DTI, private sector to revive PH wearables

The Philippine government is working with private sector stakeholders to reignite the development of the wearables industry as a competitive player in both domestic and international markets, with strategic initiatives currently underway, according to a Department of Trade and Industry (DTI) official.

DTI Undersecretary Ceferino S. Rodolfo, who is also vice chairman and managing head of the Board of Investments (BOI), said that despite numerous setbacks encountered, the Philippine garment, textile, and leather goods sector continues to be considered as one of immense potential in job creation and economic growth contribution.

The BOI, the country’s lead industry development and primary investment promotion agency, and the private sector are now collaborating on initiatives to revitalize the industry, said Rodolfo, who spoke at a business forum during the recent Philippine Garment/Leather Goods Industries & Fabrics Expo.

The resurgence program includes crafting an industry roadmap that will “chart the future of the industry’s growth based on assessment of the current situation and economic performance, identification of industry roadblocks,” said Rodolfo.

While the Garments and Textile Industry Roadmap is being developed, other initiatives are being pursued.

These include the provision of shared service facilities and technical support for micro-, small and medium enterprises (MSMEs), development or adoption of technologies on utilizing plant fibers including postharvest technologies on fiber extraction, extensive industry promotion, establishment of textile R&D laboratories and innovation centers, and opening of additional courses relevant to the wearables industry.

Rodolfo added that with increasing global demand for sustainable products, production of textiles from indigenous fibers has become one of the focus areas of research in the country.

“The production of textiles from indigenous fibers remains to be an important niche market for the Philippines,” he stressed.

As an example, Rodolfo shared the case of a Filipino company that has successfully de-

The production of textiles from indigenous fibers remains to be an important niche market for the Philippines. CEFERINO S. RODOLFO DTI UNDERSECRETARY

a way to mass produce abaca yarn and is now exporting abaca jeans to the United States.

Another Filipino company has developed Piñatex, a natural leather alternative made from cellulose fibers extracted from pineapple leaves. The material was launched in London in 2014 and is now sold commercially.

Moreover, the executive said the government is helping garment manufacturers source better textiles from abroad, noting how firms have been forced to import “remnant textiles” as these are cheaper.

Rodolfo said the Philippines is currently looking at the possibility of a preferential trade arrangement (PTA) with Turkey “given the complementarity of our industries, but looking specifically at possibly sourcing textiles for our garments manufacturers and exporters here.”

Rodolfo said the wearable industry has been helped significantly by the many PTAs the Philippines has inked. This has allowed the sector to slowly recover from the adverse effects of the expiration of the World Trade Organization’s Multi-Fiber Agreement in 2005, which had led to the closure of factories and downsizing of the Philippine garment and textile industry.

“The Philippine preferential trade arrangements have played a significant role in the performance of the wearables industry,” confirmed Rodolfo.

Among the fastest segments of the wearables industry is footwear. With the Philippines among the list of beneficiaries of the EU Generalised Scheme of Preferences+, the country’s exports of footwear has grown by 40 percent to 50 percent over the last two years, Rodolfo shared. /