BSP says inflationary pressures have eased

 

BSP says inflationary pressures have eased

INFLATIONARY pressures have eased after prices of goods and services accelerated during the first half, the Bangko Sentral ng Pilipinas said Friday.

As such, prices would likely slow down and meet the inflation numbers set by the BSP for this year and next, the central bank said.

“Based on our forecast of the inflation path, there could still be some upward pressure on the inflation rate but it is not as strong as we had projected it earlier,” BSP Gov. Amando Tetangco Jr. said in an interview with reporters

Inflation this year would average 3 percent and 5 percent next year, according to the central bank chief.

National Statistics Office (NSO) data showed inflation climbing to a 26-month high of 4.6 percent in June from 4.5 percent in May, prompted by higher electricity rates, tuition fees, prices of food and alcoholic beverages and tobacco.

Core inflation, which excludes food and fuel items, registered at 4.0 percent in June from 3.7 percent in May.

Inflation last month was the highest since April 2009 when average inflation was at 4.8 percent.

“So for the year as a whole, the forecast inflation rate is somewhat lower than what we had projected last month or [in] the previous meeting of the Monetary Board,” Tetangco said.

The policy-setting Monetary Board will hold its next meeting July 28.

SSS to open new savings scheme for member-retirees

  SSS to open new savings scheme for member-retirees By: Elsa S. Subong SOCIAL Security System (SSS) members can now look forward to more benefits on top of other retirement benefits. SSS-Iloilo account officer for field inspectorate Ernesto Juayong Jr. said the agency is instituting the mechanism for a voluntary provident fund program, intended to […]

CEB named world’s 5th most profitable LCC, gives back with P99 all-domestic sale

CEB named world’s 5th most profitable LCC, gives back with P99 all-domestic sale

 

The Philippines’ largest national flag carrier, Cebu Pacific (PSE:CEB) ranked fifth most profitable leading value airline in the world, according to the July 2011 issue of Air Transport World (ATW).

ATW’s World Airline Report special feature cited CEB as 5th in net profit and 8th in operating profit in a list of international low-cost carriers including USA’s Southwest Airlines and Europe’s Ryanair. They based the financial rankings on data for the most recent fiscal year.

A monthly magazine, ATW has been covering global airline and commercial air transport manufacturing for nearly 48 years.

“This is quite an achievement since it shows CEB’s financial management and sustainability as a business. Since 1996, CEB has been offering the lowest fares in all its destinations, and it will continue to do so for the benefit of the traveling public,” said CEB VP for Marketing and Distribution Candice Iyog.

“Because of every Juan’s continued support, we give back to our passengers with an all-domestic P99 seat sale,” she added.

The seat sale is on July 22, 2011 only or until seats last, for travel from October 1 to November 30, 2011.

BPO industry turns to academe to fill talent pool

BPO industry turns to academe to fill talent pool

Faced with a shallow skilled talent pool, the Business Process Outsourcing (BPO) industry has begun collaborating with the government and various schools to ensure the graduates joining the labor force have competencies aligned with the needs of the industry.

The British Broadcasting Company, in a report tagging the Philippines as “the world’s hotline,” said the government is tweaking college curricula in an effort to produce enough qualified graduates entering the job market.

Former commissioner Monchito Ibrahim of the now-defunct Commission on Information and Communications Technology said the availability of talent has really been a problem of the industry in the past years.

“We are graduating half a million students a year, but only less than 10 percent of them can readily be utilized by the industry,” Ibrahim said.

“With that figure, we cannot achieve our objective of hiring more than 200,000 for the industry,” he added.

Revenues of the local BPO industry went from $2.4 billion in 2005 to about $9 billion in 2010. The industry employs more than 500,000 people.

While there is no dearth of local graduates like Garces seeking employment in call centers in major urban centers, the industry’s rapid expansion is leaving BPO firms with a waning pool of talent to address the overwhelming overseas demand for outsourced service.

Road rehabilitation boosts farmer access to market

  Road rehabilitation boosts farmer access to market By: Lilibeth A. French THE rehabilitation of the Taras-Balogo-Pandan Road in Nueva Valencia, Guimaras makes it easier for farmers and fisher folks to transport and sell their products to markets. Department of Public Works and Highway – Guimaras Engineering District administrative officer Fortunato Sioson said the rehabilitation […]

Kalibo uses S&T to boost agri programs

Kalibo uses S&T to boost agri programs KALIBO, Aklan – This town, known for its Ati-atihan festival, is boosting its agricultural production through initiatives using science and technology (S&T). Town mayor William Lachica said that among his programs using S&T are trainings for the adoption of new technology for animal-raisers and pet owners; supervised rice […]

WTO approves pro-PHL ruling in tobacco row with Thailand

WTO approves pro-PHL ruling in tobacco row with Thailand THE World Trade Organization (WTO) Dispute Settlement Body has adopted a ruling that upholds Philippine claims that Thailand has failed to respect its tobacco-related WTO commitments, the Department of Foreign Affairs (DFA) said Tuesday. This development is the final step in the dispute settlement proceedings, the […]

BSP, PDIC reminder: Safeguard your deposits

BSP, PDIC reminder: Safeguard your deposits THE Bangko Sentral ng Pilipinas (BSP) and Philippine Deposit Insurance Corporation (PDIC) have issued simple and practical reminders to help the public safeguard their bank deposits. In their advisory on bank deposits, the BSP and PDIC said only banks are allowed by law to accept deposits from the public. […]

Cebu Pacific reports higher passenger load in Q2

Cebu Pacific reports higher passenger load in Q2 07/19/2011 | 12:28 PM Budget carrier Cebu Pacific Inc. reported higher number of passengers in the second quarter. In a statement to the Philippine Stock Exchange, Cebu Pacific said it flew over 3.1-million passengers from April to June 2011, exceeding its passenger records and load factors in […]

Shell, Petron win power supply contracts for PSALM

Shell, Petron win power supply contracts for PSALM Petron Corp. and Pilipinas Shell Petroleum Corp. have bagged the supply contract for industrial fuel oil of the Power Sector Assets and Liabilities Management Corp. (PSALM) for the second half of the year. PSALM on Monday said it declared Pilipinas Shell’s offer of P5.27 billion for the […]

Dr. Cecilio: Breaking through barriers

Dr. Cecilio: Breaking through barriers

(The Daily Guardian is running a series on the speakers of the 1st Iloilo City Business Summit themed “Innovative and Sustainable Development for Growth” on July 29, 2011 at the Kalantiao Hall of Sarabia Manor Hotel and Convention Center. TDG is a media partner of the summit.)

IN the late 1970s, Dr. Cecilio K. Pedro’s Aluminum Containers, Inc. stood as the major supplier of aluminum collapsible toothpaste tubes to Colgate-Palmolive, Procter and Gamble and Philippine Refining Company (PRC) now Unilever. Aluminum Containers, Inc. enjoyed profit growth due to the increasing demand from the country’s leading toothpaste manufacturers.

However, in 1985, these companies began using plastic laminated tubes. Although this caused Dr. Pedro to close his factory, he realized his old equipment could still be put to good use by forging into the Philippines toothpaste market on his own. Two years later, he reopened his factory as Lamoiyan Corporation, now known as the manufacturer of toothpaste brands’ Hapee and Kutitap.

From start-up to market dominator

When Dr. Pedro entered the market in 1988, the big toothpaste makers controlled 99% of the market. Today, that figure has dropped down to 65%. The first step of Dr. Pedro’s strategy was to target the multi-nationals’ Achilles’ heel: price.

While Dr. Pedro knew that he could not compete in areas such as promotion and distribution, his decision to cut price by 50% won an immediate response from consumers.

However, when Colgate followed suit with a 20% price cut, Dr. Pedro turned to market diversification. Among other things, he developed multi-flavored toothpaste for children. It took Colgate three years to respond, but by that time, Lamoiyan had already successfully captured the new market.