Rubber

The Philippine rubber industry aims to propel domestically-produced rubber products to become a key contributor to Philippine economic development by transforming the industry to produce world-class, competitive and high quality rubber products.

It seeks to achieve this by (1) upgrade manufacturing skills, (2) adopting technical and market standards, and (3) linking with both the local and export markets.

01

About Rubber

The country’s economic growth created greater capacity for consumption for different segments of the population. This has stimulated the demand for various products including those made from rubber, thus, generating the need and opportunity to develop the country’s rubber product industry.

The Philippines has been among the top ranking countries in rubber production until the 80’s, when demand for car tires and other rubber-made products slowed down following the decline in the Japanese and European economies. In recent times, however, the Philippine market for rubber products has demonstrated new vitality shown by the increasing demand for rubber-made goods.

The Philippine rubber industry is characterized by its expertise to manufacture a wide array of rubber products, existing capacity to meet customer demands, technical capability to satisfy customer needs, strong ability to adjust to customer requirements, and highly-experienced direct labor.

The main industry organization is the Philippine Rubber Industries Association, Inc. (PRIA), formed in 1979 from the merger of the Philippine Rubber Manufacturers Association (PHIRMA) and the Rubber Industries Association of the Philippines (RIAP). PRIA today has 46 member firms, 26 of which are direct industry players, while the rest are business development service providers (e.g. material suppliers and logistics companies).

The expected increase in global and domestic demand for natural rubber is an opportune time to strengthen the rubber products industry in the country.

02

Facts and Figures

Trade data of rubber products (FOB value, in M US$)

2011

2012

2013

2014

Rubber manufacture imports 261 277 301 311
Natural rubber exports n/a 62  75  79

 

03

Policies

IPP 2014-2016

The commercial production of high value crops – including rubber – is among the preferred activities listed in the IPP.

Industrial tree plantation (also known as Industrial Forest Plantation (IFP) based on DENR AO 1999-53) is among the special laws listed in the IPP. This covers extensive plantation of forest land of tree crops (including timber and non-timber species such as rubber, bamboo, rattan, etc., except fruit trees) for commercial and industrial purposes.

In cases of tree plantations that are joint venture agreements with other private entities, community organizations or government entities, only the share of the registered enterprise may be entitled to ITH.

Application for registration must be accompanied by an endorsement from the DENR.

BPS Product Certification Scheme

The certification of rubber products is guided by the Philippine Standard (PS) Quality and/or Safety Certification Mark Scheme.

PNS for Rubber and Rubber-based Products

There are Philippine National Standards covering rubber sheetsrubber productsrubber and rubber-based productsrubber products and footwearcentrifuged natural rubber latex, and rubber products and adhesives.

 

04

Programs

Industry Development Program

The rubber industry Technical Working Group (TWG) conducts meetings to discuss and address industry concerns and issues. Among these are:

  • Official designation campaign
  • Trade harmonization and rationalization
  • People productivity campaign
  • Shop floor productivity gains
  • Materials and suppliers assurance
  • Price stabilization campaign
  • Manufacturing process enhancement
  • Equipment retrofitting
  • Technical services partnership
  • New product development
  • Dominate the local market campaign
  • Export marketing campaign

Among the recent TWG activities are:

  • Integration of Upstream and Downstream Rubber Roadmaps. The Department of Agriculture has completed its Natural Rubber Roadmap (DA Master Plan). A consultant was hired to integrate the upstream (DA roadmap) and the downstream rubber industry roadmap (DTI roadmap).
  • Research & Development. DOST approved funding for several projects including a research project to increase the local rubber content in motorcycle tire application and a testing facility in Region XII. A proposal for a pre-FS on a manufacturing facility for latex-dipped rubber products is currently being developed.
  • Testing Facility. To date, DTI-ROG has approved 5 testing facilities under its SSF project. Another SSF for rubber in Palawan is currently under evaluation. Representatives of ROG together with rubber producers and processors from Region IX and XII visited the Yokohama Tires Philippines, Inc. (YTPI) rubber manufacturing plant in Clark, Pampanga to be clarified on the rubber quality requirements and suppliers accreditation process of YTPI.
  • Human Resource Development. PRIA and Mapua signed a MOA for the pilot of the first rubber course in 2015. In addition, DOST approved funding for capacity building activities for rubber farmers.

05

Champions

Philippine Rubber Industries Association (PRIA), Inc.

Ms. Rhodora Medalla
President

Principal Address: 32 Mulawian Rd., Brgy. Lawang Bato, Valenzuela City

Mailing Address: 40 J.P. Ramoy St. Barrio Talipapa, Novaliches, Caloocan City

Tel. No.: (632) 983-6820 loc. 20

Fax no.: 454-0111

Email: philria.inc@gmail.com

Website: www.philippinerubber.com.ph

Board of Investments (BOI)

Mr. Dexter Pajarillo
Sectoral Champion

Industry and Investments Building,

385 Senator Gil Puyat Ave,

Makati City Philippines

Tel. No.: (632) 897-6682 loc. 259

Email: DSPajarillo@boi.gov.ph