MANILA, Philippines - The Department of Trade and Industry (DTI) will meet with the rubber industry stakeholders next week to address challenges on the industry.
In a statement, the DTI said it is organizing the 1st Philippine Rubber Investment and Market Encounter (PRIME 2012) to serve as the venue to discuss with stakeholders issues affecting the industry as well as provide access to business opportunities.
DTI undersecretary for regional operations and development Merly Cruz said that through the PRIME 2012, the department will “address key issues in production efficiency and sustainability including compliance to industry standards.”
She said the event would also be the platform for investment and market matching, technology exhibit, financing facilitation and product showcase.
She said the event to be held in Clark, Pampanga next week, is in line with the government’s aim of expanding the domestic market for natural rubber, and providing opportunities for the natural rubber producers and jobs for farmers and industry workers.
Cruz said the government wants to develop the industry as it has the potential of meeting the requirements of Yokohama Tire Philippines, Inc. (YTPI) as well as members of the Philippine Rubber Industries Association, Inc. (PRIA).
Sitti Amina Jain, DTI assistant regional director and national rubber industry cluster manager, cited that car tire manufacturer YTPI, has been importing 94 percent of its natural rubber requirement from Thailand and Indonesia, and only getting about four percent of its requirement from local producers in Mindanao.
“In a meeting with the DTI, YTPI claimed that low quality of crumb rubber produced in some areas in Mindanao is one of the factors contributing to its minimal sourcing of supply locally,” Jain said.
Jain noted though that YTPI would still consider increasing local sourcing if the quality of crumb rubber is improved to meet the requirements of the company.
YTPI, a subsidiary of the Yokohama Rubber Co. Ltd. of Japan, is located at the Clark Freeport Zone and has more than 1,600 regular employees.