Trade department set to amend IPP

By: Amy R. Remo | 12:05 AM July 11th, 2016

The Department of Trade and Industry plans to amend the Investment Priorities Plan and the Philippine Export Development Plan to reflect the aggressive thrust of the new administration to improve the plight of micro, small and medium sized enterprises.

The DTI intends to put more emphasis on the inclusive business (IB) model by providing additional support mechanisms and, possibly, incentives under the IPP.  It  plans to include in the IPP a provision granting additional incentives to businesses that will set up operations in least developed areas and those devastated by natural calamities, said Trade Secretary Ramon Lopez.

“Any industry that will find significant links with the MSMEs through the IB model will be given priority and incentives. It’s the same thing with exporters that are linked with MSMEs, there should be corresponding support mechanisms,” he said in an interview with the Inquirer.

“Putting emphasis on the IB model is connected with our push for MSMEs. They’re intertwined because the IB model is all about linking with MSMEs (and making them) a natural part of your existing business model. And I’m not just talking about the inputs or MSMEs becoming suppliers, but also  in terms of distributorship arrangements with MSMEs,” Lopez added.

Inclusive businesses refers to those that engage the poor and low-income communities as partners, customers, suppliers and employees in their operations not out of charity, but because it makes good business sense. The integration of these communities into the global value chains improves their quality of lives and makes for better business with diversified supply and distribution systems.

Source: www.business.inquirer.net