DTI launches expanded Shared Service Facility to strengthen footwear industry

Department of Trade and Industry (DTI) Secretary Ramon Lopez led the inauguration of the expanded Shared Service Facility (SSF) on high value custom-made footwear which features advanced technology and newly acquired state-of-the-art machineries in preparing customized footwear molds that would increase productivity of shoemakers.

“We need to equip our micro, small, and medium entrepreneurs with modern machineries that would increase productivity with lesser cost in order to revive the footwear industry. Marikina has always been known for their shoes. And if we come together, government, private sector, and Filipino shoemakers with their unique craftsmanship, we can easily sell our products here and abroad,” said Sec. Lopez.

The trade chief also encouraged government personnel to support and choose local footwear. Likewise, DTI will push for policies and programs to have government agencies purchase locally-made shoes as well as bags, example for public school children.  

Meanwhile, Marikina City Mayor Marcelino Teodoro announced the city’s project to build a mall-type facility to feature all Filipino MSME products, specifically Marikina-made footwear.

DTI welcomed the proposed project and pledged its support to the local government through the Go Lokal! concept store.

“Having this kind of project will bring our efforts in marketing the products of our MSMEs to a higher level. From a pop up store to a mall of all-local and quality products will definitely help us strengthen the sector,” the trade chief said.

According to Sec. Lopez, the government will continue to support the footwear industry in a holistic manner through its 7Ms (Mindset change, Mastery, Mentoring, Market, Money, Machine, and Models) strategy.

“With our collective effort, we can make Marikina-made footwear known not just here in the Philippines. We will make our footwear compete globally,” said Sec. Lopez.

Aside from the expanded SSF, DTI also inaugurated the newly renovated and improved Philippine Footwear Academy building, which serves as a shoemaking skills training facility in Marikina.

Also present during the inauguration were Philippine Footwear Federation Inc (PFFI) President Lolito Lopez, PFFI Secretary General Roger Py, Philippine Chamber of Commerce Marikina President Jeanelle Lee, and DTI Assistant Secretaries Blesila Lantayona, Ameenah Fajardo, and Demphna Du-Naga.

DTI, DA Lead Efforts to Strengthen PH Rubber Industry

The Department of Trade and Industry (DTI) and the Department of Agriculture (DA) led the inter-agency signing of the Joint Statement of Commitment for the “Philippine Rubber Industry Roadmap 2017 – 2022” on 16 April 2018. 

“The cluster approach [that addresses the gaps and opportunities in the entire value chain from the rubber production to processing and manufacturing of finished products] is the way to go,” said DTI Secretary Ramon M. Lopez.  “This industry is critical in helping achieve President Duterte’s vision of real inclusive growth since the rubber production sector involves over 55,000 small farmers/growers.”  

Ninety percent of the rubber farmers in the country are small growers, most are from the Mindanao region—Zamboanga Peninsula, SOCCSKSARGEN, and ARMM. 

“DTI is committed to expand market and processing opportunities for their products by bringing in more investors on rubber processing and rubber-based products, like tire companies, and linking them with the local rubber suppliers,” the trade chief added. He also said Philippine (PH) rubber can be used for rubberized asphalt for road projects in the government’s “Build Build Build” program. 

Meanwhile, DA Secretary Emmanuel F. Piñol said that rubber has a crucial role in the reformatting of the PH agriculture plan. 

“The agricultural areas I’ve visited suffer from the same problems: soil erosion and landslides. These are indications of poor agricultural planning—where farmers are planting crops where we should be planting rubber trees,” Sec. Piñol said.  

The roadmap outlines steps in the following aspects of rubber production: (1) Production & Productivity Improvement; (2) Processing and Manufacturing; (3) Domestic and Export Marketing, (4) Research, Development and Extension; (5) Finance and Investment Promotion; and (5) Information, Policy Formulation and Advocacy. 

Aside from the DTI and DA, the inter-agency cluster consists of the departments of Science and Technology (DOST), Environment and Natural Resources (DENR), and Agrarian Reform (DAR), as well as the Technical Education and Skills Development Authority (TESDA), the Mindanao Development Authority (MinDA), the Philippine Rubber Industries Association (PRIA), the Philippine Rubber Farmers Association (PRFA), and the University of Southern Mindanao (USM). 

PH is currently a minor producer of rubber, yielding 1% of the natural rubber in the world as compared to top producers Indonesia and Thailand that produce 25% and 34% of global production, respectively. Despite this, the PH rubber industry is steadily growing—for the last quarter of 2017, rubber production grew by 8.9% to 138.24 thousand MT from 126.94 thousand MT in the same quarter of 2016.

*This is Press Release

DTI, DOST team up for MSME “Filipinovation”

Department of Trade and Industry (DTI) Secretary Ramon M. Lopez and Department of Science and Technology (DOST) Secretary Fortunato T. de la Peña signed an MOU to promote Filipino innovation, or “Filipinovation,” for entrepreneurs. 

“Innovation is when you fix something, even if it’s not broken. In entrepreneurship, continuous innovation in products, processes, business model, is the only way to survive,” said Secretary Lopez.

“Through the MOU, DTI and DOST will merge One Town One Product (OTOP) and Go Lokal entrepreneurs with DOST’s oneSTore.PH hubs. ‘OTOPrepreneurs’ may now also use DOST’s online store, oneSTore.PH, to sell their products”, Sec. de la Peña said.

Meanwhile, DOST will also provide selected Negosyo Centers with S&T Nooks for those who want to access DOST’s resources but don’t have internet connection.

MSMEs comprise 99.6% of enterprises and 70% of employment in the country, but only account for 35% - 40% of Gross Value Added contribution to the economy. Sec. Lopez said innovation can bridge this gap because when MSMEs transform raw materials into quality products, they can sell at premium prices and reach international markets.

“President Duterte wants to make the MSMEs smarter and bigger, not just in number, but also in terms of contribution to the economy. It’s easy to become an entrepreneur—but to have high quality, differentiated products is the real challenge, but it is their ticket to greater success and better quality life,” added Sec. Lopez.

DTI and DOST previously signed an MOU in 2017 to formulate and implement the Inclusive Filipinovation & Entrepreneurship Roadmap. To implement this, DTI has the following programs to help entrepreneurs, among others:

   •      Shared Service Facilities (SSF), a machine-lending service to cooperatives;

   •      Pondo para sa Pagbabago at Pag-asenso (P3), a low-interest collateral-free loan program to MSMEs;

   •      Kapatid Mentor Me and SME Roving Academy training programs; and,

   •     Go Lokal!, a project that discovers and improves MSME products and helps them reach mainstream markets.

DTI also developed the Inclusive, Innovation-led, Industrial strategy (i3s)—wherein the academe, industry, and government sectors collaborate to solve business innovation challenges.  

DOST on the other hand, provides the following services to MSMEs:

  •      Small Enterprise Technology Upgrading Program (SET UP), that provides machines and technology training to individuals or companies;

  •     Science and Technology Expert Volunteers’ Program (STEVPP), where S&T experts provide free consultations and assistance to communities and cooperatives;

   •      Testing and Calibration services to ensure that products reach health and quality standards; and

   •       Packaging and Labeling assistance.

*This is Press Release

PH Gets Chinese Companies’ Investment Pledges worth USD 9.8B

The Department of Trade and Industry (DTI) welcomed USD 9.8 billion-worth of investment intentions from Chinese companies that will cover the construction, electronics, agriculture, tourism, and pharmaceutical sectors, and will provide an estimated 10,800 employment opportunities.

“Investments are important in bringing more job opportunities for all Filipinos. Our bilateral cooperation with China continues to deepen and strengthen. We have agreed to discuss cooperation plans for the next five or even up to 10 years to move forward in specific fields,” said President Rodrigo Roa Duterte.

“As one of the world’s top investment destinations, the Philippines enjoys the confidence of foreign direct investors. And due to our enhanced bilateral and trade relations with China, Chinese companies have increasingly expressed interest in investing in our country,” added Trade Secretary Ramon Lopez.

The President witnessed the signing of nine Letters of Intent (LOI) from the following companies: Shanghai GeoHarbour Group, Jovo Group Co. Ltd. Guangdong, Zhongfa Group, Haocheng Group, China Green Agriculture Group, East-Cloud Biz Travel Ltd., China National Heavy Machinery Corporation, Sino BMG, as well as Shanghai Shinehigh Biotechnology Ltd. Co. and Zhejiang Dongyang Jinxin Chemical Co. Ltd. The signings were held at the sidelines of the Boao Forum 2018 held in Boao, China on 10 April.

The total approved investments from China grew by 53.61% from Php 1.52 billion in 2016 to Php 2.33 billion in 2017. Industries that played a big role in this breakthrough include manufacturing, electricity, service, and finance.

In 2017, China ranked as PH’s top trading partner, 4th largest export market, and top import supplier. PH exports to China grew by 9.73% due to the increase in exports of digital monolithic integrated circuits, cathodes of refined copper, and other fixed capacitators.

“We continue to improve the Philippine business environment and soon, we will be adopting new domestic policies and regulations to promote ease of doing business and competitiveness in various industries,” Sec. Lopez said.

Meanwhile, DTI is strengthening its presence in China by activating three offices and deployment of commercial officers in Beijing, Shanghai, and Guangzhou.

The Department will also lead the Philippine delegation to the inaugural edition of the China International Import Exposition (CIIE) on November. This major event is organized by the Chinese government to facilitate increase in imports from partner countries and contribute to balancing bilateral trade. The Philippine delegation will consist of major Filipino exporters and will occupy 100 booths in the Enterprise Zone.

*This is Press Release

DTI-DOST to expand MSME marketing capabilities through OneSTore.ph

The Department of Trade and Industry (DTI) will tie up with the Department of Science and Technology (DOST) to help micro, small and medium enterprises (MSMEs) expand their market and reach clients online with the OneSTore.ph.

“MSMEs are the backbone of the Philippine economy. And as part of President Rodrigo Duterte’s whole-of-government approach to assist MSMEs, we are teaming up with DOST to impact the lives of more Filipino entrepreneurs,” said DTI Secretary Ramon M. Lopez.

The OneSTore.ph is a first government e-commerce platform (Business–to-Customer and Business-to-Business platform) dedicated to marketing high-quality Filipino products of MSMEs through the worldwide web by “bringing quality products at Filipino doorsteps.”

This comes as DTI intensifies marketing capabilities of MSMEs to help them reach the mainstream market.

Under the OneSTore.ph agreement, DTI will Promote the oneSTore.ph to MSMEs through Negosyo Centers as a platform where they can market their products on-line.

At the same time, DTI will make Negosyo Centers accessible to clients of DOST and allow clients to display and dispatch their products with its payment and logistic partners in One Town One Product (OTOP) Philippines HubStores, subject to availability of space and to DTI priorities and promote oneSTore and provide signage for the spaces provided for oneSTore.ph and oneSTore hub in every OTOP Store identified as co-branded hub, among others.

The One Town, One Product (OTOP) Philippines is DTI’s collaborative program with national government agencies and local government units  as a customized intervention to level up the products of various localities and drive inclusive local economic growth.

DOST, on the other hand, will develop and maintain oneSTore.ph where its accredited Regional Hubs and MSMEs may sell products and services to its clients and engage with payment and logistics partners and provide better oneSTore.ph services to its accredited Regional Hubs, MSMEs and its partner agencies.

DOST will also Provide priority to jointly identified OTOP products for product development initiatives including improvements in packaging and labeling, subsidy or discounts in testing fees, equipment support such as the Small Enterprise Technology Upgrading Program (SETUP), and strengthen research and development efforts.

*This is Press Release