SHARED SERVICE FACILITIES
MSME Development (MSMED) is a key strategy to achieve the government’s goal of inclusive growth and jobs generation. The 2013 General Appropriations Act (GAA) has earmarked funds under the budget of the Department of Trade and Industry (DTI) to implement its “Big Push” for MSME development. A major component of the MSMED Program is the Shared Service Facilities (SSF) Project which aims to improve the competitiveness of MSMEs by providing them with machinery, equipment, tools, systems, skills and knowledge under a shared system.
The SSF Project is being implemented nationwide with project partners termed as Cooperators, which may be any juridical entity such as but not limited to non-government organizations, people’s organizations, cooperatives, industry/trade/business associations, local government units (LGUs), state universities/colleges technical vocational schools and other similar government and training institutions.
Beneficiaries of the project are the actual and potential users of the SSF which should be predominantly cooperatives, associations or groups of MSMEs including MSMEs or individual entrepreneurs who may not be members of cooperatives, associations, corporations or organizations.
The 2013 GAA appropriated project funds of P770M for the implementation of the SSF Project of which P700M was intended for the procurement of machineries and equipment or under Capital Outlay, and the P70M was for the implementation of the project or MOOE.
The SSF Project is envisioned to attain one or more of the following objectives of the project:
- Enable MSMEs to increase their productivity;
- Accelerate MSME’s competitiveness by giving them access to energy efficient technologies and more sophisticated equipment;
- Encourage the graduation of MSMEs to the next level where they could tap a better and wider market share and be integrated in the global supply chain;
- Take into account convergence where government resources are pooled and integrated;
- Address the gap and bottlenecks in the value chain of priority industry clusters.
For a project to be eligible, it has to meet the following criteria:
1. The proposed SSF Project must address processing and manufacturing gaps or bottlenecks of the industry cluster brought about by any of the following:
• Absence of the needed facility
• Lack of capacity of an existing facility
• Cost of services of an existing facility is not affordable
• Lack of inadequate technical and administrative services that will promote and facilitate the growth of MSMEs within the priority industry clusters.
2. The proposed SSF Project will increase the productivity of the industry cluster in terms of:
• Product improvement/Quality enhancement/Marketability
• Price competitiveness
• Conformity to standards
3. The proposed SSF Project will support microenterprises within the priority industry clusters.
4. SSF Projects that will improve the products of the One-Town One-Product (OTOP) project.
Implemented by: DTI-Regional and Provincial Offices
SSF MVP Bossing Awards Winners:
Luzon: Coffee, CAR
Visayas: Pandan and Bag Making, Region 8
Mindanao: Abaca Fiber Processing, CARAGA
DTI’s outstanding small scale businesses receive first-ever ‘Kapatid Awards’
DTI’s shared service facilities (SSF) beneficiaries on coffee processing, native bag making, and fiber marketing were the recipients of the first-ever Kapatid Awards at PLDT’s MVP Bossing Awards 2016 on 23 November.
SSFs on coffee processing from Mountain Province, Cordillera Administrative Region (CAR), on pandan and bariw bag making from Leyte, Region VIII and on fiber marketing expansion from Agusan del Norte, CARAGA received awards for exhibiting sustainable and inclusive growth models that contribute to the improvement of the quality of lives in said communities.
SSF Project Management Office:
Department of Trade and Industry – Bureau of Small and Medium Enterprise Development (DTI-BSMED)
6F Trade and Industry Building, 361 Sen. Gil J. Puyat Avenue, Makati City
Telephone: (+632) 751.0384 locals 2101/2059 • 890.4968 • 897.1693