Indonesia’s palm oil export ban leaves global buyers with no plan B

April 25, 2022 | 4:56 pm

A WORKER shows palm oil fruits at palm oil plantation in Topoyo village in Mamuju, Indonesia, Sulawesi Island, March 25, 2017. — REUTERS

MUMBAI — Global edible oil consumers have no option but to pay top dollar for supplies after Indonesia’s surprise palm oil export ban forced buyers to seek alternatives, already in short supply due to adverse weather and Russia’s invasion of Ukraine.

The move by the world’s biggest palm oil producer to ban exports from Thursday will lift prices of all major edible oils including palm oil, soyoil, sunflower oil and rapeseed oil, industry watchers predict. That will place extra strain on cost-sensitive consumers in Asia and Africa hit by higher fuel and food prices.

“Indonesia’s decision affects not only palm oil availability, but vegetable oils worldwide,” James Fry, chairman of commodities consultancy LMC International, told Reuters.

Palm oil — used in everything from cakes and frying fats to cosmetics and cleaning products — accounts for nearly 60% of global vegetable oil shipments, and top producer Indonesia accounts for around a third of all vegetable oil exports. It announced the export ban on April 22, until further notice, in a move to tackle rising domestic prices.

“This is happening when the export tonnages of all other major oils are under pressure: soybean oil due to droughts in South America; rapeseed oil due to disastrous canola crops in Canada; and sunflower oil because of Russia’s war on Ukraine,” Mr. Fry said.

Vegetable oil prices have already risen more than 50% in the past six months as factors from labour shortages in Malaysia to droughts in Argentina and Canada – the biggest exporters of soyoil and canola oil respectively — curtailed supplies.

Buyers were hoping a bumper sunflower crop from top exporter Ukraine would ease the tightness, but supplies from Kyiv have stopped because of what Russia calls its “special operation” in the country.

This had prompted importers to bank on palm oil being able to plug the supply gap until Indonesia’s shock ban delivered a “double whammy” to buyers, said Atul Chaturvedi, president of trade body the Solvent Extractors Association of India (SEA).

NO ALTERNATIVE
Importers such as India, Bangladesh and Pakistan will try to increase palm oil purchases from Malaysia, but the world’s second-biggest palm oil producer cannot fill the gap created by Indonesia, Chaturvedi said.

Indonesia typically supplies nearly half of India’s total palm oil imports, while Pakistan and Bangladesh import nearly 80% of their palm oil from Indonesia.

“Nobody can compensate for the loss of Indonesian palm oil. Every country is going to suffer,” said Rasheed JanMohd, chairman of Pakistan Edible oil Refiners Association (PEORA).

In February, prices of vegetable oils jumped to a record high as sunflower oil supplies were disrupted from the Black Sea region.

The price rise raised working capital requirements for oil refiners, who were holding lower inventories than normal in anticipation of a pullback in prices, said a Mumbai-based dealer with a global trading firm.

Instead, all oil prices have rallied further.

“Refiners have been caught on the wrong foot. Now they can’t afford to wait for a few weeks. They have to make purchases to run plants,” the dealer said.

As Indonesia has allowed loading until April 28, consuming countries will have enough supply for the first half of May, but could face shortages from the second half, said a refiner based in Dhaka.

South Asian refiners will only slowly release oil into the market as they know supplies are limited, he said.

In India, the world’s biggest vegetable oil importer, palm oil prices rose by nearly 5% over the weekend as industry prices in shortages in the coming months. Prices also rose in Pakistan and Bangladesh. — Reuters

In ‘philantourism,’ remember to do no harm

April 25, 2022 | 4:14 pm

By Patricia B. Mirasol, Reporter

Over half of travelers (59%) are interested in “philantourism” and immersive community experiences. According to panelists at the 2022 World Travel & Tourism Council (WTTC) Summit, travelers can help improve a community’s quality of life without being patronizing if they approach things with humility.

“We need to position ourselves [as if] we are the ones who are learning,” said Guillaume Landry, executive director of ECPAT International, a network of civil society organizations that works to end the sexual exploitation of children. “We shouldn’t come in with a colonial perspective — like we were going to solve their problem, like they were just waiting for us to arrive.”

Mr. Landry added that an exchange of experience necessitates an open mindset.

For Andrea Grisdale, tourism is a “great way to educate and do good.”

“When we look at our client feedback, no one is talking about the marble bathroom,” said the chief executive officer of IC Bellagio, an Italy-based destination management company. “It’s always about that person, or that experience.”

IC Bellagio has virtual lessons that help guests understand local culture even before they set foot in Italy. It also teams up with associations that enhance the client experience, such as a non-profit that helps people with autism through art therapy.

“Our guests have painting lessons with some of these artists, and great friendships have resulted from it,” Ms. Grisdale said, pointing out that “people don’t travel halfway across the world to do what they do back home.”

“They want to meet different people and have different experiences,” she said. “Our participation with these associations has been a win-win for [them] and for the locals.”

The key is adhering to the “do no harm” principle, Mr. Landry said, adding that caution should be exercised when joining tours that include orphanages.

“Children are not a tourist attraction,” he said, explaining that there were better ways to help. “Especially in orphanages where you have children who have experienced complex journeys — which includes being neglected. Having people come and go does not benefit them.”

Travel recovery is on the way, per data from ForwardKeys, a travel and analytics company. Asia Pacific countries, in particular, saw an increase in arrivals for the first quarter of 2022 as compared to the previous year, with bookings up 275%. In the Philippines, bookings have been up 29% in the second quarter of 2022 as compared to the previous one.

“Asian nations are reopening, and this is very encouraging,” said ForwardKeys vice president for insights Olivier Ponti, in a separate speech at the WTTC Summit. “If you allow people to fly, they will travel.”

Brussels prepares to hit Russia with ‘smart sanctions’ on oil imports —The Times

April 25, 2022 | 2:32 pm

The European Union (EU) is preparing “smart sanctions” against Russian oil imports, The Times reported on Monday, citing the European Commission’s executive vice president, Valdis Dombrovskis.

“We are working on a sixth sanctions package and one of the issues we are considering is some form of an oil embargo. When we are imposing sanctions, we need to do so in a way that maximizes pressure on Russia while minimizing collateral damage on ourselves,” Mr. Dombrovskis told The Times.

He said that precise details of the oil sanctions had not yet been agreed but could include a gradual phasing-out of Russian oil or imposing tariffs on exports beyond a certain price cap, the newspaper reported.

Russia is Europe’s biggest oil supplier, providing 26% of EU imported oil in 2020. Europe gets roughly a third of its gross available energy from oil and petroleum products, in sectors from transportation to chemicals production.

Ukraine and some EU states, including Poland and Lithuania, want a ban on Russian oil and gas, whereas Germany and Hungary are opposed to an immediate oil embargo.

Oil and oil products made up more than a third of Moscow’s export revenues last year. Currently, Europe spends around $450 million per day on Russian crude oil and refined products, around $400 million per day for gas, and roughly $25 million for coal, according to think-tank Bruegel. — Reuters

Twitter, under shareholder pressure, begins deal talks with Musk — sources

April 25, 2022 | 2:10 pm

Twitter Inc. kicked off deal negotiations with Elon Musk on Sunday after he wooed many of the social media company’s shareholders with financing details on his $43 billion acquisition offer, people familiar with the matter said.

The company’s decision to engage with Mr. Musk, taken earlier on Sunday, does not mean that it will accept his $54.20 per share bid, the sources said. It signifies, however, that Twitter is now exploring whether a sale of the company to Mr. Musk is possible on attractive terms, the sources added.

Mr. Musk, chief executive of electric car giant Tesla Inc., has been meeting with Twitter shareholders in the last few days, seeking support for his bid. He has said Twitter needs to be taken private to grow and become a genuine platform for free speech.

Many Twitter shareholders reached out to the company after Mr. Musk outlined a detailed financing plan for his bid on Thursday and urged it not to let the opportunity for a deal slip away, Reuters reported earlier on Sunday.

Mr. Musk’s insistence that his bid for Twitter is his “best and final” has emerged as a hurdle in the deal negotiations, the sources said. Nevertheless, Twitter’s board has decided to engage with Musk to gather more information on his ability to complete the deal, and potentially get better terms, the sources added.

Twitter has not yet decided if it will explore a sale to put pressure on Mr. Musk to raise his bid, according to the sources. The people with knowledge of the matter declined to be identified because the deal discussions are confidential.

Twitter wants to know more about any active investigations by regulators into Mr. Musk, including by the US Securities and Exchange Commission (SEC), that would present a risk to the deal being completed, one of the sources said.

Securities lawyers say that Mr. Musk, who settled charges that he misled investors by suggesting four years ago he had secured funding to take Tesla private, may have breached SEC disclosure rules as he amassed a stake in Twitter earlier this year.

Twitter is also looking into whether regulators in any of the major markets it operates would object to Mr. Musk owning the company, the source added. Were Twitter to establish that a sale to Mr. Musk would be risky, it could ask for a sizeable break-up fee, according to the sources.

The social media company adopted a poison pill after Mr. Musk made his offer to prevent him from raising his more than 9% stake in the company above 15% without negotiating a deal with its board. In response, Mr. Musk has threatened to launch a tender offer that he could use to register Twitter shareholder support for his bid.

A concern that Twitter’s board weighed was that unless it sought to negotiate a deal with Mr. Musk, many shareholders could back him in a tender offer, the sources said.

While the poison pill would prevent Twitter shareholders from tendering their shares, the company is worried that its negotiating hand would weaken considerably if it was shown to be going against the will of many of its investors, the sources added.

Representatives for Twitter and Mr. Musk did not immediately respond to requests for comment.

The Wall Street Journal reported earlier on Sunday that Mr. Musk and Twitter would meet to discuss the acquisition offer.

‘INTRINSIC VALUE’
The price expectations among Twitter shareholders for the deal diverge largely based on their investment strategy, the sources said.

Active long-term shareholders, who together with index funds hold the biggest chunk of Twitter shares, have higher price expectations, some in the $60s-per-share, the sources said. They are also more inclined to give Parag Agrawal, who became Twitter’s chief executive in November, more time to boost the value of the company’s stock, the sources added.

“I don’t believe that the proposed offer by Elon Musk ($54.20 per share) comes close to the intrinsic value of Twitter given its growth prospects,” Saudi Arabia’s Prince Alwaleed bin Talal, a Twitter shareholder, tweeted on April 14.

Short term-minded investors such as hedge funds want Twitter to accept Mr. Musk’s offer or ask for only a small increase, the sources said. Some of these are fretting that a recent plunge in the value of technology stocks amid concerns over inflation and an economic slowdown makes it unlikely Twitter will be able to deliver more value for itself anytime soon, the sources added.

“I would say, take the $54.20 a share and be done with it,” said Sahm Adrangi, portfolio manager at Kerrisdale Capital Management, a hedge fund that owns 1.13 million shares in Twitter, or 0.15% of the company, and has been an investor since early 2020.

One silver lining for Twitter’s board is that Mr. Musk’s offer did not appear to convert much of his army of 83 million Twitter followers into new shareholders in the San Francisco-based company who could back his bid, the sources said.

Twitter’s retail investor base has increased from about 20% before Mr. Musk unveiled his stake on April 4 to some 22%, according to the sources. — Svea Herbst-Bayliss and Greg Roumeliotis/Reuters

France’s Macron defeats far-right, pledges change

April 25, 2022 | 1:31 pm

France-Emmanuel Macron — French President Emmanuel Macron delivers a speech at the Elysee Palace in Paris, France, February 1, 2022. — REUTERS

PARIS — Emmanuel Macron comfortably defeated far-right rival Marine Le Pen on Sunday, heading off a political earthquake for Europe but acknowledging dissatisfaction with his first term and saying he would seek to make amends.

His supporters erupted with joy as the results appeared on a giant screen at the Champ de Mars park by the Eiffel tower.

Leaders in Berlin, Brussels, London and beyond welcomed his defeat of the nationalist, eurosceptic Ms. Le Pen.

With 97% of votes counted, Mr. Macron was on course for a solid 57.4% of the vote, interior ministry figures showed. But in his victory speech he acknowledged that many had only voted for him only to keep Ms. Le Pen out and he promised to address the sense of many French that their living standards are slipping.

“Many in this country voted for me not because they support my ideas but to keep out those of the far-right. I want to thank them and know I owe them a debt in the years to come,” he said.

“No one in France will be left by the wayside,” he said in a message that had already been spread by senior ministers doing the rounds on French TV stations.

Two years of disruption from the pandemic and surging energy prices exacerbated by the Ukraine war catapulted economic issues to the fore of the campaign. The rising cost of living has become an increasing strain for the poorest in the country.

“He needs to be closer to the people and to listen to them,” digital sales worker Virginie, 51, said at the Macron rally, adding he needed to overcome a reputation for arrogance and soften a leadership style Macron himself called “Jupiterian.”

Ms. Le Pen, who at one stage of the campaign had trailed Macron by just a few points in opinion polls, quickly admitted defeat. But she vowed to keep up the fight with parliamentary elections in June.

“I will never abandon the French,” she told supporters chanting “Marine! Marine!”

NO GRACE PERIOD

Mr. Macron can expect little or no grace period in a country whose stark political divisions have been brought into the open by an election in which radical parties scored well. Many expect the street protests that marred part of his first term to erupt again as he presses on with pro-business reforms.

“There will be continuity in government policy because the president has been reelected,” Health Minister Olivier Veran said. “But we have also heard the French people’s message.”

How Mr. Macron now fares will depend on the looming parliamentary elections. Ms. Le Pen wants a nationalist alliance in a move that raises the prospect of her working with rival far-rightists like Eric Zemmour and her niece, Marion Marechal.

Hard-left Jean-Luc Melenchon, who emerged as by far the strongest force on the left of French politics, said he deserves to be prime minister – something that would force Mr. Macron into an awkward and stalemate-prone “cohabitation.”

“Melenchon as prime minister. That would be fun. Macron would be upset, but that’s the point,” said Philippe Lagrue, 63, technical director at a Paris theater, who voted for Mr. Macron in the run-off after backing Mr. Melenchon in the first round.

Outside France, Mr. Macron’s victory was hailed as a reprieve for mainstream politics rocked in recent years by Britain’s exit from the European Union, the 2016 election of Donald Trump and the rise of a new generation of nationalist leaders.

“Bravo Emmanuel,” European Council President Charles Michel, wrote on Twitter. “In this turbulent period, we need a solid Europe and a France totally committed to a more sovereign and more strategic European Union.”

“Congratulations to the President and a true friend @EmmanuelMacron on the election victory,” Ukraine President Volodymyr Zelenskyy wrote on his Twitter account in early hours on Monday.

“The financial markets will breathe a collective sigh of relief following Macron’s election victory,” said Seema Shah, Chief Strategist at Principal Global Investors.

FRENCH DIVIDES

The disillusion with Mr. Macron was reflected in an abstention rate expected to settle around 28%, the highest since 1969.

Initial polling showed the vote was sharply split both by age and socio-economic status: Two-thirds of working class voters backed Ms. Le Pen, while similar proportions of white-collar executives and pensioners backed Mr. Macron, an Elabe poll showed.

Mr. Macron won around 59% of votes by 18–24-year-olds with the vote almost evenly split in other age categories.

During the campaign, Ms. Le Pen homed in on the rising cost of living and Macron’s sometimes abrasive style as some of his weakest points.

She promised sharp cuts to fuel tax, zero-percent sales tax on essential items from pasta to diapers, income exemptions for young workers and a “French first” stance on jobs and welfare.

“I’m shocked to see that a majority of French people want to reelect a president that looked down on them for five years,” Adrien Caligiuri, a 27-year-old project manager said at the Le Pen rally.

Mr. Macron meanwhile pointed to Ms. Le Pen’s past admiration for Russia’s Vladimir Putin as showing she could not be trusted on the world stage, while insisting she still harbored plans to pull France out of the European Union — something she denies. — Mimosa Spencer, Layli Foroudi, and Ingrid Melander/Reuters

ECB policymakers keen for quick end to bond buys, early rate hike — sources

April 25, 2022 | 1:05 pm

€ symbol near the Eurotower in Frankfurt — BW FILE PHOTO

WASHINGTON — European Central Bank (ECB) policymakers are keen to end their bond purchase scheme at the earliest possible moment and raise interest rates as soon as July but certainly no later than September, nine sources familiar with ECB thinking told Reuters.

The ECB has been removing stimulus at the slowest possible pace this year but a surge in inflation is now putting pressure on policymakers to end their nearly decade-long experiment with unconventional support.

The big obstacle so far has been that longer-term forecasts still showed inflation falling back below the ECB’s 2% target but fresh estimates shared with policymakers at their April 14 meeting showed even 2024 inflation over target, several of the sources said.

“It was just over 2% so in my interpretation all the criteria to raise interest rates have now been met,” one of the sources, who asked not to be named said.

Governing Council members have long criticized the ECB for underestimating inflation, which hit 7.5% last month, and they consider the new projection as a step in acknowledging the reality.

“When (chief economist) Philip (Lane) presented the numbers, people actually clapped,” another source said.

An ECB spokesperson declined to comment.

No policy proposals have been tabled yet and the ECB’s next meeting is still over a month away, on June 9.

ECB President Christine Lagarde on Friday said that bond buys should end early in the third quarter and a rate rise this year is likely.

THREE MOVES?

Nearly all of the sources said that they see at least two rate hikes this year, but some argued that a third is also possible, although highly dependent on how markets digest its moves.

Markets price in around 85 basis points of hikes for this year, so more than three 25 basis point moves, which would put the minus 0.5% deposit rate back in positive territory for the first time since 2014.

Unwinding stimulus, the ECB has long argued that it is merely normalizing policy, is an undefined concept with no set parameters.

The policymakers who spoke to Reuters, however, said that normalization should mean returning to the neutral rate of interest, which neither stimulates nor holds back growth.

They put this at around 1% to 1.25%, so 150 to 175 basis points above the current rate.

“Getting to this level by the end of 2023 could be reasonable,” a fifth source said.

Interest rates can only rise, however, once bond purchases conclude and all 9 policymakers, who spoke on condition of anonymity, said this should happen on June 30 or July 1.

This would mean that the ECB would be in position by its July 21 meeting to raise rates.

“Unless the outlook changes dramatically, I would go for July,” a third source said.

Some of the sources, however, said they would still prefer to wait until September, partly because new forecasts would be available by then and partly to avoid a major policy move during the summer months, when liquidity is lower.

The ECB last raised interest rates in 2011 on the eve of the bloc’s debt crisis, a move now widely considered its biggest policy mistake to date.

“Memory of that move still haunts us,” a fourth source said. “Some people fear making a similar error.”

The US Federal Reserve is expected to tighten even more quickly. Markets see nearly 250 basis points worth of tightening this year with 50 basis point hikes due at some meetings.

All ECB policymakers stressed, however, that the outlook could change radically until then as Russia’s invasion of Ukraine is a persistent threat to confidence and the COVID-19 pandemic is also not over.

Some of the policymakers said that a technical recession, or two consecutive quarters of negative growth, is possible this year but the full year figure is still going to be positive. — Balazs Koranyi/Reuters

Shanghai fences up COVID-hit areas, fueling fresh outcry

April 25, 2022 | 12:03 pm

China-Residents — RESIDENTS line up for nucleic acid tests during a lockdown in Shanghai, China, April 17. — REUTERS

SHANGHAI — Shanghai authorities battling an outbreak of coronavirus disease 2019 (COVID-19) have erected fences outside residential buildings, sparking fresh public outcry over a lockdown that has forced much of the city’s 25 million people indoors.

The largest district in Beijing, meanwhile, will require everyone living or working in the area to take three COVID tests this week, and put more than a dozen buildings under lockdown, after the Chinese capital reported 22 new cases for Saturday. The district, Chaoyang, is home to 3.45 million people.

In Shanghai, images of workers in white hazmat suits sealing entrances of housing blocks and closing off entire streets with green fencing — roughly two meters tall — went viral on social media, prompting questions and complaints from residents.

“This is so disrespectful of the rights of the people inside, using metal barriers to enclose them like domestic animals,” said one user on social media platform Weibo.

One video showed residents shouting from balconies at workers trying to set up fencing. The workers relented and took it away. Other videos showed people trying to pull fences down.

“Isn’t this a fire hazard?” asked another Weibo user.

Many of the fences were erected around compounds designated “sealed areas” — buildings where at least one person tested positive for COVID-19, meaning residents are forbidden from leaving their front doors.

It was not clear what prompted authorities to resort to fencing. A notice dated Saturday from one local authority shared online said it was imposing “hard quarantine” in some areas.

Reuters was not able to verify the authenticity of the notice or all of the images, but saw green fencing on a street in central Shanghai on Sunday.

In recent days, Reuters has also seen police in hazmat suits patrolling Shanghai streets, setting up roadblocks and asking pedestrians to return home.

The Shanghai government did not respond to a request for comment.

MISERY

Shanghai is China’s most populous city and most important economic hub. It is battling the country’s biggest COVID-19 outbreak since the coronavirus first emerged in Wuhan in late 2019 with a policy that forces all positive cases into quarantine centers.

The lockdown, which for many residents has lasted over three weeks, has fueled frustration over lost wages, family separation and quarantine conditions as well as access to medical care and food.

Supermarket Freshippo, backed by Alibaba Group Holding Ltd , said on Sunday it was adding couriers to meet demand in the city.

The lockdown has also dragged on China’s economy, the world’s second-largest, with factory production disrupted by snarled supply chains and difficulties faced by locked-down residents returning to work.

Shanghai is carrying out daily citywide COVID tests and accelerating transfer of positive cases to central facilities to eradicate virus transmission outside quarantine areas.

In the past week, authorities have also transferred entire communities, including uninfected people, saying they need to disinfect their homes, according to residents and social media posts.

Many residents have vented on the internet about the lockdown and expressed dissent, using euphemisms and other means to battle government censors who often remove content critical of the authorities.

Videos of “Do You Hear The People Sing?”, a protest anthem from Les Miserables, have been widely reposted, with the title of the French musical receiving over 90 million mentions on WeChat on Saturday, the chat app’s data showed.

DEATH TOLL

Shanghai reported 39 COVID deaths for April 23, versus 12 a day earlier and by far the most during the current outbreak.

It did not report any deaths in the first few weeks, fueling doubt among residents about the figures. It has since reported 87 fatalities, all in the past seven days.

The city recorded 19,657 new locally transmitted asymptomatic cases, versus 20,634 a day prior, and 1,401 symptomatic, versus 2,736.

Cases outside quarantined areas totaled 280 from 218 on the previous day. Other cities that have been under lockdown began easing restrictions once cases hit zero.

In Beijing’s Chaoyang district, where officials urged people to reduce public activities, residents stocked up on groceries on Sunday evening, fearing lockdown could be coming.

One middle-aged resident, who declined to give his name, carried five large bags of rice and three large bottles of cooking oil amongst other items in his shopping trolley.

“The lockdown could happen in a couple of days. That’s what people are saying. But really, we don’t know,” he said.

China largely succeeded in keeping coronavirus at bay following the Wuhan outbreak, with a “dynamic zero” policy aimed at stamping out chains of infection.

That approach has been challenged by the spread of the highly infectious but less deadly Omicron variant, which has prompted cities to impose various levels of restrictions on movement. Nationwide, China reported 20,285 new asymptomatic coronavirus cases for Saturday, versus 21,423 a day earlier, with 1,580 symptomatic cases, versus 2,988. — Brenda Goh and Jacqueline Wong/Reuters

Registration is now open for BusinessWorld Virtual Economic Forum 2022

April 25, 2022 | 9:00 am

The world has largely changed after more than two years of battling a global health crisis like the COVID-19 pandemic — from how consumers purchase and get products to how organizations operate and what they prioritize. These various transformations are set to remain permanent in the so-called ‘new normal,’ and thus it is imperative for organizations, institutions, and businesses to fully grasp how these changes will shape the future, as well as reshape their priorities and redirect their plans towards meaningful recovery and purposeful growth.

BusinessWorld, the country’s most trusted business newspaper and multimedia content provider, will once again be at the forefront of understanding our ‘new normal’ world as it holds this year’s BusinessWorld Virtual Economic Forum on May 25 and 26.

Registration for this most-awaited event in the business community opens today, April 25.

With the theme “Revolutions 2022: Navigating the Changed World,” this year’s forum will bring together leaders and experts from various fields to discuss with BusinessWorld editors and journalists the transformations brought or accelerated by the pandemic, the lessons that can be learned from them, and the most effective ways to face and thrive in such a transformed landscape.

The forum will have three keynotes, namely on the latest global economic outlook and agenda; on creating a more sustainable, resilient, and inclusive post-COVID world; and how the digital economy is transforming our lives. There will also be panel discussions gathering corporate executives and business leaders to discuss topics such as “Rethinking the Role of Corporate Leaders in an Era of Change” and “Technology Adoption & Collaboration: Prospects in the Digital Economy,” to name a few.

Moreover, the two-day forum will be highlighted by presentations on four observed revolutions, namely: “Sustainability Revolution: Investing in Green Economy;” “Industry Revolution: Reinventions & Opportunities in Traditional Businesses;” “Internet Revolution: Web 3.0, 5G and a Hyperconnected World;” and “Human Revolution: Man Meets Machine in Industry 5.0.”

Completing this lineup are fireside chats and “Ask the Expert” sessions on other relevant trends shaping the post-COVID normal, such as the fusion of physical and digital experiences, the circular economy, the metaverse, and the ongoing “Great Resignation” among workforces.

For this year’s forum, interested attendees can avail of Regular (free of charge) or Premium access pass. Both passes give attendees live access to the forum’s morning sessions, the virtual exhibit, main lobby, and online polls; while Premium access pass exclusively gives access to the afternoon sessions, the networking lounge area, as well as an e-certificate after the event. Both passes also avails attendees of 20% discounts on digital subscription to BusinessWorld and BusinessWorld In-Depth digital magazine.

Head on to www.bworldonline.com/BWVEFRevolutions2022 to sign up and learn more about this year’s BusinessWorld Virtual Economic Forum.

BusinessWorld Virtual Economic Forum 2022 is presented by BusinessWorld Publishing Corp., with gold sponsors Ayala Corp., Federal Land, Inc., LT Group, Inc., San Miguel Corp.; silver sponsors Aboitiz InfraCapital, Inc., Asus Philippines Corp., BDO Unibank, Inc., GT Capital Holdings, Inc., Wilcon Depot, Inc.; bronze sponsors First Gen Corp., Robinsons Retail Holdings, Inc., Southstar Drug; partner organizations Asia Society – Philippines, Bank Marketing Association of the Philippines, European Chamber of Commerce of the Philippines, Financial Executives Institute of the Philippines, French Chamber of Commerce and Industry in the Philippines, Makati Business Club, Management Association of the Philippines, Philippine Chamber of Commerce and Industry, Philippine Franchise Association, Philippine Retailers Association; media partner The Philippine STAR; and official TV partner OneNews.

For further inquiries, please contact Shai Cordero through email at marcom@bworldonline.com.

Spotlight is BusinessWorld’s sponsored section that allows advertisers to amplify their brand and connect with BusinessWorld’s audience by enabling them to publish their stories directly on the BusinessWorld Web site. For more information, send an email to online@bworldonline.com.

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Landco empowers home buyers and investors to help build a sustainable future

April 25, 2022 | 9:00 am

BeachTowns in Batangas are developed for environmental conservation and community development

In celebration of the 52^nd Earth Day with the theme “Invest in Our Planet,” Landco is in solidarity with the worldwide environmental and social movement in over 192 countries to drive positive action for the planet.

Through its latest developments of BeachTowns in Batangas, Landco continues to empower home buyers and investors to make sustainable and ethical investments that bring about positive environmental and community change to heal the planet.

“Championing environmental stewardship, the overall health and welfare of communities, and resource efficiency in our property developments are at the heart of Landco’s operations especially in the BeachTowns, not because we have to, but primarily because it’s the right thing to do,” enthused Erickson Y. Manzano, President and CEO, Landco Pacific Corp.

Setting a new standard in sustainable luxury beach living, Landco BeachTowns are master-planned communities located in prime leisure and tourist destinations of Batangas, just a few hours from Metro Manila.

Its latest Leisure Tourism Estates (LTE): the 15-hectare CaSoBē and 24-hectare Club Laiya are both LEED (Leadership in Energy and Environmental Design)-registered with its water recycling measures, permeable pedestrian tree-lined walkways, and scenic bike lanes around the beachside properties to reduce carbon footprints.

With the sustainable development of the BeachTowns, investors and residents can seize the opportunity to have a healthy and sustainable lifestyle in their dream beach homes, at the same time take advantage of the long-term high appreciation value of the properties and pass it on as a legacy for the next generations.

Landco has been building leisure estates for the last 30 years and has been known for its sustainability undertakings which bolster the high appreciation value of its various developments including Punta Fuego.

Millennial Resorts Corp. (MRC), which provides the hospitality facilities for the BeachTowns, was awarded the first EDGE (Excellence in Design for Greater Efficiencies) Certification among the resorts in the country, for the eco-friendly design of Crusoe Cabins at CaSoBē in Calatagan. The EDGE Certification was given by the Philippine Green Building Initiative, Inc. (PGBI).

As part of Landco’s holistic approach to sustainability in the BeachTowns, 70% of MRC’s employees in Calatagan are locals, and initiatives such as mangrove sapling planting and support to fisherfolks are implemented.

For more information about Landco BeachTowns, visit https://www.landco.ph/ or FB page: https://www.facebook.com/LandcoPacificCorporation.

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Investing in the planet’s future

April 25, 2022 | 9:00 am

Earth Day is always a timely reminder of how vital it is to put greater attention on the state of the planet and participate in the fight against the climate crisis. And the calls to take action for the planet have been more and more resounding, moving us to act now.

The latest United Nations Intergovernmental Panel on Climate Change (IPCC) Working Group III Sixth Assessment Report, which evaluated climate change mitigation progress and pledges, among others, stated that greenhouse gas emissions must peak before 2025 at the latest to preserve the chance of limiting global warming to 1.5°C, a target set under the Paris Agreement.

“It’s now or never, if we want to limit global warming to 1.5°C (2.7°F),” IPCC Working Group III Co-Chair Jim Skea said in a statement. “Without immediate and deep emissions reductions across all sectors, it will be impossible.”

As we heard the alarms about the current and potential situation, how should we stand up and act to save the planet that gives us life?

Everyone has a part to play in this crucial step for the planet. This is highlighted by EARTHDAY.ORG in this year’s theme, a call to “Invest in Our Planet.”

The campaign seeks to “push aside the barriers” established by the fossil fuel economy and its fellow conspirators old technologies and shift the attention towards building a 21^st-century economy that restores the planet’s health, protects the species, and has opportunities to offer to everyone.

The focus of this year’s theme is to get the over a billion people, the governments, businesses, and institutions joining the Earth Day involved to understand the collective responsibility and help out in accelerating the transition toward such an equitable and prosperous green economy.

“In 2022, we all must enter into one partnership for the planet. People, governments, and even most businesses fear change but the status quo — the way we live today — is changing before our eyes. In building our future, individuals, businesses, governments, each have a unique role — we need to act individually and together,” EARTHDAY.ORG President Kathleen Rogers said in a statement.

Businesses can drive a substantial change by investing in the planet and fighting climate change. As most may have comprehended, corporations produce almost everything consumers buy, use, and discard, which could then contribute to the climate situation.

“Unless businesses act now, climate change will ever more deeply damage economies, increase scarcity, drain profits and job prospects, and impact us all,” EARTHDAY.ORG said on their website.

Yet, the organization considered that “smart companies” are realizing that it is no longer about having to choose between going green and growing long-term profits because “sustainability is the path to prosperity.”

The government’s role in investing in the planet, meanwhile, is to incentivize its businesses, institutions, and citizens to create a resilient future. For EARTHDAY.ORG, governments hold the keys to driving the transformation and development of a green economy by creating regulations, incentives, and public/private partnerships.

“Ultimately, governments will empower green business practices as not only the ethical option but also the lucrative one,” the organization wrote.

Holding governments, businesses, and others accountable and supporting their efforts when done right are among the responsibilities of citizens.

EARTHDAY.ORG recognized the capacity of individuals to lobby for and support businesses that participate in environmental protection through their practices and investments, and to fight against those that do not take part.

Several studies have already shown the number of consumers minding the environmental impact of their purchase. The EY Future Consumer Index last year, as an example, showed that most consumers (64%) intend to pay more attention to the environmental impact of products they consume.

Still, many consumers (78%) are concerned over the pandemic’s impact on their finances. And while 51% do want to purchase more sustainably, high prices discourage 66%.

The study also showed that most consumers (68%) expect companies to be the leaders in driving good social and environmental outcomes.

“As individuals, we have the simple yet effective power to make our voices heard through our choices, our civic actions, and our personal interactions,” said EARTHDAY.ORG. “What each of us does, and how we do it, has a huge ripple effect on our ecosystems, and on the pace of corporate and government action.” This further substantiated why investing in the planet requires a collective action among businesses, governments, and individuals.

“Unlike other historic economic revolutions, this time there are two additional imperatives,” EARTHDAY.ORG’s Ms. Rogers said. “The first is to save ourselves from the climate crisis, and the second is to build new green economies in every country so that everyone can share in the benefits from this green revolution. This will only be done if we invest in our planet’s future together.” — Chelsey Keith P. Ignacio

ADMU ignites young technology entrepreneurs to ‘launch their purpose’

April 25, 2022 | 9:00 am

By Allyana A. Almonte

Through a four-day tech startup conference, the Ateneo de Manila University (ADMU) featured thought-provoking keynote sessions, personal interactions with global thought leaders, and internships and networking opportunities for young entrepreneurs.

Building Young Tech Entrepreneurs (BYTE), the home organization of ADMU’s B.S. Information Technology Entrepreneurship students, facilitated the conference dubbed as Startup Summit 2022: Launch Your Purpose last April 6 to 9 via Hopin and Zoom virtual meeting platforms.

The summit mapped out the journey towards becoming a tech industry leader. It was attended by around 400 participants in each session who learned the steps to constructing a startup.

Through 10 high-caliber resource speakers from the technological entrepreneurship sector, the summit featured the ideation, development and growth stages that every entrepreneur takes in their journey as a startup founder.

Angkas Founder Angeline Tham, SariSuki CEO and Founder Brian Cu, and MedGrocer Co-Founder and COO Germaine Erika Kaw helped and pondered with the participants in exploring motivations and advocacies that build the backbone of startups on the first day of the summit.

“Issues are opportunities. If there are no problems, there is no business. Expect people to say no to you but press upon them what your belief is to improve the system. Keep to your core the values and purpose to navigate forward,” Ms. Tham said as participants asked questions about the ideation and adversities of a startup. She also mentioned how impactful are Angkas’ viral social media posts in driving sales.

On the second day of the summit, participants discovered more about ensuring a startup’s success by taking a deep dive into the technical aspects and hard skills needed, through learning from the best minds in the industry.

Kinobi Co-Founder and COO Hafiz Kasman, 917Ventures Head of Growth & Programs Group Natasha Dawn Bautista, and DEEPCORE Director of Investment Jin Tanaka discussed the learnings they have accumulated for years of running startups and on how to build one from the roots up.

“Having an entrepreneurial mindset like analytical and critical thinking, with the right balance of crazy, insane, or experimental strategy, are two of the characteristics one startup dream team should have. A startup shouldn’t be obsessing with the solution, but should be obsessed with the problem instead,” Ms. Bautista advised the young entrepreneurs.

The third day of the summit featured four multi-awarded startup founders who delved into the courses of action needed to scale, thrive, and grow amidst the long-term changes inside the startup ecosystem.

Pick.A.Roo CEO & Co-Founder Crystal Gonzalez, Brainsparks Co-Founder Artie Lopez, Great Deals E-Commerce Corp. Founder and CEO Steve Sy, and Foxmont Capital Partners Managing Partner Franco Varona shared their notable experiences as entrepreneurs who made a mark as they ventured into the startup scene.

“Sometimes, the most important validation you can get is a ‘no’, for failure is always a part of the process in ideating, building, and growing a startup,” Mr. Lopez said.

Alongside the talk sessions, the conference became an avenue to present partner startups in Expo Booths as they showcased their innovative solutions.

Participants were GrowSari, a tech-enabled B2B platform that helps the Philippines’ over one million sari-sari stores and other retail outlets transform themselves from simple neighborhood outlets to comprehensive service hubs; Splore, a wellness marketplace that envisions a world where fitness and health are both accessible and attainable; Eskwelabs, an online data upskilling school in the Philippines with the mission of driving social mobility in the future of work through data skills education; Mayani, an agritech startup empowering local farmers and fisherfolk; and Unawa, a regulatory tech startup making ‘ease of doing business’ a reality in the country.

The summit also offered young learners and entrepreneurs with endless opportunities of getting a real-work experience through the activities’ partner companies.

On the last day of the summit, a roundtable discussion served as the post-event and networking night for the participants to make new connections and find the right blend of a startup dream team.

BYTE Heads Camille Go and Justine Ngo wrapped up this year’s summit by appreciating all the sponsors, media partners, and partnered startups and companies for helping make the conference an airstrip where dreams take into flight.

Various ways to save the Earth

April 25, 2022 | 8:55 am

In the past years, country leaders, global companies, and private organizations are seen joining hands to usher food security, transportation, and energy away from the traditional economy flow to a more circular motion. However favorable and impactful the results, research shows that these collaborations alone are still not enough to combat the climate crisis.

According to Kathleen Rogers, Earth Day Network president, “We must collectively act now.” While leaders can be at the forefront of the change, individuals around the world have tremendous power in instigating improvement through being mindful of daily actions towards the environment.

In time with the Earth Day, the world is uniting behind the theme “Invest In Our Planet,” putting the spotlight towards shifting to a more sustainable way of living to save the environment.

Global institutions like National Geographic Society and World Wide Fund for Nature (WWF) continuously promote simple things anyone can do to help save the planet such as cutting down on what to throw away, following the three “R’s” (reduce, reuse, and recycle) to accommodate shrinking landfill spaces, conserving water, shopping wisely with reusable bag, and using of long-lasting light bulbs.

In addition to these steps, WWF also urges young people to keep being informed, use their voices, and speak up in social media about how saving the Earth is a responsibility of everyone.

The National Geographic also calls on the youth to become habitat heroes through volunteering for cleanup drives, tree-planting activities, and environmental teaching in communities.

However, as environmental problems grow bigger, the United Nations Foundation crafted a new game plan for countries to become climate ready and achieve a future-proof environment.

According to the foundation, investing in renewable energy and improving energy efficiency can curb greenhouse gas (GHG) emissions, make energy more accessible other than using carbon-intensive energy sources, improve the poor air quality brought by the burning fossil fuels, and preserve the millions of people who may die each year due to toxic smoke inhalation.

Investing in clean transportation comes in the second spot as many developing countries are now building bike-friendly roads to reduce carbon emissions brought about by cars. Two billion bikes are being used around the world, according to the World Economic Forum (WEF), and the number could rise to five billion by 2050.

Like the energy sector, today’s transportation is almost entirely dependent on fossil fuels, producing one-fourth of the world’s GHG emissions. With alternative clean transportation, UN believes that it can also enhance access to education, health care, and economic opportunity by providing more sustainable, accessible ways for people to get to and from their destinations.

Agriculture and food production also hold promising solutions to climate change, the foundation points out. Use of conventional plowing as it harnesses the soil’s natural ability to store carbon, developing solar-powered irrigation, hydroponic growing, and meat alternatives are other innovations UN mentioned that could transform how communities can grow food and lead to a more sustainable way of managing land and water.

UN Foundation Senior Advisor for Ocean and Climate Susan Ruffo persuaded leaders to invest in research and development of nature-based solutions found in the world’s seawaters for nature-based remedies can also be found in the ocean.

Aside from investing in the nature itself, UN also highlights how investing on people and peace can drive the planet away from catastrophe.

Because of indigenous communities’ cultural, social, and physical connection to the environment, climate change is threatening their very existence. Public discourse and policy decisions on climate change should include their unique perspectives and traditional knowledge of land stewardship.

Across the globe, girls and women depend more on natural resources, according to the UN. This makes them uniquely vulnerable to climate change. But as the primary stewards of their households and communities, they are also effective agents of change and defenders of the environment.

Finally, war doesn’t only cost human lives and cause widespread hunger, poverty, and suffering. The environment is the “silent victim of a violent conflict.” By investing in peace and diplomacy, future generations can be spared from further rage and protect the planet at the same time. — Allyana A. Almonte

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