Arts & Culture (09/29/21)

September 29, 2021 | 12:01 am

1 of 6

BP presents podcast series

BALLET Philippines (BP) now has a podcast series called BP Barre Talks where the discussion features ballet and beyond, “bringing to light messages of relevance, hope, and inspiration.” The first episode, entitled “Laging May Pag-Asa,” discusses BP’s latest video creation that sheds light on mental health for suicide prevention. The podcast includes insightful advice from guests Jeannie Goulbourn, Dr. Romeo Enriquez, attorney Marie Sicangco, and Stephen Cu. The podcast is available on Spotify Premium.

Fully Booked holds Banned Books discussion

FULLY Booked will hold a talk on Banned Books via Instagram Live on Oct. 1, 5 p.m. The discussion will cover the power of stories that break borders and barriers. Interested parties who have a book community or wish to start one can download the free Banned Book Club Kit (https://fullybookedonline44865.ac-page.com/fully-booked-online) with book recommendations, tips on starting a book club, and more. Enjoy 10% off on d-coded titles from Fully Booked’s #BannedBooks collection from Sept. 29 to Oct. 2.

BenCab Museum opens 2 exhibits

TWO new exhibits are opening at the Bencab Museum in Baguio on Oct. 2, 4-6 p.m. At Gallery Indigo, there will be a collaborative project called “Double Vision,” featuring National Artist Benedicto “BenCab” Cabrera and Ronald Ventura. The two artists represent two different generations of artists, yet their careers share parallels in terms of prolific production, market presence, and institutional recognition. Though both have expressed distinct artistic voices, their style, techniques, themes and subjects share some common grounds. This collection of works describes a world in a state of flux, with images constantly layering and crowding — but one in which vestiges of the past persist to be entangled with the dissonance of the current times. The exhibit will run until Nov. 28. Meanwhile, at the Sepia Gallery, an exhibit called “Gentle Thoughts”, featuring works by Ric Maniquis, will run from Oct. 2 to Nov. 2. The artist started on his photo series 10 years ago, focusing on images that inspire a sense of quiet and calm. The BenCab Museum is at Km. 6 Asin Road, Tuba, Metro Baguio. It is open Tuesdays to Sundays, 9 a.m. to 6 p.m.

Seminar on wartime postcards

VESSEL: The Jung Art Collective and Carl Jung Circle Center are presenting a seminar which revolves around art and history on Oct. 2, 4 p.m., via Zoom. The seminar, Wartime Postcards: Japanese Artists View World War I in the Philippines, will feature Dr. Ricardo Trota Jose. The seminar fee is P500 (regular) and P200 (student) To register, contact 0922-887-8757 or e-mail jungphilippines@yahoo.com.

Author Myke Celis partners with Bookshelf PH

BOOKSHELF PH, a local publishing house and online bookstore that also operates an audiobook platform called Audiophile, has announced the signing of global master coach and international best-selling author Myke Celis for an upcoming book. In 2020, Mr. Celis released two books — Best Me Ever: A Self-Discovery Workbook to Heal Your Past, Accept Your Present and Find Yourself Again and Best Me Ever Powerful Questions To Know Yourself: Understand Yourself Better And Be Your Best Self — both of which became international best sellers on Amazon. As the newest addition to the Bookshelf PH family, Mr. Celis plans to release a new book that sheds light on how readers can manifest their #bestmeever in the digital world. The book will tackle different online topics and concerns such as how to do proper presentations, strike respectful conversations, avoid unpleasant situations, and more.

Fund-raising auction goes virtual

THE SANTUARIO de San Antonio Parish (SSAP) Francisfest presents SpectaculART 2: An auction of art, jewelry and homeware on Oct. 1 to 3, with both new and pre-loved pieces going under the hammer. The proceeds of the auction shall assist in the numerous Social Services and development ministries of SSAP and its sister parishes. SpectaculART 2 will feature fine jewelry, estate jewelry, artisan pieces and an assortment of diamonds, pearls and colored stones. The homeware collection will feature European, Asian, and locally sourced pieces ranging from antique, vintage, and contemporary furniture and home décor. This year, SpectaculART 2 shall showcase a selection of works created by National Artist for Visual Art Carlos “Botong” Francisco, Impy Pilapil, Romeo Tabuena, and Anita Magsaysay Ho, Gus Albor, Ramon Diaz, Jojo Guingona, Noli Principe Manalang, Isabel Campa, Ivy Lim, and Marivic Rufino. Unique prints by Salvador Dali and John Lennon will also be for sale. Works of numerous up-and-coming artists will also be available. Online viewing is ongoing at www.spectaculartph.com. Selected items can be viewed by appointment at the San Antonio Parish Center. Online bidding is from Oct. 1 to 3 at www.spectaculartph.com. For more information visit www.Instagram.com/SpectaculArt.ph or www.Facebook.com/SpectaculArt.ph or e-mail hello@spectaculartph.com.

Group show Appassionata shows passion

“APPASSIONATA” is a group show featuring the works of five women artists — Rosario Bitanga, Imelda Cajipe Endaya, Lenore RS Lim, Susan Fetalvero-Roces and Maria Victoria Rufino. In 2013, art critic-artist Cid Reyes attended a show at the AltroMondo Gallery of that same name which featured the same artists. The show fascinated Reyes. “I felt that the word ‘appassionata’ captured the essence of someone who, besides being a woman also happens to be an artist. And if there’s any activity where passion is a requisite, it is painting or art making. Actually, whether it’s singing, dancing, or acting, or anything related to self-expression, passion must predominate, the emotion that must unleash the talent and technique possessed by the person,” he wrote. The idea resurfaced with the pandemic, and he offered the group of artists the use of his daughter’s gallery, Galerya Amalia, at the Ayala Malls, Manila Bay. The opening date — Sept. 18 — was the same date when the first “Appassionata” was held. The 2021 version is being held both online and live. It runs until Oct. 18. Rosario Bitanga is “a pioneer of Philippine abstraction… whose abstract works are arrested motion of sails, birds, winds, galloping horses, the blossoming of petals, and still lifes that seem to defy stillness with the inherent tension within her compact and solid compositions,” say the gallery notes. Printmaker, painter, mixed media and installation artist Imelda Cajipe Endaya’s “distinct feminine visual language informs a range of themes: from race, gender, the diaspora, globalization, women’s empowerment and rights, and now — our nightmare pandemic times.” Filipino-Canadian-American artist Lenore RS Lim “specialized in computer art and printmaking techniques ranging from lithography, solar etching to monotype, collotype and chine collé. Ms. Lim was a recipient of the Philippines Presidential Award and the Jackson Pollock-Lee Krasner Foundation Grant.” Susan Fetalvero-Roces is described as being “adventurous and experimental in her choice of medium and material” who is “distinguished by her innovative choice of material — raffia, being the most memorable — and a radiantly emotional approach that intuits the next direction of her art.” Watercolor is Maria Victoria Rufino’s favored medium. Her “intimate relationship with her material rewards her with images of luminous landscapes, seascapes, and other facets of nature.” View the exhibit online at www.galeryaamalia.com.

Robinsons launches Christmas Card Making tilt

IN THE SPIRIT of Christmas, Robinsons Land ARTabado is inviting children to remember their happy and fun memories at Robinsons Malls through a drawing competition entitled: ChristmaSAYA sa Robinsons Malls. Through this card making contest, ARTtablado wishes to encapsulate wonderful memories and immortalize them in Christmas Cards to be drawn by children from all over the Philippines. The competition has two divisions. Division 1 is open to Filipino children aged six to eight years old while division 2 is open for Filipino children aged nine to 12 years old. Participants may submit only one entry. Artwork should be an A4 size (8.3 x 11.7 inches) paper or board, using the following media: colored or graphite pencil, ink, pastel, crayon, chalk, marker, or charcoal for drawing and acrylic, watercolor, or oil for painting. The contestant’s name must not appear on the artwork. The artwork and entry form should be submitted to the Facebook messenger of ARTablado on or before Oct. 15 for the preliminary judging. This should contain name, birthday, age, contact number, title of the artwork, and a brief description about the piece (50 words or less). Finalists will be announced in November and winning entries will be announced in December. Winners for both divisions will get P15,000 and a certificate. Second prize winners get P10,000 and a certificate. Third prize winners get P5,000 and a certificate. Up to 22 finalists will be selected for both division, each of whom will be handed P2,000. A special award will also be given. All winning entries will be part of the 2021 Robinsons Land ARTablado collection and will be exhibited at ARTablado. Winning designs will also be used for RLC’s Christmas cards and collateral materials. For the complete list of 2021 Robinsons Land ARTablado Painting Competition’s rules and regulations, visit the ARTablado Facebook page https://www.facebook.com/ARTablado.

Facing the challenges of Alzheimer’s disease

September 29, 2021 | 12:01 am

Dementia is a syndrome in which there is progressive deterioration in memory, thinking, behavior and the ability to perform everyday activities beyond what might be expected from normal aging, according to the World Health Organization (WHO).

Worldwide, around 50 million people have dementia, and there are nearly 10 million new cases every year. Although dementia mainly affects older people, it is not a normal part of aging, the WHO stresses. Young-onset dementia in which symptoms manifest before the age of 65 years accounts for up to 9% of cases.

“Dementia is one of the major causes of disability and dependency among older people worldwide. It has a physical, psychological, social, and economic impact, not only on people with dementia, but also on their carers, families and society at large,” the WHO said.

According to the WHO, Alzheimer’s disease is the most common form of dementia, accounting for an estimated 60% to 70% of cases.

In a 2020 paper published in the journal Alzheimer’s & Dementia, Dominguez et. al. said that the Philippines is one of the countries projected to experience the consequences of rising dementia cases. The authors called on the recently drafted National Dementia Plan to consider the current state of dementia in the country and the associated risk factors to enable better planning and disease management.

Alzheimer’s is a progressive disease in which dementia symptoms gradually worsen over a number of years. “In its early stages, memory loss is mild, but with late-stage Alzheimer’s, individuals lose the ability to carry on a conversation and respond to their environment,” the Alzheimer’s Association explains.

As Alzheimer’s progresses, symptoms become increasingly severe. These include disorientation, mood and behavior changes; deepening confusion about events, time and place; unfounded suspicions about family, friends and professional caregivers; more serious memory loss and behavior changes; and difficulty speaking, swallowing and walking.

Scientists believe that two abnormalities called plaques and tangles are responsible for damaging and killing neurons (nerve cells) in people living with Alzheimer’s disease. Plaques are deposits of a protein fragment called beta-amyloid that build up in the spaces between neurons. Tangles are twisted fibers of a protein called tau that build up inside neurons. The destruction and death of neurons cause the symptoms of Alzheimer’s disease, added the Alzheimer’s Association.

A 2018 study by Dominguez et al. published in the Journal of Alzheimer’s Disease found a 10.6% prevalence of dementia among almost 1,400 persons aged 60 years and older randomly selected from the Marikina City senior registry. Of those with dementia, 85.5% had Alzheimer’s disease.

The Philippine Statistics Authority (PSA) survey in 2015 showed that 7.55 million of the country’s 101 million population or 7.5% were senior citizens aged 60 years and older. Almost all (99.8%) Filipino seniors live in their own households; only a minuscule 14,500 seniors (0.2%) reside in nursing facilities.

Aside from increasing age, other risk factors for Alzheimer’s disease include family history, genetics, head injury, and conditions that damage the heart and blood vessels such as heart disease, diabetes, stroke, high blood pressure and high cholesterol.

The WHO has laid out principal goals for dementia care. These are facilitating early diagnosis in order to promote early and optimal management; optimizing physical health, cognition, activity and wellbeing; identifying and treating accompanying physical illness; detecting and treating challenging behavioral and psychological symptoms; and providing information and long-term support to carers.

Although there is currently no cure for Alzheimer’s disease, the US Food and Drug Administration (FDA) has approved several medications that may delay cognitive and functional decline, as well as medications that may temporarily alleviate some symptoms.

The Pharmaceutical Research Manufacturers of America (PhRMA) said that there were actually close to 200 medicines in development for Alzheimer’s that failed from 1998 to 2021. It said that these setbacks highlight the complexity of Alzheimer’s research including the significant gap in scientific knowledge and complexities of clinical trial designs.

“It’s important to recognize that with these so-called failures comes new information that brings us one step closer to a disease-modifying medicine,” said PhRMA. At the moment there are 83 new medicines in development for the disease and that 82% are potentially disease modifying, it added.

Alzheimer’s is indeed an area where continued research and innovation are needed to improve the quality of life of patients and their loved ones.

Sept. 21 is World Alzheimer’s Day, an international campaign that aims to raise awareness and challenge the common stigma that surrounds Alzheimer-related dementia. This year’s theme is “Together we can ensure no one faces dementia alone.”

Teodoro B. Padilla is the executive director of Pharmaceutical and Healthcare Association of the Philippines (PHAP), which represents the biopharmaceutical medicines and vaccines industry in the country. Its members are at the forefront of research and development efforts for COVID-19 and other diseases that affect Filipinos.

Philippine GDP expected to return to pre-pandemic levels by 2023 or later

September 29, 2021 | 12:00 am

THE WORLD BANK on Tuesday cut its economic growth outlook for the Philippines once again to 4.3% this year as it estimates 60% of the population will be vaccinated against the coronavirus disease 2019 (COVID-19) by the second quarter of 2022. Read the full story.

How PSEi member stocks performed — September 28, 2021

September 29, 2021 | 12:00 am

Here’s a quick glance at how PSEi stocks fared on Tuesday, September 28, 2021.

Peso unchanged as market awaits new restrictions

September 28, 2021 | 9:00 pm

THE PESO ended flat against the greenback on Tuesday as the market awaits the announcement of new restriction measures in Metro Manila.

The local unit closed at P51 per dollar on Tuesday, unchanged from its Monday close, which was the peso’s weakest finish since it ended trading at P51.07 on March 26, 2020.

The peso opened Tuesday’s session slightly stronger at P50.95 against the dollar. Its weakest showing was its closing level, while its intraday best was at P50.85 versus the greenback.

Dollars exchanged slipped to $1.209 billion on Tuesday from $1.261 billion on Monday.

The peso closed unchanged ahead of the announcement of new lockdown measures for Metro Manila, Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said.

Department of Health Epidemiology Bureau Director Alethea De Guzman on Monday said Metro Manila may remain under Alert Level 4 next month, based on current infection data. Current restrictions are in effect until Sept. 30.

On the other hand, Metro Manila Development Authority Chairman Benjamin D. Abalos, Jr. said over the weekend that Alert Level 3 could be imposed in Metro Manila in October, citing the declining coronavirus disease 2019 (COVID-19) reproduction rate in the area, based on data from the OCTA Research Group.

Meanwhile, a trader said the peso was unchanged due to “uncertainty after the US Senate failed to suspend the US debt ceiling”.

Bloomberg reported that Republicans in the Senate blocked a measure that would suspend the debt ceiling into December 2022. This meant Democrats were forced to seek a new strategy to address two fast-approaching deadlines with acute economic consequences.

For Wednesday, Mr. Ricafort gave a forecast range of P50.85 to P51.05 per dollar, while the trader expects the local unit to move within P50.90 to P51.10. — LWTN with Bloomberg

Stocks decline on fears of extended lockdown

September 28, 2021 | 9:00 pm

PHILIPPINE shares closed in the red on Tuesday on fears of an extended lockdown in Metro Manila and after the peso closed lower against the greenback on Monday.

The Philippine Stock Exchange index (PSEi) went down by 70.90 points or 1.01% to close at 6,885.36 on Tuesday, while the broader all shares index shed 45.23 points or 1.04% to finish at 4,284.72.

“[Fears] of extended lockdown and vaccination slowdown negated earlier optimism about the economy’s reopening, spurring foreign selling as the PSEi approached 7,000,” First Metro Investment Corp. Head of Research Cristina S. Ulang said in a Viber message. “Other headwinds include rising inflation this month and currency weakness.”

The Health department said Metro Manila may remain under Alert Level 4 of the government’s alert level system in October as current quarantine classifications lapse on Thursday, Sept. 30. New restrictions for the region are expected be announced this week.

Meanwhile, the peso dropped to P51 per dollar on Monday, its weakest showing in over a year, due to concerns on the upcoming tapering of asset purchases by the US Federal Reserve as well as higher oil prices. This was also 35 centavos lower than its P50.65 close on Friday.

“The local bourse closed lower together with most Asian markets as market participants remained in a cautious stance over the China Evergrande debt crisis and its potential impact to the broader economy,” Darren Blaine T. Pangan, trader at Timson Securities, Inc., said in a separate Viber message.

Most sectoral indices closed in the red on Tuesday except for financials, which rose 2.63 points or 0.18% to end at 1,414.16, and property, which went up by 0.32 point or 0.01% to 3,030.28.

Meanwhile, services shed 35.50 points or 1.82% to close at 1,912.70; industrials dropped 177.77 points or 1.73% to 10,094.37; mining and oil lost 152.05 points or 1.64% to 9,092.13; and holding firms went down by 89.54 points or 1.29% to finish at 6,847.85.

Value turnover surged to P15.04 billion on Tuesday with 2.14 billion issues switching hands, almost twice as much as the P7.61 billion with 1.64 billion shares recorded the previous day.

Decliners outnumbered advancers, 135 against 75, while 38 names closed unchanged.

Net foreign selling ballooned to P1.94 billion on Tuesday from the P623.43 million seen on Monday.

“In the coming days, we’ll see if its nearest support at 6,780 holds. 7,000 seems to be the significant resistance area to watch,” Timson Securities’ Mr. Pangan said.

“The final PMI (purchasing managers’ index) reading and end of [the third quarter] will continue to have investors’ attention for the rest of the week,” Regina Capital Development Corp. Head of Sales Luis A. Limlingan said in a Viber message. — K.C.G. Valmonte

Mining industry environmental compliance report due next year

September 28, 2021 | 8:12 pm

THE REPORT of the Mining Industry Coordinating Council (MICC) on large-scale metallic mines will likely be made available to the public by the second quarter of next year, and will indicate the failure of some companies to comply with environmental rules according to Finance Secretary Carlos G. Dominguez III.

Mr. Dominguez, who co-chairs the MICC with Environment Secretary Roy A. Cimatu, said the report is targeted for completion by May 2022 and will be released to the public in the second quarter of that year. It will contain the results of the two-phase audit of the industry along with the review of mines in the Bangsamoro Autonomous Region in Muslim Mindanao.

“The report should be in such a form that can be used by the ordinary reader and the public, and that it be made widely available, not only to government officials, the legislature, maybe even in the judiciary, but also to the public in general,” he said in a statement Tuesday, which outlined his remarks during a Sept. 17 meeting of the council.

So far, the review has covered 44 large-scale metallic mines in which a “majority” registered passing marks on legal and technical matters, “but required major reforms in the environmental, social and economic aspects of their operations.”

Mines and Geosciences Bureau Director Wilfredo G. Moncano said the audit turned up “marked improvements” after the Environment department issued administrative orders aimed at addressing the deficiencies of the sector.

Executive Order (EO) No. 79 issued in 2012 created the MICC to audit mining companies based on the economic, sociocultural, technical, environmental and legal aspects of their operations, as well as to review current laws and regulations.

“This is the only administration that has actually done a serious review of the mining operations as mandated by the EO,” Mr. Dominguez said.

He said making the report available to the public will enhance trust and confidence in the government. It will also showcase the capacity of Philippine experts to conduct mining audits. — Beatrice M. Laforga

Senate working out details for increasing SB Corp. budget

September 28, 2021 | 8:12 pm

THE SENATE expressed support for an increase in funding for the Small Business (SB) Corp. microfinance program helping distressed enterprises, known as COVID-19 Assistance to Restart Enterprises (CARES).

At a hearing Tuesday to discuss the 2022 budget for the Department of Trade and Industry (DTI), which controls SB Corp., Trade Secretary Ramon M. Lopez briefed the Senate on how the company will be funded going forward.

“There is currently no budget for CARES, but the SB Corp. will be allocated P1.5 billion,” Mr. Lopez said, noting that the DTI can channel funds for the program as before.

Majority Leader Juan Miguel F. Zubiri recommended a separate, increased budget allocation for the CARES program in 2022. “We will work out the numbers to help you.”

Mr. Zubiri noted the need to improve the circumstances of micro, small, and medium enterprises (MSMEs) in light of the impact of coronavirus disease 2019 (COVID-19).

“They want to make an honest living in an impossible situation. No jobs to apply for even with their economies back at full swing; no capital to start their own businesses. We have to have something for them to go back to,” Mr. Zubiri told the hearing.

The CARES program was established to help MSMEs recover from the pandemic. A total of P8 billion was released out of the second stimulus package, known as Bayanihan II. Out of the P8 billion, P4 billion was allocated for the MSMEs while the balance of P4 billion was to go to the tourism sector.

“It has zero interest rate, no collateral, but includes a service or management fee ranging from 2% to 4% a year,” Mr. Lopez said.

MSMEs, the DTI said, got P5.5 billion in low-interest loans to 34,926 applicants. Mr. Lopez added that the excess of P1.5 billion was sourced from the funds allocated for the CARES for Tourism Rehabilitation and Vitalization of Enterprises and Livelihood sector, since its utilization was only P225 million.

Senator Juan Edgardo M. Angara, who chairs the Senate finance committee, suggested that the DTI make it easier for MSMEs to obtain loans by reducing the requirements, especially for smaller loans.

“Let’s make it easy. Look into providing an express lane or less requirements for loans below a certain amount,” Mr. Angara told the hearing.

“If the loan being applied for is P20,000 or below, let’s not ask for numerous requirements. The cost of enforcement and administration might even be higher than the loan itself,” he added.

Mr. Lopez told the committee the process is easier for small businesses, particularly those belonging to the informal sector. He said the only requirement was proof of operations, such as “parking fees” or other documents that are available from their barangays.

Medium-sized enterprises can avail of up to P5 million in loans, small enterprises P3 million, and micro enterprises P600,000. For those without Bureau of Internal Revenue documentation, such as street vendors, P100,000 is the maximum loan, Mr. Lopez said.

The number of MSMEs is now 2 million, up from, 1.7 million in 2020 and 1.5 million. Although many businesses closed since the pandemic began, many new registrations offset the losses, Mr. Lopez said. — Alyssa Nicole O. Tan

Electric vehicle bill sets parking quotas, charging station mandate

September 28, 2021 | 8:08 pm

LEGISLATORS approved on third reading late Monday a House bill promoting the adoption of electric vehicles (EVs) and laying out how they are to be regulated, setting parking quotas and providing incentives for setting up charging stations.

With a vote of 195-0 with 0 abstentions, the chamber approved House Bill 10213 or the proposed Electric Vehicle Industry Development Act.

The bill will require establishments with 20 or more designated parking slots to dedicate 5% of their space for the use of EVs and provide charging points.

The law, if passed, also establishes tax incentives for EV manufacturers, entities maintaining charging stations, and research and development centers.

Electric vehicles, charging stations, and materials for their assembly will also be exempt from customs duties and value-added tax for five years from the effectivity of the proposed law.

The bill will establish an Electric Vehicles Advisory Board composed of officials from various government agencies, including the Department of Energy and Department of Transportation, to formulate policy encouraging the development and commercialization of EVs.

The Comprehensive Roadmap on Electric Vehicles (CREV) will become the national plan to help boost the electric vehicle industry. The CREV will be integrated with the Philippine Energy Plan and the National Transport Policy.

The measure was approved by five House committees on Sept. 14 and passed on second reading Sept. 23.

The Senate approved its counterpart measure, Senate Bill 1382, on May 31.

The Department of Energy has endorsed a P2.5-billion investment project to bring in 20,000 imported vehicles and is targeting the establishment of up to 5,000 electric vehicle charging stations within five years.

Philippine Institute for Development Studies Supervising Research Specialist Maureen D. Rosellon said in July that shortcomings in electric vehicle charging infrastructure and manufacturing technology have left the Philippines behind in the regional competition for trade and investment. — Russell Louis C. Ku

DTI says no funding for RA 11293 innovation law

September 28, 2021 | 8:08 pm

THE DEPARTMENT of Trade and Industry (DTI) said Tuesday that it has received no funding for its innovation programs, which are entitled to receive a P1-billion grant annually under Republic Act (RA) 11293.

The DTI said at a Senate hearing that the Philippine Innovation Act aims to improve innovation governance and adopt long-term goals.

“When it comes to the innovation program, it really needs to be supported. Right now, we’re not really getting the support or the budget needed,” Trade Secretary Ramon M. Lopez said during the hearing Tuesday.

“This is a great need that will help us support companies to innovate,” he added, saying that the department hopes to provide businesses with the latest equipment, “at least the integrated, functioning equipment where the mechanisms are connected to the computer.”

Mr. Lopez said that current projects for innovation rely on funds sourced elsewhere, since funding from the current national expenditure program went to training initiatives. “When you talk of the actual funding support for innovation that can help us elevate manufacturing companies, there really is no support.”

He was confident that if funding is properly provided, the department will be able to address the country’s weaknesses pointed out in the Global Innovation Index (GII).

Senator Sherwin T. Gatchalian, vice-chairman of the Senate committee on economic affairs, noted that he has been pointing out the program’s lack of funds every year, yet no change has occurred.

The Philippines ranked 51^st out of the 132 economies in the 2021 GII, down one spot from a year earlier. — Alyssa Nicole O. Tan

PHL expected to benefit from profit-shifting rules

September 28, 2021 | 8:07 pm

THE PHILIPPINES is expected to benefit modestly from international tax rules to deter profit shifting by multinationals, the ASEAN+3 Macroeconomic Research Office (AMRO) said.

In an analysis published Tuesday, AMRO said the proposed two-pillar solution under the proposed inclusive framework on base erosion and profit shifting (BEPS) can reallocate at least $100 billion worth of tax rights and generate $150 billion in additional global tax revenue each year.

The first pillar hopes to shift the right to tax a multinational company where the revenue is generated, instead of the current practice of collecting taxes where the business is incorporated. The second part of the framework aims to establish a proposed 15% global minimum tax rate for the sector.

In reallocating a portion of taxable profit to economies where the revenue is generated, AMRO said populous countries with high income and large digital economies will benefit the most.

“China and Japan will likely receive a significant portion of the reallocated residual profit. Populous middle-income economies, such as Indonesia, the Philippines, Thailand and Vietnam, are expected to gain moderately,” it said.

In an e-mail Tuesday, AMRO said the estimates were arrived at based on the potential number of consumers within a given population and income per capita. These inputs helped determine the new tax base once the framework has been rolled out.

To increase potential revenue of the country, AMRO said the Philippines needs to launch reforms that will scale down the use of tax incentives to attract investment from multinational companies.

Aside from population, AMRO said the concentration of multinational regional headquarters in certain countries will also affect government tax collection.

Foregoing revenue-based digital service taxes, as proposed under pillar one to avoid double taxation, however, would result in lower collections. The Philippines is yet to adopt taxes for digital services.

AMRO said the second pillar of the framework, which would set a floor on tax rates for multinational companies, will likely hurt regional economies with low corporate tax rates such as Cambodia, Hong Kong, South Korea and Singapore, whose rates are currently below 15%.

“These economies will be less attractive to existing multinational enterprises and potential investors as the attractiveness of their tax incentives diminishes,” it said.

The Philippines reduced its corporate income tax to 25% this year from 30% previously, and will further cut the rate by one percentage point annually until it reaches 20% in 2027. It also removed the 10% preferential tax rate for regional operating headquarters.

The framework aims to create a more “stable and fairer” global tax structure to address BEPS practices that transnational companies undertake to arbitrage tax regimes and shift profits to locations with low or zero tax rates.

Citing estimates from the Organisation for Economic Co-operation and Development, AMRO said governments are losing $100-400 billion annually in tax revenue due to these profit-shifting schemes.

“Achieving global consensus on such global tax reform is a complicated process. It would require economies with competing interests to find common ground and redefine the ways of doing cross-border business,” it said.

The Department of Finance has said that the Philippines is making progress in joining the inclusive framework, which was first established in 2015 and has 134 signatories which pledge to implement 15 action plans to address tax avoidance. — Beatrice M. Laforga

Pesticide advisory issued against smuggled vegetables

September 28, 2021 | 8:05 pm

SMUGGLED Chinese vegetables have entered the market via Subic port, such as carrots and cabbage, and must be avoided because of the uncertainty regarding their pesticide content, the Department of Agriculture (DA) said.

At a virtual briefing Tuesday, Agriculture Secretary William D. Dar said that the shipments had been misdeclared as “other items.”

“The best thing we can do, meanwhile, is not to buy (the smuggled vegetables) since we do not know their content in terms of pesticide residue,” Mr. Dar said.

Mr. Dar said the Bureau of Plant Industry (BPI) did not issue import permits for the smuggled vegetables.

The BPI only issues import permits for frozen mixed vegetables and processed vegetables “intended for embassies and hotels,” he said.

“The BPI continues to work with the Bureau of Customs (BoC). We will confiscate all smuggled vegetables,” Mr. Dar said.

Agriculture spokesman Noel O. Reyes said at a Laging Handa briefing Monday that a task force was created to check into the entry of smuggled vegetables, consisting of representatives from the DA, BoC, Department of Trade and Industry, and the Bureau of Internal Revenue.

In a separate statement, the Kilusang Magbubukid ng Pilipinas (KMP), a farm workers’ organization, urged the House of Representatives to check into the smuggling of vegetables.

KMP Chairman Emeritus Rafael V. Mariano called on the House Committee on Agriculture and Food to arrange for the detection of imported carrots and other vegetables in markets, and to exercise its oversight powers under Republic Act No. 10845 or the Anti-Agricultural Smuggling Act.

“This month, a large volume of allegedly smuggled fresh carrots were seen proliferating in markets nationwide, according to various vegetable trading associations and cooperatives,” the KMP said.

“In August, farmers, and traders called the attention of the DA to contraband cabbages being distributed in the Divisoria market in Metro Manila at P70 per kilogram, much lower than the price of Benguet cabbage, which sells for P115 to P125 per kilogram,” it added.

Mr. Mariano said the DA and the BoC should be held accountable for the smuggling of vegetables.

“It is within their mandate to prevent the smuggling of agricultural products. However, ‘legitimate imports’ and smuggled produce go through the same processes and mechanisms. Massive importation of agricultural products makes it easier for smugglers to do business,” Mr. Mariano said. — Revin Mikhael D. Ochave