DTI sees bright prospects ahead for PH coffee industry

While the Philippines consumes as much coffee as countries such as the United States, Brazil, Japan, and the European Union, the country is also looking to be one of the top producers of top-grade coffee around the world.

To make this a reality, President Rodrigo Duterte last March 7, 2017 signed the Philippine Coffee Industry Roadmap 2017-2022 to boost the country’s domestic coffee output in the next five years—a huge lift for coffee farmers, producers, and traders.

Department of Trade and Industry (DTI) Secretary Ramon Lopez said that the trade department is working closely with the Department of Agriculture (DA) to ensure that the Philippine Coffee industry would be at par with the world’s top producers such as Brazil, Vietnam, Columbia, Indonesia, and Honduras.

“We have to have a patriotic drive to encourage demand for Philippine coffee. We are encouraging local producers to expand coffee production to create the demand,” said Sec. Lopez.

The Philippine Coffee Industry Roadmap 2017-2022 will guarantee a coffee industry that is cost-competitive, aligned with global quality standards, reliable and environment-friendly, which will provide sustainable benefits to farmers, processors, traders, and exporters, and attain food security and poverty alleviation.

Coffee is the second most traded commodity in the world and is grown in 50 countries along the equatorial zone called “The Bean Belt,” which is located between latitudes 25 degrees north and 30 degrees south. Interestingly, the Philippines lies within the Bean Belt.

Due to this advantageous location and favorable, although tropical, climate, the country produces four varities of coffee including Robusta, Arabica, Excelsa, and Liberica.

According to Lopez, the current coffee output of the Philippines is pegged at 37,000 tons a year but with the Philippine Coffee Roadmap, the country is expected to raise the coffee production to 214,626 metric tons by 2022. This will bring the country’s coffee self-sufficiency level to 161% from the current 41.60%.

The Philippine Coffee Roadmap would also make available 213,788 hectares of area planted with coffee nationwide, translating to a huge yield of one ton of coffee beans per hectare—a huge discrepancy from the usual 0.33 ton per hectare. The task of implementing the roadmap falls on the Philippine Coffee Council.

Lopez is optimistic that the country will be able to achieve this feat especially with DTI assisting the coffee industry, which is one of the priority sectors of the agency.

“Through DTI’s 7Ms (Mindset change, Mastery, Mentoring, Money, Machine, and Models), we will continue to provide enabling mechanisms to empower coffee farmers and help in addressing the challenges in the industry,” Sec. Lopez added.

Data shows that Vietnam is the highest exporter of coffee green beans to the Philippines. Filipinos are also fifth among the highest consumers of coffee behind EU, US, Brazil, and Japan. Similarly, the Philippines is the top importer of soluble coffee and fourth total importer in the world.

As far as coffee production is concerned, the gap between coffee demand and production is widely noticed with demand for coffee is at 90% and imports amounting to P12 billion. The demand is still increasing with expanding consumption based among younger generation.

Currently, the top five regions in producing coffee are SOCCSKSARGEN (Region 12) with 25,100.77 metric tons, Davao with 11,429.78 metric tons, Autonomous Region of Muslim Mindanao (ARMM) with 10,341.59 metric tons, Northern Mindanao with 5,604.95 metric tons, and Western Visayas with 4,356.25 metric tons.

With the Philippine Coffee Roadmap as guide, the trade and agriculture departments together the private sector, and other coffee stakeholders held last March 20-21, 2018, the 3rd Philippine Coffee Conference in Baguio City and presented the coffee industry’s performance on the first year of the implementation of the roadmap.

The conference also discussed among other topics, the strategies to achieve the goals of the Philippine Coffee Roadmap, trends in coffee brewing methods, quality coffee farming of arabica and fine robusta, retailing a coffee business, financing for coffee business, and coffee business models.

DTI gears up for 67th edition of Manila FAME

The Department of Trade and Industry through its Center for International Trade Exhibitions and Missions (CITEM) is set to showcase high-quality and design-driven home décor and houseware Philippine-made products at the 67th edition of the Manila FAME happening on 19 to 21 April 2018 at the World Trade Center, Pasay City.

 

Highlighting the country’s creative enterprises, Manila FAME continues to project the Philippines’ as a reliable source of premier and world-class home furnishings through the highlights of the international trade show which include Design Commune: Patterns and Palettes, Artisans Village, Great Women Project 2, RIPPLES Plus, and Manila Wear.

 

“Manila FAME has been a platform where the Philippines showcases our country’s best, from acclaimed artisans to budding young designers. This is among the many platforms provided for local and international buyers to experience Filipino designs and source their next home décor and furnishings in Manila. With our strengthened programs of enhancing Filipino enterprises’ capacity, the Philippines is ready to attract more foreign buyers and assist more Filipino exporters in penetrating the lucrative international market,” said DTI Trade and Investments Promotion Group Undersecretary and CITEM Officer-In-Charge Nora K. Terrado.

Continuing the success of its maiden edition during the 66th edition, Design Commune: Patterns and Palletes will be returning to the 67th edition to present a curated display of Philippine aesthetics and materials proudly produced by 70 micro, small, and medium-sized enterprises (MSMEs) who worked with designers Tes Pasola, Detleft Klatt, Reine Shih, and Josef Crisanto under the thematic guidance of world-renowned designer, Tony Gonzales.

Design Commune is framed in five unique themes inspired by design trends of 2018: Ethnic Nomad Spring and Autumn, Neutral Metals, Neutral Blues, and Tints of Green.

Meawhile, Artisans Village will showcase regional crafts from featured Philippine destinations such as Zamboanga City, South Cotabato and Ifugao.

Manila FAME also supports the country’s initiative of assisting women entrepreneurs through the showcase of the Gender Responsive Economic Actions for the Transformation (GREAT) of Women Project 2. As part of the highlights of this edition, DTI-Design Center of the Philippines provided product development and management mentoring to 30 women-led enterprises under the GREAT Women Project 2 initiative. Products under this category range from handwoven bags to handcrafted home decors.

Sixteen (16) of the leading enrollees of the DTI-Export Marketing Bureau’s (DTI-EMB) Regional Interactive Platform for Philippine Exporters Plus (RIPPLES Plus) will also join the said trade show highlighting artisanal accent pieces and wearable products. RIPPLES Plus is a signature program of DTI that aims to increase the number of internationally competitive local product and services through capacity building and trainings.

“True to DTI’s mandate of assisting Filipino enterprises, the heart of our initiatives is the goal of increasing the number of MSMEs in the Philippines exporting their products to key markets and buyers. We are not just supporting them through platform provision in accessing markets; we are also assisting them in product development, capacity building, marketing and enterprise development as a whole,” explained Undersecretary Terrado.

Manila FAME also caters to the fast-growing fashion industry through Manila WEAR. The trade show will host a collective of the country’s fashion designers with their innovative and trendy designs. Manila WEAR aims to advance the country’s fashion industry by advocating ingenious designs that combine artisanal crafts with contemporary and trendy sensibilities.

According to DTI-CITEM, in its effort to encourage and inspire Philippine exporters and designers to continue to provide excellent and competitive product offerings and elevate the Philippine brand to the world market through innovation, Manila FAME serves host to the awarding of best products exhibited at the said trade show through Katha Awards. “Above all these highlights, we aim to recognize outstanding products and designers that continue to innovate and redefine the Philippine design imprint,” said Undersecretary Terrado.

Products displayed under the Design Commune: Patterns and Palettes directed by Creative Director Tony Gonzales during the 66th edition of Manila FAME.

Negosyo Centers conduct marketing seminar for Cebu MSMEs

Micro and small entrepreneurs from the towns of Consolacion and Carcar attended a seminar recently conducted by the Department of Trade and Industry (DTI) Negosyo Centers (NC). entitled  ”Marketing Your Business”.

According to NC Carcar business counselors Jessa Joyce Apas and Karen Ann Sayson, the topics discussed during the activity included the concept of marketing and how it can be applied into the MSMEs’ perspective.

DTI believes that a business doesn’t end with a product development. It is equally important to know how to penetrate the market thus the introduction of marketing seminars.

In line with Republic Act No. 10644 or the Go Negosyo Act, the DTI Negosyo Center continues to assist MSMEs in all aspects of business, from finance, marketing, branding, labeling, among others.

Since DTI wants to cater nor just to existing MSMEs but to would be entrepreneurs as well, the department, through its Negosyo Centers, also offers How to Start a Business seminar which can be complemented by a Simple Business Plan Preparation.

A Financial Management seminar is also prepared for would be entrepreneurs in order to help them manage well their finances.

For more information on seminars and trainings conducted by DTI, interested parties can visit the nearest Negosyo Center in their area.

Negosyo Centers have been set up by the DTI to promote ease of doing business, facilitate business registration, provides business advisory services and business information, particularly in the countryside., Other support for MSMEs ensure management guidance, assistance and improvement of the working conditions of MSMEs; and facilitate market access and linkaging services for entrepreneurs.

PH gets Chinese companies’ investment pledges worth USD 9.8 B

The Department of Trade and Industry (DTI) welcomed USD 9.8 billion-worth of investment intentions from Chinese companies that will cover the construction, electronics, agriculture, tourism, and pharmaceutical sectors, and will provide an estimated 10,800 employment opportunities.

“Investments are important in bringing more job opportunities for all Filipinos. Our bilateral cooperation with China continues to deepen and strengthen. We have agreed to discuss cooperation plans for the next five or even up to 10 years to move forward in specific fields,” said President Rodrigo Roa Duterte.

“As one of the world’s top investment destinations, the Philippines enjoys the confidence of foreign direct investors. And due to our enhanced bilateral and trade relations with China, Chinese companies have increasingly expressed interest in investing in our country,” added Trade Secretary Ramon Lopez.

The President witnessed the signing of nine Letters of Intent (LOI) from the following companies: Shanghai GeoHarbour Group, Jovo Group Co. Ltd. Guangdong, Zhongfa Group, Haocheng Group, China Green Agriculture Group, East-Cloud Biz Travel Ltd., China National Heavy Machinery Corporation, Sino BMG, as well as Shanghai Shinehigh Biotechnology Ltd. Co. and Zhejiang Dongyang Jinxin Chemical Co. Ltd. The signings were held at the sidelines of the Boao Forum 2018 held in Boao, China on 10 April.

The total approved investments from China grew by 53.61% from Php 1.52 billion in 2016 to Php 2.33 billion in 2017. Industries that played a big role in this breakthrough include manufacturing, electricity, service, and finance.

In 2017, China ranked as PH’s top trading partner, 4th largest export market, and top import supplier. PH exports to China grew by 9.73% due to the increase in exports of digital monolithic integrated circuits, cathodes of refined copper, and other fixed capacitators.

“We continue to improve the Philippine business environment and soon, we will be adopting new domestic policies and regulations to promote ease of doing business and competitiveness in various industries,” Sec. Lopez said.

Meanwhile, DTI is strengthening its presence in China by activating three offices and deployment of commercial officers in Beijing, Shanghai, and Guangzhou.

The Department will also lead the Philippine delegation to the inaugural edition of the China International Import Exposition (CIIE) on November. This major event is organized by the Chinese government to facilitate increase in imports from partner countries and contribute to balancing bilateral trade. The Philippine delegation will consist of major Filipino exporters and will occupy 100 booths in the Enterprise Zone

PH gets Chinese companies’ investment pledges worth USD 9.8 B

The Department of Trade and Industry (DTI) welcomed USD 9.8 billion-worth of investment intentions from Chinese companies that will cover the construction, electronics, agriculture, tourism, and pharmaceutical sectors, and will provide an estimated 10,800 employment opportunities.

“Investments are important in bringing more job opportunities for all Filipinos. Our bilateral cooperation with China continues to deepen and strengthen. We have agreed to discuss cooperation plans for the next five or even up to 10 years to move forward in specific fields,” said President Rodrigo Roa Duterte.

“As one of the world’s top investment destinations, the Philippines enjoys the confidence of foreign direct investors. And due to our enhanced bilateral and trade relations with China, Chinese companies have increasingly expressed interest in investing in our country,” added Trade Secretary Ramon Lopez.

The President witnessed the signing of nine Letters of Intent (LOI) from the following companies: Shanghai GeoHarbour Group, Jovo Group Co. Ltd. Guangdong, Zhongfa Group, Haocheng Group, China Green Agriculture Group, East-Cloud Biz Travel Ltd., China National Heavy Machinery Corporation, Sino BMG, as well as Shanghai Shinehigh Biotechnology Ltd. Co. and Zhejiang Dongyang Jinxin Chemical Co. Ltd. The signings were held at the sidelines of the Boao Forum 2018 held in Boao, China on 10 April.

The total approved investments from China grew by 53.61% from Php 1.52 billion in 2016 to Php 2.33 billion in 2017. Industries that played a big role in this breakthrough include manufacturing, electricity, service, and finance.

In 2017, China ranked as PH’s top trading partner, 4th largest export market, and top import supplier. PH exports to China grew by 9.73% due to the increase in exports of digital monolithic integrated circuits, cathodes of refined copper, and other fixed capacitators.

“We continue to improve the Philippine business environment and soon, we will be adopting new domestic policies and regulations to promote ease of doing business and competitiveness in various industries,” Sec. Lopez said.

Meanwhile, DTI is strengthening its presence in China by activating three offices and deployment of commercial officers in Beijing, Shanghai, and Guangzhou.

The Department will also lead the Philippine delegation to the inaugural edition of the China International Import Exposition (CIIE) on November. This major event is organized by the Chinese government to facilitate increase in imports from partner countries and contribute to balancing bilateral trade. The Philippine delegation will consist of major Filipino exporters and will occupy 100 booths in the Enterprise Zone.

APBC welcomes PH delegation to Australia

THE Australia-Philippines Business Council (APBC) welcomed the Philippine delegation to Australia led by Department of Trade and Industry Secretary Ramon Lopez and Department of Foreign Affairs Secretary Allan Peter Cayetano through a welcome reception participated in by Australian and Philippine business leaders on 16 March 2018 in Barangaroo, Sydney, Australia.

 

Secretary Cayetano and Secretary Lopez witnessed the signing of Letters of Intent (LOIs) to invest in the Philippines from different private sector leaders/firms planning to maximize the Philippines’ growing economy. Investment includes setting up of an assembly plant for GPS tracking devices, development of a US$10 million biomass power plant, and construction of a US$30 million hotel and residential place in Cebu.

 

Australia’s Macquarie Bank Chairman Peter Warne, Chairman of TMIP Holdings David King, ANZ Philippines CEO Anna Green, AUSTAL CEO David Singleton were among the Australian business executives present. Philippine business leaders like Mr. Jose Concepcion III and SM Investment’s Ms. Teresita Sy-Coson were among the Filipino executives in attendance.

 

In his address to the business community, Secretary Lopez highlighted government’s support programs for micro, small, and medium-sized enterprises (MSMEs) and its initiatives that ensure the growth, development, and competitiveness of these enterprises. He shared DTI’s Negosyo Centers, Pondo Para sa Pagbabago (P3), Shared Service Facility (SSF), market access initiatives that provide permanent space for MSME products, and online digital space programs, which are summed up in the DTI’s 7M strategy on MSMEs.

 

Secretary Lopez shared that increasing the trade base between Australia and the Philippines should be based on complementarity of industries and sectors where growth will be highly recorded. Some examples he gave were on agri-based commodities, ship-building, construction (Build, Build, Build), and IT and Business Process Management Services (IT-BPM).

 

In his closing remarks, Secretary Lopez shared the Philippines’ economic breakout, supported by growth in GDP, manufacturing, consumer confidence, among others. He also emphasized the enhancement of domestic policies, with new regulations adopted to ensure competitiveness of businesses and industries.

 

Secretary Lopez also cited the recently issued tax law (TRAIN), where individuals are expected to have bigger take-home pay. With its implementation, it is expected to build a wider consumer base with higher buying capacity leading to greater opportunities for businesses. Secretary Lopez reiterated that the Philippines is open for business, with DTI’s core task of bringing more job-generating opportunities for all Filipinos.

 

During the event, APBC President Ed Alcordo expressed APBC’s gratitude for the Philippine government’s commitment in strengthening bilateral ties between Australia and the Philippines where foreign and economic relations have grown through 70 years of friendship, with a comprehensive partnership agreement signed in 2015.

 

At the end of the welcome reception, a meeting attended by Secretary Lopez, DFA Secretary Cayetano and AUSTAL CEO David Singleton was held.  Mr. Singleton shared AUSTAL’s shipyard operations in Cebu and its plan to expand its operations in the Philippines. AUSTAL makes fast, lightweight aluminum boats for civilian and military use. They are the sole foreign company supplying Aluminum-hulled ships to the United States Navy. Mr. Singleton shared that they make ships in the Philippines for export to customers in Germany, Australia and many other overseas clients who require high quality shipbuilding.

 

The business reception was organized by the Australia Philippines Business Council (APBC) and the Philippine Trade and Investment Center (PTIC) in Sydney.

Participants during the welcome reception hosted by APBC on 16 March 2018.

DFA Secretary Allan Peter Cayetano (standing, 5th from left) with DTI Secretary Ramon Lopez (standing, 4th from right) witnessing the signing of Letter of Intent (LOI) of the technology company Fleet Logic declaring the company’s plan to assemble Global Positioning System (GPS) Devices in the Philippines for export.