The Inclusive Advantage: Biñan City’s journey to growth & development

One of the oldest cities in the Philippines, the City of Biñan has a rich historical and cultural heritage.

    It was founded at the end of June 1571 by Captain Juan de Salcedo when he explored Laguna de Bay, just a month after Miguel Lopez de Legazpi established Manila, the Capital City of the Philippines.

    Situated about 39 kilometers south of Manila, Biñan prides itself on its historical connection with Jose P. Rizal, the country’s national hero.  It was in the town proper of Biñan that Rizal, along with his elder brother Ponciano, took formal education under the tutelage of Maestro Justiniano Aquino Cruz.

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1ST CLASS COMPONENT CITY

This once sleepy agricultural town has since prospered to become a 1st class component city in the province of Laguna, with an estimated population of 407,437 people inhabiting 24 barangays.

    On February 2, 2010, by virtue of Republic Act NO. 9740, Biñan became a component city—the 4th city in the province of Laguna and 139th in the Philippines.

    The establishment of some of the country’s largest industrial estates and export processing zones in Biñan is a testament to the steady growth and development of the city. 

    Even before its cityhood in 2010, Biñan was the richest municipality in the Philippines with an annual gross income of P677 million and a net income of P250 million as reported by the Commission on Audit’s 2007 report.

DEVELOPMENT BEGINNINGS

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Biñan Vice Mayor Angelo “Gel” Alonte

For the longest time, Biñan has mostly been famous for its delicious Puto Biñan.

    Fluffy, steamed, rice flour topped with cheese or butter and salted egg, the best Puto Biñan can be found in Biñan’s Barangay San Vicente.

    Other barangays boasted of cottage industry fare like shoes and slippers manufactured in Barangay Dela Paz and Malaban, as well as hats designed in Barangay Platero.

    Even before it became a city, Biñan has been recognized as a major trading center, boasting of the largest public market in the whole of Laguna and in the entire Southern Tagalog Region.

    Operating 24 hours a day, the market continues to attract retailers from nearby towns who flock to the city to purchase or sell goods and merchandise.

    “On an average day, the Biñan Public Market services approximately 25,000 to 30,000 people. This figure includes not only those who come to purchase goods but also vendors, suppliers, and workers who rely on the market for their livelihood. The market’s wide range of offerings, from fresh produce and meats to dry goods and household items, makes it a vital part of daily life for many in the region,” Biñan Vice Mayor Angelo “Gel” Alonte said.

    In the early 90s, then Biñan Mayor Bayani Alonte (father of current Vice-Mayor Gel), moved to actively invite investors to locate in Biñan. This efforts paved the way for the creation of the Laguna Technopark, Inc. (LTI) in 1990 and the Laguna International Industrial Park (LIIP) in 1992.

    The elder Alonte spearheaded the allocation of land exclusively designated as the site for factories and other industrial businesses.

THE RISE OF INDUSTRIAL PARKS

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Laguna Technopark, Inc. (LTI)


Initially spread over 224 hectares of land, Laguna Technopark, Inc. (LTI) is shared by both Sta. Rosa’s Barangay San Jose and Biñan’s Barangay Malamig.

    As of 2023, LTI has been home to some 270 locator companies, becoming a leading job creator in Biñan City.

    It hosts over 100,000 employees directly employed by locator-companies in the industrial park.

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Laguna International Industrial Park (LIIP)

    Back in 1992, a joint venture was forged between Samsung Corp. and Solid Corp., with the able support of the Biñan municipal government. The result was the Laguna International Industrial Park (LIIP).

    Located in Barangay Mamplasan, about 30 kilometers from Manila, LIIP stood on 117-hectares of land, with some 30 hectares allocated to companies registered under the Philippine Export Zone Authority (PEZA).

    LIIP offered investors facilities for power, telecommunications, water, roads, and a centralized Sewage Treatment Plant (STP), among other incentives.

    A year since its establishment, in 1993, the Laguna International Industrial Park Association, Inc. (LIIPAI) was founded and registered at the Securities Exchange Commission (SEC).

    LIIPAI was tasked to promote and safeguard the general welfare, property, service reputation of the offices and commercial areas at the LIIP, as well as the best interest and well-being of the owners, lessees and occupants of the properties inside LIIP.

    LIIP was awarded in 2023 with the “Industry Leadership Award” as a recognition for its contribution to the economic growth of the Biñan City.

VIRTUAL LIFELINE

Vice Mayor Gel sees industrial parks as a virtual lifeline for Biñanenses in search of better job opportunities; a path to inclusive growth in the city.

    “The most pressing issue that the City of Biñan needs to address is the improvement of the economic conditions of our constituents. There is the need for sustainable and inclusive economic growth. While our city has made significant strides in economic development, there are still pockets of poverty and inequality that need to be addressed. We must ensure that the benefits of economic progress, brought about by industrial parks and processing zones, reach every corner of our community—from the urban centers to the more remote barangays,” Gel stressed.

    Under the administration of Vice Mayor Gel, the LTA and LIIP will continue to substantially contribute to the creation of job opportunities, as well as the generation of foreign exchange for Biñan City.

IT PARK, EXPORT PROCESSING ZONES

In 2009, then President Gloria Macapagal-Arroyo signed Proclamation No. 1773, creating and designating select parcels of land located in Biñan City’s Barangay San Antonio as an information technology park to be known as One Asia Business Center.

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One Asia Business Center

    By 2012, One Asia Business Center has become the first well-planned, fully landscaped, state-of-the-art business and commercial hub south of Metro Manila, with an aggregate area totaling 48,035 meters.

    According to Gel, the business park is “a major component of an integrated master plan for developing a New Biñan City, with residential, commercial, recreational, and institutional components.”

    Situated within the township of Jubilation New Biñan, One Asia offers medium size lots for business and office use. It can be easily reached from Metro Manila via the South Luzon Expressway (SLEX) or the National Highway.

    As an approved Information Technology (IT) park by the Philippine Economic Zone Authority (PEZA), businesses that locate in One Asia are entitled to income tax holiday.

    One Asia is envisioned to be the business center of Biñan City, San Pedro, Carmona, Sta. Rosa and other municipalities and cities in Laguna.

    Among the development strategies employed for its full realization include a combined office buildings and retail areas concept, including the setting up of a fiber optic telecommunications facility.

    Another location earmarked for attracting investors is Southwoods Exit along the South Luzon Expressway. Having been proclaimed by PEZA as an industrial zone way back in 2010, the 15-hectare site will include in its development a strip mall, residential condominium towers, an outlet center, a lifestyle park, a Business Process Outsourcing (BPO) center, the existing Splash Island water park, among other facilities.

BIÑAN BUSINESS CLUB

Formed in 2008 and headed by Biñan’s Historical, Tourism, and Cultural Council, the Biñan Business Club (BBC) functions as a non-government organization composed of business establishments in Biñan.

    Today, the BBC anticipates industry trends and extends support to local business enterprises.

    It provides traditional and non-traditional strategies to enhance businesses. It likewise focuses on programs and projects on poverty alleviation.

“The BBC stimulates local economic growth by supporting small and medium enterprises, encouraging private sector investments, and creating innovative programs to boost job creation and economic opportunities,” Gel said.

SUPPORT FOR MSMES

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The Biñan City Government has actively promoted local industries, particularly in manufacturing and agro-industrial sectors, through incentives and support programs.

    “Micro, Small, and Medium Enterprises (MSMEs) have received considerable support through business development programs, financial assistance, and capacity-building initiatives, said Gel.

    He added that they have passed the Smart Market Initiative Ordinance of 2024 to establish digital payment systems and online market platforms.

    “This is an example of how Biñan City is embracing technology to support local businesses. We plan to provide more access to financing, technology, and market opportunities,” Gel said.

    According to the Biñan City Vice Mayor, promoting entrepreneurship and innovation are key to maintaining economic growth. “The city will continue to attract investments in high-value industries and explore new sectors such as digital technology and green energy to diversify its economic base.”

    Data provided by the Business Permit and Licensing Office (BPLO) bared that Biñan City is home to a substantial number of Small, Micro, and Medium Enterprises (MSMEs) which play a crucial role in the city’s economic landscape.

    Micro-enterprises make up the largest portion of the city’s MSME sector, with approximately 12,000 to 13,000 micro enterprises. These are businesses that have a total asset value of up to P3 million and employ one to nine people.

    Small enterprises, on the other hand, are businesses that have assets valued between P3 million to P15 million and employ 10 to 99 people. In Biñan City, some 1,500 to 2,000 businesses are classified as small enterprises.

    Medium enterprises have assets valued between P15 million and P100 million and typically employ 100 to 199 people. There are about 200-300 registered medium enterprises in the city.

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    The City of Biñan has an estimated 13,700 to 15,300 MSMEs. BPLO officials peg the estimated total revenue generated from MSMEs from January to August 2024 at a little more than  P1.5 billion.

    These business enterprises are critical to the city’s economic growth, providing jobs, fostering innovation, and contributing to the overall development of the local economy.

    The City government has simplified the business registration and set a flat rate of P1,000, an affordable amount that will legalize their operations.

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    The City of Biñan organized and hosted the first Sari-Sari Store Congress, giving due recognition to the city’s small entrepreneurs.

    “The Congress brought together owners and operators of sari-sari stores in the city, with the aim of supporting and uplifting these small businesses. Sari-sari stores are small, neighborhood retail outlets integral to local communities, providing essential goods and services,” Gel explained.

EASE OF DOING BUSINESS

The Biñan City Government has actively promoted local industries, particularly in manufacturing and agro-industrial sectors, through incentives and support programs.

    This has led to increased investment in the city, creating jobs and boosting the local economy.

    “Our formula for encouraging the private sector to locate in Biñan City revolves around creating a business-friendly environment, fostering public-private partnerships, and ensuring sustainable growth,” Vice Mayor Gel said.

    He added that the city government first prioritizes the streamlining of business processes and offers incentives to attract investors. “By simplifying permits and licenses and providing tax breaks or incentives for key industries, we make it easier and more attractive for businesses to set up operations in Biñan.”

    Gel elaborated: “Secondly, we emphasize the importance of infrastructure development. We ensure that our city’s infrastructure—roads, utilities, and digital connectivity—is robust and reliable, which is a crucial factor for businesses considering where to invest. Thirdly, we actively engage the private sector through regular dialogues and consultations. The dialogues help us understand their needs and concerns, allowing us to tailor our policies and programs to better support their growth.”

    Biñan City offers a year-round system that receives and processes applications for business registration through a streamlined system. A single, One-Stop-Shop location is designated for all concerned agencies.

    The city also launches a periodic Business Trade Fair and a Kadiwa sa Lungsod ng Biñan. The first is a platform that allows small, food industry entrepreneurs to sell their products during the peak season of the renewal for business registration. The latter is a platform for selling the agricultural produce of Biñan farmers.

    Every year, the City of Biñan recognizes the top 100 taxpayers for local business and the top 50 PEZA-registered businesses.

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City of Life Awards—honoring outstanding companies and organizations in the City of Biñan

    “The primary objective of this recognition is to promote transparency in the tax collection system and hold high-income individuals and corporations accountable for their tax contributions. It also encourages tax compliance by recognizing and publicly acknowledging individuals and companies that consistently meet their tax obligations promptly and accurately,” the Vice Mayor said.

    He further noted that appreciating the significant contribution of the top taxpayers is doubly important, since paying taxes plays a crucial role in funding public services, infrastructure, and social welfare programs.

    “My vision for Biñan is to transform our city into a vibrant, progressive, and inclusive community where every resident has the opportunity to thrive. When the community feels empowered and involved, they are more likely to support and sustain development efforts. This involvement also fosters trust, which is crucial for the long-term success of any government program or project,” Vice Mayor Gel concluded.

ABOUT THE AUTHOR

Jonathan L. Mayuga
Jonathan L. Mayuga
Jonathan L. Mayuga is a multi-awarded Environment Reporter of the BusinessMirror, a sister publication of the Philippines Graphic.In 2018, he was bestowed the Luntiang Aligato award by the Climate Reality Project, a nonprofit organization founded by Nobel Laureate and former US Vice President Al Gore. Mayuga is a three-time winner of the Saribuhay Journalism Awards for biodiversity reporting, two-time winner of the Jose G. Burgos Biotechnology Journalism Awards-National News Category, two-time winner of the Bright Leaf Agricultural Journalism Awards-National News Category, and 12-time winner of the Philippine Agricultural Journalists-San Miguel Corporation Agricultural and Environmental Journalism Awards.

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