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Toyota Raize now available to reserve

PHOTO FROM TOYOTA MOTOR PHILIPPINES CORP.

SAID TO BE “arriving in just a few days,” the all-new Toyota Raize SUV, reported Toyota Motor Philippines Corp. (TMP), is now available to order. The company declared that interested parties may inquire at the nearest Toyota dealership or a preferred authorized marketing professional “on how to get listed for reservations.”

The brand’s five-seater crossover is designed and developed to be compact, active, and useful both for everyday and leisure on weekends. The Raize will come in four variants — 1.0 Turbo CVT, 1.2 G CVT, 1.2 E CVT, and 1.2 E MT — and is priced from P746,000 up to P1,036,000. It also comes in gray and silver metallic exterior colors, with a red finish available for the G CVT variant. The Turbo CVT variant exclusively offers two-tone colors including white and black, turquoise and black, and yellow and black.

For more information, visit a Toyota dealership or inquire online (toyota.com.ph/raize) and choose a preferred dealership, which will revert back on the product inquiry. TMP’s official pages are Toyota Motor Philippines on Facebook, toyota.com.ph, ToyotaMotorPH of Instagram, and Toyota PH on Viber. Customers are also encouraged to download the myToyota PH app for Android and iOS for all Toyota needs, from car selection to car care, maintenance, and upgrades.

2 Filipino films win awards at the 2022 Sundance film fest

Don Josephus Eblahan’s The Headhunter’s Daughter — FACEBOOK.COM/HEADHUNTERSDAUGHTER.FILM

TWO Filipino films — one about an aspiring country singer, and another about a retired filmmaker, both of whom have a common goal of fulfilling their passions — were honored at the 2022 Sundance Film Festival awarding ceremony on Jan. 29.

Don Josephus Eblahan’s The Headhunter’s Daughter won the Short Film Grand Jury Prize while Martika Ramirez Escobar’s Leonor Will Never Die won the Special Jury Award in the World Cinema Dramatic Competition. Both films had their world premieres at this year’s virtual film festival.

The Headhunter’s Daughter follows an aspiring country singer (played by Ammin Acha-ur) who leaves home with her horse named July, and journeys from the Cordilleran highlands to the city to audition for a televised singing competition.

“We were entranced by this poetic and dream-like film which follows its character with gorgeous cinematography, direction, and acting, capturing a unique sense of place,” presenting juror Blackhorse Lowe said at the ceremony, reading the film’s citation for The Headhunter’s Daughter.

A post on The Headhunter’s Daughter’s official Facebook page stated: “Our hearts are full from all the kind messages and thoughtful reception about our film. We are grateful for this opportunity to premiere our film in Sundance, but to win the Grand Jury Prize brings a whole new layer of emotions, still currently being processed by each, and everyone involved in the film. But one thing is for certain, we are all overjoyed! Salamat! (Thank you!).”

Leonor Will Never Die follows retired filmmaker Leonor Reyes (played by Sheila Francisco) who, after a near death experience, falls into a coma and finds herself as the protagonist of her own unfinished screenplay.

“Switching in-between genres, this film within a film follows an ailing screenwriter who enters her unfinished screenplay of a gangster film to experience and edit her own creation. Constantly shifting in tone, the film is a playful display of the love of cinema. Its innovative and risk-taking spirit is especially commendable,” presenting juror La Frances Hui said, reading the film’s citation for Leonor Will Never Die.

“Films can speak and films can be heard, and today I’m glad that our film is felt by the jury. Thank you so much Sundance Film Festival, our spirits are smiling,” Leonor Will Never Die director Ms. Escobar wrote on Facebook.

Salamat sa lahat ng nanood, bumati, nagkwento, nagparamdam, nagreact, umiyak, ngumiti at nagpakita ng pagmamahal sa aming pelikula (Thank you to everyone who watched, greeted, talked about, flet, reacted, cried, smiled, and showed love for our movie),” she added.

Due to the COVID-19 pandemic, the film festival was held online for a second consecutive year. It ran from Jan. 20 to 30.

Founded in 1978 by the Sundance Institute, the Sundance Film Festival is the largest independent film festival in the United States and is held annually in Park City, Utah. Filmmakers who had their breakthrough at the film festival include Quentin Tarantino, Kevin Smith, David O. Russel, and Darren Aronofsky. — Michelle Anne P. Soliman

Catholic bishops spurn banks funding coal plants

By Marielle C. Lucenio

CATHOLIC bishops in the country said they will withdraw their resources from banks that continue to finance coal projects by 2025 and will reject donations from “destructive” industries.

“We must not allow the financial resources of our Catholic institutions to be invested in favor of coal-fired power plants, mining companies, and other destructive extractive projects,” the Catholic bishops wrote in their “Pastoral Letter on Ecology” released on Jan. 29.

These decisions, which the Catholic Bishops’ Conference of the Philippines (CBCP) came up after a two-day online plenary assembly, were strengthened by Pope Francis’ leadership and call for more investments in renewable energy.

The bishops urged priests to discuss with and demand their respective banks where they deposit their financial resources to come up with policies and plans to phase out their exposure to coal, fossil gas, and destructive energy.

“Without clear commitments and policies from these banks to divest from fossil fuels, we commit to withdraw all our resources that are with them not later than 2025, and hold them accountable to their fiduciary duties and moral obligations as climate actors,” the bishops wrote.

They also asserted a “non-acceptance policy” of whatever kind from owners or operators and anyone from the extractive industries especially those from coal, fossil gas, mining, quarrying, and logging regardless of the scale of operations.

“Our people need to be very critical, especially our parish priests. While we have several needs in our pastoral work, let us not compromise the welfare of our environment,” CBCP President Bishop Pablo Virgilio S. David said in press conference on Saturday.

Bishop Gerardo A. Alminaza of Diocese of San Carlos and Convenor of Withdraw from Coal urged companies to turn their backs against “dirty energy.”

“We challenge them to take the CBCP’s Pastoral Letter on Ecology as an invitation to exhibit genuine leadership in advancing climate action by ending their fossil fuel funding and paving the path to a future powered by clean energy from renewables,” he said in a separate statement.

The Energy department declared in October 2020 a moratorium on new coal power plant projects for a more sustainable power mix.

Several banks committed not to finance new coal plant projects.

Bank of the Philippine Islands (BPI) is aiming to reduce coal financing in its portfolio by half in 2026, exit coal financing as early as 2033 and to reach zero loan to the sector by 2037.

In 2020, Rizal Commercial Banking Corp. (RCBC) said its entire banking system is moving towards making its loan available only for non-coal projects.

BDO Capital & Investment Corp. President Eduardo V. Francisco, meanwhile, said during the Energy investment Forum on Dec. 3, 2021 that the company would discuss with Asian Development Bank to explore lending opportunities for coal-fired projects to avoid stranded assets for coal investors and assist the country in the energy transition.

AMLC tells covered persons to tighten guard against fencing

THE Anti-Money Laundering Council (AMLC) reminded its covered persons to be vigilant of fencing and conduct due diligence.

In an advisory, the AMLC reminded covered institutions that fencing, or dealing and accepting fenced items, is a violation of Presidential Decree No. 1612 or the Anti-Fencing Law.

The law defines fencing as an act of buying, keeping, concealing, or selling an item or anything of value with knowledge that it came from proceeds from robbery or theft.

“Covered persons are advised to conduct proper due diligence of their customers/clients and monitor transactions to recognize when a transaction, or a series of transactions, are unusual,” the AMLC said.

The dirty money watchdog said covered persons should submit suspicious transaction reports within the next working date after identifying that a transaction or an attempted transaction is dubious in nature.

It said covered persons should watch out for markers of suspicious transactions, such as when a customer is not properly identified, the lack of purpose or justification for the transaction, or when an amount involved appears to be not commensurate to a client’s financial capacity.

Covered persons should also look for signs that a client’s transaction appears to be structured to avoid AMLA requirements, instances when a transaction is a deviation from the customer’s profile and previous dealings, or when these transactions are related to unlawful activities under the country’s anti-dirty money laws.

The AMLC said covered persons may be slapped with administrative sanctions and penalties if they fail to do due diligence or miss monitoring transactions and filing reports. — LWTN

Thai pig farmers angered by havoc from suspected ASF

REUTERS

NAKHON PATHOM, Thailand — Business began unravelling for Thai pig farmer Jintana Jamjumrus two years ago, after dozens of her animals got feverish and died within days of a mysterious illness she suspected of being a viral disease with no known vaccine, African Swine Fever (ASF).

This month, officials identified the first case of ASF in Jintana’s province of Nakhon Pathom, after years of saying it was not in Thailand, unleashing a political firestorm as pork prices hit an all-time high near which they may stay for months.

“There’’ no way they didn’t know. Pigs died all over the country … Why the cover-up?” Jintana, 75, asked about the deaths in previous years. “What can they do now? There’s nothing left.”

In parliament, an opposition lawmaker accused the government of a years-long cover-up, though a deputy agriculture minister denied this, saying authorities had successfully kept out the disease in previous years.

But small farmers, whose losses have driven 54% of them out of business in the past year, are skeptical, particularly as the viral disease, for which there is no vaccine, has killed hundreds of millions of pigs in Europe and Asia since 2018.

“I had to let the sick ones die and sell off the healthy ones,” said Jintana. “My business was all gone.”

Earlier warning would have saved their livelihoods, say the small farmers, and perhaps averted the pork shortage that drove retail prices in Bangkok to 215 baht ($6.47) per kg on Jan. 11, the highest daily average in a database stretching back to 2001.

The high prices led to a ban on exports of live animals until April, and consumer prices could stay high as production could take months to recover, putting further strain on rural communities already reeling from the hog losses.

Since the confirmation, Thailand has uncovered ASF in 22 areas of 13 provinces and culled more than 400 pigs, all on small farms, said Bunyagith Pinprasong, the director of the Bureau of Disease Control and Veterinary Services.

Between 2019 and 2021, livestock authorities culled nearly 300,000 pigs deemed at high risk of ASF, though it was never detected in any samples from dead pigs, Bunyagith told Reuters.

Most pig deaths earlier were because of porcine reproductive and respiratory syndrome (PRRS), he said.

“We implemented strict and effective measures to prevent ASF, which is why it wasn’t found before,” he said. “We will control and curb its spread until a vaccine is developed.”

By the time Thailand confirmed the first ASF outbreak this month, nearly 100,000 smallholders, or those rearing up to 50 pigs, had disappeared, leaving just 79,000, government figures on the livestock industry show.

Small farmers’ herds were halved to 1 million pigs, accounting for the bulk of the loss in the national herd, which stands at 10.85 million, down 17% from last year’s 13.1 million, the data shows.

Smallholders and small farms, or those with herds of between 51 and 500 animals, normally contribute about 30% of Thailand’s pork production of about 19 million to 20 million pigs, about 18 million of which are consumed domestically and the rest exported.

“The current decrease in pigs is due to previous disease outbreaks, not because of African Swine Fever,” said Bunyagith, adding that PRRS and classical swine fever were the most common diseases in Thai pigs, with vaccines available for both.

“But whether PRRS or ASF, there will be losses for smallholders without a good farm management system.”

While small farms struggle, shares of Thailand’s biggest food producer, Charoen Pokphand Foods Pcl, jumped in January to their highest in nearly seven months, and shares of peer Thaifoods Group Pcl hit their highest since April.

Further shrinking of small farms’ market share threatens longer-term implications for food prices, said Kevalin Wangpichayasuk of Kasikorn Research Center.

“Smallholders’ gradual disappearance means fewer players and lower competition, which will have an impact on price,” Kevalin told Reuters.

Bunyagith said rearing new animals to bridge the gap would take up to 10 months, so the government plans to offer smallholders loans and new piglets to help rebuild.

But farmers said they had lost faith in the government and doubted pig farming could still yield a livelihood, at least until a vaccine is found.

Jamnian Iangjiam, 62, said she gave up pig farming after two attempts to restart with new piglets saw them get sick too.

“I’m in debt because I spent my last savings on raising new pigs, and now I have nothing,” said Jamnian, her pig pens empty since May. “I’m done.” — Reuters

Up to P130K discount in Chery’s ‘Growling Tiggo’ promo

PHOTO FROM CHERY AUTO PHILIPPINES

CHERY AUTO Philippines fires off a salvo of deals for the new year, designed for people who are looking for a new SUV. As much as P130,000 in discounts can be had for the Chery Tiggo 7 Pro, and all-in low down payments of as low as P28,000 or low monthly payments of as low as P5,435 for the Tiggo 2 can be realized through the “Growling Tiggo” promo.

The Tiggo 2 is said to be the lowest-priced crossover, and is competitively priced even against entry-level hatchbacks. Fresh graduates and those who live an active lifestyle are the expected drivers of this sporty ride.

On the other hand, the all-new Tiggo 2 Pro can be brought home with a low down payment as low as P68,000 or acquired through a monthly payment as low as P8,213. It’s also available with a cash discount of P35,000.

The larger vehicle that is the Chery Tiggo 5X also ups on convenience and features, and is available with cash discounts of up to P110,000, all-in down payment as low as P38,000, or monthly amortization as low as P7,005. It boasts leather seats, push-button starter, and multifunction steering wheel.

The aforementioned Tiggo 7 Pro is European-inspired and can be had for a low down payment of P58,000 or monthly payment as low as P10,299. It gets a push-button starter, a huge 10.25-inch HD touchscreen infotainment system, a panoramic sunroof, and is powered by a 1.5-liter turbocharged DOHC 16-valve VVT engine mated to a class-leading nine-speed CVT.

But Chery’s biggest and most luxurious offering remains to be the seven-seater midsize Tiggo 8, which is available with a cash discount of up to P100,000, a low down payment of P78,000, or a monthly installment of as low as P12,517. The Tiggo 8 is said to be suitable for executives, families, and people who put a premium on style, comfort, space, and safety. The Tiggo 8 features a panoramic sunroof; dual, side, and curtain air bags; luxurious leather seats; premium entertainment system; and a 360-degree HD camera, among others.

The Tiggo 8 also comes with the Chery Smartwatch Key. Apart from the device’s time and date display, health monitoring, and incoming call features, the Smartwatch Key also allows the user to control Tiggo 8 functions such as passive entry, remote engine start, window control key, and trunk lid opening. The key is also water splash-resistant at 3ATM (30 meters).

Chery Auto Philippines still offers its industry-leading “Premium Preserv” suite of warranties: 10-year/one-million-km engine warranty, five-year general vehicle warranty, plus three-year free preventive maintenance service, and three-year free roadside assistance to all buyers of any Tiggo model.

For more information, follow Chery Auto Philippines on social media: Chery Auto Philippines (Facebook) and @cheryautophilippines (Instagram) for more updates, or call the 24/7 Chery Auto Philippines hotline at 0917-552-4379.

Sales of LVMH’s Hublot, Bulgari watches top pre-pandemic levels

Lvcea watch with pink mother-of-pearl dial featuring Intarsio marquetry

ZURICH — LVMH’s luxury watch brands Hublot and Bulgari have pushed sales above 2019 levels in the past year and more growth is expected this year on strong US demand, company executives told Reuters ahead of LVMH Watch Week that kicks off today.

Hublot and Bulgari, alongside LVMH stablemates Zenith and TAG Heuer, are holding LVMH Watch Week online, with digital presentations of their latest collections.

Hublot is showing an extra-slim version of its Big Bang watch, while Italian jeweler Bulgari has Serpenti Misteriosi watches which are hidden in snake-like bracelets and rings.

The Serpenti watches, which can cost as much at €240,000 euros ($271,464.00) for the most expensive models, are powered by a new miniature Piccolissimo mechanical movement.

Swiss luxury watch sales declined sharply in 2020, when the pandemic shuttered shops and curbed tourism. But they bounced back last year, with Swiss watch exports slightly above 2019 levels at the end of November, thanks to strong demand in the United States and China.

Switzerland’s full-year watch exports are due on Jan. 27, the same day luxury goods group LVMH reports full-year results.

“2021 was a good year, we did better than in 2019,” Hublot Chief Executive Ricardo Guadalupe said in an interview on Monday, highlighting 30% sales growth in the United States and “excellent numbers” in mainland China.

“We obviously won’t see the same strong rebound between 2021 and 2022, but we believe we’ll have solid growth.”

He also said that tourist shoppers were still largely absent and that supply chain issues, mainly due to workers sick with the Omicron variant, had caused production delays that would hopefully be resolved by the summer.

Bulgari Chief Executive Jean-Christophe Babin told Reuters the brand had also done better last year than in pre-pandemic 2019 thanks to market share gains.

“We want to continue with this positive trend in 2022,” he said, adding new yellow gold models should help to attract US consumers who are fans of that type of gold, while Asians tend to prefer rose gold.

“The United States became our second-biggest market last year and it has one of the best growth rates currently,” Mr. Babin said.

Kering, the other big French luxury goods group that competes with LVMH, said on Monday it was divesting its Swiss watch brands Girard-Perregaux and Ulysse Nardin. — Reuters

Alyssa Valdez joins pool of Hanoi Southeast Asian Games hopefuls

ALYSSA Valdez has finally made it to the 20-player national pool. — PVL

ALYSSA Valdez, the face of Philippine volleyball, has finally made it to the 20-player national pool where the country will select who are the 14 to represent the country in the 31st Hanoi Southeast Asian (SEA) Games set May 12-23.

Unpicked the first time, Ms. Valdez, a former SEA Games flag-bearer and national team captain, was given the call on Sunday by the Philippine National Volleyball Federation (PNVF)after seven who were selected last year begged off because the biennial event will run smack into the UAAP.

“The federation approved the recommendation of the national coaching staff for the national pool where we will eventually name the final composition of the teams for the Hanoi SEA Games,” said PNVF president Ramon Suzara.

Other new names to the pool were Ms. Valdez’s Creamline teammate Jia Morado, Ces Molina of Cignal, Jasmine Nabor of Chery Tiggo, Kat Tolentino of Choco Mucho and Kath Arado of PLDT.

The PNVF also included high school standouts Casiey Monique Dongallo and Jelaica Gajero, who impressed in its Champion’s League late last year.

They will join Jaja Santiago, Kalei Mau, Dindin Manabat, Deanna Wong, Iris Tolenada, Dawn Macandili, Dell Palomata, Riri Meneses, Abi Marano, Jema Galanza, Kim Kianna Dy and Mylene Paat.

The PNVF also announced the men’s squad that will be headed by Bryan Bagunas and Marck Espejo, who are both currently playing in Japan as imports.

Meanwhile, the women’s beach volley pool will be headed by 2019 SEA Games bronze medalists Cherry Rondina and Bernadeth Pons while the mean’s will be led by Jude Garcia and Jaron Requinton. — Joey Villar

Kai Sotto, Adelaide 36ers upset reigning champions Melbourne United, 88-83

ADELAIDE 36ers’ Kai Sotto and Mitch McCarron — ADELAIDE 36ERS

KAI Sotto stepped up in crunch time as Adelaide shocked reigning champion Melbourne United, 88-83, to regain winnings ways in the Australia National Basketball League at the Adelaide Entertainment Center on Sunday.

Mr. Sotto sank the game-clinching dagger in the last 34 seconds to help the 36ers cap off a gigantic upset win and end their three-game losing spell in the process.

The 7-foot-3 Filipino pride finished with 12 points, his third straight double-figure outing, on top of four rebounds and an assist in only 21 minutes of play.

He also had identical scores in Adelaide’s previous losses against Illawarra and Tasmania.

Dusty Hannahs led the way with 19 points including the game-tying trey late in regulation for the 36ers, who also avenged their 97-78 loss against Melbourne last week.

The win pushed the 36ers to 4-6 heading into a crucial battle against Brisbane with the same record this Thursday. Jo Lual-Acuil had 23 markers and 12 rebounds in a rare loss for Melbourne, which still kept pole position with an 8-3 card. — John Bryan Ulanday

ALI inches lower amid property-for-share deal

AYALA LAND, Inc. (ALI) dipped last week as investors took positions after its property-for-share swap deal with Ayala Corp. and Mermac, Inc.

Data from the Philippine Stock Exchange (PSE) showed a total of 31.66 million ALI shares worth P1.09 billion were traded from Jan. 24 to 28 making it the seventh most actively traded issues based on value turnover during the week.

The property giant finished at P34.20 apiece on Friday, inching down by 1.3% week on week. Year to date, the stock’s price fell by 1.4%.

“Evident in ALI’s price performance the past week is how investors were quick to take positions in ALI when news of the transaction between Ayala Corp. (AC), Mermac, Inc., and the company came out. This cements the market consensus that ALI is currently undervalued,” Regina Capital Development Corp. Equity Analyst Anna Corenne M. Agravio said in an e-mail interview.

“While price performance was slightly mixed this week, this is more of a reflection of general market sentiment as a whole rather than something fundamental and specific to ALI,” Ms. Agravio added.

Last Jan. 21, ALI approved a property-for-share swap deal worth P17.40 billion with AC and its biggest shareholder Mermac.

Under this transaction, AC and Mermac will transfer five real estate assets to ALI in exchange for 311.58 million primary common shares valued at P55.80 apiece.

“Given a significant price difference, the P55.80 might be treated as price target for long-term investors and good opportunity to accumulate while price is undervalued,” I.B. Gimenez Securities, Inc. Research Head Joylin F. Telagen said in a separate e-mail interview.

ALI’s consolidated revenues increased by 8.8% year on year to P23.66 billion in the third quarter. This brought its nine-month top line to P70.88 billion, rising by 13.5%.

During the July-September period, its attributable net income went up by 37.8% to P2.55 billion. ALI’s nine-month attributable bottom line rose by 34.9% to P8.59 billion.

Ms. Agravio sees ALI’s net income growing by double-digits for the final three months of 2021 as well as for the full-year 2022 amid “sustained uptick” in its property development revenues.

“On conservative note, I think P3-billion [net income] is fair estimate for the [fourth quarter],” Ms. Telagen said.

She expects a double-digit growth for ALI’s bottom line this year or at least P13.8 billion despite “a lot of risk and challenges and global growth downgraded.”

“But given its fundamental good liquid stock, it’s one of the property stocks to buy and hold,” Ms. Telagen said. “Aside from that, property index historically performs better after the crisis.”

For Ms. Agravio, ALI is undervalued at this point. Levels between P34.00 to P35.00 are arguably good entry points based both on fundamentals and technical, she said.

“Fundamentals-wise, ALI is trading at a significant discount versus our fair value; technical-wise, it is trading at a lower range versus all its major moving average, therefore it is considered a bargain.”

Ms. Agravio placed ALI’s support levels at P34.00, while its resistance levels at P35.50 to P36.00.

For Ms. Telagen: “Support is at P31.00, breakdown to P29.00. While resistance at P38.00, breakout to P42.00. Trade cautiously.” — Abigail Marie P. Yraola

Peso may weaken against the dollar ahead of inflation, US jobs reports

BW FILE PHOTO

THE PESO may depreciate versus the greenback this week ahead of the release of January US jobs data, which is seen to support the planned monetary policy tightening of the US Federal Reserve starting March.

The local unit finished at P51.23 per dollar on Friday, gaining 11 centavos from its P51.34 close on Thursday, based on data from the Bankers Association of the Philippines.

Week on week, it appreciated by three centavos from its P51.37 close on Jan. 21.

The peso strengthened after the government announced it will relax travel restrictions on arriving Filipinos and some foreigners, Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said in a Viber message.

Cabinet Secretary Karlo Alexei B. Nograles said at a Friday briefing on Friday that fully vaccinated international passengers will no longer be required for a facility quarantine upon arrival starting February. They will instead need to present a negative PCR test, taken within 48 hours before departure from the country of origin.

Travelers are currently categorized under color-coded scheme depending on the perceived infection risk of their country of origin.

Stronger-than-expected economic growth in the fourth quarter of 2021 also boosted the peso last week, UnionBank of the Philippines, Inc. Chief Economist Ruben Carlo O. Asuncion said in an e-mail.

Gross domestic product (GDP) rose by 7.7% in the three months to December, faster than the 6.9% in the third quarter, the Philippine Statistics Authority (PSA) reported on Thursday.

This brought 2021’s full-year expansion to 5.6%, turning around from the 9.6% contraction in 2020, which was due to the country having one of the world’s strictest lockdowns.

Last year’s GDP growth was also faster than the 5.3% median estimate of 18 economists in a BusinessWorld poll and surpassed the downgraded 5-5.5% target by economic managers.

For this week, Mr. Asuncion said the dollar could strengthen ahead of the release of US labor data. The January US nonfarm payrolls will be released on Friday, Feb. 4.

Reuters reported earlier that Fed Chairman Jerome H. Powell said they are determined to ensure high inflation did not become entrenched. He said Fed actions “should not have negative effects on the employment market.”

After their policy review last week, Mr. Powell said the US central bank may start increasing interest rates in March to tame runaway inflation.

Meanwhile, Mr. Ricafort said the market will also take cues from the release of Philippine inflation data.

The PSA will release the January consumer price index report on Feb. 4, Friday.

The Bangko Sentral ng Pilipinas (BSP) is expected to release its inflation forecast for the month this Monday.

A BusinessWorld poll of 16 analysts last week yielded a median estimate of 3% for January inflation.

If realized, this will be the second consecutive month that inflation was within the BSP’s 2-4% target. It will also be slower than the 3.6% logged in December 2021.

Analysts said inflation likely slowed due to base effect and lower demand as infections spiked, even amid upward price pressures due to higher oil prices and the impact of Typhoon Odette to food supply.

For this week, Mr. Ricafort expects the local unit to move within P51 to P51.40 versus the dollar, while Mr. Asuncion gave a forecast range of P51 to P51.50. — L.W.T. Noble with Reuters

China kicks off reform of state food giants Cofco, Sinograin

REUTERS

CHINA has kicked off a long-anticipated overhaul of its massive state-owned agriculture companies to help secure food supply for the world’s most populous nation.

Food giant Cofco Corp. and national stockpiler China Grain Reserves Group, also known as Sinograin, will set up two joint ventures. The first is a grain storage business to be controlled by Sinograin, and the second for oilseed crushing and processing will be managed by Cofco. 

The move will play to the strengths of the respective firms and contribute to China’s broader goal of improving food security, according to a government statement late on Thursday.

The revamp has been considered since at least 2019 and is part of President Xi Jinping’s drive to streamline industrial capacity among state-owned companies. It will take Cofco closer to its ambition of rivaling the storied ‘ABCD’ group of international commodity traders who dominate flows of agricultural products — Archer-Daniels-Midland Co., Bunge Ltd., Cargill, Inc. and Louis Dreyfus Co.

TRANSFER ASSETS
The government could transfer Sinograin’s trading assets and oilseed crushing capacity to Cofco, Bloomberg reported in 2019. For Sinograin, the restructuring will allow it to fulfill its role of “managing the granary of a big country,” said the State-owned Assets Supervision and Administration Commission.

The move will improve the efficiency of resource allocation and the ability of enterprises to withstand risks, the commission, which oversees China’s state-run companies, said in the statement. This will support a stable grains and oilseeds supply chain, and help maintain national food security, it added.

Food security remains at the forefront of China’s political agenda after floods, epidemics and trade tensions raised pressure on the government to safeguard food supply for its 1.4 billion people. The nation’s imports of corn, soybeans, wheat and meat have soared to record levels in recent years, driving global prices higher and stoking worries over food inflation.

“Those factors are likely highlighting the importance for China to have a strong coordinated presence in the international and domestic market,” said Darin Friedrichs, co-founder and market research director of Sitonia Consulting, a China-based agricultural information service provider. 

Transferring Sinograin’s crushing capacity would reinforce Cofco’s position as China’s top crusher of soybeans as it competes with Wilmar International Ltd.’s units in the world’s biggest oilseed importing nation.

Cofco currently owns 30 processing plants across China, with annual processing capacity of over 20 million tons and refining capacity of more than 6.7 million tons. It has nine listed units in Hong Kong and seven on mainland Chinese stock exchanges, according to its website. 

Sinograin imports grains, soybeans and edible oils for state reserves, but it also has commercial oilseeds crushing and refining capacity that makes it one of the five biggest processors in China, according to its website. — Bloomberg