THE government’s push to favor locally made goods in public procurement could give local manufacturers a steadier market, with the Cement Manufacturers Association of the Philippines (Cemap) saying the Tatak Pinoy strategy could help reduce the country’s reliance on imports over time.
Cemap President John Reinier Dizon, who was recently appointed as a private-sector representative to the Tatak Pinoy Council, said the strategy’s broader objective is to encourage more manufacturing activity in the country.
‘Hopefully in the long run we would become less import-dependent. Nothing wrong with importation, but we need to watch out for our balance of trade,’ Dizon said on Monday in a televised interview.
His remarks came as businesses contend with the peso’s recent slide past the P62-to-the-dollar level, which has raised the local cost of imported fuel, raw materials and other inputs.
‘We’re all observing the peso devaluing and, you know, it’s frankly impacting the businesses in the country. We are, as you know, still highly import dependent on oil and gas and a number of consumer goods,’ he said.
Republic Act 11981, or the Tatak Pinoy (Proudly Filipino) Act, which was enacted in February 2024, is the country’s first national industrial policy institutionalized through law.
It seeks to expand the productive capabilities of domestic enterprises and enable them to produce more ‘globally competitive goods and services.’
The Council oversees the formulation and implementation of the Multi-Year Tatak Pinoy Strategy, which sets the policy’s priorities across government and the private sector.
For manufacturers, meanwhile, one of its more immediate implications is government procurement.
‘Given a choice between importing products, if the product that a manufacturer is looking for is locally available, we do encourage that the local supply be preferred. That is also part of the Tatak Pinoy Act, particularly for government procurement,’ Dizon said.
Government, he added, accounts for a large share of overall procurement, giving it the capacity to create demand for locally produced goods.
The policy push comes as manufacturing activity has started to pick up. Philippine Statistics Authority (PSA) data showed the Volume of Production Index for manufacturing rose 10.1 percent in June, sharply faster than the 2.3-percent growth recorded a year earlier.
The country still faces external pressures, including geopolitical tensions and the Middle East crisis, but Dizon argued that manufacturing needs to expand alongside the country’s growing labor force.
‘We have easily 65 to 70 million working population, and we’re adding one million per year because of our demographics. So we need to create more jobs. We need to spur up manufacturing,’ he said.
Despite a rise in unemployment, the number of employed Filipinos increased to 50.66 million in June from 50.47 million a year earlier. The labor force also expanded to 53.25 million from 52.42 million.
For Dizon, strengthening domestic manufacturing ultimately comes down to creating demand for what local companies produce. ‘Let’s all support local industries. Let’s all buy local. And in that way, we create what is called the multiplier effect,’ he said.
Recent data from the PSA showed exports reached $54.92 billion in the first seven months of 2026, while imports totaled $92.26 billion, leaving the Philippines with a $37.34-billion trade deficit.