Exporters push annual budget of P100M for support fund

MANILA, Philippines - The country’s exporters are pushing for an annual allocation from the government for the Export Support Fund (ESF) to allow more local firms to compete and take part in international trade shows.

In a phone interview, Philippine Exporters Confederation president Sergio Ortiz-Luis Jr. said the group and the Export Development Council continue to search for funds to support exporters and their promotion activities.

“What we would want is to have at least P100 million per year for the ESF,” he said.

To be at par with other countries in the region, he said between P1 billion to P2 billion will be needed per year to support exporters.

An annual allocation will not only support projects for exporters but also enable more local firms to take part in trade shows held overseas.

Taking part in trade shows presents opportunities for increasing sales since buyers also attend such events.

Participating in such shows, however, is costly.

The fund will be a big help for Philippine firms, Ortiz-Luis said, noting that exporters in other countries in Asia such as Thailand, Malaysia and Vietnam receive funding support from their governments to take part in international trade shows.

“For now, we have to rely on the DTI’s (Department of Trade and Industry) budget to fund export promotions,” he said.

Last year, President Aquino offered P80 million worth of funds from his savings to the ESF, with a bulk or P60 million made available to regions to avail of common service facilities.

The balance meanwhile, was used for export promotions.

Philippine merchandise exports were valued at $35.283 billion in the January to August period, 5.4 percent higher than in the same period last year.

Exports are targeted to grow 10 percent this year from $47.967 billion in 2011.

 

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