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Exporters back resolution to review gov’t business laws

[ Manila Bulletin Online ] October 5, 2008


CEBU CITY – The umbrella organization of Cebuano exporters, the Confederation of Philippine Exporters Inc. (Philexport-Cebu), is ready to back the resolution of the League of Provinces of the Philippines (LPP), urging President Arroyo to remove "bottleneck" laws that discourage business opportunities in the country.

Philexport-Cebu Advocacy and Information officer Jun Abines said supporting this resolution will be part of the export organization’s advocacies.

"We should make our policies attractive in order for investments to come in, for money to come in, for more employment opportunities, for improvement of lives of families and for everyone to be happy," he said.

Abines said Philexport-Cebu will also ask the LPP to include in its resolution a plea providing a study of existing laws that daunts businessmen from investing in the country, as well as a list of suggestions on how to eliminate these laws without compromising the authority vested on concerned government agencies.

"There is a need for the laws of certain agencies and departments to be reviewed," he said, citing laws that involve the export processing zones, Board of Investments, Department of Environment and Natural Resources and the local government, among others.

The contradicting provisions of these laws should be reconciled to pave the way for an efficient business processing system for investors, Abines said.

LPP’s resolution raised the "need to build a simplified national business registration system and a need to harmonize business regulations in the country to provide a competitive edge in business globally."

The LPP expressed concern for the survey made by the World Bank and International Finance Corp., which saw the country’s ranking slipping from 136 to 140 in the list of 181 economies that have favorable business environments.

"The cause of the drop in the ease of doing business survey is due to conflicting laws and regulations on bureaucratic requirements, which hinder or discourage investors in the country," the resolution read.

Apart from the laws, Abines said that Philexport-Cebu believes that the country’s low ranking was due to the lack of confidence of investors in the country’s judicial system, bureaucracy and corruption at the local and national level, unstable peace and order, lack of skilled workers, and "unpredictable" minimum wage standards.

He noted that if it would take a sari-sari store more than P10,000 to legally operate under all existing laws and "overlapping requirements", big companies and investors are expected to shell out some more. (Malou M. Mozo)
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