THE Department of Trade and Industry’s Export Marketing Bureau (EMB) awarded on Monday the first set of certificates for export-oriented enterprises (EOEs).
Trade Undersecretary Ceferino S. Rodolfo said the certifications help exporters qualify for incentives offered by the Corporate Recovery and Tax Incentives for Enterprises to Maximize Opportunities for Reinvigorating the Economy (CREATE MORE) Act.
“Under sections six, seven, and eight of the law, the EMB has been entrusted with a special responsibility, and this is to certify enterprises that meet the 70% export sales threshold,” Mr. Rodolfo said.
The certification qualifies EOEs for value-added tax (VAT) zero rating on local purchases and VAT-exempt goods imports, provided these are directly attributable to their export activities.
“These incentives are not just technical adjustments to our VAT regime. They are a clear signal that the Philippine government is serious about supporting our exporters by improving our business environment,” he said.
“The CREATE MORE Act restores and enhances critical tax incentives that reduce the cost of doing business and allow exporters to reinvest in innovation, sustainability, and growth,” he added.
On Monday, CREATE MORE EOE certificates were awarded to Dole Philippines, Inc., Philsaga Mining Corp., Krystle Exports, Inc., and Bosch Service Solutions, Inc.
“These companies are certified and have successfully met the over 70% export threshold requirement under the CREATE MORE Act,” according to Secretary Frederick D. Go, special assistant to the President for investment and economic affairs.
“It will send a strong signal to our stakeholders that CREATE MORE is real, is working, and is happening,” he added.
He identified CREATE MORE as a “game-changing reform” that improves ease of doing business, reduces costs, and restores predictability for investors.
“As we, together with the investment promotion agencies, go on a road show to promote CREATE MORE throughout the world, we hope that the bandwagon effect of investing in the Philippines really takes place so that we can really build a sustainable economic growth story for our country,” he said.
He said that the next stops for the CREATE MORE road show are the US, Japan, the Middle East, the European Union, and China.
Mr. Go said that he is satisfied with the work of the investment promotion agencies last year.
“I think the investment promotion agencies are doing a good job. In my opinion,” Mr. Go said.
However, he said that the government must work “doubly hard” this year to beat the P1.9 trillion in approved investments last year.
“That now becomes the new statistic that we have to beat. It’s a very challenging number. So, we have to work doubly hard,” he said.
“Every year we try to beat our own record. But with every performance, it becomes more difficult … And it is a difficult situation now because of the US tariffs,” he added.
He also said that he hopes for the EOE certifications to help in attracting more investors.
“This sends a signal to everybody else that if you are qualified you can avail of the CREATE MORE Act benefits and help boost the export industry,” he said. — Justine Irish D. Tabile