.
