Two pillars of the industries, electronics and semiconductors and the information technology-business process management (IT-BPM), are poised to underpin the growth of exports this year.
Secretary Ramon Lopez of the Department of Trade and Industry (DTI) yesterday said for the full-year exports, the target is to grow 15 percent, based on the average growth rate for the year of 21 percent to $36 billion from $20\9.7 billion in the same period in 2020.
“That’s a good recovery for the exports sector. We are targeting 15 percent, which is a very robust growth for full year,” Lopez said.
Growth will be led by electronics which accounts for more than 50 percent of the total pie; at $20.27 billion, up 18.5 percent from $17 billion a year ago.
Lopez said based on his conversation with industry leaders, the group has targetted a 7-percent growth this year, which could be adjusted upwards based on its strong performance for the year.
This, he said, can be attained as long as companies are allowed to operate at 100 percent even during strict lockdowns.
Dan Lachica, president of the Semiconductor and Electronics Industries of the Philippines Inc., said the group will wait for the fourth quarter before making any adjustments in their target.
“Electronics is growing at a robust pace. Other markets are also opening up,” he said.
Lopez cited the IT-BPM industry for being instrumental to recovery.
Based on his last discussion with industry leaders, Lopez said the sector may grow more than 5 percent, breaching the high-end of the target of 2 to 5 percent.
“This sector did not lay off workers and even expanded during the pandemic and provided a lot of jobs and continues to grow,” he added.
But Lopez noted the key to the industry’s sustained growth is the adjustment of their business model, where they can do the hybrid of on-site and remote operations.
“This is one temporary measure as we define in the FIRB (Fiscal Incentives Review Board) that they be allowed (to adopt this) because of the pandemic. They can do a lot of work-from-home. That’s a recognized business model even after the pandemic because it provides a lot of productivity and efficiency in their operations,” he added. – Irma Isip
