Volume 26 No. 06 June 2015 Boracay Action Agenda on MSMEs supported The Philippine-led Boracay Action Agenda to Globalize MSMEs (micro, small, and medium enterprises) received an overwhelming support from the 21 ministers who \ Cooperation (APEC) Ministers Responsible for Trade (MRT) Meeting held in Boracay, Aklan on 23-24 May. The Philippine-led initiative calls \ among APEC economies to provide MSMEs wider opportunities in the global or regional trade, Boracay Action Agenda either through global value chains Action Points \ 1. Facilitate the access of MSMEs to foreign programs (TTP) to include MSMEs in goods and services. trade agreements and regional trade order for them to contribute to security, agreements (FTAs/RTAs) by simplifying integrity, and resiliency in supply Department of Trade and and streamlining rules of origin chains. Industry (DTI) Secretary Gregory (ROO) procedural and documentary L. Domingo said the Philippines requirements and harnessing information 5. Support measures to widen options received “very good suggestions” technology (IT) to ease documentation [ from APEC trade ministers for and procedures. the infrastructure to facilitate lending the Boracay Action Agenda, which will be endorsed during the APEC 2. Streamline customs-related rules 6. Expand internationalization opportunities Economic Leaders' Meeting (AELM) and regulations and assist in the for MSMEs, providing goods and in November. compliance of MSMEs. services through information and communications technology (ICT) “That’s quite an accomplishment 3. Provide timely and accurate information and e-commerce. for the chairmanship of the on export and import procedures and requirements. 7. Strengthen institutional MSME support. Philippines. It’s very popular as ] 4. Widen the base of Authorized Economic 8. Strengthen focus on MSMEs led \\Q Operators (AEO) and trusted trader by women. Secretary Domingo said. The APEC has been pushing for They also called for the support “We are expecting it will be of the APEC Business Advisory Q in the past have focused on Council in pursuing action he said. improved participation of those to advance MSMEs’ participation already part of global value chains in global trade. P!"!# and not on MSMEs. $ Secretary Domingo said the \ Philippines has proposed the setting areas for cooperation such as trade up of a trade repository and services % DTI-Bureau !!"! framework for APEC. of Import Services (BIS) Director and institutional support to address Luis M. Catibayan said. business barriers. June 2015 1 Q economic zones this year as the he said. country remains as an attractive location for business due to its INDUSTRY Even if markets in Europe, United favorable economic conditions and TRENDS States (U.S.), and China are sluggish, young talent pool, de Lima said. Ortiz-Luis is optimistic that the second-quarter growth could Last year, PEZA-approved FDIs rise 18% in February grow higher on the back of strong #:?+*XY! Foreign direct investments (FDIs) Association of Southeast Asian &+#;#:[+&7Y#$&7+ that entered the Philippines grew Nations (ASEAN) and Japan markets. by 18% in February 2015 from PHL signs global trademark deal the comparative month last year, “The electronics sector has been /\] indicating the continued operations performing well. It can carry the of the Philippines (IPOPHL) " $)*) has signed a Memorandum of in the country, the &" Understanding (MOU) with ng Pilipinas (BSP) said. ) Ortiz-Luis said. the International Trademark Association (INTA), a global Growth prospects for other sectors association of trademark owners such as metals, mining products, and and professionals, to promote and services are also getting brighter. protect trademarks. Philippine exports in 2014 reached The agreement, signed at the FDIs rose to USD 359M in February USD 61.8B, or 9% growth over 2013. sidelines of the INTA Annual Meeting from USD 305M in the same month held in California in May, commits #$&*+/"67:; PEZA positive of drawing more the two parties to collaborate in better than the USD 263M recorded investments the areas of promotion, protection in January this year. The Philippine Economic Zone Authority and enforcement of trademarks, (PEZA) is optimistic it could restore research and information, as well Fresh investments made by foreign investments that were put on hold last as capacity-building. \ year with the continuing improvements =>&:?@ at the Port of Manila. The agreement is expected to from USD 63M a year ago. create a stronger link between the About P25B worth of investments government and the private sector Bulk of these investments went at the country’s ecozones were as INTA represents the world’s top into the following sectors: lost last year due to congestion at global brands. # " the Port of Manila. However, PEZA # O!!" Director General Lilia B. De Lima “The Philippines is playing an supply 6" increasingly important role in # @ will lure new investments this year. Q # /" INTA President J. Scott Evans said. # !! PEZA plans to talk to existing technical activities. economic zone locators and +!,/ convince them to proceed with their 2 FDIs came mainly from the United expansion plans given the reported 2 States (U.S.), Spain, the United easing of the port congestions Kingdom, Japan, and Singapore. in the Port of Manila. &$ '&$ Exports may reach 8%-10% Malacañang said the port congestion $ growth target issue has been resolved earlier Philippine public to help us The country’s exports could this year, owing to measures hit between 8%-10% expansion, implemented both by the $&& Philippine Exporters government and the private sector. & Confederation, Inc. (PhilExport) Q Evans said. President Sergio Ortiz-Luis Jr. said. To recover the investments, PEZA is also set to hold outbound investment For his part, Exporters are sticking it out with missions to Japan and Europe this Charge and Deputy Director General the growth targets set under the year, particularly in countries where Allan B. Gepty said the cooperation Philippine Export Development Plan \ is important as more global brands (PEDP), Ortiz-Luis said. in investing in the Philippines. are entering the Philippine market. '\ PEZA is sticking to its 8-% growth The country needs a more strategic the 8%-10% growth target this target for investment pledges in and sophisticated enforcement 2 Philippine Business Report against trademark infringement On the same note, Wong and The Next Wave Cities™ will be for both the physical and online Bernstein Group Company Business selected by the DOST-ICTO market, Gepty said. Senior Adviser Enrique M. Soriano and IBPAP based on the following III criteria: , demand to the country’s robust # 2 economy. # / # " & + of telecommunications networks &$ # he said. $"!#< # Y!" = vulnerability to natural disaster “With the accession of the result we have seen the emergence and issues related to security 2!2 $) and safety && $ %> In 2014, it was reported that the & Q country’s Next Wave Cities™ were Soriano said. the following: +4) # Y" a new platform of ensuring Meanwhile, the Department of # > $$& Science and Technology-Information # >" Gepty added. and Communications Technology # \ ]~>]/\/]}!" # @&X:X!_6`j with the IT and Business Process # Y~Y"! INTA comprises more than 6,500 Association of the Philippines Calumpit, Malolos City, Marilao, organizations from 190 countries, (IBPAP), is pushing for more and Meycauayan City) including the Philippines. locations in the country to be # ~Y! considered preferred outsourcing Dasmariñas City, and Imus City) PHL continues to be an attractive destinations. # "~! outsourcing site Los Baños, and Sta. Rosa City) The Philippines continues to be The DOST-ICTO is grooming the # _"~_"} an attractive outsourcing destination “next wave cities” to become part # ~! of Tholons’ Top 100 Outsourcing Cainta, and Taytay) "!{ Destinations. Lang LaSalle (JLL) Philippines Inc. In Tholon’s 2015 ranking, said. /" three cities in the Philippines that prepares an annual list ranking moved up several notches. * the best cities for outsourcing These are the cities of Bacolod, 6,7,9 worldwide. Baguio, and Iloilo. : $ /_( From its 93rd position in 2014, excludes Metro Manila, Metro Cebu, Bacolod rose to 86th in the ranking Q Metro Bacolod, and Metro Clark that Tholons began in 2006. JLL Research, Consulting and in Pampanga, since these are the From 99th, Baguio City is now ranked Valuation Head Claro dG. Cordero country’s “centers of excellence” 95th, while Iloilo City rose to 91st Jr. said. (COEs), having developed from 95th in the 2014 ranking. a mature information technology + and business process management S of the Philippines as an outsourcing (IT-BPM) industry. on PPP, BPO Canadian companies have expressed optimism in putting * Centers of Excellence $& up capital in the Philippines ) Metro Manila particularly in the areas of Metro Cebu public-private partnership (PPP) $ Metro Clark projects and business process 4"#4# Metro Bacolod outsourcing (BPO). ;Q Cordero said. President Benigno S. Aquino III He said new urban areas are being ?$$?$ $ drew these investor interests developed to accommodate will announce the top 10 next wave during his three-day state visit the expansion of the O&O Q ICT Industry Development :?" and BPO (business process \ closer diplomatic and economic "}+ of the DOST-ICTO said. ties between the two countries. June 2015 3 During his visit, President Aquino Devonshire-Ellis said the Philippines Sales of commercial vehicles (CV) met with Canada Governor General enjoys