In a recent meeting of the Small and Medium Enterprise Development Council (SMEDC), a plan for MSMEs from 2010 to 2016 was presented by Leonila Baluyut, provincial director (PD) of the Department of Trade and Industry – Pampanga (DTI-Pampanga).
The basis for the plan is contained in Republic Act 9501 which says that the “State recognizes that MSMEs have the potential for more employment generation, economic growth and can provide a sufficient industrial foundation for the country”.
Baluyut said that it is a state policy to promote, support, strengthen and encourage the development and growth of MSMEs in all productive sectors of the economy, particularly in rural and agri-based enterprises.
In this first meeting of the SMEDC under the new provincial administration, Board Member Monina Laus was present as chair of the committee on trade and industry. She addressed the participants and committed her full support for the Council’s undertakings adding that, being a first term board member, she expects to learn from the Council members.
“I will do the listening now and you will be my mentors and teachers until I get a clear grasp of the Council’s concerns,” she reiterated.
She later commented that she indeed had a lot to learn as she listened to the various presentations made during the meeting: Baluyut on the MSMED draft plan; SMED accomplishments from 2009 to June 2010; Business Development Service for MSME Development; Business Advisory Program; and Initiatives for MSME Development.
In her presentation, Baluyut referred to MSMEs as dominant sector in terms of size, forming 99.6% of the total establishments and contributing 61.2% of jobs to the market.
“MSMEs share to the gross domestic product (GDP) is projected to increase to 40% by 2016 and to generate a total of one million new jobs by 2016.”
The six-year MSME plan is crafted by the DTI in consultation with the private sector, shall include a component on micro-credit financing and shall form part of the Medium Term Philippine Development Plan (MTPDP). Baluyut added that it is expected to be approved by President Benigno S. Aquino III and it shall be validated and updated every semester.
Teresa Carlos, chairperson of the Pampanga SMEDC, after presenting the accomplishments of the council for the past 12 months, revealed that “there is a wide range of services used by entrepreneurs to help them operate efficiently and grow their business, and a wide array of non-financial services critical to the entry, survival, productivity, competitiveness and growth of enterprises.”
“It is imperative to address MSMEs’ inferior competitiveness, productivity and structural limitations of services and the business environment and inadequate knowledge of market opportunities.”
It was agreed upon by the group that with available services, constraints and limitations could be overcome. Laus pledged her commitment to do her share in making the plan work out for the welfare of MSMEs in the province.
She said she is in business herself and she knows the problems encountered by businesses, small, medium or big. Baluyut, Carlos and other SMEDC members expressed their optimism that with the enthusiasm displayed by the board member and everyone present, it augurs well for the enhanced growth of MSMEs in the province.
