MANILA, Philippines - German multinational firm Bosch said the Philippines offers good business opportunities for green technology and renewable energy, a ranking company executive said.
“The Philippines’ economic performance provides a conducive business environment for a company like Bosch,” said Joseph Hong, managing director of Robert Bosch Inc., citing the country’s robust 7.9 percent GDP growth in the first half of the year.
“Macroeconomic signals give us reason to be confident in the local economy as well as the performance of local industries directly relating to our business portfolios,” he explained.
With both the transportation and construction industries ranking among the top Philippine GDP contributors, the company’s automotive aftermarket and power tools divisions generated 38 percent and 34-percent growth in sales respectively, in the first half of the year, keeping Bosch on a recovery track from its 23-percent dip in 2009.
Both its major business lines, which comprise a relatively even split, remain bullish on a strong double-digit growth of 20 percent in 2010 for the entire company. Bosch is also exploring a foray into heating systems and the abrasives business as well as an expansion of its security systems portfolio, contributing to additional projected growth in 2011.
Hong likewise said that there are already developments in terms of regulatory requirements like emission laws. While North America and Europe have passed laws regulating the inclusion of the Electronic Stability Program and other vehicle safety and biofuels technology, the Philippines also addresses emission reduction and resource conservation through its legislation.
“A carbon-based vehicular tax is one way to curb CO2 emissions,” said Hong of a proposed introduction of a scheme to align local emission laws to that of developed economies that are entering Euro IV standards. The Department of Environment and Natural Resources is currently implementing Euro II standards.
“With the entry of the new administration and their thrust to provide a level playing field in doing business in the country, we clearly see opportunities to directly participate in (developing) the local automotive sector, infrastructure and development, business process outsourcing and renewable energy, to give a few examples,” he said.
Bosch is presently exploring a private-public partnership to expand its technical cooperation with TESDA in providing certificate training courses for skilled Filipino mechanics and construction workers. Previously, over 5,500 trainees have graduated as a result of the partnership, which provides better livelihood opportunities.