MANILA, Philippines—Services and non-electronics exports are expected to boost the country’s total export receipts to $120 billion by 2016.
“We haven’t changed our overarching goals of doubling exports by 2016. We’ll probably tweak some of (our strategies) to reach that goal under the Philippine Export Development Plan. We will take a look especially at targets for the services sector, which is doing very well,” said Senen M. Perlada, head of the Department of Trade and Industry’s Bureau of Export Trade Promotion.
Perlada explained on the sidelines of the Manila FAME event on Thursday that the new PEDP for 2014 to 2016, which might be released by the Export Development Council early next year, would include a special section that would highlight the services sector. This sector refers not only to business process outsourcing sector, but also services in the areas of tourism, health management, architecture, education and engineering.
According to Perlada, the services sector is performing really well and that it is expected to account for 22 percent of the country’s total exports by 2016, up from only 9 percent in 2002.
“At present, electronics exports are down to 40 percent of total exports. Non-electronics exports account for 60 percent and these are what keep us afloat. Merchandise exports are expected to be positive over the next month or so, driven by agriculture products, woodcraft and furniture, processed products, gifts, toys and housewares,” he said. The EDC, which is composed of representatives from the government and the private sector, has started to undertake initial steps toward the crafting of the PEDP 2014-2016. Consultations are expected to held starting next month, said Perlada of the EDC secretariat.
For this year, the DTI has set an export target of $81.53 billion on the back of rising non-electronics shipments and a robust services sector. As previously reported, the country aims to post $61.10 billion in merchandise shipments and $20.43 billion in services exports for 2013.
The current Philippine Export Development Plan 2011-2013, which was approved in July 2011, focused on several core product and market strategies.