Q&A at the Arangkada Forum

February 15, 2012 at 11:15

Q&A at the Arangkada Forum

Participants of the Arangkada Philippines Forum submitted questions for panelists and speakers as well as questions regarding the First Anniversary Assessment.

Question 1: Can NCC look at competitiveness indicator in agriculture – agri industry development since this is most promising area for inclusive growth?

From: Ernesto Ordonez, Chairman of Alyansa Agrikultura


Agriculture and agribusiness are important parts of the Philippine economy and can play a major role in job generation, poverty reduction, and inclusive growth. If we want to grow out the middle class, we will have to build up our agricultural sector. Thus, NCC will be opening up a Working Group on Agriculture/Agribusiness in 2012.

– Guillermo Luz, Co-chairman of the National Competitiveness Council


Question 2: Would Arangkada consider mainstreaming regional or provincial FDI’s in the growth areas of Bicol(11%), Ilocos (9.2%), Cebu rather than focusing solely on national investments?

From: Governor Imee R. Marcos of Ilocos Norte


Arangkada Philippines advocates faster growth and investment – from whatever source – throughout the Philippines. We encourage LGUs to be aware of the competitive advantages that the country has to develop the 7 Big Winner Sectors more rapidly. Agribusiness investment can prosper in many areas of the archipelago. BPO now has Manila, Cebu, Clark, and Bacolod as the four leading sites, with firms also locating in Santa Rosa (Laguna), Baguio, Davao, Iloilo, Dumaguete, Carmona, and Cagayan de Oro. Creative Industries is spread throughout the country, concentrated in urban areas. Major road and rail infrastructure projects serve densely populated areas, while power and water projects are in more rural locations. Manufacturing is centered in the NCR and Cebu, close to major ports, although processed fruits and fresh bananas are shipped from Cagayan de Oro, Davao, and General Santos; the latter also has developed a tuna export industry. Responsible mining is practiced at some 27 locations scattered throughout most regions. Major tourism destinations are outside Manila. As infrastructure and security improve in areas distant from the three largest urban centers of Manila, Cebu, and Davao, investors should increasingly move out from the big cities. Arangkada would be pleased to initiate space on its website for provinces to provide information for potential investors, and we could begin with Ilocos Norte.

 Arangkada experts


Question 3: Re Arangkada assessment of LABOR, please explain:

Why do you put “creation of jobs” under labor when job creation is a function of investment/ businesses? If at all, HRD/ Human capital should be factor that is rated under labor? Why only 2 stars? Regression?



See answer submitted by Arangkada experts from the Employers’ Confederation of the Philippines (ECOP)


Question 4: What would it take to make the Phils an air cargo logistics hub in Asia? What 3 specific recommendations can you provide? Including policy recommendations that gov’t should prioritize.

From: Eries Cogatan, Director, Infra and services Dept., Board of Investments


The changes for transshipment for the Philippines lie primarily in so called “sea-air” moves from China to Manila by sea and air transport to Europe and the USA. The Philippines has competitive air transport rates particularly for Europe because of the wide coverage by Middle East Carriers in Europe and their very frequent flights to the Philippines. The roadblock here is the Bureau of Customs which effectively blocks attempts to trans-ship cargo in Manila. Test shipments have failed to make it through the Philippines, as documented. A BOC Customs Memorandum Order would have to be issued allowing trans-shipments through Manila with clear implementing rules and regulations. A transit warehouse will have to be designated by Customs at the Manila International Airport.

Arangkada Logistics expert


Question 5: Any thoughts on how the Philippine-US-China situation will impact economic prospects for the Philippines? Will aligning the Philippines with the US improve FDI and trade/tourism from America? Will it hurt the same from China? Will geopolitics have any positive or negative impact?

From: Ray Pimentel via Facebook


The Philippines has had economic relations with both China and the United States for centuries and can be expected to increase its trade and investment activity with both leading global economies in the future. This is a win-win, not a zero-sum situation. There is no reason why the Philippines will not have good economic relations with both supereconomies.





Arangkada Philippines: A Business Perspective — Move Twice As Fast (Beta) | Joint Foreign Chambers of the Philippines