Homestyle producers push P1-B export support fund

MANILA, Philippines - Exporters of homestyle products are pushing for a P1 billion export support fund to help promote the sector’s growth.        

“We need it because our export performance is really down. The $120 billion (export goal) for 2016, now (has been revised downward to) $103 billion,” Luis Sicat,  private sector trustee of the Export  Development Council (EDC) said in a statement from the Philippine Exporters Confederation Inc.

Sicat said funding support is necessary for export promotions,  product design and development, and improvement of technology, among others.        

 Home Accents Group of the Philippines Inc. president Evelyn Tan said the fund could also be used to provide companies additional working capital.

“This is not merely for promotions or marketing, it will follow for the orders. So it is really (business) sustainability,” she said.          

Chamber of Furniture Industries of the Philippines executive director Salvio Valenzuela Jr., said the export support fund is important especially as the EDC is working on the new Philippine Export  Development Plan (PEDP) and launching industry roadmaps.         

“Nothing will happen to these (plan and roadmaps) if there are no available resources,” he said.         

The PEDP, currently being crafted, would cover export strategies and export targets from 2014 to 2016.         

Under the PEDP 2011 to 2013 approved by President Aquino in 2011, the goal is for the value of total exports to hit $120 billion by 2016.         

Trade undersecretary Ponciano Manalo, Jr. told reporters that while the government is not providing subsidies to exporters, it is implementing programs to support the growth of the industry.         

He pointed out that the Department of Trade and Industry (DTI) is implementing the Shared Service Facilities program which involves providing equipment to help small and medium enterprises to improve the quality of their goods.        

 The DTI is also organizing a total of nine trade fairs, including the Manila FAME in the country this year, to allow exporters to showcase their products and get more buyers.         

The Philippine Trade Training Center, likewise, continues to implement training programs and come up with modules for exporters.        

 â€œNothing happens overnight, but there will come a time when we will see (the)     fruits of these efforts,” Manalo said.         

The country closed 2013 with total exports covering merchandise goods and services valued at $75.5 billion.         

Trade Secretary Gregory Domingo said earlier the DTI expects total exports to grow 8.6 percent to reach $82 billion this year.          

For 2015, total exports are projected to rise 10.4 percent to amount to $90.6 billion and increase further 11.91 percent to reach $101.3 billion by 2016.

Domingo said service exports, which cover information technology – business process management and tourism sectors, are seen to continue to grow.

For merchandise exports, he said outbound shipments of electronic products are expected to turn positive this year and next year.