MANILA, Philippines—The Department of Trade and Industry has appealed to the member economies of the Asia Pacific Economic Cooperation (Apec) to make a significant push for the small and medium sized enterprises (SMEs), which are deemed critical in boosting global trade over the long term.
“We are counting on all senior officials to make Apec the incubator for active and dynamic SMEs and be ready to provide SMEs access to opportunities for inclusive growth and their integration in the global value chain,” Trade Secretary Gregory L. Domingo said in his speech at the Apec 2015 Informal Senior Officials’ Meeting on Monday.
Domingo noted that during the Philippines’ chairmanship of Apec 2015, the country will put special emphasis on the SME agenda, given the overall thrust for inclusive growth.
“From our perspective, the SME agenda is very critical not only to Apec but also to the forward movement of global trade in general. SMEs are among the stronger voices that are opposing global trade; that is because they hardly feel the benefits of global trade. Many of the SMEs see the influx of goods and services in their own markets but find it very cumbersome and difficult to take advantage of the free trade agreements because of the very cumbersome rules and procedures,” Domingo explained.
The trade chief noted that there were two general kinds of SMEs—those that are already part of the global value chain, and those that are referred to as the cottage industries, or those that are smaller than the SMEs and often called micro-enterprises.
He explained that these are the small business firms, or those with up to five-person type of operations, that are mainly in food processing, handcrafts and, to some extent, furniture.
“These are the ones that really need the most help. I hope we keep that in mind as we move forward in developing some action plans that we will want to do for SMEs,” Domingo said.