7 April 2016

More shared service facilities for MSMEs in the Philippines

Philippines Department of Trade and Industry (DTI) Secretary Adrian Cristobal Jr. will intensify the department’s efforts to establish more shared service facilities (SSFs) that benefit cooperatives and micro, small and medium enterprises (MSMEs).

SSFs improve competitiveness of MSMEs by providing machinery, equipment, tools, systems, skills and knowledge under a shared system. DTI partners with various government agencies, non government and international organisations, cooperatives, and local government units to acquire and maintain SSFs.

President Benigno Aquino III personally led the handover of P15.6 million worth of SSF projects to at least 23 cooperatives in Dagupan City recently, the DTI has disclosed. There are now 49 SSFs in Dagupan benefiting local entrepreneurs in fish and meat processing, bamboo production, metal craft, candle making, vinegar processing, dried fish processing, among others.

“These initiatives are geared towards identifying and addressing supply chain gaps. By providing technical and institutional capacity building to MSMEs nationwide, we sustain the gains we have achieved in recent years to increase competitiveness and enable our entrepreneurs to access regional and global markets,” Cristobal said.

Since the SSF programme started in 2013, 1,702 SSF projects have been set up, worth P776.53 million—with at least 17,095 entrepreneurs and 72,619 potential small businessmen benefitting from it. These SSFs, located nationwide, aim to improve the quality of products and productivity of entrepreneurs. According to Cristobal, the DTI targets to establish at least 200 more SSFs by June and at least 400 SSFs by year-end 2016.