Government, private sector collaborate to implement the Export Plan
NEWS
The Philippine Export Development Plan (PEDP) 2018 – 2022 is a five-year roadmap aligned with the Philippine Development Plan (PDP) 2017 – 2022 and the 10-point socioeconomic agenda of the current administration. It aims to support small and medium enterprise and enhance their competitiveness. Government agencies and the private sector will collaborate to improve overall export climate; maximize opportunities from existing trade arrangements; and strengthen export strategies on selected products and services specifically on electronics, food and beverage, IT-BPM and tourism. Tasked to supervise the implementation of PEDP is the Export Development Council (EDC) as mandated by Export Development Act (RA 7844) and Presidential Memorandum Circular 27 series of 2017.
RESEARCH VIEW
In 3Q 2018, Philippine economy grew by 6.1% which is lower than the projected growth of 6.5% to 7 % by end-2018. One of the reasons for the slower growth is the widening trade deficit. In September 2018, the Philippine trade deficit further widens to $3.9 billion due to weakening exports. The government aims to address the issue through PEDP which will bring export revenues to $130 billion by 2022. Colliers recommends light manufacturing firms including F&B manufacturers to locate within industrial parks in Central Luzon including the provinces of Pampanga and Bataan. Meanwhile, heavy industries including manufacturers of semiconductors, electronics, and other higher value products should consider industrial parks in Batangas area where substantial space is still available. On the other hand, we recommend developers to accelerate and modernize the construction of their projects to capture interest of tenants. We believe that the industrial sector will benefit from the improving infrastructure backbone of the Philippines.
DMCI unit hits P33.48-B sales in 9 mos
NEWS
DMCI Homes Inc. is set to reach its sales target of P40-billion for 2018. For the first three quarters of year, sales grew by 7% to P33.48 billion from P31.34 billion in the same period last year. About P18.44 billion of revenues were generated from Kai Garden Residences, Fairlane Residences and Prisma Residences. The developer has also acquired land in Visayas and Mindanao which raised the firm’s land value to P9.0 billion in 3Q2018 from P4.9 in 3Q2017. DMCI Homes Inc. already launched three residential projects and has completed 10 buildings so far this year.
Bill creating Central Luzon investment authority hurdles committees
NEWS
House Bill 8637 which creates a Regional Investment and Infrastructure Coordinating Hub (RICH) in Central Luzon has been approved by House committees on Government Enterprises and Privatization, Appropriation and Ways and Means. RICH will replace the Subic-Clark Alliance for Development Council (SCADC). The 13-member board will develop the Central Luzon Investment Corridor Master Plan that will convert the region into a single investment hub “to expand and replicate the rapid growth in the areas hosting special economic and freeport zones”. The bill also intends to improve infrastructure developments and optimize the use of interconnecting highways, railway, seaports, and airports in Central Luzon to help decongest Metro Manila. The measure’s counterpart in the Senate has been approved on third and final reading.
