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Library National industrialization in Philippine mining: review and suggestions

National industrialization in Philippine mining: review and suggestions

National industrialization in Philippine mining: review and suggestions

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Date of publication
December 2010
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ISBN / Resource ID

Among the most daunting constraints mining has been facing is that it is a
generally extractive activity the way it has been traditionally practiced. This makes the country a mere exporter of raw materials to industrialized countries and unable to benefit from value-addition. To help address this problem, the national government has recently pronounced a long-term strategy of national industrialization in the mining sector. Among others, this strategy is intended to enable the sector to expand into processing3 and other downstream activities and transform lowvalue outputs of raw materials into processed products with higher value-added.

The paper reviewed national industrialization as a long-term strategy of mining development in the Philippines. The end purpose was to suggest immediate actions that can be undertaken for the promotion of national industrialization. The paper used 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 were suggested

value chain analysis for the mining sector and its sub-sectors, including but not limited to the copper, nickel, gold and chromite industries
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
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
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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D.C. Israel

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Geographical focus