DEPARTMENT OF SCIENCE AND TECHNOLOGY

Strengthening Enterprises Technology Upgrading Program: Project 1

“Technology Scanning and S&T Roadmapping for Priority Industries/Sectors”

National Situationer Report

for
MANUFACTURE OF FURNITURE, NATURAL
FIBERS/WEARABLES/WEAVING/GARMENTS (PERSONAL PROTECTIVE EQUIPMENT)

LEAD REGION: DOST-CAR

SUB-LEAD: DOST-GARAGA - FURNITURE INDUSTRY

PARTICIPATING REGIONS:
DOST-II
DOST-III
DOST-IVB
DOST-VII
DOST-VIII

SUB-LEAD: DOST-MIMAROPA - NATURAL

FIBERS/WEARABLES/WEAVING/GARMENTS (PERSONAL PROTECTIVE EQUIPMENT)
INDUSTRY
PARTICIPATING REGIONS:
DOST-CAR
DOST-I
DOST-V
DOST-VI
DOST-VII
DOST-VIII
DOST-X
Table of Contents

1. PERFORMANCE ...................................................................................................... 2
1.1 Sectoral Gross Value Added (GVA)/productivity, share in GDP, growth rates and
trade/export value- Furniture Industry ....................................................................... 2
Trade/Export Value ................................................................................................. 6
1.1 Sectoral Gross Value Added (GVA)/productivity, share in GDP, growth rates and
trade/export value-Natural Fibers Industry ................................................................ 9
Import of Textile yarns in the Philippines ............................................................. 10
Natural Fibers – Production Volume ..................................................................... 10
Trade/Export Value ............................................................................................... 13
1.2 Proportion of high tech industry value added in sectoral GVA ............................ 14
1.3 Viz ASEAN world-leading countries, and world averages [including Global
Competitiveness Report (GCR) Innovation Ranking and GCR Technological Ranking
within ASEAN] .......................................................................................................... 14
1.4 Medium and long term targets/plans ................................................................. 19
1.5 Sector Budget (value and as % GDP) ................................................................... 21
2. CURRENT SCIENCE AND TECHNOLOGY LEVEL ................................................... 21
2.1 S&T Knowledge/ Information Of Industry .......................................................... 21
2.2 Technological Level Of Industry ......................................................................... 21
2.3 Survey Of Existing S&T Knowledge/Information, Technology, And Processes ... 22
2.4 Level Of Adoption Of Existing S&T Knowledge/Information, Technology, And
Processes .................................................................................................................. 24
3. GOVERNMENT ASSISTANCE/PROGRAMS IN S&T ADOPTION ............................... 25
3.1 Infrastructure...................................................................................................... 25
3.2 Programs............................................................................................................. 26
4. LINKAGES ................................................................................................................ 32
5. RESEARCH AND DEVELOPMENT AGENDA ............................................................. 45
6. GAPS AND STRATEGIC CHALLENGES ..................................................................... 48

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Table of Figures

Figure 1.1 Gross Value Added of Manufacture of Furniture at Current Prices in the
Philippines..................................................................................................................... 2
Figure 1.2 Gross Value Added of Manufacture of Furniture at Constant 2018 Prices in
the Philippines............................................................................................................... 3
Figure 1.3 Percent Share of Manufacture of Furniture at Current Prices in the
Philippines..................................................................................................................... 4
Figure 1.4 Percent Share of Manufacture of Furniture at constant 2018 Prices in the
Philippines..................................................................................................................... 4
Figure 1.5 Growth Rates of Manufacture of Furniture at Current Prices in the
Philippines..................................................................................................................... 6
Figure 1.6 Growth Rates of Manufacture of Furniture at Constant 2018 Prices in the
Philippines..................................................................................................................... 6
Figure 1.7 Export of Woodcrafts and Furniture at Current Prices in the Philippines ..... 7
Figure 1.8 Export of Woodcraft and Furniture at constant 2018 Prices in the Philippines
...................................................................................................................................... 7
Figure 1.13 Production of Abaca Fibers per Region 2020 (in thousand metric tons) .... 11
Figure 1.14 National Bailing of Natural Fibers 2015-2019 (in bales of 125 kg) ............. 12
Figure 1.15 Philippine Export of Natural Fibers 2016-2019 with other ASEAN Countries
(in USD) ....................................................................................................................... 13
Figure 1.16 Performance Overview 2019-Philippines ................................................... 15
Figure 1.17 Overview of the Philippines Rankings in the Seven GII Areas.................... 17
Table 1.7 Overview of the Strengths and Weaknesses of Philippines in the GII 2020 ... 17
Figure 1.18 Rank of Philippines in Terms of Innovation Pillar Ranking ....................... 18
Figure 1.19 Rank of Philippines in Terms of Technological Readiness Pillar Ranking . 18
Figure 2.1 Process Flow of the traditional fiber extraction for pineapple fiber ............. 23
Figure 2.2 Process flow of modern/mechanical extraction of Pineapple fiber .............. 23
Table 4.1 Raw Material Suppliers Information ............................................................. 33
Table 4.2 Finished Product Suppliers Information ....................................................... 38
Table 6.1 Strategic Challenge and Framing Question ................................................... 55
Table 6.2 Political Driving Forces................................................................................. 56

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BACKGROUND

The Furniture Industry is a highly heterogeneous and labor intensive industry. As a

finished good, furniture utilizes a vast variety of raw materials (rattan, wood, metal,
plastic, mixed media, etc.) to produce several product lines (e.g.: chairs, tables, beds,
cabinets, accent pieces) from creative and innovative designs. Due to its extensive supply
chain and labor needs, the industry provides thousands of jobs to craftsmen and workers
as well as to raw material harvesters and traders. Unlike other industries, furniture
demand is consumer driven, making marketing and design highly important where
competition to grab a share of the roughly 400 billion USD global market is stiff.

Philippine furniture manufacturers are known for their expertise in craftsmanship,

hand-made work (e.g. carving, weaving), antique reproduction, hand-finishing, and
strict quality assurance, applied to good design. Known as among the world’s best in
terms of design and quality, Philippines is regarded as “the Milan of Asia”. Filipinos
almost by nature are artistic, given even the scantiest of resources a Filipino craftsman
can turn even an egg shell into a design masterpiece.

On the other hand, the Natural Fibers Industry derives its fibers from bio-based sources
and animal origin. Natural cellulosic fibers are extracted from plants and are classified
into three (3) categories: fruit fibers, bast fibers, and leaf fibers. Different natural
cellulosic fibers are usually used for textile and technical applications. Cotton, jute, coir,
hemp, abaca, pineapple, ramie, and bamboo, to name a few, are natural cellulosic fibers.
While wool and silk are examples of protein-based fibers. Natural fibers yield high
potential applications in various industries for its abundance, availability, and cost-
effective production.

Commonly known application of the natural fibers is to produce textiles used for
garments, wearables and other hand woven products. The textile industry can be
categorized into two sectors, primary and secondary processing. The primary processing
is the conversion of fiber into fabrics and the secondary processing is manufacturing of
textile and garments – clothing and other wearing accessories like hats, handkerchiefs
and other related products.

While development of consumer or commercial textiles put emphasis on comfort and

aesthetics, technical textiles are developed for its functionality. Technical textiles
include textiles for automotive applications, medical textiles, geotextiles, agrotextiles,
and protective clothing. The sector is expanding, growing, and supports a vast array of
other industries. However, only about 20% of technical textiles produced worldwide are
crafted from natural fibers such silk, cotton, and wool as 80% are still made from man-
made fibers such as nylon, polypropylene (PP), and viscose.

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1. PERFORMANCE

PERFORMANCE OF THE FURNITURE INDUSTRY

1.1 Sectoral Gross Value Added (GVA)/productivity, share in GDP, growth rates and
trade/export value- Furniture Industry

Furniture Industry Sectoral Gross Value Added (GVA)/productivity and growth rates

The gross value added of the furniture industry in the Philippines at current prices and
constant 2018 prices from 2017-2019 is represented in Figures 1.1 and 1.2. The data were
tabulated per year and per quarter of each respective year.

Data shows that the gross value added at current prices for the year 2019 was 22,429
million pesos which was 10.16% higher than the previous year’s GVA of 20,361 million
pesos. On the other hand the gross value added at constant 2018 prices for year 2019 was
16,722 million pesos which was 17.87% lower than the previous year's 20,361 million
pesos GVA.

From 2017 to 2019, the gross value added of the Furniture industry in the country at
current prices grew at an average annual rate of 2.6 percent, from 21,406 million pesos
in 2017 to 22,429 million pesos in 2019. On the other hand, there was an average decrease
in an annual rate of 5.8% from the constant 2018 prices from year 2017 with 19,175
million pesos to year 2019 with 16,722 million pesos.

Figure 1.1 Gross Value Added of Manufacture of Furniture at Current Prices in the Philippines

Source: PSA, National Accounts of the Philippines

Unit: in million Philippine pesos
As of May 2020, at current prices

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Figure 1.2 Gross Value Added of Manufacture of Furniture at Constant 2018 Prices in the Philippines

Source: PSA, National Accounts of the Philippines

Unit: in million Philippine pesos
As of May 2020; at constant 2018 prices

Table 1.1 Gross Value Added of Manufacture of Furniture at current prices and constant 2018 prices.

Gross Value Added of Manufacture of Furniture in the Philippines

Quarter 1 Quarter 2 Quarter 3 Quarter 4 Annual

At Current Prices

2017 4,747 4,155 4,161 8,343 21,406

2018 4,550 3,810 3,821 8,180 20,361

2019 4,644 4,132 4,519 9,134 22,429

At constant 2018 Prices

2017 4,538 4,128 3,785 6,723 19,175

2018 4,554 4,045 4,123 7,640 20,361

2019 3,207 3,162 3,918 6,435 16,722

Source: National Accounts of the Philippines
Unit: in million Philippine pesos; As of May 2020

Figure 1.3 and Figure 1.4 represent the percent share of furniture in the Philippines at
current prices and constant 2018 prices, respectively. The data were tabulated per year
and per quarter of each respective year as seen in Table 1.2. It shows that the percentage
share at current prices of the furniture industry in the country declined by 0.1 percent
from year 2017 to year 2018 and became constant from year 2018 to 2019. On the other
hand, the percent share at constant 2018 prices from year 2017 to 2018 is constant and
declined by 0.1 percent from 2018 to 2019.

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Figure 1.3 Percent Share of Manufacture of Furniture at Current Prices in the Philippines

Source: PSA, National Accounts of the Philippines

Unit: in Percent
As of May 2020; at current prices

Figure 1.4 Percent Share of Manufacture of Furniture at constant 2018 Prices in the Philippines

Source: PSA, National Accounts

Unit: in Percent
As of May 2020, at constant 2018 prices

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Table 1.2 Percent Share of Manufacture of Furniture at current prices and constant 2018 prices
Percent Share of Manufacture of Furniture in the Philippines

Quarter 1 Quarter 2 Quarter 3 Quarter 4 Annual

At Current Prices

2017 0.6 0.6 0.6 0.8 0.7

2018 0.6 0.5 0.5 0.7 0.6

2019 0.5 0.5 0.6 0.8 0.6

At constant 2018 Prices

2017 0.6 0.5 0.5 0.7 0.6

2018 0.5 0.5 0.5 0.8 0.6

2019 0.4 0.3 0.5 0.6 0.5

Source: PSA, National Accounts of the Philippines
Unit: in Percent

Table 1.3 Growth Rates of Manufacture of Furniture at current prices and constant 2018 prices.

Growth Rates of Manufacture of Furniture in the Philippines

Quarter 1 Quarter 2 Quarter 3 Quarter 4 Annual

At Current Prices

2017-2018 -4.2 -8.3 -8.2 -1.9 -4.9

2018-2019 2.1 8.4. 18.3 11.7 10.2

At constant 2018 Prices

2017-2018 0.4 -2 8.9 13.6 6.2

2018-2019 -29.6 -21.8 -5 -15.8 -17.9

Source: PSA, National Accounts of the Philippines
Unit: in Percent

Growth rates of manufacture of furniture in the Philippines are represented in Figures

1.5 and 1.6 at current prices and constant 2018 prices below, respectively. The data were
tabulated per year and per quarter of each respective year in Table 1.3. Table 1.3 show
that the annual growth rate of manufacture of furniture grew 15.1 percent from 2017 to
2019 at current prices while at constant 2018 prices, the growth rate declined by a big
factor.

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Figure 1.5 Growth Rates of Manufacture of Furniture at Current Prices in the Philippines

Source: PSA, National Accounts of the Philippines

Unit: in Percent
As of May 2020; at current prices

Figure 1.6 Growth Rates of Manufacture of Furniture at Constant 2018 Prices in the Philippines

Source: PSA, National Accounts of the Philippines

Unit: in Percent
As of May 2020, at constant 2018 prices

Trade/Export Value

Figure 1.7 and Figure 1.8 represent the export of woodcrafts and furniture industry in the
Philippines at current prices and constant 2018 prices, respectively. The data were
tabulated per year and per quarter of each respective year as seen in Table 1.4. Export
value at current prices for year 2019 was 17913 million pesos. This was 13% lower than
the level a year ago of 20,521 million pesos export value at constant 2018 prices for year

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2019 with 20,027 million pesos was 2.4 lower than the level a year ago with 20,521 million
pesos.

From 2017 to 2019, woodcrafts and furniture export value in the country at current prices
declined at an average annual rate of 40 percent, from 62,259 million pesos in 2017 to
17,913 million pesos in 2019 while it also contracts at an average annual rate of 36% at
constant 2018 prices from year 2017 with 65,950 million pesos to year 2019 with 20,027
million pesos.

Figure 1.7 Export of Woodcrafts and Furniture at Current Prices in the Philippines

Source: PSA, National Accounts of the Philippines

Unit: in million Philippine pesos
As of May 2020, at current prices

Figure 1.8 Export of Woodcraft and Furniture at constant 2018 Prices in the Philippines

Source: PSA, National Accounts of the Philippines

Unit: in million Philippine pesos
As of May 2020, at constant 2018 prices

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Table 1.4 Export of Woodcrafts & Furniture at current prices & constant 2018 prices.

Export of Woodcrafts and Furniture in the Philippines

Quarter 1 Quarter 2 Quarter 3 Quarter 4 Annual

At Current Prices

2017 9,542 32,882 13,988 5,848 62,259

2018 5,367 5,137 4,870 5,147 20,521

2019 4,617 4,242 4,502 4,552 17,913

At constant 2018 Prices

2017 24,125 16,240 13,716 9,869 65,950

2018 7,150 5,261 4,191 3,919 20,521

2019 4,529 4,982 5,240 5,275 20,027

Source: PSA, National Accounts of the Philippines
Unit: in million Philippine pesos, as of May 2020

Table 1.5 Export of Furniture in the Philippines and other Countries

2016 2017

Country Quantity FOB Quantity FOB

Peoples’ Republic of 203,196 4,231,558 91,830 4,065,966

China

Hongkong 50,572 1,003,658 24,555 157707

Japan 4,257,157 43,149,359 6,554,010 74,278,455

Republic of Korea 151,741 3,148,821 248,693 4,327,060

Malaysia 320,307 1,546,729 41,372 1,669,233

Netherlands 3,567,197 13,284,627 882,194 15,877,224

Singapore 49,510 978,483 25,134 1,090,882

Thailand 267,678 1,875,613 63,092 2,265,467

United States of 5,131,187 81,078,909 16,689 92,974,088

America
Source: Philippine Statistics Authority

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 PERFORMANCE OF THE NATURAL FIBERS INDUSTRY

1.1 Sectoral Gross Value Added (GVA)/productivity, share in GDP, growth rates and
trade/export value-Natural Fibers Industry

Textile Manufacturing Gross Value Added in Manufacturing

The gross value added of textile manufacturing in the Philippines is presented in Figures
1.9 and 1.10 based on current prices. The Textile manufacturing industry had a
decreasing trend in GVA as observed from 2015 to 2017 having an average of -5,102
million pesos which is -9.8 percent decrease every year. GVA started to improve for the
past two years starting from 2018 to 2019 with an average of 1,673 million pesos (3.7
percent) per year increase in GVA.

Figure 1.9 Textile Gross Value Added in manufacturing

Source: Philippine Statistics Authority, National Accounts data

Unit: In million pesos
At current prices

Figure 1.10 Textile Gross Value Added Growth Rate

Source: Philippine Statistics Authority, National Accounts data

Unit: In million pesos
At current prices

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Import of Textile yarns in the Philippines

Most of the raw materials being used in the manufacturing of textile in the country is
imported and as shown in Figures 1.11 and 1.12. An increasing trend in the import of
textile yarn in the Philippines is observed. From 2013 to 2018, an increase of import of
textile yarn averaging 7,757 million pesos per year (16.8 percent) but there is a slight
drop in import in 2019 amounting to 1,069 million pesos (-1 percent) indicating
importation of textile yarn in the Philippines somehow decreased.

Figure 1.11 Textile Yarns Import in the Philippines

Source: Philippine Statistics Authority, National Accounts data

Unit: FOB Value in million pesos
At current prices

Figure 1.12 Textile Yarns Import Growth in the Philippines

Source: Philippine Statistics Authority, National Accounts data

Unit: FOB Value in million pesos
At current prices

Natural Fibers – Production Volume

Abaca fibers are cultivated across 176,549 hectares of farmlands by over 122,758 farmers,
mostly in the Visayas and Mindanao Islands. Abaca production from October to
December 2019 was 17.5 thousand metric tons. This was 2.9 percent lower than the level
in the same period a year ago of 18 thousand metric tons. On the other hand, area
planted/harvested also contracted to 131 thousand hectares from the previous year’s
record of 132 thousand hectares.

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According to the study conducted by the Department of Agriculture (DA) on 2018,
average yearly production of abaca fibers in 2006 to 2016 averaged 67,329 metric tons
and had been decreasing with a rate of 0.8 per year. These continuous decreases,
specifically from 2006, 2007, and 2013, are primarily caused by typhoons that hit major
abaca producing regions such as Bicol, Leyte, Samar, Panay, and some parts of Mindanao.

Bicol Region was recorded as the highest producer of abaca fiber from January to March
of 2020, which shared 37.1% to the national total abaca production. This was followed
by Eastern Visayas and Davao Region at 17.2% and 13.0%, respectively (Figure 1.13).

Figure 1.13 Production of Abaca Fibers per Region 2020 (in thousand metric tons)

Source: PSA, January to March 2020 Crops Production Survey (CrPS)

Eastern Visayas has been one of the top abaca producing regions in the Philippines. It
has abundant plantation of abaca within the region contributing much in the volume of
abaca in the country.

Northern Mindanao ranked 6th in terms of production volume of Abaca with 800 MT
recorded in the first quarter of 2020, accounting 5.30% of the total production in the
country. Bukidnon is the only major producer of abaca in the region but the province
contributed a significant volume to the overall production volume of natural fibers.

In Western Visayas, it can be noted that three provinces identified fiber-based industry
as one of their major manufacturing activities. Aklan is known for its indigenous
fibers/crafts, Antique for abaca weaving, and Iloilo listed woven products. Aklan has the
highest volume of production in 2017 and 2018 both for abaca and piña. The province is
also recognized as the center of the Philippines piña fiber industry where the famous
hand scraped piña fibers (liniwan and bastos) were first produced. The region is also the
major producer of cocoons in the Philippines and Organization for Industrial Spiritual
and Cultural Advancement International (OISCA), a Japanese NGO in Bago City Negros
Occidental, is the only commercial producer of raw silk.

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Aside from abaca, fibers such as cotton, silk, buntal, buri, and raffia are widely
appreciated in the world market. Common fibers used in the region are abaca, coco coir,
silk and piña. In 2019, total bailing of Philippine commercial fibers reached 474,168.20
(in bales of 125 kg) of abaca, 2,072 in coir and 142.3 in piña (Figure 1.8, PhilFIDA, n.d.).
Piña cloth is considered as special fabric used by embroiderers and designers for high end
products such as gowns and barongs. Pineapple-fiber production in 2016 declined from
7.95 MT to 5.79 MT in 2015, a decrease of 27.1%; this increased in 2019 at ~30 MT. The
unstable trend of statistical output is due to the irregular demand of piña cloth as it is an
expensive product. The market of the product is limited to the upper segment of society,
pushing designers to cut cost by finding alternatives (PHL pineapple-fiber output down
27.1% in 2016, 2017)

Figure 1.14 National Bailing of Natural Fibers 2015-2019 (in bales of 125 kg)

Source: Philippine Fiber Industry Development Authority, 2019

Next to Abaca fibers, the country also has coco coir (coconut fibers). Coir is a fibrous
material found in the outer coat of a coconut and is derived from it using a decorticating
machine. With the decortication process, 30% of coir is produced while the remaining
70% is dust. Coir is distinguished from all other natural fibers because of its properties
such as thickness, durability, resiliency and resistance to microbial action and saltwater
damage. Its colors range from light to dark brown depending on the maturity of the nuts
processed. White fiber is generally obtained from green nuts while brown ones are
derived from mature nuts. Products like floor mats, sacks, ropes, fishing nets, and many
more are made from coir.

The domestic sales of the Coco Coir industry from 2011 to 2014 have increased to 24.2%,
from 42.47 Million to 176.3 Million. Traditionally, farmers throw the coconut husks after
harvesting the meat or copra from the fruit. But since the establishment of Coco Coir
Industry, coconut farmers now have an opportunity to generate income from coconut
husks (DTI, 2016). With the collaboration of Philippine Coconut Authority (PCA) and the
PhilFIDA this year, projects for abaca and coconut fibers industry are being deployed to
every region by giving planting materials to the farmers that would help in sustaining
the raw materials of the fiber industry.

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Trade/Export Value

Looking at the natural fiber industry, according to PhilFIDA’s report, the Philippines is
one of the major suppliers of abaca fiber in the world for the production of cordage,
specialty papers (for currency note, stencil paper, teabag, coffee filter/cup, capacitor and
insulation paper, etc.), textiles, furniture and fixtures, handicrafts, novelty items, meat
casing, cosmetics and skin care products, grocery bags, composites for automotive and
construction and other industrial applications. The Philippines is the largest producer of
abaca fiber worldwide with its 87.5% of overall global abaca trade while Ecuador and
Costa Rica supply the remaining 12.5% in 2016 (DA, 2018).

In the ASEAN Region, the Philippines is one of the top exporters of natural fibers. From
2016 to 2018, the country remained unbeatable by being the top exporter of natural fibers
in the region averaging 42,555,018.33 USD worth of exported natural fibers in the last 3
years as presented by in Figure 1.11. However, with 34,857,994 USD worth of exported
natural fibers last 2019, the country placed second after Vietnam with only 1 million USD
deficit. With its top customer in natural fibers, the United Kingdom helped the country
by buying 12,356,178 USD or 35% of overall natural fibers exported by the Philippines
last year.

Figure 1.15 Philippine Export of Natural Fibers 2016-2019 with other ASEAN Countries (in USD)

Source: ASEAN Trade in Goods (IMTS) Dashboard

The natural fiber industry is one of the agriculture sector’s major contributors in terms
of foreign exchange earnings. For the past half-decade, the Abaca industry helped boost
the country's economy from its export earnings with an annual average of P4.7 billion. It
was reported that abaca export in 2018 was 16,143.875 MT earning the country $129.773
million (Jasper Y. Arcalas, Feb 20, 2020; El Niño, storms slashed abaca output in 2019–
PhilFida, businessmirror.com.ph). In recent years, it was perceived that aside from the
substantial contributions of abaca to the economy, its utilization can also provide
numerous ecological advantages. (PhilFIDA, 2018)

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1.2 Proportion of high tech industry value added in sectoral GVA

- No available data

1.3 Viz ASEAN world-leading countries, and world averages [including Global
Competitiveness Report (GCR) Innovation Ranking and GCR Technological Ranking
within ASEAN]

Global Competitiveness Report (GCR)

Figure 1.16 presents the Performance Overview of the Philippines during the year 2019.
According to the Global Competitiveness Report by the World Economic Forum,
Philippines’ overall rank is 64th from a total of 141 economies. The country improved its
rank from the previous edition in the pillars of Institutions (87th), Skills (67th), Product
Market (52nd), Labor Market (39th), Market Size (31st) and Innovation Capability (72nd).
However areas like Infrastructure, ICT Adoption, and Health declined while the rest
remained almost the same compared to the previous edition. The analysis presented in
the Global Competitiveness Report 2019 is based on a methodology integrating the latest
statistics from international organizations and a survey of executives.

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Figure 1.16 Performance Overview 2019-Philippines

Source: The Global Competitiveness Report 2019, World Economic Forum

Innovation Ranking

Table 1.6 show the rankings of the Philippines over the past three years. The country
ranks 50th among 131 economies featured in the Global Innovation Index 2020.
Philippines performs better in innovation outputs than innovation inputs as the country
ranks 70th in innovation inputs which was higher than 2019 and 2018. As for innovation
outputs, the country ranks 41st which is a higher position compared to the previous year
as well as 2018.

Also, according to the GII 2020, the Philippines ranks 4th among the 29 lower middle-
income group economies, while it ranks 11th among the 17 economies in South East Asia,
Asia, and Oceania. The index is a ranking if the Innovation capabilities and results of
world economies. It measures innovation based on criteria that include institutions,
human capital and research, infrastructure, credit, investment, linkages; the creation,
absorption and diffusion of knowledge; and creative outputs.

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Table 1.6 Rankings of the Philippines from 2018-2020

Source: Global Innovation Index 2020

Figure 1.17 is an overview of the Philippines rankings in the seven GII areas. The
Philippines performs best in Knowledge & Technology outputs and its weakest
performance is in Institutions. Table 1.7 is the overview of the Strengths and Weaknesses
of the Philippines.

Strengths for the Philippines are found in five of the seven GII pillars.

 Infrastructure (63): demonstrates strengths in the indicators E-participation (19)

and GDP per unit of energy use (19).
 Market sophistication (86): has strengths in the sub-pillar Trade, competition,
and market scale (20) and in one of its indicators – Domestic market scale (26).
 Business sophistication (29): displays strengths in the sub-pillar Knowledge
absorption (7) and in the indicators Firms offering formal training (7) and High-
tech imports (1).
 Knowledge & technology outputs (26): reveals strengths in the sub-pillar
Knowledge diffusion (8) and in four indicators: Utility models by origin (8),
Productivity growth (6), High-tech exports (3) and ICT services exports (8).
 Creative outputs (57): the indicator Creative goods exports (10) is a strength.

Weaknesses for the Philippines are found in five of the seven GII pillars.

 Institutions (91): exhibits weaknesses in the indicators Cost of redundancy

dismissal (113) and Ease of starting a business (124).
 Human capital & research (86): has weaknesses in the sub-pillar Education (114)
and in three indicators: Expenditure on education (106), PISA scales (78) and
R&D-intensive global companies (42).
 Market sophistication (86): shows weaknesses in the sub-pillar Credit (118) and in
two of its three indicators: Ease of getting credit (113) and Microfinance gross
loans (70).
 Business sophistication (29): the indicator R&D financed by abroad (91) is a
weakness.
 Knowledge & technology outputs (26): displays weaknesses in the indicators
Scientific & technical articles (125) and new businesses (109).

Page 16 of 62
Figure 1.17 Overview of the Philippines Rankings in the Seven GII Areas

Source: Global Innovation Index 2020

Table 1.7 Overview of the Strengths and Weaknesses of Philippines in the GII 2020

Source: Global Innovation Index 2020

Figure 1.18 and Figure 1.19 show the Rank of Philippines in terms of Innovation Pilar
Ranking and Technological Readiness Pillar Ranking. Innovation is the 12th pillar which
is important for economies as they approach the frontiers of knowledge and the
possibility of integrating and adapting exogenous technologies that tends to disappear
while Technological Readiness is the ninth pillar that measures the agility with which
the economy adopt existing technologies to enhance the productivity of its industries,
with specific emphasis on its capacity to fully leverage information and communication
technologies in daily activities and production processes for increased efficiency and
competitiveness. It can be seen in Figures 1.18 and 1.19 that the ranking of the
Philippines in both pillars varies and keeps on declining.

Despite reported competitive advantage in design and craftsmanship, the Philippine

furniture industry is losing competitiveness to regional rivals such as Indonesia and
Vietnam that are upgrading skills and designs. Due to financial crises in its traditional
markets in recent years, the export oriented segment of the local industry suffered
heavily while the local market segment continued to grow despite business environment

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concerns in the country. Faced with growing challenges such as lack of raw materials in
the country but also presented with new opportunities in new and the domestic markets,
strategies on product development, advocacy, marketing, and product developments
have been crafted. Through the effective implementation of these strategies and reforms
in the policy and business environment, the industry can grow sustainably.

Figure 1.18 Rank of Philippines in Terms of Innovation Pillar Ranking

Source: Science and Technology Competitiveness Rankings of the Philippines (2012-2018); DOST November
2017

Figure 1.19 Rank of Philippines in Terms of Technological Readiness Pillar Ranking

Source: Science and Technology Competitiveness Rankings of the Philippines (2012-2018); DOST November
2017

Page 18 of 62
1.4 Medium and long term targets/plans

According to the Furniture Industry Roadmap published in May 2016 by Region 2 CFIP
(Chamber of Furniture Industries in the Philippines), to reach sustainable growth in the
furniture industry we need to focus on Capacity Building, Product Development,
Marketing and Policy Advocacy.

Capacity building involves attaining technological advancement in the Furniture

industry by 2030. The industry should have a sustainable supply of raw materials, readily
available skilled manpower and ensured availability of advance and cost effective
technologies, machinery/equipment and production processes to meet the global
market.

Product development aims for the Philippine furniture industry to become a global
design hub by 2030 having sustainable operation through: thriving domestic and
international markets and a competitive and motivated labor force; diverse range of
furniture and furnishing which vary according to material, function and utility; have
access to markets in which the government has to institutionalize a budget to support
trend gathering, forecasting and sharing; upgraded design education through early
introduction of design awareness appreciation and information, and training assistance
for design students and professional designers and manufacturers; establish sustainable
and environment-friendly raw materials; and establish supply hubs for semi process and
raw materials from local and imported sources.

The furniture industry must seek to provide an effective marketing strategy to make
Philippine furniture the most sought after in Asia with satisfied returning customers and
making Philippine brand a preferred choice thus increasing buyer loyalty that will create
and attract new customers. A Simplified marketing strategy must be developed aligning
furniture design with local, glocal and global customer needs that will make the
Philippine furniture top of mind in Asia creating a market with medium to the high-end
segment of the traditional markets (i.e., North America, Europe, Middle East and Japan),
Asia (specifically, Kuala Lumpur, Jakarta, Shanghai, Ho Chi Minh, Bangkok and
Singapore), and BRICs (Brazil, Russia, India, China, and South Africa).

Policy advocacy that by 2030, we would have attained a conducive environment where
our industry can flourish in both the domestic and international markets through
effective networking & representation with allied industries, government & non-
government institutions while having a competitive & motivated labor force, sustainable
materials, affordable & sustainable capital, efficient government services and adequate
infrastructure.

The industry aims to achieve its vision through the help of advanced technologies that
meet the global market demands and trends, including having sustainable materials;

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improving existing processes; employing available skilled labor; and utilizing advanced
machinery.

In the same way, the Philippine Abaca Industry Roadmap (2018-2022) aims to set the
direction of the Abaca Industry through its short term and long term plans.

For the Short term plans, the high yield of abaca planting materials will support the
rehabilitation of farms damaged affected by typhoons. These high yield abaca planting
materials can be achieved by sourcing seeds from the seedbank of PhilFIDA and
accredited nurseries of LGUs, private sectors, NGOs, and farmers associations.
Establishment of diagnostic laboratories as support facilities for Abaca should also be in
place to assist on the testing of planting materials to prevent the spread of viruses.
Aligned to this should be the research on developing and innovating technologies to
attain the production of disease-free abaca planting materials such as antiserum
production, virus detection techniques, and diagnostic kits (DA, 2018).

Research for the improvement of existing fiber extraction machines which are three-
series spindle stripping machines, autofed decorticating machine, and tandem multi-
fiber decorticating machine should also be undertaken to increase production. Along
with these technologies, deployment of trainings among trainers that would be assisting
the farmers in safe use and maintenance of fiber extraction machines will be conducted.
According to the Abaca Industry Roadmap by the DA, they were 400 trainings targeted
for 2018 and additional 420 trainings for 2020 with a budget of Php 15.1 million and Php
21 million.

With the focus of research on the input supply and processing aspect of the industry,
these plans will elevate the performance of abaca natural fibers not just in production
but also in developing more innovative products that will create more opportunities in
the global market.

Subsequently, the Long term plans aims that aside from the research and development
on the input supply, establishment of Fiber Stripping Center and Abaca Drying Shed as
Common Service Facilities (CSF) should also be pursued to increase fiber production.
Based on the Abaca Roadmap 2018-2022 of Department of Agriculture (DA), the
percentage level of mechanization of the country in Abaca Industry as reflected in the
total of machine extracted fiber in the total bailing is 13.6%. And to increase the level of
mechanization, 1, 996 units of fiber stripping machine and drying shed as CSF should be
establish with a budgetary requirement of Php 399,200 million.

When it comes to the production of abaca fibers, the government eyes to support the
opening of new abaca farms and support for rehabilitation of old and disease freed abaca
farms. These action programs -have a time frame of 4 years (2018-2022) and will be
spearheaded by PhilFIDA with Local Government Units (LGUs), State University Colleges
(SUCs), and the Department of Environment and Natural Resources (DENR). PhilFIDA
and its partners target to treat 7,200 hectares of disease freed abaca farms, an additional
to the accomplished 20,750 hectares treated from 2018-2020.

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1.5 Sector Budget (value and as % GDP)

- No available data

2. CURRENT SCIENCE AND TECHNOLOGY LEVEL

2.1 S&T Knowledge/ Information Of Industry

The Furniture industry is slowly taking its place to become globally competitive.
Philippine furniture is made using the finest sustainably-sourced raw materials such as
hard wood, buri, rattan, bamboo, metal, and other indigenous products. The wood, box
beds and mattresses, office and store fixtures, and plastic furniture subsectors are
products which are usually domestic-oriented while the rattan, and metal sub sectors are
export-oriented.

Yet for the Natural fiber industry, based on the study conducted by Raymund B. Habaras
of De La Salle University-Manila (published May 2008), the textile industry in the country
lags behind those of many Asian countries in the use of state-of-the-art technology.
Many of the Philippines’ textile mills are obsolete as evidenced by the low percentage of
installed or underutilized machines shipped. The Philippines is behind China, Hong
Kong, Korea and other neighboring countries in Asia in terms of technology utilization
and adoption.

2.2 Technological Level Of Industry

Science and technology level of the Furniture industry is quite low and not yet at par
when compared to other furniture manufacturing countries. Mechanization is adapted
but only to a certain level but not yet geared towards automation. Some large-scale
furniture companies are utilizing technologies that are advance such as Computer
Numeric Controlled (CNC) machines but most of the smaller firms are challenged in
acquiring such machines due to the large investment/cost needed to attain such
technologies.

Similarly, the abaca and coconut fibers industry is still at its early stages in the region of
MIMAROPA. With this, some of the farmers still do not have enough knowledge on the
latest technologies needed in their operations and yet to have enough understanding on
natural fibers needed to fully maximize it’s potential.

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2.3 Survey Of Existing S&T Knowledge/Information, Technology, And Processes

Enterprises in the natural fiber manufacturing sector especially those engaged in abaca
fiber and handwoven fabric (abaca pinukpok) and handicrafts production are still
practicing manual labor in their operation because of the unavailability of machineries
in the Philippines that can hasten their production process. Some machines are available
but not suitable in their operations, for instance, natural sun drying is still preferred
since the quality of fibers dried naturally is better as compared to the output of
mechanical dryers.

In Northern Mindanao, the absence of reeling facilities limits the production of more silk
to about 4% in 2015 in the middle of an increasing demand from domestic and foreign
markets. This lack of equipment is the main reason why the region’s silk industry is
behind in raw silk output.
Natural fibers are also commonly associated with the traditional textiles and weaving.
Hand-weaving textile is one of the most interesting crafts of the Philippines, weighed
with immense cultural significance. Some of the numerous beautiful traditional textiles
with distinct textile patterns and motifs in the Philippines are from CAR, Region 1
(Pinilian), and Region 6 (Piña and Hablon). In CAR, production of fabric or textile is done
manually with hand looms, backstrap looms, treadle looms, foot looms and other
traditional equipment and ways of weaving. Preservation of the cultural heritage and
quality are always the priority in the production of products. Keeping the cultural
tradition intact has always been the priority in Cordillera weaving but there is a need to
develop new technologies and processes to address slow mass production without
sacrificing the cultural, traditional, heritage and the quality attributes of the product.
Traditional process of weaving is very laborious making mass production very
challenging. It requires a large production space and a lot of weavers to compete for mass
production. Due to the absence of technology, the industry cannot move forward to
commercialization level. Some firms ventured in the use of developed equipment and
technology such as the Dobby loom but it cannot provide the desired pattern, design,
and quality of fabric or textile produced, it is not as good as the ones produced
traditionally.

Extracting Pineapple fibers are also done traditionally with some technological
integrations in its processes. In the early days, traditional method of extracting fiber in
pineapples relies on the use of simple tools such as seashells, wooden boards, coconut
shell, comb, and even broken plate. The process flow of the traditional method has 12
processes as seen in figure 1.9.

Pineapple fibers are high in cellulose that makes it a good raw material for producing
textiles. When used in garment manufacture, pineapple fiber provides many benefits:
lightweight, low maintenance and it blends well with other fibers. Pineapple fiber has
been in the Philippine history as early as the 16th century while our ancestors are already
familiar with the practice of weaving natural fibers. The use of pineapple fibers were
introduced by Spanish colonizers. Fabrics made from this fiber became popular
especially among Filipino aristocrats as it served as a status symbol for those who wore

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piña barongs or “baros” in the 19th century. However, the use of pineapple fibers in the
textile industry declined in the 1980’s as it failed to compete with more affordable and
readily available cotton fabric. (The Queen of Philippine Fabrics: A glimpse into the
production of Piña, a pineapple-based fiber, 2018).

Figure 2.1 Process Flow of the traditional fiber extraction for pineapple fiber

Source: PCAARD, 2010

The first step involves harvesting of pineapple leaves 1.5 years after planting, these
leaves must be long and broad and only 10 leaves should be harvested for every plant or
hill. Next would be the pre-extraction of leaf spines by pinching the margin portion and
pulling it away. After removing the leaf spines, extraction of fiber would be the next step
by scraping of the leaves using broken porcelain plate, this would gradually expose the
fiber of the leaves. And with the use of comb, next step would be separating the fiber
strands to adhering non fibrous material. The final processes are the washing of the
fibers to removing remaining sap that is produced during the extraction of fiber, cleaning
of the fiber to make sure that other adhering materials are completely separated, and
lastly the filaments are arranged in folds, placed between clean cloths, and are pressed
to dry.
But today, with the use of technology and innovation, the process flow of extracting
pineapple fiber was reduced to 8 main process (as seen in figure 1.10). This is mainly
because of the involvement of decorticating machine that also improved the quantity of
fibers extracted.

Figure 2.2 Process flow of modern/mechanical extraction of Pineapple fiber

Source: PCAARD, 2010

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Decorticating machine is a hold-on type of apparatus where the pineapple leaves are fed
in the feeding chute, and instead of waiting 1.5 years, leaves are harvested after the first
fruiting which is usually only seven months after planting. And compared to the
traditional method, 33 leaves are harvested per plant and are extracted using the
decorticating machine.

These fibers extracted from pineapple are also used in commercial and handmade paper
in making commercial paper, pulp is produced by cooking the fiber in a mechanical
digester using steam or electricity. One problem encountered in the utilization of
pineapple fiber for pulp production is the tendency of the slurry (disintegrated pulp
suspended in water) to lump because of the fineness of the fiber and its exceptional
length (PCAARD, 2010).

Having knowledge on the processing methods of fiber extraction is important in order to

create a standardized manufacturing mechanism. However, PhilFIDA has yet to provide
information on all kinds of fibers.

2.4 Level Of Adoption Of Existing S&T Knowledge/Information, Technology, And

Processes

Science and technology adoption in the industry is being hindered by many factors such
as the lack of management education for middle managers and skilled workers and the
lack of industry marketing campaign and promotion budget in the Philippines which are
also factors that delay the attainment of sustainable growth for the industry. Moreover,
the advancement of science and technology adoption in the furniture industry is slow
due to the high costs of new technologies/equipment making it challenging for smaller
firms to acquire them. Eventually forcing them to cling to traditional equipment in
making their products. Additionally, the preference of some firms in importing processed
raw materials rather than processing locally sourced ones here for finishing their
products is also affecting the adoption of technology for raw material processing.

Problems cited in the adoption and utilization of new technologies are the lack of
available technologies in the Philippines, lack of exposure to updated machineries or
equipment, and the lack of technical know-how/training or limited people/personnel
with the knowledge to properly operate this new technologies. Also, MSMEs have no
financial capacity to invest and adopt this new technologies.

Although low in technology adaptation, MSMEs in the furniture industry believe that in
terms of talent and creativity, the Philippines is at par with other countries, having
skilled workforce (designers, carvers, weavers) which are essential in the furniture
industry. Filipinos have a good sense of design creativity. The ability of most Filipinos to
generate ideas, products, solutions, productive flexibility and the ability to produce more
even with little resources are valuable assets that are very useful in this industry.

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3. GOVERNMENT ASSISTANCE/PROGRAMS IN S&T ADOPTION

Seeing the potential for the furniture and natural fibers (both for commercial textile and
technical applications) industries, the government initiated the following programs,
projects, and activities for these industries.

3.1 Infrastructure

 Fabrication Laboratories (Fab Labs). The Department of Trade and Industry’s (DTI)
Fab Labs became a platform for co-creation and academe-industry-government
collaboration enabling MSMEs to develop new products, add value to existing
ones, and generate new streams of income. These facilities have likewise enabled
the development of low-cost solutions to community challenges and needs. DTI’s
Fab Labs are currently present in fifteen (15) regions providing support and
enabling DTI’s Inclusive Innovation-Led Industrial (I3) Strategy in the
countryside by making available facilities and tapping local experts in creating
new innovations nationwide. Fab Lab is a digital laboratory which grew out of an
initiative by the Grassroots Invention Group and the Center for Bits and Atoms of
the Massachusetts Institute of Technology in 2001 to help grassroots
communities translate their design ideas into physical forms with the help of
technology. Many countries have followed this intervention and such type of
facility is now present in about 200 locations in over 50 countries.
 Provision of Shared Service Facilities. The SSF Project is a major component of DTI's
MSME Development Program and aims to improve the competitiveness of MSMEs
by providing them with machinery, equipment, tools, systems, skills and
knowledge under a shared system. The program aims to boost the productivity of
MSMEs by giving them access to technologies and better equipment, and trainings
to provide them up-to-date methods, trainings and management skills in
handling their business. One Town-One Product program also enables local
communities to determine, develop, support and promote products or services
rooted in local culture and competitive advantage through OTOP Next Gen. Part
of the program is technological upgrade of production process, design or
improving skills or competitiveness.
 Raw Materials Highway/Supply Chain Project. CFIP has completed identifying
suppliers and subcontractors in Quezon. DTI-ROG signed a MOA with Gumaca
Woodcraft Association for the grant of 3 kiln dryers worth PhP 11 million under
DTI’s Shared Service Facilities (SSF) program. DTI-ROG also approved SSFs
consisting of a woodworking facility, bamboo production facility and metal
fabricating machine worth PhP 9 million and CNC Multi-cam Machine and Spindle
less Veneer Lathe.
 DOST-PTRI’s Innovation Center for Yarns and Textiles (ICYT). The center seeks
to develop indigenous fibers into yarns and fabrics through carding, spinning,

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 handloom weaving, power loom weaving and knitting facilities with strict
compliance to quality assurance standards (DOST-PTRI, 2018).
 DOST-PTRI’s Regional Yarn Production and Innovation Center (RYPIC). The RYPIC
is located in Iloilo Science and Technology University (ISAT-U) Miagao Campus.
Established in 2019 to address the challenge of reviving the country’s local textile
manufacturing, with strong weaving and allied sectors as well as availability of
raw materials particularly in in region 6 (Western Visayas) in collaboration with
ISAT-U for innovation initiatives, the Great Women Philippines Corporation for
commercialization, and the Local Government Unit of Miagao for support through
mobilization of its community for cotton plantation and the usage of yarn by the
local weavers.
 Tissue Culture Laboratories. A number of tissue culture laboratories are present in
academic institutions across the country. Some of these laboratories are located
in Visayas State University (VSU) and Southern Leyte State University (SLSU)
which provide a controlled environment conducive for the growth and
multiplication of plant species needed for the development of natural fibers.

3.2 Programs

Department of Science and Technology (DOST)

 Small Enterprise Technology Upgrading Program (SETUP). This program aims to
encourage and assist MSMEs in adopting technological innovations. The
technological-based solutions expect to enhance operational efficiency, boost
improvement and competitiveness. The program intends to strengthen the
country’s innovation system by enabling enterprises to address their
technological requirements and limitations to improve productivity and
efficiency through:

o Application of appropriate technologies to improve/develop products,

services and/or operations;
o Human resource training, technical assistance and productivity
consultancy services (MPEX, CAPE, CPT/EA)
o Assistance for compliance to regulatory and market standards such as
testing and calibration services
o Provision of financial assistance to facilitate acquisition of appropriate
technologies and/or implement technological innovations (SETUP
iFund)

 The Community Empowerment through S&T (CEST) Program. This program aims
to empower communities through S&T interventions in various sectors
including livelihood/ economic enterprise development.
 Collaborative Research and Development to Leverage Philippine Economy
(CRADLE). CRADLE encourages synergistic relationship between the academe,
research and development institutions and the industry through collaborative
R&D projects. Under the CRADLE program the private sector industry will

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 identify the problem and the HEI/RDI will undertake the R&D to solve the
problem
 Balik Science Program (BSP). Through Balik Science Program (BSP), Filipino
scientists, technologists, and experts are encouraged to return to the country
and share their expertise in order to promote scientific, agro-industrial, and
economic development, including the development of our human capital in
science, technology and innovation.
 Business Innovation through S&T (BIST). BIST aims to facilitate the acquisition
of strategic and relevant technologies by Filipino companies for immediate
incorporation in their R&D activities. This program will contribute to the
technology development value chain as it provides the means for the industry
to undertake R&D and acquire advanced technology for global
competitiveness. Through BIST, the government will assist Filipino companies
in pursuing Research and Development (R&D) and investing in new
technologies, to enhance the competitiveness of Filipino companies.
 One Expert. One Expert is an interactive web-based nationwide pool of S&T
experts intended to provide technical advice and consultancy services to
Filipinos anywhere they are in the Philippines of which the Furniture Industry
is also included.
 Forest Product Research and Development Institute (FPRDI). DOST-FPRDI
improves the utility of wood and other forest products through research and
development for secondary and tertiary processing. The institute offers
technical services and conducts training programs nationwide through DOST
regional offices. In Region 8, the institute launched the DIY Bamboo Shelter
which helped the housing needs of Typhoon Yolanda victims. Furthermore,
the Local Government Unit of Gloria in Oriental Mindoro is in partnership with
the DOST and the Forest Research Product and Development Institute (FPRDI)
in assisting the Bamboo Makers Association of Gloria (BMAG) through
trainings on planting, harvesting, producing bamboo-based products and
provision of machines and equipment to fully utilize the vast resources of
bamboo in the municipality through the project “Establishment of Common
Service Facility for Engineered Bamboo Furniture and Handicrafts.

Department of Trade and Industry (DTI) and Board of Investments (BOI)

 Product Development. The Design Center of the Philippines (DCP) launched the
Product Development Sourcebook, a compilation/documentation of possible
indigenous raw materials for furniture production in March 2014. For the
Sourcebook, nine (9) designers were contracted to produce designs for 16 selected
companies which financed/produced prototypes of the designs. The exhibit of
prototypes was done in March 2014 during the Philippine Furniture Show.

 Revision of DENR DAO 99-46. A meeting between CFIP and DENR’s Forest
Management Bureau (FMB) was set to discuss the industry’s concern on the

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 revision of the DAO 99-46, particularly on the importation of wood and the
required authentication by Philippine Consular Offices since it is no longer
implemented by other countries. FMB clarified that the proposed revision is still
under consultation and recommended to concerned stakeholders to submit a
position paper on the issue.
 1st Philippine Homestyle Congress. The event funded by the DTI IDP was conducted
in September 2014 to formulate the strategies that would address the concerns of
the Homestyle industry, particularly with the coming ASEAN integration. More
than 200 exporters and manufacturers participated in the event.

 DTI Assistance on marketing Linkages and Promotions through Trade Fairs and
exhibits.
 Small Business Corporation. The Corporation's credit facilities includes wholesale
and retail lending programs, which targets banks engaged in MSME lending, and
pre-bankable small to medium sized businesses. CARES Financing Program which
is 0.5% interest only, one year grace period, payable in 1 to 2 years depending on
the business.

Philippine Fiber Industry Development Authority (PhilFIDA)

 As the government agency in charge of developing and sustaining the fiber
industry of the country, the agency works to achieve an industry capable of
meeting the global demands for renewable and environment-friendly materials.
PhilFIDA pursues a range of programs particularly for the development of disease
resistant and high-yielding planting materials, sustainable disease management
program, improved fiber extraction machines and the acquisition of sustainability
certification to produce high-quality abaca fibers. In the quest for the production
of improved abaca varieties, the agency operates five (5) tissue culture
laboratories (TCL) located in Albay, Sorsogon, Catanduanes, Leyte and Davao
City. For other research and development, PhilFIDA is also spearheading
programs in Northern Mindanao through Varietal Improvement (Crop Breeding,
Biotechnology) · Pest Management (Crop Protection, Entomology, Pathology) ·
Production Systems (Agronomy and Cropping Systems, Agricultural Engineering,
Cultural Management) · Fiber Processing (Production Development and
Utilization) · Socio-economics and Statistics (Economics, Impact Assessment,
Market Research, Technology Adoption and Utilization, Industry and Production
Data Management) mainly to develop, produce and make available to farmers
high-yielding and virus-free Abaca planting materials. In partnership with the
National Commission for Culture and Arts (NCCA), PhilFIDA is also helping the
local loom weavers in Northern Mindanao by providing them working space as
well as some equipment and machinery that could really help boost both
production and profits.

Export Management Bureau (EMB)

 EMB provides assistance to the industry for foreign trade shows through the
Regional Interactive Platform for Philippine Exporters (RIPPLES) program.
RIPPLES is jointly implemented by the Export Marketing Bureau (EMB), the DTI’s
Regional Operations Group (DTI-ROG), and the Philippine Trade Training Center

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 (PTTC). It aims to expand the supply base of internationally-competitive
Philippine export products and services by extending strategic company-level
interventions such as capacity building training, product development, market
information, global product trends to participating companies to make them
export-ready, or to enhance their export capacity and competitiveness. The
Program prepares these companies to compete in terms of volume, quality, price,
packaging, compliance with market entry requirements, rules and regulations,
and design leadership, or alignment with current design trends. When deemed
export-ready, these companies are matched with prospective foreign buyers, and
their products are promoted in the export market.

Department of Finance (DOF)

 Department of Finance. MSMEs from Region 7 reported that they have availed of
the agencies financing and loan programs
Department of Tourism (DOT)
 Department of Tourism provides training and information to the furniture makers
in Region 7.
Development Bank of the Philippines (DBP)
 DBP provides loan assistance for MSMEs.
Capacity Building/ Human Resources Development
 Technical Education and Skills Development Authority (TESDA). TESDA offers
furniture making (finishing) NC II course which consists of competencies that will
enable and efficiently prepare surfaces for final coating, apply final coating using
spray gun system and perform basic preventive maintenance servicing for spray
gun equipment and booths. Bamboo Processing (Engineered-Bamboo) NC II is
also offered.

 DOST-PTRI in partnership with TESDA developed a training program for the

handloom weaving industry. Aside from developing the curriculum, TESDA will
also review and update existing training courses, outlines and training materials
to align with Philippine Qualifications Framework (PQF). Handloom Weaving
(Upright) NC II is one of the 2 new Training regulations (TRs) that were
promulgated on February 2020 (TESDA, 2020).

 The Department of Science and Technology-Science Education Institute (DOST-SEI)

offers scholarships for undergraduate studies. Among several options, here are
some courses that can somewhat be applied in aspects of the Furniture and
Natural Fibers industry value chain:

o Agricultural and Biosystems Engineering

o Agricultural Biotechnology(at UP System only)
o Agricultural Chemistry
o Agricultural Economics

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 o Agricultural Engineering
o Agricultural Technology
o Agriculture
o Chemistry with Materials Science and Engineering
o Environmental Science
o Forestry
o Industrial Design
o Industrial Engineering
o Manufacturing Engineering
o Materials Engineering

 Board of Investments (BOI), CFIP and TESDA discussed the training programs
required by CFIP. TESDA committed to offer scholarship programs for furniture
training with CFIP’s commitment to absorb 70% of the trained students.
 Abaca Technology Innovation Center (ATIC) Project of the Catanduanes State
University (CSU). As a project to complement the province’s abaca development
program, it has received an P8-million funding from the Department of Science
and Technology (DOST) in the third quarter of 2018 with a P500, 000.00 equity
from the university. The ATIC project has the following hubs, namely
o Techno Hub 1 (Development of Non-Traditional Applications of
Abaca)
o Techno Hub 2 (Abaca Post-Harvest Facilities Improvement)
o Techno Hub 3 (Abaca Information System) with Prof. Maria
Concepcion S. Vera as Project Leader.
 National Abaca Research Center (NARC – VSU). Mandated to help uplift the abaca
industry by actively involving itself in the research and extension work on the
fiber industry to be able to improve the quality of abaca fiber, thus adding more
value to the product. Technologies developed by National Abaca Research Center
(NARC) – VSU are as follows:
o Cover Crops for Abaca Intercropping Annual Crops with Abaca
o Intercropping Abaca With Established Fruit Trees
o Portable Engine-Powered Abaca Spindle Stripping Machine
o Village-Level Abaca Twisting Machine
o Village-Level Abaca Twining & Twisting Machine
o Village-Level Pulping Machine
o Village-Level Handmade Paper Dryer
o Collapsible Molders
o Abaca Slicer-Shaver
o High Value Handicraft Products From Abaca Wastes And Reject
Fiber
o Handmade Paper From Abaca Stripping Wastes And Fiber Wastes
o Mushroom Culture Using Abaca Wastes
o Yarning Machine
o Portable Abaca Spindle Stripping Machine

 Aid on Additional Workforce and Capacity Building. Some universities and colleges
assist the industry in providing additional workforce through their student
interns:
o Cebu Technological University (CTU)

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 o University of the Philippines (UP) - Diliman
o Bohol Island State University (BISU)

COVID-19 Pandemic Assistance to the MSMEs

To aid the Philippine industries (Furniture and Natural Fibers industry included) and
Filipino workers in the global economic crisis during the COVID-19 pandemic, several
government programs were laid out such as:
o DOLE’s Covid-19 Adjustment Measures Program (CAMP)
o SSS’s Small Business Wage Subsidy (SBWS)
o DSWD and LGU’s cash and food assistance programs
o DOST provided a refund moratorium for the SETUP iFund
beneficiaries.

Government support in expanding market reach is very crucial since furniture demand is
consumer driven, making marketing and design highly important. This is a great
challenge for the government as to how to help the business owners in attaining
sustainable growth and to compete for a share in the roughly 400 billion USD global
market of the furniture manufacturing industry. Government assistance/programs
should be properly delineated to avoid overlapping of functions and waste of resources.

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4. LINKAGES

Most of the furniture manufacturers and entrepreneurs are members of various regional
furniture industry associations. The associations have given the MSMEs assistance on
the awareness of technologies, capacity building activities and assistance to product
exhibits. MSMEs also gained knowledge on the available government programs for their
sector through sharing of experiences with other members of their association. Some of
the industry associations are as follows:
● Region 8 - Crystal Mountain Farmers Association (CMFA) in Northern Samar and
Legaspi-Veloso Furniture Makers Association in Samar
● Region 3 - Pampanga Furniture Industries Foundation Incorporated
● Region 7 - Cebu Furniture Industries Foundation
● CARAGA - Butuan-Agusan Chamber of Furniture Makers Foundation

In MIMAROPA, there are a few cooperatives, associations, and organizations of

manufacturers of furniture in the region and they have unconsciously built a network
due to the tight competition. Although they hide their methods and strategies on making
designs, they are all familiar with what type of furniture their co-manufacturers are
making.

Furthermore, a total of 157 patent libraries within institutes and universities have been
established in Cambodia, Indonesia, Malaysia, Philippines, Thailand, and Vietnam with
the aim of increasing access to global scientific and technology information for research
and development as of March 2019. These patent libraries provide innovators with access
to locally based, high-quality technology information and related services, helping them
exploit their potential, and to create, protect, and manage their IP. Efforts to promote
and commercialize IP is also done through regional IP fairs, such as the ASEAN Furniture
Design Competition, which was organized by the Department of IP (Thailand) in 2018,
under the theme of ‘Creative ASEAN’, which saw many innovative submissions from
aspiring furniture designers in this region (ASEAN Integration Report 2019).

Conversely, although MSMEs in the Weaving industry are actively involved with the
trainings and seminars conducted by government agencies and private sectors wherein
majority of them are part of the organization, there is limited to nil coordination and
feedback mechanism among organizations and the stakeholders involved. Linkages
among the stakeholders must be established in order to create a centralized platform for
the weaving industry to enhance their market reach and even create an opportunity to
export woven products abroad on a commercial level.

As a result, it was suggested that a database of suppliers of raw materials, machines,

equipment supplier and finished product supplier information for both the Furniture and
Natural Fiber Industry be developed. During the Stakeholders Verification workshop,
these and a centralized platform for producers and consumers were some suggestions in
order to address the lack of coordination and strengthen the linkage between industry
players. For the Natural Fiber Industry, PhilFIDA published the “Directory of Licensed
Fiber Industry Stakeholders” providing a compilation of updated information of all
Page 32 of 62
licensed and registered fiber traders, exporters, buying stations, processors/
manufacturers in the country that can be accessed by interested clients both here and
abroad.

Having access to information such as where to source raw materials, what raw materials
are available, what are the current prices, etc. is for the benefit of the stakeholders
themselves. Below is a collection of available information of industry Stakeholders and
MSMEs from the Furniture and Natural Fiber Industry Sector.

Table 4.1 Raw Material Suppliers Information

Raw Material Suppliers Information

(Sector)
Regi Name of
Address /Location Contact Person/ Contact Details List of Raw Materials
-on Producer/Supplier
Produced / Equipment
165 Kaingin Road, Ching Ka Lee
IV Abatex Manufacturing Co. Balintawak, Quezon (02) 415-4107 / 361-5241 (Natural Fiber) Abaca Pads
City, Metro Manila [email protected]
Abuno Abaca Fibers & Zone 3, Panul-iran, Mr. Wilson Chupuico
X (Natural Fiber) Abaca
Marketing Coop. Abuno, Iligan City 09279446875
Agoho, Mambajao,
X Agoho MPC Mr. Godofredo Dollera (Natural Fiber) Abaca
Camiguin
Old Manunca, Sta.
VIII Aj Ocasla Enterprises Amado J. Ocasla (Natural Fiber) Abaca
Rita, Samar
Alberto Espregante Abaca Jamorawon,
VIII Alberto Espregante (Natural Fiber) Abaca
Trading Almeria, Biliran
Pinamonoan, Andreo Garcia
VIII Andreo Garcia (Natural Fiber) Abaca
Mahaplag, Leyte 0926-502-5380
Baloi, Lanao del Mr. Abdisa Arumpac
X ANF Abaca Enterprises (Natural Fiber) Abaca
Norte 09173232481
Don Angel Salazar
Antique Development Rhodora E. Pon-An
VI St., Atabay, San (Natural Fiber) Abaca
Foundation Inc., 0917-801-2896
Jose, Antique
(Natural Fiber)
Artvivant Incorporated Maduya, Carmona, Jonalot B. Binlayo
IV Abaca/Raffia Handwoven
Ptc-Sez, Cavite (046) 430-3440 to 41
Fabrics, Wall Coverings
Matthew B. Lazaro Vice
Asia Textile Mills, Brgy. San Cristobal,
IV (02) 736-9113 (Natural Fiber) Textiles
Incorporated Calamba, Laguna
[email protected]
Atilano C. Pormida
VIII Atilano C. Pormida Oras, Eastern Samar (Natural Fiber) Abaca
0917-723-2594
Apovel, Cagayan de
X Azpin Enterprises Ms. Wilma Pinero (Natural Fiber) Abaca
Oro City
Delabayan,
Ms. Nor-ain Manso
X B and N Abaca Trading Kauswagan, Lanao (Natural Fiber) Abaca
09128840792
del Norte
Pendulan, Poona
Baby Pink Abaca Trading Mr. Ibrahim Acoon
X Piagapo, Lanao del (Natural Fiber) Abaca
& Gen. Mdse. 09480564929
Norte
Capacujan, Palapag,
VIII Babylene C. Laoreño Babylene C. Laoreño (Natural Fiber) Abaca
N. Samar
Bag-ong Paglaum sa mga
Guihean, Impasug- Ms. Norijean Lumanoy
X Kababaenhan sa Brgy. (Natural Fiber) Abaca
ong, Bukidnon 09057499570
Guihean
Pigtauranan,
Ms. Leonila Secadron
X Bayanihan Millenium MPC Pangantucan, (Natural Fiber) Abaca
09972074223
Bukidnon
Poblacion, Hindang,
VIII Benedicto L. Yanola Benedicto L. Yanola (Natural Fiber) Abaca
Leyte
Balite, Kawayan,
VIII Benjie F. Comedero Benjie F. Comedero (Natural Fiber) Abaca
BIliran
Nenita, Mondragon, Nelly D. Buque
VIII B-Joy Store & Abaca Buyer (Natural Fiber) Abaca
Northern Samar 0918-633-7356
Geratigan, Lope de Bobby Saludario
VIII Bobby Saludario (Natural Fiber) Abaca
Vega 0920-715-8089
Malinao, Mahaplag, Brian Mayingque
VIII Brian Mayingque (Natural Fiber) Abaca
Leyte 0936-580-8501

Page 33 of 62
 P-2, Buenavesta,
Buenacama Agrarian Ms. Merlyn Acuram
X Tudela, Misamis (Natural Fiber) Abaca
Reform Coop. 09104288209
Occidental
East, San Jose, Beatriz Bueño
VIII Bueñano Trading (Natural Fiber) Abaca
Northern Samar 09561157623
Burauen Copra & Abaca Sto. Niño Street, Enriquita Tan
VIII (Natural Fiber) Abaca
Buyer Burauen, Leyte 0998-852-5920/ 0999-203-2205
Poblacion, Libacao, Rolly I. Asiong
VI Busog Abaca Trader (Natural Fiber) Abaca
Aklan 0910-125-4693
Mr. Somilo Lobitana
X Carmel Abaca Traders Bayug, Iligan City (Natural Fiber) Abaca
09063501240
2F A-207 City Time
Square 2, Mantawe Lovely Flores
Cebu Furniture Industries
VII Ave., Tipolo, 328-1028 (Furniture)
Foundation, Inc.
Mandaue City, 6014 [email protected]
Cebu, Philippines
Cablangan,
Centralized Farmers Roberto C. Estopace
VIII Mondragon, (Natural Fiber) Abaca
Associatio 0930-579-7880
Northern Samar
Las Navas, Northern Cepriano T. Mercader, Jr.
VIII Cepriano T. Mercader, Jr. (Natural Fiber) Abaca
Samar 0917-527-6517
Hilapnitan, Baybay Antonio San Ramon
VIII Ching Bee Trading Corp. (Natural Fiber) Abaca
City, Leyte 0917-633-6924
Cjn Abaca And Copra San Jose St.
VIII Nelson R. Liporada (Natural Fiber) Abaca
Trading Burauen, Leyte
Mabugat Road, Arlan Christopher Lua
Clear Export Industries,
VII Tabok, Mandaue 3466-852 (Furniture)
Inc.
City [email protected]
Sto. Rosario, Naval,
VIII Cleofe Robenta Cleofe Robenta (Natural Fiber) Abaca
Biliran
Lower Caynaga,
VIII Cornelio B. Bordan Lope de Vega, N. Cornelio B. Bordan (Natural Fiber) Abaca
Samar
Brgy. Quipot,
VI Deogracias Catilo Deogracias Catillo (Natural Fiber) Abaca
Janiuay, Iloilo
Villa Cornejo,
VIII Deolito J. Monfiel Deolito J. Monfiel (Natural Fiber) Abaca
Kawayan, Biliran
P-2, Vintar, Mr. Donato Manuel
X DJ Abaca Trading (Natural Fiber) Abaca
Valencia, Bukidnon 09264210015
Sherwood, Albuera, Dominga Perales
VIII Dominga Perales (Natural Fiber) Abaca
Leyte 0912-959-4387
Delabayan,
X D'One Trading Kauswagan, Lanao Mr. Nassif Mantanog (Natural Fiber) Abaca
del Norte
Kalagangan, San Ebenezer Barrientos
X Ebenezer Barrientos (Natural Fiber) Abaca
Fernando, Bukidnon 09264977178
Ecosustain Solutions Mr. Carino Antequisa
X Tubod, Iligan City (Natural Fiber) Abaca
Incorporated 09177238397
Ecosustain Solutions Mr. Carino Antequisa
X Tubod, Iligan City (Natural Fiber) Abaca
Incorporated 09177238397
Sta. Ines, Malitbog,
X Edelyn E. Jaylo Edelyn E. Jaylo (Natural Fiber) Abaca
Bukidnon
Kalagangan, San
X Edna E. Sambalud Edna E. Sambalud (Natural Fiber) Abaca
Fernando, Bukidnon
Halapitan, San
X Ednor M. Catalan Ednor M. Catalan (Natural Fiber) Abaca
Fernando, Bukidnon
Capitol Site, Kalibo, Edwin T. Ricamonte
VI Edwin T. Ricamonte (Natural Fiber) Abaca
Aklan (036) 262-5669
Elisa D. Casil
VIII Elisa D. Casil Abaca Dealer Sogod, So. Leyte (Natural Fiber) Abaca
0916-790-2211
Pob. San Jose de
VIII Elizalde Jenith Rebato Buan, Western Elizalde Jenith Rebato (Natural Fiber) Abaca
Samar
Pob., Claveria, Emily Christine Tupag
X Emily Christine Tupag (Natural Fiber) Abaca
Misamis Oriental 09057509308
Arsenal St., Iloilo Enrique Q. Pareja
VI Ep Merchandising (Natural Fiber) Abaca
City, Iloilo (033) 337-5189 / 0920-926-9876
Brgy. Tinabanan,
VIII Epifanio N. Abon Epifanio N. Abon (Natural Fiber) Abaca
Marabut, Samar
Nenita, Mondragon,
VIII Erick/Quirico De Asis Erick De Asis (Natural Fiber) Abaca
Northern Samar
Pinamonoan, Erlinda Puda
VIII Erlinda Puda (Natural Fiber) Abaca
Mahaplag, Leyte 0997-284-8242

Page 34 of 62
 Kalagangan, San
X Ernie A. Inson Ernie A. Inson (Natural Fiber) Abaca
Fernando, Bukidnon
Esparar Multi-Purpose Brgy. Esparar, Elmer Y. Bendita
VI (Natural Fiber) Abaca
Coop Barbaza, Antique 0915-481-8397
Balingasag, Misamis
X Ezan General Merchandise Mr. Erwin Anobaar (Natural Fiber) Abaca
Oriental
Farmers Alternative For
Brgy. San Vicente,
CAR Self-Reliance Multi- Mr. Ruben S. Isiderio
Prosperidad, Agusan (Natural Fibers) Abaca
AGA Purpose Cooperative 0930-646-4325
del Sur
(FASRMCO)
Basak, Maasin City,
VIII Felix C. Padilla Felix C. Padilla (Natural Fiber) Abaca
Leyte
San Vicente, Ferdinand B. Borela
VIII Ferdinand B. Borela (Natural Fiber) Abaca
Kananga, Leyte 0949-966-1630
No. 11 Purok 1, Sta.
Javier C. Bongalbal
V Fibers Trading Inc. Teresa, Malilipot, (Natural Fibers) Abaca
512-0446
Albay
Hinaplanon, Iligan Ms. Hannah Mae Padilla
X Fibex Corporation (Natural Fiber) Abaca
City 09102596883
Brgy. Caucab,
VIII Fidie Pabilonia Fidie Pabilonia (Natural Fiber) Abaca
Almeria, Biliran
The Penthouse, 5/F
Yupangco Building (Furniture) Flooring &
339 Sen. Gil. J. Puyat (+632) 8478-6888 Decking, Logs, Sawn Timber
IV Filtra Timber
Avenue cor. N. [email protected] AD/KD, Plywood & Panels,
Garcia Street, Veneer
Makati City 1209
P-Masigla,
Francisco E. Estillore
X Francisco E. Estillore Salawagan, (Natural Fiber) Abaca
09753343554
Bukidnon
CAR Lawigan, Bislig City, Mr. Sergio Dua Paler
Frontier Industries (Natural Fibers) Coco Fiber
AGA Surigao del Sur 0919-634-7570
Brgy. Magara, Ruel P. Gabo (Natural Fiber) Twine,
IVB Gabo Handiprocessor
Roxas, Palawan Proprietor Cordage, Fibercrafts
Brgy. Milagro, Gloria A. Salas
VIII Gloria A. Salas (Natural Fiber) Abaca
Ormoc City 0946-468-6906
Pancho Villa, Sogod, Alfredo M. Guston
VIII Gondolina M. Guston (Natural Fiber) Abaca
So. Leyte 0935-593-9811
Greenthumbs Abaca Maluko, Manolo
X Ms. Sunshine Elnar (Natural Fiber) Abaca
Wholesaling Fortich, Bukidnon
Greenthumbs Abaca Maluko, Manolo Ms. Sunshine Elnar
X (Natural Fiber) Abaca
Wholesaling Fortich, Bukidnon
Brgy. Uguiao, Jaro,
VIII Growth Valley, Inc. Lourdes Aballa (Natural Fiber) Abaca
Leyte
Guinalaban, Salay,
X Guinalaban Farmers MPC Mr. Eleuterio Junta (Natural Fiber) Abaca
Misamis Oriental
Brgy. Namatec,
(Natural Fibers) Cotton,
CAR Heifer Namatec Weaving Sabangan, Mt. Evelyn C. Degway
Fibercrafts
Province
Isidro B. Lopez
VIII Isidro B. Lopez Baybay City, Leyte (Natural Fiber) Abaca
0919-571-6492
Brgy. Jaena Norte, Isidro Natabio Jr.
VI Isidro Natabio, Jr. (Natural Fiber) Abaca
Jamindan, Capiz 0948-327-3705
Upper Hinaplanon, Mr. James Sanchez
X Jamcey Abaca Trading (Natural Fiber) Abaca
Iligan City 09556255455
Maliwanag, Poona
Ms. Jamila Barambangan
X JBM Abaca Trading Piagapo, Lanao del (Natural Fiber) Abaca
09559557621
Norte
Bugko, Mondragon,
VIII J-Boy Abaca Buyer Jieboy de Asis (Natural Fiber) Abaca
N. Samar
Tagnipa, Maasin
VIII Jerry K. Paloma Jerry K. Palooma (Natural Fiber) Abaca
City
Hinayagan,
VIII Jerson D. Berbes Gandara, Western Jerson D. Berbes (Natural Fiber) Abaca
Samar
Brgy. Ciabu, Baybay
VIII Jimmy D. Itlanas Jimmy D. Itlanas (Natural Fiber) Abaca
City, Leyte
Las Navas, Northern Jose A. Tan
VIII Jmt Copra & Abaca Buyer (Natural Fiber) Abaca
Samar 0977-353-1810
Kahupian, Sogod,
VIII Johney G. Dalogdugan Johney G. Dalogdugan (Natural Fiber) Abaca
So. Leyte
Zone IV, Sogod, So.
VIII Jr Abaca Buyer Rodulfo Casil, Jr. (Natural Fiber) Abaca
Leyte

Page 35 of 62
 Brgy. Bagongbong, Juliet Lego
VI Juliet Lego (Natural Fiber) Abaca
Lambunao, Iloilo 0930-900-2174
San Jose, Maasin
VIII Junah J. Matondo Junah J. Matondo (Natural Fiber) Abaca
City
Tignapoloan,
X June B. Acut June B. Acut (Natural Fiber) Abaca
Cagayan de Oro City
Obrero St. Calbayog Julio Co
VIII Justmar Marketing Inc. (Natural Fiber) Abaca
City 0906-614-1606
Mabini-Rizal
Streets, Brgy. Rubenie Castellañes
VI Ka Pa Wa (Natural Fiber) Abaca
Poblacion, Maasin , 0910-064-2816
Iloilo
Pob., Impasug-ong, Ms. Imelda Esteban
X Kauyagan Savers MPC (Natural Fiber) Abaca
Bukidnon 09658516845
Brgy. Rosal. Libacao,
VI Kiling Buying Abaca Shierlisita L. Kiling (Natural Fiber) Abaca
Aklan
(Natural Fibers) Cotton,
Florence Ao-Wat
Purok 6 Bulanao, Fibercrafts, Cordilleran
CAR Kinwa Etnika Handicrafts 0928 218 4933
Tabuk City, Kalinga Costumes, Fabrics, Wall
[email protected]
Decors, Bags, Accessories
Herminia M. Tumbokon (Natural Fiber) Piña Seda/
La Herminia Piña Cloth Old Buswang,
VI 0919-592-9817 cloth, Abaca & Piña
Weaving Industry Kalibo, Aklan
(036) 268-9709 knotted, Silk/ Cloth
Lavezares, Northern Menelio Chan
VIII Lavezares Trading (Natural Fiber) Abaca
Samar 0906-206-1698
Chitongco,
VIII Lerma Madera Mondragon, Lerma Madera (Natural Fiber) Abaca
Northern Samar
Libacao Abaca Farmers Poblacion, Libacao, Giovanni V. Iguiz
VI (Natural Fiber) Abaca
Federation Abaca Trading Aklan 0920-317-8593
Kahupian, Sogod, Lito D. Lopez
VIII Lito D. Lopez (Natural Fiber) Abaca
So. Leyte 0905-925-2523
Brgy. Bagongbong, Marivic Lucero
VI Lucero Abaca Store (Natural Fiber) Abaca
Lambunao, Iloilo 0946-744-2434
Sinuda, Kitaotao, Luisa T. Paloma
X Luisa T. Paloma (Natural Fiber) Abaca
Bukidnon 09758968090
Madalag Development Poblacion, Madalag, Ramil C. Martinez
VI (Natural Fiber) Abaca
Cooperative (Madeco) Aklan (036) 272-3603
(Natural Fiber)
Malabor Abaca-Piña Brgy. Malabor, Gemma J. Tomolin
VI Abaca/Silk/Cotton Abaca
Weavers Association Tibiao, Antique 0909-474-7056
knotted & Piña
Malagsum Highlands MPC San Miguel, Iligan
X Mr. Alberto Ora (Natural Fiber) Abaca
(MAHIMCO) City
Manila Hemp Trading San Andres, Kristine Thea E. Cua
V (Natural Fiber) Abaca
Corporation Catanduanes [email protected]
San Pedro, Sogod,
VIII Marcos G. Auza Marcos G. Auza (Natural Fiber) Abaca
Southern Leyte
Brgy. Himbangan,
VIII Mariah Copra/Abaca Buyer St. Bernard, So. Edwin Bajador (Natural Fiber) Abaca
Leyte
Brgy. Hinabay,
VIII Marilyn Paco Dotollo Marilyn Paco Dotollo (Natural Fiber) Abaca
Inopacan, Leyte
San Isidro, Northern
VIII Mark Kim Trading Rolando Collamar (Natural Fiber) Abaca
Samar
2E Sunbless Condo,
131 Gen. E. Wataru Sakuma
Aguinaldo Highway, (046) 409-2402 (Natural Fiber) Pulp and
IV Masaeco, Inc.
Mendez Crossing 0967-591-3482 Paper
West, Tagaytay City, [email protected]
Cavite
San Antonio,
VIII Mat Cionelo Mat Cionelo (Natural Fiber) Abaca
MacArthur, Leyte
Zone 1, Mat-i,
Mat-i Higaonon Free
X Claveria, Misamis Mr. Ponciano Lumandong (Natural Fiber) Abaca
Farmers Assoc.
Oriental
Pio Castro St., Mr. Alexander P. Goles
CAR
Morning Star Marketing Kaskag Village, (086) 365-2187 (Furniture) Mangium
AGA
Surigao City 09095007138
P-1, Muntay,
MS Abaca Supply & Ms. Sahara Faisal
X Kolambugan, Lanao (Natural Fiber) Abaca
General Merchandise 09267077398
del Norte
Allan Murillo
Murillo's Export Lower Inayawan,
VII 273-0681 / 273-7077 (Furniture/Natural Fiber)
International, Inc. Cebu City
[email protected]

Page 36 of 62
 151 Session Rd.,
Wilson G. Capuyan
Narda's Handwoven Arts Engineers' Hill, (Natural Fibers) Cotton,
CAR 0920 950 9097
& Crafts, Inc. Baguio City, Textiles
[email protected]
Benguet
Newtech Pulp Tominobo, Iligan Mr. Elbert Monasque
X (Natural Fiber) Abaca
Incorporated-BS City 09457107813
Nice V. Lazarro
VIII Nice V Trading Gandara, Samar (Natural Fiber) Abaca
0939-924-7560
Sumpong,
X Nida's Handicraft Malaybalay, Ms. Leonida Egan (Natural Fiber) Abaca
Bukidnon
Kiazar, Tagoloan, Ms. Soraida Ontong
X Nor Abaca Trading (Natural Fiber) Abaca
Lanao del Norte 09357990144
Pob. San Jose de
VIII Paquito L. Oblino Buan, Western Paquito L. Oblino (Natural Fiber) Abaca
Samar
Brgy. Canyu-om,
VIII Pg Copra & Abaca Buyer Ellen Dupalco (Natural Fiber) Abaca
Maasin City
Philippine Green Resource Maybog, Baybay Quirino Castillo (Natural Fiber) Coconut
VIII
Inc. City, Leyte 0935162270 Coir
Mark Joseph A. Lector
Km. 79, Brgy. San
(049) 800-1270 / (Natural Fiber) COIR Plant
IV Pilipinas Ecofiber Corp. Mateo, San Pablo
(02) 664- 3852 Liners
City, Laguna
[email protected]
Marciano P. Dignos Jr.
Sitio Wangag, Brgy.
0917-312-6200
VIII Pspi Buying Station Damulaan, Albuera, (Natural Fiber) Abaca
(053) 530-6200
Leyte
[email protected]
Tinag-an, Albuera, Agusto Barba II
VIII Pulp Specialty Phil., Inc. (Natural Fiber)
Leyte 0947-892-8049
Tag-ibo, Dalipuga, Mr. Reneboy Rocacorba
X Raj's Abaca Trading (Natural Fiber) Abaca
Iligan City 09268617185
Camuayan,
Ramel D. Ranoco
X Ramel D. Ranoco Balingasag, Misamis (Natural Fiber) Abaca
09361273087
Oriental
Pinamonoan,
VIII Raquel R. Pusa Raquel R. Pusa (Natural Fiber) Abaca
Mahaplag, Leyte
Panalawan
X RD's Abaca Trading Tagoloan, Lanao del Ms. Rohana Ontong (Natural Fiber) Abaca
Norte
Polahongon, Rebecca D. Gucela
VIII Rebecca D. Gucela (Natural Fiber) Abaca
Mahaplag, Leyte 0935-232-3799
Hilapnitan, Baybay
VIII Reynaldo P. Bande Reynaldo P. Bande (Natural Fiber) Abaca
City, Leyte
Brgy. Borac, Naval,
VIII Rhino D. Borrinaga Rhino D. Borrinaga (Natural Fiber) Abaca
Biliran
Brgy. Quipot, Ricaredo Adurante
VI Ricaredo Adurante (Natural Fiber) Abaca
Janiuay, Iloilo 0917-403-5306
Richard Yap
VIII Richard S. Yap Sogod, So. Leyte (Natural Fiber) Abaca
0906-574-8063
Brgy. Catmon, St.
VIII Rlb Abaca Trader Restituta Baldera (Natural Fiber) Abaca
Bernard, So. Leyte
Amguhan, Baybay
VIII Roberto Daguing Roberto Daguing (Natural Fiber) Abaca
City
Sitio Paraiso,
Roberto G. Gato
VIII Roberto G. Gato Pinamonoan, (Natural Fiber) Abaca
0935-195-3858
Mahaplag, Leyte
Maljo, Inopacan, Roger Pua
VIII Roger Pua & Abaca Buyer (Natural Fiber) Abaca
Leyte 0949-485-4678
Sitio Paraiso,
Rolando Gato
VIII Rolando Gato Pinamonoan, (Natural Fiber) Abaca
0935-195-3858
Mahaplag, Leyte
Pinamonoan, Rolando P. Pingos
VIII Rolando P. Pingos (Natural Fiber) Abaca
Mahaplag, Leyte 0945-860-2074
San Isidro, Rolando R. Simpron
VIII Rolando R. Simpron (Natural Fiber) Abaca
Mahaplag, Leyte 0927-261-0290
Brgy. Odiong, Javier,
VIII Roldan G. Meras Roldan G. Meras (Natural Fiber) Abaca
Leyte
J. Aguilar Avenue, Lloyd Eric Lim
Rope Masters (Natural Fiber) Rope,
IV Pamplona, Las Piñas (02) 551-3216
Manufacturing Corp. Twine, Cordage
City, Metro Manila (02) 834-1605
Geratigan, Lope de
Roque S. Sabilao
VIII Roque S. Sabilao Vega, Northern (Natural Fiber) Abaca
0920-454-6213
Samar

Page 37 of 62
 Chitongco,
VIII Rosario C. Chin Mondragon, Rosario Chin (Natural Fiber) Abaca
Northern Samar
Brgy. Balinsasayao, Sabina S. Ocon
VIII Sabina S. Ocon (Natural Fiber) Abaca
Abuyog, Leyte 0955-375-7074
Saint Luis-CK Ong Zone 4, San Luis,
X Ms. Charo V. Ong (Natural Fiber) Abaca
General Merchandise Malitbog, Bukidnon
Salay Handmade Products Pob., Salay, Misamis Mr. Neil Francies Rafisura
X (Natural Fiber) Abaca
Ind. Inc. Oriental 09177167594
Pob. San Jose de
VIII Santos P. Doligon Buan, Western Santos P. Doligon (Natural Fiber) Abaca
Samar
Dalakit, Catarman, Emelie Salutan
VIII Sc Tan Export Corporation (Natural Fiber) Abaca
N. Samar 0945-299-5063
Brgy. Albasan, Rose P. Nepumoceno
VI Silver Handicraft (Natural Fiber) Raffia Rolls
Numancia, Aklan (036) 268-4149
Hilapnitan, Baybay Victor Parillas
VIII Specialty Pulp Mfg., Inc. (Natural Fiber) Abaca/ Pulp
City, Leyte 0917-153-4933
Tabok, Lagonglong, Mr. Excel Dagala
X St. Michael Abaca Trading (Natural Fiber) Abaca
Misamis Oriental 09362760114
Sto. Rosario Multi- Sto. Rosario,
VI Francisico Valeña (Natural Fiber) Abaca
Purpose Cooperative Brgy. Pandan, Antique
Kalangcaan, Lope de
VIII Thelma P. Salunoy Thelma P. Salunoy (Natural Fiber) Abaca
Vega, N. Samar
4A 1/B Floor, Porta (Natural Fibers) Cotton,
Jocelyn G. Cawed
Vaga Mall, Session Fibercrafts, Scarves, Barong
CAR Top Skill Handicraft (074) 424 6399
Rd., Baguio City, Tagalog, Wedding
[email protected]
Benguet Ensembles, Etc.
Fortich St. ,
X Valdez Handicrafts Malaybalay City, Ms. Bernadeth Valdez (Natural Fiber) Abaca
Bukidnon
161 Avanceña St.,
John John U. Barlin
VI Vismin Natural Fibers Inc. South Fundidor, (Natural Fiber) Abaca
(033) 336-5867
Molo, Iloilo City,
Calipayan, Culaba,
VIII Vma Farm & Abaca Trader Vicente Azuelo (Natural Fiber) Abaca
Biliran
(Natural Fiber) Abaca Silk
Yanah Crafts' Global San Ramon, Niño I. Abayas Cloth, Abaca Single Ply
VI
Trading Malinao, Aklan 0905-354-5412 Cloth, Abaca Polyhemp
Cloth
P-4, Poblacion,
Yunos Abaca Fiber Mr. Sirad Madali
X Valencia City, (Natural Fiber) Abaca
Trading 09364884087
Bukidnon
Purok 1, Brgy.
VIII Zion Shalom Trading Capoocan, Calbayog Marilyn C. Depositar (Natural Fiber) Abaca
City

Table 4.1 presents the available information from stakeholders from different regions
both in the Furniture and Natural Fibers industry. Shown above are the Enterprises, their
contact details and the raw materials they produce. For the Natural Fibers, most are
suppliers of Abaca since it is the most produced natural fiber in the country. Information
about equipment suppliers specifically used for both the Furniture and Natural Fiber
industry are few.

Table 4.2 Finished Product Suppliers Information

Finished Product Suppliers Information

Regi Contact Person/ Contact (Sector)
Name of Enterprise Address /Location
-on Details List of Finished Products Produced
Skina Bag ong dan
A.R. Kitchen Dennis Rosos (Furniture) Custom Cabinet, Interior Design,
VII Brgy. Yati, Liloan,
Cabinet Design 09177721690 Kitchen Cabinet, Ready Made Cabinet
Cebu, Cebu City
Govic Highway,
A.R.A. Designers Rowena Matammu
III Zone VI, Iba, (Furniture)
Woodcraft 9399667227
Zambales
No. 3 JAK
ACA Designs and 0917 673 2922
III Building, Fil-Am (Furniture)
Interiors [email protected]
Circumferential

Page 38 of 62
 Road, Trinidad
Village, Bacolor,
Pampanga
Aklan Pina
VI Kalibo, Aklan Anna India Legazpi (Natural Fiber) Pina Cloth
MANTRA
Albay Agro-
Balading, Malinao, Hazel B. Ravago
V Industrial Dev't (Natural Fibers) Pulp Sheets
Albay (6352) 488 4588
Corp
2-1 Magalang Ave,
0927 014 8135
III ALBERO Creatives Angeles, 2009 (Furniture)
[email protected]
Pampanga
Alemania Weaving San Roque, Ms. Salvacion Alemania
V (Natural Fibers) Sinamay
Center Malilipot, Albay 0916 783 9351
Antique Don Angel Salazar
Rhodora E. Pon-an (Natural Fibers) Abaca Bags, Bariw with
VI Development St., Atabay, San
0917-801-2896 Abaca Carpets, Placemats, Asstd. Abaca Bags
Foundation Inc., Jose, Antique
Mr. Willand C. Kabigting
Municipal Rd,
Asia Ceramics 0920 950 3910
III Santo Tomas, (Furniture)
Corporation acc-
Pampanga
[email protected]
Aurora Sinamay Libertad Street,
VIII Aurora Garde (Natural Fiber) Abaca/Sinamay
Dealer Matalom Leyte
Bagtason
Bugasong,
VI Loomweavers Mario Manzano (Natural Fiber) Fabric, Clothes, Shawls
Antique
Association
Banquerohan
Resettlement Site Banquerohan, Ms. Elizabeth
V (Natural Fibers) Sinamay
Neighborhood Albay 0930 801 7992
Association
Baraclayan Weavers Brgy. Baraclayan, Marlou Niones (Natural Fiber) Fabric, Clothes, Shawls, Table
VI
Association Miag-ao, Iloilo 09085297842 runners
Brgy. Ms. Bena Jean A.
Bena Jean Furniture
V Pinamarbuhan, Castillo (Furniture)
and Lumber Dealer
mobo, Masbate 0908 6162 585
TRC Productivity
Center, Brgy.
Alona Bituin-Sinsuat
III Betis Crafts Inc. Alfonso, (Furniture)
(045) 923 0596
Concepcion,
Tarlac City
Brgy Garangan
Brgy. Garangan, Rita Caballero
VI Tumandok (Natural Fiber) Clothes, Shawls
Calinog, Iloilo 09507970550
Organization
Tubaon, Virac, Mr. Benjie V. Quinta
V BVQ (Furniture)
Catanduanes 0948 793 5097
Cabayogan Loom
Brgy. Cabayogan, Elda Baldon (Natural Fiber) Textile, shawl, patadyong, UP
VI Weaving
Badiangan, Iloilo 09395499803 Sablay
Association
Calfurn Mfg. Manga Road, Erdy Feliciano
III Philippines, Pulung Bulo, 0917 510 4259 (Furniture)
Incorporated Angeles City [email protected]
2F A-207 City
Time Square 2, Lovely Flores
Cebu Furniture
Mantawe Ave., 328 1028
VII Industries (Furniture) Furniture and Artworks
Tipolo, Mandaue [email protected]
Foundation, Inc.
City, 6014 Cebu, om
Philippines
JASA San Juan Edwin Cayanan
Nepo, Betis 0922 802 3463
III CF Craftwood (Furniture)
Guagua, [email protected]
Pampanga m
Ponong, Matalom
VIII Charito F. Pizon Charito F. Pizon (Natural Fiber) Abaca/Sinamay
Leyte
Cherry Sinamay Caridad, Matalom
VIII Cherry Pabo (Natural Fiber) Abaca/Sinamay
Industry Leyte
Lot 13 Block 2
Angeles Industrial
Park-SEZ 632 246 8347
III Chrysara Mfg., Inc. (Furniture)
Calibutbut, [email protected]
Bacolor,
Pampanga
(Furniture) Indoor furniture, bedroom,
Mabugat Road, Arlan Christopher Lua seating furniture and dining room pieces and
Clear Export
VII Tabok, Mandaue 3466-852 accent pieces. Materials used
Industries, Inc.
City [email protected] in solid wood, veneers, glass, mirror, metal
and stainless steel, wrought iron, stone and

Page 39 of 62
 native material
inlays.
Marlboro Street
6345 888 2889
Country Accents Calibutbut,
III countryaccents.reggieL (Furniture)
Inc. Bacolor,
@gmail.com
Pampanga
Croppers, Edgardo Caspe
Brgy. Dibutunan,
III Sharesman 09661328764/092940444 (Furniture)
Dipaculao Aurora
Association 38
6345 887 5520 | 6345 887
AC Furniture 5784 | 6345 887 5381
Currey Village, Curucut, currey_international@y
III (Furniture)
International, Inc. Angeles City, ahoo.com;
Pampanga [email protected]
m
Yakal St., 0923 382 9019 | 0999 675
Calantas, 0171
III D4A Homecraft (Furniture)
Floridablanca, [email protected]
Pampanga om
New Salmonan,
Davao Rope Factory, Leticia Lien
XI Tulingan St., (Natural Fiber) Rope
Inc. (082) 227-3891
Agdao, Davao City
0917 803 9125 | 0999 888
303 Masaresa
9125 | 045 887 5687 | 045
DFS Manufacturing Street, Pandan,
III 304 2310 (Furniture)
Corporation Angeles City,
[email protected];
Pampanga
[email protected]
Ponco, bacon
Dinglasan Unique Ms. Nimfa Dinglasan
V District, Sorsogon (Furniture)
Woodworks 0998 5563928
City
(Natural Fibers) Napkins, Placemats,
Coasters, Runners, Table Cloths, Purses,
0939 555 3704
Easter Weaving 2 Easter Road Wallets, Bags, Ladies Shoes, Espadrilles,
CAR [email protected]
Room, Inc. 2600 Baguio City Slippers, Neckties, Belts, Ponchos, Vests,
m
Mufflers, Native & Ikat Fabrics, Bedspreads
and others
Ms. Elenita Ramirez
226 Balangcas San 0920 921 7346 | 0917 840
Ellen's House of
III Matis, Sto Tomas 5576 (Furniture)
Frames and Crafts
Pampanga ellenita_ramirez@yahoo
.com
San Juan ACCFA,
Romeo Bernardo
III Erwin's Wood Craft Cabanatuan City, (Furniture)
0926 151 6880
Nueva Ecija
#14–18 Enterprise
Road., Pampanga 63 (45) 458 32 09 | 0919
Fashion Interiors Ecozone Pulung 066 3544
III (Furniture)
Manufacturing, Inc Cacutud, Angeles [email protected]
City Pampanga, m; [email protected]
Philippines,
Ms. Emilia Lagac
No. 9710 63 8861 3132 | 915 1983
Technology 876 | 943 6755 647 | 917
Filipino Creazione Resource Center 5984 843
III (Furniture)
De Mano Paralayunan, fcdm@filipinocreazione
Mabalacat , .com;
Pampanga filipinocreazione@gmai
l.com
Lot 48, Block 9,
Sampaguita Ave., Ms. Mervina M. Miranda
Fleur d’ Elise
III Timog Park, mmmiranda.fleurdeelise (Furniture)
Manufacturing
Pampanga [email protected]
Angeles City
Peter Friday
Lingat Compound
0933 579 4119 | 0905 948
Telebastagan
7661 | 0923 341 2950
III Furniture Doctor McArthur Hi-way, (Furniture)
doctor.furniture@yahoo
City of San
.com.ph
Fernando
Pampanga
General Tinio Nueva General Tinio Rachelle Ann
III (Furniture)
Ecija Furniture Nueva Ecija 0947 206 3607
Hantag Farmers Brgy. Hantag,
VIII Multi-Purpose Maasin City, Patricio C. Pia (Natural Fiber) Abaca Sinamay
Coop. Inc. Southern Leyte

Page 40 of 62
VI Imee's Hablon Miagao, Iloilo Imelda Momblan (Natural Fiber) Fabric, Shawl
Lot F. Sampaguita
Joey Bernard Pamintuan
Impact Balibago Main Road
III joeypamintuan@yahoo. (Furniture)
Arts and Crafts Margot, Angeles
com
City
Indag-an Primary Ernilia Fallarcon
Indag-an, Miag- (Natural Fiber) Fabric, shawl, hanky, bandana,
VI Multi-purpose 0945-963-8906 /
ao, Iloilo table runners
Cooperative 09064201675
159 Doña Lucing
Mr. Arthur Victor J.
Industria Home Vico Ave, Friendship
Viray
III Manufacturing Hiway, Calibutbut, (Furniture)
[email protected]
Corporation Bacolor,
om
Pampanga
Ronald V. Zamora
Purok 2, Bancal,
III IVR Furniture Shop 09505095172; (Furniture)
Botolan, Zambales
09664329887
Jaf Handicraft and Old Buswang,
VI Erlinda A. Fernandez (Natural Fiber) Pina Cloth
Pina Industry Kalibo, Aklan
Dapaon,
Sindangan, (Natural Fiber) Abaca Scrunch, Sheets, Hats,
IX Jaymark Handicraft Ma. Nelia R. Malahay
Zamboanga del Fibercrafts
Norte
269 San Matias, 045 900 2168
III JD Fine Furniture Guagua, jd_finefurniture@yahoo (Furniture)
Pampanga .com
Brgy. San
Fernando Sur, Jayson Domingo
III Jed's Furniture (Furniture)
Cabiao, Nueva 0908 479 3970
Ecija
Jhoemark A. Molano Malacampa, Jhoemarck Molano
III (Furniture)
Enterprises Camiling, Tarlac 0906-436-9335
National Highway, Jimmy Manglicmot
III Jimmy's Furniture Brgy. Farañal, San 09192566762; (Furniture)
Felipe, Zambales 09192566762
115 Ponong,
VIII JN’s Sinamay Alfredo Tan (Natural Fiber) Abaca/Sinamay
Matalom Leyte
Jocelyn Sinamay Ponong, Bato
VIII Jocelyn P. Lor (Natural Fiber) Abaca/Sinamay
Buyer Leyte
Gracetin Marie David
472 Nat’l
Joeffrey David Wood 0955-041-1904
III Highway, Lagundi, (Furniture)
Works [email protected]
Mexico
m
Brgy. Bonliw,
Julie Anne Julia Anne Reginio
IVB Torrijos, (Natural Fiber) Table Runner
Handicraft 0917-544-6962
Marinduque
136-B Ground
Julienne Paran
Floor Albergo Julienne Paran (Natural Fibers) Ethnic Wear, Inabel Wear,
CAR Design Studio &
Hotel Outlook 0921 436 6090 Ethnic Garments, Face Masks
Souvenir
Drive, Baguio City
Kayla's Antiques Brgy. Nagbunga,
Nora B. Manuel
III and Furniture Castillejos, (Furniture)
09993153104
Manufacturing Zambales
Brgy. Sitio Gulod
02-79590538 (Natural Fiber) Bed Linens, Fitted Sheet,
III KDV Enterprises Lalakhan Santa
09177180242 Hotel Pillows, Duver Filler
Maria Bulacan
Klowil Agricultural
Zone A, Surallah, Rey Engane (Natural Fiber) Tinalak, Bags, Coin Purse,
XI Ent. Multi -Purpose
South Cotabato 0915-924-0809 Card Holders
Coop.
Alegria P. Sunga
193 Colgante,
III LA Classic Designs gwapong_leonard@yaho (Furniture)
Apalit Pampanga
o.com
La Herminia Pina Old Buswang,
VI Allan M. Tumbokon (Natural Fiber) Pina Cloth
Weaving Industry Klaibo, Aklan
III Lina's Cogon Craft Lina's Cogon Craft Lina V. Costales (Furniture)
Lingap Center Sto.
Calapan City, Dominga G. Palmero
IVB Niño Cathedral (Natural Fiber) Braided Abaca
Oriental Mindoro (043) 288-5756
Parish
Malabor
VI Loomweavers Tibiao, Antique Gemma Tomolin (Natural Fiber) Fabric, Clothes, Shawls
Association
Olongapo-Gapan Engr. Ariel Mallari
Mallari’s Nursery
III Road, Concepcion, khayemallari25@yahoo. (Furniture)
Furniture
Lubao Pampanga com

Page 41 of 62
 135 Magalang
Maze Manufacturing Ms. Judith Manarang
III Road Cacutud, (Furniture)
Co., Inc. [email protected]
Angeles City
Mueda St. Baybay
Miag-ao Weaver's Anthony A. Selorio (Natural Fiber) Fabric, Shawls, Table runners,
VI Sur, Miag-ao,
Association Inc. 09391737407 Placemats, Wall hangings
Iloilo
Monte De Ramos Marcelina M. Ramos
Brgy. Napo, Sta.
IVB Handicraft & 0927-966-9421 / 0995- (Natural Fiber) Bags, Handloom
Cruz, Marinduque
Pasalubong 932- 4151
(Furniture) Coreo
China Ware/Badus French Style
Sala Set (MSM)
Sala set (French Style)
Dining Set
Hanging Cabinet
Pio Castro St., Mr. Alexander P. Goles
CAR Morning Star TV Cabinet (big)
Kaskag Village, (086) 365-2187
AGA Marketing TV Cabinet (small)
Surigao City 09095007138
TV Rack
Dresser
Matrimonial Bed
Display cabinet
Corner stand
Chairs
Allan Murillo
Murillo's Export Lower Inayawan, (Furniture) Furniture, Accessories and
VII 273-0681 / 273-7077
International, Inc. Cebu City Artworks
[email protected]
151 Session Rd., Wilson G. Capuyan (Natural Fibers) Accessories (Shawl, Scarves).
Narda's Handwoven Engineers' Hill, 0920 950 9097 Fabric (Bag Material-IKAT, Garment-IKAT).
CAR
Arts & Crafts, Inc. Baguio City, nardas.inquiries@gmail. Clothing for Men and Women. Home Décor
Benguet com (Curtains, Placemat, Table Runner).
Elbert E. Muñasque Mill
Ma. Cristina, Balo-
X Newtech Pulp Inc. (063) 833-9000 / 833- (Natural Fiber) Pulp
i, Lanao del Norte
9009
Novelita Upholstery
Brgy. Kaparangan, Jay R. Miranda
III and Furniture (Furniture)
Orani, Bataan 09328610686
Center
Mr. Rodolfo Kalalang
Oflodor Iron and Cutcot, Guiguinto,
III 09228895685/ (Furniture)
Woodcraft Bulacan
[email protected]
Olongapo Zambales Mia Casal
Arañas St. prk 5 La
Manufacturers 09993242188
III Paz San (Furniture)
Association Inc. clayavezambales@gmail
Narciso, Zambales
(OZMAI) .com
Pacific Cordage Lidong, Sto. Engr. Noli L. Budy
V (Natural Fibers) Cordage, Rope
Corporation Domingo, Albay 0917 868 3982
Pampanga Furniture TRC Complex,
Liza Samia
III Industries Mabalacat, 2010 (Furniture)
0932 854 4825
Foundation Pampanga
Ilang-Ilang St.,
Villa Corazon, San Mr. Pedro P. Pineda
III Peter's Custombuilt Agustin, San peters_custombuilt@ya (Furniture)
Fernando, hoo.com
Pampanga
Ponong, Matalom
VIII Prima G. Garong Prima Garong (Natural Fiber) Abaca/Sinamay
Leyte
Pongon,
VIII Prisco R. Guston Prisco R. Guston (Natural Fiber) Bari-is Placemat
MacArthur Leyte
Sitio Magbangon,
Pulp Specialties Agusto Barba II
VIII Tinag-an, Albuera (Natural Fiber) Abaca/Pulp
Philippines, Inc. 0947-892-8049
Leyte
VI Raquel's Pina Cloth Balete, Aklan Raquel Eliserio (Natural Fiber) Pina Cloth
Mr. Ryan Santos
RFSantos Group of
Gatbuca, 09228616199
III Companies Inc. (Furniture)
Calumpit, Bulacan ryan.santos@kahoyanfu
(Kahoy-an)
rniture.com
Masagana st. Daan
III Rizza Furniture Sarile Cabanatuan 0916 701 5116 (Furniture)
City
Mr. Dominico Panela
Brgy. Camangaan, 077 722 2731
Rowilda’s
I Vigan City 2700 09173673911 (Natural Fiber)
Loomweaving
Ilocos Sur sales@rowildasloomwea
ving.com
RSU Rattan Fatima St., Bgy. Rico S. Urquico
III (Furniture)
Furniture Calulut, City of [email protected]

Page 42 of 62
 San Fernando, 09228327615/
Pampanga 09175113664
Rygan Pamar San Isidro Ms. Ma. Jean V. Muni (Natural Fibers) Abaca twines, bags, table
V
Enterprises Malilipot, Albay 0908 896 6240 runners
Ezra Aranduque
(Natural Fibers) Belt Bag, Centerpiece,
Staunton Rd, 0914 639 7429
Sagada Weaving Cosmetic Purse, Facemask, Round Bag, School
CAR Sagada, Mountain sw1969.online
1968 Bag, Tapiz(KInayan), Tapiz(Pinagpagan),
Province [email protected]
Wanes(G-String)

Salngan Livelihood
Brgy. Salngan, Honey Grace Panuela (Natural Fiber) Fabric, Clothes, Shawls, Table
VI Multi-purpose
Oton, Iloilo 09207066439 runners
Cooperative
P-1, Brgy. Mr. Richard De Leon
V Saman Wood Works Mancruz, Daet, Saman (Furniture)
Camarines Norte 0945 400 2849
San Jose Furniture
Mariones San Jose,
III Producers Apolinario Tababa (Furniture)
Tarlac
Cooperative
Sandra Mahiwo
III Sandra's Handicraft Capas, Tarlac (Furniture)
0935-846-7155
Jermey Altates
National Hi-way, 09185000228;
III Sean Fine Furnitures Faranal, San 09129496582/ (Furniture)
Felipe, Zambales [email protected]
om.ph
Mr. Sheldon A.
Shelmed Cottage Bagumbayan,
V Villanueva (Natural Fibers) Bags, Trays
Treasures Daraga, Albay
(052) 483 3505
Sibal Carpio Sash Tess Sibal Carpio
III Subic, Zambales (Furniture)
Factory 09196639097
Bldg. 09 TRC
Lieza Marie C. Bituin
Compound,
South Sea Veneer 09189851402
III Paralayunan, (Furniture)
Corporation bituin_lieza_er1@yahoo
Mabalacat
.com
Pampanga
Specialty Pulp Hilapnitan, Victor Parillas
VIII (Natural Fiber) Abaca/Pulp
Manufacturing Baybay City Leyte 0917-153-4933
Laila Tulabot
Sta. Catalina
Remedios Lubao, 09228327615/
III Bamboo Negosyo (Furniture)
Pampanga 09175113664
Village
[email protected]
Friendship Hiway
(Furniture) Rattan Furniture Sets, Bamboo
Extension, Cutcut, +639396298888
III Sun Valley Rattan Furniture Sets, Hand Carved French/ Italian
Angeles City, +639199298888
Furniture Sets
Pampanga
Brgy. A.O.
Tagum Agricultural (Natural Fiber) Handmade Paper, Wallet
Floirendo, Panabo Russell Barrizo
XI Dev't. Company, Handicrafts, Throw Pillow, Table Runner,
City, Davao del (082) 234-0586
Inc. Placemat, Candle Holder, Bases
Norte
Ms, Maria Fatima O.
Timber Knots San Jose Milaor,
V Monte (Furniture)
Woodcraft Camarines Sur
0915 680 4179
138, Brgy.
Venzon Chris Venzon
Panipuan, City of
III Manufacturing [email protected] (Furniture)
San Fernando,
Corporation
Pampanga
National hiway
Wawood
Antipolo, Walmin E. Chen Jr.
III Woodworks (Furniture)
San Antonio, 9983451520
Enterprises
Zamb ales
Wearables and
Ma. Girlie Flores
Home Style and (Natural Fiber/Furniture) Hablon-based
VI Iloilo 09778154848/337-
Furniture Council products, Furnitures
0774/3355028
Iloilo City
Ms. Rocel Dayrit
Wooden It Be Nice,
III 09489969062 (Furniture)
Inc.
[email protected]

Table 4.2 presents available information from stakeholders from different regions both
in the Furniture and Natural Fibers industry. Shown above are the Enterprise, their
contact details and the finished products they process/manufacture.

Page 43 of 62
In the Directory of Licensed Fiber Stakeholders, most licensed stakeholders are located
in the NCR. There is inadequate government outreach to other regions especially to
MSMEs in this industry.

A database having complete information that stakeholders can use is another project in
its own. It could be recommended that Government agencies having the capability to
gather such critical information from MSMEs and other stakeholders should be
commissioned in doing this project. More information including equipment suppliers
can help ease the search for proper equipment. PhilFIDA’s creation of its own Directory
of Licensed Fiber Industry Stakeholders can serve as a template for a better accessible
database for both the Furniture and Natural Fibers industry. Moreover, this endeavor
allows for a better platform where it can accommodate most stakeholders in the industry.

Page 44 of 62
 5. RESEARCH AND DEVELOPMENT AGENDA

Through DOST Forest Products Research and Development Institute (FPRDI), the
government generates information and technologies on the utilization of some
industrial tree plantation species and non-wood forest products for export quality
furniture and handicrafts. DOST FPRDI improves the usage of wood and other forest
products through research and development for secondary and tertiary processing.
Specifically, the FPRDI conducts research and development on furniture and furniture
parts, as well as the testing of these products such as wood and non-wood preservation,
wood seasoning/kiln drying, bleaching and dyeing, finishing, saw-milling, termite and
power-post beetle treatment. Currently, there are two Furniture Testing Centers in the
Philippines which are located in Los Baños, Laguna and in Lahug, Cebu.

These micro and small enterprises need to establish R&D in their business so they can
be:
● Competitive in designs - competition is not only in pricing but most especially in
designs. Creativity is innate to the furniture makers; they just need to practice it.
● Competitive in providing new products - They can start doing research work, find
inspirational designs, consider the use of mixed materials, new process
techniques and new or upgraded technologies.
● Competitive in price - Development not only in designs but in increasing
productivity and still savings on material and labor cost.
● Trend setter - They can have their own designs and start to join trade shows and
create their own brand.

Research on other natural raw materials, synthetic, metals and other materials can also
be done in addition to the existing R&D activities which are mostly focused on wood.

For the Natural Fibers sector, it has been observed for the past years that the use of
synthetic materials has damaging effects to the environment which led to the
development of eco-friendly materials. As a result, there is an increase in demand for the
commercial use of natural fiber-based composites for various industrial sectors.

These natural fiber raw materials can be grown in local areas thus; the government
should strengthen the program on expanding the plantation and production for cotton,
pineapple, abaca and other sources of fiber; in addition, the government should also
invest more on research and development for local and indigenous raw materials towards
sustainable fiber production and for production of innovative yarn from blended fiber of
indigenous raw materials.

DOST-FPRDI has also recently discovered that the “Bandala” abaca hybrid yields high
quality fiber which can be a promising material for pulp and paper. Bandala is an abaca
variety through cross-breeding of wild banana – pacol and abaca. Compared to the
traditional abaca fiber, bandala is found to have technological benefits more suitable for

Page 45 of 62
the production of yarns and textiles. It is also a breakthrough research as it is resistant
to the alarming bunchy-top virus which infested abaca plantations all over the country
for decades, and resulted to farmer’s struggle to fully reap the economic benefits from
the production of abaca (DOSTFPRDI, 2020).
Meanwhile, DOST-PTRI has four programs under research and development:
 The Textile Biopolymer R&D Program uses abundant agricultural by-products as
starting materials for the development of textile fibers of appropriate lengths for
textile processing.
 Smart Textile R&D Program aims to develop eco-friendly finishing technologies
and products that render functionalities to the natural fiber-blended textile.
 Green colorants, materials and textile processing R&D Program establishes STI of
green materials for textile application. It focuses on the enzyme from natural
materials to be used for pre-treatment of natural fiber.
 Philippine Silk S&T Program deals with enhancement and revitalization of the
sericulture value chain (DOST - PTRI, 2018).

The Don Mariano Marcos Memorial State University- Sericulture Research and
Development Institute (DMMMSU-SRDI) played a pioneering role in developing the silk
industry in the Philippines. Its sericulture program now established as an enterprise,
engages large, marginal and small land holders to plant mulberry and rear silkworms to
enhance their income and create employment for family labor year-round. Through its
Six-Year Mulberry R&D Plan (2006-2011), Strategic objectives were established to attain
the goal of transferring sustainable and cost-effective mulberry cultivation technology
for increased production of quality cocoons. Communication and participation of
researchers in actual technology transfer resulted to the establishment of 45 sericulture
demofarms in eight provinces of the country having a total area of 21.5 hectares.
(DMMMSU-SRDI Six-Year Mulberry R&D Plan (2006-2011) Implementation and Output:
Quest for Philippine Silk, 2013)

On the other hand, an alternative for leather now being used is the Piñatex. It is made
from pineapple leaf fibers which is a by-product of pineapple harvest. Ms. Carmen Hijosa,
a Spanish Citizen worked with the Design Center of the Philippines and helped develop
the leather industry. Pineapple fiber being very soft and pliable made it possible for it to
be used in applications where leather was used. Piñatex has much more advantage over
the leather derived from live animals because it only comes from the skin thus only
producing 30% of waste. The material’s versatility allowed it to be developed for products
like leather bags, shoes, furniture, car interiors and aeronautic materials. Ms. Hijosa’s
company – Ananas Anam has been working with the Labo Progressive Multi-Purpose
Cooperative (LPMPC) since 2014, bringing new opportunities for pineapple farmers in
the province of Camarines Norte. Products from Piñatex now serve clients including
Samsung, Puma, Porsche, BMW, Mercedez Benz among many others. (Piñatex: A
Sustainable New Leather Material, PhilFIDA 2016).

Natural fibers and the products designed around these materials possess many
distinctive advantages: cost-effective, low coefficient of friction, ease of availability,
exhibit good thermal and dimensional stability, environmentally friendly, among others.

Page 46 of 62
Because of these characteristics, more and more researches are being done around the
world. However for effective utilization of natural fibers in various potential
applications, all the aspects associated with them has to be studied and presented such
as (Dhaliwal, 2019):

 Target application, advantages, and disadvantages of using natural fibers;

 Product design, studies to be carried out on the development of prototype and
other engineering software.
 Preparation and fabrication technique, particular technique, or process to be
identified which should reduce possibility of failure, etc.;
 Commercial production should be cost effective and eco-friendly;
 Marketing and sales, product should be marketed to showcase its potential
benefits toward society and environment with good after-sale service.

R&D Agenda for 2021 and beyond

DOST through its Harmonized National R&D Agenda (2017-2022) is leading future R&D
prospects for many industries and sectors. The Agenda for the Furniture and Natural
Fibers industry are presented below.

 Development and sustainable management of tree plantations;

Development of High Yielding Varieties (HYV) of priority timber species
with superior traits; production protocols for the production of quality
timber and non-timber forest planting materials; Sustainable cultural
management practices, harvesting and postharvest techniques and
marketing strategies under its Forestry R&D Agenda.

 Abaca and other fiber crops are also prioritized in the Harmonized National
R&D Agenda (2017-2022) in its commodity focus under the Agriculture
Sector.

 Improvement of textile processing is the third objective under Research

priorities for Industry, Energy and Emerging Technology under countryside
development.

 Roll out of technologies such as high yielding clones, furnace type lumber
dryer, and engineered bamboo.

Moreover, A CHED-DMMMSU Multi Sectoral Partnership for sericulture technology

commercialization, income generation climate change adaptation and Agri-Seri-
Tourism initiated its Integrated Silk Industry RDE Program. The research is dated from
February 28, 2020 to February 2021.

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 6. GAPS AND STRATEGIC CHALLENGES

Inspection of the industry’s value chain is a necessary step to locate gaps and loopholes
inhibiting the industry’s potential growth and sustainability. Such problems have been
recognized by the industry stakeholders and MSMEs based on the results of the Focus
Group Discussions (FGDs), Perception Surveys (PS) and the Stakeholders Verification
Workshop (SVW).

Technology and Innovation

Talent and creativity is never an issue among furniture manufactures in the Philippines.
Filipinos are even regarded as among the world’s best in design and quality. However,
most furniture manufacturers lacks the equipment and technology to fully exploit this
strength and completely incorporate their creativity in their designs and production.
Also, the lack of equipment and technology of firms slows down their production.

The high cost of investment needed for state-of-the-art equipment and technology
essential to optimize or even automate their production process restrict firms from
acquiring such technologies that are already available for adoption. Small firms and
MSMEs do not have the financial capability to upgrade their process through
mechanization. Moreover, to attain maximum utilization of new technologies by
MSMEs, trainings and seminars for technology updates and awareness for latest design
and fabrication techniques are needed for them to be informed about the latest trends in
furniture making.

Micro and small entrepreneurs in provincial areas are also having difficulty in accessing
and taking advantage of the available R&D facilities and innovation centers since this
are only confined to DOST FPRDI’s facilities and regional centers (FabLabs).

Technology utilization and adaptation in the textile industry in the Philippines is also
low and here are some issues mentioned:
- There are no available technology in the Philippines
- Lack of exposure to updated machines and equipment
- Lack of personnel with training on new technology
- MSMEs do not have the financial capability to adopt new technology

The availability of technology for the processing of abaca products is one of the concerns
in the industry. Processors in the hand woven and handicraft products of abaca practices
manual labor due to unavailability of machine for mass production. Also, the lack of
proper equipment is ilk industry in Northern Mindanao is the main reason why it is not
optimized and production output is not maximized.

Introducing technology with tradition is one concern in the mechanization in the

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weaving industry. Weaving has always been associated with cultural heritage making
mechanization challenging. Weaving is done manually making mass production
challenging.

From the result of the Stakeholders verification Workshop conducted, here are some
concerns that needed to be accounted:
- There are no available decorticating machine for Pina fibers and heir is no
design for such equipment suitable in the conditions of the industry in the
Philippines.
- In the innovation of products, here is a need in innovation in terms of new
materials and design; Not just focus on wood
- In addition to Abaca, Antique is into Abaca and Pina but there is lack of fiber
extractors (few are only harvesting) - there is a need for infrastructure
considering distance and geographic location since location is far and products
are heavy to carry;
- The government should provide equipment to process the high volume and
availability of raw natural fibers in the Philippines for it to have higher value
(abaca threads) and not just raw material. Also, it will have high impact and
uplift economic status of the community/country (not just abaca, even
furniture).

Raw Materials

One of the major challenges is the furniture manufacturing industry is the lack of locally
available materials. As a result, MSMEs are forced to outsource most of their raw
materials outside the province and are having difficulties in maintaining good logistics
for their firms. It takes some time to process the necessary permits required to obtain the
high-quality wood local raw materials for wooden furniture including permits to
transport. However, the LGUs highlighted that there are policies enacted through
permits to balance the interest of stakeholders and the environment in accordance to
Section 68 of Presidential Decree 705 or the Forestry Reform Code of the Philippines.
There are also national policies that directly affect the flow of supply of raw materials in
the country. These include
(a) Executive Order 23, “Declaring a Moratorium on the cutting and Harvesting of
Timber in the Natural and Residual Forest and creating the Anti-illegal Logging
Task force”;
(b) Department Order 99-46 “Revised Regulations Governing the Entry and
Disposition of Imported Logs, Lumber, Veneer, Plywood, Other Wood Based
Panels, Poles and Piles, Pulpwood and Wood Chips”;
(c) and the Timber Legality Assurance System (Chain of Custody Compliance).

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The European Union’s Forest Law Enforcement, Governance and Trade (FLEGT) Action
Plan identifies a range of measures to address the problem of illegal logging and related
trade. The Action Plan places particular emphasis on governance reforms and capacity
building in timber-producing countries. This is supported by actions aimed at reducing
the trade and use of illegally-harvested timber and promoting the use of legally-
harvested timber in the EU. The EU proposes to do this through Voluntary Partnership
Agreements (VPAs) between the EU and timber-producing countries where illegal
logging is a problem. The Chain of Custody compliance has a large impact on the industry
especially on more than 5.4 million livelihoods of the civil societies like carving, weaving,
etc. that are primarily hinged towards the wood based exportation to the EU. Even with
the existing policies imposed by the government, exportation of raw materials such as
rattan, abaca, etc. are still ongoing, contributing to the present problem in the shortage
of supply of raw materials for furniture making.

Acquisition of raw materials for the Natural Fibers industry is also a challenge. Ensuring
quality products lies in the raw materials used but sometimes the grades of the raw
materials acquired are mixed. Knowledge on grading or identifying good quality raw
materials is important to ensure quality products.

Bicol Region having the highest share in the total abaca production in the Philippines
has an abundant supply of raw materials in the region. But despite its availability, not all
abaca product manufacturers are being catered by the abundant supply because of the
lack of knowledge and coordination among suppliers in the region (no suppler and
consumer linkage). Also, the high cost of transportation and shipment of raw materials
that may greatly affect the pricing of their finished product. As a result, they are forced
to reject orders from their clients because they cannot meet the demand of their
customers due to lack of supply of raw materials.

The natural fiber industry in the MIMAROPA region needs further support from the
academe and government agencies for the development of the natural fibers industry
and one of these interventions can be the establishment of plant nurseries for abaca in
the regions that would create a major impact in the production of quality fibers by
distributing high quality and disease-free planting materials. With this provision, supply
of quality raw materials for the manufacture of natural fiber is ensured.

The Stakeholders verification workshop has identified concerns in raw materials as

follows:
- Some prefer to export raw materials rather than process them here in the
country while some parts of the country are importing raw materials such as
premium wood species.
- Unavailability of some raw materials and low markets due to price increase of
the raw materials
- There has to be a quality standard of raw materials in natural fibers to achieve
consistency
- Unstable supply and price of raw materials. There should be segregation of
materials that furniture manufacturers use as RAW MATERIAL (no need to

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 process) and the bulk for further processing.
- We need material manipulation. Products are grounded in culture but the
material is not modern enough. Culture, Quality of Products, and World Class
Appeal should come together.

Employment and Workforce

Although most of the furniture manufacturers are giving highest importance to their
workers, they admit that most of their workers are not knowledgeable with the new
machines and equipment used in producing furniture. Also, the industry is currently
challenged with the ageing skilled labor force and fast turn-over rate. Almost all
companies are having a hard time finding skilled worker for a specific job like carving,
machine operation, assembling, sanding, spray painting, and others. The lack of readily-
available skilled labor force has a big impact in the industry because the labor force is
deemed as the most important aspect in any business.

The micro and small enterprises have no formal training system for their labor force. The
lack of training and technical know-how also limits the sector in utilizing new
technologies.

Currently, medium scale enterprises need to coordinate with TESDA and some academic
institutions (trade schools or state universities) to acquire skilled workers. Before, the
trade schools had elective vocational courses, including furniture making, carpentry and
bamboo craft. Furniture makers are expecting that through the K-12 program of the
Department of Education, they can employ graduates of skilled courses but at the rate
the program is being implemented, most areas do not have K-12 programs that can cater
to the furniture sector. Thus, one challenge is that white collar jobs overshadow the blue-
collar jobs. There is that threat felt by the industry that sooner or later if this concern
will not be addressed, skilled workers like carpenters, welders, etc. may not be available
anymore. The current dilemma is “a carpenter would not want his children to become
carpenters like him”. Professionalizing the skill through a National Certification
Program is important. If the trade schools can offer elective vocational courses, including
furniture making and carpentry, there could be a continuous supply of skilled workers.

For the processing of natural fibers, some of the MSMEs cited that the challenge is also
the lack of skills in making new products. They said that it would be a waste of raw
materials if the finished product does not meet the quality desired.

In the weaving industry, weavers are in their late ages and the youth are losing their
interest and reluctant to continue the art of weaving thus not being able to transfer
knowledge from one generation to the next. Lesser youth are participating in the
industry thus the sharing of knowledge is limited only to those who are interested to
learn and involved in the business. Weaving as an art, culture and tradition is also limited

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to indigenous people which make the introduction and training for technological
equipment difficult to understand especially in a wide group of people.

Logistics and Transportation

Shipping and transporting products and raw materials especially on inter-island

situations is adding to the cost making it expensive. Also, Processing of documents to
transport products is also tedious and takes much time.

Market

Firms have difficulty in creating new markets. Production of new products also depends
on the target market, thus, the matching of raw materials is a challenge.

The micro and small scale enterprises need support on marketing to promote their
products. Only a few MSMEs are joining trade shows because they have no budget for
this. Majority of MSMEs have no showroom due to limited space. Even their production
area is small. With the new normal using online platforms as the best marketing tool,
MSMEs are only using Facebook (FB) posts and pages. They need to learn more about
virtual marketing. MSMEs, especially those who are not millennials, have limited
knowledge on virtual technology. Participation of medium enterprises to the past trade
shows are expensive (participating fee, setting of booths, cost of samples/ display
products, travel expenses and accommodation expenses, marketing paraphernalia,
salaries, etc.)

Most of the industry players believe they are not ready to enter the international market
since they believe that there is a need to engage in government sponsored trade fairs at
the provincial and regional levels to showcase their products to be able to build networks
with other firms and clients inside and outside their province.

In some parts of the country (e.g. Central Visayas), furniture and wood products are used
in transporting illegal drugs causing market loss in the furniture industry.

Aside from the market reach, manufacturers also mentioned that they lack the
technology and equipment needed to attain the level of design and quality the other
countries have (like the IKEA for furniture) to accommodate quality and volume
requirements of the international market.

For coconut fibers, there is a surplus in the supply in which the farmers are having
difficulty to market. With the low demand for coconut fibers, farmer-members of the
cooperative resort to burning the husks of coconuts where the natural fiber can be
extracted. There are efforts on helping the farmers in developing products that can be
extracted from coconut fibers. However, they have not yet come up with new products

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out of these coconut fibers. This indicates that farmers need more understanding on the
potential of coconut fibers and government’s intervention in creating marketable
products from the over produced but underutilized raw materials.

The Stakeholder’s Verification Workshop have identified some concerns as follows:

- Need to develop database of suppliers of raw materials for fast sourcing of

materials and the use of middlemen will be minimized
- Need for popularization of available raw materials in the region; need for
mainstreaming and inclusion in the LGU development plans
- For the weaving industry, products are classified as textile (with higher tariff)
and not as handicraft (with lower tariff). Need to seek help in the government
to correct this issue.

Intellectual Property

Some of the furniture manufacturers and the weaving industry have been experiencing a
situation where people try to steal their designs by disguising as a client trying to inquire
about their services and products. They admitted that they do not have any preventive
measures/strategies to avoid this issue. Most of the industry players are not aware of the
process required to protect their products and industrial designs through the Intellectual
Property Act of the Philippines. This indicates that there is a need to amplify the
government’s effort in information dissemination about the Intellectual Property Act
and its processes wherein they need to register their industrial designs to the Intellectual
Property Office for them to fully legalize and protect their ownership to the said designs.
Registering industrial designs from manufacturers of furniture and woven products are
vital for the protection and prevents copying, imitating, manufacturing, selling,
exporting, and importing these designs without the owner’s consent.

COVID-19 Pandemic Effects on the Industry

The sector as a whole was operating normally during the pre-pandemic time, firms are
operating in their usual capacities and international sales are coming in small but steady
phase and the local demand is doing quite well. Unfortunately, the Covid-19 pandemic
has brought negative effects to the industry especially since these products are
considered non-essential (non-food product) during this period. Orders are stopped and
almost all companies lost their sales and markets. Some firms are even forced to cut down
its workforce.

To address the foregoing challenges, the business owners need to innovate and adapt to
online platforms which are more efficient nowadays. They are looking into their
advantages rather than focusing on the downsides. This may be the most appropriate
time to re-tool the sector by proper planning and slowly investing in right production
technologies leaning toward green and sustainable business operation.

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Opportunities

Housing, vertical living spaces, hotels and resorts are still the brightest prospect for the
furniture industry. This is the largest potential pull through seen in near future to greatly
improve the status of all the industry players.

Also, sustainable or green manufacturing initiatives should be taken into account since
the industry relies so much on energy and raw materials. Likewise, government agencies
should give sufficient support to the companies particularly to the micro and small
enterprises.

For the natural fiber industry, exploring potentials for technical applications is a great
opportunity. Studies on natural fibers are rarely introduced or even given much attention
by most government agencies and even the private sectors. Researches focus mostly on
food processors, metals and engineering, and food. Seldom have given interests in the
natural fibers and garment industry. Since clothing is one of the basic needs aside from
shelter and food, people are fully informed somehow about the damage caused by
excessive use of synthetic materials. Some of the researchers have considered the
importance of natural fibers as sustainable and renewable resources. Material selection
in design and manufacturing of a sustainable product plays a vital role in the field of
engineering design. The polymer composite materials are one of such materials which
provide the ease of processing, productivity, and cost reduction.

The demand for abaca fibers in the global market is increasing due to its flexibility to be
transformed into different products not just for textiles as abaca fibers can also be useful
for automotive (thermoplastic and thermosetting polymers), and medical
(cardiovascular implants, tissue engineering, urethral catheters) applications.

Abaca may be the main fiber being used and produced but there are other fibers that are
also becoming visible or the industry is just starting to introduce such as silk, coir and
piña. Different cellulose fibers can also be used for textile and technical applications such
as flax, hemp, jute, ramie, sisal and coir. Recently, the interest for renewable resources
for fibers particularly of plant origin is increasing. Thus, one of the challenges is to
conduct study and invest on these other fibers just like in abaca.

Providing a venue for the collaborative planning of both Furniture and Natural Fiber
industry sector can nurture both industries for inclusive growth.

Strategic Challenge

The Furniture and Natural Fibers industry may face more challenges even while resolving
its ongoing burdens. However, the industry cannot remain totally focused with its
present issues, it should also plan its way forward. During the Stakeholders Verification
Workshop (SVW), participants were divided into five groups and were tasked to articulate
at least three (3) strategic challenges that the industry may face/will be facing in the next

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five to ten years and to also formulate corresponding framing questions. The group’s
chosen strategic challenge/ problem and framing question is highlighted in bold.

Table 6.1 Strategic Challenge and Framing Question

Time
Group Strategic Challenge/Problem Framing Question
Horizon
 How can Furniture Sector sustain on the quality of our
products in 10 years?

 How to sustain the competitiveness of the furniture

What kind of new
industry in terms of productivity and quality for the next 10
technology and pricing
years?
scheme can we have for the
next 5-10 years? Five (5) to
 How can we improve the capability of our manpower to be
1 Ten (10)
globally competitive?
years
What could be the design
 How can our organization provide best quality products for
that our customer prefer in
our consumer in the future?
10 years?
 What will be the R&D priority to harness the creativity of
manpower in the sector to promote its competitiveness?

 How can the Philippine Fiber Industry have available,

What will be the situation of
sustainable, accessible, cost efficient and quality local raw
raw materials in the natural
materials?
fibers industries 10 years
from now?
 How can the Philippine Fibers Industry develop fibers from
local plants (e.g. bamboo) and local silk (e.g. cotton)?
What are the preferences of Five (5) to
2 customers demand in the Ten (10)
 How can the Philippine Fiber Industry develop a generation
future or 5 years from now? years
of nano-enhanced textiles benefitted from nano finishing
for UV-blocking, antimicrobial, etc. purposes?
What are the latest
technology trends in the
 How can the Philippine Fiber Industry offer textile related
processing of Natural FIbers
programs to provide impetus in the development of textile
in the next 5-10 years?
industry in our country?
 How can we ensure adoption to new technology vis-a-vis What will be the new
availability of fund source especially the small time/scale technologies of the industry
businesses in the next 5-10 years? by 2030?

 How might the academe/professionals contribute to the What can these

development of the manufacturing industry in the next 5-10 academe/professionals offer
years? in terms of services and
contribution to R&D to
 How will the industry sustain the raw materials in producing help/empower the
their products in the next 5-10 years? enterprises and boost the
industry?
 How to ensure industry sustainability and competitiveness Five (5) to
3 for the next 5-10 years? What will be the R&D Ten (10)
Agenda to be formulated years
through academe-
government linkages to
have sustainable raw
material by 2030?

What interventions can the

government offer to the
industry to sustain the
availability of the raw
materials for the next 5-10
years?
 How do we continue to strengthen the promotion of woven What will the global market
products to catapult it globally? for woven products look like
in 5 to 10 years?
 What research and development initiatives can the industry
take in order to come up with new and innovative products? In 5 to 10 years, how will
the current situation of the Five (5) to
4  What will be the focus of the strategies in sustaining natural pandemic influence the Ten (10)
fibers supply chain for the next 5-10 years? direction of the R&D years
initiatives?
 How do we focus R&D initiatives in order to address the
sustainability of the natural fibers supply chain for the next Is there enough land area to
5-10 years and to also improve products for global assure enough supply of raw
marketability? materials in 5 to 10 years?

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 How will the R&D on
disease-resistant abaca
varieties change the
landscape of the Philippine
abaca industry? (also, a
question of sustainability)

In 5 to 10 years, how will

the current situation of the
pandemic influence the
direction of R&D initiatives
in pursuit of sustainability
and innovation?
 How can the natural fiber and furniture industry be What are the next fashion
competitive and resilient the next 5-10 years? trends (needs of the
consumers, design, context,
 How do we make sure that furniture and natural fiber marketing, etc.) for
sectors are visible and can be reached by broader wearables and furniture in
consumers? the next 5 to 10 years?
Five (5) to
5 Ten (10)
 How do we meet the demand in the market for wearables What are the needs of the
years
(weaving, raw materials, production) considering the low consumers in the industry
cocoon production? by 2030?

 How can we make sure a steady supply of skilled What is the trend in trade
craftsmen/carpenter engaged in furniture manufacture in education and how are they
the next 5-10 years? relevant?

Harmonizing all their proposed strategic challenges, the stakeholders came up with one
strategic challenge and framing question for the two industries they deem most
important.

“How to ensure sustainability and competitiveness for the next 5 to 10 years?”

While the Framing Question is:

“What innovative products (Furniture and Fiber-based) would the consumers prefer
in the next 5 to 10 years?”

There is no definitive answer to the question posed by the strategic challenge. As to the
“how”, the stakeholders themselves identified several “driving forces” meant to expound
on the challenge. These points are grouped into six categories: Political, Economic,
Social, Technological, Legal and Environmental (PESTLE). Some subjects listed below
also appear twice or more on other categories as the stakeholders identified them to be
(e.g Raw Material shortage).

Table 6.2 Political Driving Forces

POLITICAL

Opportunities Threats
 Government support through creation of yarn production and innovation  Limited government funds
center  Red tape
 Farm to market road improvement  Unfair trade practices
 Programs on processing and production equipment successions  Corruption
 Availability of equipment to properly produce products  Urbanization of natural fiber
 Export prices of products in the international market farmlands
 Government assistance  Lack of financial support
 Presence of industry associations to facilitate government assistance  Regulations on sourcing out
 LGU support in the community- e.g. Promotion to plant cotton, support to of raw materials such as
weavers, etc. timber

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  Support of LGU and NGA to the Industry  Raw material shortage
 Governmental development programs
 Strong linkages and partnership with the public-private industry
 Price scheme
 Tax holiday for the industry players as head start to business as a result of
the pandemic
 Industry performance to the local and world market
 Policy of the government
 Enabling policies/specific policy for the industry
 Trade education
 Competency skills training

Politics has a great role in the current situation of the Furniture and Natural Fibers
industry. Most power needed for the immediate solutions for the industry resides in the
government. Our industry needs assistance in terms of supportive policies, capacity
building and financial support among others.

Table 6.3 Economic Driving Forces

ECONOMIC
Opportunities Threats
 Quality workmanship  High cost of imported
 Product quality standards raw materials
 Demand for processed natural fibers  Manpower
 Demand for natural fibers  Raw material shortage
 Updated designs  Manufacturing
 Raw materials mismanagement
 More alternative sources for raw materials  Middlemen affecting
 Efficient supplies of raw materials for the industry process of raw materials
 Use of substitute materials, abundant in the locality  Lack of financial
 Sourcing of raw materials support
 Price scheme
 Supply and demand
 Sector budget
 Global approach
 Industry performance to the local and world market
 Inclusive multi sectoral partnerships for product development, competitiveness,
marketability and profitability
 Neck to neck competition among other ASEAN countries (Furniture and Natural
Fibers)
 Export prices of products in the International Market
 Market establishment
 Marketing strategy
 Risk management of the industry
 Centralized platform for producers and consumers
 Improved logistics systems/ increase in the number of logistics provider
 Startup opportunities
 Opportunities for new market created by the pandemic situation

Establishing a market for our products both for Furniture and Natural Fibers may just be
a single step in ensuring economic stability for the industry. Experts in the field of
economics and marketing should also be integrated in the agenda for improving the
industry. Nevertheless, solutions for problems locally should be addressed before we
could compete in a global scale.

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Table 6.4 Social Driving Forces

SOCIAL
Opportunities Threats
 Competitive production  IP related issues
 Presence of creative designers  Ageing workforce
 Increase of number of users of IT products(Phone, Tablets, Laptops)= Increases  Manpower
market reach  Skill death for the
 More and more people are now using internet, thus expanding market reach furniture
 Youth’s interest to engage in the industry sector(ageing group)
 mentorship  Manufacturing
 Skills mismanagement
 Competency skills training  Middlemen affecting
 Trade education process of raw
 More workshops materials
 Opportunities for new market created by the pandemic situation  Eliminate hoarding
 Situation of the ongoing pandemic(innovative products from furniture and
natural fibers may arise)
 Joint ventures among raw material suppliers and buyers
 Support to farmers or suppliers of raw materials
 Raw material shortage
 Bond among suppliers and buyers/team building
 Collaboration
 Creation of networks among stakeholders in the furniture and natural fibers
industry.
 Presence of industry associations to facilitate government assistance

Maintaining a skilled labor force is the current issue of the Furniture and Natural Fiber
Industry. Interest in the art of manufacture of these products should be promoted
aggressively in order to attract more and more youth that are continuously enticed in
looking for corporate jobs. With proper measures, the industry will be revived with a
more skillful and technologically adept labor force that will greatly benefit the industry,
create more jobs and maintain social stability.

Table 6.5 Technological Driving Forces

TECHNOLOGICAL
Opportunities
Threats
 Database for producers, consumers & RDIS
 Various common shared facilities (% DTI)  Sourcing out
 Innovation of raw materials as well as finished products product
 No local manufacturers of raw materials
 Maximum utilization of raw materials designs
 Using old furniture materials and transforming it into new forms.  High cost of
 Expand research and intensify R&D
 Technology enhancement machineries
 Development of design repertoire  Traditional
 Industry 4.0
 Use of E-marketing processing
 Testing laboratories for raw materials and finished product methods
 Availability of technologies
 Availability of global market of state-of-of-the-art technologies  Raw material
 Rebrand to elevate handmade products shortage
 Local suppliers for relevant equipment and advanced equipment
 Elevate/ upgrade quality of materials  Mined
 Product innovations digitalization/ upgrade internet connectivity intellectual
 Available technologies
 Design prototyping property-
 Research and development priorities based
 Accessible standardized testing facilities and equipment
 Academe’s R&D capacity product
 Rise of hybrid natural fibers like “Bandala” for more improved fiber products development
 Continuous improvement of products, process and machineries

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  Programs on processing and production equipment successions  Skill death
 Increase of users of gadgets (cellphones, tablets, laptops) increases market reach.
 Market reach is expanding as a result of more people using the internet. for the
 Mentorship furniture
 Competitive products
 Industry performance to the local and world market sector(ageing
 More workshops to improve skills group)
 Improved logistics systems/ increase in the number of logistics provider

For our products to stay on track with the market, generating new ideas and products
should be the main focus. With research and development, more value can be added to
our unique materials that will definitely be at par with other materials abroad. Still, there
should be proper or wise integration of machinery and other technologies to our industry
to ensure that culture and tradition will not be overshadowed.

Table 6.6 Legal Driving Forces

LEGAL
Opportunities Threats
 Policies in acquiring raw materials and equipment  Intellectual Property Theft
(most importantly for furniture)  Unfair trade practices
 Legislative agenda/ government support  Laws on environmental protection
 Policies  Regulations on sourcing out of raw materials such
 Demand for standardized analysis of innovative as timber
products  Mined intellectual property-based product
 Availability of equipment to properly produce development
products
 Tax holiday for the industry players as head start to Eliminate hoarding
business as a result of the pandemic
 Enabling policies/specific policy for the industry
 Competitive products
 Policy of the government

Stakeholders both in the Furniture and Natural Fiber Industry require more capacity
building activities in the field of Intellectual Property. In order to maintain genuine
quality products that are competitively produced in the country, piracy and theft of such
ideas should not be tolerated. The Government can provide such trainings especially to
new comers in the industry.

Table 6.7 Environmental Driving Forces

ENVIRONMENTAL
Opportunities Threats
 Innovations of Environment Friendly Products  Land Conversions
 Impact of the Industry to the Environment  Uncontrolled Unlawful
 Availability of equipment to properly produce products Logging
 Use of substitute materials, abundant in the locality  Limited Raw Materials
 Sourcing of raw materials  Deforestation
 Market establishment  Weather Disturbances
 Supply and demand  Raw material shortage

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The Environment like anything else should also be of paramount importance. Without
care, our natural environment can be destroyed as well as our source of raw materials be
depleted. Maximum production of our products should not compromise the well-being
of our environment.

Most topics/issues listed by the stakeholders above is a repetition of the problems cited
in the previous chapters. This indicates how significant the subject is or how such
roadblocks complicate the process towards development.

The stakeholders saw that the most pressing issue is the situation of the ongoing
pandemic, identifying it across all six categories of PESTLE. This situation although a
threat to many businesses, can be an opportunity for the Furniture and Natural Fibers
industry to innovate their products. Some had already taken adjusted by supporting the
production of quality facemasks and other personal protective equipment (PPE) for the
Natural Fibers industry.

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CONCLUSIONS

While it is true that the furniture industry has an advantage in terms of design, creativity
and material manipulation compared to other furniture manufacturing countries, it is
also correct that the overall manufacturing and technology cost is high and efficiency is
low. Workforces are also ageing and fast turn-over is a challenge. These are the
disadvantages that must be addressed to become more competitive.

The furniture industry must take a course of action in order to resolve the challenges it's
facing. Some actions will ensure that the industry’s futures and are recommended below:

● Devise a scheme to attract younger people to go into the furniture industry. The
K-12 program may be an avenue to offer such technical/vocational courses for
furniture making. Scholarships may be offered for those interested and require a
service obligation after graduation.
● Consider government investments on regional and provincial R&D innovation
centers and hubs and developing capacity building activities such as training,
seminar or workshops, production planning, equipment operation and
maintenance and technological assistance on designs and mix media production.
● Strengthen linkages with government agencies to on development and promotion
of materials and technologies and to be able to benefit from programs being
offered.
● Invest on new and energy efficient production machineries and equipment.

The Philippines already has the upper hand as one of the leading producers of natural
fibers in the world, using this opportunity as a stepping stone to achieve development in
the industry and by continuously enhancing the production, processing, technology
interventions, research and development, and market of the industry, the country can
depend on the natural fibers industry as it goes near to sustainable development.

Based on the Philippine Abaca Industry Roadmap 2018-2022, the demand for abaca fiber
both in the local and international market is growing drastically because of the shifting
in preference for natural fibers rather than synthetic fiber materials. The utilization of
such fibers had greatly diversified in different industries like food packaging and textiles.
To remain as the world’s top supplier of abaca, production should be improved using
strategic methods.

The vision that the MSMEs see is that there is enough or stale supply of abaca fibers to
meet the demand of the enterprises. They also want to see the next generation to be
involved in abaca farming. Another is the involvement of LGU and government agencies
to prioritize the abaca sector because it has a big potential. Other targets/plans are
sufficient funds for programs of government agencies regarding the abaca industry,
improvement/modernization of machineries, and training on how to operate the
equipment.

Here are different interventions needed from the government that would open

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opportunities for other farmers and processors to the many potentials the natural fibers
industry can provide:

 Establishment of Nurseries for Abaca Fibers

Abaca fibers possess a high demand in the international market, and to be

able to achieve the market requirements and achieve full utilization of this
commodity, a long-term plan for its sustainability should be implemented.

 Provision of New Technologies, Facilities, and Human Resource Development

Provision of technologies and other machinery in natural fibers is vital to

fully achieve the full potential of the industry.

The Philippines is one of the largest contributors of natural fibers in the

world, and to stay with the big leagues in this industry, process
mechanization should also be on the top priority of the government by
intensifying programs that involve provision of technologies to farmers
and processors. In line with this, training and seminars should continually
be provided at different levels.

 Innovating New Products from Natural Fibers

There is a need to innovate and produce new products that are marketable
and in demand. At the onset of COVID-19 pandemic, these products
include face masks, face shields, and PPEs. Innovating the existing
products to produce those in demand and going along with the speed of
digitalization and e-commerce would facilitate business continuity.

Some farmers are not that knowledgeable on the potential products of

natural fibers in abaca and coconut. Most of the farmers are just selling
natural fibers as raw materials to their clients and are not yet in the stage
where they process these fibers to new products. Farmers can also be
processors of natural fibers into new products that could sell both at the
local and international markets and not just producers of good quality
fibers. This implies the need for amplifying the research and product
development for abundant and available natural fibers in the regions.

 Conduct of Research and Development

Investing in R&D may take some time and needs a lot of money to make
sure that certain process work but Research and development play a big
role both in the success and failure of the product in the future.

Instead of focusing much into production and marketing, interventions should comprise
all aspects of the value chain. There should be a provision of venue for the Furniture and
Natural Fibers Industry for collaborative discussion and planning.

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