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October 02, 2009

1. Resource-based exporters called to adjust to impact of climate change

The head of the country’s umbrella organization of exporters Thursday said that drastic climate changes which is upon the country will hit the resource-based industries hardest, their long-term viability threatened.

With the grim prospects already here, Sergio R. Ortiz-Luis, Jr., president of the Philippine Exporters Confederation, Inc. (PHILEXPORT) said during the national conference of exporters in a hotel in Manila, the food, furniture, handicrafts, home accessories and fashion jewelry industries could only survive if they take actions to adjust to the situation.

Outside of electronics, machine parts and garments, he pointed out, the resource and favorable climate- based exports are most vulnerable to the drastic changes in weather patterns.

“Environment exports say that climate change is inevitable. The typhoon spawned rains last Saturday that flooded a big swat of Metro Manila and surrounding provinces is proof that the phenomenon is upon us,” Ortiz-Luis warned.

Weathermen had said that it poured in only one day what was normally poured in one month.

“The changing climate pattern in the country, plus more stringent health, safety and environment requirements of foreign buyers for Philippine exports will force indigenous exporters to grow or produce their own raw materials and adopt the best farming practices,” he said.

As adaptation measures, he suggested that food processors and furniture makers and other producers of exportable products out of indigenous raw materials should find ways of producing their raw materials either by themselves, as industry groups or in partnership with other stake-holders like farmers, mountain dwellers and their cooperatives.

He said that on the part of the government, the next President should take it as top priority the enactment of a national land use plan that includes a national crop zoning plan. This will rationalize the use of the country’s limited land resources dovetailed to its development thrusts.

The plan, he added, should take into consideration the changing weather patterns in different parts of the country.

He also called on the environment department to open public denuded forests for private investments in their reforestation. He said that the latest estimate is that it will cost at least P13 trillion to reforest the bald mountains in the country which is equivalent to the national budget for eight years. -- Abe P. Belena, PHILEXPORT News and Features <--back

2. BFAR monthly audit to strengthen PHILEXPORT laboratory capacity

The government will undertake a monthly audit on the operations of PHILEXPORT’s food testing laboratory based in General Santos City to ensure that its conduct of histamine and microbiological testing of fishery export products complies with standards set by importing countries.

In a memorandum, Bureau of Fisheries and Aquatic Resources (BFAR) director Malcolm I. Sarmiento Jr. designated BFAR-12 Fish Quality Control Laboratory head Sara Mae Mamalangkap to undertake inspection.

Sarmiento said the audit is a requirement of the bureau for designation and recognizing official laboratories that carry out analysis of fish and fishery products.

The PHILEXPORT chapter-run Quality Control Laboratory, which was granted recognition by the BFAR in June this year, will also receive technical support from the BFAR.

To this end, a memorandum of agreement was forged between the two parties. The MOA stipulates that PHILEXPORT shall handle the chemical and microbiological analysis, which is a requirement of BFAR for the issuance of health certificate prior to shipment of these products.

Laboratory manager and PHILEXPORT Region XII Executive Director Ronnie Masicampo said aside from tuna, it also provides analysis for marine products like octopus and round scad as well as aquaculture fishery products like milkfish and prawn.

“We are positioning ourselves as the other alternative for histamine and microbiological analysis in the region where exporters can go,” he said.

Masicampo said two other existing laboratory testing facilities in the region are the BFAR Regional Fish Health Laboratory and Dole Philippines Laboratory Services.

However, he said, they are now also serving non-exporters clients.

The P280-million export promotion fund (EPF) financed P5.3 million for the laboratory’s apparatus, equipments and chemicals. On top of this, PHILEXPORT XII spent around P1.6 million as cost share for renovation and office equipments. -- Danielle Venz, PHILEXPORT News and Features <--back

3. PhilHealth asked to expand actual benefits of members

The Philippine Health Insurance Corporation (PhilHealth) is asked to expand and strengthen actual benefits of its members which can result in lowering of the share of out-of-pocket expenses in terms of total health expenditure.

This was the position of “Ayos na Gamot sa Abot-Kayang Presyo” (AGAP) Coalition, a non-governmental organization, presented during the FairTrade convenors’ group meeting.

“The presence of social insurance seems to be non-responsive to the health problems of the members because based from the total health expenditure, “out-of-pocket” expenses still comprises almost half of the total health spending,” AGAP secretariat member Joyce Filomeno said.

Filomeno believes that the proposed amendments to Republic Act 7875, otherwise known as National Health Insurance Act of 1995, taken all together will surely work to improve the current health insurance program.

She said these push expanded benefits which include out-patient benefits as well as preventive health care services like annual physical examinations. Assistance to health care providers and benefit packages relating to women and their needs are also pursued.

The provisions that present the concept of fair and reasonable pricing in the reimbursable cost of medicines will also be useful to achieve these goals, she added.

“We hope that the Corporation will not only expand benefits according to the mandate of Republic Act 9502 (Universally Accessible Cheaper and Quality Medicine Act of 2008) but also strengthen its existing benefits,” she noted.

Moreover, Filomeno said there should be nothing that will prevent PhilHealth from increasing the coverage up to at least 90 percent of the total population or persisting to attain 100-percent coverage.

“With regard to achieving a universal coverage, it is essential that all Citizens of the Philippines be covered and enrolled in the Program,” she said.

Senate Bill (SB) 1992 and House Bill 988 push for automatic enrollment of all Filipinos as opposed to the current enrollment scheme of PhilHealth.

SB 3154 likewise seeks to have mandatory universal health coverage by immediate and automatic enrollment of all Filipinos which shall be funded by the national government through the inclusion of the required contribution in the General Appropriations Act annually. -- Danielle Venz, PHILEXPORT News and Features <--back

4. Overall feedback mechanism within TF-WAR pushed

An economist is pushing for an internal consultation and feedback mechanism within the Task Force on WTO Agreement on Agriculture (Re) negotiations (TF-WAR) for the sectors benefit most from negotiations process.

The multi-sectoral TF-WAR was created amid calls for transparency and representation in the formulation of the Philippine negotiating position in the World Trade Organization (WTO) talks.

In a paper titled “Philippines: stakeholder participation in agricultural policy formation”, Philippines Sugar Millers Association senior economist Donah Sharon Baracol stressed that views expressed by sectors’ representatives in the task force will have the added benefit of having gone through a validation process.

“This demands much of the leadership, but, if observed widely, will enable sectoral interests to be more accurately represented in the formulation of the national position and will certainly improve understanding and perhaps generate more acceptance of the widely misunderstood workings of the WTO,” she noted.

Citing a member’s observation, Baracol said, the feedback at the sectoral and organization level is ensured.

However, that at the grassroots is largely dependent on the members’ organization fulfilling their downstream feedback and consultative responsibilities, she pointed out.

Apart from this, Baracol said the task force has limited resources to undertake more detailed work, lack good information database and unreliable funding resources.

Such funding is needed by the group in conducting wider information dissemination and education through workshops, seminars and perhaps the attendance of members and the core group at formal training sessions on WTO issues and negotiating skills, among others.

But, Baracol said while the TF-WAR mechanism has limitations and constraints, it has proved that trade negotiations process involving stakeholder is beneficial.

“It has no substitute in terms of accurately and effectively harnessing the insights, concerns and ambitions of civil society in a developing country context. It is cost efficient, effective and gives flesh to real democratic governance in action,” she said. -- Danielle Venz, PHILEXPORT News and Features <--back