A new batch of 20 to 25 local brands are eyeing to go international, according to Chris Lim, chairman of the Philippine Franchise Association (PFA).
But PFA said local companies wanting to export or to bring their brands abroad need government support to make compliance to regulations overseas much faster.
Lim said in a press conference at the opening of Franchise Asia Philippines expo last Friday, these companies would tap countries with a huge Filipino customer base such as the United States and those in the Gulf.
Lim said among these brands are Mr Quickie (shoe repair), G Foxx (direct selling), Chef Tony’s (popcorn) and Dr Leather (bag restoration).
These brands hope to join the big Filipino concepts that have entered new markets such as the Jollibee Group, Max’s and Potato Corner.
Sherill Quintana, PFA president, said government should consider granting subsidies to local franchises wishing to participate in international marketing events to help them in their expansion.
Quintana said other support could be in the form of tax incentives, faster processing of permits such as from the Food and Drug Administration and getting intellectual property registrations such as application for the Madrid Protocol.
PFA members comprising 800 brands eye a 10-percent growth in the number of franchised stores this year.
Sen. Mark Villar, chairman of the Senate Committee Chair on Trade, Commerce, and Entrepreneurship and guest speaker at the opening ceremonies, said in 2022 alone, franchising has contributed 7.8 percent to the country’s GDP and has generated roughly 2 million direct and indirect jobs.
Villar said the biggest subsector of the franchise industry speaks– the food and beverage franchises brought in $10.8 billion while the non-food retail and services were valued at $1.34 billion.
He said the Philippine franchise industry, with more than 1,800 brands operating in multiple areas, makes it the 7th largest franchise market in the world and the largest market in the Southeast Asian region.
Of the total number of franchise in the country, 90 percent emanate locally.
“(This) reflects the large role of local brands in the entire market,” Villar said.
