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Volume IV, No. 35
Market Indicators
As of 5:58 pm Dec. 12, 2013 (Thursday)
FOREX
PHISIX
US$1 = P44.08
5,789.60 points
4 cents
X
X Briefly 99.14 points
JICA project THE Japanese International Cooperation Agency (JICA) turned-over on Thursday, December 12, the newly comp l et ed P4 0 . 9 m i l l i o n rehabilitation project to Cagayan de Oro City Water District (COWD). It covers restoration of facilities damaged by Tropical Storm Sendong. The works include replacement of vertical turbine pumps with submersible pumps; installation of generating sets to the affected production wells; replacement of laboratory equipment with the new biosafety cabinet and chlorinating set and replacement of 5,562 damaged water meters in 13 barangays-Macasandig, Balulang, Barra, Bonbon, Kauswagan, Iponan, Bulua, Carmen, Pagatpat, Consolacion, Puntod, Canitoan and Burgos. COWD for its part has lifted the roof of the old booster station in order to elevate the conductor copper cables donated by JICA. Existing transformers were also elevated upon the advice of JICA’s Sakiyama-san. A platform at the new booster station was also installed for the control panel. Control panels at the Macasandig and Balulang Production Wells were elevated as well.
Tagum trademark TAGUM City -- The FilipinoChinese Chamber of Commercee (FCCC) in Tagum City wants to someday see that the city has captured the consciousness of the public with a unique trademark. FCCC Tagum City Chapter president Dr. Bernardo Ang was hopeful that the city would land at the “roadmap” of visitors who would feel obliged to come to the city to explore it and buy its products. He cited as an example the province of Bohol known for its trademark as the best producer of “Kalamay” and Cebu for its “Marial” He said the city can take stock of banana chips as a leading product value-added to become the best-taking chips Tagum City would be known of.
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High power rates drag margins of exporters E
By DANIELLE VENZ, Contributor
XPORTERS are worried that the high power prices can hurt their profit margins and cause them to lose their competitiveness edge in the global market.
Former senator Manny Villar, chairman of the Villar Group of Companies, signs two giant checks as company’s contribution for the relief and recovery of the calamity victims in the Visayas region. (Advertorial)
Villar gives P8M for Yolanda relief, recovery operations on birthday
“The semiconductors sector will be hit hard compared with those in the assembly. Margins will be squeezed further but we still have to deliver,” said Francis Ferrer, Philippine Exporters Confederation Inc. (PHILEXPORT) trustee of the electronics sector. Fer rer s aid t he ne w rate adjustment by Manila Electric Company (Meralco) can increase the share of electricity to their total cost from 14 percent to 20 percent. Dennis Orlina, president of the Philippine Chamber of Handicraft Industries, believes that gas prices will have more impact as it add
to overall cost of living and freight. “More businesses (will incur) more losses. LPG (liquefied petroleum gasoline) has higher impacts on production costs,” he said. Roberto Amores, president of Philippine Food Processors and Exporters Organization Inc., said high power rates can have a heavy negative impact on cost of fresh food that needs cold storage. For his part, Foreign B u y e r s As s o c i at i o n o f the Philippines (FOBAP) president Robert Young said the 28-percent electricity price hike will power/PAGE 11
INSTEAD of him receiving gifts, typhoon Yo l a n d a survivors will b e re c e iv i ng one from t he bi r t hd ay c e l e b r at o r, former senator Manny Villar. Villar, who is now shairman of the Villar Group of Companies, wrote a check amounting to P 8 .1 mi l l i on for the relief and recover y of the calamity victims as he celebrated his birthday with his employees. The amount is in addition to the P814,000 raised from Vi s t a L a n d employees who participated in see gives /PAGE 11
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Ro-Ro project to facilitate trade in ASEAN The Philippines can be a main participant in ASEAN trade with the implementation of a roll-on roll-off (Ro-Ro) project connecting Batangas port to Shenzhen and Da Nang cities in China and
Vietnam, according to a logistics expert. Dr. Enrico Basilio, chief of United States Agency for International Development (USAid) Advancing project/PAGE 10
Economy
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Cebu Pacific Air slashes 75% off Philippine fares for 2014 travel The Philippines’ leading low-cost carrier, Cebu Pacific Air (PSE:CEB) offers a 75% off seat sale on all its 33 domestic destinations, from December 13 to 16, 2013 or until seats last. This is for travel from January 1 to March 31, 2014. “What better way to start 2014 than with exploring the Philippines. We encourage everyone to take advantage of Cebu Pacific’s extensive network, which can take guests to some of the world’s best diving and surfing
spots, as well as familyfriendly and eco-adventure attractions,” said CEB VP for Marketing and Distribution Candice Iyog. Guests can book 75% of f s eats to any of the fol lowing dest inat ions:
Bacolod, Boracay (Caticlan), Busuanga (Coron), Butuan, Cagayan de Oro, Camiguin, Cauayan (Isabela), Cebu, Clark, Cotabato, Davao, Dipolog, Dumaguete, G e ne r a l S antos, Iloi lo, Kalibo, Legaspi, L aoag, Mani la, Naga, Ozamiz, Pagadian, Puerto Princesa, Roxas, San Jose (Mindoro), Siargao, Surigao, Tacloban, Tag bi l ar an , Taw i - Taw i, Tug ue g ar ao, Vi r ac and Zamboanga.
C E B’s n e w e s t r o u t e between Davao and Bacolod is also included in the seat sale. Travel period is from January 25, 2014, when the route is launched, until May 31, 2014. Meanwhile, CEB also offers great deals on select international routes, for travel from January 15 to April 30, 2014. Up for grabs are P99 seats from Manila to Osaka or Guangzhou. slashes/PAGE 10
High power cost Customs Modernization Act, PHL pathway to Kyoto compliance to drag margins The passage of the Customs Modernization Act (CMA) can enhance facilitation of legitimate trade while ensuring revenue collection. Customs Deputy Commissioner Atty. Agaton Uv e r o c o n s i d e r e d t h e proposed law a Philippine “pathway” to compliance with the provisions of the Revised Kyoto Convention (RKC) which contained the simplified and harmonized global rules on customs modernization. Uvero said RKC seeks to reduce costs of clearing customs in other countries,
cut delays in getting the goods into the country and facilitates product market introduction. In June 2010, t he Philippines became the 57th country to accede to the RKC. Uv e r o u n d e r s c o r e d the need for agencies t o s t r i v e t o b e Ky o t o compliant by accepting a responsibility to construct their regulatory policies and practices consistent with the principles laid down in the Convention. He said there is thus the need for national legislation
to be compliant with such Convention. “The CMA, in adopting the best customs practices provided in the R KC , s e e k s to a ch i e ve an appropr iate b alance between international trade facilitation and regulatory control, which is particularly important in the present climate of global unrest, where the need to maintain high levels of border security is essential,” he said. Uvero said if passed, the bill would protect the country against the entry pathway/PAGE 10
of exporters
Exporters are worried that the high power prices can hurt their profit margins and cause them to lose their competitiveness edge in the global market. “The semiconductors sector will be hit hard compared with those in the assembly. Margins will be squeezed further but we still have to deliver,” said Francis Ferrer, Philippine Exporters Confederation Inc. (PHILEXPORT) trustee of the electronics sector. Ferrer said the ne w cost/PAGE 10
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Tigerair to start Clark-Davao flights TIGERAIR Philippines on Friday formally launched its three times weekly ClarkDavao route flights which will commence on Dec. 17, 2013. Tigerair President and CEO Olive Ramos said that the low-cost carrier Tigerair Philippines plans to further expand their international route via Clark International Airport to Korea and Japan by early 2014. “Tigerair will maximize their presence in Clark and as a hub for its flights because of its ideal location. Unlike the Ninoy Aquino International Airport in Metro Manila, it is not as busy and congested,” Ramos said. Ramos also revealed that Tigerair will also embark on plans to further expand their Clark operations by conducting international flights via Clark to Incheon in South Korea and Tokyo, Japan by early 2014. “Clark International
Airport is a vital location for our operations especially in our flights in the Asia Pacific Region, and we intend to expand our presence in the area,” she stressed. At present, Tigerair flies
to Hong Kong, Singapore and Bangkok with domestic flights to Kalibo via Clark Airport. “ Wi t h t h e s e f l i g ht , travellers from the Northern and Central Luzon no longer
need to drive all the way to the NAIA to take their flights to these destinations.” Ramos stressed “that they will be focusing in Clark because of its potentials as a tigerair/PAGE 10
Seaoil allots P3B for retail network expansion our ‘superstation’ next year, maybe towards end of the year,” Yu said, referring to the P180 million fuel station and commercial center it will put up on a two-hectare property along the Subic-Clark-Tarlac Expressway. To support its retail
outlets, Seaoil will also put up three oil depots worth a combined P1 billion, Yu said. The oil storage facilities will be located in Zambonga, Palawan and La Union. Seaoil has 340 retail stations and 10 depots across the country.
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Ayala’s P2.9B expansion boosts Cebu as Visayas’ shopping capital CEBU City -- Ayala Center Cebu’s (ACC) P2.9-billion expansion is boosting Cebu’s position as the shopping capital and top tourist destination in the Visayas. Officials said the expansion projects aims to reinforce ACC’s image as the “icon of style” in Cebu. It also hopes to take advantage of the upper market’s spending power, catering the ABC+ and the tourist market. The four-level retail expansion completes the retail master plan of ACC, with an additional 36,500 square meters of gross leasable area. A total of 40 of the over 200 stores in its new wing have opened. ACC now has a total of 600 outlets. It has also doubled its parking slots to 1,600. AyalaLand Inc. (ALI) president and chief executive officer Antonino T. Aquino said the mall expansion is a testament of the company’s long-term commitment of constantly developing the projects they built in Cebu. Aquino said the opening of the new wing will help speed up the rehabilitation efforts of the province from recent calamities. He said that after a series of relief efforts, it is important
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to shift to the next phase, which is rehabilitation. Aquino said one of the best ways to expedite rehabilitation is through pouring in massive investments in affected locations. “O p e n i n g t h e AC C e x p a n s i o n i s o u r w ay of helping Cebu and the region speed up recovery and rehabilitation,” he said. Rustan’s Fresh and Rustan’s Department Store are the new wing’s anchor tenants. The mall also brings in a mix of premium foreign brands like Zara, Gap, Mango, Toys R Us, and Muji. It will also house a home and kids selections, dining outlets at the top level, a cinema that will have an extended showing time and a chapel. Rowena Tomeldan, vice president and operations and support services head of ALI’s commercial business group, said the mall houses over 40 outlets that are new in Cebu. The new wing also has tenants that are homegrown brands. Most of the stores will open in the first quarter of 2014, but Tomeldan said 30 more stores will be opening before the year ends. The cinema will open in the first quarter in 2014, while ayala/PAGE 10
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for capital expenditures next year. The company will use P1.8 billion of the amount to open 120 new stations, 50 of which will be located in Luzon, 30 in the Visayas and 40 in Mindanao. “We will also be opening
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SEAOIL Philippines, Inc. plans to put up over a hundred new fuel stations next year to expand its retail network. In a briefing, Francis Glenn Yu, Seaoil president and chief executive officer, told reporters that the company will spend nearly P3 billion
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Opinion
Inclusive growth must be asserted in AEC 2015
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Mr. Nice Guy
T
THINK
hink a minute…Bram Stoker was a successful theatre A Minute manager in England during By Jhan Tiafau Hurst Queen Victoria’s time. Everybody who knew him said he was the most easy-going, kindest man they knew. Bram’s wife, Florence, was a beautiful woman who had been courted by wealthy men of high social status, including the famous Oscar Wilde. But she chose to marry this exceptionally kind gentleman, Bram Stoker. The Stokers were seen at all the highsociety parties and important events. Later, when their child was born people said their marriage and family was perfect. Bram Stoker continued to be known as Mr. Nice Guy. He often gave money to his friends without even asking for anything in return. Bram and his wife had many famous friends like Mark Twain, Walt Whitman, and the President of the United States, Teddy Roosevelt. No one ever suspected that this nice, kind man actually lived a double life. They didn’t know that at night after work and all his proper, social appearances, Bram Stoker became someone else. In fact, he was also a writer. You see, he wrote the famous story, Dracula, based on his own real life at night, and all the evil things he did with prostitutes. Bram Stoker, this nice man by day and immoral monster by night, eventually died from the sexually transmitted disease of syphilis. You know, Jesus Christ said that there are many nice, religious people who live double lives. They do all the good, right things on the outside for people to see, but inside they’re proud and live their own way for their own immoral pleasures. But even if we fool people, we can never fool God. Jesus said every human being needs His gift of forgiveness, because we’ve all done many things wrong. Jesus also said that we all, including nice, religious people, need His power to change our proud, wrong hearts and character. That’s why God the Son had to become a human being: being: to die and pay the penalty for all our wrongs. It was the only way we could be forgiven by our perfect Maker and start a new life living His way. So won’t you ask Jesus to forgive you and help you start changing today? Jesus will give you real satisfaction and peace, and the power to live His right way both in public and in private, night and day every day. Just Think a Minute!
The inclusive growth mantra has to be further asserted in the ASEAN Economic Community (AEC), said Dr. Cielito Habito, former Director-General of the National Economic and Development Authority (NEDA) and Chief of Party of the USAID Trade Related Assistance for Development, during the 4th Final Workshop of the ASEAN Beyond 2015, a project of the Economic Research Institute for ASEAN and East Asia (ERIA). State think tank Philippine Institute for Development Studies (PIDS) co-organized the event held at the Carlos P. Romulo Hall, NEDA sa Makati Building. According to Habito, ASEAN trade relations must be competitive rather t h a n c o m p l e m e n t a r y. “The Philippines has a predominantly intraindustry trade with the rest of the ASEAN countries, especially with its major trading partners in the region, meaning we trade in products within the same industries. The Philippines’ top exports to its major ASEAN trading partners are petroleum products, electronics, and chemicals, the same products that we import in the region,” Habito noted. Habito also commented on the budget misallocation in the agricultural sector, where 70
SPECIAL FEATURE by Phidel Marion G. Vineles percent of the commodity budget goes to rice yet it is only responsible for only about 16 percent of the value adding in agriculture. He c o n s i d e r s t h e growth potentials of the services sector. “The Philippines has much more growth in the services sector because there are lots of value adding within this sector such as in design and software.” Meanwhile, UP Professor Emeritus and first NEDA Director-General Dr. Gerardo Sicat accentuated the negative impacts of the country’s governance and political issues on our investment performance. The changes of government have caused reversals of economic policies and the effects of these reversals were very costly, Sicat said. Sicat explained that the Philippines is the only country in the ASEAN that has complex constitutional provisions on economic issues. “We have restrictions on capital, landownership, public utilities, and operation of land mineral resources, which not all foreign investors could deal with,” he said. PIDS Senior Research Fellow and Acting VicePresident Rafaelita Aldaba stressed that the Philippines should not rely on the
services sector alone if we want economic growth to be inclusive. Aldaba noted the urgent need for the revival of the manufacturing sector to increase the country’s comp etitiveness in the region. A more vibrant manufacturing sector also means more jobs available for Filipinos. “There has been very little movement of resources in the Philippine manufacturing sector. Its share of value added to GDP declined to 23.7 percent in the 2000s from 26.3 percent in the 1980s.” ERIA Senior Re s e arc h er Pon c i an o Intal noted that ASEAN competitiveness has to be strengthened to sustain high and equitable growth beyond 2015. The Philippines needs an enabling policy and regulatory environment to meet the desired targets of eliminating dire poverty, reducing poverty rates by at least two-thirds, and reducing youth illiteracy rate and malnutrition. “There should be greater focus on food security as it remains to be a significant concern in the ASEAN,” Intal said. PIDS President Gilberto Llanto stressed the need for ASEAN countries to focus on border and beyond-the-border issues. “We also need to cascade the implications of AEC 2015 to our policymakers, especially to those who still are not aware of what AEC 2015 is.”
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ADB adds $350-M loan HSBC: BSP keeping rates for post-Yolanda rehab steady through mid-2014 THE Bangko Sentral ng Pilipinas (BSP) will need to hold its interest rates steady amid expectations of slower economic growth beginning in the fourth quarter, HSBC said on Saturday. “ Wit h t h e e c on omy expected to slow in the fourth quarter and first half next year the BSP will keep rates on hold to accommodate spending and investment,” HSBC said in its latest report. The bank said it would take some time before the post-typhoon rebuilding efforts -- particularly the use of the P100-billion budget -give a boost to the domestic economy. “The lagged effects of public spending mean that growth will likely slow in Q4 2013 and H1 2014. Therefore, the BSP is expected to keep rates on hold until H2 2014,” HSBC said. As Typhoon ‘Yolanda’ has damaged infrastructure and agricultural production, HSBC expects the Philippines’ gross domestic product (GDP) growth to slow due to the loss of output. “We expect increased inflows of remittances and
higher government spending to offset the impact of the disaster in 2014. GDP is expected to expand by 5.8 percent in 2014 from 6.8 percent in 2013,” the bank said. GDP is the amount of final goods and services produced in the country and as such measures economic performance. The single most f u n d am e nt a l w e a k n e s s of the Philippines is l i m i t e d i nv e s t m e nt i n infrastructure, HSBS said, citing transportation and
electricity as the two major bottlenecks. “Despite having strong economic growth rates, f avorabl e d e mog raphic trends, and a high frequency of natural disasters, the investment to GDP ratio remains amongst the lowest in the region. Infrastructure investment has gradually increased in recent years but is still low compared to what’s needed,” the UK bank said. HSBC said the BSP will do what it can to support spending and investment,
provided that inflationary pressures remain within target. HSB C s aid inf lation would likely still be around the midpoint of the BSP’s 3-5 percent target range next year, giving room for the central bank to support s l ow i ng g row t h i n t he coming quarters. The BSP’s policy-setting Monetary Board yesterday decided to keep its interest rates at record lows of 3.5 percent and 5.5 percent for the overnight borrowing hsbc/PAGE 10
THE Asian Development Bank (ADB) has earmarked an additional $350 million for the rehabilitation and rebuilding of areas devastated by Typhoon Yolanda, the strongest storm to make landfall on record. “We are considering giving an additional $350 million loan before the year ends,” ADB president Takehiko Nakao told reporters in an interview at the closing dinner of the Trilateral Commission Regional Conference in Makati City Thursday night. “It’s for the rehabilitation of the affected communities,” he said, adding that if approved, the ADB’s total loans and grants for Yolanda-related rehabilitation and aid will reach $873 million. On Dec. 6, ADB approved a $500-million emergency loan to the Philippine government for immediate reconstruction efforts in areas devastated by Typhoon Yolanda. On Nov. 13, the Manilabased lender alloted a total of $523 million in grants
and loans for relief and reconstruction initiatives in Yolanda-hit areas, including a $3-million grant from the Asia Pacific Disaster R e s p on s e Fu n d w h i c h was already disbursed, another $20-million grant from the Japan Fund for Poverty Reduction to be made available this month, and a recently-approved $500-million loan. ADB has established a Typhoon Yolanda Response Team, to offer additional support as the government moves into the rehabilitation and reconstruction phase. “We already have over 50 people who are part of the damage assessment (efforts) of the government,” Nakao said, noting that 40 members of team are senior staff members with experience in post-disaster situations. Last Nov. 8, Typhoon Yolanda battered the central Philippines, laying waste to buildings and other infrastructure in its path and killing over 6,000 people.
CONSUMERS turned more bearish in the fourth quarter of the year on higher prices of commodities, weak public perception about governance, and concern about the
peace and order situation in Mindanao, the Bangko Sentral ng Pilipinas (BSP) said on Friday. In a press briefing, Rosabel bearish/PAGE 10
Consumers turn more bearish in 4Q
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GCash, STI bring hope to the country through education Confer 4-year full scholarship grant with the Magpadala, Magka-diploma GCash Remit promo
G
lobe GCash, through its cash pick-up service GCash Remit, recently teamed up with STI Education Services Group, Inc. (STI) to make college education dreams come true with the Magpadala, Magkadiploma GCash Remit promo which awarded five (5) deserving individuals a 4-year full scholarship grant each at one of the country’s leading academic institutions for Information and Communication Technology (ICT) education. The scholars are Roland de Paz, Ann Margareth Pelera Kato, Vincent Suansing, Davie Mae Ancheta, and Rasha Bambico. They were nominated by their OFW relatives and friends who have been sending money from abroad to the
Philippines through GCash Remit “We would like to congratulate the scholars of our Magpadala, Magka-diploma GCash Remit promo as well as our OFWs who are working relentlessly abroad to provide their loved ones a better future. We hope that through these scholarships, we can help the OFWs and their children achieve a successful life ahead with a college diploma that they can use to land a job of their dreams,” expressed Paolo Baltao, President of GXchange, Inc., a wholly-owned subsidiary of Globe and operator of GCash. “We would also like to thank STI for partnering with us in this meaningful endeavor. We are confident that our scholars will have a better edu-
G-Xchange, Inc. President Paolo Baltao (rightmost) and STI VP for Communications Elbert De Guzman (leftmost) award a 4-year full scholarship grant to Roland De Paz, one of the five winners in the Magpadala, Magka-diploma GCash Remit promo.
cation ahead of them with STI.” Beneficiaries of OFWs with winning nominees received P10,000 each and 100 Jollibee gift certificates were also raffled off
Alang sa tanang myembro-konsumante sa FIBECO, pinasikad sa Board Resolution Number 185 series of 2013, kamo gipahibalo sa atong ika 31 ka tinu-ig nga panagtigum kon Annual General Membership Assembly nga ipahigayon karong Desyembre 22, 2013 adlaw nga Dominggo sa mosunod nga CLUSTERED VENUES nga duol ug kumbenyente alang kaninyo:
Valencia City and San Fernando
Clustered Venues for Attending Consumer-Members Valencia City Gym
Maramag and Pangantucan
FIBECO Multi-Purpose Covered Court
Kalilangan and Wao
Kalilangan Covered Court
Don Carlos and Kitaotao Quezon Dangcagan, Kibawe, Damulog and Kadingilan
Don Carlos Municipal Gym Quezon Municipal Gym
Municipality/City
Kibawe Municipal Gymnasium
Ang pagparehistro pagasugdan sa 10:00 sa buntag hangtud ala 1:00 sa hapon. Ang programa magasugod sa ala 1:00 sa hapon hangtud mahuman ang maong kalihukan. Adunay RAFFLE DRAW human sa business proper. Giawhag ang tanan sa pagtambong niini nga panagtigum. Palihug pagdala sa inyong FIBECO Membership I.D. o ubang valid identification card. Nagpahibalo, (Sgd) DIR. FELIX G. VERGARA, JR. Board Secretary
as prizes. Magpadala, Magka-diploma GCash Remit Promo was open to OFWs who send money to the Philippines via GCash Remit. GCash Remit has outlets in 33 countries
including Hong Kong, Singapore, Malaysia, Taiwan, United States, Canada, Saudi Arabia, United Arab Emirates, Bahrain, Kuwait, Qatar, United Kingdom, New Zealand, Ireland,
Australia, Guam, and Saipan. GCash Remit gives an easier and more affordable option to send money by visiting any of over 800 GCash Remit partner outlets outside the Philippines for fast, affordable, convenient, and secure international remittance service. Partners include Xoom, Xpress Money, MoneyGram, New York Bay Remittance, Lari Exchange, Czarina, Pinoy Express, Rustan’s Foreign Exchange, Kabayan Bilis Padala, IME, Transfast, Mabini Express, and many more. Meanwhile, beneficiaries in the Philippines may cash-out from any of the 7,000 GCash outlets nationwide without any service charge. To know more about GCash Remit, visit w w w. g l o b e . c o m . p h / gcashremit.
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ABELLANOSA Lechon House Project... from page 2 Corner Magsaysay Abellanosa St., Cag. de Oro City MANAGED BY :
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Philippine Competitiveness (COMPETE) project, said such ASEAN Ro-Ro system can facilitate faster transportation of goods even to other neighboring countries like Myanmar, Laos and Cambodia. “So I think, if we are able to successfully have the ASEAN Ro-Ro especially in Southeast Asia, then that will change in a big way how goods flow within the region,” he said. Basilio stressed that the triangulation from Batangas to Shenzhen to Danang is a viable connectivity. “We have discussed this with Vietnam because if it is Vietnam and the Philippines connecting to China, then it becomes ASEAN. And there are a lot of interests,” he said. Basilio said the country does not trade with Myanmar, Laos and Cambodia because goods have still to be transported by land to Bangkok. “But if we can do it from Batangas to Da Nang, that truck can end up as far as Myanmar, Laos and Cambodia via ASEAN Ro-Ro system...The Ro-Ro network presents a new way of trading. This is like the low-cost carriers operations, point to point,” he added. Basilio said Northeast Asian Korea, Japan and China have already 21 RoRo connections. “ Yo u d o n’t h av e t o spend a lot of investments on expensive rip-on rip-off equipment. It is not new, the world is not having Ro-Ro just now. Even in Northeast Asia, there are 21 Ro-Ro links. It is only in Southeast Asia, which is more archipelagic, that we don’t have it,” he said. B asi lio s aid ASEAN leaders have realized that key to achieving a single market and production base is through intra-regional connectivity. “That is why, they said we would form a high level task force that would craft a master plan on ASEAN connectivity. Because what is driving it is intra-ASEAN trade and it is growing,” he added. -- Danielle Venz, PHILEXPORT News and Features
Slashes... from page 2
Pryce Plaza Hotel Carmen Hill, CDO, Tel. No.722791 to93/858-4537 E-mail:reservations@pryceplaza.ph
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CHANANTHON BED & BREAKFAST CM Recto Avenue, Cagayan de Oro City Tel. #: 856-81-89 / 309-3095 / 231-2103 Email ad : chananthonbb@yahoo.com Room @ P800.00
COMMERCIAL SPACE FOR RENT
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P 6 9 9 s e at s a re a l s o available for flights from Manila to Phuket, Kota Kinabalu or Xiamen; from Cebu to Bangkok; and, from Clark or Iloilo to Hong Kong. Those traveling from Manila, Cebu or Clark to Singapore can also buy P1,499 seats. The same goes for those traveling from Manila to Bangkok, Siem Reap or Hong Kong. For bookings and inquiries, guests can go to www.cebupacificair.com, or c a l l t he res er vat ion hotlines (02)7020-888 or(032)230-8888. The latest seat sales can also be found on CEB’s official
Twitter (@cebupacificair) and Facebook pages. CEB’s 47-strong fleet is comprised of 10 Airbus A319, 27 Airbus A320, 2 Airbus A330 and 8 ATR-72 500 aircraft. It is one of the most modern aircraft fleets in the world. Between 2013 and 2021, Cebu Pacific will take delivery of 15 more brand-new Airbus A320, 30 Airbus A321neo, and 4 Airbus A330 aircraft.
Pathway... from page 2
of banned, prohibited and dangerous substances and articles as well as ensure the proper collection of revenues for the government. A Technical Working Group is discussing the C M A i n t h e Hou s e of Representatives. -- Danielle Venz, PHILEXPORT News and Features
Cost... from page 2
rate adjustment by Manila Electric Company (Meralco) can increase the share of electricity to their total cost from 14 percent to 20 percent. Dennis Orlina, president of the Philippine Chamber of Handicraft Industries, believes that gas prices will have more impact as it add to overall cost of living and freight. “More businesses (will incur) more losses. LPG (liquefied petroleum gasoline) has higher impacts on production costs,” he said. Roberto Amores, president of Philippine Food Processors and Exporters Organization Inc., said high power rates can have a heavy negative impact on cost of fresh food that needs cold storage. For his part, Foreign Buyers Association of the Philippines (FOBAP) president Robert Young said the 28-percent electricity price hike will be a detrimental to garment and apparel production cost. “Our forecast of sales increase will be hampered. It is a pity now that buyers are coming back due to Bangladesh 77-percent wage hike and United States jobs/ retail sales increase. The Philippines has now the highest electricity in the world!,” he noted. Philippine Chamber of Commerce and Industry (PCCI) president Miguel Varela said the high power cost can affect thousands of small and medium enterprises (SMEs) whose operations are power intensive. Varela said hit hard are the producers and service entities whose power cost content is 20 percent to 30 percent of their production costs, and exporters who “work on very tight margins because they focus more on volume.” -- Danielle Venz, PHILEXPORT News and Features
TigerAir... from page 4
a gateway to the North and Clark is a tax-free zone, making operations out of its airport less costly for carriers.
Lower operations costs mean more affordable rates for travellers.” “Operating in Clark offers many incentives, such as tax-free fuel, which accounts for 60 to 70 percent of the cost of operating carriers, that’s why it is cheaper to fly out of Clark,” Ramos added. C l a r k Int e r n at i o n a l Airport Corporation (CIAC) President and CEO Victor Jose I. Luciano welcomed the additional domestic flights of Tigerair as this would boost passenger volume at Clark Airport. Luciano also informed that the French and the Philippine Governments are set to sign a memorandum of agreement that will pave the way for French firm Airport Du Paris to plan and design a separate Budget Terminal for Clark Airport. He said that the funds for the project will be provided by the Department of Tr ans p or t at i on an d Communications (DOTC) costing about P7.2 billion which will be in two phases. The Budget Terminal capacity is about 15 million passengers annually.
Ayala... from page 4
the chapel will be opened before the start of Simbang Gabi. The mall will still follow the usual mall hours except for the fourth level of the new wing, which houses dining outlets and the cinema, which is open up to 2 a.m. (PNA)
HSBC... from page 6
an d l e n d i n g w i n d ow s , respectively. It however raised its inflation forecast for next year from four percent to 4.5 percent, citing the impact of Yolanda, oil price increases and a looming hike in electricity bills. HSBC however expects inflation lower at 4.3 percent, even as the typhoon distorted food and household supplies, pushing up prices. Coupled with temporary supply shocks and power hikes, the recent exchange rate weakness will also translate into higher headline inflation in the coming months, the bank said. HSBC said the BSP’s “more cautious tone suggests that the next policy rate move will likely be upward. We project a hike in when headline inflation creeps above the midpoint of the BSP’s three to percent target range in the second half next year.” “While watchful, the BSP has room to keep rates on hold in H1 2014 as headline inflation is still at the bottom of its target and growth is poised to slow in the coming quarters,” HSBC said. In November, inflation climbed to a nine-month high of 3.3 percent because of higher prices of food and other items. The 11-month average of 2.8 p ercent however remains below the BSP’s full-year target range of 3-5 percent.
Gives... from page 1
the “Run for a Cause” in which the company committed to donate P1,000 for every finisher. “I was thinking of doubling this amount, but instead of doubling this amount, I will just add another zero,” said Villar to the awe of his employees. One of his new employees, Dyan Ballesteros said, “His generosity is overwhelming. I thought that he will just double or triple the amount that we raised in the fun run, but he simply added zero at the end of the amount. I was shocked in a good way; some of us were in tears. It was really a wow-moment! I am proud to belong in his company.” Right after the onslaught of “Yolanda” last November 8, Villar mobilized his company officers and employees to purchase and repack relief goods like rice, canned food, water, medicines and other essential items for delivery to Tacloban City and other areas hit by the super typhoon. Villar said addressing the immediate needs of the typhoon survivors is just a first step; the second phase is rebuilding their homes. “I want Vista Land to be at the forefront in rebuilding the devastated communities. Our subdivisions were not spared. I want to bring Camella Homes in these areas to their pre-“Yolanda” state so that it will inspire the people of Leyte, Samar, Iloilo, Capiz, Aklan, Cebu and other areas hit by the typhoon that they can move on,” Villar said.
Power... from page 1
be a detrimental to garment and apparel production cost. “Our forecast of sales increase will be hampered. It is a pity now that buyers are coming back due to Bangladesh 77-percent wage hike and United States jobs/ retail sales increase. The Philippines has now the highest electricity in the world!,” he noted. Philippine Chamber of Commerce and Industry (PCCI) president Miguel Varela said the high power cost can affect thousands of small and medium enterprises (SMEs) whose operations are power intensive. Varela said hit hard are the producers and service entities whose power cost content is 20 percent to 30 percent of their production costs, and exporters who “work on very tight margins because they focus more on volume.
CAGAYAN DE ORO MAIN BRANCH P & J Lim Bldg., Tiano Brothers Kalambagohan Sts., Tel. # (08822) 727-829 * Telefax # (088) 856-1947 CAMIGUIN BRANCH B. Aranas St., Poblacion, Mambajao, Camiguin Tel. # (088) 387-0491 CORRALES BRANCH Corrales Ave., Cagayan de Oro City
DIVISORIA BRANCH Atty. Erasmo B. Damasing Bldg., #61 Don A. Velez St., Cagayan de Oro City Tel. # (088) 857-3631 LAPASAN BRANCH Lapasan Hi-way, Cagayan de Oro City Tel. # (088) 231-6739 CARMEN BRANCH Vamenta Blvd., Cagayan de Oro City Tel. # (088) 231-2011
CDO MAIN BRANCH P & J Lim Bldg., Tiano Brothers Kalambagohan Sts., Tel. # (08822) 727-829 * Telefax # (088) 856-1947
DIVISORIA BRANCH Atty. Erasmo B. Damasing Bldg., #61 Don A. Velez St., Cagayan de Oro City Tel. # (088) 857-3631
CAMIGUIN BRANCH B. Aranas St., Poblacion, Mambajao, Camiguin Tel. # (088) 387-0491
LAPASAN BRANCH Lapasan Hi-way, Cagayan de Oro City Tel. # (088) 231-6739
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CARMEN BRANCH Vamenta Blvd.,Cagayan de Oro City Tel. # (088) 231-2011
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DENR to focus on coastal reforestation to shield from storm surges Learning from the sad experience of the Visayan regions that were badly ravaged by the storm surge triggered by super typhoon “Yolanda,” the Department of Environment and Natural Resources (DENR) in Bicol is refocusing its coastal management program on “beach reforestation” to shield the region from similar disasters. “We have instructions from DENR Sec. Ramon Paje on this undertaking as a measure to strengthen the defenses of the region’s coastal areas from storm surges that may come with strong typhoons or any other form of ocean-triggered calamities,” Gilbert Gonzales, DENR regional executive director, said here on Monday. Given the instructions, Gonzales said, the DENR-Bicol will refocus its tree planting activities under the National Greening Program (NGP) on mangrove reforestation involving all the coastal areas of the region. The region’s coastal areas are characterized by the presence of numerous bays and gulfs that are major fishing grounds such as Ragay Gulf, San Miguel Bay and Lagonoy Gulf -- outlining the coasts of Camarines Norte and Camarines Sur; Albay Gulf and Sorsogon Bay in Albay and Sorsogon; and Alimand Ilog and Nin Bays in Masbate. Bicol has 94 coastal municipalities with 1,067 coastal villages along coastlines measured at 3,116.1 kilometers. The region’s four major fishing grounds in Camarines Sur, Camarines Norte, Albay and
Sorsogon have a combined area of 1,666.28 square kilometers. Bicol -- being exposed to typhoons, storm surges and even tsunamis -- needs more mangrove forests to serve as its “green wall.” he stressed. Due to its geographical l o c at i on an d phy s i c a l environment, Bicol is highly vulnerable to typhoons that come on an average of about 20 annually. These events trigger landslides, flash floods, mudslides, widespre ad floodings and, together with the associated high winds, cause destruction and damage to home s , c om mu n it y buildings, communications, infrastructure, roads, bridges, agricultural crops and fishing farms. In 2006, in a span of ten weeks from Sept. 25 to Dec. 1, the region was hit by two extremely destructive typhoons -- “Milenyo” and “Reming” which severely affected all its six provinces. Reming brought 466 millimeters of rainfall, the highest in 40 years, that damaged extensive area of crop plantations valued at some P154 million. Gonzales said mangrove reforestation that would be instituted along the region’s coastal areas would serve also as a key to food security apart from climate change adaptation and mitigation that can protect settlements and help address soil erosion and other natural threats and hazards. According to a study of the Bureau of Fisheries and
Aquatic Resources (BFAR), the prevailing climate change is seen to be hazardous and damaging effects to our marine and inland fishery resources. It triggers rise in temperature, changes in rainfall patterns and frequent typhoons with extreme flooding, together with change in wind direction that alter the characteristics -- depth, salinity patterns and turbidity of near shore fish habitats such as mangroves, sea grasses and coral communities. It will also affect biodiversity through extinction and succession of species, ocean circulation pattern, coral reef production and fish migration pattern. The fisheries sector is anticipated to be one of the most affected by climate change. It shall be greatly felt in coastal areas through rise in sea level and increase in temperature. Weather disturbances shall become apparent through increased frequency and intensity of typhoons and extreme flooding. Sea level rise shall inundate low-lying wet and dry land areas, erode shorelines, exacerbate storm flooding; increase salinity of estuaries and threaten freshwater aquifer. Also, accretion in shorelines may occur due to drowning and inundation of coasts. The consequence of all these, simply put, is that climate change will affect fishingand aquaculture-dependent Bicolanos as local fishery resources will decrease while important fish species may move to other areas making
it less available to fishers. Climate change, however, is not the end of the world. While documented science-based information on its damaging effect and corresponding methods on countering it are still scarce, there already exist knowledge and practical experiences with solutions that could be applied to adapt to or reduce its adverse effects, according to Gonzales. “We are developing the region’s resiliency in responding, coping and adapting to climate change through the institutionalization of program and projects focused on putting up natural defenses, among them, mangrove reforestation,” he stressed. One of these projects, G on z a l e s s ai d, i s t h e “Partnerships for Biodiversity Conservation: Mainstreaming i n L o c a l Ag r i c u ltu r a l Landscapes” or BPP that has been ongoing implementation since December last year. The BPP is a US$ 17-million project funded by the Global Environment Fund (GEF) through the United Nations D e vel opme nt Pro g r am (UNDP), and implemented by the DENR through its Protected Areas and Wildlife Bureau. Total grant proceeds from the GEF and UNDP are pegged at US$ 4.8 million, while US$ 12.2 million will be the counterpart from the Philippine Government and its partners, who come from local government units and conservation organizations in the pilot sites, the DENR regional chief added. (PNA)
Bearish...
Zamboanga rebellion, the military has restored peace in the city but failed to capture rebel leader Nur Misuari. “Consumers attributed their less optimistic outlook to expectations of lower income due to poor harvests and damages to crops and irrigation systems caused by poor weather conditions in October, as well as higher household spending during the holiday s eas on and graduation events in the quarter ahead,” Guerrero said. Consumer confidence is measured using three indicators: economic conditions of the country, family financial situation and family income. The resp ondents’ outlook on the country’s economic condition declined to a quarter low on concern about the PDAF c ont rov e r s y, w h i l e t h e outlook on family finances and income weakened moderately. For t h e ye ar a h e a d, consumers were optimistic, even as their views about t he e conomy and t heir f am i ly f i nanc e s tu r ne d less favorable. Consumers however were bullish about their family income.
The outlook on family finances and income declined among middle- and low-income respondents in contrast to the more optimistic outlook of the high-income group. The outlook on buying conditions was most upbeat for real estate. Respondents also considered stepping up their purchases of consumer durables, particularly f o r e nt e r t a i n m e nt a n d convenience. Buying intentions for the year ahead turned upbeat for all big-ticket items. The number of households with savings continued to increase in the fourth quarter, particularly among the middle- and low-income groups, which wi l l us e t he mone y s et aside for emergency fund, health and hospitalization, retirement, business capital and investments such as real estate and education. Among respondents with savings, majority had bank accounts. The percentage of respondents that would save money in the fourth quarter edged higher to 34.6 percent from 32.4 percent in the previous quarter. Four in 10 expects to save at least 10 percent of their
income. The fourth-quarter round of the survey polled 5,512 households, of which 2,747 were f rom Metro Manila and 2,765 from areas outside the capital. The nationwide survey response rate stood at 97.6 percent, down from 98.1 percent in the previous quarter survey. By area, the response rate was higher at 99.1 percent in Metro Manila and 96.2 percent in areas outside the capital region.
from page 6
Guerrero, director for BSP Department of Economics and St at ist ics, s aid t he overall confidence index of the fourth-quarter C onsumer Expectations Survey fell to -21.3 percent in the fourth quarter from -7.9 percent in the third quarter. The index is the dif ference b et we en t he number of respondents who answered in the positive and those in the negative, w it h a n e g at i v e f i g u re indicating that pessimists outnumbered optimists. Resp ondents blamed their bearish outlook on higher prices of food, as adverse weather conditions resulted in poor harvest of palay, tuba, copra, coconut, fish and other sea products. They also cited concern over public governance amid the controversy hounding government officials’ “pork barrel” funds -- also called the Priority Development Assistance Fund (PDAF) -- as well as the impact of the armed conflict in Zamboanga. T h e Supre m e C ou r t had ruled that the PDAF w a s i l l e g a l. As for t he
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Republic of the Philippines LOCAL CIVIL REGISTRY OFFICE PROVINCE OF MISAMIS ORIENTAL CAGAYAN DE ORO CITY NOTICE FOR PUBLICATION In compliance with Section 5 of R.A. No. 9048, a NOTICE is hereby served to the public that LUZVISMINDA BLANCO SIEGA has filed with this Office a petition for the change of first name from MARIA LUZVISMINDA to LUZVISMINDA in the Certificate of Live Birth of MARIA LUZVISMINDA Q. BLANCO who was born on July 29, 1963 in CAGAYAN DE ORO CITY and whose parents are LAMBERTO BLANCO and VIVIANA QUINAL. Any person adversely affected by said petition may file his written opposition with this Office not later than December 23, 2013. (Sgd.) NORMA S. DIPUTADO City Civil Registrar BWM: Dec. 16 & 23, 2013
BusinessWeek MINDANAO
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May the timeless message of Christmas fill your heart and home with joy today and throughout the coming year.
Cagayan de Oro Branch Branch Manager: Lino U. Gacus PVB Building Tiano corner Abejuela Streets Cagayan de Oro City 9000 Telephone: (08822) 722628 | (088) 857-3386 Telefax (08822) 722644