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India push for ethanol-mixed fuel sparks backlash from motorists

PHILIPPINE STAR/KRIZ JOHN ROSALES

NEW DELHI/LUCKNOW — The Indian government is facing a backlash from motorists after the nationwide rollout of fuel blended with 20% ethanol, amid fears — stoked by a lack of clarity from some automakers — that it may affect the performance of particularly older vehicles.

India, the world’s third largest car market, set a 2025 target years ago for 20% ethanol blending in fuel, called E20, as part of Prime Minister Narendra Modi’s focus on clean energy.

But in recent weeks it has become the only choice at nearly all of the country’s 90,000 fuel stations. Older blends, like E5 and E10, typically seen as more compatible with old cars, have mostly been removed, leaving drivers with just one choice.

The government says E20 lowers carbon emissions, but has conceded in press statements addressing consumer worries that there could be a “marginal” hit on fuel efficiency of old cars.

Automakers, already battling slower sales and shortages of rare-earth magnets, have provided mixed guidance, adding to consumer anger over the lack of choice. Public interest litigation against the move will be heard in the Supreme Court on Monday.

Two fuel station managers in the northern city of Lucknow told Reuters that drivers were getting so angry that some stations had stopped providing information about the change.

“People hurl abuse at us. We then decided to not tell people about it,” said one manager, Ramesh Pandey.

The ministries of petroleum and road transport did not respond to requests for comment.

“India’s ethanol journey is unstoppable,” petroleum minister Hardeep Singh Puri said on Aug. 8, adding that “some lobbies with vested interests are actively attempting to create confusion.”

Days later, Mr. Puri’s ministry said, “in case of certain older vehicles, some rubber parts and gaskets may require replacement” calling it a “simple process.”

Automakers are racing to assuage concerns, but there is little clarity on the future of old cars in particular.

Skoda has issued an FAQ on its website saying that components of its cars sold in India before April 2020 “are not evaluated” for E20. In a statement to Reuters on Friday, it said vehicles sold after that date were “fully material-compatible,” without explaining what happens to older cars.

Toyota said in a statement that “a modest variation” in fuel economy in its cars was likely with E20.

On Monday, Renault told tech consultant Ankur Thakur, 28, via e-mail that his 2022 Renault Triber had “not been tested” for E20 and it was “not advisable” to use the fuel.

He posted the screenshot of the e-mail on X, which went viral and attracted more than 700,000 views. Renault then told Mr. Thakur — and Reuters in a statement on Friday — that based on government tests E20 poses “no serious challenges” for old cars.

Mr. Thakur, unconvinced, is now using a pricey no-ethanol fuel still available at select pumps. “Just give me the right fuel my car was originally made for,” he told Reuters.

A Reuters review of a fuel tank flap and user manual of an Audi Q3 purchased last year in India showed it recommended only E5 and E10 fuel.

The fuel tank of a 2024 Mahindra Scorpio was pasted with a warning sticker: “CAUTION. PETROL/E10 FUEL ONLY.”

Mahindra and Audi did not respond to Reuters queries. — Reuters

ERC approves Meralco, First Gen power supply deal extension until 2026

PHILIPPINE STAR/JESSE BUSTOS

THE ENERGY Regulatory Commission (ERC) has approved the request of Manila Electric Co. (Meralco) and a unit of First Gen Corp. to continue procuring power supply from a 1,000-megawatt (MW) gas-fired power plant in Batangas until Jan. 31, 2026.

In an order dated Aug. 27, the ERC authorized the implementation of the interim extension of the power purchase agreement (PPA) between Meralco and First Gas Power Corp. (FGPC) for the dispatch from the latter’s Sta. Rita power plant.

The application was approved a day before the expiration of the PPA.

First Gen owns and operates four gas-fired power plants with a combined capacity of 2,017 MW located in Batangas. FGPC, a subsidiary of First Gas Holdings Corp., supplies electricity from the Sta. Rita plant to Meralco under a 25-year PPA.

The companies earlier filed a motion with the ERC to extend the PPA, as FGPC said it would likely be constrained to shut down the power plant due to loss of offtake.

Should the shutdown happen, they said this may further limit the availability of generation capacity and result in yellow/red alerts to the grid that will “inevitably impact Meralco’s customers.”

In its simulation, Meralco forecast that the interim extension of the PPA would result in an increase in blended generation costs of between P0.4117 per kilowatt-hour (kWh) and P0.5093 per kWh in the next three months.

The ERC also directed the Independent Electricity Market Operator of the Philippines (IEMOP), the operator of the Wholesale Electricity Spot Market (WESM), to simulate potential rate increases that would occur in the WESM if the Sta. Rita power plant, along with other natural gas plants, were to operate as merchant plants.

Based on IEMOP’s simulations, spot market prices could increase to as high as P6.23 per kWh with the Sta. Rita power plant operating as a merchant plant compared to operating with a PPA.

In its explanation, the ERC said that although the motion would affect Meralco’s generation charge, there are still “other equally compelling and urgent reasons that justify the proposed extension.”

“The rate consequences would be significantly more severe than the estimated increase in the generation charges calculated by Meralco for the affected months,” the ERC said.

In approving the extension, the ERC ordered that the dispatch of FGPC’s Sta. Rita plant should be at its minimum level only.

“Nevertheless, the Commission remains cognizant of the difficulties imposed on Meralco’s consumers in the pursuit of energy security for the entire power system,” the ERC said.

In exercising its rate-making authority, the regulator said it is compelled to approve a pass-through rate for the Sta. Rita plant’s supply to Meralco under the interim extension.

The rates are equivalent to the previously approved rates but based on an 83% plant capacity factor.

The ERC said that Meralco must manage its electricity purchases in a manner that ensures the least-cost supply to its captive market.

Meralco’s controlling stakeholder, Beacon Electric Asset Holdings, Inc., is partly owned by PLDT Inc.

Hastings Holdings, Inc., a unit of PLDT Beneficial Trust Fund subsidiary MediaQuest Holdings, Inc., has an interest in BusinessWorld through the Philippine Star Group, which it controls. — Sheldeen Joy Talavera

GWM PHL targets sales growth with key hires

GWM Philippines Sales Director Jude Racadio (left) with GWM Philippines Deputy Director for Training and Product Planning Vincent Marquez — PHOTO FROM GWM PHILIPPINES

LUXURIANT AUTOMOTIVE Group, Inc. (LAGI), the official importer and distributor of GWM vehicles in the Philippines, announced the recent appointment of two “seasoned automotive professionals” to its growing leadership team. This strategic move underscores the company’s commitment to strengthening its market presence and to further gear up for “an exciting second half of 2025 and beyond.”

Jude Racadio joins GWM Philippines as its sales director. With “an extensive career in the automotive industry,” Mr. Racadio brings with him expertise in manufacturing, parts planning, inspection processes, and sales and marketing. From starting as a production manager to eventually becoming a national sales director in his previous role, his career trajectory “exemplifies dedication and leadership.” At GWM, he will be leading sales operations and dealer development efforts to drive sustainable growth and competitiveness in the market.

Meanwhile, Vincent Marquez steps in as deputy director for training and product planning. Previously serving as a senior training manager, Mr. Marquez is “highly regarded for his deep experience in designing and executing training programs focused on product knowledge and sales for automotive dealerships.” He is expected to play a vital role in shaping GWM Philippines’ training and product planning strategies, ensuring that both dealers and customers benefit from enhanced product awareness and service excellence.

“These appointments mark another step forward for GWM Philippines as we continue to build a strong and capable team,” said GWM Philippines Brand Head and Marketing Director Dax Avenido.

“Both Jude and Vincent bring valuable industry knowledge and proven track records that will help us accelerate our growth and reinforce our commitment to delivering world-class vehicles and customer experiences to the Filipino market.”

Yields on government debt end mostly lower amid ‘less dovish’ BSP guidance

YIELDS on government securities (GS) traded at the secondary market closed mostly lower last week in anticipation of the Bangko Sentral ng Pilipinas’ (BSP) third straight rate cut, although its less dovish tone after the policy decision led to some profit taking before the weekend.

GS yields, which move opposite to prices, declined by an average of 3.57 basis points (bps) week on week, based on the PHP Bloomberg Valuation Service Reference Rates published on the Philippine Dealing System’s website on Friday.

At the short end, yields ended lower across all tenors, with the 91-, 182-, and 364-day Treasury bills (T-bills) declining by 2.57 bps, 9.09 bps, and 6.28 bps week on week to fetch 5.2321%, 5.3921%, and 5.5357%, respectively.

At the belly, rates of the two-, three-, four-, five-, and seven-year Treasury bonds (T-bonds) likewise dropped by 5.42 bps (to 5.6198%), 5.11 bps (5.6908%), 4.22 bps (5.7526%), 3.34 bps (5.8095%), and 2.1 bps (5.9011%), respectively.

Meanwhile, the long end was mixed as yields on the 20- and 25-year debt dropped by 1.3 bps to 6.3384% and 1.41 bps to 6.3368%, respectively, while the rate of the 10-year tenor inched up by 1.6 bps to 6.016%.

“The BSP’s third rate cut of the year was widely expected, though the accompanying statement was less dovish than anticipated. While the strong bond issuance initially pushed rates lower, the market quickly refocused on the policy decision, which overshadowed the effects of auction demand and led to curve steepening — with liquidity anchoring the front end, and profit taking pushing yields higher in the belly and long end,” Lodevico M. Ulpo, Jr., vice-president

and head of fixed income strategies at ATRAM Trust Corp., said in a Viber message.

“Yield curve dynamics remained primarily influenced by the BSP’s policy decision and forward guidance, along with liquidity-driven demand-supply conditions in auctions and secondary trading.”

Security Bank Vice-President and Head of Fixed Income Dino Angelo C. Aquino said in an e-mail that the market interpreted BSP Governor Eli M. Remolona, Jr.’s forward guidance after their latest policy decision as “somewhat hawkish,” which caused yields to go up slightly on Friday after declining early in the week following the bond auction.

On Wednesday, the Bureau of the Treasury made a full P35-billion award of its dual-tranche T-bond offer.

On Thursday, the Monetary Board delivered its third consecutive 25-bp cut this year to bring the target reverse repurchase rate to 5%. The BSP has now slashed benchmark borrowing costs by a total of 150 bps since the start of its easing cycle in August 2024.

Mr. Remolona said after the meeting that the latest move puts the policy rate at a “sweet spot” in terms of both inflation and output, signaling that the BSP is nearing the end of its rate-cut cycle. Still, he left the door open to one last reduction within this year to support the economy if needed.

In the near term, Mr. Ulpo said GS yield movements will likely be driven by the BTr’s auctions and policy hints from the BSP.

“While liquidity remains supportive, the BSP’s less dovish stance suggests policy easing may be nearing its limit. This could temper demand for duration and keep investors more defensive on the medium- to long-end,” he said. “We see the yield curve shifting up further as the market prices in upcoming bond supply, with monetary policy likely on hold for the rest of the year.”

Mr. Aquino added that besides the August Philippine inflation report on Friday, the market will also monitor key releases from the United States that could affect the Federal Reserve’s next policy decision, including the latest jobs data. — Matthew Miguel L. Castillo

Style (09/01/25)

Fendi unveils centennial high jewelry collection

IN CELEBRATION of its centenary, Fendi introduces Eaux d’Artifice, the 2025 High Jewelry collection designed by Delfina Delettrez Fendi. Drawing inspiration from Rome’s fountains and their interplay of water, light, and stone, the collection pays tribute to the eternal city’s beauty and grandeur. Crafted in the Fendi high jewelry ateliers in Paris, the collection features three parures, three statement cocktail rings, and the one-of-a-kind centennial necklace. At its heart is the Eaux d’Artifice centennial necklace, set with a 20.25-carat Fancy Vivid Flawless Yellow diamond. Surrounded by a cascade of round and baguette-cut white diamonds, the design mirrors the arcs of a fountain in motion, with 100 pear-shaped yellow diamonds symbolizing each year of FENDI’s history. The collection continues its exploration of liquid symmetry with the Cento set, showcasing sapphires and diamonds in rippling, fluid forms; the Ovato bracelet and ring, highlighting luminous Santa Maria aquamarines; and the Fortuna set, a helix-inspired design brought to life with cushion-cut rubies and flowing diamond curls. Completing the collection is a trio of radiant cocktail rings — Alba, Carmina, and Esperidi — that reinterpret the glow of Roman sunsets in bold, sculptural color harmonies.

Young designers introduce sustainable bridal collection

THE YOUNG design innovators behind the circular social enterprise REPAMANA have introduced a sustainable solution to single-use bridal wear. Tagged as United in REPAMANA, the collection was first launched at the Singapore Fashion Council Gala. The startup served as the lone Philippine representative following a special invitation from the Philippine Fashion Coalition. REPAMANA was founded in 2023 by entrepreneurs and De La Salle-College of Saint Benilde (DLS-CSB) Fashion Design and Merchandising (FDM) graduates Dars Juson and Allesandra Gutierrez, together with Benilde Multimedia Arts (MMA) talent Earl Marquez. Motivated by their shared mission to help address the environmental issue on textile waste, they teamed up to repurpose discarded hotel textiles into diverse products, from ready-to-wear garments to stylish accessories. Presently, the young innovators have already diverted over 200 kilos of bedsheets from landfills and have upcycled over 75 kilos of textile waste into contemporary pieces. “United in REPAMANA explores an unconventional bridal concept and challenges traditional wedding norms,” they explained in a press statement. The three-p[iece collection plays with the demi-couture category, which bridges the gap between ready-to-wear (RTW) and haute couture and channels an intricate relationship between draping and patchwork. The first features the iconic Filipiniana butterfly sleeves with a structured “kum-ot,” an original surface design technique featuring irregular pleats and ripples that look like waves, folds, or topographic landscapes.” The second piece, which was co-created with fashion designer and fellow Benilde FDM homegrown alum Fred Leysa, fuses dressmaking and tailoring elements. The last look is “an epitome of wedding dresses” that “marries elegance and chaos.” For more information, visit instagram.com/repamana.

Heritage and innovation at trade show

CLASSIC CHARACTERS INC., creator of the Canadian, Lifestyle, and Modern Linen lines, and New Creation Manufacturing, a homegrown leader in baby, children’s, and ladies’ apparel, held their annual tradeshow entitled “Legacy and Dreams” held at the Sheraton Manila Hotel in Pasay City this month. Now in its 17th year, the two-day event brought together over six decades of heritage, design innovation, and sustainable manufacturing in its showcase. Top institutional and commercial clients explored an expansive portfolio ranging from luxurious hotel-grade linens, towels, and pillows to certified babywear, ladieswear, and pet clothing. Through interactive booths, guests examined the intricate weave of premium linens, tested pillows designed for every type of sleeper, explored elegant yet durable institutional linens for hotels and hospitals, and checked out the germ-resistant babywear displayed in a dollhouse-inspired setup. In recent years, the group has accelerated its shift toward sustainable manufacturing—upgrading facilities to run on solar power, introducing eco-friendly collections made from Organic, Bamboo, and Tencel fabrics, and having its products OEKO-TEX certified to ensure products are tested safe from harmful substances. The reintroduction of Hello Dolly’s Sanitized babywear line further reinforces its commitment to health and hygiene, providing antimicrobial protection for infants’ clothing. Learn more at newcreation72.com and lifestylebycanadian.com.

Partnership for health equity

STOCK PHOTO | Image by from Freepik

Health is a fundamental human right. Everyone should have a fair opportunity to attain their highest level of health, regardless of social, economic, geographic, or demographic circumstances. This vision is at the core of universal healthcare (UHC), and it is why the research-based pharmaceutical industry remains committed to leveraging innovation to advance health equity.

Three foundational elements anchor this commitment: strengthening primary healthcare, ensuring sustainable financing, and promoting multi-stakeholder partnerships. In the Philippines, the PHAPCares Foundation, the social responsibility arm of the Pharmaceutical and Healthcare Association of the Philippines (PHAP), works closely with member companies to turn these priorities into action. One shining example is its collaboration with Boehringer Ingelheim, whose programs have become models of how industry can help reduce inequities and improve access to care.

“Partnerships are the cornerstone of sustainable impact. Our collaboration with the PHAPCares Foundation exemplifies how collective action can drive meaningful change in public health and social development. Through this alliance, we’ve been able to align our corporate social responsibility goals with broader national priorities — extending our reach, deepening our engagement, and ensuring that our initiatives are both responsive and relevant,” said Dr. Bin Wang, General Manager of Boehringer Ingelheim Philippines.

For Boehringer Ingelheim, corporate social responsibility is not peripheral; it is a direct expression of their purpose: Transforming Lives for Generations. Guided by its Sustainable Development for Generations (SD4G) framework, the company aligns its initiatives with the United Nations Sustainable Development Goals. Of its three pillars, “More Health” stands out for expanding access to healthcare and preventive solutions, particularly in underserved communities.

Among Boehringer Ingelheim’s flagship programs is the Angels Initiative, dedicated to transforming stroke care nationwide. Stroke and other cerebrovascular diseases were the third leading cause of death in the Philippines in 2024, claiming nearly 60,000 lives or around 10% of all recorded deaths.

To address this urgent challenge, the Angels Initiative partnered with the Stroke Society of the Philippines (SSP) and other stakeholders to increase the number of stroke-ready hospitals and train and build the capacity of healthcare professionals in stroke management. Also among the initiative’s objectives are to strengthen emergency medical services and acute stroke networks and raise public awareness of stroke prevention and timely response.

The PHAPCares Foundation earlier recognized the Angels Initiative with a Seal of Excellence in Sustainability and Innovation, citing its transformative approach to bridging gaps in stroke care. The Seal was adjudged by representatives from the Department of Health and the Philippine Medical Association.

The program leverages hospital consultancy, digital training tools, and real-time maps of thrombolysis-ready facilities to accelerate treatment. Its structured approach, through five pillars namely consultancy, knowledge, standardization, quality monitoring, and community engagement has delivered measurable improvements.

With the collaboration, 66 hospitals have been certified as Acute Stroke Ready Hospitals (ASRHs), ensuring timely, evidence-based treatment for patients.

Relatedly, the initiative launched a Center of Excellence Award to honor outstanding stroke care facilities. Through the World Stroke Organization (WSO) Angels Awards, it has raised standards for stroke management across the country.

Now, more than 165 nurses across Luzon, Visayas, and Mindanao have been trained and certified through the Stroke Nurse Masterclass program. Meanwhile, the ANGELS Academy and simulation workshops continue to build the readiness of hospitals for ASRH certification.

“The Angels Initiative exemplifies our commitment to strengthening healthcare systems and ensuring timely, quality care for patients across the country,” Dr. Wang emphasized.

Beyond stroke care, Boehringer Ingelheim has also confronted another persistent public health challenge: rabies. The Philippines remains one of the few rabies-endemic countries, with preventable deaths occurring every year.

In response, the company launched its Stop Rabies Project in 2021, beginning in Puerto Galera in Oriental Mindoro, and later expanding to Marinduque; Los Baños, Laguna; and Bacolod City. The program has delivered tangible results. Among these is that more than 12,000 dogs and cats were vaccinated against rabies across Puerto Galera and Marinduque. Over 486 animals were spayed, helping control stray populations and reduce community exposure risks.

Moreover, the program has reached 700 schoolchildren through rabies education since 2022, with plans to expand to over 71,000 students in multiple provinces beginning this year.

Certified Rabies Educators, trained by the Global Alliance for Rabies Control (GARC), have also been deployed to schools and communities, supported by local partners and employee volunteers.

This holistic approach, combining vaccination, population management, education, and community engagement, demonstrates how sustainable impact can be achieved when multiple stakeholders act together.

“We believe that multi-stakeholder partnerships are not just strategic — they are essential in addressing health inequities, protecting our environment, and empowering communities. They allow us to transform intent into action and action into outcomes that matter for the Filipino people,” Dr. Wang, who is also treasurer of PHAPCares, said.

For PHAPCares, these initiatives highlight how private sector leadership, aligned with national health priorities, can accelerate progress toward UHC. Whether by reducing the burden of stroke, preventing rabies deaths, or empowering frontline health workers, programs like Boehringer Ingelheim’s bring the vision of health equity closer to reality.

The journey to health equity, however, cannot be carried by one organization alone. As the biopharmaceutical industry continues to collaborate with members and partners, we reaffirm our belief that collective action is the surest path to a healthier, more equitable Philippines.

 

Teodoro B. Padilla is the executive director of Pharmaceutical and Healthcare Association of the Philippines, which represents the biopharmaceutical medicines and vaccines industry in the country. Its members are at the forefront of developing, investing and delivering innovative medicines, vaccines and diagnostics for Filipinos to live healthier and more productive lives.

Analysts’ August inflation rate estimates

HEADLINE INFLATION may have slightly picked up in August as rising food and electricity costs were tempered by low rice prices, analysts said. Read the full story.

Analysts’ August inflation rate estimates

How PSEi member stocks performed — August 29, 2025

Here’s a quick glance at how PSEi stocks fared on Friday, August 29, 2025.

Shares to trade with bearish bias before key data

REUTERS

PHILIPPINE STOCKS could move sideways this week with a bearish bias as the market is likely to stay cautious before the release of key economic data at home and in the United States.

On Friday, the Philippine Stock Exchange index (PSEi) declined by 0.55% or 34.62 points to close at 6,155.57, while the broader all shares index slipped by 0.43% or 16.19 points to end at 3,686.88.

Week on week, the PSEi tumbled by 2.01% or 126.01 points from the 6,281.58 finish on Aug. 22.

“The local market is already on a three-week decline, showing that bearish sentiment is currently in control. Confidence is tepid amid a mixed bag of second quarter corporate results, new US tariff threats, and uncertainties over the local economy’s outlook,” Philstocks Financial Inc. Research Manager Japhet Louis O. Tantiangco said in a Viber message.

For this week, the market may remain range-bound as investors await fresh catalysts, AP Securities, Inc. Research Head Alfred Benjamin R. Garcia said in a Viber message.

“We’re expecting the market to continue trading mostly sideways with a slight downward bias. Investors are likely to remain cautious while monitoring how the peso holds up following the rate cut,” Mr. Garcia said. “Potential market movers are manufacturing and services PMI (purchasing managers’ index) from the US and the Philippine inflation report on Friday.”

Last week, the Bangko Sentral ng Pilipinas (BSP) lowered benchmark interest rates by 25 basis points (bp) for the third straight meeting to bring the policy rate to 5%, as expected by all 20 analysts in a BusinessWorld poll.

It has now slashed borrowing costs by a cumulative 150 bps since it began its rate-cut cycle in August 2024.

BSP Governor Eli M. Remolona, Jr. said that the key rate is now at the “sweet spot” in terms of inflation and output.

However, he left the door open for one more rate cut this year, which would likely mark the end of its current monetary easing cycle.

“The local market may bounce back on bargain hunting. The US’ Court of Appeals for the Federal Circuit’s ruling that most of President Donald J. Trump’s tariffs are illegal could give the market a boost… Investors may look forward to the upcoming S&P Global Philippines Manufacturing PMI and the August inflation rate for clues on the local economy,” Mr. Tantiangco said. He put the PSEi’s major support at 6,150 and major resistance at 6,400.

“With the local easing cycle speculated to near its conclusion, attention moves to the next broader theme, especially as we navigate the final months of 2025,” online brokerage 2TradeAsia.com said in a market note. “The focus should pivot from beta-driven rallies in rate-sensitive plays towards aggressive but higher quality stories, at least in the short run.”

2TradeAsia.com put the PSEi’s immediate support at 6,200 and resistance at 6,500. — Sheldeen Joy Talavera

PCA expects Europe, UAE to absorb more coconut exports

CENTURYPACIFIC.COM.PH

THE Philippine Coconut Authority (PCA) is banking on other markets to absorb coconut exports, with shipments to the US expected to slacken in response to the 19% tariff imposed on Philippine goods.

“There are bigger markets than the US,” PCA Administrator Dexter R. Buted said, citing Europe and the United Arab Emirates (UAE).

Speaking to reporters on the sidelines of the opening ceremony of the COCONUT Philippines Trade Fair, Mr. Buted also noted the potential of Japan and China to absorb some Philippine shipments.

Demand in China and Japan, he said, centers on young coconut and coconut water.

In Europe, “there is demand for virgin coconut oil and desiccated coconut, which they use for pastries, bread, and chocolates,” he added.

He added that the demand for coconut water has surged 1,000%, noting that a Philippine company has secured a P15-billion contract to supply coconut water to a global brand for five more years.

He said that while the US market cannot be completely ruled out, diversification will help maintain the country’s position as a top global exporter of coconut.

Trade Secretary Ma. Cristina A. Roque said negotiations with the US concerning reciprocal tariffs are still ongoing.

“For coconut, we’re still negotiating with the US, so nothing is final yet. The coconut industry is very important for us, and definitely we need to really find or strengthen the market for this,” she said.

To help mitigate the impact of the 19% tariff, she said the Department of Trade and Industry (DTI) has reached out to manufacturers.

“We’ve already reached out to the various manufacturers and industries, she said, noting that talks have taken place without providing details.

“We have 29 DTI offices all over the world and 21 trade offices. Let’s take advantage of this. To the businessmen out there who are affected, the DTI is here for you to help you and to assist you,” she added.

She said support will take the form of finding more markets and buyers for Philippine exports.

“We are encouraging more people to really get into the coconut business because it is a star product. Globally, there is a huge market, and locally, there is also a big demand,” she said.

“We really hope that we can grow this market, because wherever I go, they really want coconut, especially from the Philippines,” she added. — Justine Irish D. Tabile

DTI P14-B budget pitch cites need to expand investment promotion

THE Department of Trade and Industry (DTI) said it hopes to obtain an additional P2 billion for its 2026 budget, citing the need for more investment promotion and industry support.

“We are still hoping that the P12 billion can still go up by another P2 billion,” Trade Secretary Ma. Cristina A. Roque told reporters on the sidelines of the opening ceremony of the COCONUT Philippines Trade Fair on Friday.

“Based on the budget hearing, everybody wants to support the small and medium enterprises and, of course, foreign trade because they can see the results,” she added.

Under the National Expenditure Program (NEP) 2026, the DTI and agencies under its umbrella were allocated P12.426 billion.

She said that a portion of the budget will be used to promote international trade and foreign investment.

“How can we get foreign investors to come in if they don’t know what the programs that we have are or what we can offer to these foreign investors?” she said.

“We need to really do marketing because there are other Southeast Asian people really marketing their countries, and the numbers show that we are growing in terms of foreign direct investment (FDI) and exports,” she added.

Under the NEP, foreign trade and investment marketing were allotted P1 billion, which will be used to fund roadshows and other such activities.

She said the DTI is seeking support from Congress for fair trade and consumer protection programs, as well as digitalization and increased staff.

“There are too many products being sold via e-commerce. We need more people and technology to make sure that the products are safe,” she added.

Ms. Roque said additional funding is needed for micro, small, and medium enterprise (MSME) development.

“That’s really a big sector. We also need funds for that, especially for the trade shows,” she said, noting that such events generate more sales for MSMEs.

“We need to promote and find avenues for them to sell their products,” she added.

She is also seeking additional funding for halal certification.

“We have so many products, but they’re not halal certified. Why? Because certification is expensive,” she said.

“We have 3,000 MSME products out there that are halal. We are hoping to grow that,” she added.

Another initiative being pushed by the DTI is the creative industry, which received P50 million of funding under NEP.

“We were asking for P450 million for the creative industry. That’s also where our edge is,” she said.

“We’re really pushing it because the creative industry is a driver for trade and tourism,” she added. — Justine Irish D. Tabile

PHL needs broader investor base to mitigate volatile flows — BPI

STRENGTHENING the Philippine investor base could help mitigate any potential volatility when investment flows dry up, Bank of the Philippine Islands (BPI) Wealth Chief Investment Officer Luis Antonio Zialcita said.

“I guess one of the key things that we have to achieve… is a stronger local investor base. At this point in time, markets are very dependent on flows,” Mr. Zialcita said at a panel discussion at the Philippine Investment Conference 2025.

Other parts of the world economy, including those in Southeast Asia, have become more important as the US tariffs weigh on its economy’s trade with other countries, PwC China Economist Dr. Jackie Yan said in the same panel.

“In my view, I don’t see it as decoupling. I just see it as both decoupling and recoupling. It’s just a transformation of the global supply chain,” he said.

“This is where increasingly the other parts of the world economy, like the ASEAN economy, are becoming significantly more important because it’s integrated into this global supply chain transformation.”

Particularly in the case of China, investments and exports are flowing more into countries in ASEAN, while exports from the region are increasing into the US, he said.

“We’re seeing the restructuring of the supply chain and investment flows because I think one thing people didn’t really appreciate enough is that investment and trade are always linked with each other. You have cross-border investment and then you create new trade linkages,” he said.

“We have looked like there’s a decoupling maybe between the US and China, but I think behind the scenes you are seeing ASEAN becoming an integrated part of this and it’s just creating new trade and investment linked to this along the way.”

While the Philippines is unlikely to decouple from the US in the short term, a deepening of financial markets could help open up the country to more foreign investors, Mr. Zialcita said.

“The regulatory changes that the SEC (Securities and Exchange Commission) Chair has mentioned, the deepening of our markets, is one of those key things that will allow us to finally be global,” he said, noting that market pricing in the Philippines remains low compared to other regions.

“For the meantime, at least the valuations are very attractive… that is something that investors should consider,” he said.

In a speech at the same conference, SEC Chairman Francisco E. Lim said the commission is working to broaden participation and modernize infrastructure to deepen the capital markets.

These efforts include a shelf registration framework for issuers, aimed at providing flexibility and speed; efforts to improve liquidity and price discovery, as well as expanding the repo market to include trust entities, mutual funds, and insurers. 

The SEC is also reviewing real estate investment trust (REIT) regulations to expand eligible assets, lengthen reinvestment periods, and attract broader participation.

“We are promoting sustainability reporting, aligning with global standards, recognizing that resilient markets must integrate ESG (environmental, social, and governance) principles,” Mr. Lim added.

The regulator is likewise pushing to include Philippine corporations in global indices by addressing gaps in liquidity, fraud, and disclosure.

Through the Capital Markets Forum, the SEC is also working with its ASEAN partners to support cross-border offerings and regional integration.

“At the SEC, we recognize that these reforms demand not only ideas, but execution.

That is why we are strengthening our own foundations, building capacity, culture, and agility,” Mr. Lim said. — Aaron Michael C. Sy

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