Examples of top products and brands that people could identify with:

• Bench Clothings & Apparels
• San Miguel Non-Alcoholic Beer
• Splash                                                            -
• Likas Papaya Bath Soap
• Rufina Patis
• Magnolia Ice Cream
• Magic Sarap
• Selecta Ice Cream
• Laing (Canned)
• Swift Sausages
• Bicol Express (Canned)
• Rebisco Biscuits
• Cornicks
• Green Cross Rubbing Alcohol
• Microwavable Saba
• Jollibee
• Milkfish (Bangus)
• Century Canned
• Sauteed Shrimp Fry (Bagoong)

Potential Products for expansion:

• Halal Food Products
• High-end Garments and Apparels
• Classic Furniture (Residential) and Home Furnishings
• Fashion Accessories
• Cosmetics and Health Care Products
• Handicraft

Top ten exports to Saudi Arabia

Top imports from Saudi Arabia

How can we serve those interested to export Philippine products to Saudi Arabia?

1. Encourage RP exporters to join outbound business mission/trade & investment missions to the Kingdom of Saudi Arabia.
2. Enjoin Philippine companies to participate in major trade fairs and exhibitions in the Kingdom of Saudi Arabia.
3. Provide Philippine exporters with vital profiles of major trade and industries in the Kingdom of Saudi Arabia.
4. Organize seminars and or conduct lectures on doing businesses in the Kingdom of Saudi Arabia.
5. For business assistance, provide both Filipino and Saudi businessmen with important contact addresses of key personnel of the Philippine Embassy in Riyadh and Philippine Consulate General in Jeddah.

What can we do to help Filipino companies to do business with Saudi Arabia?

1. Encourage Philippine companies to join Philippine business missions to the Kingdom of Saudi Arabia.
2. Provide Philippine companies with profiles of Saudi major industries.
3. Organize seminars in the Philippines on doing business in the Kingdom of Saudi Arabia.
4. Establish strong links between the Council of Saudi Chambers of Commerce and Industry and the Philippine Chamber of Commerce and Industry.
5. Undertake regular business matching during business visit exchanges between the Kingdom of Saudi Arabia and the Philippines.

2010 Calendar of Events

International Trade Fairs in Manila

FEBRUARY

E-SERVICES PHILIPPINES : 10TH GLOBAL SOURCING CONFERENCE AND EXHIBITIONS
SMX Convention Center, Pasay City
8-9 February
Information and Communications Technology (ICT) Services

APRIL

MANILA F.A.M.E. INTERNATIONAL
Venue: World Trade Center, Pasay City
Date: 22-25 April

Design driven products / services–Furniture • Home Furnishings; Gifts • Home Décor; Christmas and Holiday Décor

BIO-SEARCH
(timed with Manila F.A.M.E. International)
Venue: World Trade Center, Pasay City
Date: 22-25 April

Health and Wellness

ART MANILA
(timed with Manila F.A.M.E. International)
Venue: World Trade Center, Pasay City
Date: 22-25 April

Paintings (contemporary, classical, and modern); Commercial Arts; Sculptures; Antiques

FASHIONATION
(timed with Manila F.A.M.E. International)
Venue: World Trade Center, Pasay City
Date: 22-25 April

Fashion Accessories and Garments

MAY

INTERNATIONAL FOOD EXHIBITION
(IFEX) PHILIPPINES
World Trade Center, Pasay City
6-8 May
Food / Marine Products; Natural, herbal, and organic food and food supplements

AUGUST

PHILIPPINE INTERNATIONAL ECO SHOW (PInES)
SMX Convention Center, Pasay City
26-28 August
Environment friendly products and services

OCTOBER

MANILA F.A.M.E. INTERNATIONAL
Venue: World Trade Center, Pasay City
Date: 18-21 October

Design driven products / services–Furniture • Home Furnishings; Gifts • Home Décor; Christmas and Holiday Décor

BIO-SEARCH
(timed with Manila F.A.M.E. International)
Venue: World Trade Center, Pasay City
Date: 18-21 October

Health and Wellness

ART MANILA
(timed with Manila F.A.M.E. International)
Venue: World Trade Center, Pasay City
Date: 18-21 October

Paintings (contemporary, classical, and modern); Commercial Arts; Sculptures; Antiques

FASHIONATION
(timed with Manila F.A.M.E. International)
Venue: World Trade Center, Pasay City
Date: 18-21 October

Fashion Accessories and Garments

• Art Manila
• e-Services Philippines
• Fashionation
• Health and Wellness
• International Food Exhibition
• Manila FAME International
• Philippine International Eco Show

The Philippines is "the place to be for investments" due to the following reasons:

• Generally liberalized services industry;
• Cost-efficient in terms of wages over labor standard expectations ratio and low operational costs;
• Strategic logistics access point in ASEAN + 3;
• Natural pool of talents and culturally adaptable human resources that foreign investments look for particularly in the Knowledge and Business Processing industries;
• Strong remittances build gross international reserves to comfortable levels above international benchmark levels, thus buoy up surplus on balance of payments; and
• Committed and supportive governance.

	Total Approved Investments of Foreign and Filipino Nationals 2004-2009 March 18, 2010 Size: 34 kb
	Total Approved Foreign Direct Investments 2004-2009 March 18, 2010 Size: 41 kb
	Total Approved Investments of Foreign and Filipino Nationals 1996-2009 March 18, 2010 Size: 49 kb
	Total Approved Foreign Direct Investments 1996-2009 March 18, 2010 Size: 85 kb

Business and investments abound in the Philippines. Click here to view the 2009 Investment Priorities Plan (IPP).

Below are downloadable files on the Industry Profiles:

	Software Development March 11, 2010 Size: 36 kb
	Build-Operate-Transfer Program March 11, 2010 Size: 45 kb
	Business Process Outsourcing March 11, 2010 Size: 43 kb
	Cement Industry March 11, 2010 Size: 124 kb
	Electronics Industry March 11, 2010 Size: 280 kb
	Renewable Energy March 11, 2010 Size: 34 kb

source: Department of Trade and Industry

Republic Act (RA) 7042, also known as the Foreign Investments Act (FIA) of 1991, is the basic law that governs foreign investments in the Philippines.

• Concept of a negative list
• Opened domestic market to 100% foreign investment except those in the Foreign Investment Negative List (FINL)
• Redefined “export enterprise” to mean at least 60% for export
• Allowed 100% foreign ownership of business activities outside FINL but without incentives

• List A - consists of areas of activities reserved to Philippine nationals where foreign equity participation in any domestic or export enterprise engaged in any activity listed therein shall be limited to a maximum of 40% as prescribed by the Constitution and other specific laws.
• List B - consists of areas of activities where foreign ownership is limited pursuant to law such as defense or law enforcement-related activities, which have negative implications on public health and morals, and small and medium-scale enterprises.

• Cooperatives
• Thrift banks and private development bank
• Rural banks
• Financing companies

Former natural born Filipinos can also engage in activities under List B of the FINL. This means that their investments shall be treated as Filipino or will be considered as forming part of Filipino investments in activities closed or limited to foreign participation.

The equal investment rights of former Filipino nationals do not extend to activities under List A of FINL, which are reserved for Filipino citizens under the Constitution.

Natural born Filipinos have also been given the right to be transferees of private land up to a maximum of 5,000 square meters in the case of urban land or 3 hectares in the case of rural land to be used for business or other purposes.

Click here to view the FINL or Executive Order (EO) No. 584.

1. Sole Proprietorship - is a business structure owned by an individual who has full control/authority of its own and owns all the assets, personally owes answers all liabilities or suffers all losses but enjoys all the profits to the exclusion of others. A sole proprietorship must apply for a business name and be registered with the DTI-National Capital Region (NCR). In the provinces, application may be filed with the DTI regional/provincial offices.


2. Partnership - Under the Civil Code of the Philippines, a partnership is treated as juridical person, having a separate legal personality from that of its members. Partnerships may either be general partnerships, where the partners have unlimited liability for the debts and obligation of the partnership, or limited partnerships, where one or more general partners have unlimited liability and the limited partners have liability only up to the amount of their capital contributions. It consists of two or more partners. A partnership with more than P3,000 capital must register with the Securities and Exchange Commission (SEC).


3. Corporation - is composed of juridical persons established under the Corporation Code and regulated by the SEC with a personality separate and distinct from that of its stockholders. The liability of the shareholders of a corporation is limited to the amount of their share capital. It consists of at least five to 15 incorporators, each of whom must hold at least one share and must be registered with the SEC. Minimum paid up capital is P5,000. A corporation can either be stock or non-stock company regardless of nationality. Such company, if 60% Filipino-40% foreign-owned, is considered a Filipino corporation; If more than 40% foreign-owned, it is considered a domestic foreign-owned corporation.

1. Branch Office - is a foreign corporation organized and existing under foreign laws that carries out business activities of the head office and derives income from the host country. It is required to put up a minimum paid up capital of US$200,000, which can be reduced to US$100,000 if activity involves advanced technology, or company employs at least 50 direct employees. Registration with the SEC is mandatory.


2. Representative Office - is a foreign corporation organized and existing under foreign laws. It does not derive income from the host country and is fully subsidized by its head office. It deals directly with clients of the parent company as it undertakes such activities as information dissemination, acts as a communication center, and promotes company products, as well as quality control of products for export. It is required to have an initial minimum inward remittance in the amount of US$30,000 to cover its operating expenses and must be registered with the SEC. Under Republic Act (RA) 8756, any multinational company may establish a Regional Headquarter (RHQ) or Regional Operating Head Quarter (ROHQ) as long as they are existing under laws other than the Philippines, with branches, affiliates, and subsidiaries in the Asia Pacific Region and other foreign markets.


3. Regional Headquarters (RHQs) - An RHQ undertakes activities that shall be limited to acting as supervisory, communication, and coordinating center for its subsidiaries, affiliates, and branches in the Asia-Pacific region. It acts as an administrative branch of a multinational company engaged in international trade.  It does not derive income from sources within the Philippines and does not participate in any manner in the management of any subsidiary or branch office it might have in the Philippines. Required capital is US$50,000 annually to cover operating expenses.


4. Regional Operating Headquarters (ROHQs) - An ROHQ performs the following qualifying services to its affiliates, subsidiaries, and branches in the Philippines.

The Board of Investment's (BOI) frontline unit, the National Economic Research and Business Action Center (NERBAC), assists investors do business in the Philippines under one roof. It houses representatives from different government agencies who answer investors' inquiries and the process of investors' business registration.

The government has come up with a liberal program of fiscal and non-fiscal incentives to attract foreign capital and technology that complement local resources. Different incentives schemes are available relative to the location and registration of the proposed business activity.

Click here to view Incentives for Investors.

Click here to view Procedures and Application Requirements for Business Registration.

Doing business entails costs, from registration fees, tax rates, manpower, transportation, utility, and standard of living.

Standard of Living

Education
The Philippines has both private and public school systems for elementary, secondary, and college levels. Public schools, wherein fees are minimal and teaching is done in English and Filipino, are subsidized by the government. The normal school year is from June to March.

Foreign nationals have a choice of going to either the elitist local private schools, majority of which are run by religious orders and teaching is done in English, or in international schools.

Public Transport
The most common and inexpensive mode of transportation in the Philippines are jeepneys. There are also buses that are classified as non-airconditioned and airconditioned. Meanwhile, taxis are all airconditoned. The Philippines has also tricycles, which are motorcycles/bicycles with a sidecar attached for short trips on the side streets. Also, the country has Light Rail Transit( LRT) and Metro Rail Transit (MRT). These are overhead railway system that currently runs in Metro Manila. Lastly, the country has air transport.

Shopping in Manila
Metro Manila is considered as shopper’s paradise. The major shopping center in Makati is the Ayala Commercial Center where most items found overseas can be bought. The SM Megamall, Robinson’s Galleria, Rustan’s Department Store, and Edsa Plaza Shopping Mall are modern malls with extensive array of consumer goods and a must when shopping.The Divisoria area, on the otherhand, are for adventuresome bargain hunter/s who wish to experience a typical Asian open market.

Click here to view the latest Cost of Doing Business in terms of start-up, living, manpower, transportation, and utility.

1. What are the import documents required in all shipments to the Philippines?

• Commercial Invoice
• Bill of Lading or Airway Bill for air shipments
• Certificate of Origin, if requested
• Packing List
• Applicable special certificates required due to the nature of goods being shipped/requested by importer/bank/letter of credit clause, such as the Bureau of Food  and Drugs (BFAD) license
• Commercial Invoice of Returned Philippine Goods and Supplemental Declaration on  Valuation
• For Letter of Credit (L/C) Transaction, a duly accomplished Letter of Credit (L/C)  including Proforma Invoice and Import Entry Declaration for Advance Customs Import  Duty (ACID)
• For non-L/C Transactions, either Draft Documents against Acceptance (D/A),  Documents Against Payment (D/P), Open Account (OA) or self-funded, a Proforma Invoice

2. What are the legal fees to be collected from importers?

• Annual registration fee of P1,500 and processing fee of P500 for subsequent updates of the registration

3. Who are authorized to make an import entry?

• Importer- being the holder of the Bill of Lading (B/L) or Airway Bill (AWB)
• Customs Broker- acting under the authority from the holder of the B/L or AWB
• A person duly empowered to act as agent or attorney-in-fact for such holder

4. What are the requirements upon filing of import entry?

• Import Entry and Internal Revenue Declaration (IEIRD-BOC Form No. 236)
• Supplemental Declaration on Value (SDV)
• B/L or AWB
• Commercial Invoice
• Packing List
• Other additional documents as may be required, such as:
  a. ATRIG (VAT- exempt goods)
  b. Certificate of Origin (CO)
  c. Import Permit for regulated items
  d. Health Certificate

Click here to download Revised Rules and Regulations on Accreditation of Importers.

• Those specifically listed under Section 101 of the Tariff and Customs Code of the Philippines
• Used Clothing and Rags under Republic Act (RA) 4653, dated 06 June 1966
• Toy Guns under LOI 1264, dated 31 July 1982
• Right-Hand Drive Vehicles under RA 8506 dated 13 February 1998
• Laundry and Industrial Detergents containing hard surfactants under RA 8970 dated 31 October 2000

• Ammunitions, firearms
• Cinematographic films, photographs, paintings, drawings or other representation of any obscene/immoral character
• Heroin or other synthetic drugs

Click here to download prohibited and Regulated Imports.

• Dynamite, gunpowder, ammunitions and other explosives, firearms, and weapons of war, and parts thereof, except when authorized by law
• Written or printed articles in any form containing any matter advocating or inciting treason, or rebellion, insurrection, sedition, or subversion against the Government of the Philippines, or forcible resistance to any law of the Philippines, or containing any threat to take the life of, or inflict bodily harm upon any person in the Philippines
• Written or printed articles, negatives or cinematographic film, photographs, engravings, lithographs, objects, paintings, drawings, or other representation of an obscene or immoral character
• Articles, instruments, drugs and substances designed, intended or adapted for producing unlawful abortion, or any printed matter, which advertises or describes or gives directly or indirectly information where, how or by whom unlawful abortion is produced
• Roulette wheels, gambling outfits, loaded dice, marked cards, machines, apparatus or mechanical devices used in gambling or the distribution of money, cigars, cigarettes, or other when such distribution is dependent on chance, including jackpot and pinball machines or similar contrivances, or parts thereof
• Lottery and Sweepstakes tickets except those authorized by the Philippine government, advertisements thereof, and list of drawings therein
• Any article manufactured in whole or in part of gold, silver or other precious metals or alloys thereof, the stamps, brands or marks or which do not indicate the actual fineness of quality of said metals or alloys
• Any adulterated or misbranded articles of food or any adulterated or misbranded drug in violation of the provisions of the "Food and Drugs Act"
• Marijuana, opium, poppies, coca leaves, heroin or any other narcotics or synthetic drugs, which are or may hereafter be declared habit forming by the President of the Philippines, or any compound, manufactured salt, derivative, or preparation thereof, except when imported by the Government of the Philippines or any person duly authorized by the Dangerous Drugs Board, for medical purposes only
• Opium pipes and parts thereof, or whatever material
• All other articles and parts thereof, the importation of which is prohibited by law or rules and regulations issued by competent authority as amended by Presidential Decree (PD) No. 34

How can we serve those interested to export Philippine products to Saudi Arabia?

1. We encourage RP exporters to join outbound business mission/trade & investment missions to the Kingdom of Saudi Arabia.
2. We enjoin Philippine companies to participate in major trade fairs and exhibitions in the Kingdom of Saudi Arabia.
3. We provide Philippine exporters with vital profiles of major trade and industries in the Kingdom of Saudi Arabia.
4. We help organize seminars and or conduct lectures on doing businesses in the Kingdom of Saudi Arabia.
5. For business assistance, we provide both Filipino and Saudi businessmen with important contact addresses of key personnel of the Philippine Embassy in Riyadh and Philippine Consulate General in Jeddah.

What can we do to help Filipino companies to do business with Saudi Arabia?

1. We encourage Philippine companies to join Philippine business missions to the Kingdom of Saudi Arabia.
2. We provide Philippine companies with profiles of Saudi major industries.
3. We organize seminars in the Philippines on doing business in the Kingdom of Saudi Arabia.
4. We establish strong links between the Council of Saudi Chambers of Commerce and Industry and the Philippine Chamber of Commerce and Industry.
5. We undertake regular business matching during business visit exchanges between the Kingdom of Saudi Arabia and the Philippines.