Local manufacturers find an ally in Lapus

CEBU, Philippines - Local manufacturers, who have been crying foul over the flooding of cheap imports in the domestic market, have found an ally in the newly-appointed Secretary of the Department of Trade and Industry (DTI).

Secretary Jesli Lapus, in a speech before members of the newly-organized Filipino Cebuano Business Club Inc. at the Sacred Heart Center on Saturday, specifically cited the plight of micro, small and medium enterprises (MSMEs) in the country, whose survival is at risk with the tariff-free entry of imported products to the country.

“(I believe that) we need to have domestic stability. We have to enhance the support we (the government) are giving to our local businessmen,” he said.

Lapus said that there must be safeguard measures put in place against the dumping of cheap imported goods to the market to protect our local industries, especially the MSMEs, from dying as well as protect the consumers from an inevitable increase in consumer goods.          

“These imported goods are cheap now. But once our local industries die and there are no local products to compete with them anymore, then (importers of these products) can now sell them at a higher price,” he said

Some of our local manufacturers in Cebu such as garments and shoes manufacturers have closed shop, as they are unable to compete price-wise, with imported products.

Garment manufacturer Victor Tan earlier said in a report that the lack of regulation of imported garments, aside from the proliferation of “ukay-ukay,” which are also imported, have affected the local garment manufacturers.

Filipino Galvanizers Institute president Salvio Perez also said in a national report that China’s exports of subsidized pre-painted and galvanized steel sheets to the Philippines are hurting the local industry.

Meanwhile, Lapus said the DTI is now working on the MSME Development Plan for 2010-2016, the successor plan of the MSME Development Plan for 2004-2010. Lapus said he will ensure that provisions for more business development services to strengthen the MSMEs in the country will be put in place. 

Lapus, former secretary of the Department of Education, is a professional manager in the manufacturing and financial sectors. He has post-graduate studies in the fields of Investment Appraisals and Management and Management of Transfer Technology, among others.

He served as undersecretary of the Department of Agrarian Reform under the administration of the late President Corazon Aquino and as chief executive officer and vice chairman of the board of directors of the Land Bank of the Philippines under the administration of President Fidel V. Ramos.