The government is allocating P289 billion for the Manufacturing Resurgence Program, aimed at enhancing the competitiveness of the local manufacturing industry and ensuring inclusive growth in the country.
In a briefing on Thursday, Trade Secretary Adrian S. Cristobal Jr. said the budget would be spread across key agencies that would help revitalize the country’s manufacturing sector, including the Departments of Trade and Industry, Agriculture, Science and Technology, and Labor and Employment.
“We will continue the implementation of the Manufacturing Resurgence Program, which is spearheaded by the DTI. We believe that to achieve long term inclusive growth, generate much-needed quality jobs, and to sustain the competitiveness of the country, what we are experiencing now (in the manufacturing sector) should be sustained,” Cristobal said.
“Last year, the Manufacturing Resurgence Program was institutionalized and Congress has approved a budget of P239 billion and P289 billion for the program in 2015 and 2016. These (are being allocated for) major projects and programs (and) are distributed among several key agencies. The interventions range from (the construction of) physical infrastructure to soft interventions like training,” he added.
The Manufacturing Resurgence Program is aimed at rebuilding the existing capacity of industries; strengthening new ones, and maintaining the competitiveness of industries with comparative advantage. It seeks to build on agriculture-based manufacturing industries that generate employment and support small-holder farmers and agri-cooperatives through product development, value-adding and integration to big enterprises for marketing and financing purposes.
“The revival of the manufacturing sector is key to inclusive economic growth because it will generate employment and help the country tap regional production networks,” said Board of Investments (BOI) managing head Ceferino S. Rodolfo.
Earlier, the DTI said the manufacturing sector was being targeted to contribute 30 percent to the country’s gross domestic product by 2020 from the current 22 percent under the Comprehensive National Industrial Strategy (CNIS). Its share of jobs to the total was also targeted to grow to 15 percent from the current 9 percent.