Indian Firms Eye P4.2B Expansion in Philippine Operations

Indian companies currently active in the Philippines are considering a combined P4.2 billion ($75 million) in investments to expand their information technology-business process management (IT-BPM) and electronics manufacturing operations, the Department of Trade and Industry (DTI) said. In a statement on Tuesday, it said the planned investments are expected to generate about 7,500 jobs in the Philippines. It said Cognizant Technology Solutions Corp. is studying the possibility of building sites in Tarlac, Clark, Cagayan de Oro, Dumaguete and Urdaneta. The potential expansion could generate up to 5,000 jobs over the next three years. Cognizant could introduce high-value tech services to its Philippine units, including artificial intelligence (AI), cybersecurity, digital engineering, and Global Capability Centers, the DTI said. It added that VVDN Technologies Private Ltd. is finalizing plans to build an electronics manufacturing facility in Subic or Laguna. The proposed project is valued at up to $50 million and could create 500 jobs, the DTI added. Headquartered in India and the US, VVDN is a major provider of software, product engineering, electronics manufacturing services, and original design manufacturing solutions. The DTI added that Indian IT and consulting firm HCLTech is planning to boost workforce training in AI and cybersecurity at its Philippine operations. Mumbai-based Hinduja Group is also looking to invest $6 million to set up staffing solutions centers in Manila through its subsidiary Hinduja Global Solutions. These plans were floated during President Ferdinand R. Marcos, Jr.’s Sept. 12 meeting with Indian firms in New Delhi. “As Indian tech and manufacturing leaders bring thousands of high-value jobs to Clark, Subic, Tarlac, and Cagayan de Oro, the DTI is making sure they have full support to grow their business operations and tap our world-class workforce,” Trade Secretary Maria Cristina A. Roque was quoted as saying in a statement. Foreign investment pledges from India dropped 40.56% to $20.76 million in the second quarter, according to the Philippine Statistics Authority. — Beatriz Marie D. Cruz