ECONOMY IS ABOUT TRADE

We are experiencing at the moment financial difficulties due to lack of revenues by the government to sustain its obligations and spendings that has now resulted to the TRAIN LAW  as hope to stay alive in the middle.

BALANCE OF PAYMENTS (BOP) STATES THE CONDITION OF THE ECONOMY

The current trade deficit of the country indicates the real condition of our financial capability as a government, and as a country. The BSP has been releasing figures lately that speaks about the situation which is are all deficits since 2016.

"The current trade deficit also factored into the Philippines' balance of payments report. According to the latest report from the Philippine Statistics Authority, the trade deficit in May was at $3.70 billion." 

"For the period January-June 2018, the cumulative BOP deficit of US$3.26 billion is nearly fivefold more than the US$706 million BOP deficit recorded during the same period last year, data showed."- CNN NEW REPORT JULY 20, 2018

We see the situation as a simple plus and minus of mathematics that can be easily understood that the government should not take pain to find solution to the problem of  the economy.

Business is the law of economy for any country, it is about wealth, and nothing more. But the problem of having wealth is also a not difficult task to make, but easily can be done by simple analysis and thinking.

MORE MANUFACTURING

When we speak about our current trade deficits which is about 3.70 billion USD is actually about low exports  by the country,  we just need more exports that would mean more manufacturing to mitigate and eraze the gap.

We just do not need to equal imports by exports, we must exceed our importatons as many times possible to state wealth for the country.

ENCOURAGE BUSINESS AND TRADE

To earn more revenue for the government, the administration or with the legislation of  the congress should enact laws that would ensure local capitalism, investments and free the atmosphere of commerce in the country.

TRAIN LAW 

TRAIN  law might have been a misplaced legislation of the congress because it targets to earn more revenues/taxes by the government of the same size of tax base of businesses  and commercial environment in the country.

When the goal is about more revenues, we should take the other way of increasing our tax base, of more businesses, traders, more commerce, in all multiplication of the GDP.

This is a broad way situation of finding means for revenues by not affecting its constituents, but in effect, broadening the tax base, good trade conditions that would result to more vibrant economy. 

The Train law is about cutting and suffocating the air for trade and businesses that will eventually lead to the collapse, reduction, and bankruptcies due to hostile enacted laws killing trade. 

CHINA BANNED 5G IN AUSTRALIA

The situation where China has been regarded as a security threat by the US and other countries in terms of its technology espionage is something that we should also be careful about even though we  don't possess technology, but on issues where sensitive information's are at risk.

Our situation is not about technology, but for our national security issues under our plan to seek investments from China for our 3rd telco player in the country  comes as a matter of concern.

THE US AND AUSTRALIA IS AN ADVISE TO THE MATTER.

Definitely, the US and AUSTRALIA  indirectly by their experience has given us the advise on why we should reconsider our plan to deal partnership with China in the are of telco industry for the country for reasons they had cited as threats.

Australia blocks China’s Huawei, ZTE from 5G development on security grounds

List of Chinese spy cases in the United States

For sure, for security reasons, there's no point to give China a hand in our communication industry where such will lead to  espionage of sensitive information regarding national policies that china can use against us.

While the US is considered as the beacon of technology of the world, and China is very much interested to acquire their advanced technology, was banned and rejected recently, is a strong indication then that our government too should refrain at this point in pursuing partnership in areas of sensitive and strategic investments such as the telco.

CHINA IS OUR ADVERSARY IN THE WEST PHILIPPINE SEA.

China is a transgressor in the West Philippine Sea,  and has threatened our fishermen of going to our EEZ and to our traditional fishing grounds, and much more  defied the UNCLOS ruling and prohibited us since then with their fictitious nine dash line.

Under this situation, the antagonistic attitude of China towards us is a kind of threat to our national security.

The situation is now felt by the  supply shortage of gallungong in the country and the government is now opting  importation which is unusual.

GOVERNMENT COMMUNICATION WILL BE ENDANGERED.

The matter will be much more complicated when China will get a hand to supply, operate our telecommunication system in the country, and their habitual espionage will further complicate the situation and affect our government policies.

Naturally, when communication is under threat, China which has big interest to our natural resources will easily infiltrate sensitive informations and policies of the government and can take actions ahead to the detriment of our national security.

There is no other reason to reject the same the offer of China when the US and Australia had already showed us the security reasons about telco industry.

COMMUNCATION IS AN STRATEGIC INDUSTRY

Regarded as an strategic investment, the government should not rely foreign investments to this sector, but it may further strengthen local investments as priority.

Secondly, when investments are needed in this area, criterias should meet not for those countries in adversarial state with the Philippines, rather reserved only for our  long time allies of democratic states possible.

GALUNGONG IMPORTATION

The proposed importation of gallungong by the government reveals a problem that food security is no a matter of national concern.

As quoted in the news, the country had been importing this round scud fish from abroad thru commercial canning companies in the country, but not a sign where the need today to import them by reason to augment food shortages for the populace indicates seriousness of the situation that our government must  put attention to our food security problem at hand.

BFAR ARGUED THAT THIS IS NOT THE FIRST TIME OF OUR FISH IMPORTATION.

There is that difference of commercial importation of fish for the  canning plants in the Philippines vis-a-vis with the need to augment supply and demand in the country directly affecting food security. The situation is showing detrimental concerns that the government must look into and resolve.

The foregoing  argument  does not justify the importation of Galungong, it only admits the dwindling local production caused by the loss of fishing areas in the west Philippine sea by our own fishermen.

IMPORTATION DEPLETES OUR FOREIGN RESERVES.

Directly, our foreign reserves are affected by every importations in the country and hence the addition of simple supply of gallungong shall not be appreciated to add more injury to our already declining foreign reserves.

GALLUNGONG iMPORTATION a news item from THE CNN

THE FISH IMPORTATION IS AN ISSUE OF THE WEST PHILIPPINE SEA.

This issue translates to the situation of the West Philippine Sea , since the assertion and occupation of China of its nine dash line  had directly affected the activities of our local fisherfolks in the area by its prohibition of Filipino fishermen fishing in our own EEZ.

We have now felt the effects of our loss of our sovereign rights in the exclusive economic zone of our country as ruled by UNCLOS resolution. The declining supply of gallungong is just he cause of the loss of our fishing rights in the West Philippine Sea caused by China's occupation of the traditional fishing grounds of Filipino fishermen.

THE FEAR OF THE FUTURE

There is fear of the future for all Filipinos by this situation of the scarce supply caused not by our poor local production, but by the loss of our traditional fishing grounds in the west Philippine sea.   It will certainly grow and result into more catastrophic future scenarios when situations are not resolved to regain our rights in our own EEZ.

At this loss, there is nowhere our fishermen will go for fishing unless it is resolved.

With our growing population, food security is a matter of national concern that must be addressed by the government, that it is of the same case  for China that she had  initiated the nine dash line falsely disregarded by the Hague tribunal that food security is her own issue.

NEEDED FUTURE ACTIONS

It is no longer a future action to assert our rights of the west Philippine sea that we have won from the UNCLOS, it is now that we must take necessary action to exercise of what was ours.

There is no better economic strategy but to exercise our rights now before anything are turned difficult to resolve later. Our silence of the issue as an acquiescence, an approval of the illegal acts of foreign intruders are the only option to maintain economic prosperity for the country.

image above is from this link :gallungong improtation

 PH eyes importing galunggong to stabilize prices

IMPORTATION TO STABILIZE PRICES

In truth, allowing importation of Gallungong to stabilize prices in the local market does not mitigate the situation and in long term is not the solution to address the impending food supply in the country, it merely reveals the real situation that there is fear  for the future of our food security.

We are not actually addressing the problem. Since we now see the situation, the government should now discuss the issue of exercising our rights to fish in our own EEZ, to stop of being silent on the matter.

It means also that our local production has declined by shortage and loss of our fishing grounds caused by China actually.

FISH IMPORTED MIGHT BE OUR OWN FISH IN THE EEZ.

There is valid thought that the fish we now import are actually our own in the EEZ that becomes an awkward act  for the government.

Making our own way for progress

The situation between China and Pakistan is just a matter to be observed by our own economic strategists that the relations of the two countries in trade is getting difficult for each sides.

We do not know what will be the long term effects of loans that Pakistan is taking from China that sooner int he future, trouble seems to be on that relation by how Pakistan can repay china of its loans.

Sri Lanka is one big example to observe that Pakistan itself might get into the same trouble.

In the Philippines, the alarming rate on which our government is dealing with China and having more loans from this country is  thing that must considered for study and caution. Because the experience of Sri Lanka and other countries in the process  must be a big factor to slow down and find other alternative and means instead.

Much more, the assertive actions of China is becoming evident in the South China sea and it must be a factor to reconsider things we are getting into with her. It is no unlikely that the south China sea in particular with the EEZ of the country to enjoy it s natural resources solely for the benefit of the country's economy must be the first policy of our government.

The rate we are engaging with China particularly loans and financial assistance must be taken with caution as we are observing all other countries are having that difficulty now.

malaysia, Cambodia, Vietnam, the African regions, and all over are now apprehensive of their future with China.

Even the Untied States is now in fear of Chinese dominance in trade and in their financial power to defeat countries and replace their leadership globally.

So, what do we expect from China, or how can our relations with her after the loans and the period to repay them?

There many other solutions that we look into internally rather taking our chances with China. We can have internal changes in policies and make our economy the way without foreign interventions and infusions.

We can make out economic growth, successes without strings attached difficult  to untangle in the future. Better not to engage in a manner that we will regret later, rather we can take a path other that that of China, but purely of our Filipino  methods and means.