Why can’t we export more?
We are an outlier among our Asean peers—meaning Indonesia, Malaysia, Thailand, and Vietnam—as far as exports are concerned. The numbers say it all: we averaged $69 billion in annual export earnings between 2017 and 2020. Indonesia got $170 billion, Malaysia $234 billion, Thailand $242 billion, and Vietnam $251 billion. Even if we add our annual services exports today of some $33 billion, and overseas remittances of about the same amount—in both of which we do better than our neighbors—we’d still be far below Indonesia’s goods exports alone.
Again, it begs the question from Habito, what did they do during their watch? Habito was FVR’s NEDA chief. It was during the Ramos administration that privatization was continued and free trade agreements were signed. What was done then to develop agriculture?
Recall it was also then Health Secretary Juan Flavier who promoted the use of iodized salt and now we are importing salt because of the Asin Law. In developed countries, artisanal or rock salt, commands a higher price.
The answer to the question is regulatory capture of agriculture because of our continuing adherence to a plantation-style economy controlled by oligarchs and politicans through their dynasties.
This is why if there are still no strucutral reforms enacted in the Marcos administration, if we continue with what we’ve been doing for the past thirty-six years, we’re consigned to being the laggard of ASEAN.
Comentários