Three South Korean firms have pledged to invest some $500-million worth of agricultural projects in the Philippines. President Gloria Macapagal-Arroyo and Korean President Lee Myung-Bak witnessed the signing of the memorandum of understanding (MOU) on the proposed projects held at the Lotte Hotel here.

Agricultural Secretary Arthur Yap told reporters the three South Korean Firms are KOICA, Eco Solutions Co. Ltd. and EnviroPlasma Ltd.

The Korean International Cooperation Agency (KOICA) has also pledged to release a grant worth $12.97 million for the establishment of four modern rice processing facilities in Sta. Barbara, Pangasinan; Pototan, Iloilo; Pilar, Bohol, and Matanay, Davao del Sur.

This way, Yap said, the delivery of the food staple from farm to market would be made a lot easier.

He added that KOICA has also committed $14.9 million or P700 million for the expansion of the Molinao Dam in Bohol to pave the way for the irrigation of almost all farmlands in the province.

President Arroyo also met with representatives of Korean firms Eco Solution Co. Ltd and EnviroPlasma Ltd. who have pledged to invest $475 million in alternative fuel projects in the country.

Yap said Eco Solution and its affiliate, Eco Global Bio-Oils Inc., will invest $175 million on a jatropha plantation project in South Cotabato over the next three years.

On the other hand, EnviroPlasma and its local partner, Central Luzon Bioenergy Corp., will invest $300 million on a sugar bioethanol plant in Clark, Pampanga capable of producing 500,000 liters of bioethanol daily.