MORE R&D FUNDS NEEDED TO KEEP RP ELECTRONICS
INDUSTRY COMPETITIVE

Senator Edgardo J. Angara said that more resources have to be invested into Research & Development (R&D) in order to keep the Philippines semiconductor and electronics industry globally competitive.

The Congressional Commission on Science, Technology and Engineering (COMSTE) has reported that the country's weak R&D infrastructure is because of the low expenditure relative to the Gross Domestic Product (GDP), which is at 0.43%, below the recommended 1.1.5% for developing countries, which directly affects the electronics industry.

Angara said, "Our educational standards and weak R&D infrastructure are hurting the global competitiveness level of the nation. Take for example the Electronics and Semiconductors industry, which a few years ago accounted for over 60% of our total exports."

The COMSTE Electronics and Semiconductors panel reported that 62% of the country's exports, roughly $31 Billion, are derived from the electronics sector.

COMSTE works closely with the Semiconductor and Electronics Industries in the Philippines, Inc (SEIPI), which is an organization of the largest semiconductor and electronics industry players in the country. SEIPI aims to make the country a regional center of excellence, thus making the country more attractive for investors.

"COMSTE's ties with SEIPI are just one of the many Public Private Partnerships (PPP's) we are trying to develop in order to strengthen our competitive base. A strategy that ties industry needs with government policy will help us develop innovative programs for the sector," said Angara.

The COMSTE Semiconductors and Electronics panel is composed of top experts and executives and is Chaired by Mr. Cesar Quiason with members Mr. Victor Gruet, Mr. Larry Qua, Mr. Arthur Tan, and Mr. Arthur Young.