Export sector to ride on PH’s strong economic performance
An official of the Philippine Exporters Confederation, Inc. (Philexport) in Cebu sees bright prospects for the export sector in 2018 on the back of the country’s robust economic performance, among other factors.
Federico Escalona, executive director at Philexport Cebu, said he expects a 12-percent growth in total exports for 2017 and that 2018 will even be a better year for the industry.
“Next year, it will be more. The growth rate in export will probably be around 30 to 35 percent,” he said on the sidelines of Usapang Exports at the Cebu Grand Hotel on Tuesday.
According to the Philippine Statistics Authority (PSA), the country’s total external trade in goods in 2016 was recorded at $141.514 billion, expanding by 8.9 percent from $129.894 billion in 2015.
Total import receipts went up by 8.9 percent to $84.108 billion in 2016 from $71.067 billion in 2015, but total export receipts decreased by 2.4 percent from $58.827 billion in 2015 to $57.406 billion in 2016.
Yesterday’s event gathered exporters, business support organizations, officers from relevant government agencies, and other stakeholders.
It is one of the activities lined up in celebration of the annual National Exporters’ Week with the theme Innovate. Collaborate. Export! that aims to promote the culture of innovation and collaboration within the export community.
In an interview, Escalona said that aside from the country’s strong economic performance in the third quarter of 2017, his prospects for the sector are also anchored on renewed optimism in the global market and the appreciation of the US dollar against the Philippine peso.
The country posted a 6.9-percent economic growth during the July to September 2017 period, faster than the preceding quarter but slower than the 7.1 percent recorded in the period last year.
Escalona said the country is poised to surpass its performance in the third quarter.
He added that players around the world are now more positive about the future of export given the sector’s steady turnaround from several months of being in a slump.
Also according to the PSA, total merchandise trade grew by 2.8 percent year-on-year to US$13.1 billion in September 2017.
Exports recorded its tenth consecutive month of positive growth at 4.3 percent, while imports posted a modest growth of 1.7 percent.
Amid the weakening peso, Escalona said the export sector expects sales to pick up even further.
The export leader added that this growth performance will also be sustained by investments in infrastructure by the country’s neighbors such as China and Japan.
Escalona said that the country’s stellar hosting of the celebration of the 50th founding anniversary of the Asean will also boost its attractiveness to foreign investors, catapulting the Philippine economy to even greater heights.
“A lot of activities are happening that will drive the export industry and the Philippine economy as a whole,” he said.
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