Two officials of the Philippines-based company wanting to invest some $100 million in a food processing plant in the territory are on island for further discussions with Gov. Lolo Matalasi Moliga, saying that the government has completed a “diligent review” of the company’s proposal, with ground breaking for this project to occur sometime this month.

AVM Bernardo Engineering has proposed to invest $106 million to set up a “multi-line food processing plant” focusing first on frozen fish-based sausage, ham, nuggets and patties.

The plant, expected to be located in the Tafuna Industrial Park, will also produce coconut water, mango and other juices.

Samoa News learned yesterday that AVM’s president and another senior official arrived early this week in the territory. Responding to Samoa News inquiries, Commerce Department director Keniseli Lafaele said that he can only say at this time that company officials are on island “for further discussion with the government on the proposed multi-line food processing plant.”

Early last month, Lt. Gov. Lemanu Peleti Mauga, along with Fono leaders led the local delegation for a site visit of the company’s operation in the Philippines, where they conducted a “due diligence” review, as requested by the governor.

In his State of the Territory Address, the governor said a detailed report of the due diligence visit to the Philippines has been presented to him for review and final decision.

“The anticipation of 700 jobs to be created is exciting; however, the interests of the government must first be protected,” he said. “The Due Diligence Report affirmed that AVM Bernardo Engineering is a legitimate company of good repute in the Philippines.

Sen. Galeai Tu’ufuli has been very vocal in urging the government to conduct such a review of AVM to ensure that it's a legal and legitimate company, due to the fact that it’s a foreign based business. (Samoa News understands that Galeai and a handful of lawmakers will be seeking a copy of the Due Diligence review.)

With the due diligence report in hand and completed, the governor said the ground breaking for this project “will be sometime this month if the details are worked out.”

Additionally, the existence of this project will provide yet another processing and manufacturing company operating on our shores, generating new products destined for world markets, he said.

“The establishment of the project brings with it new economic potential and expands our economic attractiveness to investors in other industries — which include airlines, surface transportation, textile manufacturing, and others,” the governor pointed out.

Lolo went on to explain that this proposed project may also benefit the pig farms in the territory, saying that one of the attractive features of the AVM Bernardo proposal is the availability of the avenue to facilitate the creation of secondary products converted through processing and manufacturing.

“The last report on the number of pig farms shows a marked increase, with the potential of increasing livestock,” he said. “The thought is to slaughter the pigs with conversion to the variety of pork based products imported from overseas.”

“Not only will new jobs be created, but the Territory’s tax base will be expanded,” he explained. “The growth in the number of pig farmers creates potential economic opportunities such as the processing of pig feed, fertilizer, and the need for a slaughterhouse.”

He said this economic potential, and similar ones, are being explored by the local Agriculture Department.