The country is increasing the access to production network and needed technology of the micro, small and medium enterprises’ (MSMEs) as they expand to more overseas markets.

A newly released Socioeconomic Report (SER) by the National Economic and Development Authority (NEDA) said it will enhance the capacity of MSMEs to produce at larger scales and in accordance with international product standards, such as halal standards.

“The ability of MSMEs to deliver the necessary quantity at the right cost is crucial to be able to engage in long-term relationships with large domestic and multilateral enterprises,” it said.

The report pointed out that access of MSMEs to international markets will expand once they become suppliers to global and regional production networks. 

“These relationships will also facilitate their access to advanced technology and exposure to innovative practices,” it added.

SER said the country will also expand the Small Enterprise Technology Upgrading Program (SETUP) and shared service facilities.

“This will provide MSMEs with access to needed technology, with an aim of increasing their scale of production and improve efficiency of production processes. These will be strategically located where they are accessible to potential users,” it said.

Further, it will improve access of MSMEs to finance through operationalizing a comprehensive credit information system, developing a policy for alternative collaterals, and establishing an effective credit guarantee system. - Philexport News & Features