Manila, Philippines – Southeast Asia’s largest publicly listed food, beverage and packaging company, San Miguel Corporation, is slated in January to start construction work on a Fifteen Billion Peso toll road that would connect Manila’s Ninoy Aquino International Airport to existing expressways in the metropolis. The project , when completed, is expected to greatly ease traffic gridlock which is an everyday occurrence leading to and from the airport. It will also serve as a short cut to the gambling casinos along Manila Bay.
This project is part of President Noynoy Aquino Administration’s public-private partnership, where public projects such as these are funded wholly, or in part, by private corporations, with strings attached of course.
Established in 1890 as a brewery, San Miguel Corporation has some 17,000 employees in over 100 major facilities throughout the Asia-Pacific region. It carries many brand names in the Philippine food and beverage industry, including San Miguel Pale Pilsen, Ginebra San Miguel, Monterey, Magnolia, and Purefoods. San Miguel Beer is one of the largest selling beers and among the top ten selling beer brands in the world.
Return on Investment
As part of the signed agreement, San Miguel Corporation will invest P11 Billion in the project. The company’s return on investment will come when it starts collecting toll along the completed sky way. It wasn’t clear whether any portion of the toll fees will go to the government.
Informed sources who spoke on condition of anonymity said that there was one major roadblock to the signing of the agreement. San Miguel Corporation wanted to sell its premiere product, San Miguel Beer, at the toll booths leading up to the expressway. Initially, the Aquino Administration objected to the idea because this would be in violation of the country’s DUI regulations. After weeks of negotiation, however, the Aquino Administration relented, on the condition that only San Miguel Lite Beer, not the regular beer, will be sold at the toll booths. The government also sought a concession from San Miguel Corporation which agreed to share 10% of all beer sales at the toll booths with the government.
You must be logged in to post a comment.