Biz group warns of alcohol tax hike

MANILA, Philippines -  The Federation of Filipino-Chinese Chambers of Commerce and Industry Inc. (FFCCCI) has called on the government to increase its support of the local manufacturing industry to stimulate the economy instead of increasing existing tax rates or imposing new taxes on alcohol products.

“The manufacturing industry is slowing down as an aftermath of the debt crises in the West and market uncertainties weigh on trade and private consumption. It would be preferable for the government to increase pump-priming efforts to boost the local manufacturing sector,” said FFCCCII president Tan Ching.

Tan also cited concerns of the local distilled spirits industry which is under threat due to the ongoing trade dispute brought about by the European Union and the US in the World Trade Organization (WTO).

The FFCCCI president has also disclosed his group’s support to House Speaker Feliciano Belmonte’s and Senate President Juan Ponce Enrile’s decision to suspend hearings while the case is still ongoing.

“We don’t want our distilled spirits industry to end up like our textile and garments industries. Practically, all the RTWs now are imported when we used to be a top garments exporter to the world,” observed Tan.

The distilled spirits industry which employs more than five million people is one of the few remaining manufacturing industries that have managed to survive so far. Officials of affected manufacturing firms appeal for the government to protect the interests of one of its own industries.

“We need to invigorate the local manufacturing sector since our President wants to generate opportunities and employment for our countrymen,” said Tan.

FFCCCII has been supporting the advocacies of the Buy Pinoy Movement to encourage people to buy more locally made products to help create jobs and further boost government revenues. Tan pointed out that by “Buy Pinoy,” the group refers to goods that are “Made in the Philippines.”