IMO Release 288
VIEW FROM THE PALACE
By Ignacio R. Bunye
May 4, 2008
Last Tuesday, I had the pleasure of joining President Arroyo and my colleagues in the cabinet for the
inauguration of the newest component of the Strong Republic Nautical Highway (SRNH): the Central
Nautical Highway, which connects Sorsogon, Masbate, Cebu, Bohol, Camiguin and Misamis Oriental.
Back in 2002, the President presented to the Cabinet eight work programs, one of which was a program
to reduce transport costs from the food basket of Mindanao to the large consuming market of Luzon.
Secretary of Transportation Larry Mendoza, then Secretary of Agriculture Cito Lorenzo, and then PPA
head Al Cusi had started the spadework on decreasing handling and wharfage costs, while DBP had
been instructed by the President to take the lead for other measures like financing logistics, storage and
port facilities in Mindanao.
Against this backdrop, the group pulled out from the DBP files an obscure master plan of a Sustainable
Logistics Development Plan initiated by their Senior Vice President Marietto Enecio, made up of 48 Road
and Roll-on/Roll-off (RORO) ferry routes. The idea was to link our islands through highways of the sea
using the ROROs as “moving bridges”. The rest, you could say, is history.
At the inauguration of the Central Nautical Highway last Tuesday, the President made special mention of
Marietto Enecio, who has since retired from DBP, for his important and lasting contribution to the
conceptualization and beginnings of the Strong Republic Nautical Highway.
While on board the RORO, (from Jagna, Bohol to Balbagon, Mambajao, Camiguin) the President and the
cabinet listened to the various stakeholders how the Strong Republic Nautical Highway has impacted on
economic growth and development in the countryside.
The participants, (among whom was Camiguin Governor JJ Romualdo, our host for the evening)
discussed the development of the Western Nautical Highway which connects Batangas City, Calapan,
Roxas, Caticlan, Dumangas, Bacolod, Dumaguete and Dapitan. It will be recalled that the Western route
was inaugurated by the President in 2003 and we also had the good fortune to join its inaugural run.
The RORO stakeholders were unanimous in their assessment. In only five years, the Western Nautical
Highway has delivered much of its promised benefits. The benefits include reduced transport cost,
increased regional trade, enhanced tourism and agricultural productivity, growth in investments and
development of the countryside as well as poverty reduction.
The RORO system slashed travel time from Mindanao to Luzon from 36 hours to 24 hours.
The transport costs have likewise been reduced as a result of service efficiency as multiple loading and
unloading of goods is eliminated. Aside from no cargo handling, the RORO is also exempt from
wharfage.
Freight and passenger cost was reduced as follows: fresh fish from Capiz to Manila (by 31 per cent),
electronics from Manila to Cebu (by 46%), motorcycle, from Manila to Dumaguete ( by 47 %) ,
passengers from Batangas to Calapan (by 32 %).
Nestle Philippines claims that the transport cost savings have enabled the company to peg their price of
milk inspite of the fact that the cost of imported raw materials has practically quadrupled in the world
market. We learned that by shifting to RORO, Universal Robina Corporation, another food
manufacturing company, is now making 12 trips a day compared to their once a week shipment via
liner shipping.
Likewise, fish traders are all praises for the RORO because of its multi-trip schedule, compared to the
limited daily schedules of traditional liners. Thus, fish traders can schedule their shipment properly.
The Western Nautical Highway, it was pointed out, has opened new markets for farmers. San Jose,
Occidental Mindoro onion growers used to sell exclusively to Manila. Fruit growers in Davao have also
found new markets for their mangoosteen and durian in Iloilo and Bacolod.
Tourism in the RORO routes also experienced a dramatic surge. Compared to 2003 (when the Western
Nautical Highway was inaugurated) tourists bound for Boracay grew more than 50 per cent, Iloilo by 30
per cent, Bacolod by 15 per cent and Dapitan by 200 per cent!
What’s next? With the Western Nautical Highway and the Central Nautical Highway firmly in place,
President Arroyo now wants to complete the Eastern Nautical Highway which will begin in Pilar,
Sorsogon, and which will run through Masbate to Naval in Biliran to Leyte Island and on to Surigao del
Sur.
Indeed, the RO-RO is a tangible achievement of one of the points in President Arroyo’s ten-point
program that she announced in 2004 - that of linking the whole country by a transportation and digital
infrastructure.
IMO Release 289
Policy Statements on PGMA’s SPEECH DURING THE GENERAL ASSEMBLY AND
INDUCTION OF OFFICERS OF THE FEDERATION OF PHILIPPINE INDUSTRIES AND
LAUNCHING OF THE FPI-FFCCCII ADVOCACY “BUY PINOY - BUY LOCAL”
Grand Ballroom, Hotel Intercontinental Manila, Makati City
May 02, 2008
Speech at http://www.op.gov.ph/speeches.asp
Services
“The challenge here is to reconcile the legitimate interests of our local businessmen, on the one hand,
with the obligation to make available the best goods and services for our taxpayers at the lowest cost
from a truly open and competitive market.”
“We will continue to support “Buy Pinoy - Buy Local.”
Graft and Corruption
“We share the challenge of fighting smuggling. I have made tough and politically unpopular decisions to
raise revenues and crack down on smugglers so that we could invest in our infrastructure and our people.
There is no room in the development of our country to tolerate smuggling and the corruption that goes
with it when so much remains to be done to invest in the nation.”
“We have a lot of room to increase our tax and customs collections through strengthening investments in
technology and innovation, bolstering our compliance and anti-corruption efforts, and regulatory and
legislative reforms. We will deliver on the necessary revenue to balance the budget and make the vital
investments that have been neglected for a generation.”
“I have put a lot of pressure on our Customs Bureau. But I have also taken an interest in making sure that
this area gets the support it needs for me to deliver positive results.”
“From the day I took office, we have been focused not only on protecting our industries from the unfair
competition of smuggling but also on modernizing every aspect of the underpinnings of global
competitiveness, so that you will be at par even with the fair competition.”
Agriculture
“On food, we have been working on agricultural modernization, from the development of new hybrids -which we have been working with the IRRI, for instance. I just came from there today - to see how their
new innovations can be rolled out. To unprecedented investments in irrigation-1.4 million hectares, never
seen before in history. And to dramatic increases in loans, four-fold as a matter of fact, to help our
farmers purchase better equipment.”
“If we’re to go into the market again it’s for buffer stocks so that’s why it’s a “take it or leave it” situation as
far as NFA is concerned. In other words, we can take it or we can leave it, depending on how the prices
are. We are managing the issue the best way possible through our three-step program to contain price
and prevent a crisis. FAO named 36 countries in a rice crisis. Certainly, the Philippines is not one of them.
FAO has said that too.”
“One of the three phases is to ensure supply, which as I just mentioned earlier, we have essentially done
for the foreseeable future. Two, guarantee distribution, particularly to those most in need, and we are
doing that through our own distribution to schools when classes start, as well as through the church and
religious network. Third, we are ensuring enforcement of consumer protection by a fierce effort to crackdown on rice bandits especially those who divert NFA rice and tag it as commercial rice so they can get a
higher price for it.”
Electricity
“Congress is in the process of amending the Electric Power Industry Reform Act to remove the
requirement of 70 percent power privatization for open access because open access will give industrial
consumers like you to enjoy the power of choice which will also mitigate the cost of electricity.”
Investments
“This year, investment, public investment will be about 200 billion pesos from the national government,
the government corporations and the local government for among other things 9,000 kilometers of roads
together with other investments in education, healthcare and training along with new bridges and ports to
upgrade our competitiveness among others.”
“Investing in the vital infrastructure also includes building up our environment as a reflection to our
commitment to the quality of life. People need to breathe clean air and swim in clean water while also
building manufacturing and bridges to span our waters.”
“Boosting spending on infrastructure, we are also building a firewall against any global economic volatility
and we are creating a springboard for further growth to ensure we are able to sustain our economic
momentum.”
Education
“On knowledge, as part of the billions we are spending in education and training, we are investing three
billion pesos in Science and Engineering Research and Technology Development, including scholarships
for masters and doctoral degrees in Engineering in seven universities. Upgrade know-how and learning,
and Filipino talent is unbeatable.”
IMO Release
Nothing to worry over RP's failed tender for 675,000 tons of Viet rice
Malacanang said today there’s no cause for worry over the Philippines failed tender for 675,000 tons of
rice from Vietnam’s state-owned Vinafood II, saying the country’s requirements for the staple food is
already “filled up.”
Press Secretary and Presidential Spokesperson Ignacio R. Bunye told reporters covering Malacanang
that the 670,000 tons of rice from Vietnam were intended to serve as buffer stock.
“Base sa naunang pahayag ni Secretary Art Yap, itong pag bili ngayon ay para sa buffer stock. Ibig
sabihin, yung ating pangunahing pangangailangan ay napuno na,” Bunye said.
“I don’t think this (failed tender) will really affect our rice supply dahil yung ating basic na
pangangailangan ay nabili na natin,” he added.
He pointed out that the country is well on its way to being rice-sufficient with the recent signing of a
Memorandum of Agreement between the DA and the International Rice Research Institute (IRRI), which
will lead to “improved rice production” in the country.
Under the agreement, the DA and IRRI will undertake joint efforts to increase rice production in the
Philippines starting this rainy season by planting new high-yielding varieties and hybrids.
The two agencies will also jointly assess and increase the output of the current rice growing areas, as
well develop new areas using geographic information system, remote sensing, crop and climate modeling
and other modern farming techniques.
Aside from the MoA, Bunye said the government will also implement President Arroyo’s intensified food
production program aimed at strengthening the country's ability to provide food for its citizens through a
series of efficient and budget-friendly food production modules.
Dubbed F.I.E.L.D.S. for fertilizer, irrigation and infrastructure, extension and education, loans, dryers and
other post-harvest and post-production facilities, and seeds and other genetic materials), the six
assistance packages form the centerpiece of the government's food security efforts.
“Ito yung pinapatupad ng ating Pangulo para masiguro at ating produksyon sa mga dadating na planting
season ay maging mas mataas at unti-unti nating ma-attain yung ating self sufficiency in rice,” Bunye
said.
IMO Release 291
POLICY STATEMENTS from PRESIDENT GLORIA MACAPAGAL ARROYO’S SPEECH
DURING THE OAS TOWN FIESTA CELEBRATION
Oas, Albay
May 6, 2008
Speech at http://www.op.gov.ph/speeches.asp
Food Supply
"Malaki ang naitutulong ng inyong sobrang palay hindi lamang sa Albay kundi na rin sa buong bansa.
Lalong nagiging importante ang pagpapalago ng ani ngayon because there are global clouds on the
horizon that are driving up the price of oil and food, particularly rice. Thankfully, we are now in a vastly
improved position to weather this storm than at anytime in recent memory."
"Tungkol sa isyu ng pagmaneho ng bigas, ito ay problemang pangmundo na nakita na natin matagal na,
kaya matagal ng tinatrabaho natin na makaraos pagdating ng panahong ito. Yung sagot natin sa
pangmundong pagkukulang ay para sumagot sa tatlong saligang pangangailangan."
"Number one, siguraduhin ang supply. At tayo ay namuhunan ng mabigat sa mga production efficiency
at saka sa bagong mga binhi."
"Second response, to make sure that the distribution of rice gets to the people who need it most -efficiently and cost-effectively. Kaya para maganap ito, we have moved to utilize distribution through
churches.
Pati na rin sa eskuwelahan pag simula na ang mga klase. Pati na rin yung sariling distribution network ng
pamahalaan."
"Pangatlo, kailangan magmatyag tayo para yung mga unscrupulous traders ay hindi magsamantala sa
sitwasyon. Sinisigurado natin na kung sinuman ang mahuling nagnanakaw ng NFA rice sa taong bayan
ay paparusahan at kasama dito yung mga opisyal ng NFA na nahuling nakipagsabwatan sa mga
unscrupulous traders."
Social Services
"At bahagi rin sa ating programa, magkaroon ng tubig sa bawat bayan, at kuryente sa bawat barangay."
Tourism
"Sa pagpapaunlad ng turismo, ang papel ng pamahalaan ay access - kalsada at paliparan."
Governance
"Kagaya nong panahon niya, sa panahon natin muli ngayon, magtulungan tayo para yung mga
programang binanggit natin at yung programang iba pa, meron tayong mga grocery packs para sa
mahihirap, meron tayong gamot na kalahating presyo na ibebenta sa mga botika, lahat itong mga
programang ito ay magdadala ng higit pang pagpalakas ng ating kaunlaran, sa Oas, sa Albay, sa Bicol,
sa buong bansang Pilipinas."
IMO Release 292
PGMA orders sending of medical team to Myanmar
The Philippines will be sending a 15-man medical mission to typhoon-hit Myanmar where some 22,000
people have died and some 41,000 others have gone missing in one of the worst natural disasters to hit
the Asian continent.
This was revealed by Executive Secretary Eduardo Ermita who said President Gloria Macapagal-Arroyo
has directed the Department of Foreign Affairs (DFA) and the Department of Health (DOH) to send a
medical contingent to the cyclone-ravaged old Burma.
“I got (information) from the DOH that a 15-man team of doctors andassistants are being prepared and
they are awaiting the arrival of (Health) Secretary Duque,” revealed Ermita in his regular Wednesday
press briefing with the Malacanang Press Corps.
Ermita said the DOH team has already sent an initial query with Myanmar’s government as to the type of
medicines that are more needed to be brought (to Myanmar to alleviate the) catastrophe that they face.”
The Philippine medical team and medicine donation will be sent within 48 hours, said Ermita.
IMO Release 293
Malaysian Foreign Minister expresses hopes on reactivation of RP-KL
joint commission
Malaysian Foreign Minister Datuk Seri Urtama Dr. Rais Yatim expressed today optimism in the
reactivation and strengthening of the 15-year-old Malaysia-Philippines Joint Committee Meeting (JCM).
Dr. Rais, who paid a courtesy call on President Gloria Macapagal-Arroyo this morning at Malacanang’s
Music Room, said they discussed the “possibility of encouraging and improving our bilateral relations,
including the strengthening of our ongoing joint commission.”
The commission is the former Philippines-Malaysia Joint Commission for Bilateral Cooperation (JCBC)
that was established in 1993 as a “consultative and monitoring mechanism to facilitate discussion and
implementation of cooperative undertakings between the two countries,” according to the Department of
Foreign Affairs (DFA).
The JCBC was established via a Memorandum of Understanding (MOU) signed in Kuala Lumpur on July
22, 1993 by then President Fidel V. Ramos and Malaysian Prime Minister Mahathir Mohamad.
The JCBC, which was later renamed the RP-Malaysia JCM, has met six times, the last one in Kuala
Lumpur in 2006.
The next joint committee meeting will be hosted by the Philippines on Aug. 21-22, said the DFA.
Interviewed by the palace media after his courtesy call on the President, the Malaysian foreign minister
said that Kuala Lumpur is also taking stock of the two countries’ $5.4-billion trade which is presently “tilted
in the Philippines’ favor.”
He said he expressed to President Arroyo the hope that Filipinos will patronize Malaysia’s tourism spots
and programs.
Dr. Rais, who returned to the post of foreign minister that he also occupied 22 years ago, said his
“introductory visit” to the Philippines is geared towards further improving the “cordial relations” between
thePhilippines and Malaysia, and to “extend my best wishes to the President.”
Aside from trade and tourism, he said Malaysia is also looking forward to establishing joint programs with
the Philippines in education, training, fisheries and the youth.
Saying that RP-Malaysian bilateral relations started way back in 1957, Dr. Rais added that he stressed to
President Arroyo the “importance of the Philippines within the ASEAN structure, and reiterated our
historical relations.”
Joining Dr. Rais in his courtesy call on the President were Malaysian Ambassador to the Philippines
Ahmad Rasidi Hazizi, and Undersecretary Dato’ Ramian Ibrahim of the South East Asian (SEA) Division
of Malaysia’s Ministry of Foreign Affairs (MFA).
Also present were Foreign Affairs Secretary Alberto Romulo, National Security Adviser Norberto
Gonzales, Presidential Assistant for the Peace Process Jesus Dureza, and Philippine Ambassador to
Malaysia Victoriano Lecaros.
IMO Release 293
Malaysian Foreign Minister expresses hopes on reactivation of RP-KL
joint commission
Malaysian Foreign Minister Datuk Seri Urtama Dr. Rais Yatim expressed today optimism in the
reactivation and strengthening of the 15-year-old Malaysia-Philippines Joint Committee Meeting (JCM).
Dr. Rais, who paid a courtesy call on President Gloria Macapagal-Arroyo this morning at Malacanang’s
Music Room, said they discussed the “possibility of encouraging and improving our bilateral relations,
including the strengthening of our ongoing joint commission.”
The commission is the former Philippines-Malaysia Joint Commission for Bilateral Cooperation (JCBC)
that was established in 1993 as a “consultative and monitoring mechanism to facilitate discussion and
implementation of cooperative undertakings between the two countries,” according to the Department of
Foreign Affairs (DFA).
The JCBC was established via a Memorandum of Understanding (MOU) signed in Kuala Lumpur on July
22, 1993 by then President Fidel V. Ramos and Malaysian Prime Minister Mahathir Mohamad.
The JCBC, which was later renamed the RP-Malaysia JCM, has met six times, the last one in Kuala
Lumpur in 2006.
The next joint committee meeting will be hosted by the Philippines on Aug. 21-22, said the DFA.
Interviewed by the palace media after his courtesy call on the President, the Malaysian foreign minister
said that Kuala Lumpur is also taking stock of the two countries’ $5.4-billion trade which is presently “tilted
in the Philippines’ favor.”
He said he expressed to President Arroyo the hope that Filipinos will patronize Malaysia’s tourism spots
and programs.
Dr. Rais, who returned to the post of foreign minister that he also occupied 22 years ago, said his
“introductory visit” to the Philippines is geared towards further improving the “cordial relations” between
the Philippines and Malaysia, and to “extend my best wishes to the President.”
Aside from trade and tourism, he said Malaysia is also looking forward to establishing joint programs with
the Philippines in education, training, fisheries and the youth.
Saying that RP-Malaysian bilateral relations started way back in 1957, Dr. Rais added that he stressed to
President Arroyo the “importance of the Philippines within the ASEAN structure, and reiterated our
historical relations.”
Joining Dr. Rais in his courtesy call on the President were Malaysian Ambassador to the Philippines
Ahmad Rasidi Hazizi, and Undersecretary Dato’ Ramian Ibrahim of the South East Asian (SEA) Division
of Malaysia’s Ministry of Foreign Affairs (MFA).
Also present were Foreign Affairs Secretary Alberto Romulo, National Security Adviser Norberto
Gonzales, Presidential Assistant for the Peace Process Jesus Dureza, and Philippine Ambassador to
Malaysia Victoriano Lecaros.
IMO Release 294
From 30,000 in 2003, Korean investors in RP now exceed 100,000, PGMA told
From 30,000 in 2003, the number of Korean investors in the Philippines has vaulted to more than 100,000
this year as things continue to look up in the two countries’ trade and diplomatic relations.
President Gloria Macapagal-Arroyo was informed of the surge in Korean investments in the country by
Incheon Metropolitan City Mayor Ahn Sang Soo of the Democratic Republic of Korea who called on her
this afternoon in Malacañang.
During his Malacañang visit, Mayor Ahn also signed with Albay Gov. Joey Salceda the twinning greement
between Albay and Incheon Metropolitan City.
Responding to the information of Mayor Ahn on Korean investments in the Philippines, the President
expressed gratitude for his country’s continuing confidence in the Philippines and the world-class Filipino
workforce.
The President witnessed the signing and exchange of the twinning agreement between the Korean city
official and Salceda at the Heroes’ Hall of Malacañang.
Also present during the signing of the agreement were Interior and Local Government Secretary Ronaldo
Puno, Korean Ambassador to the Philippines Hung Jung Gi, former Ambassador Kim Wook, now Advisor
for Incheon International Relations; and Bishop Ephraim Tendero.
The Korean official told the President that South Koreans are grateful for the Philippines’ support to his
country during the Korean War in the 1950s.
He added that there are now millions of Christians in his country, with Incheon hosting the single biggest
Christian group in Korea.
Incheon is keen on hiring Filipino construction and IT service workers, as well as English teachers, he
said.
Mayor Ahn also invited the President to visit Incheon, which is hosting the Asia-Pacific City Summit in
Sept. 2009.
More than 150 city mayors from all over the world are expected to converge in Incheon for the event.
The President thanked the visiting mayor for Korea’s investments in the Philippines which have led to the
employment of thousands of Filipinos, and for helping build homes in Albay.
The Korean city official also inked a sisterhood agreement yesterday with Manila City to explore and open
possible tourism and business opportunities between Incheon and the Philippines.