TADECO says gov’t earns P142-M from its BuCor deal in 2016
The Bureau of Corrections (BuCor) earned a total of P142.72 million in 2016, representing a 45 percent share under its joint venture agreement (JVA) with the Tagum Agricultural Development Co. Inc. (Tadeco), said Tadeco president Alex Valoria.
To recall, the House of Representatives’ Committees on Good Government and Public Accountability and on Justice are now conducting a joint probe on the BuCor-Tadeco accord.
Tadeco is the operator of the world’s largest contiguous banana plantation and is one of the major banana exporters globally.
Valoria informed the congressional committees investigating the BuCor-Tadeco JVA that the corrections bureau was guaranteed a production share, which is a fixed amount under the agreement, as well as a portion of the profits from the bananas exported by the company.
Both of these guaranteed earnings are reviewed and increased by 10 percent every five years, Valoria said.
Valoria said that on top of these benefits, Tadeco also pays BuCor for the farm training program and the stipend support of the inmates inside the Davao Prison and Penal Farm (DPPF), as part of the rehabilitation aspect of the JVA.