PEZA board approves pharma ecozone for Tarlac; Palace proclamation pending

July 4, 2024 | 9:08 pm

THE Philippine Economic Zone Authority (PEZA) said that its board approved a pharmaceutical economic zone in Victoria, Tarlac, which is currently awaiting Presidential proclamation.

PEZA Director General Tereso O. Panga identified the project as the 29.57-hectare Victoria Industrial Park, Inc.

“It is worth mentioning that the Food and Drug Administration (FDA) also intends to put up a laboratory in Tarlac,” Mr. Panga said.

“As such, the establishment of a pharma zone in Victoria, Tarlac, would enable us to better synergize infrastructure and logistical requirements as well as the activities of the locator companies,” he added.

FDA Director-General Samuel A. Zacate said on Monday that the FDA had proposed that the laboratory be located in the economic zone.

“We suggested to PEZA that if we want an efficient pharma zone, we need to choose an area (that will rule out the need for the FDA) to build another laboratory,” Mr. Zacate told BusinessWorld.

“Of course, the mandate for deciding the location is still with PEZA. It is applying right now, and I think the papers are already in Malacañang; PEZA is just waiting for the Presidential proclamation declaring it an economic zone,” he added.

Mr. Panga said that the Tarlac site will pioneer the clustering of pharma-related industries like clinical trials, blood and plasma extraction, and pharmaceutical product and medical device manufacturing.

“But this does not preclude us from putting up or registering pharma zones elsewhere in the country as long as they comply with the minimum requirements. Likewise, PEZA’s existing ecozones are ready to host locator companies,” he said.

Mr. Panga has said that the investment promotion agency is also in talks with ecozone developers for pharma zones in Bulacan and Laguna.

“We hope to roll out this new type of ecozone within the year with the proclamation of First Bulacan Industrial Park, which is adjacent to the existing First Bulacan Industrial City,” he said.

PEZA has registered 26 pharma- or medical-related locator companies within PEZA zones, accounting for P25.49 billion in investments.

Among the top companies in PEZA engaged in pharma and medical devices are Terumo (Philippines) Corp., Arkray Industry, Inc., Royale Life Pharma, Inc., JMS Healthcare Phl, Inc., and Philipcare Medical Manufacturing, Inc. — Justine Irish D. Tabile

PHL takes top position in debt transparency ranking

July 4, 2024 | 9:07 pm

THE PHILIPPINES took the top position alongside Indonesia in a ranking of debt transparency compiled by the Institute of International Finance (IIF).

In its 50-country Investor Relations and Debt Transparency Report, the IIF said the Philippines and Indonesia posted scores of 12.5 out of 13, topping the table and exceeding the average transparency score of 9.

The IIF evaluated countries’ adherence to the International Monetary Fund’s Special Data Dissemination Standards.

In terms of investor relations, the Philippines posted a score of 48.8 out of 50, beating its 2023 score of 47.8, when it placed third.

Other leading countries in this year’s ranking were Indonesia (48.7), Turkey (48.3), Brazil (47.5), and Hungary (47.2), the IIF said. The global average was 34.1.

The Philippines and Uruguay received a perfect score of 4 in the ESG (Environmental, Social and Governance) Data and Policy Dissemination Score, which assesses the availability of ESG data. The global average was 2.4.

“Transparency is most important, especially in debt. We release data quarterly among others. We have to show the public where the axes and borrowings go,” Finance Secretary Ralph G. Recto said in a text message.

“Our job in the DoF (Department of Finance) is to stretch every peso. More bang for the buck. Growth should be higher than borrowings, so we can pay for it,” he added.

“There is significant scope for a strong rebound in portfolio debt flows as the normalization of central bank policies in mature markets continues to advance,” the IIF said.

“However, the pace of recovery may be quite uneven; our research suggests that countries with robust investor relations and debt transparency practices are poised to benefit the most from the ongoing rebound in global liquidity conditions,” it added.

The report also highlighted that the Philippines “fully met” 83% of all IR assessment criteria and has remained among the top five countries.

Zy-za Nadine M. Suzara, budget analyst at the Institute for Leadership, Empowerment, and Democracy, said the government should provide real-time information about where the debt is being used, particularly its impact to taxpayers and whether it is funding corruption.

“On one hand, it is a challenge for the Philippine government to provide this level of transparency, but on the other hand, there are also a gap in terms of how civil society will make sense of the information,” she said via Viber message.

“High levels of debt transparency is good public relations but let’s also remember that it isn’t a goal in itself. If anything, it’s supposed to enable civil society to seek greater public accountability as to how the debt was really used.”

Union Bank of the Philippines, Inc. Chief Economist Ruben Carlo O. Asuncion said the government must ensure continued transparency in debt-related matters.

“Foreign investors knowing that they can get reliable information about the country’s real economic situation at any point in time is what makes them confident,” he said via Viber. — Beatriz Marie D. Cruz

Center for AI Research expected to be self-sustaining in 3 years

July 4, 2024 | 9:06 pm

AI-Artificial intelligence-robot — FREEPIK

THE Department of Trade and Industry (DTI) said it expects the newly launched Center for Artificial Intelligence (AI) Research to become self-sustaining in three years.

Competitiveness and Innovation Undersecretary Rafaelita M. Aldaba told reporters on Wednesday that the business model of the center will allow it to generate revenue.

“Its business model allows it to pursue income-generating projects. Based on our calculations, after three years, it will be net positive or income-generating,” Ms. Aldaba said.

Initially, the center will be subsidized by the government and given P70 million for the first two years of its operations.

Trade Secretary Alfredo E. Pascual said commissioned research will be one of the center’s revenue streams.

“For the remaining part of the year, we intend to do four research projects in the center: two from the government and two from the industry sector or specific companies,” he said.

“In the coming years, the AI research center will engage in applied research and development collaboration with industries, encourage high-quality research, and cultivate AI talent,” he added.

According to Mr. Pascual, the DTI is working with Amazon Web Services to explore AI, machine learning, and generative AI solutions for government and citizen services, including healthcare and agriculture, this year.

“Moving forward, we will explore other industry applications, such as automotive, semiconductor, and renewable energy,” he said.

“This will be supported by the Asian Development Bank’s (ADB) Promoting Research and Innovation to Strengthen Transformation of Industries and Enterprises (PRISTINE) project,” he added.

The center will first operate in DTI offices and eventually move to the National Innovation Gateway that will rise in Manila, funded by the ADB through a P400-million loan under PRISTINE.

Asked when the project is expected to go through the National Economic and Development Authority’s approval process, Ms. Aldaba said that no schedule has been determined as yet.

“But it has to go through that, and we need to get their approval,” she added.

Separately, the German Philippine Chamber of Commerce and Industry welcomed the launch of the center and the upgraded National AI Roadmap.

“We welcome and congratulate DTI on this significant milestone for the country’s national development in the field of AI, innovation, and research,” GPCCI President Marie Antoniette Mariano said.

“The launch of these projects aligns with the expectations of the German-Philippine business community in AI research, as reflected in our White Paper on Industry 4.0,” she added.

In its white paper, the GPCCI said the Center for AI Research will help the country position itself as a leader in AI technology. — Justine Irish D. Tabile

Internet Transactions Act invoked in vape crackdown

July 4, 2024 | 9:05 pm

THE Department of Trade and Industry (DTI) asked e-marketplaces on Thursday to take down unregistered vape sales listings, invoking their obligations under the Internet Transactions Act (ITA).

In a statement, the DTI said that it informed e-marketplaces, including TikTok, Shopee, and Lazada, in a meeting last week of the penalties under the ITA for non-compliance.

“E-marketplaces must play a crucial role in combating the proliferation of uncertified and illegal vape products,” Trade Secretary Alfredo E. Pascual said.

“We call upon these platforms to fully implement their responsibilities under the ITA by proactively preventing the distribution of illegal vape products,” he added.

Citing the implementing rules and regulations of the ITA, the DTI said that the law obligates e-marketplaces to require sellers to submit proof of registrations and permits.

“In a positive development, the e-marketplaces collectively agreed to voluntarily take down vape listings while they clear their sites of illegal products,” the DTI said.

“They also committed to implementing Know Your Customer (KYC) procedures to ensure all online sellers possess the necessary registration and permits,” it added.

The e-marketplaces also pledged to report their initiatives to prevent the promotion, advertisement, sale, and delivery of vape products to minors.

Undersecretary for consumer affairs and legal services Amanda Marie F. Nograles said that the DTI intends to fully enforce the vape regulations in conjunction with the ITA.

“The DTI is steadfast in enforcing compliance with the vape law, especially now with the ITA as one of our legal tools in combating the online sale of illegal vapes,” Ms. Nograles said.

“We are actively collaborating with online platforms to safeguard consumer interests and public health,” she added.

The DTI has the primary jurisdiction in enforcing Republic Act No. 11900 or the Vaporized Nicotine and Non-Nicotine Products Regulation Act, also known as the Vape Law. — Justine Irish D. Tabile

NEA launches national command center

July 4, 2024 | 9:05 pm

THE National Electrification Administration (NEA) said it aims to improve its monitoring of electric cooperatives (ECs) with the launch of its national digital command center (NDCC).

“The NDCC marks the NEA’s transformation of the capacities and facilities to enhance its support and monitoring of the 121 ECs and their communities,” NEA Administrator Antonio Mariano C. Almeda said during the launch on Thursday.

Mr. Almeda said that the command center allows the agency to conduct real-time remote monitoring and assessment of the EC critical infrastructure and operations.

The center employs supervisory control and data acquisition systems and geographical information system maps and data.

Mr. Almeda said the collected information will be shown as data analytics enabling users to immediately manage incidents and provide situational awareness across all the ECs.

“The NEA can now be promptly informed of major power outages and other system alerts arising from operational situations and natural or man-made disasters, allowing for more rapid response and action to mitigate the effects on the electricity distribution system of the ECs,” Mr. Almeda said.

Energy Secretary Raphael P.M. Lotilla cited the command center for its potential to promote innovation and enhance efficiency “by seamlessly integrating multiple performance data sources from our electric cooperatives nationwide.”

“The center will empower us to swiftly address incidents and variations in energy performance paving the way for more reliable and resilient power distribution services,” Mr. Lotilla said.

Republic Act No. 9136 or the Electric Power Industry Reform Act as of 2001 tasks the NEA with overseeing missionary electrification and providing financial, institutional, and technical assistance to electric cooperatives. — Sheldeen Joy Talavera

Sale of subsidized P29 rice expanded to more stores

July 4, 2024 | 9:04 pm

f-Kadiwa-Pasko-OPS-PHOTO — OFFICE OF THE PRESS SECRETARY PHOTO

THE Department of Agriculture said on Thursday that it plans to expand its subsidized rice program to 10 stores beginning Friday July 5.

Agriculture Assistant Secretary for Consumer and Legislative Affairs Genevieve E. Velicaria-Guevarra said that the department is aiming to attract about 60,000 households per month to KADIWA stores selling rice at P29 per kilo to vulnerable members of society.

“We have around 10,000 metric tons for this trial. This can last for the next six months,” Ms. Guevarra added.

For the large-scale trial, the DA said it will sell the below-market-price grain on Fridays, Saturdays, and Sundays.

She said that the trial will gather date for use in wider implementation of the scheme. It will also work out a system for monitoring beneficiary usage via booklets.

The DA has said that it is targeting 34 million vulnerable individuals, including persons with disabilities, solo parents, and senior citizens, as well as those below the poverty line.

Each beneficiary is entitled to purchase 10 kilograms per month.

“We are expecting that in the coming months, we will be able to double the sites where the P29 per kilo rice will be sold,” she added.

“In the coming weeks or next month, we can go to Visayas and Mindanao and expand the area,” Agriculture Assistant Secretary and Spokesperson Arnel V. de Mesa said.

Rice for the subsidy program will be taken from ageing rice stocks of the National Food Authority.

Mr. De Mesa added that the DA is also preparing a subsidized rice program for the public, which would also sold at KADIWA centers.

“We will have a separate program later called ‘rice for all’ where rice prices would be sold relatively cheaper than (retail),” he said.

Nationwide, there are 265 established KADIWA centers along with 119 pop-up stores operating on scheduled rotations.

Well-milled rice prices in Metro Manila markets were seen between P48 and P55 per kilo, while regular-milled rice was seen at P48 and P52 per kilo, according to the DA’s price monitoring as of July 3. — Adrian H. Halili

PHL motor vehicle output up 22.8% in May

July 4, 2024 | 9:03 pm

MOTOR vehicle industry output in May rose 22.8% to 11,650 units, the second-strongest growth rate in the region, according to the ASEAN Automotive Federation (AAF).

The AAF reported on Thursday that Philippine production growth outperformed the 9.35% contraction in the region in May.

The AAF report covers motor vehicle production in Indonesia, Malaysia, Myanmar, the Philippines, Thailand, and Vietnam.

Myanmar posted the top growth rate in the region, albeit off a low base, to 213 cars.

Next to the Philippines were Malaysia, which posted 14.2% growth to 74,174 motor vehicles, and Vietnam, up 10.4% at 13,377.

Indonesia booked an 18.1% decline in production to 98,100 vehicles, while Thai output fell 16.2% to 126,161 units.

In the five months to May, Philippine motor vehicle production grew 13.2% to 54,045 cars, also the region’s second-strongest performance in the region.

Myanmar posted the strongest growth during the five-month period, also off a low base, to 843 units.

Following the Philippines was Malaysia, which posted 12.2% growth to 341,500 units in the first five months.

Declines during the period were reported by Indonesia (-20.6%), Thailand (-16.9%), and Vietnam (-8.7%). These brought the region’s motor vehicle production growth for the period to -12% to 1.57 million.

The Philippines booked 5.5% growth in vehicle sales to 40,271 units in May, the fourth highest rate in the region.

Singapore came in first with a 48.4% increase in sales in May to 3,847 units.

Vietnam posted a 24.5% jump in sales to 25,794 units, while Malaysia sales rose 8.7% to 68,665 units.

Sales in Thailand and Indonesia declined 23.4% and 13.3% to 49,871 and 71,263 units, respectively.

These brought regionwide sales in May to a decline of 4.4% to 260,092 units.

For the five-month period, the Philippines posted a 12.7% growth in motor vehicle sales to 187,191 units for the third-fastest growth in the region.

Myanmar posted 70.5% growth to 1,601 units in the five months to May. Malaysia posted an 8.3% increase in sales to 328,901 units.

Declines were posted in Thailand (-23.9%), Indonesia (-21%) and Vietnam (-4.6%) for the period.

In the five months to May, the region’s motor vehicle sales dropped 9.2% to 1.24 million units. — Justine Irish D. Tabile

PCCI calls NCR P35-wage hike ‘reasonable’

July 4, 2024 | 9:03 pm

THE Philippine Chamber of Commerce and Industry (PCCI) said on Thursday that the P35 wage hike for workers in the National Capital Region (NCR) is “reasonable” even though it raises concerns from the chamber’s members.

In a statement, PCCI President Enunina V. Mangio said that the group’s members, although they have flagged the wage hike’s negative effects, have pledged to pay the new minimum wage.

“It’s a decision made by the wage board; we will respect and follow that. On the part of PCCI, we will monitor and evaluate its impact on our micro and small enterprises, which we consider the backbone of our economy,” Ms. Mangio said.

She said that businesses will be forced to adjust to higher labor costs, particularly micro-, small- and medium-sized enterprises.

“The increase is fair compared to the previously proposed P100, which was way too much for employers and would likely lead to the closure of businesses and unemployment,” she said.

“I believe it is a win-win decision for both employers and workers. We also recognize how inflation is affecting all of us,” she added.

The Regional Tripartite Wages and Productivity Board approved a P35 minimum wage hike for workers in the NCR.

To take effect on July 17, the wage hike will increase daily pay for nonagricultural and agricultural workers to P645 and P608, respectively.

The Department of Trade and Industry (DTI) has acknowledged that businesses may encounter “challenges” with the recent adjustment, and committed to providing assistance and implementing programs that promote business resilience.

“The DTI is committed to strengthening business resilience and competitiveness, particularly for our small- and medium-sized enterprises (SMEs), which are more vulnerable to wage increases,” Trade Undersecretary Jose Edgardo G. Sunico said.

“Large enterprises generally have the capacity to pay higher wages, but SMEs often require assistance,” he added.

According to Mr. Sunico, DTI projects include capacity-building initiatives through regular workshops and training sessions, digital transformation programs, market development support through trade fairs, streamlined business processes, and shared service facilities.

“Through these initiatives, we are supporting our SMEs to manage the challenges posed by wage increases,” he said. — Justine Irish D. Tabile

PSEi climbs to 6,500 level before inflation data

July 4, 2024 | 9:00 pm

THE MAIN INDEX rose to the 6,500 level for the first time in almost a month on Thursday to join its regional peers’ climb and ahead of the release of June inflation data.

The benchmark Philippine Stock Exchange index (PSEi) went up by 0.89% or 57.46 points to end at 6,507.49 on Thursday, while the broader all shares index climbed by 0.59% or 20.74 points to close at 3,515.87.

“The local market joined its Asian peers in the green territory. The region took cues from the S&P 500 and the Nasdaq record performances overnight,” Philstocks Financial, Inc. Research and Engagement Officer Mikhail Philippe Q. Plopenio said in a Viber message.

“Aside from the positive spillovers, foreign inflows also aided the local bourse’s climb as foreigners were net buyers,” he added.

Net foreign buying climbed to P463.4 million on Thursday from P22.09 million on Wednesday.

“Philippines shares climbed past the 6,500 market ahead of the June consumer price index (CPI) release [on Friday] and despite the US celebrating its July 4 holiday,” Regina Capital Development Corp. Head of Sales Luis A. Limlingan said in a Viber message.

“The local bourse was driven by bargain hunting and positive cues from Wall Street. This led the PSEi to join its neighboring peers especially Japan with the Nikkei reaching an all-time high,” Mr. Limlingan said.

Asia stocks hit 27-month highs on Thursday as softer US data narrowed the odds on a September rate cut there, boosting bonds and commodities while dragging on the dollar, Reuters reported.

MSCI’s broadest index of Asia-Pacific shares outside Japan rose 0.9% to reach its highest since April 2022.

Japan’s Nikkei climbed 0.9% to within spitting distance of its March peak, while the broader Topix clinched all-time highs.

S&P 500 futures and Nasdaq futures were steady after reaching another record overnight in the wake of soft economic data.

Meanwhile, the Philippine Statistics Authority will release June CPI data on Friday (July 5).

A BusinessWorld poll of 14 analysts yielded a median estimate of 3.9% for June headline inflation, within the 3.4-4.2% forecast of the Bangko Sentral ng Pilipinas.

If realized, this would match the 3.9% print in May. It will also be slower than the 5.4% recorded in the same month last year.

Almost all sectoral indices ended higher. Services rose by 1.78% or 36.08 points to 2,057.79; financials went up by 1.72% or 33.18 points to 1,962.18; mining and oil increased by 1.11% or 94.39 points to 8,601.47; property added 0.59% or 15.15 points to close at 2,546.83; and industrials climbed by 0.02% or 2.60 points to 9,084.48.

Holding firms went down by 0.03% or 2.03 points to 5,525.86.

Value turnover went up to P4.51 billion on Thursday with 512.49 million issues switching hands from the P3.93 billion with 263.93 million shares traded on Wednesday.

Advancers beat decliners, 90 versus 83, while 62 names ended unchanged. — R.M.D. Ochave with Reuters

Peso rallies to near 1-month high vs dollar

July 4, 2024 | 9:00 pm

THE PESO rose to a near one-month high against the dollar on Thursday due to soft US data and dovish comments from the US Federal Reserve’s June meeting that boosted bets of a rate cut within the year.

The local unit closed at P58.58 per dollar on Thursday, strengthening by 14.5 centavos from its P58.725 finish on Wednesday, Bankers Association of the Philippines data showed.

This was the peso’s strongest finish in almost a month or since its P58.52-a-dollar close on June 7.

The peso opened Thursday’s session stronger at P58.63 per dollar. Its weakest showing was at P58.695, while its intraday best was its close of P58.58.

Dollars exchanged rose to $1.01 billion on Thursday from $779.72 million on Wednesday.

The peso was supported by a broadly weaker dollar due to weak US data and dovish comments from the Fed, a trader said in a phone interview.

Softer-than-expected US data could strengthen the case for Fed cuts this year, Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said in a Viber message.

The dollar was on the back foot on Thursday after US economic data continued to point to slowing growth, offering limited relief to the yen, which remained pinned near a 38-year low that had the market on alert for government intervention, Reuters reported.

The dollar index, which measures the greenback against a basket of peer currencies, was close to flat at 105.32 after briefly weakening to its lowest since June 13 at 105.04 on Wednesday.

Softer-than-expected US economic data on Wednesday, including a weak services report and ADP employment report, depicted a slowing economy, following an increase in initial applications for unemployment benefits last week.

Minutes of the Fed’s June meeting acknowledged the US economy appeared to be slowing and “price pressures were diminishing.”

The string of weaker economic data had markets pricing in about a 68% chance of a US rate cut in September versus 56% a week ago, according to the CME FedWatch tool.

For Friday, the trader expects the peso to move between P58.40 and P58.80 per dollar, while Mr. Ricafort sees it ranging from P58.50 to P58.70. — AMCS with Reuters

Thailand offers to work with China, Philippines to resolve sea dispute

July 4, 2024 | 8:38 pm

FILE PHOTO of BRP Sierra Madre taken March 29, 2014. — REUTERS

By John Victor D. Ordoñez and Kyle Aristophere T. Atienza, Reporters

THAILAND is ready to help the Philippines and China peacefully resolve their sea dispute and ease tensions in the waterway, the country’s top diplomat said on Thursday.

“I convey Thailand’s support for peaceful solutions through dialogues and diplomacy and express readiness to work with all relevant parties to maintain peace and stability in the South China Sea and promote win-win cooperation in accordance with international law,” Thai Minister of Foreign Affairs Maris Sangiampongsa told a news briefing in Makati City.

This comes after Manila and Beijing resumed talks this week to ease tensions in the waterway, days after a standoff at Second Thomas Shoal, where the Philippines grounded the BRP Sierra Madre, a World War II-era ship in 1999 to assert its sea claim.

The country is hosting the latest round of talks between the two countries under their bilateral consultation mechanism, a format intended to address South China Sea disputes.

Philippine Foreign Affairs Secretary Enrique A. Manalo said he shared Manila’s position on the dispute with his Thai counterpart, citing a 2016 United Nations-backed tribunal’s ruling that voided China’s claim over the waterway.

Aside from the Philippines and China, Brunei, Malaysia, Taiwan and Vietnam also have claims to parts of the South China Sea.

“I reaffirmed the Philippines’ continued commitment to the Association of Southeast Asian Nations’ (ASEAN) commitment to centrality and ASEAN’s goal of peace and stability in the region,” he told the same briefing.

The Philippines “is making progress and was moving forward” in easing tensions with its neighbor, Mr. Manalo told reporters on the sidelines of the briefing.

China’s Foreign Ministry on Tuesday night urged the Philippines to stop its “maritime infringement” and provocation in the South China Sea, hours after the dialogue.

The bilateral meeting was held weeks after a June 17 standoff at Second Thomas Shoal in which Chinese forces with bladed weapons boarded Philippine rubber boats on a resupply mission and looted rifles.

Philippine Navy personnel fought with bare hands and one of them lost a thumb after the rubber boat he was in was rammed, according to the Philippine military.

In mid-May, Beijing’s Coast Guard seized food and supplies meant for Filipino troops stationed at the dilapidated outpost at the shoal, which Manila calls Ayungin.

Efforts to schedule a bilateral meeting between the neighbors to manage tensions at sea started as early as May, according to the Philippines’ Department of Foreign Affairs.

ASEAN and China have been in talks to craft a code of conduct in the South China Sea since 2002.

In November, Philippine President Ferdinand R. Marcos, Jr. said he had approached Malaysia and Vietnam to discuss crafting the code, citing limited progress in striking a broader regional pact with China.

Also on Thursday, Mr. Marcos vowed to boost support for the Philippine military on the cybersecurity front, as the nation beefs up digitalization efforts.

Mr. Marcos at a mid-year command conference of the Armed Forces of the Philippines (AFP) vowed to support the AFP “in its bid to adapt to new tactics against cybersecurity threats that become crucial in protecting Filipinos from external and internal threats,” the presidential palace said in a statement after the meeting.

The AFP has formed a unit focusing on cyberattacks.

The military got a moral boost from the President as he “lauded its men and women for their gallantry in fighting the local insurgency and defending the national territory,” the palace said.

During the conference, ground commanders briefed the President about their operations and assessment of internal and external security threats. He was also briefed about war games with the United States called Balikatan (shoulder-to-shoulder).

Several government websites were hacked in recent months. The hackers were linked to Chinese entities though not necessarily the Chinese government.

Philippines to ease e-visa requirements for Indians

July 4, 2024 | 8:38 pm

THE PHILIPPINES seeks to ease e-Visa transactions for Indians, the presidential palace said on Thursday, after a move by some of its Southeast Asian neighbors to offer visa-free entry to travelers from the world’s most populous nation.

Easing e-visa processing for India’s 1.4 billion people would boost the Philippine tourism sector, President Ferdinand R. Marcos, Jr. said at a meeting with the tourism sector of the Private Sector Advisory Council on Wednesday, according to a statement from the presidential palace.

Mr. Marcos said the Philippines does not have major issues with India, which would make it easier for Manila to ease visa processes for its citizens.

Under the e-Visa system, Indian nationals must still appear before the Philippine Embassy in New Delhi, reducing the efficiency of the system, LT Group, Inc. President Lucio C. Tan III said at the meeting.

He noted that e-visa processing for Indian tourists could take about a month.

He proposed for the government to partner with a third-party service provider to “establish, run and maintain” the e-Visa system.

“This will ensure that the program is consistently monitored and that any challenges in the process and the system will be immediately [addressed],” Mr. Tan said. “This will likewise streamline the application process and thus generate more applications due to the expedited process.”

The e-Visa system for Indian nationals is still in beta testing, piloted only for walk-in clients of the Philippine Embassy in New Delhi, the palace said.

Indian nationals are “repeat visitors” who stay an average of eight nights and spend $100 daily in the Philippines, the advisory council told Mr. Marcos.

It added that 78% of Indian visitors stay in hotels. Their activities include shopping, sightseeing, beach holidays, diving, visiting friends and relatives and investing.

“India’s fast-growing economy and rising middle class are projected to help outbound trips reach 30 million by 2025,” the palace said, citing the council.

In Southeast Asia, Thailand and Malaysia now offer visa-free entry to visitors from India, while Vietnam and Indonesia are planning to follow suit. — Kyle Aristophere T. Atienza