PH trade to support inclusive growth
PH trade to support inclusive growth
THE export of Philippine products and services is seen to significantly contribute to the government’s goal of inclusive growth and the priorities of the Philippine Development Plan 2011-2016.
“For the Philippines to attain inclusive growth through trade, we have to sustain growth, create jobs, and reduce poverty,” Bureau of Export Trade Promotion (BETP) Director Senen M. Perlada said in his presentation on the impact of exports on employment during the Ninth Trade Promotion Organization (TPO) Network World Conference at the Matrade Exhibition and Convention Centre (MECC) Kuala Lumpur, Malaysia.
The conference, which gathered over 200 high level delegates from the world’s leading TPOs, explored topics around the development and implementation of the TPOs’ operational and service innovations to address the needs of their exporters, a statement from the Department of Trade and Industry (DTI) said.
In this biennial conference, senior managers of TPOs come together to share good practices and d on alternative approaches in meeting common challenges brought about by the current global situation.
“In sustaining the country’s growth, our export growth rate should be at least at par with our ASEAN neighbours. Philippine exports have been growing at a slower rate because of weak demand especially in large consumer market such as the US and EU,” Perlada said.
In 2010, the country’s exports accounted for 34.8 percent of the country’s gross domestic product.
“To create jobs, more diverse export products and services, especially those which are labor-intensive, resource-based, and those with higher local value-added,” Perlada said.
At present, merchandise trade is concentrated in electronics, computer parts and auto parts. There is also a relative success in the services sector, particularly in the business process outsourcing (BPO). According to the Business Processing Association of the Philippines (BPAP), the BPO industry currently employs 650,000 people.
Aside from this, the Philippine government wants to increase its annual international arrivals to 10 million by 2016, from 3 million today. The growing tourism sector is seen to help employ the country’s increasing population as it nears 100 million.
“For trade to help in the reduction of poverty, we gave importance on trade that induces income growth through production and service activities directly in poor areas. There are a lot of opportunities in agriculture, resource-based value-adding activities, eco-tourism and community-based tourism,” Perlada said.
“If we accomplish our targets to double our total export to $120 billion by 2016, the outcome is increased local employment, and consequently, a better quality of life for more Filipinos,” Perlada added.
As stated in the Philippine Export Development Plan (PEDP) 2011-2013, the country’s exports target is $80.2 billion for 2012, and $89.2, for 2013. To attain these targets, the PEDP identified key export sectors, which taken together make up 87 percent of our current business whose performance will drive export growth.
These sectors are IT-BPO and other services, electronics, agribusiness products (food, coconut and other resource-based products), minerals, shipbuilding, motor vehicle parts, garments and textiles, homestyle products (furniture, furnishings, decors), and wearables (fashion accessories, shoes, bags, jewelry).
“These products and services have a high probability of success based on current volumes, supply chain attributes, local value-added and total employment. Also, these sectors are consistent with the priorities of the Philippine Development Plan 2011-2016,” Perlada said.
To explore practices and methods to gain a positive impact from trade development services, this recent TPO Network World Conference brought together top level practitioners from TPOs and other experts. Perlada joined in sharing the Philippine experience and took advantage of this unique networking opportunity for TPOs in this biennial event.
In 1996, this conference was first established to provide a forum for senior managers of national TPOs worldwide to gather and discuss issues relevant to their work agenda.