The Philippines should start focusing more on the Asian market as a key export destination.

This Trade and Industry Secretary Manuel A. Roxas II pushed to help ease the impact of declining exports to the United States and Japan, which continued to experience economic slowdown.

The US and Japan are two of the country’s top export markets.

Roxas said the growing exports to China, Malaysia, South Korea, Hong Kong, Taiwan, and Singapore had resulted in a 32.3-percent increase in aggregate market share in the first half of 2002, compared to last year’s 26 percent.

He said the expanding Asian market led to the recovery of Philippine exports, which posted a 4.3-percent growth in the same period.

Exports to China grew by 82.2 percent; Malaysia, 55.7 percent; South Korea, 51.1 percent; Hong Kong, 28.3 percent; Taiwan, 25.3 percent; and Singapore, 1.5 percent.

In contrast, total exports to the US and Japan declined by 6.6 percent and 5 percent, respectively.

"Expanding Asian markets led by China and the continued rebuilding of inventory for semiconductors and electronic products provided the much-needed push for the country’s exports," Roxas noted.

He called on businessmen to take advantage of China’s own liberalization, deregulation and reform measures.

"There is a wide range of products that could potentially enjoy greater demand from the Chinese market due to lower prices brought about by lower tariffs in China and the expected benefits to accrue from the expected higher income from Chinese consumers," he added.

Diplomats of four member countries of the Organization of Islamic Conference (OIC) have assured the Philippine government of assistance to ensure the safety of overseas Filipino workers (OFWs) in their respective countries.

The diplomats met this morning at the Department of Foreign Affairs (DFA) with Acting Foreign Affairs Secretary Lauro Baja, Jr. and retired Gen. Roy Cimatu, who was recently designated by President Gloria Macapagal-Arroyo as head of the Middle East Preparedness Team (MEPT).

The President has instructed the MEPT to draw up a comprehensive contingency plan to ensure the safety of OFWs in case war erupts in the Middle East, particularly in Iraq.

During the meeting, Baja and Cimatu briefed the diplomats on the functions of the MEPT.

The DFA asked the diplomats for their views and advice on how to ensure the safety of the OFWs who are working in their respective countries in case there is a need to repatriate them to the Philippines.

Specifically, the DFA asked for assistance from the four countries in arranging for meetings between the MEPT and the appropriate officials in their respective countries.

The diplomats assured the DFA that they would assist Cimatu and members of his team in securing clearances and other documents that the team would need before its departure and during its visit to their countries.

Earlier, Cimatu said that as instructed by the President, the MEPT would visit all the nine countries in the Middle East that might be affected by the conflict to gather inputs for a comprehensive plan of action for their safety and welfare.

At 11:00 last night, September 25, 2002, the four teachers abducted in Lanao del Sur last Sept. 13, 2002 were released without ransom through the joint efforts of DSWD, the provincial government of Lanao del Sur, local government of Marawi City, the Armed Forces of the Philippines and the Philippine National Police (PNP)

The four (4) Mindanao State University teachers, Edith Bontilao, Emma Karaan, Salvacion Mikin, and Luzvilla Serate, are back safe in the arms of their families. To our teachers, welcome back. Your courage and faith have been rewarded by your safe release. We heard your plea and responded by working double time to bring you home.

I congratulate our team who worked non-stop and with singular determination to bring our teachers home after twelve days in captivity.

The successful operations were made possible by the concerted effort of DSWD Undersecretary Omera Lucman, Assemblyman Anzaruni Adiong, Akira Alonto, both representing the provincial government of Lanao del Sur under Governor Mamintal Adiong, Maj. Gen. Al Dagudag of the 4^th Infantry Division, Col. Ernesto Boac of the 401^st Infantry Brigade, Philippine Army, and Chief Superintendent Acmad Omar, regional director of PRO-ARMM.

The competent and dedicated role of the Provincial Crisis Management Committee must also be mentioned as a concrete example of how proper planning and united action work for our citizens and our country. The provincial government adheres to the government’s no-ransom policy, and no ransom was paid in the release of the hostages.

The release of our four teachers is the result of the tried and proven formula of the PNP against kidnapping and other crimes: Community cooperation with the united effort of local government officials and concerned citizens to convince the abductors to release the victims, professional police action with the pressure exerted by the personnel of PNP PRO-ARMM and the 401^st Infantry Brigade of the Philippine Army and responsible media coverage which has encouraged concerned citizens to provide information and support.

GEN. LUNA, Surigao del Norte – President Gloria Macapagal-Arroyo today assured the public that the national government is preparing some drastic measures to counter the possible problems that the country will face if the conflict between the United States and Iraq escalates.

The President said the Cabinet Oversight Committee and the National Security Council will be meeting on Tuesday next week to tackle the immediate actions the government would take once war erupts between the two countries.

"We’re preparing for a possible Iraq war," the President said during her luncheon meeting with Malacaņang reporters and local media representatives here at the Pansukian Resort on Siargao Island yesterday.

The President said the purpose of the meeting is to establish a road map on what the government’s immediate action would be to counter the problems that may arise in the event of an Iraq war.

Among the major components included in the road map is the evacuation of the Overseas Filipino Workers in Iraq and the energy concerns of the country.

The President also said she will be going to Palawan tomorrow to visit the Malampaya platform and see to it that our natural gas supply can accommodate the country’s fuel needs.

ILIGAN CITY – President Gloria Macapagal-Arroyo today said she was grateful for the safe recovery of the four Mindanao State University (MSU) teachers who were released without paying any ransom.

In a statement she read before the Second Mindanao Shippers’ Conference at the Maria Cristina Hotel here, the President said the release of the four teachers was the result of the "tried and proven formula" of the Philippine National Police (PNP) against kidnapping and other crimes.

"I congratulate our team -- our team who worked non-stop and with singular determination to bring our teachers home after 12 days in captivity," the Chief Executive said in her statement.

The four MSU teachers who were abducted last Sept. 11 in Lanao del Sur were identified as Edith Bontilao, Emma Karaan, Salvacion Mikin, and Luzvilla Serate.

They were released at around 11 p.m. on Wednesday through the joint efforts of the Department of Social Welfare and Development (DSWD), the provincial government of Lanao del Sur, the local government of Marawi City, the Armed Forces of the Philippines (AFP) and the Philippine National Police (PNP).

The President said the release of the kidnap victims was mainly due to community cooperation, professional police action, and responsible media coverage which encouraged citizens to provide information and support.

"To our teachers, welcome back. Your courage and faith have been rewarded by your safe release. We heard your plea and responded by working double time to bring you home," she said.

Upon her arrival at the National Steel Corporation (NSC) landing zone here, the President met with three of the four released MSU teachers and gave them words of comfort.

GENERAL LUNA, Surigao del Norte – President Gloria Macapagal-Arroyo Wednesday said the construction of an international airport in Bohol would boost eco-tourism and beach tourism in the country.

In a luncheon meeting with members of the media at the Pansukian Resort here, the President said the plan to build a big airport in Bohol was contained in her administration’s short and medium-term tourism strategy.

The airport’s economic windfall would benefit the people and the world-rated tourism industries in Boracay, Palawan, Siargao Island in Surigao del Norte and Surigao del Sur.

Surigao is very near Bohol. With an airport at hand, Siargao Island, known as the country’s surfing capital, and other tourist destinations in the Surigao provinces will socially and economically grow.

The President said she told Senator Robert Barbers, Surigao del Norte Governor Robert Lyndon Barbers and Rep. Robert Ace Barbers to facilitate tourism tie-ups between and among Cebu, Bohol and Surigao.

She said the construction of the Bohol international airport would bring tourists nearer to the famous Chocolate Hills and the Siargao surfing area.

As much as Bohol benefited from the Cebu air transport facilities, so would Siargao benefit from a Bohol airport, she averred.

She added that the government has strived to bring tourists to Siargao. "This is one of those areas that we want to develop," she said.

She also expressed optimism that the tourism industry would improve with the government’s "Visit the Philippines Year" program in 2003.

"For the longer term, we hope that we can double the number of tourists by the year 2010," she said.

"This year, we want to win the battle against poverty with our short term and a medium term tourism strategy," she stressed.

The President noted that the pristine white beaches nationwide continued to lure most visitors to the country.

Malacaņang today said it is willing to pay the cost of repair of the presidential twin-engine Fokker jet as soon as an independent appraiser establishes the correct amount.

Press Secretary Ignacio R. Bunye, in his regular press briefing, said that this was the recommendation made by the chief Presidential Legal Counsel Avelino Cruz, Jr.

Bunye further said that the matter is now the subject of a suit involving the government as plaintiff and the Fokker Services Asia PTE Ltd. and Seal Aircraft Industries Inc. as defendants.

Bunye said the government’s case, filed before the Regional Trial Court of Paranaque, arose from a dispute on the extent and cost of repairs.

"What the government wants is the appointment of an independent expert to appraise the cost of repairs," Bunye said.

Malacaņang today announced that Department of Public Works and Highways Secretary Simeon Datumanong would take over immediately as Officer-In-Charge of both the Office of the Chairman and the Office of the General Manager of the Public Estates Authority.

Press Secretary Ignacio R. Bunye, who made the announcement during his regular press briefing in Malacanang, stressed that Datumanong "has to secure all the pertinent documents."

"He (Datumanong) has to make sure that all the documents are accounted for, no documents are missing and because any missing documents will definitely hamper investigation," Bunye said.

Meanwhile, Bunye said the Government Service Insurance System – PEA loan agreement is separate and distinct from the construction agreement between PEA and JD Legaspi Construction.

He said the approval process for the alleged variation orders under the new PEA Board is separate and distinct from the GSIS-PEA Loan Agreement.

"The alleged variation orders have not been referred to the Office of the President," Bunye said.

The Press Secretary noted that the P1-billion loan was to be used primarily "for the construction and completion of horizontal development of the Manila Bay reclamation project, including PEA properties in Central Business Park 1-A."

Bunye noted that this is "not only the construction of the Central Boulevard which currently is the subject of the controversy."

The Department of Energy (DOE) today assured that recent adjustments in oil prices have minimal effect on electricity rates.

Energy Secretary Vincent Perez, Jr. said that the Philippines, despite being a direct oil importer, has veered away from complete dependence on oil for power generation.

The assurance came in the heels of increased tension in the Middle East that could affect world oil prices, and consequently impact on local oil prices, a DOE report reaching Malacaņang said.

Perez said the country has diversified energy sources to fuel its power plants. Most of these energy sources are indigenous, such as hydro and geothermal power and natural gas.

This would shield the country from any unstable supply and any rise in the price of oil brought about by external factors.

"The country through the National Power Corp. (Napocor) has been veering away from the use of oil in our power generation mix. Our data from Napocor show that dependence on oil as fuel for power plants has significantly been reduced to only 11.75 percent as of July this year," Perez said.

Coal, considered one of the cheapest fuels, accounted for 40.02 percent in the power generation mix; followed by geothermal power at 27.23 percent as of July.

Dependence on hydro power as a fuel source was at 16.25 percent. Napocor’s Ilijan power plant, which came on stream this June, has also contributed about 4.72 percent in the fuel mix.  

In 1995, oil contributed more than half or 56.85 percent in the power generation mix. But this slowly dropped over the years. In end-2000, the use of oil in the power generation mix has declined to only 20.28 percent.

Last year, the country’s energy self-sufficiency stood at 45.5 percent.  

Napocor initial studies showed that a 10-percent rise in the price of bunker fuel per liter would translate to only one-centavo per kilowatt hour (kWh) increase in the fuel cost adjustment component of Napocor’s electricity rates in the Luzon grid, Perez said.

Even a 50-percent increase in diesel fuel would only translate to one-centavo per kWh increase, he said.

Meanwhile, Napocor has retired aging oil-based power plants with a combined capacity of 1,020 megawatts (MW) as of 2000.  

In Luzon , another three oil-fired power plants with a total capacity of 860-MW will be decommissioned by 2009 and 2010.

In the Visayas, five oil-fired power plants with a combined capacity of 285.4-MW are also in the pipeline for decommissioning between 2004 and 2011.

These include the 36.5-MW Panay diesel (2004), 22-MW Bohol diesel power barge (2005), 55-MW Cebu land-based gas turbine (2011), 43.9-MW Cebu diesel (2011) and Power Barge 101-104 with a total capacity of 128-MW (2005).  

The retirement of the Bohol diesel power barge, however, is contingent on the upgrading of the Leyte-Bohol transmission line.

"Our goal is to have a stable and secure energy supply by increasing the share of indigenous energy sources. We are working hard to develop our indigenous energy sources to increase our energy self-sufficiency level," Perez said.

He also echoed the call of Press Secretary Ignacio Bunye to consumers to conserve gas in the light of the Middle East situation.

ILIGAN CITY – President Gloria Macapagal-Arroyo today reiterated the government’s commitment to pursue the rehabilitation of the defunct National Steel Corporation (NSC).

In her speech during the Second Mindanao Shippers’ Conference at the Maria Cristina Hotel here, the President said the Philippine government and the Danaharta, Malaysia’s Asset Privatization Trust (APT), has already developed a "meeting of the minds" to develop and rehabilitate the NSC.

She recalled that last August 22, Trade and Industry Secretary Manuel Roxas II met with the creditors of Danaharta where the outstanding issues were fully discussed and negotiated.

"At that meeting they developed a meeting of minds regarding future steps toward the rehabilitation of National Steel," the President said.

She added that both the creditors and the Danaharta confirmed that the game plan is still to operate the national business.

According to her, the Danaharta stressed that the sale of the assets need not require 85 percent majority consent, provided that the sale is at least 80 percent of the appraised value.

"It clarified that the 85 percent shareholder consent requirement is intended as an anti-volition provision to protect its 60 percent equity in case there is a change of ownership," she said.

The President said the Danaharta underscored that the appointment of the chief executive officer and the chief operating officer shall be made upon the recommendation of the creditor banks.

"It only wants to share the decision making in the screening process," Mrs. Macapagal-Arroyo said.

These, she said, are great strides regarding the contentious issues of the National Steel.

Since then, she said the Philippine National Bank (PNB), which represented the bank at the meeting, has presented the agreement to all the creditor banks where each member creditor bank has secured their respective board’s approval.

When the clearance of the banks came, the President said the agreements were converted into a Memorandum of Agreement (MOA).

The MOA, she said, was already transmitted to the Danaharta for comment last Sept. 20.

According to her, the Danaharta board is reviewing the MOA, even as she expressed hope that the Malaysian group would sign it.

The President also took the opportunity to thank Malaysian Prime Minister Mahathir Mohamad for making it possible for the Philippines and the Malaysian Danaharta to sit down and discuss major issues involving the rehabilitation of the NSC.

As the start of her speech, President Macapagal-Arroyo donated P1 million to Iligan City Mayor Franklin Quijano for the "One Town, One Product, One Million Pesos" program to benefit displaced NSC workers.

ILIGAN CITY—President Gloria Macapagal-Arroyo today offered to release a P1-million loan to displaced workers of the mothballed National Steel Corporation so that they can engage in a small and medium enterprise (SME).

In her speech at the Second Mindanao Shippers Conference held here, the President said the amount would be loaned through the Land Bank of the Philippines (LBP) under her "One Town, One Project, One Million Pesos" project.

The President formally launched the project in Malacanang last Tuesday during a luncheon meeting with the 27 municipal mayors of Laguna.

In her speech, the President said that the American economy is still weak and the government is now relying on the domestic market to expand the economy.

"Because Iligan is a steel town, I will be giving a P1 million loan, to be advanced by my President’s Social Fund, but to be reimbursed by the Land Bank, for a small and medium enterprise of the displaced steel workers," the President said.

The President also said that since the government does not have the money, she wants the private sector to lead in strengthening the local economy.

She also lauded the City of Iligan for its initiative in developing, along with the private sector, at least 5,000 hectares of land for abaca, banana, pineapple and coffee production.

"This will translate not only to at least 10,000 jobs but also to an increase of at least 25,000 tons of cargo," the President said.

The President also commended Iligan City for diversifying its employment base and not just depending on one single industry.

According to the President, the thrust of the region is to develop the seaweed industry from Pangil Bay in Misamis Occidental and Lanao del Norte to Yanga Bay in Surigao del Sur.