MANILA, Philippines – The Department of Trade and Industry (DTI) is encouraging small and medium enterprises (SMEs) to improve the quality of their products and comply with higher standards to become more competitive locally and overseas.
In a statement yesterday, the DTI said the participation of SMEs in Sikat Pinoy fairs is one way for these businesses to become familiar with superior product standards.
“Aside from exposing SMEs to national buyers or large companies to get big orders, we expose them to the products of the other enterprises,” DTI Secretary Gregory Domingo said.
Late last month, the DTI held the Sikat Pinoy National Food Fair which showcased food products from all over the country.
The fair had 150 exhibitors and featured various products such as meat; fish; processed fruits and vegetables; ingredients, sauces, and condiments; wines and beverages; coffee, tea, and cocoa; bakery products; snacks and confectionaries; organic, herbal and natural products; and food supplements and vitamins.
Bureau of Domestic Trade Promotion Director Rhodora Leaño said the department has imposed stringent requirements for Sikat Pinoy exhibitors. Big institutional buyers attending the fair, she noted, have set strict requirements for their suppliers.
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“One of the basic requirements that they (institutional buyers) are seeking from suppliers is the fact that they must have a Food and Drug Administration (FDA) registration. They can be appeased if the supplier has at least filed an application with FDA,” she said.
Aside from supplying to institutional buyers, improving the quality of products and compliance to higher standards will also allow SMEs to take advantage of the European Union’s (EU) grant of Generalized System of Preferences Plus (GSP+) beneficiary status to the Philippines.
The beneficiary status to the EU GSP+ given to the Philippines in December last year, allows the country to export 6,274 products at zero duty to the bloc for 10 years.
Exporting to the EU however, requires compliance to labelling requirements and other product standards for food.
Prior to securing EU GSP+ status, the Philippines was a beneficiary of the regular GSP program which only covered 6,209 products, with 2,442 products subject to zero duty and the rest slapped with lower tariffs.
