Category Archives: Other Export Updates

SAVE THE DATE for the National Export Congress 2020

The Department of Trade and Industry-Export Marketing Bureau (DTI-EMB), Export Development Council (EDC) and the Philippine Exporters Confederation, Inc. (PHILEXPORT) cordially invites all exporters, small and medium enterprises (SMEs), government policy makers, trade support institutions, the academe, and international organizations and other relevant stakeholders  to save the date and participate in this year’s first virtual National Export Congress (NEC) 2020 on 03 December 2020, 8:00AM to 4:30 PM via Zoom with the theme “Digitalization Boost: Invigorating Exports in the New Normal”.   

The congress will showcase how exporting companies adapted to the abrupt digital transformation, what best practices were applied,  business model used and lesson learned in trying to keep business going in spite of the pandemic. How did successful businesses and exporters leveraged on their digital transformation strategies and activities, foster innovations by developing new systems, and improving current digital tools. On the other hand, how did the government helped the country and what policy reforms were crafted in mitigating the effects of the pandemic as well as boosting the economy and invigorating the export sector as a niche for rebuilding our nation? These will all be addressed in the upcoming NEC 2020. See you online!

Online release of Travel Tax Exemption Certificate implemented by TIEZA

Tourism Infrastructure and Enterprise Zone Authority (TIEZA) implements the online release of the Travel Tax Exemption Certificate (TEC) in response to the new normal brought by the pandemic.  Exporters are encouraged to apply online to access the online release of TEC for their future international activities.  TIEZA assures 3 days maximum turn around time of their intranet system to process the release of TEC.  With this development, exporters can now print their TEC at the safety of their home instead of going to the TIEZA office to claim the said certificate.

But prior to the online application for the TEC release, TTE endorsement (Signed TTE application form) from the Export Development Council (EDC) is required for validation and verification purposes of TIEZA.  Exporters will undergo the usual process except for the submission of TTE application form that can now be submitted thru email along with the requirements (copy of the passport and proof or confirmation of participation to an international event) to any of the recommending agencies (CITEM/ DTI-EMB/ BITR/ PHILEXPORT) authorized under EO 589 for endorsement to EDC.

This was announced by Mr. Cristeto Ocampo, Officer-in-Charge for Travel Tax Department of TIEZA, during the Technical Working Group on Travel Tax Exemption virtual meeting held last 28 July 2020.

For further inquiries on the online issuance of the TTE certificate,  exporters may call TIEZA at 02 249-5900 to 79 Local 641, 643, 646  or email at traveltax@tieza.gov.ph. Exporters may also click on this link for the online application of said certificate. MGL

BOC addresses ECQ accreditation order thru OCOM memo no. 62-2020 

On March 17, further operational guidelines under the Inter Agency Task Force for the Management of Emerging Infectious Disease (IATF-EID) concerning the implementation of the  “Enhanced Community Quarantine (ECQ)”, ordered that “All government agencies in the Executive Branch are hereby directed to issue accreditation orders to identify their respective skeletal workforces for critical services operating during the duration of the enhanced community quarantine in Luzon…”

Following the aforesaid mandate, and in aid to process new and pending Bureau of Customs’ (BOC) transactions, the Office of the Commissioner (OCOM) issued Memorandum No. 62-2020 “Guidelines for the Issuance of Accreditation Pass to BOC Stakeholders” which covers the application and issuance of accreditation pass to BOC Stakeholders, under Sec.1 including 1) BOC accredited importers; 2) Licensed Customs Brokers; 3) Declarants; or 4) Any of their authorized representatives,   that would authorized them to access BOC premises and may also be presented at any established checkpoints during the ECQ implementation.

Despite of the ECQ countereffects in trade, this memorandum will help the immediate release of shipments to lessen port congestion and other trade facilitation issues affected from this directive. – MRJ 

Tourism as a pillar of inclusive growth

The Department of Tourism (DOT) in collaboration with Go Negosyo and other partners like the  ASEAN Business Advisory Council, Department of Foreign Affairs, Tourism Board of the Philippines, Philippine Chamber of Commerce and Industry and the Filipino Chinese Chamber of Commerce and Industry , conducted the country’s First National Tourism Summit last 02 May 2019 held at the World Trade Center in Pasay City.

The summit focused on how to create a more integrated tourism industry not just in the Philippines, but across the ASEAN region. The goal is to achieve sustainable island tourism that will contribute to the socio-economic growth of the region. Speakers and experts from different countries shared their insights and best practices on how to achieve this goal.

As such, the country’s tourism industry was identified as one of the pillars for greater inclusive growth. The DOT is confident that there will be around 8.2 million tourists this year; a 15% increase from last year’s 7.1. million tourists. This signals an increased demand for products and services, which can be supplied by our entrepreneurs from different sectors, thus, contributing livelihood and sustainable income for more Filipinos.

As an inclusive sector, tourism extends not just to the services provided by airlines and travel agencies, but includes other industries such as culinary, retail, transportation, logistics, medical and agriculture. As tourism booms, more and more businesses can flourish and cater to the growing needs of travelers. Indeed, a boost in tourism is a boost in our economy- more tourists, more of the much needed revenue for the economy.

Hence, all kinds of businesses, whether micro, small or medium will gain from the sector’s inclusivity, including those in far flung tourist spots in the country. More diverse products, services as well as culture will be offered from these beautiful places in and around the country. GTM

PHILEXPORT- Cebu now endorses Travel Tax Exemption applications

The PHILEXPORT-Cebu Chapter can now endorse applications of its members for travel tax exemption.   The Technical Working Group on EO 589 Exempting Exporters for Travel Tax Exemption (TTE) recently approved the request of PHILEXPORT-National for the additional signatories from PHILEXPORT- Cebu. This is to facilitate the release of TTE certificate by the Tourism Infrastructure and Enterprise Zone Authority (TIEZA). PHILEXPORT-Cebu may now endorse TTE applications directly to the Export Development Council which monitors and oversees the implementation of the Executive Order.

Under EO 589, exporters who will travel abroad to participate in international trade fairs  and exhibitions are entitled to TTE.

Exporters in Cebu may contact PHILEXPORT-Cebu at telephone numbers (032)254.4333/ 254.9266/254.433 or email at info@philexportcebu.org

Regulatory agencies must apply Regulatory Impact Assessment – World Bank, Malacanang

It is therefore necessary for regulatory agencies to undertake the RIA process which involves problem definition, setting the objectives, identifying options (from doing nothing or status quo to other options), impact analysis (cost-benefit analysis), comparing options, and implementation and monitoring.

World Bank strongly suggests that regulatory agencies must subject any proposed regulation to the regulatory impact assessment (RIA), a tool that ensures the quality of regulations through a rigorous, well-defined and evidence-based analysis.

RIA is a process and a document to “clean” the rules particularly those involving high regulatory risks that reduce investment and competition; high transaction costs due to a complex, multi-layered, often arbitrary rules that are vulnerable to corruption; too little market regulation, poor enforcement, and under-institutionalization in policy areas as consumer and environmental protection; and checks and balances, such as  an effective judiciary which are weak, harming new entrants.

In a recent training on RIA, World Bank emphasizes that a good regulation should be  focused on policy problem,  introduced when necessary and proportionate to the risk posed by the policy problem, accountable  to those affected by  the regulation and those who confer regulatory authority, transparent  or consultation based, and consistent,  taking into account existing rules and regulations.

Corollary to this, the Office of the President issued Memorandum No. 27, series of 2017 which, directs among others, the NEDA to promote among regulatory agencies the use of RIA and other related tools.  In Turn, NEDA now implements the Program on Modernizing Government Regulations (MGR) in cooperation with the Development Academy of the Philippines.

Government leads Philippine Halal industry promotion

Government efforts for the development and promotion of Philippine Halal Industry are underway to tap the rising demand on Halal products and services. The halal food industry is estimated to reach 3 trillion in 2021 that can be tapped by the Philippines.

This trend provides strong but challenging opportunities for the Philippines. In 2017, the Philippines only captured P5.52 billion on revenues from halal products or 8.73% of the country’s total exports valued at P63.23 billion.

To seize the opportunities on halal markets, the Philippine Halal Export Development and Promotion Board is working vigorously on the development of Philippine Halal industry.

The Halal Board, composed of several government agencies such as the Departments of Trade, Agriculture, Foreign Affairs, Tourism, Health, Science and Technology, is tasked by Republic Act 10817 or the Philippine Halal Export Development and Promotion Act of 2016, to “formulate, advocate, coordinate, oversee and assess the implementation of the Philippine Halal Export Development and Promotion Program”.

Recently, the Halal Board launched the Philippine National Halal Certification Scheme and the Accreditation Guidelines at the 1st Philippine National Halal Conference in Davao City. The National Halal Certification scheme will serve as guiding principles in accrediting halal certifiers and enable Philippine products to be accepted as halal players in global halal ecosystem.

For its part, the Department of Agriculture formulated standards for slaughtering that must be followed by halal producers. These are standards for Feeds, Agriculture and Fishery Products, Slaughtering Practice for Ruminants and Slaughtering Practice for Poultry. An accepted standard across the whole halal value chain must be in place to meet the requirements of halal markets.

“Awareness campaign is also being done to encourage exporters to improve their products to be competitive and penetrate the global Halal market”, Halal Board Chair and Trade Secretary Ramon Lopez said during the Halal Conference. He also enjoined the academe to include halal in its curriculum and promote research and development on halal to comply with international requirements.

Halal industry can be developed beyond food particularly in tourism, pharmaceutical, travel, modest fashion and cosmetics.

Travel Tax Exemption Certificate now in new TIEZA office

Exporters are advised to claim their travel tax exemption certificates from the new office address of the Tourism Infrastructure and Enterprise Zone Authority (TIEZA) at the 6th floor, Tower 1 Double Dragon, Meridian Tower Diosdado Macapagal Avenue cor. EDSA Extension, Pasay City.

For more inquiries and concerns please email traveltax@tieza.gov.ph or call telephone numbers 257-8136/ 463-9857/ 551-3736/ 551-3945.

Innovation expert: Know your customers to produce value-added exports

“Know your customers better to deliver value-added export products. People today are looking for outcomes and experiences much more than products and services”. This is the main statement of Professor Paris de l’Etraz, Chairman of Applied Innovation Institute during his speech in the recent National Export Congress 2017.

He further said that “Innovative compa-nies are not dealing with products. Most of them are dealing with creating relation-ships, engaging and delivering experien-ces to their custom-ers”,

Professor de l’Etraz emphasized that 90% of all successful ideas today are improvements of something that already exists. He added that decision making needs to move from gut feel and instinct to data-driven decisions.

The speaker included the following advice on exports:

1. Move from commodities to “value-added” products, the companies that are exporting the most have done this well.

2. Customers today are moving from buying products to buying experiences and outcomes

3. Think globally as a “Firm” and as a “Country”, and take your story abroad.

4. Train your people to deliver value-added work.

5. Collaborate with your peers to make “Grown in the Philippines” or “Made in the The Philippines” a value-added reference.  –Piercy Kieth Cezar

Philippines is a potential Innovation Hub in Asia

Companies in the country are battling it out in the innovation business. This was confirmed during the recently concluded National Export Congress 2017. The event reaffirms what other countries say that the Philippines can become the Innovation Hub in the Asian Region.

Research and Development (R&D) by companies focused on products, human resource and digital marketing were featured in the annual event. An example of this product innovation, Chemrez Technologies, Inc. developed its virgin coconut oil that stays in its liquid form even when the temperature goes down to 5 degrees celcius. The company was also able to remove the taste and smell of the coconut from their products. By employing extensive R&D to their coconut oil, they were able to create a new category for their product that was of higher value. By introducing innovation in their coconut oil, they have created new markets and new consumers for products that would otherwise be limited by its physical form. As an innovative company, Chemrez has to keep on developing new products that are not only ahead of competition but products that will pioneer the markets. –Grace T. Mirasol

Managing Director, Dean A. Lao Jr. of Chemrez Technologies, Inc. (left) and Chief Technology Innovation Officer, Delfin Jay M. Sabido IX (right) of Stratpoint Technologies Inc. share their innovations during the National Export Congress 2017 Panel Discussion.