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Asia-Pacific economies must build up rice reserves to stabilize prices, ADB says

REUTERS

ASIA-PACIFIC countries must build up their reserves of rice while ensuring there is no market abuse to take advantage of shortages, the Asian Development Bank (ADB) said.

“To address these challenges, governments and stakeholders must adopt a multifaceted approach that addresses both short- and medium-term concerns,” Pilipinas F. Quising, senior economics officer, and Shiela Camingue-Romance, economics officer at the ADB Macroeconomics Research Division, said in a blog.

“Consistently adopting a reactive rather than proactive approach often results in short-term fixes that can worsen long-term problems,” they said.

Rice is a major staple in the Asia-Pacific, where the Philippines is projected to remain the world’s biggest rice importer next year, according to the US Department of Agriculture (USDA).

The commodity accounts for up to 70% of daily caloric intake and a major share of the food price basket across Asia.

Global rice prices have risen 38% between December 2022 and December 2023, the bank said. “Despite a slight decline to an average of $613/metric ton in March, prices remain 29% higher than they were a year ago,” the ADB said.

Continued shocks from the El Niño weather phenomenon have also yet to become apparent in the region, it added.

“The persistence of El Niño until the second quarter, coupled with the possibility of transitioning into La Niña later in the year, poses continued risks to rice production.”

To curb risks to rice supply and prices, the government must strengthen market transparency and monitoring to prevent price manipulation and hoarding, the ADB said. It  must provide targeted subsidies to vulnerable populations.

President Ferdinand R. Marcos, Jr. has yet to sign a bill seeking harsher sanctions against agricultural hoarding, smuggling, and other forms of market abuse.

Asia-Pacific countries must also build up rice reserves to ensure steady supply and dampen volatile prices in the medium term, Ms. Quising and Ms. Camingue-Romance said.

“However, efficient management, transparency, and proper storage and distribution infrastructure are crucial for ensuring effectiveness, preventing corruption and spoilage, and guaranteeing quality and accessibility of the reserved rice,” they added.

Philippine rice inflation eased slightly to 23.9% in April after peaking at 24.4% in March, the Philippine Statistic Authority reported.

Governments should also invest in modern agricultural technology and infrastructure, and push for crop diversification to strengthen resilience against climate shocks, Ms. Quising and Ms. Camingue-Romance said.

Damage to agriculture caused by the El Niño dry spell has topped P9.5 billion, the Philippines’ Department of Agriculture (DA) said last month.

Countries must also share best practices and ensure open trade to better manage rice supply and prices in the region.

The Department of Finance is studying a proposal to cut tariffs on rice imports to 17.5% or 20% from the current 35% rate.

“Countries in Asia and the Pacific can effectively foster stable and sustainable rice markets by promoting international collaboration, sharing knowledge, implementing focused interventions, and using financial assistance and technical expertise from their partners,” the ADB said.

Regular-milled rice was selling for P49.55 a kilo and well-milled rice P51.42, according to DA price monitors. Imported well milled rice was P52.98/kilo. — Beatriz Marie D. Cruz

Alternate sites touted as closure looms for landfill that serves Clark

METRO CLARK WASTE MANAGEMENT FACEBOOK PAGE

THE Bases Conversion and Development Authority (BCDA) said that it will assist local governments and locators whose waste management operations will be affected by the impending closure of a landfill in Tarlac.

In a statement on Monday, the BCDA said that it will help find alternative solutions for waste disposal to ensure continuity of solid waste management services.

The BCDA issued the statement in light of the October expiry of the 25-year contract of Metro Clark Waste Management Corp.’s (MCWMC) for the Kalangitan sanitary landfill.

“The BCDA maintains that a sanitary landfill is no longer consistent with the government’s vision of transforming New Clark City into a premier investment and tourism destination,” it added.

Citing a report from the Environmental Management Bureau, it noted two existing facilities in Pampanga that may be tapped by those affected by the end of MCWMC’s contract.

“These facilities have a combined total capacity of 3,500 metric tons (MT) of domestic waste per day, and a potential to expand further to 6,000 MT,” the BCDA said.

It added that a materials recovery facility is set to open in Porac, Pampanga with a capacity of 5,000 MT per day.

“This brings the total combined capacity to 11,000 MT, which is more than enough to address the solid waste management requirements of Tarlac, Pampanga, and other provinces in and around the region,” the agency said.

“This should allay fears of a looming garbage and health crisis in the region,” it added.

An estimated 4,000 MT of waste is dumped into the Kalangitan facility per day. — Adrian H. Halili

EoPT is here: Updates on CAR application

There is a Latin praise, semper vigilatus, which means to be constantly awake or vigilant.

In the Philippines, transferring ownership, such as real property and shares of stock not traded in the stock exchange, involves several steps to ensure a lawful transfer of title from one party to another and avoid any disputes or complications in the future. There is no harm in being diligent. At best, it saves time and resources. One of the requirements for the transfer of such properties is the application for Certificate Authorizing Registration (CAR). The issuance of electronic CAR (eCAR) certifies that the tax dues related to such property have been paid, and such property may now be transferred.

With the passage of Republic Act No. 11976, otherwise known as the Ease of Paying Taxes (EoPT) Act, the filing of any tax return may now be done electronically on any of the available platforms (e.g., Electronic Filing and Payment System, eBIR Forms Facility) while the payment of tax due thereon can either be made electronically or manually through any Authorized Agent Banks (AABs) or Revenue Collection Officers (RCOs), regardless of where the taxpayer is registered.

Under current policy, the processing and issuance of eCAR pertaining to One-Time Transaction (ONETT) and the payment of taxes related to ONETT must be made with AABs/RCOs under the jurisdiction of the RDO responsible for the processing and issuance of eCAR to facilitate the validation of tax payments prior to the approval of eCAR. In view of the enactment of EoPT, the BIR issued RMC 56-2024, clarifying the concerns about the issuance of eCAR. Regardless of where the tax returns were filed and paid, the venue for the processing and issuance of eCAR will still be at the RDO which has jurisdiction over the ONETT, as follows:

a. Sales of real property – RDO which has jurisdiction over the location of the property subject to sale;

b. Sale of personal property – RDO which has jurisdiction over the residence of the seller;

c. Donation – RDO which has jurisdiction over the residence of the donor (individual) or RDO where the donor is registered (non-individual); and

d. Estate – RDO which has jurisdiction over the issued Taxpayer Number (TIN) of the Estate of the Decedent.

If the decedent has registered business, however, the processing of eCAR must be processed by the RDO where the business is registered since it is where the TIN for the decedent shall likewise be secured pursuant to existing policy. In cases where the decedent has no registered business, the TIN may be secured from the RDO where the administrator or heirs intend to apply for the issuance of eCAR. It can be gleaned from the new RMC that taxpayers should process their application for the issuance of eCAR at the RDO, which has jurisdiction over the ONETT, depending on the type of property to be transferred or conveyed.

Another update under Section 30 of the EoPT Act is the time for filing and payment of Documentary Stamp Tax (DST). DST is imposed on documents, conveyances, deeds, instruments, loan agreements, and papers evidencing the acceptance, assignment, sale or transfer of an obligation, right, or property incident thereto. For clarity, the Court has pointed out that the subject of DST is not limited to the document embodying the enumerated transactions. The DST is an excise tax on the exercise of a right or privilege to transfer obligations, rights, or properties incident thereto. The transfer of properties is subject to DST before an eCAR can be issued. The tax return prescribed under Section 30 of the EoPT must be filed, either electronically or manually, within 10 days, which used to be within five days prior to the enactment of the EoPT, after the close of the month when the taxable document was made, signed, issued, accepted, or transferred, and the tax thereon shall be paid, either electronically or manually, at the same time the return is filed. It is imperative for the taxpayer to file and pay their tax liabilities on time. Accordingly, late payment of DST imposes penalties and interest.

Aside from DST, Capital Gains Tax (CGT) must also be considered by the parties involved in the transfer. CGT is a tax imposed on the gains presumed to have been realized by the seller from the sale, exchange, or other disposition of capital assets located in the Philippines, including pacto de retro sales and other forms of conditional sale. CGT must be filed and paid within 30 days following the sale, exchange, or disposition of the property.

It is observed that some parties agree to antedate their contracts, and they need to keep in mind the purpose and the effect of antedating. RMC No. 64-2024 is issued to clarify the antedating of deeds of sale involving real property. In cases where it is found that the deeds of sale or other transfer documents are antedated, the laws and regulations effective at the time of presentation of the deed of sale apply. Unless the taxpayer proves otherwise, a deed of sale may be considered antedated when the documents are dated before the effectivity of either the capital gains tax law or the regulations imposing the creditable withholding tax on sales or transfers of real property. The document can also be considered antedated when it is dated before the effectivity of the current zonal values as reflected in the latest Revised Schedule of Zonal Values of Real Properties within the jurisdiction of the concerned RDO. In such cases, the taxpayer has the burden of proof to prove otherwise by presenting supporting documents such as cancelled checks, invoices, contracts to sell, or certifications from the Clerk of Court, Executive Judge, or National Archives of the Philippines.

Transferring property can be quite a challenge but the BIR has been proactive in aiding the taxpayers to make the process less of a burden with the implementation of the EoPT and these issuances. Taxpayers may be reminded that a symbiotic relationship with the government will only work when there is cooperation and understanding of their obligations in paying taxes. Certainly, diligence and vigilance breed progress.

Let’s Talk Tax is a weekly newspaper column of P&A Grant Thornton that aims to keep the public informed of various developments in taxation. This article is not intended to be a substitute for competent professional advice.

 

Ira Jennena J. Bero is an associate from the Tax Advisory & Compliance division of P&A Grant Thornton, the Philippine member firm of Grant Thornton International Ltd.

pagrantthornton@ph.gt.com

More information and educational programs needed to get fisherfolks insured

PHILSTAR

The fisherfolks do not see value in insurance due to the lack of information and educational programs from the local government, Fredel B. Mued, leader of Nuvuyuntun Yang mga Tagbanua tung Calauit at Quezon, stated in an interview last Friday. 

“Hindi ganap ang pagkaunawa ng mga mangingisda ang kahalagahan ng insured siya at hindi, dahil wala rin masinsinang ginagawang information and education campaign ang local government,” [The fisherfolks do not see the difference between getting insured and not, because the local government does not have enough information and education campaigns] Mr. Mued said. 

At the 2024 National Coastal and Inland Fisheries Summit last May 31, the Bureau of Fisheries and Aquatic Resources (BFAR) Regional Director (Region IV-A) Sammy A. Malvas added that convincing fisherfolks to be insured is a struggle for the department. 

“Ang pinakamaliit na portfolio is fisheries. We have covered 13M farmers and fishers for the past nine years but we only have 85,000 fishers insured out of millions. Ganon lang siya kaliit,” [The smallest portfolio we have is on fisheries. We have covered 13M farmers and fishers for the past nine years but we only have 85,000 fishers insured out of millions. That’s how small it is] he mentioned. 

Further, he claimed that social capital is also one of the reasons why fishermen choose not to get insured. 

“We know that maraming calamity sa Pilipinas but we still don’t buy insurance right? Kasi ang ating culture for Filipino, at least with that study…is hihingi na lang ako sa neighbors ko na may kaya or puntahan si mayor, or I will call my relative abroad…to help me with the damage,” [The Philippines faces a lot of calamities and yet Filipinos still don’t buy insurance because it is part of our culture – to depend more on our relatives abroad and political figures in case of emergencies] Mr. Malvas stated on the reasons behind uninsured Filipino fishermen.

“We don’t see the value of insurance at least in our society. That’s one major cause at the micro-level and apart from education,” he added.

To aid in the difficulty faced by fishermen, Rocky Sanchez Tirona, the Global Program Lead for Fish Forever at Rare, shared that the organization is conducting seminars and workshops to help educate the fisherfolks about their insurance literacy. 

“What’s been helpful are really insurance literacy, workshops where we actually help them understand what insurance products are, how they work and all that. So I think having the government, local government as the partner for doing things like that is really important,” Ms. Tirona said. – Almira Louise S. Martinez

Zelensky meets with Marcos, eyes stronger ties between Kyiv, Manila

PCOO.GOV.PH

By Kyle Aristophere T. Atienza, Reporter

THE PHILIPPINES and Ukraine are boosting their ties as the two US allies deal with threats from Russia’s war machine and China’s growing assertiveness in the South China Sea.

Ukraine will set up an embassy in Manila, President Volodymyr Zelensky said at a meeting with Philippine President Ferdinand R. Marcos, Jr. at the presidential palace in Manila on Monday.

Mr. Zelensky thanked Mr. Marcos for Manila’s participation in a high-level peace summit later this month, describing it as a “very strong signal” toward achieving peace in the war-torn nation.

“I’m happy to hear from you that you participate in our basic steps to peace,” Mr. Zelensky, who was wearing a black shirt and olive fatigues, told Mr. Marcos, speaking in English.

“What [we] really want is for our people to bring peace to our homes,” the Ukrainian leader said.

He asked Mr. Marcos to send Filipino health workers to Ukraine to help boost the mental health of their soldiers.

Mr. Zelensky told reporters later countries including the Philippines should stand in solidarity with Ukraine to prevent invasion in other parts of the world.

“If Ukraine falls down, if Russia occupies us totally, we will see this war in other continents, and it can be in your region,” he said. “If Ukraine stays strong, it will give a warning signal to Putin and other countries not to try, even to think, how to occupy other independent countries.”

In their first face-to-face meeting in Manila, Mr. Zelensky also thanked the Philippine leader for his country’s “clear position” on Russia’s “occupation of our territories.” Mr. Marcos assured him of his continued support.

It was not immediately clear if Mr. Marcos would attend the summit or if he would send an envoy.

“Thank you so much (for) your big word, and clear position… about this Russian occupation of our territories,” he said, adding that Ukraine would open an embassy in Manila this year.

Mr. Marcos said the two nations face issues “common to our two countries.”   

Mr. Zelensky arrived at the presidential palace on Monday after an unscheduled appearance at Asia’s biggest security conference in Singapore at the weekend to drum up support for the two-day peace summit in Switzerland.

The two leaders were present the at the Shangri-la security dialogue in Singapore, where Mr. Marcos called for respect for international law.

Mr. Marcos delivered the keynote address at the security forum, criticizing what he described as illegal, coercive and aggressive actions by “other actors” in the South China Sea — a censure of China, although he didn’t name the country.

He told Mr. Zelensky he was “honored” the Ukrainian leader was visiting Manila.

“It’s a great pleasure to meet, to discuss issues that are common for both countries and hopefully, we find ways for both of us together,” Mr. Marcos said.

Russia, which calls its actions in Ukraine a “special operation,” has not been invited to the June 15-16 summit that will be hosted by the Swiss government. Russia has dismissed the talks as meaningless without its participation.

While in Singapore, Mr. Zelensky told a news briefing that he was not able to meet the Chinese delegation at the conference and was disappointed that Beijing, a Moscow ally, would not attend the summit.

He has urged US President Joseph R. Biden to attend, although Washington has yet to confirm whom it will send.

The Philippines and Ukraine have been on the receiving end of threats to the rules-based international order, said Joshua Bernard B. Espeña, vice president at the International Development and Security Cooperation in Manila.

‘ZELENSKY OF ASIA’
“At this time of readjustment, the Philippines must look at the possible lessons from the war in Ukraine, while exploring tangible support to Kyiv amid the Russo-Sino challenge to the US-led rules-based order,” he said in a Facebook Messenger chat.

Russia invaded Ukraine in February 2022 in an escalation of their war that started in 2014. At least 10,582 civilians have died as of Feb. 22, based on a report from Oxfam.

The US, the Philippines’ oldest treaty ally, has been Ukraine’s most important bulwark against Russian attacks. It has set aside more than $60 billion for Kyiv under an emergency package that Mr. Biden approved in April.

“While Ukraine has the disadvantage that it is not a treaty ally, the Philippines must nevertheless intensify its alliance coordination with the US to ensure collective deterrence under Washington’s security umbrella,” Mr. Espeña said.

“This will ensure the regional power balance to deter war and if needed, to win it.”

“The Philippines is a long-time ally of the US and Ukraine is operating on a similar relationship,” said Hansley A. Juliano, who teaches politics at the Ateneo de Manila University. “Ukrainian support is a bit easier to sell to US interests if only because of Atlantic security issues.”

Bagong Alyansang Makabayan in a statement accused the Marcos government of making the Philippines the “Zelensky of Asia” — a “mere pawn” in what it said is an “inter-imperialist conflict” between the US and China.

“We should by now learn from the experience of Ukraine. We should be wary of being a US pawn and reject all attempts at making the Philippines a US military outpost,” it said.

Former senator and Liberal Party spokesperson Leila M. de Lima described Mr. Zelensky as the “leader of the most courageous and heroic freedom fighters in the world today.”

“The parallelisms between the situation of Ukraine and the Philippines cannot be denied,” she said in a statement.

“Ukraine is actively at the forefront fighting Russian expansionist policies in Europe after its invasion and partial occupation by Russia. The Philippines is also at the forefront of countering Chinese expansionist policies in the Southeast Asian region,” she added.

Ms. De Lima cited Chinese occupation of maritime features within the Philippines’ exclusive economic zone in the South China Sea, namely Mischief Reef and Scarborough Shoal. — with Reuters

China cites ‘dishonorable role’ of US in sea dispute after Marcos censure

PHILIPPINE COAST GUARD FILE PHOTO

BEIJING — The US has played an “extremely dishonorable role” in backing the Philippines and using the South China Sea dispute to provoke relations between China and the region, China’s Foreign Ministry said on Monday.

“It is very clear to the discerning eye who the Philippines is serving in its foreign policy and for whom it is working in its maritime operations,” the agency said in response to recent remarks by Philippine President Ferdinand R. Marcos, Jr.

China is willing to continue to work with members of the Association of Southeast Asian Nations (ASEAN) including the Philippines to manage differences at sea and deepen sea-related cooperation, it said.

Mr. Marcos on Friday delivered the keynote address at a security forum in Singapore, criticizing what he described as illegal, coercive and aggressive actions by “other actors” in the South China Sea — a censure of China, although he didn’t name the country.

Meanwhile, Senator Emmanuel Joel J. Villanueva dismissed a Chinese general’s accusation that the Philippines is ruining regional peace by involving more countries in the sea dispute, saying the claim was not backed by proof.

“I don’t think anyone is paying attention to what they are doing because no one believes in their (China) circus,” he told a news briefing.

“Their narratives are ridiculous, their claims are unfounded, and we still go by our united stand that the West Philippine Sea is ours,” he added, referring to areas of the South China Sea within Manila’s exclusive economic zone.

The Chinese Embassy in Manila did not immediately reply to a Viber message seeking comment.

At the Shangri-la Dialogue security summit in Singapore last week, Chinese Major General Xu Hui, commandant of the Chinese military’s International College of Defense Studies, asked Mr. Marcos if the Philippines was risking regional peace by involving other parties.

He said Manila risked ruining the “long-earned, long-lasting peace” within ASEAN.

“There is no such thing as a regional issue any longer, and when we talk about the South China Sea, we have to also remember that the South China Sea is the passageway for half of world trade,” Mr. Marcos responded. “Peace and stability in the South China Sea and freedom of navigation in the South China Sea is a world issue.”

More than $3 trillion worth of trade passes annually through the sea, which China claims almost in its entirety. A United Nations-backed tribunal in 2016 voided its claim for being illegal.

“In the end, the important thing is that we don’t give up sovereignty over those islands and oceans,” Senate President Francis “Chiz” G. Escudero separately told reporters.

“The (conflict can be resolved) through dialogue and should not lead to a war between our country and China and other countries,” he added. — John Victor D. Ordoñez with Reuters

Lawmaker calls on investors to bankroll Philippine microgrids

PEXELS-PIXABAY

A SENATOR on Monday urged local investors to bankroll the construction and development of microgrids in the Philippines to energize remote areas including those in Mindanao, and boost the country’s generation capacity.

“Electrification is usually followed by economic development, and the government in partnership with the private sector should aim to provide power to unserved and underserved areas in Mindanao,” Senator Sherwin T. Gatchalian said in statement.

He added that deals to set up microgrid service providers do not need a congressional franchise to operate.

The lawmaker said Mindanao has the lowest electrification rate among the major grids at 80.25% as of last year. Electric cooperatives in Mindanao, which cover 84% of total households in the region, only have an electrification rate of 78.98%.

In contrast, the electrification rate in Luzon as was 97.54%, while the Visayas was at 92.36%. Overall, the Philippines had an electrification rate of 92.75%.

Mr. Gatchalian noted that the state-run National Power Corp. and Maharlika Consortium recently partnered to provide microgrids in Cebu, Quezon and Palawan provinces.

The contract signed with the Maharlika Consortium covers eight unserved areas in these three provinces, he added.

Senate President Francis “Chiz” G. Escudero last month said the Department of Energy and Energy Regulatory Commission (ERC) should fast-track building new power plants to address power failures nationwide.

Energy Undersecretary Rowena Cristina L. Guevarra told a Senate hearing on May 14 that more than 4,000 megawatts of power are likely to be added to the country’s energy generation capacity by yearend.

She said new power plant operators are ready to come to the country and set up shop this year, but are just falling behind in application requirements.

The Philippines has faced yellow and red alerts since April because of the thinning supply from power grids.

“We are encouraged to see investors taking an interest in the development of microgrids in Luzon and the Visayas,” Mr. Gatchalian said. “We hope to see the same level of interest for the establishment of microgrids in Mindanao.” — John Victor D. Ordoñez

Ombudsman suspends Bamban mayor over POGO investigation

PHILIPPINE STAR/JESSE BUSTOS

By Chloe Mari A. Hufana

THE OMBUDSMAN has slapped a six-month preventive suspension against Mayor Alice Guo of Bamban, Tarlac, and two other officials, as it investigates charges over their alleged illegal involvement with a Philippine Offshore Gaming Operator (POGO) in the town.

Aside from the mayor, the Ombudsman ordered the preventive suspension of Bamban’s Business Permit and Licensing Officer and the Municipal Legal Officer.

“They are hereby Preventively Suspended, without pay, during the period of investigation until its termination, but not to exceed six (6) months,” read the nine-page order by Ombudsman Samuel R. Martires.

Last May 24, the Department of the Interior and Local Government (DILG) filed charges of grave misconduct, conduct prejudicial to the best interest of the service, and gross neglect of duty against the officials.

In a statement issued by the David & Jamilla Law Offices, it said Ms. Guo is innocent of the charges and that she “vehemently denies any involvement” in POGO operations, particularly that of Zun Yuan Technology Incorporated which was raided by authorities last March for alleged illegal operations that included human trafficking.

Her lawyer, Nicole Rose Margaret D. Jamilla, said that the mayor’s act of issuing the business permit to Zun Yuan was based on the process and recommendations of the Philippine Amusement and Gaming Corporation (PAGCOR), which regulates POGOs.

“Mayor Guo is the victim here. She is unfairly implicated in issues that are rooted in the regulatory responsibilities of PAGCOR,” said Ms. Jamilla.

Meanwhile, Senator Ana Theresia “Risa” N. Hontiveros-Baraquel said Monday they have received information that the mayor allegedly tried to obstruct the ongoing investigation after Zun Yuan was raided.

“Let us not forget, this is a POGO with alleged hacking and surveillance activities. POGO that brought nothing but scams, crime, and human trafficking to the country,” she said in mixed Filipino and English.

Teachers’ allowance law signed

DEPED.GOV.PH

PRESIDENT Ferdinand R. Marcos, Jr. on Monday signed into law a bill increasing the teaching allowance for public schools teachers.

The Kabalikat sa Pagtuturo Act will increase the allowance for each public school teacher to P10,000 from P5,000 beginning School Year 2025-2026, according to a press release from the presidential palace.

The law exempts the teaching allowance from income tax, it added.

The initial amount for the law’s implementation will be charged against the current budget of the Department of Education.

The allowance would cover the purchase of teaching supplies and materials, the payment of incidental expenses, and the implementation or conduct of various learning delivery modalities, Senator Juan Edgardo M. Angara, one of the law’s authors, said in a statement.

Funds needed for the continued implementation will be included in the annual national budget, according to the law.

ACT-Teachers Party-list Rep. France L. Castro, who is a co-author, said the law provides a “significant relief to teachers who have long borne the burden of shouldering the cost of teaching supplies out of their own pockets.”

Education Secretary Sara Duterte-Carpio was not present at the signing ceremony for the law.

From 2010 to 2011, teaching supplies allowance for each teacher amounted to P700 annually. This went up to P1,000 from 2012 to 2014, and was increased further to P1,500 in 2015 and 2016, Mr. Angara noted.

Congress increased the amount to P2,500 in 2017 and to P3,500 in the following year up to 2020, he noted. — Kyle Aristophere T. Atienza

PHL, Indonesia set war games

PHILIPPINE STAR/KRIZ JOHN ROSALES

PREPARATIONS are underway for joint military drills between the Philippine Army’s 6th Infantry Division and the Indonesian National Military Land Force, which are set to take place at Camp Siongco in Maguindanao del Norte by the yearend.

Major Gen. Alex S. Rillera, commander of the 6th ID, announced Monday that an Indonesian delegation, led by Col. Yoki Malinton Kurniafari, recently toured the division’s training facilities as part of preparations for the Training Activity Phil-Indo Strike 2024.

Mr. Kurniafari, commander of the Indonesian Army’s 11th Infantry Brigade, participated in a three-day planning conference with 6th ID officers. “All was well in the planning conference related to the forthcoming activity,” said Mr. Rillera.

The exercises will focus on territorial defense and strategic planning. The Indonesian team was also briefed on the 6th ID’s peacebuilding programs, which support the Philippine government’s peace process with Moro communities.

Mr. Kurniafari and his subordinate Army officials were also briefed by their counterparts in the 6th ID on peacebuilding programs that complement Malacañang’s peace process with Moro communities in Central Mindanao provinces and cities that are covered by units of the division.

Indonesia helped broker the Philippine government’s separate peace compacts with the Moro National Liberation Front and the Moro Islamic Liberation Front. — John Felix M. Unson

COVID-19 testing package scored

PHILIPPINE STAR/ MICHAEL VARCAS

A PANEL of the House of Representatives scrutinized the Department of Health (DoH) and Philippine Health Insurance Corp. (PhilHealth) over the pricy coronavirus (COVID-19) testing package that cost as high as P8,150 at the height of the pandemic.

Lawmakers questioned the pricing method, suggesting the agencies may not have adhered to a “World Health Organization formula.”

Former DoH secretary Francisco T. Duque III defended the initial high cost, citing the limited supply of test kits early in the pandemic. He noted prices were adjusted as supplies stabilized.

PhilHealth president Emmanuel R. Ledesma Jr. confirmed the testing cost was reduced over time, reaching P2,450.

Iloilo Rep. Janette L. Garin criticized the initial pricing, suggesting it should have been between P2,000 to P2,500 to prevent profiteering and enable better tracking of the virus’ spread. “It was unfairly priced,” Ms. Garin told BusinessWorld on the sidelines of the hearing.

She said the government should’ve looked at making testing kits cheap to determine the extent of infected Filipinos, enabling health agencies to respond proportionately to COVID-19’s infectiousness.

“Testing is actually the manner by which… we will have eyes to see our enemy,” said Ms. Garin in mixed English and Filipino. — Kenneth Christiane L. Basilio

Sofitel workers demand retention

SOFITEL Philippine Plaza Hotel workers called on Philippine Plaza Holdings, Inc. (PPHI) to honor their collective bargaining rights by retaining their employment on the pretext that the hotel will be reopening.

“We are asking for very little: respect our collective bargaining agreement,” Nestor L. Cabada, National Union of Workers in Hotel, Restaurant & Allied Industries (NUWHRAIN) Philippine Plaza Chapter president, said in Filipino at a Monday press briefing. “The workers of Sofitel want no terminations; employment should be continuous without any loss of seniority rights and benefits.”

PPHI president Esteban G. Peña Sy told BusinessWorld in a Viber message that the management is uncertain about the hotel’s future and that union workers’ assumption that the 50-year-old hotel will be closing only to be rehabilitated is “totally wrong.”

“Since we do not own the land on which Sofitel Philippine Plaza is located, we are uncertain of the future of the hotel. We cannot make any commitment on something that we are not sure or in control of,” he said.

“Since it is the advice of experts that the 50-year-old hotel is not safe for its guests and employees, the owners have made the painful decision to close it down, even though the hotel is having its historical best business performance in its 48 years of operation since last year.”

During the press briefing, NUWHRAIN deputy secretary general Marco Aristeo J. Gojol said there are over 1,000 Sofitel employees, many of whom are contractual workers.

Union members accused the management of “union busting: for choosing to hire more contractual or casual laborers once it supposedly re-opens.

Mr. Cabada urged the management to rehire present employees rather than transfer them to other hotels. “Why terminate them? Why transfer them to another hotel if you are going to reopen? Why not rehire them to continue the excellent service provided by the hotel’s employees?” he said at the briefing.

Mr. Peña Sy said the accusation of union busting is untrue. “If the hotel wants to bust the unions, it should have done it during the pandemic time. During the COVID days, Sofitel did not fire any single employee but continued to give the workers all their benefits despite the fact that the hotel was losing money,” he said.

In May, Mr. Peña Sy told BusinessWorld that all Sofitel employees would be granted separation packages whether or not they are union members.

He said there are over 200 vacancies for employees in other hotels and that Sofitel employees will be offered employment in other Accor-managed properties and hotels ranging from junior to supervisor roles.

The hotel will close on July 1, 2024, but will continue to honor reservations made prior.

It was built in 1973 and opened in 1976. Four years later, it was purchased by Accor, joining the group’s hotel brands Novotel, Mercure, and Ibis. — Chloe Mari A. Hufana

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