The private sector wants tax incentives for mining investments in large scale bamboo plantations that will help boost watershed conservation, disaster risk reduction, and generate as much as $3 billion in long-term revenue.

Bamboo propagation and mining sector advocates from the Junction Ridge Resources Development Corp. (JRRDC) and the Kilusang 5K (Kawayan:Kalikasan, Kabuhayan, Kaunlaran, Kinabukasan) in a statement on Friday said that bamboo planting is the best antidote to the pervading criticisms against mining.

JRRDC banker and mining leader Isidro Alcantara Jr. said bamboo plantations in mining areas can generate huge revenue that can even equal the country's take on gold, copper and nickel.

The mining and quarrying sector generated P189.9 billion ($3.45 billion) revenue, the Philippine Statistics authority (PSA) reported in November 2020.

'To understand why we should concentrate on bamboo, it can generate $3 billion or 10 percent of China's (bamboo revenue). It can equal the mining industry's output of gold, copper, and nickel,' said Isidro at the 5K Foundation Inc.'s 'Usapang Kawayan' forum.

Isidro was chairman of Marcventures Holdings Inc. (Marcventures Mining's parent firm) prior to his retirement. Its mining site in Surigao del Sur has now has 30,875 bamboo plants, pioneering the effort in mining.

Among the incentives that may be granted to mining companies are tax credits for the investment amount, special tax rate of 5 percent (under Create-Corporate Recovery and Tax Incentives Law), and limited term income tax holiday starting on the sixth year onwards, Isidro said.

Tax free import of bamboo processing equipment and related value-added tax exemption may also be granted, he added.

The country has about 400,000 hectares for large scale bamboo plantations and is less than 10 percent of China's bamboo area of 7 million hectares, Isidro said. 'This is doable. We have so much land to make large scale bamboo plantations,' he added, citing that the country has 5.59 million hectares of arable land.

Tool for climate change

During the Usapang Kawayan forum, Kilusang 5K Foundation Chairman Deogracias Victor Savellano stressed that bamboo is one of the best crops for land restoration.

Bamboo plants can help fight climate change as it releases 35 percent more oxygen compared to tree and can sequester 12 metric tons of carbon per hectare annually, he said.

'Bamboo is one of the best crops for land restoration especially in mined-out areas,' said Savellano.