D&L Industries Inc. said Monday it moved the start of commercial operations of its new Batangas plant to middle of 2023 because of permitting delays and global logistics problems.
D&L said in a disclosure to the stock exchange the plant’s opening, which was originally scheduled early next year, was delayed because of processing permits and certifications and the late arrival of shipments from various overseas suppliers caused by the global supply chain disruptions.
It said that while the Philippine Economic Zone Authority granted an extension for the project until the end of 2023 to provide allowances in case of a force majeure, the company remains committed to starting commercial operations by mid-2023.
“While the plant is substantially complete, some steps in the final stages are currently taking longer than expected. Nonetheless, the bulk of the work has been done and we are past the hardest part which was continuing with the construction during the COVID-19 lockdown,” D&L president and chief executive Alvin Lao said.
Lao said the plant’s opening comes at an opportune time given the strong demand for high-value coconut-based products in the export market.
