Exporters await EO of holiday exemption

Although the exporters welcome the plan of Mandaue City Mayor Thadeo Ouano to revive his fight against the four-day holiday during the upcoming 12th ASEAN Summit, the recent declaration of President Gloria Macapagal-Arroyo exempting exporters from the holiday may be enough.

During her recent visit to Cebu, Arroyo agreed "in principle" to exempt Cebu's exporters from the four-day holiday, as exporters are now suffering the effect of the volatile peso.

PhilExport-Cebu advocacy officer Jun Abines said yesterday that exporters are already thankful of Arroyo's declaration. However, if Ouano will invite them for further discussion on this issue, they will have to welcome it.

"We have not received invitation from Mayor Ouano yet. But exporters are thankful that in principle, the President already exempted exporters from the holiday, although we are still waiting for the EO (Executive Order)," Abines said yesterday.

Ouano yesterday announced that he will revive the debate on four-day holiday for the Summit, saying he will take the side of the exporters and bankers bid on maintaining normal working days.

If the exporters were not granted the holiday exemption, it expects to lose about P8 million as the industry transacts daily with their global customers.

As of now, exporters are still uncertain because the official declaration via E.O. has not come out yet. Although, he said that exporters have trusted Arroyo's word.

"We are happy with the exemption, but it would be better if banks be included and our allied industries to make our operations smoother and with less hassles. Its hard to do business when banks are close, or when service companies are not available, like forwarders and truckers," Abines added.

Cebu City Mayor Tomas Osmeña is one of the prime movers pushing for the declaration of the four-day holiday during the ASEAN Summit that will run from December 11 to 14 (2006), primarily because of security concerns of foreign delegates and to ease traffic.

However, for private sector, especially the exporters, the idea is economically unwise and may cripple huge industry businesses, the reason why Ouano on the other hand, campaigned for a normal working day implementation during the Summit dates.

Exporters for instance, are racing against time, as they are hitting quotas, and need to deliver ordered goods promptly. Late delivery already means lost of clients said PhilExport-Cebu president Alan Suarez in an earlier interview.

According to Suarez the competition is fierce, exporters can not afford to rest, or pay double while they are struggling with the effect of strengthening peso.

The export sector is composed of furniture makers, fashion accessories, gifts, toys and housewares, and those locators in Mactan Economic Zone, among other industries that transacting business with the global trade.