Nestlé chief upbeat about RP economy

Nestlé Philippines chairman and chief executive officer Juan B. Santos said yesterday that the results of the recent survey conducted by the Makati Business Club were not surprising and support Nestlé’s continuing optimism about the resiliency of the economy, especially in the near term.

"There’s a lot that needs to be done and can be accomplished only if everyone does his share," he said.

Nestlé Philippines is the largest food and beverage company with revenues last year reaching P48 billion. "Nestlé did reasonably well despite unfavorable circumstances here and around the world," Santos said, adding "we experienced a volume growth of five percent but a higher rate in turnover due to price changes and also due to improved receipts from exports.

Insofar as this year is concerned, Nestlé said that it is determined to face the challenges with much optimism as there are many positive signs, such as improved foreign exchange rate, lower interest, lower inflation, improved agricultural productivity and strong consumer-led demand. This optimism is reflected in Nestlé’s sales target for 2002 which is an improvement of its performance in the previous year.

When asked about the ongoing labor strike in its Cabuyao factory, Santos said, "We have a temporary setback due to an illegal strike in our Cabuyao factory but here again, we are hopeful that this can be resolved soon. The DOLE Secretary has issued a return-to-work order, most of our employees would like to do that but the strikers have barricaded the gates. We hope that the PNP can soon implement Secretary Sto. Tomas’ order to open the factory gates," he said.

Finally, Santos said that in order to effectively address the issues on the economy and the four-point program of government, the solution must involve both government and the private sector. Working hand-in-hand towards a common goal of national building.

"We need to act, not only with a sense of urgency but with a lot of motivation towards doing what is good for the country in general. We cannot complain all the time and yet, not be prepared to do our own part," Santos said. He added that there is far greater transparency in the present administration which makes the conduct of business more conducive for private sector innovation.

Santos explained that Nestlé will continue to push for its expansion program, especially its thrust in exports. "Once we get our expansion program going, it will benefit downstream industries, improve our competitive advantage and ability to compete for more export business," Santos added.

"It is time to roll up our sleeves. The wisdom of John Kennedy comes to mind — let’s find out what each of us can do for the country. Let’s get our acts together!" Santos added.