Central Visayas exporters appeal for government help

CEBU, Philippines — Exporters in Central Visayas are joining the nationwide sector crusade asking the government to extend its arms during these challenging times.

Benefits from the removal of unnecessary regulatory impediments, access to interest-free trade credit and stimulus package, and help in taking advantage of preferential status programs such as the GSP and GSP+, are few of the requests of exporters in the region to the national government.

Exporters across the Philippines, including direct and indirect stakeholders and micro, small and medium enterprises (MSMEs), appealed to the government for urgent help, saying their focus has now been reduced to ensuring day-to-day survival.

Enterprises and businesses from the top 10 exporting regions including region 7, are asking for swift government measures and initiatives to address the mounting trade and economic difficulties they encounter amid the ongoing COVID-19 pandemic.

They enumerated a growing wish list of interventions needed to enable exporters and MSMEs to recover from the unprecedented setbacks due to the pandemic, travel restrictions, and lockdowns.

The list was presented during a series of regional online consultations conducted by the Export Development Council (EDC) over the implementation of the updated Philippine Export Development Plan (PEDP) 2018-2022.

The series was held in collaboration with the Department of Trade and Industry-Export Marketing Bureau (DTI-EMB) and Philippine Exporters Confederation, Inc. (PHILEXPORT).

Participants came from the National Capital Region, Region 3 and 4-A in Luzon, Regions 6.7 and 8 in Visayas, and Regions 10, 11, 12 and CARAGA in Mindanao.

They called for specific and detailed measures centered on enhancing trade facilitation, productivity and competitiveness, market access and promotion, financial assistance, innovative capacity, and information dissemination.

NCR attendees pushed for, among others, intensified training on Halal and major international certifications, export requirements and procedures; modern facilities to support production; incentives for identified priority sectors; and export financing assistance. They also sought help on the more-than-usual requirements from financial institutions because of the pandemic.

Region 3 attendees commented on the higher prices of their products compared to other ASEAN suppliers due to higher cost of operations. They also noted the unstable supply chain for wood-based products due to government policies that are causing prices of raw materials to unreasonably increase.

Other pressing issues for the region’s exporters include the delays and high costs owing to various requirements on product certification, standards, fumigation, rules of origin, testing and labeling.

They also observed how local government units or LGUs implement their own policies that are not aligned to that of the national government rules. In addition, MSMEs are at a disadvantage because they have weak links with freeports and economic zones in terms of transit arrangements, information, and technology sharing.

Participants asked for aid to medium sized enterprises, which are also hard hit by the pandemic, through an SB Cares facility similar to the one available to micro and small enterprises.

Regional stakeholders also highlighted the lack of international flights flying in and out of Western Visayas, as well as the lack of export capability of the regional ports that could help to reduce export costs.

Among their list of recommendations are the following: establish a multisectoral warehouse, conduct supply chain management workshop to address logistics concerns, and facilitate the approval /issuance of the certificate of origin in the region.

Another suggestion is to have post-COVID updates on export markets and trends, particularly in the ASEAN, U.S., Europe and Latin America. A dialogue with concerned government agencies on reopening of international flights to allow entry of imported raw materials into the country was also proposed.