Export council releases P8 million fund for CFIF

The Export Development Council (EDC) released P8 million grant for the Cebu Furniture Industries Foundation Inc. (CFIF) to help the sector stay afloat amid the depressed global market.

Originally allocated for marketing expenses as industry players try to penetrate emerging market, CFIF said the grant will be used to fund sustainable programs instead, such as research and development (R&D) and for the improvement of the design capability of the industry.

CFIF vice president Charles Estreegan said P5.7 million of the fund will be earmarked for subsidies to help young and potential designers in Cebu as well as for tie-up programs with the academe both here and in Manila.

Estreegan said the “student-mentor” on design development program will get a large chunk of the funding for the sustainability of the program at the same time putting the money, which has been sourced from the different agencies of the government, into good use.

The Export Development Fund (EDF) was introduced few years back at the height of the exporters’ battle against the strengthening of the peso against the US dollar.

The EDF is a special monetary support facility initiated by the Bangko Sentral Ng Pilipinas (BSP), with fund contributions from Department of Budget (P100 million), DTI (P100 million), and other agencies like the National Economic and Development Authority (NEDA).

A total of P280 million is now being made available for exporters. So far, CFIF is one of the first export organizations in Cebu to have availed of the grant.

The EDC is tasked to distribute the funds to the export organizations to finance international promotion campaigns.

Instead of using the fund to subsidize companies in participating trade shows abroad, Estreegan said CFIF has decided to use the money for more sound and sustainable programs.

CFIF executive director Ruby B. Salutan said the Cebu furniture industry, which is driven mainly by its design advantage, must take care of this niche and sustain it with constant design development program.

Estreegan said EDC is very strict in implementing the rules and regulations in using the grant with an objective of revitalizing the upbeat movement of the furniture sector despite the difficulties.

“We need fresh ideas from the young [designers] minds to keep our edge,” Estreegan said.

CFIF will start evaluating companies that deserved to benefit from this program and avail of the subsidy. Already, the CFIF has partnered with the academe in developing design capability of Cebu, such as University of the Philippines (UP), University of San Carlos (USC), and De La Salle School of Design. – Ehda M. Dagooc