Manufacturing and Logistics NewsPart 3 News: Seven Winning Sectors

$120-B 2016 Exports Target Maintained

MANILA, Philippines — Despite giving up hopes of attaining its exports growth target this year, the government is sticking to its original exports target of $120 billion by 2016 saying the 2011 performance is unlikely to affect growth in the next five years.

Senen Perlada, executive director of Export Development Council and director of the Bureau of Export and Trade Promotion (BETP) of the Department of Trade and Industry, told reporters they are not going to revise the exports growth target under the Philippine Exports Development Plan saying they are confident the 2011 performance is an isolated case and would not affect next years’ growth.

“We don’t think 2011 will affect our overall double-up target of $120 billion by 2016,” Perlada said.

In the first place, Perlada said the US and Euro zone crisis is expected to be contained.

He cited latest indicators of the US economy, which suggest the world’s largest economy is not going to experience double-dip this year.

To support exports, the Philippine government is channeling its assistance under the Export Support Fund for capacity-building of the exports sector instead of focusing on promotional activities.

This includes the establishment of shared service facilities like packaging plant, retorts and fiber production development.

Already, the Office of the President has allotted P80 million this year for exporters and P60 million next year from the organic budget of the Department of Trade and Industry. This already includes budget for the extension of the One-Town One-Product program.

In addition, he said, the government will push for the promotion of value adding services in the country of existing electronics companies.

For instance, most of existing electronics firms are already conducting their testing and assembly operations in the country. The government is hoping to be able to convince these firms to add more capacities on these operations instead of giving these to other countries. (BCM)
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Source: Manila Bulletin, October 20, 2011
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