Monday, February 8, 2010

Weekly Philippines Sales Update - Export Sector

Future Plans on the Export Sector - A new IndustryJustify Full
A new export plan that will guide public and private sector efforts to grow the sector will likely focus on maintaining the Philippines’ market share as the global economy exits the downturn, officials yesterday said.

The 2011-2013 Philippine Export Development Plan is up for drafting starting today in a workshop to be led by the Export Development Council (EDC).

"For now we will just have to find programs to continue. It won’t be overly ambitious and will be instead more for market holding," EDC Executive Director Senen M. Perlada said in a telephone interview.

"We will only be drafting the framework and will await the imprimatur of the next administration," Mr. Perlada added, noting that a change of leaders would be due in June following the May national elections.

The 2008-2010 plan, he said, was based on the broad Medium-Term Philippine Development Plan. As there is yet a new medium-term road map in place, the new export industry road map will have to use earlier plans as bases in the meantime.

Sought for comment, EDC Vice-Chairman Sergio R. Ortiz-Luis, Jr., who represents the private sector, similarly said the new plan would likely echo the 2008-2010 version.

"It will be more or less the same, focusing on the same markets and winners," Mr. Ortiz-Luis said in a separate telephone interview.

The previous plan aimed to emphasize the country’s competitive advantages, analyze value chains to strengthen production, and bolster public-private sector partnership for export promotion and development activities.

It tagged the following products as the sector’s revenue streams: electronics, textiles and apparel, automotive products and parts, food, home decor, organic products, and construction materials. The export of construction and information-technology enabled services was likewise eyed.

Growth for the sector would have been achieved through product diversification, market expansion and the optimum use of trade agreements, the plan stated.

"We will revise it slightly because of what happened, the crisis. But it is a rolling plan," Mr. Ortiz-Luis said.

Also up on the agenda at the two-day workshop is a review of the EDC’s operations, Mr. Perlada said.

"Part of the workshop will be to revisit the council itself," he said.

Amid the global economic crisis, merchandise export sales fell by a quarter to $35.004 billion from January to November, according to latest official data. This came after sales flattened in 2008 to $46.332 billion.

The EDC has been in charge of vetting export promotion and development project proposals that proponents want funded from a P1-billion facility. The council had released just P11.6 million by end-2009, or roughly 1% of the fund, even as exporters railed for more support amid the economic downturn. - BusinessWorld

Jessica Anne D. Hermosa


My Opinion

Being practical, I think Mr. Ortiz should really take into consideration what products we will get our revenue streams from.
I do not think that the world economy is back on its feet. When we were born we start to crawl, then slowly we walk, then we walk well, then we run, then learn to ride a bike and so on. We should be doing the same thing in our approach to export sector.
As a sales "evangelist", I have always taken in to heart to make realistic goals. We all know that improving the export gross yearly sales, will entail a lot of marketing and promotions. Just like in a sales recovering business, we look to our strengths to get back on our feet which is our cheap and quality labor, abundances in resources, and organic products (which is currently a great trend today in the world market).
EDC (Export Development Council) will not be able to handle this sector alone. With the presidential elections fast approaching, I implore all Filipinos to be vigilant in choosing a well economic oriented new president. Our new president will be one of the biggest keys (in the macroeconomic level) to improve our economy and hence improve the sales that many of us are trying to achieve.

In summary, I believe that the export sector will be the key source in which we will be able to grow the Philippines internal businesses and with no reason that is should be taken for granted. We as salespeople should also be aware of the current new trends in the market, and take advantage of it. As Warren Buffet says it - "the trend is you friend". Hence, it is within us to forecast on what we should improve in the future.

That's it for today. I hope you enjoyed my weekly Philippines sales update.

Dedicated to your selling success.

Sales Mentor TM


Related Posts with Thumbnails