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Business

Government lifts ban on trade of abaca

- Marianne V. Go -
The trade of abaca leafsheaths has been allowed anew following the repeal of an Executive Order (EO) which prohibited the trading of abaca.

EO 538, which was issued on July 4, 2006, repealed EO 502 which banned the "harvesting, gathering, buying, selling and mutilating of matured and young leafsheaths of abaca plants (musa textiles nee) for commercial purposes".

EO 502 was issued on February 2, 2006 to prevent the spread of young abaca leaf sheaths’ disease which has affected certain areas in Leyte and nearby areas.

With the issuance of EO 502, the government noted that the ban resulted in the supply disruption of raw materials used in the production of furniture, furnishing, and handicrafts, causing losses to stakeholders in these industries.

The government, however, noted that there are still disease-free areas in the Philippines where abaca leafsheaths (also known as "bakbak" and "umbak") can be sourced.

The withdrawal of the ban, the government felt, would not cause harm to the public.

EO 538, however, encourages local government units (LGUs) of disease-infected barangays in Southern Leyte and Leyte provinces to strictly implement their ordinances restricting the transport of "bakbak" or "umbak" until the abaca disease is sufficiently controlled.

The Export Development Council (EDC), which is composed of representatives from the government and private sectors, has been at the forefront of advocating for unhampered flow of goods and service, and improved efficiency in doing business through streamlined processes.

The EDC has initiated a multi-sectoral, long-term approach in addressing the abaca disease to ensure supply of abaca raw materials and sustain market for farmers.

In a meeting called by the EDC, the Fiber Industry Development Authority (FIDA) expressed its support for the production of "bakbak".

However, FIDA requested exporters to continuously develop products made of "bakbak" to ensure sustained market for farmers.

FIDA is the only certifying agency to declare an area as disease-infested of disease-free area.

In the same meeting, local governments of the affected areas of Leyte province presented the Adopt-A-Barangay Project, which calls for the business sector to identify and help the barangays that are hit by the disease.

The exporters of home furnishings and giftwares committed to inform FIDA of the volume of "bakbak" that they need.

This information will be useful to the FIDA project "Bakbakin mo Baby" to sustain supply of "bakbak".

ABACA

ADOPT-A-BARANGAY PROJECT

BAKBAK

BAKBAKIN

DISEASE

EXECUTIVE ORDER

EXPORT DEVELOPMENT COUNCIL

FIBER INDUSTRY DEVELOPMENT AUTHORITY

LEYTE

SOUTHERN LEYTE AND LEYTE

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