Tokyo and Manila have approved an action plan for cooperation on developing the Philippines’s manufacturing sector.

The Department of Trade and Industry (DTI) signed an Action Plan on Industrial Cooperation on Thursday with its Japanese counterpart, following the two governments’ pledge for industrial partnership during the recent state visit of President Aquino to Japan.

The Action Plan for Industrial Cooperation, signed by Trade Undersecretary Adrian S. Cristobal Jr. and Japan Deputy Director General for Trade Policy Toshiyuki Sakamoto, builds on a broader agreement signed last year between the heads of the trade offices.

“The government’s role is to pave the way toward industrial competitiveness by creating a business environment conducive for business to flourish,” Trade Secretary Gregory L. Domingo said in a statement.

The earlier agreement sees the greater involvement of Japan in the Philippines’s crafting of an industrial development road map, with the aim of making the country Asean’s “manufacturing and human re-
sources development hub.” The deal was signed by Domingo and then- Minister of Economy, Trade and Industry Toshimitsu Motegi during the first Industrial Cooperation Dialogue of Japan and the Philippines.

The Action Plan itself, according to the DTI, outlines broad initiatives in key areas of interest and cooperation, particularly in automobile, manufacturing, micro, small and medium enterprises, services and human resource development.

The initiatives in the action plan aims to identify the supply-chain gaps between the Philippines and Japan by providing technical and institutional capacity building to domestic industry players.

“Japan contributes to our efforts in sustaining our socioeconomic growth, as it continues to be a rich source of knowledge and experience in industry development and SME-centered policies and initiatives,” Cristobal said.

“These will help initiatives in identifying gaps and designing measures that are in line with our Apec Boracay Action Agenda to Globalize MSMEs,” he added.

The Industrial Cooperation Dialogue is among the mechanisms agreed to by the Philippines and Japan to further bilateral economic relations, along with discussions of the Philippine-Japan Economic Partnership Agreement subcommittee on improvement of business environment.

The private sector, business support organizations, Japan External Trade Organization  and the Japan International Cooperation Agency were included in the stakeholder consultation meeting, which preceded the signing of the action plan.

Source: http://www.businessmirror.com.ph/japan-commits-to-help-phl-develop-manufacturing-sector/