SMEs urged to submit tech upgrading proposals
DOST allots P20M for small businesses in Cebu
The Department of Science and Technology (DOST) has called on small and medium enterprises to avail of a government program to adopt technological innovations to improve their products and production processes.
So far this year, only two small businesses in Cebu province have availed this year of the Small Enterprise Technology Upgrading Program (SET-UP), said DOST Cebu provincial director Samuel A. Parcon.
Parcon said the DOST has allotted P45 million for the program in Central Visayas. Of the amount, P20 million is for SMEs in Cebu.
He said many SMEs in Central Visayas region have yet to approach them for assistance.
“A lot of the small players are informal producers. Some of them are not registered,” Parcon said. These small businesses should be made aware of their need to be registered, he said.
“We will be able to help them and give them the funding they need to upgrade their equipment if we know who they are,” Parcon said.
SMEs can receive as much as P2 million under SET-UP, Parcon said.
“This is not a grant. SMEs who are given funding have three years to pay, but without any interest,” he added.
Small businesses that wish to avail of the program need to initially submit a letter of interest to the DOST. Experts will then assess the applicant’s technology needs. The applicant is required to submit aproject proposal after the assessment.
Parcon said the program would help small businesses cope with the impact of the Asean integration.
“Other Asean products are cheaper in terms of quality and packaging,” he said.
Philippine businesses are getting stiff competition from counterparts in Thailand, Indonesia and Malaysia, he said.
Businesses that won’t step up and improve their products and processes will lose to the competition, Parcon warned.
“They should be ready, but the question is how to motivate them to be ready,” he said.
“Pinoys, especially Cebuanos, can be very aggressive in terms of improving products. We are capable of being competitive, just as long as we will be willing to accept changes and branch out more,” he added.
The DOST has partnered with the Cebu Chamber of Commerce and Industry (CCCI) and other business organizations in Cebu to encourage small businesses to seek assistance through the SET-UP program in preparation for going global.
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