Phl still attractive to Japanese investors

MANILA, Philippines - As Japan pursues its growth strategy, the Philippines remains an attractive investment destination for manufacturers, officials said yesterday.

Nobuo Fujii, executive director of the Japanese Chamber of Commerce and Industry of Philippines said that despite high power costs, Japanese manufacturers still consider the Philippines an attractive investment destination for manufacturing despite high electricity cost because of proximity, abundance of skilled and English-speaking workers.

Fujii also noted that several Japanese companies operating in China are interested to move to the Philippines because of rising production cost and adverse political situation.

“The Philippines is a good destination for the manufacturing industry,” he said in an interview during a joint membership meeting of the Makati Business Club and the Japanese Chamber of Commerce “(Filipino) Workers have a generally good working behavior and they speak English well.”

Japanese Ambassador to the Philippines Toshinao Urabe noted that several Japanese manufacturers  based in the Philippines such as Canon, Bandai, and Fujifilm have been expanding their operations.

He said bicycle maker Shimano is expected to put up a factory in the First Philippine Industrial Park in Batangas.

The company plans to manufacture bike components for export to the so-called BRICS market that comprises the countries Brazil, Russia, India, China and South Africa. The factory is targeted for completions by next year.

“There are quite a few Japanese companies coming in,” he said.

Urabe presented during the joint membership meeting Japan’s set of bold economic policies – collectively known as ‘Abenomics,- that are aimed at stimulating investment in the private sector to revive the Japanese economy.

The so-called Abenomics consists of aggressive monetary easing, fiscal stimulus, and a growth strategy to stimulate private investment.

Urabe said that many of the challenges faced by Japan present trade and investment opportunities for Filipino and Japanese businesses.

Japan, for instance, is dealing with an ageing workforce while improving healthcare for the elderly. At the same time, the government is encouraging more women to join the workforce by devising ways to enable them to contribute to the economy and still take care of their families.

Urabe said this presents opportunities for Filipinos to invest in medical centers that provide healthcare for the elderly.

He said Japan is also keen on attracting skilled foreign workers and is encouraging its young to seek higher education to enable them to “operate on a global level.”