DOF eyes March 2017 Philippine inflation rate at 3.6%

DOF eyes March 2017 Philippine inflation rate at 3.6%

By Joann S. Villanueva

MANILA, April 4 (PNA) -- Faster rate of price increases of food and oil in general are seen to further push domestic inflation rate in the Philippines to 3.6 percent in March, a Department of Finance (DOF) official said.

Finance Undersecretary and chief economist Gil Beltran, in his report to DOF Secretary Carlos Dominguez III, said normalization of oil prices from its record-low levels last year is the main factor for the uptick in domestic inflation rate this year.

In February, the country's inflation rose to 3.3 percent from January's 2.7 percent, bringing the average in the first two months this year to three percent, the middle of the central bank's inflation target range of 2 to 4 percent.

Oil prices went down to around USD40 per barrel in the early 2016 due to oversupply but it has so far gone up to a little over USD50 per barrel as major oil producers cut supply to address the low oil price environment.

This development made Beltran consider the faster inflation rate in the third month of 2016, with the food and non-alcoholic beverages sub-index seen to rise to 4.5 percent from 4.1 percent last February. Year-ago level for his index is 1.6 percent.

Housing, utilities and fuels index is also seen to register an increase to 4.1 percent from month-ago's 2.9 percent.

Core inflation, which exclude volatile items namely food and oil, rose to 2.7 percent last February from month ago's 2.6 percent and year ago's 1.6 percent as oil prices continue its climb.

Other sub-indices forecast to post increases are alcoholic beverages and tobacco, from six percent last February to 6.5 percent in March; clothing and footwear, from 2.8 to 2.9 percent; and health, from 2.6 to 2.8 percent.

Beltran however, sees lower contribution of the transport index for the third month this year to 1.9 percent from last February's 2.8 percent mainly due to lower oil prices last March in particular from last February's level.

The restaurant and miscellaneous services sub-index is also seen to post a slower growth of 1.8 percent from month-ago's 2.1 percent.

Inflation of the communication index is seen to remain flat at 0.2 percent and the recreation and culture and education indices both at 1.8 percent.

The Philippine Statistics Authority (PSA) is scheduled to release the March 2017 inflation report on Wednesday. (PNA)

Philippine strengthens trade and investment promotion efforts in Mexico

Philippine strengthens trade and investment promotion efforts in Mexico

Mexico City – The Department of Trade and Industry´s (DTI) Philippine Trade and Investment Center (PTIC) in Mexico, with support from the Philippine Embassy in Mexico, together with COMCE, the Mexican Business Council of Foreign Trade, Investment, and Technology recently discussed Philippine business opportunities in an organized roundtable on Philippine Business Opportunities in Mexico.

Participated in by over 30 Mexican businessmen from the logistics, autoparts manufacturing, business development, and agro-food products sectors, the event highlighted opportunities for trade and investments between the Philippines and Mexico.

Ambassador Eduardo Jose A. De Vega graced the event by highlighting the history of Mexico-Philippine trade relations and the importance of the current activities of the Philippine government to reactivate them.

Meanwhile, the Embassy´s Commercial Counselor and head of PTIC Mexico, DTI´s Vichael Angelo D. Roaring, presented current bilateral trade relation between the two countries and the opportunities, advantages, incentives and the optimum environment that the Philippines has developed to become a competitive destination for foreign investments and a source of exports of quality products.

"The Philippines continues to be a strategic business location in the Asia-Pacific region, being not only a 100 million market but as a gateway for over 500 million market of the ASEAN," highlighted Roaring. 

Juan Pablo Garcia, Director of Corporate Affairs of CEMEX, gave a testimonial and a case study of CEMEX´s experience of setting up and doing business in the Philippines.  With CEMEX' presence in more than 50 countries, Garcia cited the Philippines as one of its best places for doing business for its manpower and enabling business environment.  Garcia also pointed out CEMEX´s plans to venture in the low-cost housing sector in the Philippines, a preferred business sector of the DTI's Board of Investments 2017 Investment Priorities Plan (IPP). 

Jorge Barbosa of ProMexico, a trade promotion agency of Mexico, presented opportunities that Mexico offers to the Philippines in terms of investment, as well as the potential of the Philippine market for Mexican companies in the fields of processed food, beverages, frozen fruits and vegetables, auto parts, home appliances and creative industries, and the potential for investments in ports, infrastructure, auto parts, call centers and entertainment industries.

Also present to discuss the strengthening relations between the Philippines and Mexico are Ambassador Enrique Michel Santibáñez, former Ambassador of Mexico in the Philippines, and current COMCE president for the ASEAN; and Alberto Varelo of AMEXCID, a Mexican government agency for International Development Cooperation. On the other hand, Philippine Embassy Vice Consul Mikhail de Dios discussed cultural ties of the two countries.

The event served as an avenue for networking between Mexican businessmen and Philippine officials. PTIC Mexico held one-on-one consultations with the participants to work on their specific business interests with the Philippines.

World’s largest Halal event to showcase Philippine products

World's largest Halal event to showcase Philippine products

 

The Philippines, through the Department of Trade and Industry's Export Marketing Bureau (EMB) and Philippine Trade and Investment Center (PTIC) – Kuala Lumpur, is set to take part at the Malaysia International Halal Showcase (MIHAS) 2017 on 5-8 April in Kuala Lumpur, Malaysia.

 

After years of absence at MIHAS, the Philippines is back with 30 Philippine companies that will showcase Halal-certified products at the Philippine Pavilion. Joining the business delegation are companies from the food (27) and non-food (3) sectors.

 

Products to be showcased will vary from food and beverage, processed meats and snacks, to cosmetics and personal care. With its Philippine Export Industry development program, Philippines' participation at the said trade show is the biggest to date. 

 

"The Philippines takes this opportunity to introduce itself as a major supplier of Halal compliant products to the world.  We are here to take part in the global Halal initiative and to bring about innovative products that will complement the global Halal ecosystem. The Philippines brings together the strong collaboration of Halal stakeholders in the Philippines with the deliberate approach under the recently passed Philippine Halal Export Promotion and Development Law (Republic Act 10817),"  said DTI EMB Director Senen M. Perlada.

 

DTI-EMB confirmed the participation of San Miguel Purefoods Company, Inc., Mega Global, Century Pacific Food Inc., and Palmstore, among others.

 

The PTIC – Kuala Lumpur has also expressed confidence in the success of the Philippine's participation, especially with the keen interest shown by businessmen in Malaysia to visit the Philippine Pavilion and meet the companies.

 

"We have gained recognition in the industry with businesses and business organizations, culinary schools, hotels, food manufacturers, and wholesalers alike, expressing excitement to  see what the Philippines can offer in terms of Halal," said PTIC Kuala Lumpur Commercial Attache Katrina Banzon.

 

Philippine Halal products to Malaysia is estimated to be around USD 86.7 Million in 2016, with a five year compound annual growth rate (CAGR) of 26.80%.

 

MIHAS is considered the world's largest Halal event. It offers networking and business proposition for Halal exhibitors and buyers. According to its records, it welcomed over 22,000 trade visitors from more than 70 countries and generated record sales beyond RM1 Billion for 600 exhibitors.

 

MIHAS is hosted by Ministry International Trade and Industry, organized by Malaysia External Trade Development Corporation (MATRADE) in association with Halal Industry Development Corporation (HDC) and Department of Islamic Development Malaysia (JAKIM).

 

Philippines' DTI EMB and PTIC-Kuala Lumpur invite everyone to visit the Philippine Pavilion at MIHAS 2017.

 

Other participating agencies include the Department of Agriculture, Mindanao Development Authority, Zamboanga City Special Economic Zone Authority & Freeport and DTI Regions 5 and 9.

COMMON ERRORS OF ACCOUNTANTS IN THE FIELD OF TAXATION

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CHARTER NEEDS UPDATING TO 21ST CENTURY REALITIES, SAYS BELARO

CHARTER NEEDS UPDATING TO 21ST CENTURY REALITIES, SAYS BELARO

 

Restricting land ownership and the practice of professions "make no sense in this century," House Assistant Majority Leader Salvador Belaro, Jr. said Friday morning as he made his case for amending the 1987 Constitution before the 16th Annual Convention of Lawyers of the Integrated Bar of the Philippines (IBP).

 

"In the 21st century the sources of wealth are no longer the traditional notion of land, labor and capital. Now land could be of little value, but paramount are capital and labor also," Belaro, 1-Ang Edukasyon Party-list Representative, said at the sidelines of the IBP convention, which tackled the role of lawyers in ASEAN integration.

 

Belaro filed House Bill 4257 calling for an ASEAN Integration Plan that will guide national efforts to interface the Philippines with its immediate regional neighbors.

 

Other speakers at the convention include President Rodrigo Duterte, Vice President Leni Robredo, Chief Justice Maria Lourdes Sereno, Senate President Koko Pimentel and Justice Secretary Vitaliano Aguirre.

 

Belaro said, "wealth today is generated by entrepreneurship and expertise or a combination thereof. The specific situation of our country is that we don't have capital so we must attract it."

 

He is the author of a bill (HB 4227) aiming to attract investments in education and another bill (HB 4234) on public-private partnerships in education.

 

Belaro added that, "since economics is a function of supply and demand, the Constitution should be flexible to the vicissitudes in the market."

 

At least seven sections of the Constitution are on Belaro's list for "updating to 21st Century realities."  These are: Sections 2, 7, 10, 11, 14 of Article XII on the national economy and patrimony, Section 11 of Article XVI, and Section 4 of Article XIV. (END)

DTI, Robinsons Department Store launch first Go Lokal! store for MSME dev’t

DTI, Robinsons Department Store

launch first Go Lokal! store for MSME dev't

MANILA—Department of Trade and Industry (DTI), in partnership with Robinsons Department Store, launched its first Go Lokal! store in Robinsons Place Manila on March 24. 

 

Go Lokal! is a public-private collaboration between DTI and local retailer partners. Among its partners, Robinsons Department Store, an affiliate of Robinsons Retail Holdings Inc.,is the first to launch the project in a mainstream outlet. It serves as incubation, marketing, and branding platform for the best of Philippine micro, small and medium enterprises (MSME) products including next generation One Town One Product (OTOP) offerings.

 

Go Lokal! stores showcase modern and indigenous quality products crafted, designed, and created by innovative Philippine MSMEs. It can be found in consumer-frequented locations as a mainstream distribution channel for world-class Filipino products while offering value for money for targeted consumers and tourists.

 

"DTI is excited to open its first mainstream Go Lokal! store with Robinsons Department Store as its dynamic partner in this effort of maximizing market access and providing exposure to our MSMEs. Go Lokal! is truly a vibrant model for MSME development and inclusive business. We are happy that committed partners like Robinsons have taken on this challenge. We look forward to opening more outlets in their malls and department stores across the country," said DTI Secretary Ramon Lopez.

 

The trade chief also said that aside from providing market access for MSME products, the Go Lokal! program is a platform for new entrepreneurs to test the marketability of their products without the fear of losing rental and commercial costs because their experience is free of charge.

 

The market access platform is set to revolutionize the way hard-to-find and artisanal Filipino products are sold in the local market. The design-led concept store will bring together a specially-curated line-up that ranges from food, apparel, accessories, home décor, gadgets and gift items.

 

"This is Robinsons way of featuring world-class locally-made quality products by our MSMEs. Go Lokal! supports Filipino entrepreneurs into their initial foray into more mainstream markets making them more accessible to both local and foreign consumers. The diverse product line of Go Lokal! brings together the best products that the Philippines has to offer," said Mr. Johnson Go, General Manager of Robinsons Department Store.

 

"Ultimately, it's all about accessibility and opportunity for MSMEs, both of which you need to be successful in retail. Go Lokal! is one way for DTI and Robinsons Department Store to give assurance to these business owners that they have support from both the government and the private sector so they may profit from ventures that they are passionate about," Robinsons Department Store President and COO Robina Gokongwei-Pe said.

 

Portion of Go Lokal! revenues will go to various corporate social responsibility (CSR) projects of Robinsons Department Store including the government's drug rehabilitation program. 

DTI, SM’s Kultura sign deal to operate Go Lokal!

DTI, SM's Kultura sign deal to operate Go Lokal!

 MAKATI – The Department of Trade and Industry (DTI) and Kultura, the country's largest retailer of homegrown products, signed an agreement on 24 March to open Go Lokal! stores in SM Makati.

 

DTI Secretary Ramon Lopez, together with Industry Promotion Assistant Secretary Rosvi Gaetos and DTI 4-B Regional Director Joel Valera signed the agreement with Kultura represented by its Senior Vice-President for Operations Ivy Frances Yap and Merchandising Head Fatima Uy. This partnership allows Kultura to operate and manage Go Lokal! in order to provide greater market access to micro, small, and medium scale enterprises (MSMEs).

 

Go Lokal! is a design-led concept store and market platform showcasing modern and indigenous quality products crafted, designed, and created by innovative Philippine micro, small, and medium enterprises (MSMEs). It is mostly found in consumer-frequented locations as a mainstream distribution channel for world-class products while offering value for money to consumers. Go Lokal! is a public-private collaboration and serves as avenue for incubation, marketing, and branding for the best of Philippine MSME products including the next generation One Town One Product (OTOP) offerings.

 

"Kultura and Go Lokal! are complementary avenues to help our local MSMEs gain retail foothold in the Philippine domestic market. We are pleased to open a Go Lokal! together with Kultura as a testament of our collective thrust of inclusive growth and development of our MSMEs." said Secretary Ramon Lopez.  

 

The trade chief also said that aside from providing market access for MSME products, the Go Lokal! is a platform for new entrepreneurs to test the marketability of their products without fear of losing out on rental and commercial costs because their Go Lokal! experience is free-of-charge.  

 

Kultura is the leading brand for uniquely Filipino products. 

 

"Kultura has become a showcase of local artistry and craftsmanship and furthers its advocacy by partnering with the DTI for its Go Lokal Project, providing a venue for the distribution and promotion of products sourced from MSMEs," said Ms. Ivy Yap.

 

Its Go Lokal pop-up store opens in April and will run throughout the year at the 2^nd  level of SM Makati.

Philippines’ hosting of the ASEAN and its Business and Investment Program (ABIP)

PH and SG push for greater trade cooperation within ASEAN. Department of Trade and Industry (DTI) Philippine Trade & Investment Centre (PTIC) – Singapore Commercial Counsellor Glenn Peñaranda talks about the Philippines' hosting of the ASEAN and its Business and Investment Program (ABIP) with the Singapore International Chamber of Commerce (SICC). SICC invited Peñaranda in its March 2017 ASEAN Committee meeting. Peñaranda further shared the agenda of steering the ASEAN to full economic integration through greater trade and investment among member countries and detailed the DTI's ABIP events that will complement the country's priorities under the ASEAN Economic Community pillar. Peñaranda covered as well the latest investment climate and opportunities in the country, highlighting the strong presence of Singapore businesses in various sectors. The SICC is the first business chamber in Singapore. Its key themes are on ASEAN, innovative collaboration, realities of the present and sustainability of Singapore. The Chamber celebrated its 180th in February of this year. In photo: (L-R) Philip Pang, Singapore International Chamber of Commerce (SICC) Director for Government Relations; Philippine Commercial Counsellor Glenn Peñaranda; Philippine Ambassador to Singapore Antonio Morales; Victor Mills, SICC Chief Executive.

Cesar Montano still goes to work at TPB amid complaint

Cesar Montano still goes to work amid complaint

By Azer N. Parrocha

MANILA, March 16 (PNA) -- It's business as usual for Tourism Promotions Board (TPB) Chief Operating Officer (TPB) Cesar Montano who continues to work despite a complaint filed against him by his staff on alleged irregularities.

Tourism Secretary and TPB Chairman Wanda Teo, who recently arrived from an expo in Berlin, Germany, said that Montano remained as chief of the DOT's marketing arm.

"He still goes to the office," Teo told reporters on the sidelines of the 2017 ASEAN-China Year Tourism Cooperation held at the Philippine International Convention Center in Pasay City on Thursday.

She refused to comment when asked if she still "trusted" Montano as Pres. Rodrigo Duterte previously stated in a speech.

The Secretary previously admitted that Montano was not her first choice to head the TPB.

On Monday (March 13), Pres. Duterte said that he still trusted Montano amid allegations and urged officials to file a case.

The Secretary reiterated that the agency would await results of the investigation being conducted by the Presidential Action Center (PACE) where the complaint was filed.

She said that she had no plans for her agency to conduct its own investigation as the Senate also eyed its own probe on the issue.

Asked if she was aware of the allegations even before the complaint was filed, Teo said that she has read them in the newspapers.

In the seven-page letter of complaint filed at the PACE, Montano was accused of irregularities including entering into multimillion peso deals without approval from the board, hiring his own staff whose functions were redundant with current employees and the questionable use public funds.(PNA)

Japanese Companies investment interests in the Philippines

Department of Trade and Industry (DTI) Secretary Ramon M. Lopez met with senior executives of Japan's seven major trading houses in Tokyo recently (March 1, 2017) to discuss President Rodrigo Duterte's economic programs and Japanese Companies investment interests in the Philippines, conservatively valued at Php198.5B.

 

During a breakfast dialogue, Lopez—together with Transportation Secretary Arthur Tugade and PH Ambassador-Designate Jose Laurel V—got together with representatives of the sogo shoshas or Japanese companies with a broad range of business activities. Companies present at the meeting were Mitsubishi Corporation, Mitsui and Co., Ltd., Sumitomo Corporation, Itochu Corporation, Marubeni Corporation, Toyota Tsusho, and Sojitz.

 

"Through sound and consistent macroeconomic policies, the country continues to attract serious investments. The fundamentals are there in terms of a fast-growing economy, a 109-million population base, standing trade agreements, and a young, talented, and dedicated work force," Sec. Lopez said on the Japanese companies' willingness to investment in the Philippines.

 

"All these—plus political will and focused trade and investment policies—act as a magnet for foreign investments," Sec. Lopez added.

 

The investment interests of the sogo shoshas would cover the period spanning late 2016 to 2020, and include:

• Marubeni willing to invest in additional coal power plants worth Php75B over the medium term;
• Itochu and Sumitomo (through PH subsidiaries Dole and Sumifru respectively) willing to invest an additional Php12.9B through 2018 to expand their integrated farming projects in Mindanao;
• Sumitomo, Sojitz, and Mitsui jointly invested in Coral Bay Nickle Corporation and Taganito High Pressure Acid Leaching (THPAL) Nickle Corporation in Surigao and Palawan, at a cost of Php80B;
• The CARS program, under the DTI-driven Manufacturing Resurgence Strategy, enjoying the support and participation of Mitsubishi, Sojitz, Mitsui, and Toyota Tsusho; and, 
• All 7 trading houses expressing interest in the Philippines' "Golden Age of Infrastructure," i.e. the Railway and Subway Projects, the Clark Green City Project, the Expanded Port and RoRo Building Programs, and the Airport Development Projects.

"With DTI's inclusive business model, our resource-based country has the potential to become a major supplier to the world by fostering value chain linkages and partnerships between the MSMEs as suppliers of goods and services, and the large enterprises as buyers," Sec. Lopez said.

 

When asked about the Philippine government's mining and tax policies, Secretaries Tugade and Lopez responded that government reforms are being crafted along balanced and fair consideration of both industry and consumer interests.

 

They also assured investors that with public sector agencies rigidly adhering to President Rodrigo Duterte's zero corruption dictum, projects would receive adequate protection and fair treatment.

 

The two officials likewise encouraged the Japanese trading houses to use their expansive business systems to help in planning an efficient set of economic infrastructure, such as farm-to-market roads, bridges, seaports, airports, railways for cargo, passengers and RORO vessels, and service providers.