It is with pleasure to share another ADR Institute’s Special Study entitled “An Analysis of the Philippine Manufacturing Industry,” authored by Dr. Ser Percival K. Peña-Reyes and Ms. Angelica Nicolette B. Dejaresco from the Ateneo Center for Economic Research and Development.

This paper draws a comparison of the fiscal and non-fiscal incentives in Pilippine export-and domestic-oriented manufacturing companies with the ASEAN nations of Thailand, Indonesia, Malaysia, and Singapore. It analyzes first the Philippine manufacturing industry and identifies the incentives driving this industry.

In the examination of the manufacturing industry and the incentives provided by government and the analysis of ease of doing business and anti-red tape laws, the challenges for the opportune promotion of the sector raise the imperative of addressing challenges pertaining to infrastructure, natural disasters and climate change, the lack of skilled workers, global materials shortage, inflation, and increasing the domestic value added.

On this note, boosting the potentials of the manufacturing sector entails the need to expand domestic market production and supplier base, move up the value chain, enhance the linkages between sectors, fully implement the Ease of Doing Business and Anti-Red Tape laws, and increase domestic value added.