DTI-REGION 3 SUMMARY OF PROGRAMS AND PROJECTS
SME DEVELOPMENT
The Brand Equity Development Program (BrEDP) is an initiative under the access to market action plan of the Micro, Small, and Medium Enterprise Development Plan 2017 -2022 which intends to develop innovative and globally competitive brands that can successfully penetrate into the national, regional/ ASEAN, or international markets. The overall goal of the program is to increase brand awareness and identity of at least one MSME brand per province over the six year implementation until 2022. The program aims to promote understanding and increase knowledge on the importance of developing unique brands among MSMEs and DTI business counsellors; to enhance branding capacities of MSME through DTI’s identified set of interventions; and, to promote developed brands to wider markets through participation in varied marketing channels such as trade fairs, exhibits, social media, etc
The SSF Project is a major component of the Micro Small and Medium Enterprise (MSME) Development Program. It aims to uplift the economic condition in the country side and improve the quality and productivity of deserving microenterprises and SMEs through the provision of machineries, equipment and training through partner cooperators to address the gaps and bottlenecks in the value chain of priority industry clusters. The DTI and the cooperators enter into a Memorandum of Agreement for the operation, use and maintenance of the facilities.
Region 3 is currently maintaining 240 SSFs region wide.
SME Roving Academy (SMERA) is a capacity building program for would-be entrepreneurs and micro, small and medium enterprises (MSMEs). This is meant to provide continuous learning program for entrepreneurs to help them better set up and step up their operations and improve their competitiveness in the local and global markets.
The SMERA program provides business development services specifically capability building seminars on entrepreneurship development, business opportunities, business management, market development and promotion, product improvement, quality and productivity improvement, exporting and financial management.
The enactment of Republic Act No. 10644, also known as the Go Negosyo Act, strengthened the policy of the State to foster national development, promote inclusive growth and reduce poverty by encouraging the development of MSMEs. This law provides for the establishment of Negosyo Centers nationwide under the supervision of the MSME Development Council. The Centers also encourage public-private partnerships.
To promote MSME growth and development, Negosyo Centers are established in every province, city and municipality nationwide. The establishment of Negosyo Centers aim to bring government services closer to MSMEs. The Centers provide the basic services on business registration assistance, business advisory services, business information and advocacy, and monitoring and evaluation of business-process improvement.
As of December 2020, there are already 122 Negosyo Centers in Central Luzon and 27 more centers are expected to be established for 2021.
Likha ng Central Luzon Trade Fair is the major regional trade promotion activity jointly organized by the Department of Trade and Industry Region III (DTI-3) and Philexport- R3 with the full support of the Regional Development Council – Region 3 and the Central Luzon Growth Corridor Foundation Inc. composed of the 7 governors of Central Luzon and DTI. The fair which is held in Metro Manila enables local MSMEs promote their products in high traffic selling area and link with institutional buyers.
Likha ng Central Luzon Trade Fair showcases the best products of the region which include processed food, furniture, home decors, gifts and holiday decors, jewelry, fashion accessories, footwear bags, specialized garments and organic products. It also features the newly developed products of MSMEs using indigenous raw materials and environment-friendly technologies and the products manufactured by the beneficiaries of the Shared Service Facility Project of the region.
This annual event which started in 1999 has consistently generated millions of sales for the more than 100 participating exhibitors of the region.
The fair also aims to develop the region’s next generation of exporters from among its participants.
The OTOP Next Gen program aims to LEVEL UP local products and services. Building from the gains of the initial OTOP program of the DTI, and with local MSMEs with viable products, this project aims to offer a package of public-private assistance to have significant improvement and innovation in the areas of quality, design, standards compliance, marketability, production capability, brand development, among others.
The KMME Program is a 12 module structured capacity building program similar to a shortened executive MBA course. The program is conducted in partnership with the Philippine Center for Entrepreneurship (PCE)-Go Negosyo. Topics are facilitated by successful business owners and subject matter experts accredited by the PCE. The topics include Entrepreneurial Mindsetting and Values Formation, Marketing, Business Model Canvass, Product Development/Innovation, Operations Management, Supply and Value Chain, Human Resource and Organizational Management, Entrepreneurial Accounting and Financial Management, Taxation Business Law and Business Plan Preparation. PCE accredited mentors share their knowledge and insights through the sessions to help micro-enterprises scale up their operations and graduate to the next level of entrepreneurship.
RIPPLES which stands for the Regional Interactive Platform Program for Philippine Exporters (RIPPLES) is a program jointly implemented by the Export Marketing Bureau (EMB), the DTI’s Regional Operations Group and the Philippine Trade Training Center. The program aims to expand the supply base of internationally competitive Philippine exports products and services by extending strategic company-level interventions to participating companies to make them export-ready or to enhance their export capacity and competitiveness.
The RIPPLES Plus Program provides a purposive interventions for selected MSMEs and large corporations through training and capacity building, investment, marketing and promotion, support innovation, product development and design, access to markets through MRAs and certifications.
The P3 program was conceived by DTI to help microenterprises gain easier access to alternative financing at reasonable cost. The Small Business Corporation, an attached agency of the DTI administers the P3 fund and channels the P3 funds through partner microfinance institutions (MFIs)/conduits which include MFIs operating nationwide, as well as, local MFIs such as, cooperatives, associations and other organizations.
SB Corp can allocate a maximum of Php 100 Million per MFI for lending to microenterprises throughout the country at a maximum interest rate of 2.5% per month and with amounts ranging from Php 5,000 to Php 100,000. Under the P3 program, the loan does not require collateral and only minimal documentary requirements will be submitted.
The target beneficiaries for the P3 program are the micro and small enterprises in priority, emerging industries and technology innovators and those who do not have access to credit or access it at very high cost. These also include market vendors, agri-businessmen and members of cooperatives, industry associations and cooperators.
For Region 3, the pilot province for this program is Aurora and will now be implemented region wide.
The Gender Responsive Economic Actions for the Transformation of Women (GREAT Women Project) is an advocacy to help women entrepreneurs. In 2007-2013, the Philippine Commission on Women, with support from the Canadian Government, implemented the GREAT Women Project which involved 19 National Agencies and more than 40 local government units as well as selected private sector groups. Its goal is to enhance the enabling environment for women entrepreneurship. It is focused on women micro entrepreneurs and workers in microenterprises. The project also intends to influence policies that affect women. It also aims to improve access and services for enterprise development.
The Philippine-German Cooperation Program Private Sector Promotion (PSP SMEDSEP), a joint undertaking since 2012 of the Department of Trade and Industry (DTI) Regional Operations and Development Group (RODG, later ROG) and Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ), assisted the Philippine Government in improving the frame conditions for private sector development. As one of its initiatives in its final phase, the Program supported DTI address the growing concern among micro, small and medium enterprises on the effects of climate change by introducing the concept of green economy—the pursuit of economic growth and development while preventing costly environmental degradation, climate change, biodiversity loss and unsustainable use of natural resources. It promotes a green economy strategy founded on the five pillars of mitigation, adaptation, competitiveness, green jobs and preserving or even improving nature’s capital.
The Livelihood Seeding Program aims to address the need for livelihood support to the relocated families of the 18 Resettlement Sites identified by the National Housing Authority (NHA). It promotes entrepreneurship in the resettlement sites for the creation of jobs and livelihood opportunities, provide initial capital for micro enterprises located in identified resettlement sites and establish a more reliable and regular source of income for the resettled families.
The identified Resettlement Site in Central Luzon is in Bulacan. The DTI and the Beneficiaries will sign a MOA to agree that the Starter Kit Packages shall be provided to the Beneficiaries which prohibits them from selling and transferring the Kit to others. A list of Starter Kit Package composition shall be provided and shall be an integral part of the MOA
INDUSTRY DEVELOPMENT
The development and promotion of industry clusters help achieve DTI’s vision of a globally competitive and innovative industry sector that contributes significantly to inclusive growth and employment generation. Integration of various business development services for identified industry clusters can be classified under the following areas: Regulatory environment, Finance, Human Capital Development, Productivity and Innovation. For Region 3, identified main Industry Clusters are: Cacao, Coco Coir, Coffee, Processed Fruits and Nuts, Wearables and Homestyles, and Bamboo.
The CMCI is an annual ranking of Philippine Cities and Municipalities developed by the National Competitiveness Council (NCC), through the Regional Competitiveness Committees (RCC), and the assistance of the United States Agency for International Development (USAID), that aims to monitor and improve the competitiveness level of local governments in the country.
The Index provides a picture of how cities and municipalities are performing in the pillars of Economic Dynamism, associated with activities that create stable expansion of business, industries and employment; Government Efficiency, the quality and reliability of government services and support for effective and sustainable productive expansion; and, Infrastructure, the physical building blocks that connect, expand, and sustain a locality and its surroundings to enable the provision of goods and services.
Central Luzon has been consistently participating in the CMCI since 2012 through the support of the Regional Development Council-3 Special Committee on Competitiveness (RDC-3 SCC), the coordination among DTI-3, DILG-3 and NEDA-3, and the engagement of selected private academic institutions in the provinces. In the most recent CMCI survey in 2016, Central Luzon cities and municipalities continue to rank in the top 1 overall and in each of the 3 components of economic dynamism, government efficiency and infrastructure. The DTI-3 aims to have 100% participation of its LGUs starting 2017.
The BuB program is government’s approach on financial allocations. It provides opportunity for the beneficiaries from the grassroots levels to identify a certain project and its budget requirement.
In response to the call to eliminate red tape in the bureaucracy, Central Luzon’s experience in streamlining the Business Permits & Licensing System (BPLS) of the local government units dates back in 2002 when DTI-3, DILG-3 and the Central Luzon Growth Corridor Foundation, Inc. (CLGCFI) adopted as flagship the Streamlining the Business Process in the Issuance of Mayor’s Permit through the pilot participation of eight cities and municipalities.
By 2007, the project was able to cover 100% of the LGUs, which means that all 130 cities and municipalities in the region have documented and implemented reforms to reduce the number of steps and amount of processing time in the issuance of Mayor’s Permit. This made Central Luzon a benchmark of other regions and a pilot implementer of the Nationwide Streamlining of the BPLS Program in 2010. Said program enjoined all cities and municipalities in the Philippines to observe standards that expedite the issuance of Mayor’s permit. These standards, guided by DTI-DILG Joint Memorandum Circular No. 01, series of 2010, encourages maximum of 5-10 days processing time for new and 5 days for renewal, maximum of 5 steps, maximum of 2 signatories, and the adoption of the unified form.
As of December 2016, Central Luzon recorded a 100% LGU compliance with the standards for the adoption of the unified form, processing time, number of steps and signatories. For the other innovations, 48 (37%) have computerized systems, and 6 (5%) adopts online registration systems. Out of the 130, 129 (99%) have put in place the Business One Stop Shop (BOSS), and 4 (3%) are ISO-certified.
With the new Joint Memorandum Circular issued by DILG, DTI and DICT further simplifying BPLS, it is expected that a more sustained monitoring and evaluation as well as coaching will continue in 2017 and beyond.
The DTI-3 organizes institutional partners in ensuring that the streamlining efforts are carried out uniformly and consistently throughout the region. Some of the Institutional Partners that have been organized through the years are:
The Central Luzon Growth Corridor Foundation, Inc. (CLGCFI) serves as DTI’s direct link to the provinces, cities and municipalities. It is composed of the seven provincial governors, DTI Undersecretary and DTI-3 Regional Director, and mandated to provide policy decisions for the implementation of trade and investment-related projects in Central Luzon.
The regional network of Central Luzon Investment Promotion Officers (CLIPOs) serves as the promotion agents of DTI in the provinces who work with the local government units in working towards a business and investment friendly environment.
The Regional Development Council-3 Special Committee on Competitiveness (RDC-3 SCC) serves as NCC’s counterpart in Central Luzon in building national competitiveness through the strategic promotion of regional competitiveness. It was created in August 2012 tasked to raise the competitiveness of Central Luzon.
The Central Luzon Association of BPLOs (CLAB) was created in December 2014, envisioned to become the dynamic organization of empowered BPLOs championing business-friendly and competitive LGUs. Composed of the presidents of provincial BPLO associations, the CLAB aims to provide venue to discuss and address issues and concerns affecting the implementation of competitiveness programs in the LGU.
Believed to be the first in the Philippines, the CLAB organized the first regional convention of BPLOs in November 2016. With the theme “Empowering BPLOs towards a Competitive Region,” the convention drew 114 of the 130 LGUs in the region. It highlighted the national and regional status of the following BPLS-related programs in the region: Streamlining the BPLS, Electronic BPLS, CMCI, and Regulatory Simplification for Local Governments (RS4LG).
CONSUMER PROTECTION
DTI has been conducting several Diskwento Caravans for the past years to sell goods and commodities to consumers at discounted prices ranging from 10 – 50 percent. The caravans are timed especially before opening of classes, during the Christmas season or after a natural calamity, to ensure steady supply of basic goods and commodities.
The “Bagwis” Seal of Excellence represents the business establishments’ utmost support to empower consumers. “Bagwis” is another Filipino term for wings or feather that symbolizes the commitment to nurture, guide and protect consumers. Moreover, the readiness to fly in open and competitive market and provide higher quality service. Awards are categorized into gold, silver and bronze. Region 3 has consistently been in the top 3 regions with the most number of Gold Bagwis Awardees.
Empowering Consumers is one of the main thrusts of DTI. Hence, consumer education and information drives are intensified to widen its reach. It aims to inform consumers on their basic rights based on RA 7394 or the Consumer Act of the Philippines.
Both consumers and business establishments play an important role in the development of one’s country’s economy. The existence of one depends on the other. Through Mediation and Adjudication, the Department assures that consumers’ rights are being protected against business establishments who offer lousy product in the market, thus, ensuring consumers to get best value for their money.
To highlight the role of consumers in nation-building, annual celebration is being held as mandated by Presidential Decree 1098 which took effect in September 1997. During this event, Consumer Organizations in Central Luzon are being recognized as one of the critical partners of the Department in promoting consumerism in the region. Various consumer activities are also undertaken such as briefings, consumer forum, poster making contest, among others.
To ensure that products under mandatory certification conform to the parameters required by Philippine National Standards, a QMS and Product Audit is conducted by DTI to establishments selling mandatory products. This will assure the consuming public on the safety and quality of the product sold in the market.
DTI strengthened its campaign to champion consumers as it assures that they get the “best value” for their money when they buy basic goods and prime commodities. Through the E-Presyo consumers can check in the internet the Suggested Retail Prices (SRP) of the basic and prime commodities being sold at major markets and groceries located at different key areas in the seven provinces of the region.
One of the main frontline services of DTI, this is the first stop of clients wanting to engage in business. It facilitates the processing and documentation of all paper requirements necessary for the establishment of a business enterprise in the region. The DTI-3 processes the registration of business name of single proprietors within 15 minutes or less. Business Name Officers also provide business consultancy and information dissemination on procedures and requirements on the processing of business permits.
Market Monitoring and Enforcement activities are being conducted to safeguard the interest of consumers and maintain fair trade. This will ensure conformity of manufacturers, importers, traders, wholesalers, distributors on prescribe standards and fair trade laws.
Emission Testing Centers are facilities for determining the level of motor vehicle emissions in conformity to the standards set by Republic Act 8749 otherwise known as Philippine Clean Air Act. DTI offices accredit PETCs based on standards set by law.
Consumer Organizations are accredited to ensure that the consumer sector is well represented by legitimate Consumer organizations in hearings and/or investigations, and in government policy making bodies. Consumer organizations also provide feedback on price tag, overpricing and other violations of free trade laws. For Central Luzon, eleven consumer organizations federated as Federation of DTI Accredited Consumer Organizations – 3 (FedACOR-3) regularly meet to support the consumer protection advocacy of DTI.
Accreditation assures the public that all rebuilt trucks are safe and roadworthy and meet the standards on exhaust emissions. It aims to promote, develop and professionalize the rebuilding centers, such that consumers are assured of reliable ethical and competent service in accordance with specified standards
Sales Promotion means techniques intended for broad consumer participation which contain promises of gain such as prizes, in cash or kind, as reward for the purchase of a product, security, service, or winning in a contest which involves determination of winners and which utilizes mass media or other forms of communication to disseminate information on the same. It is a technique purely intended to increase the sales, patronage and/or goodwill of a product.
Issuance of Sales Promo permit are required to ensure fairness in the conduct of promotional activities, truth in claims, delivery of commitment and remedies for violation.
The accreditation ensures that the firm has certain facilities and amenities actually available and in good working condition to provide services. S&Rs deals with motor vehicles, heavy equipment, electronics, electrical, air conditioning and refrigeration, office machine, data processing equipment and medical/dental equipment.
The Construction Industry of the Philippines, an attached agency of the DTI, thru one of its implementing board, the Philippine Contractors Accreditation Board (PCAB), issues contractor licenses to construction companies engaging in public and private construction. The regional office of DTI in Central Luzon has a CIAP manned window for the pre-screening and evaluation of application for new PCAB license, renewal of license, re-categorization and other related transactions. The PCAB window enables access to local contractors’ easier access to the licensing and accreditation services of CIAP.
The Intellectual Property Office is an attached agency of DTI that receives application for copyrights, patents, trademarks and other similar transactions. The IPO has a manned desk in the DTI Regional Office III to accept and process IP applications as well as inquiries on intellectual property.