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National Industrialization in Philippine Mining: Review and Suggestions



The paper reviews national industrialization as a long-term strategy of mining development in the Philippines. The end purpose is to suggest immediate actions that can be undertaken for the promotion of national industrialization. The paper uses secondary data and information from institutional sources and available relevant literature as well as primary data and information from institutional key informants.The paper found that the knowledge base of the country required to pursue the national industrialization strategy is poor. The following studies therefore are suggested: a) value chain analysis for the mining sector and its subsectors, including but not limited to the copper, nickel, gold, and chromite industries; b) development of community-based small and medium-scale operations in mining including the technology, financial, institutional, and other forms of government support that could be provided to them; c) analysis of resource rents in the mining sector and its subsectors that will determine, among others, how much royalty tax should be imposed on them; and d) evaluation of the appropriated export restrictions that may be imposed on the mining sector taking into consideration their economic, social, and other impacts. In addition to the aforementioned research activities, the paper supports the institutional improvements that have been suggested by previous works. These include the strengthening of the organizational, legal, monitoring and enforcement, other aspects of governance performed by government mining agencies.

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