Industry & Agri-business
From The Report: Philippines 2021
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Industry has made a sustained contribution to the Philippines’ economy in recent years, accounting for roughly 30% of GDP between 2017 and 2019, with sector growth driven predominately by manufacturing. Expansion was constrained in 2020 as Covid-19 response measures impeded manufacturing activity and reduced the global demand for industrial products. Meanwhile, agriculture comprised 9-10% of GDP from 2017-19 and is a crucial source of employment. Increased emphasis has been placed on transforming traditional farming into a dynamic agri-business sector – which will be key to the country’s economic rebound. After a difficult 2020 it will be necessary to address ongoing challenges – including high production and electricity costs, inadequate infrastructure and limited basic industries – to enable long-term manufacturing growth. Supporting businesses in the adoption of the Fourth Industrial Revolution, or the application of new digital and automated technologies to enhance production processes and service delivery, will further boost resilience. This chapter contains interviews with Ramon M Lopez, Secretary of Trade and Industry; William Dar, Secretary of Agriculture; and Christopher Po, Executive Chairman, Century Pacific Food.

Articles from this Chapter

Overview

Into the future: A focus on investment and technology facilitates the transition to Industry 4.0 and value-added agri-business
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Industry has made a sustained contribution to the Philippines’ economy in recent years, accounting for roughly 30% of GDP between 2017 and 2019. Sector growth was driven predominately by manufacturing, which comprised more than half of industrial output and 19% of GDP over the same period. Growth was constrained in 2020 as Covid-19 response measures impeded manufacturing activity and reduced global demand for industrial products. Even so, there were already signs that manufacturing activities…

Interview

Forward thinking: Ramon M Lopez, Secretary of Trade and Industry, on increasing competitiveness and investment inflows
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Interview:Ramon M Lopez What will be the impact of amendments to the key laws regulating foreign investment, and how can they be further improved? RAMON M LOPEZ: The amendments to the Public Service Act, Foreign Investment Act and Retail Trade Liberalisation Act aim to create a more enabling policy environment for investment inflows into the country. The amendments were implemented with the goal of fostering an open economy by removing barriers to investment in key areas that will lead to…

Analysis

Top model: Producers of fast-moving consumer goods adapt to supply chain disruptions and changes in demand
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In response to lockdowns initiated to stem the spread of Covid-19, fast-moving consumer goods (FMCG) manufacturers in the Philippines adopted new business strategies to overcome supply chain disruptions and meet shifting consumer demands. Indeed, the pandemic led FMCG companies to reassess input sources and re-evaluate the balance between efficiency and resilience. It is expected that these structural changes will last beyond the pandemic. Just in Case Prior to the emergence of Covid-19,…

Analysis

Technological solutions: With the global movement of food disrupted in 2020, local farmers adapted with the help of a new government programme
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Although agricultural activities were permitted during the lockdown period in the Philippines, some farmers nevertheless saw their activities limited by various provincial restrictions. In Quezon province, for example, stricter measures were implemented in April 2020 that permitted residents in some areas to leave their homes only once per week – placing the harvest at risk of spoilage during the dry season. Given the disruptions to global supply chains affecting the importation of food,…

Interview

Next generation: William Dar, Secretary of Agriculture, on ensuring food security amid supply chain disruptions
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Interview:William Dar How can the government ensure food price stability and the availability of fresh produce in light of pandemic-related disruptions to supply chains? WILLIAM DAR: After the onset of the Covid-19 pandemic, we intensified efforts to enhance the productivity of the agriculture, forestry and fisheries sector to ensure a continuous supply of healthy and inexpensive food. Production, transport and delivery operations were unhampered throughout the crisis – even in the early…

Interview

Model of resilience: Christopher Po, Executive Chairman, Century Pacific Food, on adapting to shifts in consumer behaviour
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Interview:Christopher Po Which vulnerabilities in local food supply chains were highlighted by the Covid-19 pandemic? CHRISTOPHER PO: The main challenges were fear, disruption to the flow of goods and capital, and the lack of public transport. Moving goods across regions was also difficult, and coordination with various local government units proved challenging due to differences in their interpretation of Covid-19-related rules. Despite this, supply chains remained intact. The government…