Manufacturing seen to lead industry growth-A A +A
Sunday, August 31, 2014
THE manufacturing sector is expected to lead industry growth in the second half of the year, bolstered by rosier outlook for exports and investment interests.
“The sector is expected to gain from the positive outlook for exports and the increasing interest of foreign firms to set up operations in the country,” Socioeconomic Planning Secretary Arsenio Balisacan said during the release of the second quarter growth figures.
Balisacan said the manufacturing sector remains upbeat as indicated by its double-digit growth.
Government data showed that gross value added in manufacturing accelerated to 10.8 percent in April to June this year, buoyed by strong external demand and household final consumption.
Balisacan said that apart from the manufacturing sector, the public construction subsector is projected to boost industry growth in the second semester of the year.
“Growth of the construction industry will be supported by the roll-out of public infrastructure projects, including PPP (public-private partnership) projects, the reconstruction assistance in the Visayas region, and the demand for more business and residential units” he said.
He said the services will continue to grow due mainly to higher demand by households, domestic industries, inbound tourists and the strong external demand for business process management.
Meanwhile, Balisacan said that on the supply-side, the agriculture, fishery and forestry sector is seen to also maintain its momentum.
“In particular, livestock and poultry will likely grow due to increasing consumer demand as the holiday season approaches,” he added.
The economy expanded by 6.4 percent in the second quarter from previous quarter’s 5.6 percent, making the Philippines the second fastest growing economy among major Asian countries for the period. (PhilExport News and Features)
Published in the Sun.Star Cebu newspaper on September 01, 2014.