Issues

Senate, House Committees on Trade Seal Cooperation

The chairmen of the Senate and House Committees on Trade and Commerce have agreed to synchronize their respective legislative agenda, to hasten the passage of important measures that will help boost the economy.

In a meeting, Senator Bam Aquino and Las Piñas Rep. Mark Villar agreed to pursue the same direction and fast-track the approval of measures that will help create jobs; boost micro, small, and medium enterprises (MSMEs); and strengthen the government’s push for inclusive growth.

This marks the first time in the history of the two committees that their chairmen have agreed to harmonize their respective legislative agenda to speed up the passage of crucial bills into law.

“It is important for the two committees to pursue the same direction so that we can hasten the passage of bills that will support the MSME sector and open job opportunities,” Sen. Aquino said.

If these crucial bills will be enacted into law, the senator said it will be easier for the government to pursue its inclusive growth advocacy and make the country’s economic growth felt by every Filipino.

The two lawmakers forged the alliance after both saw the need for legislative measures to boost the economy and create additional jobs.

However, they both expressed concern that these bills will not gain ground and gather dust at the committee level.

“Now that the House and Senate have one legislative agenda in terms of trade and commerce, these important bills have a strong chance to be passed into law at the soonest possible time,” Aquino said.

Among the measures that will be prioritized by the two committees are the Go Negosyo Bill, the Fair Competition Bill, the Coastwise Trade Bill, the Exact Change Bill, and the Lemon Law Bill.

The two committees are also planning to pursue amendments in the Consumer Act and Price Act, where it was proposed that construction materials be put under price control during calamities.

The two lawmakers are also planning to conduct a joint oversight committee hearing regarding the challenges of financing small businesses.

Aquino and Villar both have extensive background in business before joining politics. Sen. Aquino is a multi-award-winning social entrepreneur, while Rep. Villar is the son of former senator Manny Villar and present senator Cynthia Villar, who are known as entrepreneurs.

Sen. Bam: Youth Unemployment ‘Growing Epidemic’

Senator Bam Aquino called the huge number of unemployed youth in the country a “growing epidemic” that should be immediately addressed by the government.

 “Youth unemployment is a growing epidemic in the Philippines and all over the world,” the senator said during Tuesday’s first-ever hearing of the Senate Committee on Youth, which he chairs.

According to a data from the Department of Labor and Employment (DOLE), of the 2.8 million jobless Filipinos, 1.42 million or more than half are from the youth sector.

The lawmaker stressed that the government’s push for inclusive growth will not take off unless the problems of youth unemployment and underemployment are not immediately addressed.

To help tackle this, the senator calls on different government agencies such as the DOLE, the Department of Education (DepEd), and the Department of Trade and Industry (DTI), as well as the private sector, to develop programs that will create more jobs and solve the so-called “job mismatch”, which contributes to the high unemployment rate.

“We call on government agencies, educational institutions, and private companies to work more closely together in solving the problems of youth unemployment and underemployment,” said Sen. Bam.

Aquino stressed that there needs to be better linkages between the private sector and our educational system, “so that our graduates are better equipped for the demands of the industry”.

“We need to ensure that our graduates are equipped to find jobs that fit their skills and educational attainment, after they finish school,” the senator stressed.

If young Filipinos opt to start a new business, the senator said that they should be given access to financing, training, market linkages, and other means of support that will help them run and develop their own businesses.

“This is one of the advocacies of our office, but we need  support from different sectors to push for policies and programs that will open up opportunities for young Filipinos,” the lawmaker emphasized.

Sen. Bam: PH social enterprise to take centerstage at WEF

Social enterprise in the Philippines will take centerstage when Senator Bam Aquino discusses his experience in empowering and creating opportunities for the poor during the 2014 World Economic Forum (WEF) Annual Meetings in Davos-Klosters, Switzerland.
The senator, who chairs the Senate Committee on Trade, Commerce and Entrepreneurship, will speak during a session for social entrepreneurs on Jan. 21. The forum proper will be held from Jan. 22 to 25.
The senator will talk about social entrepreneurship in the Philippines during the morning session entitled “Changing the Game: Innovating Smartly in Organizations and Systems” at Post Hotel.
In the afternoon session entitled “Cracking the Emerging Market Code”, Sen. Aquino will share the story behind the successful Hapinoy Program which he co-founded in 2006 before he entered politics.
The Hapinoy Program is a micro-enterprise development program which focuses on small neighborhood convenience stores or sari-sari stores, commonly set up by Filipino mothers to help augment their family’s financial needs.
The program provides mothers with training, access to capital through micro financing, and opportunities for new businesses that will benefit both their families and the communities they are in.
Other Filipino achievers are also expected to join the lawmaker as they attend sessions on business, policy, design and social enterprise.
Sen. Aquino was a Young Global Leader of the World Economic Forum in 2006 and was a WEF panelist in 2012 for the “Learning from the Frontiers” session.
Based in Geneva , Switzerland , the World Economic Forum is an independent international organization committed to improving the state of the world by engaging business, political, academic, and other leaders of society to shape global, regional, and industry agendas.
Incorporated as a non-profit foundation in 1971, the WEF is tied to no political, partisan, or national interests. This year’s forum will have “The Reshaping of the World: Consequences for Society, Politics and Business” as its theme.
In April, the Philippines will host the 23rd World Economic Forum on East Asia , which is crucial in the region’s preparation for ASEAN integration in 2015.

Smuggling an “Ongoing Scandal” — Sen. Bam

Senator Bam Aquino calls smuggling “an ongoing scandal” and calls on the government to crack down on smuggling to protect local businesses and the interest of workers.

The senator warned that many businesses will close shop and thousands of workers will lose their livelihood if the government fails to curb smuggling.

“The government should launch a serious and aggressive drive against smuggling because it is a big threat to legitimate businesses in the country,” said Aquino, chairman of the Senate Committee on Trade, Commerce, and Entrepreneurship.

The Federation of Philippine Industries (FPI) recently revealed that, from 2002 to 2011, the government lost P1.33 trillion or P133 billion a year in revenues due to smuggling in different ports all over the country.

“If the people were indignant over the PDAF scam because at least 10 billion was taken away from the people’s money, the amounts we’re losing to smuggling are over ten times that amount. Smuggling is an ongoing scandal that needs to be addressed urgently,” Aquino said.

The senator emphasized that many businessmen, majority of them from the agriculture sector, have been weighed down by losses due to smuggling. This is also a deterrent for many investors who would otherwise be interested to invest in the Philippines.

“The never-ending issue on smuggling sends a negative signal to potential investors.  Mahirap magpasok ng mga bagong negosyo at trabaho sa bansa kung tingin ng mga investor ay mahina tayo laban sa smuggling,” Aquino said.

In line with this, Aquino called on the Bureau of Customs (BoC) and the Philippine National Police (PNP) to work more closely together and intensify their campaign against the illegal entry of goods into the country. The senator likewise extended his cooperation and support to other government agencies working to curb smuggling in the Philippines.

“There is no ‘magic bullet’ to solve smuggling but if there is a tighter convergence of efforts, especially for our law enforcement agencies, we can end this menace to protect and strengthen our local industries and livelihood,” Sen. Aquino asserted.

Also, Aquino also batted for the modernization of the Bureau of Customs, which could also help curb smuggling.

“It’s about time that we modernize our systems to streamline the process that will eventually eradicate corruption and smuggling,” Aquino emphasised.

Photo source: Philstar.com

Sen. Bam: Brownouts Big Threat to Economy

The looming rotating brownouts and power shortage pose a big threat to the economy, as it could lead to huge business losses and massive worker layoffs

“This is the same thing that happened in Mindanao, where many companies had to close shop and many workers lost their jobs because of the widespread power shortages,” said Sen. Bam Aquino, chairman of the Senate Committee on Trade, Commerce, and Entrepreneurship.

According to several Chambers of Commerce and Industry in Mindanao, hundreds of millions of pesos were lost due to long brownouts.

“If this happens in Metro Manila and in other business hubs in Luzon, we will surely experience more losses, and many more lives will be affected,” Aquino emphasized.

The Manila Electric Company (Meralco) earlier warned of rotating brownouts and a power shortage after the Supreme Court issued a temporary restraining order (TRO) barring the latest power rate hikes.

According to Sen. Aquino, one solution to the power shortage is to make it easier for companies to come in and engage in power generation.

“There are many companies interested in venturing into the power sector, but they are dismayed by the slow and tedious process of getting a permit to operate,” Aquino emphasized.

Aquino underscored that more power plants are needed to ensure the steady supply of electricity, at a lower cost.

“If we have more generating plants, even if four of five shut down, the market should be able to sustain our energy needs,” Sen. Aquino said, adding that prices of electricity will be reduced with the entry of more players into the power sector.

The senator also revealed his plan to investigate whether or not the government is providing enough support to companies who are interested in entering the power sector.

“I intend to investigate this to make sure that new players who want to engage in putting up power plants are given the right support by government,” he said.

The senator stressed that the livelihood of millions of Filipinos should not be dependent on only a few power producers.

Photo source: Rappler.com

Lower Prices still Possible – Sen. Bam

Lowering the prices of goods is still possible, if key reforms in the shipping industry are undertaken, including a review and amendment of the Cabotage Law.

This was stressed by Senator Bam Aquino, chairman of the Senate Committee on Trade, Commerce, and Entrepreneurship, at a hearing conducted by the committee on Thursday morning.

“Reviewing and amending the Cabotage Law is one of the many reforms that need to be pushed in the shipping industry. Ultimately, this will benefit millions of Filipinos because it will help bring down the prices of goods in the country,” the senator emphasized.

During the hearing, Aquino explained that high shipping costs around the country

largely contribute to the high prices of goods.

In fact, Sen. Aquino noted that it is cheaper to send products from other countries to the Philippines than to ship goods within the country.

For example, the cost of shipping a 20-foot equivalent unit (TEU) from Kaoshiung, China to Cagayan de Oro is $360 or P16,000.

However, the cost of shipping the same cargo from Manila to Cagayan de Oro will take $1,120 or almost P50,000.

“If we look at it, local shipping costs are more than three times the cost of shipping costs to and from overseas.Hindi tama na mas mahal pa ang presyo ng local shipping sa pagbiyahe ng mga lokal na produkto,” he stressed.

With the current prices, local businesses have no other choice but to increase the prices of their products to cover for the high transport costs.

“Kung magsasagawa tayo ng mga kinakailangang reporma sa shipping industry, bababa ang halaga ng pagbiyahe ng produkto na mauuwi naman sa mas murang bilihin,” Aquino explained.

Aside from lowering prices, local businesses and the agriculture sector will be strengthened as farmers and local traders will be encouraged to transport their products to different parts of the country.

“We are confident that, with the help of our colleagues in government and the private sector, we will be able to find more ways to lighten the burden of our countrymen caused by high prices,” Aquino said.

“Our goal here is really to lower the prices of goods, but we also need to consider the welfare of our local shipping companies who will be affected by the proposed amendments,” the lawmaker added.

In his 2013 State of the Nation Address, President Benigno Aquino III asked Congress to amend the Cabotage Law, as it will lower the transport cost of products.

 

Photo source: Subic Bay Official Website

Sen. Bam: Go Negosyo Bill to Boost MSMEs, Inclusive Growth

Senator Bam Aquino has urged fellow lawmakers to pass the “Go Negosyo Bill”, which aims to facilitate ease of doing business; enhance support for micro, small and medium enterprises (MSMEs); and create more jobs to boost inclusive growth.

During his sponsorship speech for Senate Bill No. 2046, under Committee Report No. 10, which he authored, Sen. Aquino emphasized the need for the passage of the Go Negosyo Bill, stressing that it is one of the “foundational bills” needed to achieve inclusive growth.

“The Go Negosyo Bill is a piece of legislation created to help our countrymen out of poverty and towards a path to prosperity. We humbly ask for our esteemed colleagues’ support and consideration,” said Aquino, chairman of the Senate Committee on Trade, Commerce and Entrepreneurship.

The Go Negosyo Bill is one of the inclusive growth bills that Aquino had filed in the Senate.

The lawmaker pointed out that the Go Negosyo Bill provides the framework for delivering services to our MSMEs, especially for the micro enterprises that comprise 92 percent of all businesses and 66 percent of all jobs in the country’s labor force.

“The numbers show that boosting the MSME sector will help us create more decent, sustainable jobs that can lift many Filipinos out of poverty,” Aquino stressed, adding that MSMEs should be looked as a “pipeline for development.”

“We need programs that will enable micro enterprises to enter the formal economy; our goal should be to help them ‘graduate’ into SMEs so that they grow and generate revenue and jobs for our communities,” he added.

Through the Go Negosyo Bill, Sen. Aquino said MSMEs will be provided infrastructure and support at the city and municipal level “so that local government is able to boost MSME growth and provide jobs and livelihood for their constituents”.

The measure also provides MSMEs access to grants and other forms of financing, shared service facilities and equipment, and other kinds of support.

The bill is also designed to build local support networks and establish market linkages for MSME development, support private sector activities relating to MSME development, and organize programs or projects for entrepreneurial development in the country aligned with the MSME development plan.

Mentoring programs for prospective and current entrepreneurs and investors, as well as services on training, financing, and marketing will be offered and organized. This includes mapping out information and services related to key value chains and economic sub-sectors within an LGU’s jurisdiction.

In order to boost youth entrepreneurship, the Go Negosyo Bill also aims to strengthen coordination with schools and organizations on the development of a youth entrepreneurship training program.

BIR Opposes Sen. Bam’s “People’s Fund Bill”

A proposed “People’s Fund Bill”, authored by Senator Bam Aquino, will give taxpayers the power to choose where to allocate five percent of their income tax.

Sen. Aquino reiterated this during Tuesday’s hearing of the Senate Ways and Means Committee, regarding Senate Bill No. 1356 or the “People’s Fund Bill”.

The People’s Fund Bill creates mechanisms for taxpayers to allocate part of their income taxes to an accredited charity or civil society organization, a priority national or local government project, or a legitimate political party.

According to Sen. Aquino, the “People’s Fund Bill” could very well complement the government’s P130-billion rehabilitation plan for provinces devastated by super-typhoon Yolanda.

“Through the People’s Fund Bill, the public can help survivors of Yolanda more quickly get back on their feet,” Aquino said.

The senator stressed that the government needs all the help it can get from different sectors in the aftermath of several calamities that hit the country this year.

During the hearing, Bureau of Internal Revenue (BIR) Commissioner Kim Henares expressed apprehension over the passage of new tax reform bills.

In his response, Sen. Aquino said, “We disagree with the BIR on this issue. We understand their objective to collect more taxes for the country, but we also need space to support initiatives that will promote the development of our people and increase their participation in governance.”

Henares later on said that the government is ready to implement the “People’s Fund Bill” if it will be enacted into law.

Henares also called for a stringent accreditation process for charity or civil society organization, which stand to benefit from the bill.

 

Sen. Bam Aquino Pushes for 24-Hour Disaster Response

Senator Bam Aquino pushed for a maximum response time of 24 hours following natural calamities, saying that it “currently takes three to four days for the national government to respond [to disasters].”

He likewise called for a “higher level of preparedness… [from government],” as he spoke at the Joint Congressional Oversight Committee on the Philippine Disaster Risk Reduction and Management Act of 2010, held at the Senate on Monday morning.

“What do we need to increase efficiency and capacity? Regional relief depots? Better search and rescue vehicles and equipment? Pre-positioned military and police? Disaster-proof evacuation centers? Given that climate change is upon us and disasters are sure to hit the country again next year, even our measures for assessing disaster preparedness need to change.”

“The best way to honor our countrymen who had passed away is to make sure that we are more responsive the next time disaster strikes,” Sen. Aquino stressed.

The senator also indicated his support for moves to create a department for disaster relief and rehabilitation, replacing the existing National Disaster Risk Reduction and Management Council (NDRRMC).

He also emphasized that greater focus needs to be placed on ensuring tighter coordination between the national government and local government units.

“Miscommunication severely hampers our ability to respond quickly to crisis situations. If we work more closely together, we will be better able to respond to the needs on the ground,” Sen. Aquino pointed out.

SUPPORT FOR PRIVATE SECTOR REHABILITATION PUSHED

Sen. Aquino also pushed for greater support for rehabilitation efforts of the private sector, citing that “markets are alive [and] vibrant” even in disaster-stricken towns.

While on a ground assessment in Guiuan in Easter Samar and in Tacloban City, Palo, and Tanauan in Leyte on Sunday, the senator observed that most entrepreneurs have been relying on loan sharks—what is locally known as“five-six”—to finance their rehabilitation efforts.

“Equally important in rebuilding public infrastructure is seeing how we can rehabilitate the private sector. We all know that ‘five-six’ bears excessively high interest rates. We need to explore long-term loans, low-interest loans, microfinance loans to help micro, small, and medium entrepreneurs get back on their feet.”

He cited a positive observation by a representative from the international organization UNICEF, which said that it took the Philippines only “ten to fifteen days to begin rebuilding” after the onslaught of Typhoon Yolanda, versus the eight weeks that it took markets to open in other countries that were severely hit by natural disasters.

“The Filipino spirit is indeed resilient. As government, we need to honor that spirit by providing more support to our countrymen.”

Sen. Bam Pushes for Urban Poor Protection

In line with “Urban Poor Solidarity Week”, Senator Bam Aquino welcomes members of the Urban Poor Associates (UPA), led by president Celia Santos, to the Senate.  One of Senator Aquino’s bills is Senate Bill No. 1874, which aims to strengthen Republic Act No. 7279 or the Urban Development and Housing Act, to ensure that the urban poor are protected against unjust evictions and demolitions.

In celebration of the “Urban Poor Solidarity Week”, Senator Bam Aquino renews his call for the passage of his measure that will protect the urban poor against harsh evictions and the unjust demolition of their homes.

Aquino’s Senate Bill No. 1874 aims to strengthen Republic Act No. 7279, or the Urban Development and Housing Act (UDHA), to ensure the protection of the rights of the urban poor sector under the 1987 Constitution.

“With this measure, the urban poor will be protected against unjust evictions and demolitions,” Sen. Bam emphasized.

The bill calls for the fulfillment of all requirements under Section 28 of RA 7279 before an eviction or demolition can be effected.

“If relocation is needed, housing beneficiaries should be relocated near their former homes, where they have access not only to basic services but also to jobs and livelihood that will give them the means to raise themselves and their families out of poverty,” the senator said.

Aquino believes that the bill will help the Philippine government in its push for inclusive growth.

Aside from this, the bill also provides that consultation must be effectively done with the active participation of affected communities, particularly in the identification and approval of relocation sites.

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