7 September 2005 – Foreign Affairs Undersecretary for International Economic Relations Edsel T. Custodio today signed on behalf of the Philippine Services Coalition six Memoranda of Agreement (MOAs) with Research Directors who will complete research studies to enhance Philippine global competitiveness in the services sectors of Accounting, Engineering, Franchising, Health and Wellness, and Ship Management, as well as in Cross-cutting Trade Policy Issues.

In his welcome remarks before the signing ceremony, Undersecretary Custodio said, “Work starts this morning which will go on for decades to come as we are carving out the long-term prospects of Philippine human resource competencies in terms of services.

 “This program will give us a departure from the difficulties we encounter in the goods trade, and will clear the way for the Philippines to become a global player in the services trade,” he added.

The Philippine Coalition for Services Export Promotion was launched last 23 May 2005 to enhance Philippine trade in services as a factor of economic development.  It comprises a partnership of concerned stakeholders from government, the private sector, and the academe, and was established through funding from the European Commission and technical assistance from the International Trade Center (ITC) in Geneva. (Please see Press Release SFA-AGR-309-05, 20 May 2005)

Undersecretary Custodio explained that these research studies – a major activity of the Coalition – will profile a number of services sectors in terms of market performance and their ability to effectively respond to both market opportunities and threats with the objective of bench-marking competitive export performance.  The studies will also be used to identify pertinent domestic and international regulations covering each sector and how these rules impact upon market access and robust export trade.

Undersecretary Custodio signed Memoranda of Agreement with Dr. Tereso Tullao of the De La Salle University, and Dr. Jaime Laya, Chairman Emeritus of KPMG Laya Mananghaya & Co. and Accounting Services Sector Champion, for the Accounting Services sector; Dr. Reynaldo Vea of the Mapua Institute of Technology and Engineering and Outsourcing Services Sector Champion, for the Engineering Services sector; Ms. Alegria Sibal-Limjoco, President of the Philippine Franchise Association (PFA), and PFA Executive Director Ms. Charito Estrada, for the Franchising sector; Ms. Cherrylyn Rodolfo, Research Fellow at the University of Asia and the Pacific, for the Health and Wellness sector; and Mr. Ricardo Casco of the International Labor Organization; Mr. Lito Dailisan of the Philippine Seafarers Promotion Council, for the Ship Management sector; and Dr. Gloria Pasadilla, Senior Research Fellow at the Philippine Institute for Development Studies, for Cross-cutting Trade Policy Issues.

Undersecretary Custodio hailed the signing of these first MOAs, saying, “The research to be done will tell us where we are now, where we are headed, what we need to do, and the technologies we need to acquire to reach where we want to be.”

A total of 12 research studies will be conducted over a four-month period beginning September 2005 and will cover the following services sectors: Accountancy and Outsourcing (2 sectoral studies), Engineering and Outsourcing (2 sectoral studies), Health and Wellness (4 sectoral studies), Franchising, Shipcrewing and Ship Management, Multimedia and Animation, and Education.  Aside from these twelve studies, a study will likewise be devoted to assessing the assistance rendered by Small/Medium Enterprise (SME) development organizations in advancing the competitiveness of province-based services providers.  END