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Closed Iloilo bank’s officer found guilty of DOSRI violation

An official from the defunct Cooperative Bank of Iloilo, Inc. (CBII) was found guilty of violating the limits of loan allocations to Directors, Officers, Stockholders and Related Interests (DOSRI), the Bangko Sentral ng Pilipinas (BSP) said.

The Regional Trial Court of Iloilo City found Angeles S. Angostura, a former manager of CBII, guilty of all five counts of violation of DOSRI rules under the General Banking Law of 2000, the BSP said in a statement on Tuesday.

With this, Ms. Angostura was sentenced to two years of imprisonment for each count for a total of 10 years.

The BSP filed the lawsuit against the bank official before the Department of Justice. The central bank said the former bank manager deliberately obtained loans from the bank for personal gain and benefit.

“These DOSRI loans were disguised as fringe benefit loans to circumvent the restrictions on the grant of DOSRI loans,” the central bank said.

Republic Act No. 8791 imposes individual and aggregate ceiling requirements for credit disbursed to DOSRIs. These loans cannot exceed the capital contribution and deposit of the borrowing party and need prior written approval by the majority of all the directors of the board.

“The BSP continues to promote financial stability through good governance among its supervised institutions to ensure the soundness of the banking system and to protect the interest of the banking public,” the BSP said. — L.W.T. Noble

Arts & Culture (03/24/21)

Rony Fortich’s online musical theater workshops

MUSICAL director Rony Fortich will be holding online musical theater workshops for children and teens in May. Presented by the Bonifacio Global City (BGC) Arts Center, the four-week program includes 10 group sessions (1.5 hours each), and two one-on-one sessions with Mr. Fortich. The program concludes with an online performance for family and friends. Interested applicants may register at www.bgcartscenter.org/musical-theater-workshops. Prior to the start of the program proper, an orientation with parents is scheduled on May 8.

‘Mother of all Philippine Maps’ now on postage stamp

THE PHILIPPINE Postal Corporation (PHLPost) unveiled a new postage stamp which features the “Mother of all Philippine Maps” as part of the commemoration of the 500th anniversary of the Philippines’ role in the first circumnavigation of the world. The first scientific map of the Philippines, the Carta Hydrographica y Chorographica de las Yslas Filipinas Manila 1734, also known as the Murillo Velarde 1734 Map, was prepared by Spanish Jesuit cartographer Fr. Pedro Murillo Velarde together with two Filipinos, engraver Francisco Suarez and artist Nicolas dela Cruz Bagay. It was acquired by Mel Velasco Velarde, Chairman of the Asian Institute of Journalism and Communication and the NOW Group, at a Sotheby’s auction in London in 2014. Mr. Velarde donated the map to the Philippine government through a deed of donation. The map, which shows the entire Philippine archipelago, was cited as evidence in the maritime case at the UN Arbitral Tribunal under the UN Convention on the Law of the Sea as a visual representation of the country’s sovereign territorial rights. On Mar. 16, PHLPost honored Philippine history and heritage through the launch of a commemorative stamp sheet which includes 12 standard sized stamps featuring scenes which were engraved by the sides of the Murillo Velarde map. The stamp’s denominations range from P12 to P55. The center of the sheet is filled with an oversized stamp featuring the image of the full map, denominated at P150.   

Short film Dante, Our Luck marks Alighieri’s 700th death anniversary

TO MARK the 700th anniversary of the death of author Dante Alighieri, a screening of Massimiliano Finazzer Flory’s short film titled, Dante, Our Luck (Dante, Per Nostra Fortuna) will be held on March 25 at Ravenna, Italy. The date and venue are symbolic as Mar. 25 is considered the beginning of Dante’s journey to the after world in his book The Divine Comedy, and Ravenna is where Dante passed away 700 years ago. It will be screened simultaneously online in Manila at 7 a.m. The Philippine screening was arranged through the Philippine Italian Association, the Dante Alighieri Society in Manila, and the Italian Chamber of Commerce in the Philippines under the auspices of the Embassy of Italy, the Film Development Council of the Philippines, and the National Library of the Philippines. The Vimeo link to the film and the password to access it will be posted on the event’s official Facebook page “Dante in the Philippines” (www.facebook.com/Dante700Philippines). The film will be accessible for free, without registration. It will be in Italian with English subtitles to better appreciate the music of the stanzas. The film will be accessible for 24 hours on Mar. 25. For more information, visit the Philippine Italian Association at https://philippineitalianassociation.org/events/2021/3/25/dante-our-luck.

Chabet exhibit on at Mo_Space

THE EXHIBIT “Four Red Works / Arrival and Departure: The Melancholy Of” featuring works by the late Roberto Chabet opened at MO_Space at Bonifacio High Street on Mar. 20 and will run until Apr. 18. In 1989, Chabet’s Cargo and Decoy marked the end of his first trilogy of works using plywood as the main material and metaphor for the vagrancies of postmodern art and life. Composed of four separate works, the exhibition recalled the cargo cults in the South Pacific as an analogy for the illusions of space in painting. Two works from the Cargo and Destroy series — Four Red Works and Arrival and Departure: The Melancholy Of — have been remade by King Kong Art Projects Unlimited as an homage to Chabet, who would have been 84 this month. More than 30 years since they were first exhibited at the Pinaglabanan Gallery, the reconstruction of the works provides an opportunity to witness and review Chabet’s deconstruction of painting and rigidness of formality. The gallery is open daily from 10 a.m. to 7 p.m.

Place an e-note in the Wailing Wall this Holy Week

FOR FILIPINOS unable to make a trip in Israel this Holy Week due to COVID-19 (coronavirus disease 2019), the Israel Ministry of Tourism is offering to place notes for them in the Western Wall, also known as the Wailing Wall. The notes will be submitted online, the tourism ministry will then print them and place them personally in the cracks of the historic wall. “While Israel is still closed to international travel, we wanted to create a meaningful way this coming Holy Week for the Filipinos in which they can be inspired and connect with the spiritual sites that are abundant in our country,” Sammy Yahia, Israel Ministry of Tourism director for India and the Philippines. Traditionally, visitors could write a prayer or wishes in a piece of paper and squeeze it between the cracks of the wall. It is said that if a person leaves a note at the Western Wall, the message and wishes will be heard as it is directly taken to God. Around 34,100 Filipinos visited Israel in 2019, according to the data of the Israel Ministry of Tourism. To access the western wall e-note portal,  go to https://israel.travel/ph/westernwall/.

Rizal in Germany exhibit gets video treatment

THE ORTIGAS Foundation Library is presenting a video series based on its Rizal in Germany exhibit which was held at Las Casas Filipinas de Acuzar, Bataan in 2019. The exhibit was presented at the ground floor of the “Binan House” named for the town it came from. Rizal’s mother, Teodora Alonso grew up in the house, so the exhibit’s site was perfect. The exhibit gives much credit to Germany for Rizal’s maturation, his direction, and eventually his decision to return home to his country. The videos can be found on the Ortigas Foundation Library YouTube channel. Three videos on the exhibit are currently available to view, with a fourth coming soon. The videos are Rizal in Germany — Part 1: Introduction, Rizal in Germany — Part 2: The Grand Tour, which shows the places Rizal visited during his time in Germany, also known as “The Grand Tour,” and Rizal in Germany — Part 3: The Noli Me Tangere, which marks the anniversary of Rizal’s novel Noli Me Tangere being published in Germany on Mar. 21, 1887. For more information, visit www.ortigasfoundationlibrary.com.ph.

Japanese playwright collaborates with Pinoy actors

THE JAPAN Foundation, Manila (JFM) presents TAHANAN, a collaborative online project of Fujita Takahiro, a prominent figure in the world of Japanese contemporary theater, and 24 actors from all over the Philippines. In partnership with Tanghalang Ateneo, Kasing Sining, and Teatro Guindegan, this project aims to explore the possibility of creating a different “shared space” where artists from Japan and the Philippines are connected and united to tell familiar but unique stories. TAHANAN is composed of four segments which will be streamed from Mar. 26 to 28. To kick off the event, an interview with the playwright Mr. Takahiro and Guelan Luarca will be streamed on Mar. 26, 7:30 p.m., to help audiences know about their works, artistic process, and this collaborative project. This event is a good opportunity for audiences to celebrate World Theater Week and witness the fruition of a collaboration between theater makers from Japan and the Philippines. The interview will be followed by TAHANAN sa Maynila on Mar. 27, 7:30 p.m., along with BALAY sa Visayas and Dialogues in Mindanao; and TAHANAN sa Luzon on Mar. 28, 7:30 p.m.  All resources will be made available on the official sites: mum&gypsy’s official website: http://mum-gypsy.com, JFM’s official website: https://jfmo.org.ph, and JFM’s FB page: facebook.com/jfmanila.

Benilde students present online interactive play

THE ONLINE interactive play Lying Creatures brings film noir into the digital stage, as it transports its guests to the seedy and surreal 1946 city of Lunan where humans co-exist with the secretive supernatural. Written and produced by Teatro 77, a team of Theater Arts students from De La Salle-College of Saint Benilde School of Design and Arts, the adventure follows the quest of a stoic female detective on the work to solve the disappearance of the Mayor’s daughter. With three main suspects in mind but zero leads, the protagonist receives a tip-off from a mysterious caller and soon finds herself in a whirlpool of doubts. In this quirky and innovative digital theater experience, participants may engage with each other through the featured forum facilitated by a live actor. As the plot is affected by the choices of the audience, all decisions are designed to impact the overall narrative and progress of the case. Lying Creatures will premiere on Mar. 25, 8 p.m. It will likewise be available on view on Mar. 26 at 12:30 p.m. and 8 p.m.; Mar. 27 at 3 and 8 p.m.; Mar. 28 at 9 a.m.; Apr. 1 at 3 and 8 p.m.; Apr. 2 at 12:3 and 8 p.m.; and Apr. 3 at 3 and 8 p.m. English subtitles will be available. Regular tickets are priced at P120, while a Killer-Diller Deal contains a bundle of five tickets for P77 each. Interested participants may register through http://teatro77.online/. The virtual stage will be accessible to official ticket-holders. For inquiries, email teatro77marketing@gmail.com.

Book focuses on Fearless Filipinas

FILIPINO history has a pantheon of great Filipina leaders, such as Gabriela Silang and Melchora Aquino. In addition to these historical heroes, there are many modern Filipino women that have succeeded spectacularly in their respective fields, broken the glass ceiling, and striven to give back to their communities. These Filipinas are honored in a new book, Fearless Filipinas: 12 Women Who Dared to Be Different. The book opens with a foreword from Vice-President Leni Robredo. The women featured in the book span a broad range of fields, including entertainment, sports, academe, arts, science, and business. Kim Lato and Merlee Jayme were chosen as representatives for business because of their great achievements. Ms. Lato founded gadgets store Kimstore while still a college student at De La Salle University Manila, and Jayme is known as one of the nation’s foremost leaders in advertising and creativity, as chair and chief creative officer of Dentsu Jayme Syfu. The other women featured in Fearless Filipinas are: Angel Locsin, TV and film actress and philanthropist; Elda Rotor, the Vice-President and Publisher of Penguin Classics who brought Filipino authors like Nick Joaquin to a global audience; Kaizen Dela Serna, a Southeast Asian Games gold medalist in the burgeoning sport of obstacle course racing; Erika Legara, a physicist who founded the Asian Institute of Management’s Master of Science in Data Science program; Stella Abrera, the first Filipina American Principal Dancer of the American Ballet Theatre; Jessica Cox, a motivational speaker and the world’s first licensed armless pilot and blackbelt in the American Taekwondo Association; Jessie Sincioco, the President of The Manna Cuisine Corp. and the chef who served Pope Francis on his visit to the Philippines in 2015; Dzi Gervacio, co-founder of the Beach Volleyball Republic and a SEA Games beach volleyball bronze medalist; Asia Jackson, a Filipina American actress in Hollywood who started the #MagandangMorenx movement to combat colorism in the Filipino community; and Dr. Reina Reyes, the Princeton PhD who confirmed Einstein’s theory of relativity. Fearless Filipinas was written by Monica Padillo, Pancho Dizon, and Mica Magsanoc, edited by Kyle Nate, and illustrated by Chloe Gaw. Fearless Filipinas is slated for the release at the end of March, and is available for pre-order here: https://bookshelf.com.ph/pages/fearless-filipinas.

How PSEi member stocks performed — March 23, 2021

Here’s a quick glance at how PSEi stocks fared on Tuesday, March 23, 2021.


How do Southeast Asians view the pandemic response of their respective governments?

How do Southeast Asians view the pandemic response of their respective governments?

PSE index rebounds as investors pick up bargains

PHILIPPINE SHARES rose anew on Tuesday as investors went bargain hunting after the market declined in the past two days.

The 30-member Philippine Stock Exchange index rose by 51.18 points or 0.8% to close at 6,446.35 on Tuesday, while the broader all shares index inched up by 25.61 points or 0.65% to end at 3,913.32.

“The index rallied [on Tuesday] on bargain hunting,” AB Capital Securities, Inc. Junior Equity Analyst Lance U. Soledad said in a Viber message.

“Investors took opportunities out of the local bourse’s preceding two straight days of decline,” Philstocks Financial, Inc. Senior Research Analyst Japhet Louis O. Tantiangco said a separate Viber message.

“The local bourse also took cues from Wall Street’s overnight rally amid the decline in the US bond yields.”

AAA Southeast Equities, Inc. Research Head Christopher John J. Mangun added the rally was a “technical bounce” after panic selling subsided.

“Fears of surging COVID-19 (coronavirus disease 2019) cases which may lead to an out-of-control situation persist. However, clarity on economic and business restrictions as well as progress on the inoculation may have had a positive effect on the general investor sentiment,” Mr. Mangun said via e-mail.

Most sectoral indices improved on Tuesday, except for mining and oil, which slumped by 31.81 points or 0.38% to 8,239.12; and industrials, which went down by 8.4 points or 0.1% to close at 8,390.21.

Meanwhile, property gained 56.57 points or 1.8% to finish at 3,197.65; financials went up by 16.43 points or 1.18% to 1,404.73; holding firms increased by 17.05 points or 0.26% to 6,512.73; and services rose by 2.26 points or 0.16% to end at 1,414.39.

Value turnover declined to P5.04 billion on Tuesday with P2.3 billion shares switching hands from the P6.29 billion seen on Monday with 2.48 billion issues traded.

Advancers outnumbered decliners, 125 versus 76, while 52 names closed unchanged.

Net foreign selling went down to P690.22 million on Tuesday from the P725.41 million recorded on Monday.

Investors are expected to stay cautious amid continued uncertainties due to the country’s COVID-19 situation.

“Investors are on the sidelines and are taking a wait-and-see approach,” Mr. Mangun said. “The PSEi’s support is at 6,200 with resistance at 6,500.”

Meanwhile, AB Capital Securities’ Mr. Soledad expects investors to track the listing of DDMP REIT, Inc. (DDMPR), the real estate investment trust of DoubleDragon Properties Corp.

“[Today] will be [DDMPR]’s listing, so we expect investors to focus more on trading the newly-listed issue,” Mr. Soledad said.

DDMPR adjusted its listing date to March 24 after over 50,000 total investors subscribed to its initial public offering. The company told the stock exchange on Monday that it would need an additional day to complete the lodging of its shares. — Keren Concepcion G. Valmonte

Peso drops on safe-haven demand for the dollar

THE PESO retreated against the greenback on Tuesday as coronavirus cases continue to surge in the Philippines and on the possibility of additional stimulus in the United States.

The local unit finished trading at P48.631 per dollar on Tuesday, shedding 5.1 centavos from its P48.58 close on Monday, data from the Bankers Association of the Philippines showed.

The peso opened Tuesday’s session at P48.56 per dollar. Its weakest was at P48.645 while its intraday best was at P48.55 against the greenback.

Dollars exchanged increased to $716.34 million on Tuesday from $634.8 million on Monday.

The peso weakened due to the market’s preference for the dollar as US government officials are said to consider more stimulus, Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said.

Reuters, citing a source, reported that US President Joseph Biden will meet with advisers to discuss proposals considered by the White House on new proposals to support infrastructure and jobs. The advisers are weighing to recommend about three to four billion for a new legislative action that will support the agenda.

Mr. Ricafort said the peso was also affected by the sustained increase in local coronavirus infections.

Cases rose by an all-time daily high of 8,019 on Monday. On Tuesday, the Department of Health reported 5,876 new infections to bring the tally to 677,653.

A trader said the peso depreciated due to renewed concerns as the pandemic stretches on.

“The peso weakened from safe-haven demand owing to stricter lockdowns globally and mounting doubt about the safety of some vaccines following reported adverse effects in the recent weeks,” the trader said in an email. 

Mr. Ricafort gave a forecast range of P48.58 to P48.68 per dollar, while the trader expects the local unit to move within the P48.50 to P48.70 band. — LWTN with Reuters

Two more prospective LNG terminal builders seek permits

THE DEPARTMENT of Energy (DoE) said Tuesday that it is evaluating applications filed by two parties seeking to build liquefied natural gas (LNG) terminals.

The DoE has thus far issued permits for five proposed LNG regasification terminal projects.

“There are two other applicants that are currently being evaluated by the Department of Energy. I would have to check as to what stage those two applications are in,” DoE Assistant Secretary Leonido J. Pulido III said during the virtual 2nd LNG and Clean Energy Investment Summit.

He was replying to a question on whether there were any new applicants proposing LNG terminals. He did not provide details on the applications.

According to Mr. Pulido, the department has yet to receive a formal application from companies proposing LNG terminals in the Visayas and Mindanao, though it has been in preliminary talks with “several entities.”

The five permit holders are clustered in Batangas, where the country’s gas-fired power plants are concentrated because the province is the landing area for gas piped from the Malampaya project. These are FGEN LNG Corp., Excelerate Energy L.P., Batangas Clean Energy, Inc., Energy World Gas Operations Philippines, Inc., and Atlantic Gulf & Pacific Company of Manila, Inc. (AG&P).

FGEN LNG Corp. and Energy World both hold permits to construct an interim floating storage and regasification unit (FSRUs) and an onshore LNG terminal, respectively.

Excelerate and AG&P have notices to proceed (NTP) for their FSRU and floating storage unit and onshore gasification terminal, respectively. Batangas Clean Energy currently holds an NTP for an onshore terminal.

During his talk, Mr. Pulido said that one of the main criteria used in evaluating the applications is financial viability.

“If the proponents believe — and as evaluated by the DoE — that the projects are financially viable, that the projects will get off the ground and the projects will be established, then go. Then we support these projects,” he said.

Mr. Pulido said that it should have “ideally been the National Government’s role to build the needed infrastructure, but this could not be done as there were other priorities that had to be pursued.”

“(The building of LNG infrastructure is) a private sector-led, private sector-driven initiative so we’re dependent on the private sector,” he said.

In October, Energy Secretary Alfonso G. Cusi said LNG imports remain the best option to address power requirements over the next few years.

The Malampaya field, located off northern Palawan, was able to provide 3,200 megawatts of electricity, accounting for 21.1% of the country’s gross power generation in 2019, though its reserves are depleting. — Angelica Y. Yang

ANZ sees 2021 Philippine GDP growth at 7.1%

GROSS DOMESTIC PRODUCT (GDP) growth in 2021 is expected to hit 7.1%, though consumption could remain cautious with household incomes still under pressure from the economic downturn, according to ANZ Research.

ANZ Research Chief Economist Sanjay Mathur and foreign exchange analyst Dhiraj Nim said in a note, “Asia: Bracing for the reopening trade,” said spending on services such as travel, accommodation, recreation, and retail could help propel a recovery from 2020 lows as movement restrictions in Asia gradually ease.

“We can’t assume that (lower-income groups’) incomes and employment will recover to pre-pandemic levels immediately. However, the middle and upper-income groups, which have been relatively less affected by the pandemic, account for the lion’s share of spending on discretionary services,” ANZ said in a separate report.

Consumption accounts for 70% of the Philippine economy, supported largely by cash remittances, which fell 0.8% to $29.903 billion last year.

ANZ Research’s 2020 GDP forecast falls within the government’s 6.5% to 7.5% projection. In 2022, the bank expects the economy to grow by 6.2%.

ANZ Research also flagged inflation risk in Asia “at a time when markets are insufficiently prepared for it.”

Headline inflation in the Philippines hit 4.7% in February, the highest since 5.1% in December 2018, as oil and food prices continued to rise.

ANZ Research said inflation is expected to come in at about 3.8% and 1.8% in 2021 and 2022 respectively, both lower than the central bank’s 4% and 2.7% assumptions for those years.

ANZ Research said it is bullish about the prospects of a broader economic recovery in the region as vaccination drives gain momentum, which will help reopen trade. — Luz Wendy T. Noble

ARTA asks agencies to extend permit validity due to mobility curbs

THE Anti-Red Tape Authority (ARTA) has asked government agencies to extend the validity of permits while the public faces mobility restrictions during the pandemic.

In a statement Tuesday, the regulator said that the validity of permits, licenses, and other government authorizations should be extended, except in the case of “authorizations that may pose danger to public health and security.”

In a report sent to the Office of the President, ARTA recommended incentivizing the use of online platforms and suspending fees for initial business registrations of micro-, small-, and medium-sized enterprises.

Such fees should also be waived for “startups and those falling within the gig economy,” ARTA said.

Government agencies are also in talks to potentially exempt startups from some business permit requirements, Trade Secretary Ramon M. Lopez said.

Lockdown restrictions have been tightened for two weeks as coronavirus disease 2019 (COVID-19) cases surge. Only essential travel will be allowed to and from Metro Manila and nearby provinces, or the so-called “NCR Plus” bubble.

ARTA, after reviewing 48 compliance reports from National Government agencies, said that almost 97% of more than 1,500 services comply with the prescribed processing time under Republic Act No. 11032 or the Ease of Doing Business and Efficient Government Service Delivery Act of 2018.

The law prescribes processing times of three working days for simple transactions, seven working days for complex transactions, and 20 working days for highly technical applications or when the safety of the public or national security needs to be considered.

The agency also endorsed the issuance of executive orders streamlining government services for the telecommunications, logistics, socialized housing, and energy sectors. — Jenina P. Ibañez

Farm industry lobbying for increased tariffs on pork, calls importers’ profits excessive

A FARM industry association, Samahang Industriya ng Agrikultura (SINAG), has proposed an increase in tariffs for imported pork to the Tariff Commission.

SINAG Chairman Rosendo O. So said in a letter to the commission that tariffs for pork imports within the minimum access volume (MAV) quota should rise to 40%, and the rate charged for out-of-quota imports set at 44%.

Currently, pork imports within the MAV are charged with 30%, while out-of-quota imports pay 40%.

MAV applies to farm commodities that can be imported at lower tariffs under the World Trade Organization (WTO) system.

“Importers are raking in profits at the current tariff rate with no corresponding (impact) on the retail price of prime pork cuts,” Mr. So said in the letter.

According to Mr. So, the average landed cost of pork imports was P81 per kilogram in the January 2020 to January 2021 period. He was citing the Bureau of Customs data.

He added that imported pork sold for between P350 and P450 per kilogram in the first two months of 2021, a period in which pork market prices were rising due to insufficient supply as a result of the African Swine Fever (ASF) outbreak.

“Importers claim that they are not violating any law and are just following the retail price of pork. They are easily profiting between P200 to 250 per kilogram at the current retail of P350 to 400 per kilogram of pork belly (liempo) and pork shoulder (kasim),” Mr. So said.

On Feb. 8, the government implemented a price ceiling that capped the prices of kasim at P270 per kilogram and liempo at P300 per kilogram.

It also capped the price of whole chicken at P160 per kilogram.

Mr. So added that raising pork tariffs will generate revenue that can be used by the government to fund its coronavirus disease 2019 (COVID-19) containment and relief programs.

“Reducing tariffs will deprive the government of much-needed revenue… that could support the COVID-19 vaccination program and efforts to help the livestock industry recover from the ASF outbreak,” Mr. So said.

The Department of Agriculture (DA) has a pending proposal to lower tariffs for pork imports to increase supply and dampen price pressures. It proposes to lower the tariff on pork imports within the MAV quota to between 5% and 10%, and that for out-of-quota imports to between 15% and 20%.

The DA has also recommended an increase in the MAV quota to 404,210 metric tons (MT) from the current 54,000 MT.

Jesus C. Cham, president of the Meat Importers and Traders Association (MITA) said in a mobile phone message that SINAG’s proposal is not favorable for groups wishing to import pork.

Mr. Cham said MITA is not in favor of raising the tariffs, but added it will wait for the Tariff Commission to call a hearing before presenting its position.

“This goes against the WTO principles of globalization and trade facilitation. Local producers want to force consumers to patronize them at any price, not taking into consideration the affordability of the product,” Mr. Cham said.

“Producers said they will sell their products at a fair price. This price has been proven to be unaffordable to the great majority of consumers,” he added.

The United Broiler Raisers Association, whose members raise poultry for meat, sent a letter to Senator Cynthia A. Villar on March 18 seeking the abolition of the MAV scheme for pork and chicken imports, touting its proposal as an anti-corruption measure.

DA Spokesperson Noel O. Reyes said in a mobile phone message that the department is aware of SINAG’s proposal and is awaiting the decision of the Tariff Commission.

“They sounded it out during the recent Senate Committee public hearing. (The proposals are) already with the Tariff Commission. Our goal is to stabilize the supply and prices of pork as local hog production will not suffice,” Mr. Reyes said. — Revin Mikhael D. Ochave

Unions pressing for right to opt out of pension contributions

UNIONS said a proposed pension scheme needs to be established on the basis of voluntary worker contributions, saying that deductions from pay could be too burdensome.

The arguments for employer-only pension contributions were laid out in the House Committee on Banks and Financial Intermediaries, which was discussing House Bill 8938 or the proposed Capital Market Development Act of 2021.

The bill calls for all private-sector employees to have an Employee Pension and Retirement Income (EPRI) Account, to which the employer and employee are required to contribute. EPRIs will also be portable, following the worker throughout his working life regardless of changes in employer.

Trade Union Congress of the Philippines Policy and Advocacies Officer Nicole K. Parreño said worker contributions to their pensions should be voluntary as required contributions will represent a further “burden.”

“The contribution on the part of the employee should be made voluntary because they already have to pay for SSS, PhilHealth, and Pag-IBIG. Any additional contributions taken out of their salaries may be too big a burden to bear,” she said.

“We prefer that the contribution be voluntary for workers with extra savings, even if the contribution is quite low at 1% of base salary… they may still feel this is a burden considering the state of the economy,” she added.

According to the substitute bill as it stood on March 22, the initial contribution for those earning minimum wage or less is 0% while the employer pays 4%. For workers above minimum wage, the initial contributions are 1% for the worker and 4% for the employer.

The committee’s chairman, Representative Junie E. Cua, said voluntary contributions will limit the effectiveness of the pension scheme. In the bill’s current form, employers already contribute more than the workers to their EPRI accounts.

“It’s clear under that arrangement, the employee benefits more… if we make one of those arrangements voluntary or make the other compulsory, it will not be fair. The other might request that both arrangements be voluntary and then we won’t have a program anymore,” he said.

The proposed law gives the power to increase EPRI contributions to the Insurance Commission, after consulting the Department of Labor and Employment and the Department of Finance.

Economic managers have touted the bill as holding the potential to raise workers’ retirement packages while helping the development of the capital markets by raising the pool of investible funds. — Gillian M. Cortez

ADB calls for reforms in PHL technical, vocational education

THE Asian Development Bank (ADB) said the Philippines needs to upgrade its technical and vocational education training (TVET) system to better adapt to industry developments after the economic downturn caused by the pandemic.

The ADB estimated that TVET increases the average labor force participation rate of graduates by 3.2-5.3 percentage points compared to those who did not complete the program, based on a bank report, “TVET in the Philippines in the Age of Industry 4.0.”

However, completing the TVET program does not always result in graduates finding jobs right away. Training was also deemed insufficient in addressing youth underemployment, it said.

“The results suggest that even when TVET leads to employment, this is apparently more likely to be in occupations where workers still desire additional working hours, and look for an additional job or even a new job with longer hours,” it said.

It also noted that employers’ satisfaction with the work performance of TVET graduates declined between 2011 and 2014, particularly in speech and writing skills and their ability to follow rules.

“Skill mismatches limit TVET graduates’ employability and reflect an inability to keep the training curriculum, course offerings, and training equipment relevant for the job market,” it added.

The ADB said the Philippine labor market should brace for structural transformation and job displacement brought about by the Fourth Industrial Revolution, as well as the adverse impact of the economic downturn on jobs and wages. — Beatrice M. Laforga