Facebook Instagram Linkedin X Youtube
Home Blog Page 4730

World Bank approves $750-million loan for PHL

XB100-FREEPIK

THE WORLD BANK has approved a $750-million loan for the Philippines meant to help boost investments in sustainable projects.

“The World Bank’s Board of Executive Directors has approved new financing support for the country’s policy reforms aimed at boosting environmental protection and climate resilience, as the country strives to accelerate economic recovery and boost long-term economic growth,” it said in a media release dated June 13.

The country’s first sustainable recovery development policy loan aims to increase private investment in renewable energy, improve plastic waste management, promote green transport, and mitigate climate-related risks in agriculture.

World Bank Country Director for the Philippines Ndiamé Diop said the Philippines has “tremendous potential” in renewable energy.

“Government actions to encourage investments in this sector, such as promoting foreign direct investments and streamlining the permitting process, could unlock this potential,” Mr. Diop said in a statement.

“Renewable energy can help the Philippines mitigate climate change and bring numerous benefits, including enhanced energy security, the creation of green jobs, and improved access to electricity. It is a crucial step towards a more sustainable and resilient future for the country,” he added.

The Philippines is targeting to increase the share of renewable energy to 50% of its total power generation mix by 2040.

“This increased focus on renewable energy is pursued in parallel to slowing the expansion of coal-fired power generation capacity from 2026 onwards. Achieving these targets will require a significant increase in investments in solar and wind technologies and a strong policy environment conducive for investment in renewable energy,” the World Bank said.

The policy loan will also support insurance products for smallholder farms and strengthen the Philippine Crop Insurance Commission’s operations.

“The aim is to help mitigate climate-related disaster risks to the country’s budget and the farming sector. If properly designed and targeted, crop insurance can help stabilize farm income, reduce poverty, and provide a climate safety net for food producers,” it added.

The Philippines, China, Indonesia, Thailand, and Vietnam account for 55-60% of the plastic waste that enter the ocean, according to the World Bank.

In the Philippines, there is an estimated 1.7 million tons of post-consumer plastic waste generated annually.

“To help address this challenge, this financing supports the implementation of the Extended Producer Responsibility (EPR) Act mandating large enterprises to recover up to 80% of plastic packaging waste by 2028,” the multilateral lender said.

“Under the EPR Law, the financial burden of waste management is shifted to business enterprises, which will reduce the need for public money to pay for the collection, segregation, disposal, and cleanup of packaging product waste created by these enterprises,” it added.

The program will also support other reforms, including the amendments to the Public Service Act, which allows full foreign ownership in more public services such as telecommunications, airlines, and railways.

“Advancing economic reforms to transform the economy remains imperative, not only to accelerate, but also to sustain the economic recovery and boost long-term growth,” World Bank Senior Economist Ralph Van Doorn said.

“Reforms aimed at attracting private investments in public service sectors can open up new sources of economic growth and quality jobs,” he added.

As of March 2022, the World Bank was the Philippines’ third-largest official development assistance (ODA) partner, with loans and grants amounting to around 23.38% of total ODA.

This year, the National Government expects to obtain around $19.1 billion in ODA, of which $9.2 billion will come from loans from multilateral development partners. — Luisa Maria Jacinta C. Jocson

Proposed VAT refund program expected to boost economic output

BW FILE PHOTO

By Beatriz Marie D. Cruz, Reporter

THE PROPOSED value-added tax (VAT) refund for foreign tourists could contribute up to P12.8 billion to the Philippines’ gross domestic product (GDP) through increased spending and additional jobs, an official of the National Economic and Development Authority (NEDA) said on Wednesday.

“Under the full refund scenario, the additional gross value added, so addition to the GDP, will be P8.6 billion to P12.8 billion annually from 2024 to 2028,” Undersecretary Rosemarie G. Edillon of NEDA’s planning and policy department told a Senate hearing on Wednesday.

She added that “additional spending per annum will be between P6 billion and P9 billion from 2024 to 2028 for the full refund.”

The increase in spending would create 5,000 to 6,000 jobs, Ms. Edillon added.

The proposed measure seeks to establish a VAT refund scheme for non-resident tourists on goods that cost at least P3,000 and are exported from the Philippines within 60 days of purchase.

The Finance secretary, upon the recommendation of the Bureau of Internal Revenue commissioner and the Tourism secretary, may adjust the threshold amount based on inflation and other factors. The two measures on the proposed VAT refund, Senate Bills No. 2023 and 2148, have yet to be consolidated.

The House of Representatives in March approved a similar measure on third and final reading.

In 2021, the share of Tourism Direct Gross Value Added (TDGVA) to GDP, or the contribution of tourism industries to the economy, was at 5.2%, up slightly from 5.1% in 2020 but lower than the 12.9% seen in 2019 or before the coronavirus pandemic, data from the Philippine Statistics Authority (PSA) showed.

The TDGVA amounted to P1.001 trillion in 2021, up by 9.2% from P917.2 billion in 2020 but lower than the P2.51 trillion in 2019.

In 2021, inbound tourists spent 27.6% of their total travel budget on accommodation, 22.6% on food, 36.5% on transport, 6.2% on entertainment and recreation, and 6% on shopping. Less than 1% each went to travel agencies and miscellaneous expenses.

Shereen Gail C. Yu-Pamintuan, undersecretary for administration and finance of the Tourism department, said they expect tourist arrivals to reach around 4.5 million this year and to return to the pre-pandemic or 2019 level of 8.2 million by 2024.

The proposed refund would encourage tourists “to spend the amount that was given back to them through our duty-free sales,” Ms. Yu-Pamintuan said.

However, she noted that shopping the least prioritized tourist activity because the 12% VAT is deemed high, adding that tourists mainly visit the Philippines for its beaches, activities on nature and adventure, as well as heritage and culture.

“If we remove the VAT on the goods that will not be consumed here in the Philippines, then it will continue to go up the rank as a primary purpose of coming,” Ms. Yu-Pamintuan said.

“In other words, we lost on shopping, but we gain VAT in other components,” Senator Sherwin T. Gatchalian, the chairman of the Senate Ways and Means panel, said.

Roberto S. Claudio, vice chairman of the Philippine Retailers Association, cited data from the Global Service Providers showing that 69% of the countries worldwide, including nine in Asia, currently have a tax-free shopping scheme.

Mr. Claudio said the Philippines is the only Southeast Asian country without a VAT refund for tourists.

“A lot of countries are now moving to digital schemes which bring great automation and great services for the merchant and the traveler…encouraging travelers to shop,” Gavin Ingram, general counsel for Asia Pacific and vice-president for strategic planning of Global Blue, a tourist tax shopping refund company based in Nyon, Switzerland, told the committee.

Meanwhile, John Paolo R. Rivera, executive director officer-in-charge of the Dr. Andrew L. Tan Center for Tourism at the Asian Institute of Management, said the Philippines needs to make traveling to the country convenient for tourists.

“While the Philippines indeed has one of the best tourism attractions in the world, getting to those destinations remains to be a challenge because the necessary infrastructure is either not there or not efficient enough,” Mr. Rivera said in a Viber message.

He also cited issues such as flight cancellations, overbooking, airport congestion, transportation, overcharging drivers, among others, that are “not good to boost the Philippine brand.”

A technical working group on the measure will convene next week. Mr. Gatchalian told reporters after the hearing that the bill may be approved in a month and could be signed into law by yearend.

BSP proposes rules for addressing digital fund transfer issues

UPKLYAK FREEPIK

By Keisha B. Ta-asan, Reporter

THE BANGKO SENTRAL ng Pilipinas (BSP) is proposing rules to help protect consumers should they encounter issues in digital transactions amid the increased adoption of electronic payments.

The BSP has come up with proposed guidelines for reconciliation and dispute handling mechanisms for issues encountered in electronic fund transfers (EFTs) under the National Retail Payment System (NRPS) framework, a draft circular posted on the BSP’s website showed.

“With the increased adoption of digital payment services, the Bangko Sentral recognizes the need to ensure that BSP-supervised institutions (BSIs) that offer EFT services… provide appropriate and timely consumer recourse mechanisms on EFT issues lodged by their clients,” the BSP said.

It added that an industry-wide standard for those participating in the BSP’s automated clearing houses (ACH) on how to resolve consumer concerns will build trust and confidence in the use of online payment services.

Stakeholders are given until June 28 to give their feedback on the proposed circular.

If approved, the guidelines will cover domestic payments denominated in peso, including payments of goods and services, and remittances or fund transfers.

According to the draft rules, BSIs are required to adopt a mechanism that will immediately identify any unsuccessful fund transfer, which refers to money not credited to the intended receiver due to EFTs not reaching the clearing switch operator (CSO), unauthorized transactions, restrictions such as “dormant” or “closed” accounts, or timed-out transactions.

CSOs are required to implement a mechanism that will identify system, infrastructure, and other operational concerns that affect the delivery of EFT services. The CSOs must inform all concerned participants if an issue occurs.

“For instant retail payments and corresponding use cases, the corresponding amount debited from the sender’s account in unsuccessful transactions shall be credited back to said sender’s account within one hour from receipt of client instruction. The same timeframe shall also apply to multiple-charged transactions,” the BSP said.

Under the NRPS framework, the timeframe of a successful transaction from a sender to the intended receiver should be within only two to three seconds. For group transactions, the time for money to be transferred should not be more than two hours.

As part of this, a financial institution is required to provide a transaction notification to inform the sender about the status of the EFT.

The sender and the receiver will not pay any fees in the event of an unsuccessful transfer.

Financial institutions should also implement policies and procedures for providing consumer assistance to customers with unauthorized and erroneous transactions, the central bank said.

“These procedures should form part of their Consumer Protection Risk Management System and Consumer Assistance Mechanism, in accordance with existing BSP rules and regulations,” it added.

Erroneous transactions refer to EFTs sent to an incorrect beneficiary due to an error in encoding details by the sender.

The processing of complaints should also be handled in line with existing BSP laws, such as provisions set forth under the Financial Products and Services Consumer Protection Act or Republic Act No. 11765.

“Participants shall adopt a mechanism to timely identify scenarios that may result to disruption of operations and which may affect the availability of electronic payments facilities, including but not limited to operational risk factors such as technology, manpower, alternate site, and service providers,” the BSP said.

These scenarios may include natural disasters such as earthquakes, floods, typhoons, long-term power outages, fire, and technical malfunctions like system downtime and cyberattacks, among others.

Disruptions to operations must be reported to the BSP within an hour of the incident.

BSIs are also required to release statements to the public 15 minutes after an incident occurs.

The financial institutions should regularly update the public until the affected service is restored.

For any scheduled system maintenance activity affecting fund transfers, BSIs should inform the public at least three days prior.

“Participants shall adopt an effective monitoring mechanism to ensure compliance with the provisions stated herein. Respective self-assessment functions must consider review of compliance by concerned business units, and ensure adequate reporting to Board and/or senior management,” the BSP said.

All BSIs will be given one year to comply with the provisions of the circular, if approved.

A violation of any of the requirements set by the circular may lead to suspension of offering new digital financial products and services, revocation of the authority to provide digital services, and/or inability to settle through the real-time gross settlement system operated by the BSP.

Based on BSP data, the combined value of transactions done via the central bank’s automated clearing houses InstaPay and PESONet climbed by 30.1% to P3.8 trillion as of end-April from P2.92 trillion in the same period in 2022.

In terms of volume, total transactions made through the clearing houses grew by 28.5% to 247.77 million in the first four months of the year from 192.83 million in the comparable year-ago period.

PESONet and InstaPay are automated clearing houses launched in December 2015 under the central bank’s NRPS framework.

The BSP wants 50% of total retail transactions done digitally and to bring at least 70% of Filipino adults into the financial system by this year under its Digital Payments Transformation Roadmap.

Rockwell Land maps expansion to provincial areas

ROCKWELL LAND CORP. is expanding its portfolio with the launch of three projects in key geographic locations, officials of the Lopez-led listed property developer said on Wednesday.

“With the promise of growing touch, we will build more communities this year. We are set to launch almost 200 hectares of development in three different cities,” said Rockwell Land President and Chief Executive Officer Nestor J. Padilla during the company’s annual stockholders’ meeting.

One of the projects to be launched this year is a 2.85-hectare mixed-used community in Cebu, Mr. Padilla said.

“In the heart of Cebu, we will launch IPI Center by Rockwell a joint venture with the Wong and Castillo families of International Pharmaceuticals, Inc.,” he added.

The Cebu development will also offer retail spaces for future residents.

The company aims to diversify its product offerings as it expands to key geographic areas, Rockwell Land Executive Vice-President and Chief Revenue Officer Valerie L. Soliven said.

“[We will be] cutting across all markets in the next few years,” Ms. Soliven said. “We are excited to launch three new projects this year in Cebu, Laguna, and Batangas.”

For next year, the company will expand its horizontal portfolio with the addition of the Rockwell brand in Bulacan and in Lian, Batangas, she said.

The company will be launching a 100-hectare horizontal community in Bulacan, which aims to promote wellness living.

“A thriving location north of Metro Manila, we can expect a hillside escape that promotes wellness living,” said Mr. Padilla.

Additionally, Rockwell Land will introduce its first premium horizontal beach community in Batangas, with the first phase of residential lots to be launched by 2024.

The Batangas property is a beach development of about 100 hectares, with 700 meters of coastline and clear waters, spread across two natural coves.

“We hope to provide a new unique living experience for our core market, in a leisure environment just two hours from Manila,” Mr. Padilla said.

During the first quarter, Rockwell Land reported an attributable net income of P600 million, up 14.5% from P524 million in the same period last year.

The company’s top line for the three months rose by 10.3% to P3.65 billion from P3.31 billion the previous year amid higher sales from residential developments, which contributed 73% to total revenues or P2.65 billion.

Rockwell Land is the real estate subsidiary of Lopez-led First Philippine Holdings Corp. Its shares fell by 3.52% or five centavos to finish at P1.37 each on Wednesday. — Adrian H. Halili

PT&T, Netlinkz tie up to offer Starlink products

LOCALLY listed Philippine Telegraph and Telephone Corp. (PT&T) has tied up with an Australian technology firm to bring Starlink products to its customers.

“This strategic partnership aims to empower businesses in remote areas with stable, high-speed internet, unlocking endless possibilities in the digital world,” the company said in a stock market disclosure on Wednesday.

PT&T signed the partnership deal with NetLinkz Ltd. to bring Elon Musk’s Space Exploration Technologies Corp.’s satellite-based internet service to Filipinos.

“We are thrilled to bring Starlink to the Philippines and offer our customers with the need for connectivity with a reliable internet solution,” said James G. Velasquez, president and chief executive officer of PT&T.

“Our partnership with Netlinkz allows us to provide high-speed internet access to areas where traditional broadband services are limited or unavailable,” he added.

Through the partnership, customers in the Philippines may obtain the Starlink kit through direct purchase from PT&T.

Customers who are planning to avail are offered monthly plans with data caps ranging from 50 gigabytes to 6 terabytes with peak download speeds of up to 350 megabytes per second (Mbps) and upload speeds of up to 40Mbps.

“We are proud to partner with PT&T to bring Starlink to the Philippines,” NetLinkz Managing Director and Chief Executive Officer James Tsiolis said.

“This collaboration aligns with our mission to provide innovative and secure network solutions. We are excited to contribute to the digital transformation of the country, empowering Filipinos with advanced internet capabilities,” Mr. Tsiolis added.

On Wednesday, shares in the company closed unchanged at 33 centavos each. — Justine Irish D. Tabile

Bo’s Coffee, Pure Nectar tie up for expansion

By Justine Irish D. Tabile, Reporter

PURE Nectar Co., Inc. is partnering with Bo’s Coffee to roll out juice bars in the latter’s stores in a move that is expected to help the cold-press juice brand reach its 30% growth target for 2023.

“We’re looking at a 20%-30% increase in sales, easily. Easily, because like Steve was mentioning, we will be partners and they have 130 stores,” Pure Nectar President and Chief Executive Officer Alan L. Escalona, referring to Bo’s Coffee Founder, Chairman, and Chief Executive Officer Steve D. Benitez.

“So, if we will be able to sell our products to 30% or 40% of their stores, that’s immediately 50 stores rather than putting up one franchise after the other, which takes time,” Mr. Escalona told BusinessWorld in a recent interview.

The partnership, slated to start this week, will also serve as a new revenue stream for Bo’s Coffee, said Mr. Escalona.

“For them, it’s just an additional revenue. It will start maybe next week,” he said. “Pure Nectar and Fruit Magic now became a juice bar solution to different brands.”

Fruit Magic Co., Inc. is a manufacturing company that specializes in fruit and vegetable preservation.

To date, Pure Nectar has 10 company-owned stores, five franchised stores, and more than 300 brand-to-brand stores.

FRANCHISING TRENDS
Mr. Escalona said franchisees, coming out of the pandemic, are becoming more cautious about where to put their money.

“Last year, people were just starting to pick up, people were still adamant to get or not to get because [the economy] just opened,” Mr. Escalona said. “They were very careful with the little money that they have. They were very careful in getting a franchise and where to locate it.”

“They were very aggressive before, and now they are cautiously aggressive. They want to franchise but some particular parameters should be fulfilled, which is better because the market is now getting more educated with franchising,” he added.

This cautious behavior, however, is seen to also benefit the franchising industry as it might reduce “fly-by-night” franchises.

“Hopefully, because of that mentality, there will be less fly-by-night franchises. We want the industry to really grow and how does it grow? By more successes. If there would be more stories of success, it would be easier to entice people to invest,” he said.

Mr. Escalona also said that more younger people are getting into franchising.

“I think it’s because of the thinking that they want to control their time and that they want to be their own boss,” he said.

However, not all of them have the capital or the investment capacity to buy a franchise.

“What happens is they work first, save and partly get funds from friends and family to open one,” he added.

INDUSTRY OUTLOOK
“The outlook is very good. It is because franchising has an 80%-90% chance of winning or of success,” Mr. Escalona said.

The reason behind this is that the systems and the brand already exist. An investor will just need to duplicate it.

“So the success rate is very high, so [the industry] is just going to thrive,” he said.

Mr. Escalona also said many businesses that never used franchises before are now open to it or at least part of its concept

“The word franchise nowadays is being applied to almost all types of business. It may not be exact, but a portion of the franchising system is being done in different aspects now of businesses. Those businesses that we thought could not be franchised, are now being franchised,” he said.

Repower Energy secures DoE nod for 200-MW wind projects

REPOWER Energy Development Corp. has secured clearance from the Department of Energy (DoE) to develop its 200-megawatt (MW) wind energy projects in Quezon province.

“We are pleased to expand our energy portfolio beyond run-of-the-river hydropower plants as it would allow us to contribute more towards our nation’s sustainability goals,” Eric Peter Y. Roxas, president and chief executive officer of Repower Energy, said in a media release on Wednesday.

The energy company said the development will cover two wind energy service contracts, which it said is in line with its ambition to provide clean energy to rural communities without electricity.

“Our wind farms will be built within the vicinity of our hydropower plants. This will allow us to maximize synergies in our operations and logistics, and tap into the transmission lines, switchyard, access roads and other infrastructure developments we own and are already built,” Mr. Roxas said.

Repower Energy said the projects will cover about 2,592 hectares of land for the Silang Maragondon wind farm and around 2,025 hectares for the Pandan Labayat wind farm.

“The wind farms are also strategically located as they are facing the Pacific Ocean, allowing us to fully harness the sea breeze,” Mr. Roxas said.

Repower Energy is aiming to expand its installed energy capacity by 1 gigawatt in the next five years. The company’s energy portfolio is focused on hydropower projects.

The energy company, which is a subsidiary of Pure Energy Holdings Corp., has recently signed a memorandum of agreement with Austria-based Gugler Water Turbines GMBH to develop seawater pumped storage projects in the Philippines.

It plans to list on the Philippine Stock Exchange tentatively on July 24. — Ashley Erika O. Jose

All in the family

RESTAURANT takeover at the Lakehall

After luxury retail, the Tantocos try their hands at events and hospitality at Lakehall and Nena’s Sanctuary

THE TANTOCO FAMILY — best known for their retail business — is dipping their toes into events and other new countryside ventures at their Sta. Elena Golf and Country Estate in Sta. Rosa, Laguna.

On June 10, media guests were welcomed to lunch by the family at Lakehall, a new events space in Nena’s Sanctuary, an area within the Sta. Elena estate. Nena’s Sanctuary was named after Marina Vargas-Tantoco, wife of Bienvenido “Rico” Tantoco, Jr., in turn the son of the late Rustan’s founders Bienvenido and Gliceria Tantoco.

Lakehall boasts of a function hall that can be broken up into three (all of them named after flowers: Iris, Dahlia, and Peony) and can fit 300 to 350 people. Gardens outside, as well as a terrace, can seat up to 500 guests, with the artificial lake serving as a centerpiece. The whole of Lakehall, enveloped within concrete walls made to mimic rammed earth, has an interior decorated with bas-relief flowers (from House of Precast) and palm frond chandeliers (by Venzon Lighting). It was designed with the collaboration of Cardy Papa Design Studio, architect Bong Recio, and the interiors done by Cyndi Fernandez.

The whole of Lakehall measures 1,859.91 sq.m., a fraction of the size of Nena’s Sanctuary (at 28,000 sq.m.). By comparison, the entire Sta. Elena estate measures 150 hectares, acquired by Mr. Tantoco, Jr. in the 1980s. A part of the sugar hacienda of the Yulo-Quiros family, this was transformed into a golf course designed by Robert Trent Jones, Jr. The golf course around which luxury villages were built has been included in the list of the 100 Best Golf Courses Outside the United States by Golf Digest Magazine (in 2005-2006, and then again in 2009-2010).

It is also a certified bird sanctuary by the Audubon Society.

During our tour, Lakehall was hosting several merchants who had set up shop for a fair running up to July 2. These merchants include Dough & Grocer (for rare food finds; including chocolates from France), Type A Coffee, Recess, Hindy Weber (boho-chic clothing), and Fifty Shades of Dough. Among the merchants is a flower shop managed by Marina “Nena” Tantoco, according to her twin granddaughters, Nicole Tantoco de los Reyes and Camille Tantoco Ng (daughters of Rustan Commercial Corp. President Bienvenido “Donnie” Tantoco III and his wife Crickette).

Crickette Tantoco is the President of Lakehall. She said in a statement, “We want to create modern amenities without breaking the experience of nature; offering contemporary spaces nestled in nature. We are an events hall that you can book as a venue for your milestone celebrations such as weddings, birthdays, anniversaries, baptisms, and even corporate conventions. But we are also a curator of experiences, and we help you realize your vision for your dream event.”

The flower shop is about to become a seed of bigger things to come from Nena’s Sanctuary. This year, they’re opening a new restaurant, Rico’s Cafe, by the lake, which will serve Filipino comfort food made fancy (if we’re judging by the kare-kare that we had last Saturday, which featured pechay leaves rolled up like rosebuds). Further planned developments include a garden center, a flower shop, a home decor store, and more retail concepts. “Nena’s Sanctuary is going to be a lifestyle destination,” Ms. Tantoco de los Reyes, who sits as Lakehall Creative Office Marketing Specialist, said in an interview.

Another merchant at last weekend’s fair was Joel’s Place, selling everything from hard-to-find snacks to skincare brands not yet in the country. Joel’s Place is a new grocery concept by this branch of the Tantocos, marking the return of the family to that industry after their Shopwise and Marketplace stores were acquired by the Gokongwei family’s Robinsons Retail Holdings, Inc. in 2018. The Joel’s Place brand is named after Donnie Tantoco’s late brother Jose Luis, who died in 2007. The first branch will be put up in Rockwell. “It’s going to be a playground for discovering all kinds of food,” said Ms. Tantoco de los Reyes, who said that the concept will combine a grocery and a restaurant.

As leaders in the country’s luxury retail scene (the Rustan’s group holds the franchise and distribution deals for many of the world’s top luxury brands in the country), one may wonder what this background can bring to these new ventures. “My parents bring their experiences with retail and working in luxury into the events space. Whatever they pursue, they don’t want to do it in a conventional way,” she said. “We’ve never done events before. Events, and hospitality, and restaurants, that’s completely new to us. We’re experimenting with that. We’re learning this business, and if it takes off, we might create more destinations.”

Lakehall at Nena’s Sanctuary is located at Txokolate Road, Sta. Elena Golf and Country Estate, Sta. Rosa, Laguna. For inquiries write to inquiry@nenasanctuary.com or call 0998-964-3181. — Joseph L. Garcia

GSIS, Philippine Plaza Holdings expand lease contract coverage

GOVERNMENT Service Insurance System (GSIS) and Philippine Plaza Holdings, Inc. (PPHI) have amended their lease contract to include complementary lots to the leased hotel land site where the firm does business as Sofitel Philippine Plaza Manila, the state pension fund said on Wednesday.

“Sofitel hotel’s success is intrinsically linked to GSIS, as its income will be drawn from the hotel’s revenue. By safeguarding GSIS’s assets and generating income from these, we can assure our members and pensioners that their benefits will be provided when due,” GSIS President and General Manager Jose Arnulfo A. Veloso said in a media release.

Their existing contract of lease was forged on June 26, 2016 and will be valid until June 26, 2041 to ensure the hotel’s operations on the prime land in the Pasay City area. It was originally signed in 1991.

The amended contract has been expanded to cover the building’s site and Lots 19 and 41, GSIS said, adding that the move “reflects the commitment of both parties to the hotel’s continuous growth and the flourishing local tourism sector.”

Under the new agreement, all permanent improvements introduced by PPHI on the building land site and complementary lots will be transferred to GSIS at the end of the lease period or in the case of early cancellation.

In accordance with the arbitration rules of the Philippine Dispute Resolution Center, Inc., the contract now includes a dispute resolution clause that outlines “a path towards resolution through negotiation, mediation, or arbitration.” 

All alterations or improvements to the premises now also require prior written consent from GSIS, as both parties agreed to treat the entire area as one indivisible unit.

GSIS said Mr. Veloso and PPHI President Esteban G. Peña Sy have committed to upholding the terms and conditions of the contract to ensure the luxury hotel’s continued success. — Aaron Michael C. Sy

Impressions of VinExpo Asia Singapore

THE MARINA Bay Sands Exhibition Hall in Level 2

VinExpo Asia has been in hibernation since its last staging in Hong Kong from May 29-31, 2018, which I had attended. The reason for the four-year absence was the COVID-19 pandemic — 2020 VinExpo Asia could not take place due to the pandemic, and the 2022 edition was canceled because of the strict rules imposed by the Hong Kong government, including the unpopular mandatory one-week hotel quarantine for arriving travelers which would affect exhibitors and visitors attending the VinExpo event.

All this prompted VinExpo Asia to move to Southeast Asia and they chose Singapore to host the region’s largest bi-annual wine and spirits event.

Singapore was a great choice, as it had, in 2018, already staged ProWine (changed from its original spelling of Prowein, this is an annual global wine show held in Düsseldorf, Germany since the 1990s). German based event organizer Prowein is the French-run VinExpo’s only competition when it comes to international wine and spirits events. Singapore hosted ProWine again in 2022 and a 3rd time this year from April 25-28, just a month ahead of VinExpo Singapore.

ABOUT VINEXPO
VinExpo actually started in 1981 in Bordeaux, France. Bordeaux is still considered the world’s preeminent wine-growing region by far. The concept from the onset was to create a wine and spirits fair in an international stage for the industry professionals — purely a trade show that connects wine and spirits producers who would be the exhibitors, to buyers and media people, who would be the visitors.

VinExpo is certainly not the oldest wine and spirits fair in the world. VinItaly, Italy’s version, started as early as1967, while the London Wine Fair started in 1980, still ahead of VinExpo.

Personally, I still feel ProWein in Düsseldorf is probably the best international wine event, as it has a more ‘neutral feel’ given that Bordeaux and France always cast a huge shadow on wine events, given their strong wine reputation worldwide.

The VinExpo strength however is in Asia, which began with their first staging of VinExpo Asia Pacific in Hong Kong in 1998, and bi-annually on even years since then, with exception of 2004, and the pandemic years. The 1998 expo was a pioneering fair that helped unlock the vast potential of liquor products in Asia.

VinExpo currently runs regular wine fairs in six locations: Bordeaux, Hong Kong, New York, Tokyo, Shanghai, Paris and has now added a seventh location in Singapore. The organizers already announced a follow-up VinExpo Singapore, scheduled for 2025, while also keeping VinExpo Hong Kong next year, scheduled from May 28- 30, 2024.

I really do not know if making VinExpo Asia an annual event is a good idea, but VinExpo certainly does not want to lose out to ProWine Asia.

Thus far, I have attended eight of the 11 VinExpo Asia fairs since 1998.

A TOUGH ACT TO FOLLOW
It was almost unfair to compare this year’s VinExpo Singapore to the last VinExpo Hong Kong of 2018. For one, the VinExpo Hong Kong was a pre-COVID pandemic event and Singapore was more like a last-minute replacement for Hong Kong.

In fact, Hong Kong was still supposed to be the original location this year, with Feb. 23-25 being the dates, also at the same HK Convention & Exhibition Center (HKCEC). But with so much uncertainty waiting for Hong Kong to lift their strict quarantine and self-isolation rules for visitors, the VinExpo organizer had to choose another country to host this event, otherwise postponement after postponement might just drive stakeholders, especially exhibitors, away.

That was why VinExpo Asia was moved to Singapore. This also happens to be the first odd-numbered year to have a VinExpo Asia since its start in 1998.

Hong Kong eventually lifted the quarantine rules on travelers last April — a bit too late to salvage what could have been VinExpo Hong Kong this year.

The last VinExpo Asia Hong Kong in 2018 was able to receive attract 17,500 visitors, with a record high 1,465 exhibitors against the more modest numbers registered in this year’s VinExpo Asia Singapore of slightly less than 10,000 visitors (the exact number being 9,989) and 1,000 exhibitors. Both numbers were substantial declines from the last VinExpo Asia: -43% and -32% respectively vs 2018 figures.

But one area where VinExpo Singapore exceeded the last VinExpo Hong Kong was that visitors in Singapore came from 64 countries, 14 countries or 28% more than the 50 countries registered in the 2018 VinExpo Asia.

SMALLER IN SCALE BUT NICER VENUE
From the initial eye test, VinExpo Asia Singapore already looked smaller than its Hong Kong counterpart. The queueing to get the expo badge alone took longer than at Hong Kong, but it was still very Singapore-like, meaning very organized, orderly, and efficient — it just took longer because of smaller registration space, and not for any other reason.

The Marina Bay Sands also offered better charm and style points than the HKCEC. The Marina Bay Sands is already a landmark in Singapore since its opening in 2010, with its unique architecture of three high-rise buildings with a huge boat-shaped structure on top. Alongside the Supertree Grove of the Gardens by the Bay and the Merlion from the Merlion Park, the Marina Bay Sands backdrop is among the most photographed sights in social media by visitors to Singapore.

While all exhibition centers look the same from the inside — with high ceilings, huge spaces, and necessary amenities like toilets and trash bins — this exhibition center just happened to be housed inside the luxurious Marina Bay Sands complex, with dining and shopping galore, plus much more.

The dining part is quite important. In Hong Kong, there are a limited number of restaurants within the HKCEC so going for lunch was always a challenge. At Marina Bay Sands, even the Food Court is already quite a foodie’s treat.

But with regards taxi queues — it was as bad as Hong Kong. While both exhibition centers, HKCEC and Marina Bay Sands, have easy access to their respective MRT, if you are tired and especially sweaty (the minute you get out of the venue, its back to humid and uncomfortable heat) you want to take a taxi and get back to your hotel to shower and relax.

This was also the first time in Singapore, after over 30 years of visiting, that I encountered taxi drivers refusing passengers. We took a taxi that was contracting his service for S$20 for an Orchard Road hotel trip fare that was usually just S$8. I thought this was a nefarious Manila taxi scheme only — but it did happen in Singapore, even if there were so many signs in every taxi queue station that say it is illegal to contract fares.

Singapore is nearly at par with Hong Kong as far as hotel accommodation and food costs are concern.

QUALITATIVE OVER QUANTITATIVE?
VinExpo Asia Singapore had one floor dedicated to the exhibitors at Level 2, while all symposiums, seminars, master classes and special tastings were done at the Basement 2. In HKCEC, there were at least two floors dedicated to the exhibitors, one floor for all of the countries, and another floor for the French Pavilion which featured only French wineries.

While several of top wine countries were well represented this year in Singapore, with France, Italy, Australia, the USA and Spain rounding up the top five wine producing countries, several countries were less visible, like New Zealand and South Africa to name a few.

The Top 5 countries that visitors came from according to VinExpo were home-based Singapore, China (surprisingly it had the second largest contingent), neighbor Malaysia, Thailand, and Vietnam. I believed the Philippines also had a big contingent as I saw several wine industry colleagues from Manila.

Like all previous VinExpos, seminars and tastings were very key for visitors. This year, I attended only two tastings: the Union of Grand Crus of Bordeaux (UGCB) featuring the very good 2020 vintage, and the Tre Bicchieri tasting event. Tre Bicchieri — which means three glasses — is the highest wine rating given by Italian food and wine magazine Gambero Rosso.

The UGBC tasting was amazing, with several topnotch 2020 Bordeaux including those from Chateau Lascombes, Chateau Cantenac-Brown, Chateau Kirwan, Chateau Lagrange, Chateau Leoville-Barton, and Chateau Guiraud. The Tre Bicchieri tasting was, however, not as impressive as I was expecting it to be. Visibly missing were Barolo and Barbaresco wines, which are my favorites from Italy.

According to several people I spoke to, especially exhibitors I know personally, the three-day event was very productive, and the quality of visitors was better than at previous VinExpo events. The meetings, according to my sources, were done with key decision makers from the import companies, including owners or CEOs themselves.

Overall, this fair was not as busy as I thought it would be, but if the exhibitors were happy, that mattered the most.

I am looking forward to more VinExo Asia to come, whether it be Hong Kong or Singapore. I will write about my wine discoveries from this VinExpo in my future wine column.

 

The author is the first Filipino wine writer member of both Bordeaux-based Federation Internationale des Journalists et Ecrivains du Vin et des Spiritueux (FIJEV) and the UK-based Circle of Wine Writers (CWW). For comments, inquiries, wine event coverage, wine consultancy and other wine related concerns, e-mail the author at wineprotege@gmail.com, or check his wine training website https://thewinetrainingcamp.wordpress.com/services.

AGI extends share buyback plan, allots P2 billion more

ALLIANCE Global Group, Inc. (AGI) has allocated another P2 billion for the extension of its share buyback program to reach a total of P9 billion, it said on Wednesday.

In a regulatory filing, the company said its board of directors had approved extending its buyback program up to April 2025 or an additional 12 months from the original ending date of April 8, 2024.

The Tan-led firm said the objectives of the program’s extension remain the same — similar to its term set in October 2021 and extension in December 2022.

“The extension and the increase in the allocated amount are still geared towards enhancing shareholder value,” the company said.

The company’s share buyback program was initially set in 2021, earmarking an initial P4 billion for AGI’s common shares. It was extended in December last year with an additional allocation of P3 billion.

To date, Alliance Global has already bought back 596.85-million common shares which are valued at about P6.93 billion of the total P7 billion initially earmarked before the new extension.

AGI is engaged in property development, food and beverage manufacturing and distribution, quick service restaurants, and integrated tourism development.

The company’s subsidiaries are Emperador Inc., Megaworld Corp., Travellers International Hotel Group, Inc., Golden Arches Development Corp., and Infracorp Development, Inc.

AGI dropped 1.34% or 18 centavos, closing at P13.30 per share on Wednesday. — Adrian H. Halili

Delivery app Pick.A.Roo adds personalized recommendations

LIFESTYLE delivery app Pick.A.Roo now uses advanced machine learning and artificial intelligence capabilities to give its consumers a convenient, stress-free experience.

Pick.A.Roo, under Megaworld Corp.’s subsidiary Agile Digital Ventures, Inc., has partnered with Amazon Web Services (AWS) to make the app more user-friendly and tailor-fit to every customer.

“By utilizing the power of AWS’s cutting-edge technologies, we are committed to offering personalized recommendations and curated selections that cater to each individual’s unique tastes and preferences,” said Eric Bataga, Pick.A.Roo chief executive officer, in an e-mailed statement.

“Our goal is to help urban consumers transition to the next normal with ease, convenience, and peace of mind,” he added.

The app’s colorful yet neat interface allows customers to order groceries from supermarkets like Shopwise, S&R, The Marketplace, Landmark, AllDay, Robinsons Supermarket, MerryMart, and UltraMega Grocery.

Restaurants and food groups such as Max’s and Dencio’s from the Max’s Group; Italianni’s, TGIF, and Denny’s from The Bistro Group; and Tim Ho Wan and Mesa from Foodee Global Concepts are also available.

Even food from hotels like Shangri-la Hotel can be found on the app, among more affordable options like McDonald’s, S&R Pizza, and Shakey’s Pizza. There’s a wide variety to choose from.

Joan Estacio, chief operating officer of Pick.A.Roo, added that the partnership with AWS drives “higher engagement rates, revenue growth, and enduring brand loyalty.”

“By combining AWS’ powerful infrastructure and Pick.A.Roo’s customer-centric focus, we are confident that our joint efforts will deliver exceptional outcomes,” she said in a statement.

Ordering groceries from a store automatically registers as data for the app to suggest where else to get similar items. Afterwards, it will keep the store as a “favorite” on one’s home page for easy access next time.

Pick.A.Roo also shows the bestsellers for that week, whether it’s ballpoint pens and boxes of paper clips from Office Warehouse or bags of Tostitos and pizza combos from S&R. Browsing through the various stores and items becomes fun and convenient (albeit a time-consuming and expensive hobby) — a testament to the friendliness of the app.

The Pick.A.Roo team said that the top categories are usually pantry essentials, fresh meat and seafood, and housekeeping and cleaning items. — Brontë H. Lacsamana

1...4,7294,7304,731...14,244Page 4,730 of 14,244
ADVERTISEMENT
ADVERTISEMENT
© 2024 BusinessWorld Publishing.
All rights reserved.
Read our privacy guidelines
Facebook Instagram Linkedin X Youtube