The Department of Agriculture (DA) has signed a memorandum of understanding (MOU) with the Philippine Rubber Farmers Association (PRFA) and Phoenix Petroleum Philippines, Inc. for the development of the first-ever local manufacturer of cargo tires in the country.
“Other Asian countries have already established their own tire manufacturing company. Why can’t we also do that?” DA Secretary Manny Piñol said.
The signatories agreed to invest in the Pilipinas Agila Tyre Manufacturing company and to conduct a feasibility study as part of preparatory activities for the establishment of the Pilipinas Agila factory in Mindanao.
Once fully operational, the facility could produce up to 4 million rubber tires every year for passenger vehicles, cargo, small pick-ups, and agricultural machineries.
Expressing his optimism, Piñol said the initiative could be a “game changer” in the local rubber industry.
“A tire factory in the Philippines will also mean a stable income for the country’s growing number of rubber farmers,” he said.
The Department has organized groups of rubber farmers who now comprise the PRFA.
The organization aims to mobilize Filipino rubber farmers to become partners with the government in promoting the development of the rubber industry for their own welfare. (Ellalyn de Vera-Ruiz)