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Welcome to SBFCC!
The Subic Bay Freeport Chamber of Commerce, a member of the national Philippine Chamber of Commerce and Industry, is an independent, nonprofit, membership-funded organization founded in 1995 to serve and represent the interests of its member businesses. We are also an accredited marketer of the Philippine Retirement Authority.
We are actively involved in a number of areas and are in the forefront of issues affecting our member businesses, their employees, and their families.
The single distinguishing characteristic that sets SBFCC apart from other Chambers of Commerce is that our members come from some 20 countries around the world.
Freeport Economic Data
The Subic Bay Freeport's economic data that covers almost the full 2009 is now available in the Chamber Forum for Chamber members. Click here to access the info.
Also available are information related to the 2009-2010 Philippine Economic Briefing held last December 14 at the Holiday Inn in Clark, Pampanga. Click here to view the info.
Chamber Events
SBFCC Charity Bazaar
2012 State of the Freeport Address
SBMA Chairman and Administrator Roberto Garcia presented last year's accomplishments of the SBMA as well as plans and programs for the future. The US$8.4 billion cumulative investments and 17% increase in 2011 despite the sluggish global economy top the accomplishments. Mr. Garcia also discussed the chalenges the SBMA is facing including the total cumulative loss of P7 billion since its creation in 1992. He said that the loss incurred by the SBMA is due to the low lease rates being given to investors, lack of additional land for new and expanding companies, along with an under-utilized airport, under-utilized container terminal 1, and ageing infrastructures and equipments.
The SOFA is an annual event organized by the Subic Bay Freeport Chamber of Commerce.
Induction of 2012 Chamber Officers
Chairman Garcia inducted the 2012 officers of the Subic Chamber during the recent SOFA. From the left are Treasurer Lawrence Lusung, Corp Sec Romeo Duran, Chairman Garcia, Director Lewis Strickland, Vice President Rose Baldeo, and President Danny Piano.
Recognition
The Subic Chamber recognized and gave a Certificate of Recognition to DTI-Zambales for its significantly improved and streamlined services, fair and equal treatment of customers, and clean and honest governance worthy of emulation by other government agencies.
Golden Eagle Member of the Chamber's elite President Circle
The highest category of the Subic Chamber's elite President Circle, the Golden Eagle Membership, was awarded to Rose Baldeo of Global Terminals & Development.
Toys for Tots Program
The Subic Chamber, under its Toys for Tots Program and in collaboration with the TATAG Foundation, gave away a bunch of toys to underprivileged children in the community. The program, through a new toy at Christmas, aimed to deliver a message of hope to the less fortunate. The donors include the SBFCC, Aviation Concepts, Danny Piano, Ajay Pathak, Phil Thrash, Cheryl Scribner, and Trish Hart.
General Membership Meeting
The SBFCC held a well attended and successful General Membership Meeting last November 29. Guest speaker SBMA Chairman and Administrator Roberto Garcia reported on SBMA plans for the Subic Bay Freeport. He also answered questions from members of the Chamber. SBFCC Vice-President Tom DeBruin, on the other hand, presented a comprehensive report focusing on Memberships and Financial Standing, Accomplishments and Milestones, and result of the SBFCC Elections.
Result of the SBFCC Board of Directors Election
Election results have now been tabulated and we are pleased to report the following:
Elected directors:
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The above noted will join Tom DeBruin, Atty Romeo Duran, Jun Avecilla to comprise the seven member Board of Directors team.
While the below noted were not elected this time around, all are encouraged to participate in chairing a Committee, staying involved and try again next year. It was a close race this year with higher than ever voting turnout. Thanks to all!
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The following now comprise the SBFCC Board of Directors and officials:
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-by SBFCC Elections Committee
Click here for previous info regarding the election.
Israel Chamber and Subic Chamber signed Memorandum of Agreement
President Joseph Gueta of the Israel Chamber of Commerce of the Philippines (ICCP) and Prof. Danny Piano, President of the Subic Bay Freeport Chamber of Commerce (SBFCC) recently signed a Memorandum of Agreement between the two organizations.
Each commits to continually develop their available resources to increase or sustain their level of trade and competitiveness in the world market. The SBFCC and ICCP shall also undertake to encourage its members and member companies to participate and support expansion and diversification of existing companies within the industry, and shall work hand in hand in developing strategies envisioned towards promotion of trade and investment between Israel and the Philippines.
The signing was observed by Ferdie Sarfati, ICCP Executive Directors, SBFCC Board of Directors, SBFCC Executive Director Susan Dudley, and members of the Subic Chamber during its mixer and networking night at the SeoRaBeol Grand Leisure Hotel. SBFCC Vice President Tom De Bruin made the arrangements for the collaboration of the two chambers.
Subic Chamber now ECOP member
The Subic Bay Freeport Chamber of Commerce (SBFCC) is now officially a member of the Employers Confederation of the Philippines (ECOP).
The SBFCC started collaborating with ECOP since last year, particularly on matters regarding the minimum wage and on the KAPATID Awards. The Subic Chamber nominated five Subic Bay Freeport companies to the ECOP Kapatiran sa Industriya [Partnership in the Industry] 2011 Awards. One, Absolute Service Inc (ASI) came up as one of the winners. Twenty eight companies from across the nation were originally nominated. This was trimmed down to 13 from where the winners were eventually picked. Finalists included Nestle, Dole Phils, Toyota, Bridgestone, and IBM Phils among others. Dole Phils bagged the grand award. ASI received the "Strategic Local Talent Development" special award.
Absolute Service Inc president Danny Piano, who is also the current president of the SBFCC, received the award presented by Philippine President Noynoy Aquino.
ECOP is recognized by the Philippine government, through Presidential Letter of Instruction (LOI) 688 of 1978, as the single voice of employers, to be consulted by the government, together with labor, in the promulgation of a scheme which would promote and sustain an adequate machinery for cooperation between labor and management at appropriate levels of the enterprise.
SBFCC Relief Donations
The Subic Bay Freeport Chamber of Commerce was able to successfully distribute two batches of relief donations to victims of typhoon Pedring recently.
The first batch was distributed to two areas in Olongapo City, one on the evacuation center at Barangay Sta. Rita while the other was at the Nagbaculao cliff-side of Barangay Kalaklan.
The second batch was distributed to one of the hardest hit areas in Luzon—Calumpit, Bulacan.
The Chamber thanks all the donors and volunteers who kind-heartedly provided cash, goods, and support. As we distributed our relief goods to the disaster victims, the resulting glimmer of hope from their otherwise desperate eyes, set on miserable and bleak surroundings, is enough indication that the Subic Chamber, once again, made a difference on the lives of others.
Our donations were immensely appreciated!
Subic Freeport chief brushes off move to close facility
A top official of the Subic Bay Freeport Chamber of Commerce (SBFCC) brushed off the suggestion of Pilipinas Shell Petroleum Corp. that this Freeport should be closed to curb oil smuggling.
SBFCC President Danny Piano said Pilipinas Shell Petroleum Corp President Edgar Chua could have made that statement in an emotional haste. He also clarified that the economy in Subic Bay Freeport is not only worth P10 billion, but its exports alone already amounted to more than P50 billion.
“We are talking about affecting more than a thousand businesses and about 100,000 workers in those two areas who are going to lose their jobs. The social impact is certainly worth more than the taxes in question,” said Piano.
Chua in a report proposed shutting down major Freeport zone in the country to curb oil smuggling, which he said eroded tax revenues of the government by up to P30 billion a year.
Chua was also quoted saying that Subic Bay Freeport and Phividec Industrial Estate in Misamis Oriental have been the main entry point for oil smuggling.
“I do sympathize with Mr. Chua, though, regarding the rampant smuggling of oil although I think this is not limited to Subic or Phividec. But no, I disagree with the blanket statement that locators are abusing their tax-free privilege. That is certainly not the case,” added Piano.
The Freeport head pointed out that oil smuggling is a long standing Bureau of Customs problem which is not procedurally difficult to control.
“It’s not like oil tankers can sneak unseen in the first place,” he emphasized. -by Anthony Bayarong, Philippine Star
SBFCC Blood Drive a Success
The Subic Bay Freeport Chamber of Commerce (SBFCC), in cooperation with the Philippine Red Cross and the Subic Bay Metropolitan Authority (SBMA) conducted yet another mass blood donation drive last October 18. This is the SBFCC’s 5th since it started the project in 2007.
2011 International Coastal Cleanup
Kids are just amazing! Heavy rains did not even hinder their enthusiasm one bit. They continued to remove thrash from our coastlines and waterways—with passion and gusto. You’d wonder if the world is better off with kids running the show instead of politicians. :)
The organizers of the Subic Bay Coastal Cleanup thank those who participated in the event. Click here to see pictures.
Here's a panoramic view...
Subic Freeport Receives ACTA Delegates
Representatives from different cruise-ship terminals in Asia including Singapore, Japan, and Malaysia, were warmly received by SBMA and representatives from various organizations as part of the preparations for the formal launching of the Asia Cruise Terminals Association (ACTA) in October.
ACTA, in which SBMA is a founding member, was created with the aim to provide for a cruise-friendly environment, and a vehicle for regional cooperation in terminal development, operations, and management. It seeks to promote cruise terminal facilities and services internationally, targeting to establish an influential alliance leading to the emergence of a captivating Asia cruise playground.
“The Subic meeting will serve as a venue for the validation and ratification of the ACTA constitution and by-laws, which was discussed during the first Pro-Tem meeting in Singapore,” said Raul Marcelo, head of SBMA's Tourism Department. He added that as part of SBMA’s thrust to make Subic Bay a prime logistics, maritime, and tourist hub, the agency will facilitate the development of Subic as a cruise-ship destination by being an active member of ACTA.
GSBTB representative Jean Versoza and SBFCC President Danny Piano joined the group during lunch at Asian Spices Restaurant at Segara Villas.
Subic Bay Welcomes Dragon Boat Team
Members of the Philippine Dragon Boat Federation (PDBF) team were welcomed enthusiastically by the Subic Bay Freeport during the occasion of the feast of San Roque. A motorcade was conducted where students from several schools and employees from various companies lined up the streets to wave support to the team.
SBMA Chairman Bobby Garcia encouraged the team to use the facilities of the Freeport, free, for their regular practice. Deputy Administrator Raul Marcelo, head of SBMA’s Tourism Department and organizer of the successful event also said to the paddlers that they have our support and that they can have the whole of Subic Bay at their disposal.
SBMA, the Customs Agency, GSBTB, and the Subic Chamber presented plaques and certificates of recognition to the team. The SBFCC certificate states, “In recognition of your successful campaign at the 10th Int’l. Dragon Boat Federation World Championships held in Tampa Bay, Florida where, despite tremendous odds, you won five gold medals, two silver medals, and broke several world records. You bring honor, pride, and inspiration to the entire Filipino people.”
ICTSI Signs Contract to Operate NCT-2
International Container Terminal Services (ICTSI) has signed a 25-year contract with the Subic Bay Metropolitan Authority (SBMA) for the operation of the Subic Bay Freeport's New Container Terminal-2 (NCT-2). Subic Bay International Terminal Corporation (SBITC), a subsidiary of ICTSI, will operate the terminal. Administrator Armand Arreza signed for SBMA while Edgardo Abesamis, President of SBITC, signed for ICTSI.
SBITC, a long time member and active supporter of the Subic Bay Freeport Chamber of Commerce (SBFCC), is a Silver Circle member whose General Manager, Reimond Silvestre, is also a member of the SBFCC's Board of Directors.
2011 Mid-Year General Membership Meeting
During the mid-year general membership meeting last June 28th, SBFCC President Danny Piano's report to members covered the SBFCC Advocacies, Membership, Financial Standing, Accomplishments, and various Milestones achieved. The numerous accomplishments included, in collaboration with SBMA, successes in streamlining regulatory procedures and triumphs in national government lobbying regarding various concerns. He also mentioned that the SBFCC is on solid financial standing and have continuous increase in membership.
SBFCC Receives Award from the Philippine Red Cross
TThe Philippine Red Cross recognized the Subic Bay Freeport Chamber of Commerce with a Certificate of Appreciation last July 15, 2011. The SBFCC provided the most number of blood donations at the Subic-Olongapo area. The awarding was held at the Olongapo City Convention Center during the mass blood donations in line with the Red Cross blood donations month. Mayor Bong Gordon, chairman of the Philippine Red Cross-Olongapo Chapter presented the certificate to SBFCC President Danny Piano.
Free Trade Forum
The Subic Bay Freeport Chamber of Commerce organized a forum titled "Doing Business in Free Trade Areas." It was held last July 7, 2011 at the Formosa Hall of the Gateway Park. SBFCC Vice President Tom De Bruin welcomed the participants and speakers including, among others, representatives from the Department of Trade and Industry.
New SBFCC Office Blessing and Inauguration
The new SBFCC office located at the ground floor of SBMA’s Regulatory Building at the corner of Rizal Hiway and Labitan St. was officially inaugurated and blessed last June 15. With close proximity to other offices and business establishments, the SBFCC will soon be offering additional services to existing and potential members including providing assistance to regulatory and other processes such as visa processing, GSIS insurance payments, and more.
The guest of honor during the event was no less than Administrator Arreza who was instrumental and, in fact, originally recommended the new office for a closer and more convenient collaboration between SBMA and SBFCC.
Subic Bay Summer Sports Summit
Fun! This was how many participants described the recently held Summer Sports Summit at the Subic Bay Freeport. The Subic Bay Freeport Chamber of Commerce, in partnership with the Young Men’s Christian Association (YMCA), the Lighthouse Marina Resort, and the SBMA staged a successful and very first Subic Bay Summer Sports Summit at the Boardwalk area of the SBF.
The sports summit featured several events including beach football, beach volleyball, open water swimming event, sand castle-making contest, and 3K and 5K fun runs.
CBD Sewage Treatment Plant
Subicwater inaugurated on 25 November 2010 its latest sewage treatment plant (STP). This plant will service the Central Business District, including the bayfront hotels, and should be a huge step towards making Subic Bay cleaner. Pres. Danny Piano and Joe Guthrie represented the SBFCC.
Click here to see the STP process flow.
MOA Signing Between Central Luzon Chamber Presidents
Chamber of Commerce presidents from Region III including the provinces of Bulacan, Pampanga, Tarlac, Bataan, Nueva Ecija, and Zambales signed a Memorandum of Agreement signifying the cooperation and collaboration between the different areas.
Donation of Rescue Life Vests
SBFCC President Danny Piano's personal donation of 10 rescue life vests, through SBFCC's Security, Safety, and Rescue Committee headed by VP Rose Baldeo, were officially handed to SBMA during the GMM.
6th SBFCC Golf Tournament
The Chamber held for the first time its annual golf tournament at the Hacienda Luisita Golf Course in Tarlac. In the past, this would have been a very lengthy trip frought with traffic gridlock. But with the SCTEx, travel time from Subic to Tarlac is now a mere hour and along beautiful sceneries, too. The golf course itself is beatiful and obviously well maintained. The Chamber tournament was again successful, thanks to our sponsors and players who participated. The list of winners can be viewed here while photos of the tournament can be viewed on our Online Forum's Gallery.
Subic-Clark Milestones and Prospects Forum
About 500 high ranking government officials, headed by President Arroyo, and businessmen from the Subic Clark corridor attended the Subic-Clark Milestones and Prospects forum at the Grand Ballroom of Holiday Inn Clark. Presentors include former SCADC Chairman Ed Pamintuan and GGLC President Dennis Wright. An Open Forum was also conducted with questions from the audience asked from panelists: SBMA's Armand Arreza, CDC's Benigno Ricafort, CIAC's Victor Luciano, GGLC's Dennis Wright, CILA's Simon Morley, and SBFCC's Danny Piano.
PRA, SBMA, SBFCC Tripartite MOA
After almost a year of arrangements and negotiations, a Tripartite Memorandum of Agreement between the Philippine Retirement Authority, Subic Bay Metropolitan Authority, and the Subic Bay Freeport Chamber of Commerce is now official. The MOA commits the three organizations to continually help in the development and transformation of the Subic Freeport into a retiree-friendly destination. With the MOA, potential retirees can now apply, through the Subic Chamber, for PRA membership from Subic instead of going to Manila (click here for info about retiring in the Philippines). The Chamber can also provide assistance to establishments wanting to be accredited by the PRA.
In the picture from left to right are: Susan Dudley, former SBFCC executive director and instrumental in crafting the MOA; SBMA Administrator Armand Arreza, SBMA Chairman Feliciano Salonga, PRA Chairman Gen. Edgardo Aglipay; Prof. Danny Piano, SBFCC President and CEO of ASI-Phil Branch; Rose Baldeo, SBFCC Vice-President and CEO of Global Development; Lawrence Lusung, Chamber Treasurer and Senior Manager of the Bank of Commerce; and USN Capt. Eloy Bermudez (Ret), SBFCC Director and General Manager of Subic Dry Dock Corporation.
Message from the President
Deconstructing the Chinese Actions on Scarborough Shoal
With its current posturing, the present government of the People’s Republic of China seems to want the Scarborough Shoal. But what for and why now?
First off, China’s claim is based on historical accounts. China’s foreign ministry spokesperson, Liu Weimin, said China’s sovereignty over Huangyan Island (Scarborough Shoal) has full legal basis. He said China was the first to discover Huangyan Island, name it, incorporate it into its territory and exercise jurisdiction over it.
On the other hand, the Philippines has cartographic maps drawn in 1734 during the Spanish colonial times depicting the Bajo de Masinloc (Scarborough Shoal) as part of the country. Philippine flags have actually been raised on the area since the 1960’s. We even built a lighthouse on it. The US Navy stationed in Subic during their time even used the area as an impact range.
There’s your impasse right there.
The Philippine government has proposed taking the Scarborough Shoal issue to the International Tribunal on the Law of the Sea (ITLOS) but the Chinese government has rejected the idea, insisting on bilateral discussions and friendly consultations instead.
While the Philippines will likely submit the issue to ITLOS anyway, it will definitely not resolve the impasse. For how can a settlement be possible if only one party is present to abide by the ITLOS decision?
Now, if this shoal is somewhere in the middle of China and the Philippines, we probably would care less. But, this is only 124 nautical miles from the Philippines yet 472 nautical miles from China. The Subic Bay Freeport has a direct line of sight to it, in fact.
Back to the what and the why. Far from being an expert on foreign affairs, let me try to give it a go anyway from a layman’s point of view.
First, the popular allusion for the Chinese motivation on its incursion—the Scarborough has vast oil reserves underneath it.
Really?
To date, there is no finding that oil is indeed present in the Scarborough area. Further, China’s accelerated demand for crude oil has actually decreased and replaced by an increased importation of natural gas which is cheaper. Besides, if there ever is oil in the area, wouldn’t China simply buy the oil from the Philippines? It would be cheaper than buying from somewhere in the Middle East. And in the process, they do not alienate their neighbors. No, I’d say it’s not oil they are trying to go after.
Second, do they simply want to greedily grab and expand? This is highly unlikely. China has the second largest land area in the world at 3.7 million square miles. A miniscule addition would not matter at all especially when it means an economic whiplash, no matter how small, is expected to be a result.
Perhaps they are just trying to be funny by being a bully? If so, being good at tagging names, we can simply call their actions Tsinulying (Tsina Bullying) and be back merrily going about our daily lives. But that’s too adolescent; perhaps not for some of our politicians, but certainly so for an emerging super power.
So what is it?
China is not a country of dullards. They invented the compass, papermaking, printing, and the gunpowder for heaven’s sake. They could not have become one of today’s great economic powers by sheer luck. It would be unwise to make such an assumption.
China’s trade with the rest of Asia has been increasing substantially as well. No, there is not a reason why they would want to suddenly go the opposite way.
A safer supposition would be that they are doing this for a reason, a reason rational enough to substantiate their actions, perhaps something even borne out of fear.
Late last year, US President Obama told leaders in an Asia-Pacific summit that the US is “here to stay.” He announced plans to set up a military base in Australia and chided China for refusing to discuss its South China Sea disputes at regional forums. The recent talks in the Philippines about possibly resurrecting the hosting of US military bases were also an offshoot of the US strategy.
China countered. Army Major General Luo Yuan responded that the US has been positioning forces on China’s periphery with the clear aim and intention of containing China. He further emphasized that, “The United States has committed a fatal strategic error. It has misjudged its foes, it has placed its strategic focus in the wrong location, and its strategic means are wrong.”
China’s actions on the Scarborough seemed to indicate, therefore, a reaction to the encirclement strategy being applied by the US. Whether one action/reaction is better than the other, the Philippines, having better diplomatic relations with the US, will generally trust it more than China.
But no, China‘s political leaders have not lost their minds. Invading the Scarborough Shoal is far from their goals. China is simply using it to gain leverage in future negotiations.
So no, unless some fool starts firing bullets or some politician starts making wild and unprovoked accusations, actual warfare is not likely to happen. For the meantime, we just have to stand our ground.
The Philippines seemed to be caught in the middle of the US and China posturing. But, as in business, problems can sometimes be converted to opportunities. And since we are caught in the middle anyway, we might as well work to be the glue that will bind the two powers together.
This, me thinks, should be our strategy—for lack of anything else.
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