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Malacañang says ‘endo’ up to Congress

By Arjay L. Balinbin
Malacañang On Monday, April 2, said it is leaving the proposed total ban on labor contractualization to Congress, since President Rodrigo R. Duterte’s planned executive order (EO) can only be limited to “strict implementation of the existing laws.”
“That draft EO has been under study in our office for quite some time. The main problem there is iyong mga gustong mangyari ay (what the labor groups want to happen is) something that the executive department is not empowered to do,” Senior Deputy Executive Secretary Menardo I. Guevarra said in a press briefing at the Palace.
“Kailangan ng legislative action talaga (is really needed), because (that is the) Labor Code iyan eh. The provisions against contractualization (are there). So, if you want something like a total ban on contractualization, you need a law to repeal or amend (those) particular provisions of the Labor Code,” he added.
Mr. Guevarra explained that an executive order is meant only to supplement… or to give the implementing details of what the law provides.
The President’s EO, Mr. Guevarra also said, cannot add nor subtract or substantially alter what the law provides.
“That’s really more for Congress to do. So, I hope you will understand the limitations of an executive order.”
Asked whether there is a slim chance for the President to issue his promised EO, Mr. Guevarra said: “There’s a slim chance, but not really on the substantive side of it. It’s really more on strictly enforcing the existing provisions of the law.”
Mr. Guevarra said there are three drafts currently being studied by the executive department.
“(There is) one draft [from labor group], there’s also another draft coming from the Department of Labor and Employment and our own draft, the draft of the Office of the President. We are trying to, you know, harmonize all of these, putting all useful proposals together in one EO.”
Asked how different the President’s EO will be from DoLE’s department orders on strict compliance with the Labor Code, Mr. Guevarra said: “Not much. Kasi nga iyong sa (Because again, as for the) substantial provisions, they can’t do much about it. They can only do something about implementation, strict implementation of what we already have.”
He stressed that there is “no death sentence” yet on what the labor groups have been advocating. “The executive (department) can make that, you know, an initiative-can have the initiative in making that proposal and pushing for it in Congress.”
NO COORDINATION YET WITH CONGRESS
Whether the executive department has already spoken with the congressional leaders on how to deal with the issues on contractualization, the Palace official said: “Not yet as of this time.”
“Wala pa namang mga ganoon… (There is no) coordination with the legislative department [yet]. We are still trying to do our best to come up with an executive order that can be acceptable to the labor sector.”
“If the labor sector will be unhappy with the President’s EO, then that’s the time that we’ll probably do our consultations with Congress,” Mr. Guevarra added.
Last month, the labor department said “it has no timetable” for the President’s signing of the EO on contractualization.
“The President said he will have it (the draft EO) studied first so no deadline has been set,” Labor Undersecretary Jacinto V. Paras said in a press conference on March 16.

DTI recommends closure of Boracay ‘in phases’

THE DEPARTMENT of Trade and Industry (DTI) has formally recommended to the Office of the President that the closure of Boracay “can be done in phases,” Senior Deputy Executive Secretary Menardo I. Guevarra said.
In his press briefing at Malacañang on Monday, April 2, Mr. Guevarra told reporters that “the Department of Trade and Industry has actually submitted a separate memorandum [to the office of the President], saying that maybe [Boracay’s] closure can be done in phases.”
He added: “[It is] because of the effect on businesses and livelihood in the area. So that is something that the Office of the President will most likely consider as well.”
Mr. Guevarra likewise confirmed that the executive department has already received a joint recommendation letter by the Department of the Environment and Natural Resources (DENR), Department of the Interior and Local Government (DILG), and Department of Tourism (DoT), saying the island’s closure shall start on “April 26.”
However, Mr. Guevarra said the letter from the three agencies has a “very short content.”
“[Hence], we have requested-the Office of the President through the Executive Secretary’s office-the three agencies to submit a more detailed memorandum on the justification or if there is any qualification at all to their recommendation. I think today we’ll be receiving the memorandum-expanding, explaining and justifying their recommendation,” he said.
In their recommendation letter dated March 22, DENR Secretary Roy A. Cimatu, DILG Secretary Eduardo M. Año, and DoT Secretary Wanda Tulfo-Teo said:
“In view of the recent developments and concerns surrounding the island of Boracay, the Department of Environment and Natural Resources, the Department of Internal and Local Government, and the Department of Tourism have decided to unanimously recommend the closure of the island from entry of local and foreign tourists. This shall start from April 26, 2018 and six (6) months thereafter.”
The letter was addressed to President Rodrigo R. Duterte thru Executive Secretary Salvador C. Medialdea.
Mr. Guevarra said, the President “will consider the economic impact on the island and the people residing and working there” when he makes his decision regarding its closure.
“Not just the environment, but also people, their livelihood, businesses. All of these will have to be taken into account.”
Asked when the stakeholders can expect the announcement of the President’s decision, Mr. Guevarra said: “Pretty soon I guess. Pretty soon. We are working on it, that’s our top priority.”
On whether the recommended April 26 closure may be approved, Mr. Guevarra said: “Of course, that’s the President’s prerogative. Of course even us, when we make our recommendations, we are not 100% sure that our recommendations will be followed. The President, you know, has the prerogative. He has all the information at the tip of his fingers. So, he has better information than the rest of us.” — Arjay L. Balinbin

Senators follow up PHL’s MoU with Kuwait

LAWMAKERS HAVE added their voice to the call to strengthen the Philippines’ relationship with Kuwait in connection with the protection of overseas Filipino workers (OFWs).
Senator Mary Grace Natividad S. Poe-Llamanzares said she “hopes the memorandum of understanding (MoU) between the Philippines and Kuwait for the greater protection of overseas Filipino workers will be signed.”
The senator issued that statement on Monday, April 2, when the Department of Foreign Affairs (DFA) confirmed the decision of a Kuwait court “to mete out the death sentence (on) the principal suspects in the murder of Filipina domestic worker Joanna D. Demafelis.”
“Swift and sure justice is what Joanna Demafelis deserves. But the search for justice should not stop in its tracks until all those responsible for the fate of Joanna are punished,” Ms. Poe added.
“We also hope that such understanding [MoU] be present in other countries with OFW population.”
For his part, Senate President Aquilino L. Pimentel III said in a statement that the earlier tensions caused by the incident between the Philippines and Kuwait will normalize as the two countries continue their longstanding diplomatic and economic relationship.
“Urgent now is the mending of ties. We see Kuwait as a partner. We benefit mutually from sending our OFWs to Kuwait, and it’s in the best interest of both countries to continue resolving matters relating to reported work abuses, repatriation, lack of documentation and other key issues affecting Filipino workers there,” he said.
Mr. Pimentel likewise stressed that the Philippine government’s focus should now be on the “protection of OFW rights and welfare.”
“(O)f course, [it should be] balanced with the respect for local laws and traditions. It’s sometimes a delicate balancing act that’s why we need constant engagement with the host state,” he explained.
Meanwhile, Senate committee on labor, employment and human resources development chairman Senator Emmanuel Joel J. Villanueva said the government “should continue to ensure and see to it that no OFWs anywhere in the world will be under the ‘kafala’ (or sponsorship) system” that is applied in Middle East nations.
Sought for comment during a Palace briefing, Senior Deputy Executive Secretary Menardo I. Guevarra said the total ban on OFWs to Kuwait “still holds” despite the latest development on Ms. Demafelis’ case.
“But of course the agreement, a memorandum of understanding, is being formulated and hopefully the state parties will come to terms as to how our OFWs in Kuwait as well as in other Middle Eastern countries will be protected. So basically that will be a solution to this ban, this total ban about sending OFWs to Kuwait,” he added. — Arjay L. Balinbin

Nationwide Round-Up

Marcos hints at irregularities as PET process under way

THE SUPREME COURT (SC), acting as the Presidential Electoral Tribunal (PET), started the process on Monday on the electoral protest filed by former senator Ferdinand “Bongbong” R. Marcos questioning the her rival Maria Leonor “Leni” G. Robredo’s election victory in the 2016 vice-presidential contest. — Dane Angelo M. Enerio

Fuel prices up this week

GASOLINE, DIESEL and kerosene prices will increase this week, oil companies said on Monday, pointing to the movement of prices in the international market. Gasoline will rise by P0.90 per liter, while diesel and kerosene will both increase by P1.00 per liter. The price adjustment will take place at 6:00 a.m. on today, April 3, 2018, the companies said. — Victor V. Saulon

Senator opposes military ranking for PNP

SENATOR PANFILO M. Lacson deemed it unwise for the police force to adopt military rank classification as proposed by lawmakers at the House of Representatives, noting that the Philippine National Police (PNP) was “civilian in character” compared to the military. — Camille A. Aguinaldo

Duterte to take up BBL with Misuari

PRESIDENT Rodrigo R. Duterte on Monday said he will meet with Moro National Liberation Front (MNLF) leader Nur Misuari this week to discuss the terms of the Bangsamoro Basic Law (BBL) agreeable to all. “This week, I will be in conference with everybody and after that, I will go back to, maybe Jolo, to talk to Misuari again if we can come up with an arrangement to arrive at a lasting peace,” Mr. Duterte said during the distribution of Certificates of Land Ownership Award (CLOA) to the farmers in Sultan Kudarat. Mr. Duterte said he is “racing against time” to meet the deadline he agreed on with the Moro groups. “I gave my solemn promise and I assure you, I am working hard to meet the deadline,” the President added saying that the BBL should be passed within this year. The House of Representatives is finalizing the BBL at the committee level and aims to have the bill approved by June. In the Senate, the measure is already in consideration for second reading. The BBL, if approved, will create the Bangsamoro Autonomous Region to replace the Autonomous Region of Muslim Mindanao (ARMM). — Minde Nyl R. dela Cruz

MRT deploys more trains

THE DEPARTMENT of Transportation (DoTr) deployed 15 Metro Rail Transit-3 (MRT-3) trains on Apr 2, the first time since Jan 5. At around 2:10 p.m., Monday, the MRT-3 management said it was able to roll out 15 trains on the tracks, which resulted in headway of six minutes. The MRT previously operated with as low as about five to eight trains running on peak hours. “Our next target is to increase the availability to 20 trains when the new rehabilitation and maintenance service provider comes in,” DoTr Undersecretary for Railways Timothy John R. Batan said in a statement. But Mr. Batan said the 20-car configuration will depend on the outcome of the audit of the trains purchased from Dalian Locomotive. The DoTr said last month that the audit T‹V Rheinland on the Dalian trains is “substantially completed, but not yet concluded”. The firm was awarded the DoTr the contract to audit the system. — Patrizia Paola C. Marcelo

Duterte to host expo on mass transportation

PRESIDENT Rodrigo R. Duterte is expected to lead opening rites today, April 3, for “Public Transport Modernization Expo: Modernong Sasakyan, Progresibong Bayan” — the country’s first public transport modernization expo seeking to highlight the newest solutions and innovations in Philippine public transportation. Transportation Secretary Arthur P. Tugade, whose agency hosts this event; Executive Secretary Salvador C. Medialdea, and officials from the Land Transportation Franchising and Regulatory Board (LTFRB) and Development Bank of the Philippines (DBP) will also take part in the opening activities, according to a statement by the Senate.

Customs bureau exceeds March collection target by over 19%

THE BUREAU of Customs (BoC) said it beat its March collection target, with revenue growing 19.1% year on year, after many of its ports outside of Manila exceeded their goals.
“Based on the initial report from the BoC Financial Service, a total of P45.398 billion in revenue was collected, exceeding the P45.133-billion target for the month of March by P265 million,” Commissioner Isidro S. Lapeña was quoted as saying in a statement.
The BoC said that 12 of its 17 ports exceeded their revenue targets, despite the holidays in March.
The Port of Batangas collected P11.542 billion, exceeding its target by 10.5%. This was followed by the Port of Limay, Bataan, with P2.896 billion in collections, beating its target by 5.5%; and the Port of Cebu with P2.189 billion, exceeding its target by 7.6%.
The other BoC stations that exceeded their targets were:
Davao, collecting P1.755 billion, 21.1% above target;
Subic, collecting P1.655 billion, 1.9% above target;
Cagayan de Oro, collecting P1.625 billion, 27.4% above target;
San Fernando, collecting P278 million, 13% above its target;
Clark, collecting P154 million, 29.8% above target;
Tacloban, collecting P68 million, 241.6% above target;
Legazpi, collecting P22.10 million, 0.50% above target;
Surigao, collecting P4 million, 262.7% above target, and;
Aparri, collecting P6 million, 37.5% above target.
Meanwhile, the ports which failed to hit their targets were:
Manila, collecting P5.776 billion, missing its target by 14.9%;
Manila International Container Port, collecting P12.625 billion, missing by 9.28%;
Ninoy Aquino International Airport, collecting P3.094 billion, missing by 25.9%;
Iloilo, collecting P176 million, missing by 27.8%, and;
Zamboanga, collecting P700,000, missing by 96%.
“Following this development, the district collectors of these ports and others concerned will be eventually replaced in compliance to the earlier directive that district collectors, deputy collectors for assessment, chief of Formal Entry Division, examiners, appraisers, and other BoC personnel performing assessment functions will be relieved,” the bureau said.
The BoC is tasked to collect P637.1 billion this year, up 39.05% from actual collections of P458.18 billion in 2017. — Elijah Joseph C. Tubayan

Palace assures residents to be consulted on Marawi’s rehabilitation

Malacañang said on Monday, April 2, residents of Marawi City will be given an opportunity to submit their own proposals on how to rehabilitate their own city. “I doubt it very much whether you know the residents themselves of the city will not even be consulted on a manner by which their city will have to be rehabilitated. There are cultural, historical aspects that need to be respected and considered,” Senior Deputy Executive Secretary Menardo I. Guevarra said in a press briefing at the Palace. He added: “So when you are restoring something, you are bringing it back to its condition before. Of course, with much improvement but essentially the essence of Marawi City as a Muslim City will have to be taken into account in the restoration process.” As for the residents’ appeal not to pursue the proposed plan to put up an economic zone and a military camp in the city, Mr. Guevarra said: “I think it’s too early to say whether the President will act on that request. We’ll leave it to the Task Force Bangon Marawi to consider that, to take that into account and to evaluate whether the existence or non-existence of a military camp inside Marawi City is advisable and whether or not converting it into an economic zone will be for the betterment of the city or not. That’s all for the Task Force to evaluate and decide on.” — Arjay L. Balinbin

Swiss firms invited to invest in PHL ahead of negative list easing

THE DEPARTMENT of Finance (DoF) has invited Swiss businesses to set up shop in the Philippines, citing its attractive and growing consumer market, as the government pursues reforms to streamline the investment process.
“We hope Swiss businesses could find a home here — a happy one. We are working very hard to improve the ease of doing business and reducing our [Foreign] Investment Negative List (FINL) to the bare minimum. From being mocked as ‘The Sick Man of Asia,’ the Philippines is now seen as the region’s next economic powerhouse,” Finance Secretary Carlos G. Dominguez III said during the March 6 meeting with members of the Philippine-Swiss Business Council.
Socioeconomic Secretary Ernesto M. Pernia said in February that the new FINL will be elevated to the National Economic and Development Authority (NEDA) Board for approval of its chair, President Rodrigo R. Duterte.
The FINL identifies sectors where foreign investment is either limited or prohibited. The list is reviewed every two years, but the latest version of the FINL was issued on May 29, 2015.
Foreigners can hold up to a 40% stake in companies that operate public utilities; supply materials and goods to state-run firms, government agencies, and municipal corporations; or those that operate infrastructure or development facilities which need a public utility franchise.
The government has said that it will undertake an “aggressive” removal of restrictions in its upcoming FINL.
Mr. Dominguez also touted Republic Act 10963, or the Tax Reform for Acceleration and Inclusion (TRAIN) law, during the meeting, which has helped shore up government revenue to support its infrastructure program.
“This is a good time to do tax reform because we have a leader with both the political will and the political capital to bring about meaningful change. President Rodrigo R. Duterte has thrown his full support behind the tax reform effort,” Mr. Dominguez said.
“It is also about creating economic conditions that foster investment. It is about providing a level playing field for enterprises to compete. It is about building transparent governance and simplified procedures that enhance compliance,” he added.
“The Philippines’ young and talented labor force, our large consumer market and our determined participation in building a Southeast Asian common market produce much headroom for sustainable growth,” said Mr. Dominguez.
Swiss Ambassador to the Philippines Andrea Reichlin, meanwhile, cited the positive conditions for investment in the Philippines, which is attracting attention in items such as Business Insider’s selection of the Philippines as the “Best Country to Invest In.”
“I think everybody has read the results of the Business Insider (survey). We should give a round of applause for having the Philippines in first; I think this is the first time in history,” Ms. Reichlin said.
Mr. Dominguez said that the government remains “on track” to hit its 7-8% economic growth rate this year, driven by investment.
“This is the best time to do reform. It allows us the leisure to carefully calibrate the reform measures for optimal economic impact. Free from any pressing economic distress, we have the opportunity to rally public support for this program. We are able to look far into the future and build towards the inclusive and dynamic economy our people deserve,” Mr. Dominguez said. — Elijah Joseph C. Tubayan

Coffee farmers thrive despite challenges

The changing and extreme weather conditions continue to pose a challenge to farmers all over the country but members of the Masiag Farmers and Coffee Growers Association, Inc. (MAFACGA) in Bagumbayan, Sultan Kudarat, continue to thrive, thanks to their desire to become better farmers.
“All of us have been growing coffee trees for years but we started growing coffee as an association in 2012 after we realized it was more sustainable,” MAFACGA President Jennifer N. Farillon said in an interview.
The association of agrarian reform beneficiaries has grown from 45 to 249 farmer-members, with each member tilling his or her own coffee farm in varying sizes from three to nine hectares.
The ARB association banks on its Mang Felipe coffee brand which was named after one of the earliest settlers who pioneered coffee growing in the area. Today, MAFACGA does not only grow coffee trees but also produce several varieties of robusta coffee that are sold as brewed, roasted, instant and green coffee.
“Our green coffee beans is pure and unadulterated coffee beans that has less…cholesterol than ground green coffee,” Ms. Farillon said. The pure green coffee, which is available at P300 per kilo, is sought by those who want to enjoy healthy coffee.
The farmers have improved not only the packaging of their finished coffee products but also the process of growing coffee. Compared to growing 800 coffee trees per hectare, they are now able to grow 1,111 trees per hectare after adjusting the distance of the trees from 5×3 meters to 2×3 meters.
Ms. Farillon said out of 2,000 kilos of fresh coffee beans every year, only 700 kilos of green coffee can be produced. The fresh coffee beans they produce are sold to Nestle and other traders.
“We could not supply the demands of Nestle and the other traders as our production has gone down by almost 50% because of the rain,” she said. However, she is confident that they will be able to get more yield from their coffee farms during summer.
Ms. Farillon cites the support from different sources including the Philippine Rural Development Project (PRDP) which provided them P13 million in loans.
PRDP is a six-year project that aims to provide climate-smart farmers technology, infrastructure, information and facilities to help improve their productivity, income and competitiveness. A loan approved last year will be fully implemented this year and will be used for infrastructure development, and for the purchase of a forward elf for the transportation of the farmers’ coffee produce. MAFACGA will invest in an equity worth P1.8 million for the purchase of a solar dryer and other equipment.
Bagumbayan is known as a coffee-growing community and MAFACGA is just one of the many farmers groups that have made coffee their primary means of livelihood. Barangay Masiag, however, is one of the barangays that produce rich and high-value coffee beans.
The Department of Agrarian Reform (DAR) realized the potential of the province for coffee growing, and through the Mindanao Sustainable Agrarian and Agriculture Development (MinSAAD), built a coffee processing facility in the nearby Municipality of Sen. Ninoy Aquino two years ago to increase the competency of farmers from being mere producers of raw coffee beans to becoming producers of high-value coffee products.
The processing plant includes a 36-square-meter building and a 180-square-meter solar dryer with provisions for coffee processing equipment which includes grinder, roaster and a de-huller machine. The project aims to increase the income of around 1,600 agrarian reform beneficiaries in the province.
“The goal is to help the farmers establish a coffee enterprise,” said MinSAAD Project Manager Eduardo E. Suaybaguio, during the Usapang Kalakalan ng DAR-MinSAAD Project held in Davao City last month.
DAR-MinSAAD is a poverty alleviation project being implemented in 12 marginalized settlements in Mindanao. Mr. Suaybaguio said the project aims to address poverty issues through sustainable agriculture.
He said the project has adopted a Project Investment Plan (PIP) covering 105 Agriculture, Agribusiness and Agro-forestry Development (AAAD) sub-projects, 78 Farm to Market Roads (FMR), 14 Bridges, 76 Post Harvest Facilities (PHF), 20 Irrigation and 52 Rural Water System (RWS) sub-projects.
“The major component of MinSAAD is agriculture, agribusiness and agroforestry with the challenge of shifting farmers’ mindset from being mere producers to becoming entrepreneurs,” he said.
The Project area covers 217 barangays in 27 municipalities with a total area of 517,482 hectares. MinSAAD covers 12 settlements covering seven provinces namely Lanao del Norte, Bukidnon, North Cotabato, South Cotabato, Sultan Kudarat, Compostela Valle and Davao del Sur.
The Sultan Kudarat Resettlement Area Phase 2, which includes 28 barangays in the municipalities of Sen. Ninoy Aquino, Bagumbayan and Palimbang, is one of the MinSAAD project areas. The settlement is predominantly an agricultural area with a total of 105,869.75 hectares, 67,502.48 hectares of which is agricultural.
DAR-MinSAAD has partnered with MAFACGA not only in the conduct of various trainings on nursery and plantation establishment but also in the care, maintenance, harvesting, post harvest operations and processing of coffee. Through the project, a community nursery was established and now provides a sustainable source of quality coffee seedlings.
MAFACGA was able to produce 37,500 coffee seedlings as planting materials for coffee production. Its members received the planting materials and were able to plant 37.5 hectares with coffee. — Carmencita A. Carillo

Livelihood program set for IPs

THE DEPARTMENT of Agriculture (DA) has developed a scheme to provide the indigenous peoples (IPs) in Malapatan, Sarangani, a sustainable livelihood through planting 2,500 Falcata and Gmelina trees in a five-hectare lot. In a statement, Agriculture Secretary Emmanuel F. Piñol in his visit late March unveiled the Kabuhayan at Kaunlaran ng Kababayang Katutubo (4K) program, where IP beneficiaries will be given up to P300,000 in loans through the Agricultural Credit Policy Council to plant 500 trees per hectare. “IPs are very familiar with the planting of trees, this is why I have considered this in the conceptualization of the program,” Mr. Piñol said. Of the total amount, P5,000 will be given to the beneficiaries to maintain the 500 trees, aside from the P2-per-tree maintenance incentive. Through the program, the DA estimated that the beneficiaries will earn no less than P4 million from the project once they have paid off their loans. Mr. Piñol also turned over P311,000 worth of rice and corn seeds, abaca seedlings, organic fertilizer and planting materials, as an alternative for the local farmers to use in their land. He said that the DA will also allot P693 million to the building of farm-to-market roads and agro and livestock production in the town, benefiting around 700 farmers and fisherfolk. — Anna Gabriela A. Mogato