Name: Consumer Goods and Retail

Icon: /photos/committee/icon/3/icon-consumer-goods.png

Content: <p>The development of the consumer goods and retail sector is a product and also a driving force of the continued economic growth in the country. In fact, one of the key components driving economic growth in the past years has been private consumption, which rose by 5.6% in the first half of 2014.92 Similarly, from the production side, retail trading was a key contributor to GDP growth.</p> <p>Retail sales also followed an upward trend in 2014, up 3.2% in September 2014, as compared to the same month in 2013.94 Similarly, consumer spending reached an all-time high in the third quarter of 2014 with 1,245,614 million PhP spent.95<br /> As a whole, it is estimated that the retail sector accounted for 14% of national GDP, equal to approximately 1.6 trillion PhP in 2013.</p> <p>The food and beverage industry is a driving force in retail consumption; in 2012 food and nonalcoholic beverages accounted for 43% of household consumption, while alcoholic beverages and tobacco were equal to 1.3% of household consumption. Purchases of apparel were calculated at 1.4%, while other segments were not calculated separately.</p> <p>There is a boom in the retail sector, which is reflected in the fast growth of shopping malls across the Philippines and especially in the NCR. However, mainly due to a restrictive legislative framework for international investment in the sector, most major international companies have no choice but to enter the country through franchise agreements or partnership with local retail companies; up to now there has been only one exception of a European company entering the Philippines independently in 2014. Effectively, the industry is largely dominated by few large players. </p> <p>In addition to the priorities highlighted below, IPR enforcement is a major area of interest for European businesses active in the Philippine retail sector. Therefore, the Committee endorses the recommendations made in the cross-sector paper on Intellectual Property Rights. </p> <p><a href="http://www.epbn.ph/publications/download?file_name=EPBN_Business_Primer_Teaser_-_Consumer_Goods_and_Retail.pdf&amp;id=8">Click here to download A Brief Overview of the Philippine Consumer Goods & Retail Industry »</a></p>

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