Govt invites investors for jai-alai, other games in Cagayan

MANILA, Philippines - The Philippine government on Tuesday invited investors for the planned relaunch of Jai-alai in the country. Aside from jai-alai, the government said that investors could also participate in the management of dog and horse racing operations that will be all located in an economic zone in Sta Ana Isabela in Cayagan. The future gaming activities will also be offered through interactive operations using live dogs and horses. Jai alai players, on the other hand, will come from Spain. The invites were issued during a presentation made by Cagayan Economic Zone Authority (CEZA) administrator and CEO Jose Mari B. Ponce during the opening day of the two-day Spain-Philippines Business Meeting held at the Renaissance Hotel in Makati City. CEZA is a government unit under the Office of the President that operates and manages the 50,000-hectare economic zone in Cagayan. The zone earns P20 million annually through virtual gaming or proxy-betting games. Ponce, in his speech, encouraged Spanish companies to explore the possibility of investing in Cagayan where 90 percent of locators are into gaming operations. New areas where new investors were enticed to come in include greyhound racing, horse racing and the once controversial jai alai. With these, CEZA could become the virtual gaming center in the country. Through virtual gaming, clients may play the games through proxies without necessarily being present here. Jai alai was banned in the Philippines in 1986 amid allegations of game-fixing. Jai alai originates from Spain's Basque country and was introduced in the Philippines over 100 years back. There were attempts to revive the popular spectator sport in 2001 led by the Philippine Amusement and Gaming Corp. (Pagcor) but because of strong oppositions from various religious groups, it was stopped again. Asked about the historical opposition of some sectors to jai-alai and other forms of gambling, CEZA public relations head Chris Valenzona said that although the proposed games encouraged betting, local bets will never be allowed. Instead, these betting-sports will be exclusive to foreign players such as the Chinese and Koreans who are among the biggest clients of CEZA in its interactive gaming operations. Valenzona added the Eusko Group in Basgue area of Spain has already expressed interest to invest in jai-alai and that the group is looking for local partners for the said venture. Dog and horse race activities may be operated by Filipino groups, Valenzona said. Economic zone locators are entitled to enjoy strings of perks including tax breaks of up to 6 years. CEZA’s virtual gaming operations are cornered by its major locator, the First Cagayan Leisure and Resort Corp. that is also a joint venture partner of CEZA. In 2007, CEZA raised P110 million in revenues where 90 percent comes from the casino earnings. With the construction of the airport, CEZA revenue is expected to double to over P200 million in 2008. In the same presentation, Ponce said CEZA projects to complete the first phase of the airport in 2008. Already half of the year, no initial works are visible in the said project site, according to Valenzona. - GMANews.TV