The Philippine Chemical Masterplan
August 1, 2013 Bobby Batungbacal, President Samahan sa Pilipinas ng mga Industriyang Kimika
Samahan sa Pilipinas ng mga Industriyang Kimika
The Philippine Chemical Masterplan August 1, 2013 Bobby - - PowerPoint PPT Presentation
The Philippine Chemical Masterplan August 1, 2013 Bobby Batungbacal, President Samahan sa Pilipinas ng mga Industriyang Kimika Samahan sa Pilipinas ng mga Industriyang Kimika PROFILE OF THE CHEMICAL INDUSTRY Samahan sa Pilipinas ng mga
August 1, 2013 Bobby Batungbacal, President Samahan sa Pilipinas ng mga Industriyang Kimika
Samahan sa Pilipinas ng mga Industriyang Kimika
PROFILE OF THE CHEMICAL INDUSTRY
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world worth US$ 6 trillion in total trade.
manufactured products
Market sizes
EU -US$ 600 billion US - US$ 500 billion China – US$ 300 billion Belgium, France, Japan – US$ 200 billion each
packaging to saves lives
production
renewable energy
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– 147,000 direct workers – Php 24 billion in direct salaries and wages – Php 336 billion in revenues, 7% g.r. in last 5 years – 1,405 chemical manufacturers
– US$ 9 Billion in total trade in 2011 – US$ 7 Billion imports at 13% g.r. in last 5 years – US$ 2.5 Billion in exports at 17% g.r. in last 5 years – Exporting to 177 countries
– 55,000 chemicals registered – Advanced and comprehensive EHS regulations – Pro-active private sector regulation thru Responsible Care
Source: NSCB 2011 National Accounts at Current Prices, NSO-ASPBI 2009, 2011 Global Trade Atlas
BASIC CHEMICALS
Resins Basic chemicals Gases Organics Inorganics Alcohols
CHEMICAL PRODUCTS
Pharmaceutical Soap & Detergents Paints, Inks Cosmetics Fertilizers Pesticides Adhesives
RUBBER PRODUCTS Tires Industrial products Re-threading PLASTIC PRODUCTS Plastic articles Plastic products Pipes and tubings Industrial products Films, sheets
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Philippine Chemical Manufacturing Industry
(Php 336 Billion)
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PSIC Codes: D241, D242, D251, D252 Source: NSO, 2009 ASPBI
D241: Basic Chemicals
(Php 48.3 billion)
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D242: Other Chemical Products
(Php 177.5 Billion)
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D251: Rubber Products
(Php 16.8 Billion)
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D252: Plastic Products
(Php 81.3 Billion)
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Raw Materials
Minerals Water Oil (Naphtha)
Plants Coal
Intermediates
*Chlorine*Hydrochloric Acid *Sulfuric Acid *Phosphoric Acid *Ethanol *Ethylene *Propylene *Benzene *Toluene *Xylene
Primary Products
(cocomethyl esters, fatty acid & alcohols, glycerine)*Plastics (PE,PP, PVC, PS)* Pigments and additives*Bioethanol*Others: calcium carbide*carbon black*activated carbon*hydrogen peroxide*ammonium nitrate
Chemical Products
Rubber products Explosives
Adhesives Pharmaceuticals
Cosmetics Oil & Fat products
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Pollution Prevention Code Process Safety Code Employee Health and Safety Code Distribution Safety Code Product Stewardship Code Community Awareness and Emergency Response Code Security Code
In Philippines since1995
Voluntary self-regulation
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IMPORTS EXPORTS
Ave G.R: 13% Ave G.R: 17%
THE PHILIPPINE CHEMICAL MASTERPLAN 2030
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Strong Philippines 2016
Chemical Industry Council Petrochem integration R&D 0.5% of Revenue US$ 5 billion exports 75% practice RC
Enter ASEAN+4 2022 Domestic feedstock Diversification & expansion US$ 10 billion exports
GLOBAL CAPTURE 2030 3rd largest export US$ 30 billion exports
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comparative advantage
to the Philippine export basket
the natural assets on which the industry depends
the Philippine economy and to the Filipino people
RECOMMENDATIONS TO GOVERNMENT
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GOVERNMENT GOVERNMENT
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Engineering and Science Advanced Technology Program (EnSAT Program)
ACTION PLAN RESPONSIBLE ENTITIES
Send engineers and science graduate to master and PHD program in other countries; CHED, DOST, Philippine universities’ Center of Excellence in Engineering and Sciences Develop industrial training programs towards acquiring and applying expertise/knowledge on specific chemical industry technology needs Chemical companies in the Philippines, mother companies, foreign partners, foreign universities, National research Council of the Philippines Develop technology and skills preparedness program for high school graduates Tesda, LGUs, Philippine Science High Schools Develop training programs for skills needed in the downstream industry using chemicals like plastics, paints, adhesives,
TESDA, Chemical Companies Develop skills for grassroots entrepreneurial capabilities for applied technology for new application products/indigenous materials/green products DTI, DOST
Science and Technology based Legislation and Policy
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ACTION PLAN RESPONSIBLE ENTITIES
Use of scientific studies and methodologies to guide legislative processes in Congress and local councils Senate, Congress, DENR, DTI, LGUs, DENR, Civil societies groups (NGOs) Presence of technocrats as part of standing committees to craft policies and legislation for the industry Legislate information dissemination programs for the public to fully understand the use and disposal of chemical products Curb eliminate tax evasion & smuggling through proper and strict implementation of laws
Establishment of the Chemical Industry Cluster Zone
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ACTION PLAN RESPONSIBLE ENTITIES
Identification of chemical industry cluster location
Identification of sectors in the chemical industry that will locate in the cluster zone Institutionalize incentive programs (Replicate PEZA incentives) for companies in the cluster zone that will supply products for domestic needs Subsidies on infrastructure for cluster zone locators Tapping SMEs in the downstream market to be part of the industry cluster Develop a master plan for the creation of the chemical industry cluster for the domestic market similar to the Jurong Island Rationalization of processes to allow backward and forward integration Expansion of infrastructure services to the zone
OUTCOMES & MEASURES
GOALS OBJECTIVES/OUTCOMES INDICATORS
with the best consumer value by adding value to the nation’s basic resources New product offerings that:
Number of products introduced for specific markets and uses; products with comparative advantage Available and sufficient feedstock Domestic supply of raw materials Increased utilization and patronage of local raw materials Number of products developed using local raw materials
be a leading contributor to the Philippine export basket An industry that is a net exporter Import /Export Data
productivity A cadre of skilled, trained and motivated workforce that have high levels of productivity Labor productivity
and processes Innovative products and processes
industry sustainably to protect the natural assets on which the industry depends
Chemical companies’ adherence to sustainability and Responsible Care principles
Management Systems (ISO 14001, ISO 26000)
so as to provide benefits to the Philippine economy and to the Filipino people
Top export performance Trade performance New chemical MSMEs Number of SME partners developed Significant contribution to GDP
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RECENT UPDATES ON THE ROADMAP
(a) EMB and FDA have replied positively, by issuing circulars, to our request for facilitation of issuance of government permits.
(a) ERDT has assigned 10 scholars to SPIK to do applied research for the chemical manufacturing companies. (b) TESDA has already identified the required technical skills for the chemical industry, to be included in TESDA's curriculum.
(a) DOST-PCIEERD has agreed to collaborate with SPIK in the holding of 2nd SPIK INNOVATION FAIR in the DOST compound in December.
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strategic to the Philippine economy.
production and trade.
advantage.
the vision of US$ 30 Billion exports by 2030.
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