Despite growing at an average rate of 2.7% between 2002 and 2012, the manufacturing sector’s share of GDP has been eroded by the rapid growth of other sectors, such as construction and services. Hampered by high energy costs, expensive logistics and low infrastructure investment, the manufacturing’s share of GDP has been declining since 2002 in what the Asian Development Bank has warned could be a premature shift away from industrialisation. The government has, however, been increasing its efforts to attract investment and accelerate manufacturing growth, resulting in the country earning an investment grade rating from three major global credit agencies during 2013. Meanwhile, with overall strong growth and key drivers such as business process outsourcing sector expansion and demographics still in place, the Philippines retail sector appears set to continue its relatively rapid expansion.
This chapter contains interviews with Leonardo B Dayao, President, Puregold Price Club; and Christopher T Po, President and CEO, Century Pacific Group.