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Download Assessment SECOND ANNIVERSARY ASSESSMENT 2013 RIZAL MAKATI FEBRUARY 26 BALLROOM SHANGRI-LA ARANGKADA PHILIPPINES FORUM Realize the Potential! A PROJECT BY THE JOINT FOREIGN CHAMBERS OF THE PHILIPPINES Philippine Copyright © 2013 Published by: The Arangkada Philippines Project (TAPP) The American Chamber of Commerce of the Philippines, Inc. (AmCham) 2nd Floor, Corinthian Plaza, 121 Paseo de Roxas, Makati City, Philippines Tel. No. : +63 (2) 751-1495 Fax : +63 (2) 811-3081 E-mail : [email protected] Website : www.arangkadaphilippines.com All rights reserved. This assessment publication may not be reproduced in whole or in part, in any form, for commercial purposes. It is, however, an advocacy publication and its use for economic policy advocacy is highly encouraged with or without attribution. The views expressed in the Second Anniversary Assessment are those of the experts who cooperated with The Arangkada Philippines Project administered by the American Chamber of Commerce of the Philippines, and not necessarily those of the many private and public sector sponsors listed elsewhere in the document. Some of the activities reviewed in this assessment are made possible by the support of the American People through the United States Agency for International Development (USAID). The contents of the Second Anniversary Assessment represent the opinion of the persons who drafted the Second Anniversary Assessment as organized under The Arangkada Philippines Project administered by the American Chamber of Commerce of the Philippines and do not necessarily reflect the views of USAID or the United States Government. 2013 Arangkada Philippines Second Anniversary Forum: Assessment of Year 2012 Printing and color separation by : Corces Printing TABLE OF CONTENTS 1 Part 1: Growing Too Slow 8 Part 2: Becoming More Competitive Part 3: Big Winner Sectors 13 Agribusiness 22 Business Process Outsourcing 36 Creative Industries 44 Infrastructure — Policy 54 — Airports 63 — Power 70 — Roads & Rails 78 — Seaports 87 — Telecommunications 93 — Water 100 Manufacturing 109 Logistics 118 Mining 129 Tourism, Medical Travel, & Retirement Part 4: General Business Environment 142 Business Costs 150 Environment & Natural Disasters 159 Foreign Equity & Professionals 165 Governance 173 Judicial 180 Labor 188 Legislation 195 Local Governance 203 Macroeconomic Policy 216 Security 225 Social Services — Education 234 — Health & Population 240 — Poverty LIST OF ABBREVIATIONS 3G Third Generation CARP Comprehensive Agrarian Reform Program 4Ps Pantawid Pamilyang Pilipino Program (conditional cash transfer program) CCT Common Carriers Tax ACT Alcohol, Cigarettes, and Tobacco CEO Chief Executive Officer ADB Asian Development Bank CECP Creative Economies Council of the Philippines AFTA ASEAN Free Trade Area CHARDO Chassis RORO AO Administrative Order CHED Commission on Higher Education ARMM Autonomous Region of Muslim Mindanao CICT Commission on Information and Communications Technology ARTA Anti-Red Tape Act CIDA Canadian International Development ARTFF Anti-Red Tape Task Force Agency ASEAN Association of Southeast Asian Nations CIQ Customs, Immigration and Quarantine ASEAN-6 Indonesia, Philippines, Malaysia, CITEM Center for International Trade Singapore, Thailand, and Vietnam Expositions and Missions ASTI Advance Science and Technology CMO CHED Memorandum Order Institute CNN Cable News Network BEST Basic English Skills Training COA Commission on Audit BBC British Broadcasting Corporation COE Centers of Excellence BI Bureau of Immigration CSC Civil Service Commission BIR Bureau of Internal Revenue CTMA Customs and Tariff Modernization Act BOC Bureau of Customs DBM Department of Budget and BOI Board of Investments Management BOT Build-Operate-Transfer DCP Design Center of the Philippines BPAP Business Processing Association of the DENR Department of Environment and Philippines Natural Resources BLPS Business Process and Licensing System DepEd Department of Education BPO Business Process Outsourcing DICT Department of Information and BSP Bangko Sentral ng Pilipinas Communications Technology CA Court of Appeals DILG Department of Interior and Local Government CAAP Civil Aviation Authority of the Philippines DO Department Order CAO Customs Administrative Order DOE Department of Energy CALA Cavite-Laguna DOF Department of Finance CALABARZON Cavite, Laguna, Batangas, Rizal, and DOH Department of Health Quezon DOJ Department of Justice IACWS Inter-Agency Committee on the Water Sector DOLE Department of Labor and Employment ICC Investment Coordination Committee DOST Department of Science and Technology ICT Information and Communications Technology DOST-SEI DOST Science Education Institute ICTO Information and Communications DOT Department of Tourism Technology Office DOTC Department of Transportation and IFC International Finance Corporation Communications IMD International Institute for Management DPWH Department of Public Works and Development Highways INFRACOM Infrastructure Committee DSWD Department of Social Welfare and Development IOR Importer of Record DTI Department of Trade and Industry IP Intellectual Property E2M Electronic-to-Mobile IPA Investment Promotion Agencies e Electronic; Estimate IPR Intellectual Property Rights e-AdEPT Electronic Advanced English Pre- IRCAM Integrated Risk Communication, employment Training Assessment, and Management ECCP European Chamber of Commerce of IRR Implementing Rules and Regulations the Philippines IRRI International Rice Research Institute EITI Extractive Industries Transparency IT Information Technology Initiative JBIC Japan Bank for International EP Exploration Permit Cooperation EPIRA Electric Power Industry Reform Act ERC Energy Regulatory Commission JDR Judicial Dispute Resolution EU European Union JFC Joint Foreign Chambers of the Philippines EVAT Expanded Value Added Tax JICA Japan International Cooperation f Forecast Agency FDA Food and Drug Administration JMC Joint Memorandum Circular FDI Foreign Direct Investment JV Joint Venture FINL Foreign Investment Negative List JVA Joint Venture Agreement FOI Freedom of Information K-12 Kindergarten to Grade 12 FPI Federation of Philippine Industries LBP Land Bank of the Philippines FTA Free Trade Agreement LEDAC Legislative Executive Development GCAT Global Competitiveness Assessment Advisory Council Tool LGU Local Government Units GCG Governance Commission for GOCCs LNG Liquefied Natural Gas GDP Gross Domestic Product LRT Light Rail Transit GILAS Gearing up Internet Literacy and LRTA Light Rail Transit Authority Access for Students MARINA Maritime Industry Authority GPBT Gross Philippine Billings Tax MAP Management Association of the GPH Government of the Philippines Philippines GPS Global Positioning System MCC Millennium Challenge Corporation GOCC Government-Owned and Controlled MDC Mineral Development Council Corporation MGB Mines and Geosciences Bureau GSIS Government Service Insurance System MIAA Manila International Airport Authority HDM-4 Highway Development and Management Model MICC Mining Industry Coordinating Council HIM Health Information Management MMDA Metropolitan Manila Development Authority HLURB Housing and Land Use Regulatory Board MRT Metro Rail Transit HR Human Resources MWSS Metropolitan Waterworks and Sewerage System HUC Highly-Urbanized Cities NAIA Ninoy Aquino International Airport NCC National Competitiveness Council PORTAL Ports Transparency Alliance NCIP National Commission on Indigenous PPA Philippine Ports Authority Peoples PPP Public Private Partnership NCR National Capital Region PRC Professional Regulation Commission NDP National Design Policy PSE Philippine Stock Exchange NEDA National Economic and Development RCOA Retail Competition and Open Access NGCP National Grid Corporation of the RHC Retirement and Healthcare Coalition Philippine RORO Roll-On/Roll-Off NGO Non-Governmental Organization RTC Regional Transportation Commission NLES North Luzon Expressway SAJJ Special Allowance for Justices and NLRC National Labor Relations Commission Judges No. Number SB Senate Bill NPA New People’s Army SBMA Subic Bay Metropolitan Authority NPAC National Port Advisory Council SC Supreme Court NSSMP National Sewerage and Sanitation SEC Securities and Exchange Commission Management Program SEI Science Education Institute NTC National Telecommunications Commission SLEX South Luzon Expressway NWC New Wave City SMS Short Messaging Service NWRB National Water Resources Board SSME Service Science Management Engineering NWRMO National Water Resources Management Office SSS Social Security System ODA Official Development Assistance SUC State Universities and Colleges OFW Overseas Filipino Worker SWMC Senate Ways and Means Committee OJT On-the-Job Training SWS Social Weather Station OMD Office of the Ombudsman SY School Year p Projection TAF The Asia Foundation PA Philippine Army TEU Twenty-foot Equivalent Units PAGASA Philippine Atmospheric, Geophysical, TEZ Tourism Enterprise Zone and Astronomical Services TI Transparency International PBG Philippine Business Group TIEZA Tourism Infrastructure and Enterprise PC Personal Computer Zone Authority PCAARRD Philippine Council for Agriculture, TIPC Tripartite Industrial Peace Council Aquatic, and Natural Resources TPP Trans-Pacific Partnership Research and Development TRO Temporary Restraining Order PCCC Philippine Climate Change Commission UNESCO United Nations Educational, Scientific PCI Per Capita Income and Cultural Organization PD Presidential Decree US United States PDDCP Product Development and Design VAT
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