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SMC still finalizing PAREX detailed design — Ramon Ang

SAN MIGUEL Corp. (SMC) is still finalizing the detailed engineering design (DED) for the P95-billion Pasig River Expressway (PAREX) and remains committed to proceeding with the project, the company’s president said.

“We are still working on the DED; it is a requirement of the TRB (Toll Regulatory Board) for us to continue and finish all of that,” SMC President and Chief Executive Officer Ramon S. Ang told reporters last week.

“Once finished, when it’s ready to be built, there will be a public consultation. If the public says it is a go, then it is a go, but if not, we will address all the issues,” he added.

The TRB has said that SMC is likely to start construction of PAREX next year or once the company receives an environmental compliance certificate.

The project is expected to provide an alternative and faster link to Metro Manila’s largest business districts, such as the Makati Business District, Ortigas Center, and Bonifacio Global City.

SMC did not provide a timetable for completing the final engineering design of PAREX.

The TRB said that SMC must first provide the final DED for PAREX so that the company can proceed with the development of the project and must also redesign the project to ensure heritage structures are not affected.

In March, the company said it would abandon the 19.37-kilometer, six-lane, all-elevated expressway that traverses the Pasig River amid public opposition due to its impact on the environment.

However, two months after the announcement, the company said it would not abandon the project and was working to address concerns to advance PAREX. — Ashley Erika O. Jose

P&G partners with QBO Innovation to champion Filipino startups

Members of P&G Philippines, QBO Innovation, participating startups, and key stakeholders gather for a group photo at the vGrow SHOWQASE launch event.

Procter & Gamble (P&G) Philippines has forged a strategic partnership with QBO Innovation to launch the first-ever vGrow SHOWQASE in the Philippines, aimed at harnessing the untapped potential of the Philippine startup ecosystem and finding innovative partners who share P&G’s vision for sustainable growth and serving Filipino consumers.

The vGrow SHOWQASE is an open innovation program designed to connect external partners and startups with innovative solutions to P&G Philippines’ business challenges and opportunities, fostering a dynamic and collaborative ecosystem.

P&G, maker of trusted household brands, launched the vGrow program to drive innovative solutions across multiple stages of its operations. The program aligns with the company’s commitment to deliver superior products to its consumers through innovative initiatives and solutions.

The vGrow program was first launched in 2017 and has been implemented in countries including India, Singapore, Malaysia, Australia and New Zealand, fostering innovation and collaboration with startups, small businesses, and other partners in key markets worldwide.

The local iteration of the program is in partnership with QBO Innovation, a division of Ideaspace that consults for and engages with government agencies, academic institutions, international development agencies, and private sector enterprises in driving digital transformation strategies, developing innovation ecosystems, and accelerating technology startup growth.

QBO curated a selection of 18 high-potential startups to present their innovative solutions to P&G’s top executives, including P&G Philippines General Manager Agraj Sharma, P&G APAC Purchasing Senior Director Shivangi Jain, and P&G Philippines Purchasing Director Marlon De Vera.

The vGrow program opened doors for business collaboration and networking opportunities to further explore partnerships within P&G’s extensive network.

“Throughout almost 90 years of operations in the country, P&G’s mission has always been to understand and serve consumers with the best solutions for their daily needs,” Mr. Sharma shared. “We are excited to partner with QBO and all these companies to uncover innovative solutions to P&G’s biggest opportunities and toughest problems. This will enable us to serve more consumers with superior, value-creating brand experiences.”

During the vGrow SHOWQASE launch event, Ideaspace and QBO Innovation Executive Director Jay Fajardo highlighted that the country’s startup ecosystem is poised to thrive in the growing digital economy, which was valued at $6.45 billion in 2023 and is expected to grow to $35 billion by 2025.

“The COVID-19 pandemic has led to a surge in tech-savvy consumers. With about 73% of the country’s population, or approximately 118 million Filipinos, whose average age is 25, the market is now more technologically inclined, presenting a significant opportunity for Filipino startups and businesses to maximize and explore,” said Mr. Fajardo.

The companies participating in the first vGrow SHOWQASE program are in the post-MVP (Minimum Viable Product) stage in the human resources and employee health and wellness, sales development and retail operations, transport and logistics, market strategy and promotions, customization and value-added services, and brand and creative industries. The list includes Amplify, Betterteem, Chamni’s Eye, CognitiveAI, DHL, Happy Benefits, LOCAD, Maya, MASA, Inc., Margarett Enterprises, Inc., MobileOptima-Tarkie, Ninja Van, Pickaroo, POLKA.PH, Shuttlerock, Storewise, and Xeleqt AI.

After the pitching sessions, three startups received special awards: CognitiveAI was awarded the Most Innovative Solution, Betterteem received the Best Pitcher award, and DHL was recognized with the Industry Leadership award.

Ideaspace and QBO Innovation President Rene “Butch” Meily expressed his gratitude to P&G Philippines for the partnership.

“We extend our gratitude to P&G for supporting the vGrow program,” Mr. Meily said. “Innovation is disrupting the world and giving birth to new industries. While we need corporate support for startups, companies also stand to benefit greatly from this collaboration. I urge all of you to embrace this dynamic exchange. Do not let the future pass you by, but seize the opportunity to be at the forefront of innovation. Together, we have the power to shape a new world, one where creativity and collaboration pave the way for unprecedented advancements.”

First Gen targets to finish LNG ship repair by September

BW FILE PHOTO

LOPEZ-LED First Gen Corp. targets to complete the repair of its liquefied natural gas (LNG) ship by September before deciding to reorder another supply cargo, its president said.

“Right now, the LNG ship is going through repair in Subic… at the same time, we’re also doing the punch list or remaining items in the interim offshore terminal,” First Gen Corp. President and Chief Operating Officer Francis Giles B. Puno said on the sidelines of a forum on Aug. 14.

“Hopefully, by mid-September, (operations) will have returned to normal,” he added.

In the meantime, Mr. Puno said that power plants can still operate on the residual gas from the Malampaya gas field, the country’s sole natural gas provider.

“When we’re doing repairs, you cannot do so with gas still inside. We have to empty out the gas and then proceed with the repair. Once it’s ready, then we can consider reordering,” he said.

In June, First Gen awarded Japanese company TG Global Trading Co. a contract to supply one LNG cargo of approximately 125,000 cubic meters, with delivery scheduled for July.

The LNG cargo was supposed to be unloaded into the storage tanks of the BW Batangas floating storage and regasification unit that should be berthed at the First Gen Clean Energy Complex in Batangas City.

FGEN LNG Corp., a subsidiary of First Gen, constructed an interim offshore LNG terminal and executed a five-year time charter party for BW Batangas to provide LNG storage and regasification services.

First Gen utilizes LNG for its existing gas-fired power plants with a combined capacity of 2,017 megawatts, which have been supplied for many years with gas from the Malampaya field. — Sheldeen Joy Talavera

CREC may delay Isabela project acquisition until 2025

CITICORE Renewable Energy Corp. (CREC) may delay its planned acquisition of a run-of-river hydropower project in Isabela, which is currently managed by its parent company, until 2025, its chief executive officer said.

“We’re still exploring whether to proceed with folding it in now or waiting until the project is up and running,” CREC President and Chief Executive Officer Oliver Tan said in an interview last week.

“Currently, it’s with Citicore Power. We intend to integrate it into CREC, but due to some document issues, the acquisition might be delayed,” he added.

Mr. Tan said that the company is still awaiting the transfer of certain permits.

“The acquisition may be pushed back to next year,” he said.

Citicore Hydro Isabela, Inc., a subsidiary of CREC, is constructing a run-of-river power plant with a capacity of up to 25.7 megawatts. The project is expected to be completed by the second half of 2026.

Mr. Tan said that the delay in the acquisition will not impact CREC, as it was not included in the valuation during its initial public offering.

The company is currently working on eight projects worth approximately one gigawatt (GW) and is on track to reach its goal of five GW of capacity by 2028.

CREC, both directly and through its subsidiaries and joint ventures, manages a diversified portfolio of renewable energy generation projects, power project development operations, and retail electricity supply services. — Sheldeen Joy Talavera

17 car brands to headline ‘biggest PIMS ever’

Executives of the 9th Philippine International Motor Show (PIMS) participating brands pose for a photo after a Q&A with members of the media and content creators. From left are Masando Hashimoto (Toyota), Shojiro Sakoda (Isuzu), Norihide Takei (Suzuki), Emmanuel San Luis (Nissan), Dongwook Lee (Hyundai), Karl Magsuci (MG), Rie Miyake (Honda), Levy Santos (Foton), Atty. Rommel Gutierrez (CAMPI), Ritsu Imaeda (Mitsubishi), Michael Breen (Ford), Steven Tan (Mazda), Mario Regis (Daewoo), Brian Buendia (Kia), Froilan Dytianquin (Chery), Maricar Parco (Changan), Miguelito Jose (Jetour), and Michael Rosario (BMW). — PHOTO BY KAP MACEDA AGUILA

Biennial car show slated from Oct. 24-27

THE CHAMBER of Automotive Manufacturers of the Philippines, Inc. (CAMPI), the country’s premier auto industry association, is gearing up for the 9th edition of its Philippine International Motor Show (PIMS). The theme of this year’s staging — the largest ever with a confirmed 17 brands participating — is “Dare. Drive. The Future Redefined.”

Said CAMPI President Atty. Rommel Gutierrez, “This year’s PIMS embodies CAMPI’s bold vision of uniting the automotive industry and leading the way in redefining advanced, inclusive mobility for all Filipinos. We are excited to showcase the innovations that will shape the future of transportation in the country.”

You could very well say that the second PIMS after the COVID-19 pandemic comes at a fortuitous time of growth for the industry. There is talk that total vehicle sales for the year might finally breach 500,000 — an all-time high. This aspiration isn’t new, said the CAMPI head, who’s also a Toyota Motor Philippines Corp. (TMP) executive. “The target of 500,000 units was actually first expressed 10 years ago. We’re confident that we’ll hit that, if not this year, then the next,” Atty. Gutierrez stated.

Based on CAMPI/TMA (Truck Manufacturers Association) YTD figures released for July, total vehicle sales stood at 265,610 units — 10.9% up versus the same period last year, when the two associations reported moving 239,501 units. From a month-on-month perspective, sales marginally grew by 0.6%. In an accompanying statement, Atty. Gutierrez had attributed the sales growth to “new product launches, improved product offerings, good sales momentum, as well as supply availability (that) helped neutralize the impact of Typhoon Carina, especially toward the latter part of July.” Commercial vehicle sales paced the tally with 194,812 units YTD — accounting for a massive 73% of the total. “(Today), we’re looking at many changes in the auto industry… We have never experienced such confidence in the CAMPI,” he added.

Along with changes in cars themselves, the automotive scene is evolving as well. That is certainly the case in the Philippines, where China-headquartered brands continue to stream in. Some are already CAMPI members, and more are expected to join the fold. Meanwhile, the business in local assembly is continuing to progress as well. Toyota has confirmed it will add the all-new Tamaraw to its CKD (completely knocked down) menu comprised of the Vios and Innova.

And the journey to increased motorization continues, of course. Atty. Gutierrez cited a present vehicle-to-population ratio of 35 automobiles for every 1,000 people in the Philippines. Compare this to Thailand which now boasts of more than 100 vehicles for every 1,000 people. There is still pretty sizeable gap left to cover if we base our mobility pervasiveness to this ASEAN neighbor.

Meanwhile, the electrification of transportation has truly begun in earnest here. As our new “Velocity” columnist Vince Socco reported recently (quoting CAMPI numbers), the consolidated sales for electrified vehicles — including both hybrids and battery electrics — reached 11,584 units last year. These automobiles accounted for 2.6% of total sales. This year (as of June), 9,238 electrified cars had already been sold — in turn accounting for 4.1% of the total.

Replying to a question from “Velocity” on the increase of electrified models, TMP President Masando Hashimoto said that, for Toyota, it really depends on the consumer. “We focus on B2C (business to consumer),” he declared, and explained that each market is different. He reiterated the car maker’s “multi-pathway” approach to carbon neutrality, insisting that “one size does not fit all.”

Mr. Hashimoto said that in the last 15 years since TMP introduced the Prius hybrid electric vehicle, Toyota and Lexus have sold some 18,000 units of electrified vehicles. From a lone Prius model in 2009, the two brands today have 14 hybrids and two full electrics — underscoring the global giant’s campaign for, yes, carbon neutrality.

Responding to the same question, United Asia Automotive Group, Inc. (UAAGI) Managing Director Froilan Dytianquin said that electrification is “something that we should already prepare for and accept.” Chinese brands, in particular, are moving to full electrification. “We believe that hybrids or electrified vehicles are really coming (in greater number) to the Philippines.” New energy vehicles are all the rage in China, and we’ve seen the level of advancement they have — expressed through not a few brands and their models here.

PIMS promises to be another exciting showcase of what lies just ahead — and what is here right now.

Regular members of CAMPI include Mahindra (Columbian Autocar Corp.); Daewoo (Columbian Manufacturing Corp.; Foton Motor Philippines, Inc.; Honda Cars Philippines, Inc.; Isuzu Philippines Corp.; Mitsubishi Motors Philippines Corp.; Nissan Philippines, Inc.; and Toyota Motor Philippines Corp. Associate members are Volkswagen (Automobile Central Enterprise, Inc.); Peugeot (BA Motors Philippines, Inc.); Kaicene (Berjaya Auto Asia, Inc.); Mazda (Bermaz Auto Philippines, Inc.); Ford Group Philippines, Inc.; Hyundai Motor Philippines, Inc.; Changan (IC Automotive, Inc.); Jaguar Land Rover (IC Land Automotive, Inc.); Mercedes-Benz, Chrysler, Dodge, Ram (IC Star Automotive, Inc.); Jetour Auto Philippines, Inc.; Kia (KP Motors Corp.); MG (SAIC Motor Philippines, Inc.); BMW (SMC Asia Car Distributor Corp.); Suzuki Philippines, Inc.; Chery (United Asia Automotive Group, Inc.); and Ferrari (Velocita Motors, Inc.).

CAMPI said that tickets for the 9th Philippine International Motor Show will soon be available. For more information, go to https://www.facebook.com/PIMS2022. BPI is the exclusive auto financing partner of the 9th PIMS.

Top ArteFino finds: from Pinoy toile de jouy to bags remade from used kayaks

Casa Mercedes

ONE of the leading artisanal fairs in the city, ArteFino, ran from Aug. 22 to 25 at The Fifth at Rockwell this year, and BusinessWorld dodged dozens of titas looking to score the next hard-to-find item in looking for these picks.

CMV TXOKOLAT
Chocolatier Christian Valdes isn’t just going viral online for his good looks, but for the innovation in his chocolate. Passing by his booth, he offered us his Sunrise Mangoes, dried mangoes coated with cielo chocolate (that’s roasted white chocolate) and pink peppercorns. This writer, normally averse to fruit, was surprised by the zing of the peppercorns and the caramel notes in the white chocolate (another no-no normally) that made us forget we were eating something we had been wired not to like. Because of this innovation, we might give all those ingredients another chance. Mr. Valdes also told us about his latest experiments involving Knorr liquid seasoning, Sinigang sa Sampalok mix, and salted egg powder, which will hit his store soon. Get them at https://cmvtxokolat.com/.

CASA MERCEDES
ArteFino veteran Casa Mercedes, headed by Monchet Olives, again showed off his fans, now a staple in many handbags. The Filipino Flora and Fauna line, done in partnership with artist Reena Gabriel, includes some new innovations like spot embroidery, and handcuts on the edges. A partnership with artist Robert Labayen saw brightly colored flowers. Casa Mercedes’ Icono fans can be seen a mile away, thanks to their large size and large block letters bearing phrases ranging from the witty to the pithy (we got their fan that opened to shout, “Ambiciosa!”). Some of their fans have been reworked for a much younger audience, with a line inspired by Filipino girl group Bini. Other premium selections include fully embroidered fans in abaca, and a large sinister black one topped with tassels. Find them at instagram.com/casamercedesph.

DWELLBEING
All-natural soaps and balms are the star here, as well as home decor and linens. The selling point for everything cloth? They’re made with upcycled ex-hotel textiles like sheets and towels. They take sustainability to heart, pointing out that a lot of their liquid wares are stored in ex-liquor bottles (the linen spray is in a soju bottle), and some of their bags and scarves are made from recycled PET bottles. Community is also important: they employ deaf people, they source their lemongrass essential oil from farmers in Bacolod, and a percentage of gross sales goes to the feeding programs of Project PEARLS (how many meals a sale can buy is printed on the label). Find them here at https://shopdwellbeing.com/.

PROJECT NOVA
It’s all about sturdy and waterproof bags at Project Nova. They have that quality because they’re made from ex-tourist kayaks from Bohol. Instead of being thrown away, they’re ripped apart, dyed, and sewn together. The person in charge at the store said that the bags can last from 10 to 20 years, depending on their usage. PS, they also won Best Product 2024 for Fashion Accessories from the Stilo Artefino Awards. Hit them up at instagram.com/pn_upcycled/.

MILLIE MONDAY
Classic toile de jouy (repeated monochromatic prints on a white background) might have been all the rage a few years ago thanks to Dior, but the trend is here to stay. Millie Monday, with printing as their core business, showed us a line of their wallpaper, but we were more interested in the linens, coasters, and even lanterns, printed with a toile de jouy-style design with exclusively Filipino scenes, made in collaboration with artist Mia de Lara. Turns out we can switch Countryside style from French to Filipino. Find them here at https://www.milliemonday.com/.

HAPPY ANDRADA
There’s nowhere to go but up for veteran designer Happy Andrada, who showed off a collection of heavily beaded and embroidered balintawak. Think a terno, but in a cocktail length, and impossibly sexy: the designs are sewn onto sheer netting. For the selfie generation, she has an iridescent line: iridescent nylon is concealed in a piña cocoon shell. A flash from a camera lights up the iridescent layer, and that’s what shows up in the picture. Get ready to shine. Contact the designer at www.instagram.com/happyandrada.ph. — Joseph L. Garcia

Peso may rise further as Powell signals Sept. cut

THE PESO could continue to rise against the dollar this week after the US Federal Reserve chief signaled the start of their policy easing cycle as early as next month.

The local unit closed at P56.333 per dollar on Thursday, strengthening by 16.7 centavos from its P56.50 finish on Wednesday, Bankers Association of the Philippines data showed.

This was the peso’s best finish in more than four months or since its P56.315-a-dollar close on April 2.

Week on week, the peso appreciated by 91.2 centavos from its P57.245 finish on Aug. 16.

Philippine financial markets were closed on Aug. 23 (Friday) for a special non-working holiday in observance of Ninoy Aquino Day, which was moved from the original Aug. 21 date.

Local markets will remain closed on Aug. 26 (Monday) in commemoration of National Heroes’ Day.

The peso mounted a four-day winning run against the dollar last week as markets awaited the US central bank’s annual economic symposium in Jackson Hole, Wyoming, where Fed Chair Jerome H. Powell was set to speak on Friday.

For this week, the local unit may strengthen further against the dollar as Mr. Powell’s speech bolstered expectations of a September rate cut in the world’s largest economy, Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said in a Viber message.

“The US dollar slumped 1% with the Fed’s dovish pivot, so expect a sustained appreciation in the peso [this] week,” Security Bank Corp. Chief Economist Robert Dan J. Roces said in a Viber message. 

The dollar fell on Friday after Mr. Powell gave an unambiguous signal that the long-anticipated US interest rate cut would come next month, Reuters reported.

The weak dollar also saw the euro hit a 13-month high, and the US currency marked a 17-day low versus the yen.

At his keynote speech to the Kansas City Fed’s annual economic conference in Jackson Hole, Wyoming, Mr. Powell said, “The time has come for policy to adjust,” given that upside risks to inflation have diminished and downside risks to employment have increased.

“We do not seek or welcome further cooling in labor market conditions,” Mr. Powell said. “We will do everything we can to support a strong labor market as we make further progress toward price stability. With an appropriate dialing back of policy restraint, there is good reason to think that the economy will get back to 2% inflation while maintaining a strong labor market.”

Traders on Friday continued to bet on a quarter-percentage-point rate cut at the Fed’s Sept. 17-18 meeting, putting the odds at 65% after Mr. Powell’s remarks. But they priced in about a one-in-three chance of a bigger 50-basis-point (bp) cut, up from a little more than a one-in-four probability earlier.

The euro and yen rose. This weakened the dollar index, which measures the greenback against a basket of six currencies including those two. The index fell 0.81% from late Thursday to 100.64, having been slightly firmer before Mr. Powell spoke.

A move in September would pivot the Fed away from a restrictive interest rate policy in place since it started hiking to fight inflation in March 2022, hoisting the fed funds target range from about zero to 5.25%-5.5%, where it has stood since July 2023.

Later on Friday, Federal Reserve Bank of Chicago President Austan Goolsbee said in a CNBC interview that while he’s not ready to explicitly call for a central bank rate cut, monetary policy is quite tight and not aligned with current economic conditions.

Mr. Ricafort added that the Bangko Sentral ng Pilipinas’ (BSP) own dovish stance could also continue to support the peso against the dollar in the coming weeks.

The BSP this month cut benchmark interest rates for the first time in almost four years amid an improving inflation and economic outlook, with its governor signaling at least one more reduction before the end of the year.

The Monetary Board reduced its target reverse repurchase rate by 25 bps to 6.25%, as expected by nine out of 16 analysts in a BusinessWorld poll. Prior to the cut, the BSP kept its policy rate at an over 17-year high of 6.5% for six straight meetings following cumulative hikes worth 450 bps between May 2022 and October 2023 to rein in elevated inflation.

BSP Governor Eli M. Remolona, Jr. said they could cut rates by another 25 bps within the year. The Monetary Board’s remaining policy-setting meetings this year are on Oct. 17 and Dec. 19.

Analysts expect the BSP’s easing cycle to continue until next year amid stabilizing inflation, with at least 100 bps in rate cuts seen in 2025.

For this week, Mr. Ricafort sees the peso moving between P56 and P56.50 against the dollar. — Luisa Maria Jacinta C. Jocson with Reuters

Metro Pacific Health eyes to add four hospitals this year

METRO Pacific Health Corp. (MPH) aims to add four hospitals to its network this year as part of its expansion across the country, a company official said.

“For this year, our battle cry is four more hospitals in 2024. We had 23 hospitals in 2023,” Metro Pacific Health Corp. Vice-Chairman and President Augusto P. Palisoc, Jr. said in a recent media briefing.

“We continue to always look for hospital investments. There are still many places in the Philippines,” he added.

MPH’s nationwide portfolio of healthcare facilities comprises 24 hospitals.

Mr. Palisoc said that MPH is nearing the completion of an investment agreement with San Francisco Doctors Hospital, Inc. in Agusan del Sur, which will become the 25th hospital in its network.

“It is not yet completed because this requires an investment of cash into the company. We need to get certain approvals for the capital increase, so we’re waiting for that before we can officially call it a completed acquisition,” Mr. Palisoc said.

“The deal can be completed this month or next month at the latest. We will end up with about 72% ownership of that hospital,” he added.

Once the proposed deal is completed, San Francisco Doctors Hospital will become MPH’s second hospital acquisition this year, alongside the purchase of a majority stake in UHBI-Parañaque Doctors Hospital, Inc. (PDH) in May.

Mr. Palisoc said that MPH remains focused on acquiring hospitals instead of building new ones to increase its network.

“Our success has been on the back of investing in existing hospitals and either turning them around if they’re not doing well, or growing them even if they’re doing well. That will remain our preferred thrust,” he said.

However, MPH is not ruling out the possibility of establishing its own hospitals, he added.

“This is not to say that we’re closing our doors on greenfield hospitals. I think that will come in due course. Maybe when we run out of hospitals to buy, then we’ll consider building some greenfield hospitals,” Mr. Palisoc said.

Some of MPH’s other hospitals within its network include Asian Hospital and Medical Center, Cardinal Santos Medical Center, Manila Doctors Hospital, Davao Doctors Hospital, and Riverside Medical Center.

MPH is the healthcare arm of Pangilinan-led conglomerate Metro Pacific Investments Corp. (MPIC).

MPIC is one of three key Philippine units of First Pacific, the others being Philex Mining Corp. and PLDT Inc.

Hastings Holdings Inc., a unit of the PLDT Beneficial Trust Fund subsidiary MediaQuest Holdings, Inc., has a majority stake in BusinessWorld through the Philippine Star Group, which it controls. — Revin Mikhael D. Ochave

Effective ASF surveillance, not ASF vaccine

RAWPIXEL.COM

Observers consider the outbreak of African Swine Fever (ASF) in Batangas province the start of the second wave of the dreaded pig disease. The first was in 2019, and that dethroned Bulacan as the largest supplier of pork to the National Capital Region (NCR).  That initially affected Luzon, but in the next two years, the whole country had its share of ASF. Batangas survived partly because a greater part of its industry was commercial, and biosecurity measures were relatively protected from ASF.

In this wave, ground zero is the province of Batangas, the largest supplier of pork to the NCR. Because of its port in Batangas City, the province is also an entry point of the pigs from Visayas and Mindanao into the NCR. As of this writing, I picked up from among the text messages I received on the topic, that 70% of the provincial pig industry has been killed by the virus or culled to arrest the spread of the disease.

In my view, if the industry and government do not do something smarter than what they are doing now to contain the virus, in the next few months we may observe the end of our once vibrant pig industry, and erase about a percentage point growth of the country’s agriculture gross domestic product. It will puncture the government’s fight against food price inflation. Pork is a major supplier of protein of the population, and we expect pork prices to be inflated without the local pig industry.

 

INEFFECTIVE SURVEILLANCE
The World Organisation for Animal Health (WOAH) has advised its members that there is as yet no known effective and stable vaccine for the virus, and that an effective surveillance system continues to be the crucial approach to curtail the spread of it and eventually to eradicate the virus.

The current surveillance system for the ASF virus in the Philippines is ineffective as evidenced by the fact that everyone was surprised about the outbreak in Batangas. About a month ago, the producers in the province appeared optimistic about the industry. They said investments for repopulating the pig population after the 2019 ASF outbreak started to pick up. They even organized a regional livestock congress for Region 4A in San Jose, the largest pig producing municipality of the province.

What do we have for a surveillance system? Every quarter of the year, producers in areas known to have been infected by the virus, but where no symptoms of the disease showed up in their pigs, are given producers certification from regulators that they can sell their pigs in the market. For producers in areas known to have no ASF virus, the monitoring of the virus is done every six months.

The monitoring periods are quite long, so many symptoms of the disease might have occurred without the regulators’ knowledge.  If we have not heard of the incidence of the disease, it could be because no one is reporting symptoms and authorities submit reports that the viral incidence is significantly reduced.

The bad news about the virus that we picked up occasionally was that it spread to more places, which attests to the ineffectiveness of the surveillance system.  They do not qualify as outbreaks of the disease for authorities to be concerned about, which is sad.

Except, that is, when producers in a major pig producing province like Batangas start texting stakeholders that a major sell off of pigs in the province was underway due to ASF.

Our ASF virus surveillance system is ineffective for the following reasons:

1.) The periodic monitoring of farms (quarterly and semestral) is way too long for timely detection of outbreaks.

2.) The laboratory infrastructure is inadequate and highly centralized, resulting in delayed confirmations of the virus and the further spread of the virus without the appropriate responses.

3.) The movements of biological samples (mainly blood) with doubtful handling, transport, storage, and disposal are likely to help spread the virus.

4.) Because of these weaknesses of the surveillance system, there are fewer disclosures of outbreaks.

POSSIBLE IMPROVEMENTS TO THE SURVEILLANCE SYSTEM
Using miniPCRs and appropriate testing kits, stakeholders conduct onsite testing of the virus. These tests can be done on a range of samples (and not just blood of pigs, which is difficult to extract) and value chain products like feeds.  Onsite tests find out if the animal population has the virus or not. The tests can be done quickly and are less expensive compared to current regular monitoring of the virus every quarter and semester. The estimate is that it costs less than P20 per pig to conduct the tests, a small investment to reduce uncertainty and protect the farms from ASF.

Following OIE protocol, the onsite test results are confirmed using a qPCR or a laboratory-based qPCR.

A useful functionality of the miniPCR and detection kit is that it can extract the DNA of the biological sample. At present, authorities instruct producers to transport infected biological samples from sites which reveal clinical signs of the ASF disease to laboratories where the confirmation of the virus is done and other tests on the DNA are conducted. The current practice risks the spread of the ASF virus in areas traveled by the sample. Switching of bad with good samples is possible, rendering the qPCR test useless.

With the functionality of the miniPCR and the testing kit extracting DNA from infected samples onsite, DNA samples can be transported to where the qPCRs are (for confirmation) without spreading the disease. The extraction procedure is included in the two-hour length in the onsite testing.

The qPCR can also measure the quantity of the virus. This metric is useful in setting up the ASF virus profiles of farms. Viral load describes the concentration of the virus in the infected animal. A low concentration tends to give the infected animal a good chance of surviving to market maturity. A higher load may indicate a higher risk level and should be accorded an appropriate containment protocol to stop the spread of the disease.  The qPCR can also determine the aggressiveness of the ASF virus in a positive sample. The table here describes a possible risk profile.

The World Organisation for Animal Health has advised its members that there is as yet no known effective and stable vaccine for the virus, so our regulators (the Food and Drug Administration and the Bureau of Animal Industry) must take extra care in approving or not the ASF vaccine developed in Vietnam.

 

Ramon L. Clarete is a professor at the University of the Philippines School of Economics.

Another brick in the Wall

The Autohub Group-operated Great Wall Motor (GWM) Makati dealership is located at the PTX Building, Chino Roces Ave. Extension, Makati City. — PHOTO BY DYLAN AFUANG

The Autohub Group now handles three GWM dealerships

By Dylan Afuang

WHILE THE Autohub Group possesses the local distribution rights of well-known car marques, the enterprise also owns and operates its own network of dealerships for other brands. Recently, it partnered with China-headquartered Great Wall Motor (GWM) and its local distributor Luxuriant Auto Group, Inc. (LAGI). This resulted in the opening of GWM Autohub dealerships in Makati, Cavite, and Laguna.

Autohub Group President and GWM Dealer Principal Willy Tee Ten expressed his enthusiasm with the company carrying a dealership for a well-known brand that can be retailed for reasonable prices. The executive revealed this to guests who attended the grand opening of GWM Autohub Makati that was held weeks ago.

At this outlet — located near the border between Makati and Taguig cities at the PTX Building, Chino Roces Ave. Extension, Makati — is where interested customers can explore and acquire the different vehicles under the GWM marque. This business features a showroom floor that can accommodate four cars, Mr. Tee Ten told the media during the sidelines of the opening.

Per GWM Philippines’ online dealership locator, other GWM Autohub outlets are now open at the following locations: Santa Rosa, Laguna (Paseo 1 Bldg., Laguna Boulevard cor. Tagaytay Balibago Road, Santa Rosa, Laguna); Calamba, Laguna (Maharlika Highway, Calamba City); and Dasmariñas, Cavite (3170 Emilio Aguinaldo Highway, Dasmariñas, Cavite).

Speaking to the media, the leadership noted that the GWM Calamba, Laguna, dealership features a service center. The Makati outlet only serves as a brand showcase and sales center, and is open from 8 a.m. to 5 p.m.

In its website (autohubgroup.com), the company said that it is the distributor of automotive brands Mini, Lotus, and Zeekr, and manages local dealerships of car makers Mitsubishi, Suzuki, and Kia, among others.

In the Chinese market and several overseas markets, under the GWM brand umbrella are Haval, Ora, Poer, Tank, and Wey. The car maker’s products are powered by a choice of internal-combustion (ICE), hybrid-electric (HEV), or battery-electric (BEV) power. Locally, LAGI distributes select vehicles from each of the affiliate brands as GWM models.

In establishing GWM Autohub sites, Mr. Tee Ten credited GWM’s strong performance in Southeast Asia, and also looks forward to the arrival of GWM’s luxury marque, Wey.

GWM’s sales outside its home market from January to June 2024 reached 201,500 units, reported automotiveworld.com, quoting data from the car maker. The auto marque sold 559,669 vehicles in total during the same period, the mobility news portal added.

On the other hand, at the Auto China 2024 staged in Beijing last April, it was disclosed that GWM’s Wey sub-brand will arrive in the Philippines within the year, LAGI officials confirmed to the motor show’s Philippine media contingent back then. Wey will mark its entry with the Gaoshan luxury MPV.

The local GWM lineup is composed of the GWM Cannon pickup truck, the Haval Jolion and H6 ICE and hybrid crossover SUVs, the Ora 03 electric hatchback, and the Tank 300 off-road SUV.

For more information about local GWM vehicles and dealerships, the public can log on to gwm.com.ph.

65-year-old beddings company keeps up with the times

Canadian goes beyond cotton sheets

IT’S EASY to take bedding for granted, but you have to love what’s next to your skin at least six hours a day. And this is not limited to the sheets on your bed.

New Creation Manufacturing, a producer of baby, children’s and ladies’ garments, and Canadian Manufacturing, a home linen brand in the Philippines, celebrated their 65th anniversary at their 16th annual trade show, Saluté, on Aug. 14 and 15 at the Sheraton Manila, Pasay City.

The event showcased the companies’ flagship brands —  Lifestyle by Canadian under Canadian Manufacturing, and Hello Dolly under New Creation Manufacturing. The companies started in 1959, after founder Hiro Asandas Daryanani noticed a gap in the market, seeing no bedsheets in department stores in the country.

“When I first came here, nobody knew from where to buy a bedsheet,” he said in a speech, making an example of how older Filipinos then got their beddings. “They would go to Divisoria in a calesa (a horse-drawn carriage); buy bed sheeting by the kilo.” The cloth would be taken to a seamstress, and, “After two months, you find a big hole. Why? There were many perforations.”

“Over the years, our company grew, and the market grew as well,” Anil Daryanani, the founder’s grandson and President of New Creation, told BusinessWorld. From bedsheets, they expanded to baby and children’s garments in the 1970s and ’80s. He said in jest why that direction made sense: “After they sleep on the bedsheets, about nine months later, then the baby is born. That’s how our baby products were born as well.”

BEYOND BEDSHEETS
One thinks that bedsheets are simply things to put over your mattress, but then, in being next to our skin when we’re most vulnerable (in sleep), the product becomes more intimate, and that close relationship demands innovation.

Canadian Manufacturing, during the trade show, introduced a range of sustainable home linen products under the Lifestyle by Canadian brand. These include bed accessories such as waterproof mattress and pillow protectors, designed to enhance sleep environments, extend mattress life, and provide protection against allergens and stains.

“If it was just cotton in the past, you would [now] have bamboo, organic, Tencel,” said Mr. Daryanani.

New Creation expanded its Sanggol brand, predominantly known for infants’ wear, with a new line of disposable diapers featuring a super absorbent polymer for moisture absorption, a Velcro S-type closure for a secure fit, a waterproof top sheet, a breathable film to reduce skin irritation, a leak guard, and a wetness indicator.

Additionally, the Hello Dolly collection introduced an antibacterial and antimicrobial line of baby and toddler apparel. Treated with Sanitized, a Switzerland-approved finish, these garments are said to offer protection against harmful pathogens and bacteria for up to 20 washes, with fabric specially brushed for extra softness on delicate baby skin.

SUSTAINABILITY
During the event, they also discussed their plans of building a new facility in Bicutan (their third), which would serve as a manufacturing facility and warehouse.

Mr. Daryanani also discussed their sustainability measures with us, such as their bamboo fabric line using 15% less water in its production than regular cotton, converting their manufacturing facilities to green energy, and reducing the use of plastic in their packaging, opting for cardboard, wood, and bamboo instead.

Canadian Manufacturing also produces a lot of the linens for hotels and hospitals around the country, and their products have gone on to other Asian countries, as well as Australia and some countries in Europe. All of the products are made in the Philippines, and Mr. Daryanani used the opportunity to praise Filipino craftsmanship.

“We have some of the best and highly skilled workers here in the Philippines today. Although our price points may be a lot higher in today’s day and age than it was back in the day, we do encounter competition from other countries — obviously China’s there, Cambodia’s there… but the skill of the Filipino workers, we believe, is unmatched here.” — Joseph L. Garcia

Court of Appeals narrows scope of GMO ruling after gov’t motion

IRRI

THE Court of Appeals (CA) said an earlier ruling banning genetically modified organisms (GMO) applies only to golden rice and Bt eggplant, opening the door for applications to develop other crops.

The CA’s Former Fourth Division, in a 33-page decision issued on Aug. 15, removed item eight from its April 17 decision, which had stopped the field testing and use, as well as imports of GMOs until all measures are taken to ensure they are safe.

In the new decision, the court held that only “the circumstances, facts, and issues covering Golden Rice and Bt Eggplant were considered” in the previous ruling.

“Other applicants for the contained use, field testing, direct use as food or feed, or processing, commercial propagation, and importation of other GMOs, if any, were not impleaded in the instant case and not given the opportunity to be heard, whether verbally or in writing,” Associate Justice Jennifer Joy C. Ong, who wrote both decisions, said.

“Lest we be accused of violating (due process), the deletion of Item (8) of the dispositive portion of the assailed Decision is in order,” she added.

The motion to reconsider the earlier ruling had been filed by the departments of Agriculture (DA), Environment and Natural Resources,  Health, as well as by the Philippine Rice Research Institute, and the University of the Philippines at Los Baños (UPLB).

These parties, through the Solicitor-General, said the Court’s directive under item eight hampers efforts to provide and discover new and valuable information through scientific research.

It added item eight negatively impacts the agriculture industry and biotechnology research.

However, apart from removing item eight, the Court said the other aspects of the decision still stand.

It reaffirmed its issuance of a Writ of Kalikasan to the petitioners, Magsasaka at Siyentipiko para sa Pag-unlad Agrikultura (MASIPAG), Greenpeace, and others.

“The paramount importance of this case is not difficult to discern, as it deals with the people’s constitutional right to a balanced and healthful ecology and perceived violations of the same,” the court ruled.

The decision to issue a cease-and-desist order halting the commercial propagation of Bt eggplant and golden rice remains in force, it said.

Teodoro C. Mendoza, a retired professor of agronomy from UPLB, told BusinessWorld via Facebook Messenger chat that the decision is a win for GMO advocates, and declared his support for the ruling, which has implications for crops beyond rice and eggplant.

“We don’t grow corn, the source of protein today that is cheap, because fish meal is expensive (as livestock feed),” he said. “We import a lot of corn because we cannot produce what the livestock industry needs. So if item eight is not suspended, the livestock industry will die.”

The motion for partial reconsideration cited a BusinessWorld article by columnist Ramon L. Clarete, explaining the Philippines’ need to import GMO yellow corn and soya meal for animal feeds.

Animal feed accounts for 60% to 70% of the cost of pork, poultry, and egg production.

The Court’s order to ban GMO imports would have serious adverse effects on the hog and poultry industries, the government said in its appeal.

The motion asked the court to give the DA time to source non-genetically modified corn and soya products.

The Supreme Court en banc had granted the petitioners a Writ of Kalikasan, referring the case to the appellate court.

MASIPAG, a coalition of farmers and scientists, requested a temporary environmental protection order against the DA to halt the commercial cultivation of golden rice and Bt eggplant, until evidence of safety and compliance with legal requirements is provided.

A Writ of Kalikasan is issued to safeguard individuals from environmental harm that jeopardizes life, health, or property across two or more municipalities. — Chloe Mari A. Hufana

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