...the consumer electronic expo hub

Philippines eyed as consumer electronics expo hub

Yahoo! to host TechnoStorm trade event

By Paolo G. Montecillo
Philippine Daily Inquirer

Thursday, November 22nd, 2012

 

 

MANILA, Philippines—Internet pioneer Yahoo! is pushing for the Philippines to be one of the region’s centers for consumer electronics technology given the young population’s love for gadgets, from computers and mobile phones to high-end cameras.

Yahoo! Philippines will hold its first consumer electronics exposition, called TechnoStorm, where the company plans to bring under one roof the biggest names in technology such as Nokia, Samsung and Apple to show off their latest products for the local market.

“The dream is to host an event like CES [Consumer Electronics Show],” Yahoo! Philippines country ambassador and sales director Arlene Amarante said, referring to the Las Vegas tech show known as the world’s largest exposition for the latest in consumer electronics.

Amarante said TechnoStorm would be at a much smaller scale, but it was aimed at eventually competing with Computex, an annual information technology expo hosted by Taiwan for more than a decade now.

“To get Smart, Globe, PLDT and Wi-Tribe in the same event is hard. It’s also hard to have Nokia, Samsung and other companies in the same arena. But they look at it as an industry push,” Amarante said.

“If the industry is able to do this with the help of all the parts, as a whole, it would be a lot better. Yahoo is there to be a core platform to help them out,” she said.

The TechnoStorm expo, to be held at the TriNoma mall in Quezon City from November 26 to December 2, comes just in time for the holiday season, when millions of Filipinos are expected to shop for gifts for friends and relatives.

Complementing the physical event is the launch of an interactive online site featuring cutting-edge products and services from leading global and local brands.

Aside from featuring latest gadgets, the site ph.news.yahoo.com/technostorm will also have latest news and updates on tech companies, as well as “expert” columns for consumer questions.

“Technostorm is a celebration of all things tech. Yahoo’s digital capabilities provide a unique platform for Filipinos to explore, discover and understand the world of technology, and bring them face to face with gadgets and devices that create connectivity,” Amarante said

...the sweet spot to export

PHL in 'sweet spot' to expand exports into EU — DFA Usec

 

 

September 20, 2012

GMA News

 

 

The country's improvement in the 2012 global competitiveness ranking could facilitate the expansion of exports to the European markets, a Department of Trade and Industry official said.

"Looking at our macro-economic fundamentals and increased ranking in international competitiveness surveys, we can say that we are in a sweet spot to grow and expand [in] markets like the EU," Undersecretary Adrian Cristobal said during the Philippines–EU Trade Policy Consultations on Thursday.

The recent global competitiveness survey showed the Philippines jumped 10 notches higher from 75 last year to 65 this year.

Cristobal also said there is a need to diversify the country's exports and not rely solely on electronics.

"Electronics, our key export product to the EU, is mostly FDI [foreign direct investment]-driven. While we see growth of non-electronics exports to the EU [4 percent] and agriculture products [20 percent], we also recognize the need to diversify our exports and product offerings while attracting more investments," Cristobal said.

He said the DTI is also working on the formulation of sound industry development policies to increase the competitiveness of Philippine industries in FTA markets.

Currently, the Philippines has free trade agreements with the ASEAN, Japan, China, Korea, Australia and New Zealand.

Cristobal said the analysis and recommendations on a potential Philippine-EU FTA are vital inputs to crafting trade policies, negotiating positions and industry development.

In 2010, Philippine exports to the EU registered its highest growth at 34 percent. Among ASEAN countries, the Philippines was the sixth top exporter to the EU.

The DTI had been actively doing "Doing Business in Free Trade Areas" seminars nationwide to inform businessmen, particularly local exporters, on the benefits of the FTAs the country has entered into.

Among the issues usually tackled in the previous consultations were tariff rate quotas, need for technical assistance to enter a particular market, foregone revenues in FTAs, impact of trade agreements in employment, issues on the movement of natural persons, and the need for better information dissemination about FTAs.

"Since last year, we have held stakeholder consultations on the Japan-Philippines Economic Agreement [JPEPA] and Philippine-EU FTA in key cities and provinces nationwide," Cristobal said.

Among these cities were Cebu, Davao, Manila, General Santos, and Southern Luzon (Tagaytay).

The consultations brought together stakeholders from government, civil society groups, academe, and the private sector. — BM, GMA News

...the PH export trend

Higher electronics shipments to boost total exports

Philippine Daily Inquirer

Wednesday, July 11th, 2012

 

 

The National Economic and Development Authority (NEDA) is optimistic that electronics exports will improve in the coming months.

 

Electronics, which accounted for 38 percent of the country’s total exports in May, declined by 0.7 percent to $1.872 billion. This followed a sharp 23.8-percent drop in April.

“On a positive note, there still appears to be good prospects for growth in the electronics sector, as indicated by improving book-to-bill ratio in Japan and a parity of above 1.0 in the US,” Economic Planning Secretary Arsenio M. Balisacan said in a statement.

“In fact, the book-to-bill ratio in the US has been above 1.0 for four consecutive months, reaching 1.05 in May 2012,” Balisacan added.

A book-to-bill ratio or parity of above 1.0 indicates an upbeat market, as demand or bookings outpace supply or billings. A parity of less than 1.0 suggests weak demand, the NEDA said.

Revenues from the semiconductor sector, which makes up the majority of electronics exports, will be sustained by strong demand for consumer-oriented products such as mobile phones and media tablets, said Balisacan, citing industry sources.

Asian Development Bank Country Director Neeraj K. Jain earlier said that a strong performance of the electronics industry would boost export growth in the second half.

Jain added that the ongoing reconstruction in Japan is helping boost Philippine exports.—Ana G. Roa

...the new investments

P16.5-B New Projects, P10-B Expansion, Ecozone Investments Reach P26.5 Billion

 

By BERNIE CAHILES-MAGKILAT

June 6, 2012

Manila Bulletin

 

 

Investors are flocking into the various economic zones (ecozone) in the country with total investments of P26.5 billion in new and expansion projects in the first five months of the year.

Of these investments, P16.5 billion are new projects while P10 billion are expansion programs of existing locators of the various PEZA zones. There are a total of 42 new electronics firms that are investing in the country and their investments are expected to employ 17,000 workers.

"Investors are on an expansion mode. The time is certainly positive," said Lilia B. De Lima, Director-General of the Philippine Economic Zone Authority (PEZA).

Of the expansion projects, De Lima reported that Toshiba Information Equipment Systems has expanded with P3.6 billion for the manufacturer of new advanced technology equivalent to 2.5 inch terabyte hard disk drive.

It will hire 2,240 workers once it starts commercial operations within the year.

The Toshiba expansion here is part of the relocation of some of its production from its Thailand operation, De Lima said.

Toshiba’s exports for this expansion project alone is estimated to reach $1.327 billion in a single year alone.
The other big investor is Maxim Philis Operating Corp. with P3.2 billion worth of investments for final testing facility of a semiconductor kits in Gateway Industrial Park in General Trias Cavite. This project is going to employ 272 new workers.

Pilipinas Kao Inc. is investing P1.6 billion for increased production capacity of its high purity fatty alcohol using coconut products. The company’s existing manufacturing plant is located in Hasaan, Misamis Oriental.

Wiring harness manufacturer Yazaki Torres has two expansions for each of its two plants in Calamba and Batangas for a for a total of P1.156 billion. The two expansion projects will employ 2,262 Filipinos.

Ernesto Santiago, president of the Semiconductor and Electronics Industry of the Philippines Inc., said they expect to hit its exports growth target of between 10 to 15 percent this year over last year.

The industry already posted a 5.6 percent exports growth in the first quarter this year.

"Prospects for this yearare a lot better," Santiago said.

...the Future Electronic site operation

Canada’s Future Electronics eyes expanding PHL operations

 

March 22, 2012

GMA News

 

 

Canada’s Future Electronics, distributor of electronic and electrical components, plans to expand its Philippine operations, the Department of Foreign Affairs said Thursday.
 
The Canadian company operates a distribution facility in the Philippines and is eyeing to expand its marketing and technical training in its Philippine operations, as well as its distribution business, according to the DFA.
 
"Future Electronics has operations in 169 locations in 42 countries in the Americas, Asia, and Europe. It currently operates a distribution facility in Muntinlupa, Metro Manila which connects to its regional hub, based in Singapore," the department said in a note on its website.
 
Philippine Ambassador to Canada Leslie Gatan called on Future Electronics president Robert Miller last March 16 at the company’s headquarters in Montreal, Canada.
 
Miller welcomed assurances from Gatan, saying he was impressed by investment opportunities in the Philippines and its considerable human resource pool, the DFA noted.
 
"Further details of the expansion will be worked out and is expected to be announced in the coming months," the DFA said.
 
Future Electronics generates annual sales of over CAD$4.5 billion. — VS, GMA News

...the surprise export growth

PH exports surprise points to stronger growth

 

By Erik dela Cruz and Karen Lema,

Reuters

03/13/2012

 

MANILA, Philippines - Exports unexpectedly rose in January as demand from its major markets jumped, a positive start for the Southeast Asian economy after a disappointing 2011 and further evidence that global demand conditions could be improving.

Exports rose 3% in January from a year earlier, and the first rise since last April came as a surprise to a market looking for a fall similar to December's 18.9% drop.

Economists said the Bangko Sentral ng Pilipinas was now likely to hold the main interest rate at a record low after cutting it at the first two reviews of 2012.

"This unexpected recovery was likely largely due to the upside surprise in economic activity globally towards the end of 2011, especially in the U.S. and Japan, as well as relatively stabilisation of China's slowdown," HSBC economist Trinh Nguyen said.

Shipments to the country's three top markets -- Japan, the United States and China-- all grew by double-digits in annual terms in January after falls in December, although Europe remained weak.

Electronics, which make up more than half of total shipments, grew -- a modest 0.4% in annual terms, but the first rise in a year was welcome news particularly after five straight months where they had fallen between 29% and 48%.

HSBC's Nguyen estimated that electronic shipments rose 20.3% from December in seasonally adjusted terms.

Turnaround

"It seems to be supported by a major turnaround for electronics, which have borne the brunt of weak external demand, and regional supply chain disruptions," said ANZ economist Aninda Mitra.

"We also think this provides a firm basis for the BSP to remain on hold."

Ernie Santiago, head of the Semiconductors and Electronics Industries in the Philippines Inc (SEIPI) told Reuters the industry expected electronics exports to grow 10% to 15% in 2012 after contracting more than 20% last year.

Santiago said growth would be driven by businesses restocking and an expected increase in spending on technology.

Analysts agreed that the worst appeared to have passed for the electronics sector, and that should help lift economic growth towards the government's estimate of 5% to 6% for 2012 after a sharper-than-expected slowdown in 2011.

"This does look like a turnaround in the electronics cycle and suggests that GDP growth this year will accelerate from 3.7%," said Eugene Leow, economist at DBS in Singapore.

Exports account for about two-fifths of the country's GDP based on expenditure terms. The government has forecast exports to grow 10% this year, and it expects imports to climb 15%as manufacturers seek to shore up depleted inventories.

Investors seem confident the economy will strengthen -- the stock market is up 14% in 2012, and up by more than a third from Sep. 26, when it posted its lowest close for 2011.

...the historic export

Electronics exports hit record high

Rise in investments drove up shipments in 2010

By Abigail L. Ho
Philippine Daily Inquirer
 03/11/2011

MANILA, Philippines—Investments in the local electronics sector hit a record $2.3 billion last year, driving exports to reach $31.1 billion, also the highest in the industry’s history.

In a briefing yesterday, Seipi president Ernesto Santiago said electronics exports had the potential to grow by at least 10 percent a year and could hit the $50-billion mark by 2016.

Last year, electronics exports accounted for 61 percent of the country’s merchandise exports. Of the $31.1-billion total, 71 percent came from semiconductors and 23.4 percent from electronic data processing or computer-related products, Santiago said.

In terms of employment, the electronics industry provided jobs to an additional 25,000 people in 2010, he added.

According to the industry rule of thumb, each direct job in the electronics industry gave rise to seven indirect jobs. This meant that the industry provided livelihood to an additional 175,000 individuals last year.
As the industry continued to expand, he said it would be possible for engineers in Libya to be repatriated and given jobs in the country.

“There’s a possibility of hiring engineers from Libya, if they will be qualified. There may also be (information technology) engineers who can be absorbed by the local industry,” Santiago said.

To ensure that the projected growth of the industry materializes, however, yearly investments must reach at least $2 billion, Santiago said.

Just three months into the year, Seipi chair Dan Lachica said hitting the $2-billion investment level this year was highly possible, considering that there were already more than $200 million in investments committed by two industry players.

Lachica related how Toshiba recently committed to invest $100 million to expand its operations in the country.

First Philec, a Lopez company where Lachica serves as chief executive, will also be investing $104 million for a new joint venture with Korean company Nexolon.

The new company, to be called First Philec Nexolon Corp., will perform the same functions as First Philec Solar Corp., but will serve the requirements of Nexolon instead of American firm Sunpower.

“We need to expand capacity to boost exports. To do this, we need to promote the Philippines, enhance the competitiveness of Filipinos, lower the cost of power, and make a conducive environment for business to grow,” Santiago explained.