Our thanks and appreciation to Ms. Maridel Olandesca for sending us a lot of photos. It will be displayed at the pictures gallery as soon as it is ready.

I- WEBSITE UPDATE

Before I left for Sapian in May, the administrators viewed the website’s statistic. It showed that eventhough people are not posting, we have a lot of traffic. People are reading especially the news items, the articles, and the most popular ones are the photos.

It is a little disheartening to see that Sapianons are not posting but I would like to think that it has nothing to do with indifference. I believe it has more to do with the culture. This is a little hard to explain so I will just leave it at that. What is important is that people are still obviously interested. 

To those who got my grip about the culture thing, this is what I want to say. If you are still caught up in that, how long are we going to wait for you to overcome that? One may say: “ahhh, I’m too shy to participate”, or “ahhh, I’m too busy”, but please don’t say “ahhh, is that all they can do?.” Alfonso, Civic and I, did the best we can and will do more. What we want to see is for more supporters to come forward and help out.

We now live in the global world, let us shake off the negative culture that doesn’t serve us anymore. SOL will continue whether you help us or not. But we can accomplish much, much more if more people make an effort to contribute.       

When I came back from Sapian, I got a lot of news information with me. I have talked to few people in Sapian that could help us improve the content of the website. I left 2 digital cameras there so we can have more photos. My problem is that I don’t have enough time to digitise all these and we have no working bees in the website. There is a need for us to get organised and share the workload.

I PROPOSE TO FORM COMMITTEES, IF YOU WOULD LIKE TO VOLUNTEER YOUR TIME, PLEASE LET ME KNOW. Send an email to sapianonline@yahoo.com.

Please don’t be shy, WE NEED YOU!!!

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This article will guide you through applying for a dual citizenship if and only if you are already a United States of America citizen through naturalization and was a Filipino citizen by birth. The guide may also apply under other condition, but does not provide any guarantee. Listed also are the things you can have and do when you are both a citizen of the United States of America and the Republic of the Philippines.

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FEMOCRACY AND HOME ECONOMICS 5

A PLACE IN THE GLOBAL WORLD

The fact that women now choose to vigorously compete with men for high- paying jobs has serious consequences in western societies. Birth rates are well below replacement level which means that not enough workers are being born to replace the ageing population, causing a massive labour shortage - another harsh reality of the downside of femocracy.

More and more developed countries have no choice but re-evaluate their immigration policies to address the issues mentioned above.  Added to that is the constant realisation that they have to compete in today’s global market. While it is true that a lot of businesses move overseas to countries like China for their cheap labour; resourceful countries find ways to take advantage of the new economic landscape by creating new markets and opening up to new opportunities.

In a country like Australia for example,  the steel mining industry was abandoned a decade ago. Due to the lack of demand, the industry suffered and most mining towns were deserted. But now it’s different; the mining industry is in boom again due to increased demand from China. More than half of the materials used in building China’s Auditorium for the 2008 Olympics are made from mineral- rich “dirt” from Australia. China’s construction industry will continue to grow till the next decade, maybe more,  and Australia is cashing in on that. With the increased interest and growing debate on nuclear energy, the mining industry (uranium) can foresee big opportunities. There is now a big demand for labour in the rebuilding of mining towns. The housing, hospitality and entertainment industries are benefiting from it too.

Another case is the wool industry. Wool producing towns suffered due to lack of demand for wool. Again, China’s cheap labour and the use of cheaper synthetic materials decreased the demand for Australian wool from lucrative fashion industry. Sheep farming towns resembled ghost towns as young people moved somewhere else for better employment. But now there are some dramatic changes. Researchers found that there is a big market for goat meat in the U.S. for the Mexican communities there. The wool producing towns are open for business again although now they are part of Australia’s lucrative meat industry, their sheep paddocks are now being used to raise goats. And it doesn’t end there, with the health risk surrounding pork and sheep consumption, i.e. high cholesterol content causing obesity, diabetes, and heart problems, the industry can see bright lights in promoting beef, goat  and kangaroo meat in Europe, Asia and Arab countries.

In cases like these where it is not possible to move the industry overseas, the only resort for them is to bring the labour force into the country.

There are so much rhetoric in the west about the plight of illegal immigrants and what to do with them, but unbeknown to ordinary folks, these immigrants are being used ( and abused) to help their economies. The United States for example have access to cheap labour from Mexico and other nationalities who risk their lives just to set foot in that country; illegal migrants’ labour is a billion dollar industry in the U.S. Rich European countries have access to cheap labour through the decendants of colonial Africa and Asia. They also have waves of illegal migrants from poorer southern European countries, Asia and africa. But Australia has none of that and does not have to resort to cheap labour to move on. 

Being an island continent, Australia successfully controlled the number of people entering the country. They can pick and choose whom they want to allow in, which is understandable as they want to maintain their high standard of living. But, in the 21st century, Australia realised that to be successfully favoured in the growing Asian market, they have to change their tune. Australia welcomed professional and skilled people, investors , brides, sponsored relatives to legally migrate but never opened its doors to contract workers until only very recently, just last year! Filipino workers were one of the nationalities they chose to come! That was just a trial and as far as I gathered through a reputable current affairs shows on television- “Sixty Minutes” and “A Current Affair”- their employers are very happy. “They are very hardworking, you can see the desire in their eyes; they just want the work;  I will have them anytime,” one of the employer enthused. I suspect that more and more job opportunities will be offered to Filipinos.

Already, there are calls in the media complaining that local labour will be disadvantaged as business owners given a choice will prefer cheap labour from other countries.  Politicians were quick to guarantee that contract workers will be given Australian minimum wages and they will not be subject to abuse. There are heated debates going on today whether opening the country to more contract workers is the way to go. The local labour movement are dead against it but big corporations like Mcdonalds expressed their desire to hire contract workers from the Philippines as opposed to hiring Australian teenagers who are supposed to be in college learning a trade or at universities.

There is no doubt that skills migration and opening the country to contract workers is the solution but to satisfy nationalistic concerns and queries both of the leading political parties came with a criteria as to what kind of people they should let in. The preferred factors are: skills and educational qualification, English language proficiency, ability to assimilate and acceptance of the Australian culture and values. Since Filipinos are known to have this desirable qualities, they should have no problem entering the country legally.   

This is a reflection of what is happening in the rest of the western world and  Non-English speaking developed countries. There is a labour shortage and they require skilled workers to keep going and compete. Labour exporting southern European countries like Italy, Greece and Spain hired Filipinas as domestic helpers decades ago while there where restrictive policies in western European destinations like Germany and France. Today, more and more Filipinos are hired in these countries with jobs not limited to domestic duties and with better workplace conditions. Thanks to the pioneers, Filipino nurses are in great demand in the US, and now Britain and Ireland too. I heard Filipinos are needed in Scandinavian countries too.

Filipinos, without a doubt, has a place in the global world. While people from poor countries have no choice but risk their lives in entering developed countries illegally, Filipinos are being offered jobs and are invited to enter countries legally. They have more choices of countries to go to and have access to different jobs. The only thing needed is for the Philippine government to do more in choosing the right countries, negotiate a fairer and secure deals for the overseas foreign workers (OFW) and actually do something to improve the process of training and hiring. The Philippine government should not send Filipinas to countries were women are treated like second class citizens, have no respect for individual rights and freedoms, or societies whose culture is very limiting.

FEMOCRACY AND HOME ECONOMICS 3

US MIGRATION AND THE OTHER FACE OF THE FILIPINA

Filipino migration to the United States started way back during the era of colonisation. The Americans forced the Spanish out of the Philippines in 1898 and the new colonisers sent Filipinos to North America between 1901 and 1935. They mainly worked as errand boys, janitors and houseboys. During World War II, many of them served the US Army’s First Filipino Infantry Regiment.

Few decades after World War II, a lot of Filipino war veterans and their families were permitted to migrate to the United States. The presence of American Air Base in the Philippines also gave Filipinas a chance to migrate to the US and other allied countries as brides. They had very limited employment opportunities then and most if not all were subjected to racial abuse. We heard stories but we can not begin to comprehend the appalling treatment these pioneers had to endure before they successfully managed to adopt and assimilate to the American culture. 

Like typical Filipinos, they struggled to send their children to school. They believed that education is vital if their children were to survive and blend in to western culture. Many of these children, and their children afterwards, successfully finished their education and had decent work. They mainly found employment in industries dominated by women like nursing, teaching, child care, sales, hospitality, and factory work. Filipinas and other migrant women from different nationalities happily filled the available jobs that American women vacated to pursue better careers.

Today, there is no turning back for women in the developed societies. Their main role in society: homebuilding, care giving, raising and nurturing the next generation are all but marginalised. They argue that it is urgent and necessary to penetrate business and politics as they have social and emotional intelligence about interpersonal relationships that few men have. They claim that men are more interested in profits; they are convinced that women’s motherly qualities will put human and social concern on the agenda like children and women’s adverse conditions in other parts of the world.

While that is a valid enough reason, I tend to agree more on the notion that the real motivation is hard economics.  Now more than ever women find themselves driven by money, they simply cannot afford to stay at home . This may be due to the privatisation of health and education, the cost  of petrol, the continuing flow of digital must haves, the basic necessities of westerners like entertainment, recreation, travel; and the irrepressible urge to keep up with the Joneses e.g. second car, spa bath, pool, renovations, etc. etc.

This economic pressure is luring women to the top jobs. They don’t want just any job anymore; they are aiming for top- level, high- paying jobs that used to be dominated by men. Time is precious for high- earning busy career- women, the financial disincentives of childbearing have become so high that a great number of them now choose to shun marriage and baby- making altogether to concentrate on the pursuit of a career. The homes in the developed societies reflect the appetite of global capitalism for all talent, female and male, at the expense of the family.

Modern Filipinas are following that same path. Filipino- Americans as they rightfully call themselves successfully integrated and continue to labour and insist that young bloods attend colleges and universities and make something out of themselves. The same pride and conviction is shared by Filipinos in other western societies and in the Philippines itself. With the dawning of globalisation upon us, there is an assortment of employment opportunities for Filipinos worldwide from hard labour to top level jobs. Few Filipinos today are patiently breaking the grounds in higher education, medicine, law, engineering and business while many are successfully competing for top corporate jobs.

But while career divides homes  in western families, it has an entirely opposite result in migrant families. Through family sponsored migration, Filipino families reunite and help each other. Filipinas do not feel as much guilt and not suffer as heavy a consequence for pursuing a career compared to their western counterparts. They can look forward with confidence and go out there knowing that Nanay and/or Tatay, Mama and/or Papa, will be around to take care of the home front.

When competition in the femocracy is fierce and the going gets tough, Filipinas have large willing families to rely on.  Thus, the other face of the Filipina: qualified, capable, competitive, confident.

Petropolitik, Sapian and China - Eleventh in a Continuing Series

Let’s talk about a commodity not related to gas prices, but suddenly related to it just because President Bush said that America is addicted to gas. Bush the Elder once said that catsup is a vegetable. So, what the heck. My story today is about addiction to tobacco. I’m reminded of this topic as I started reading Christopher Buckley’s book entitled, Thank You For Smoking. That book is a satirical comedy on the machinations of Big Tobacco’s chief spokesman, Nick Naylor, who spins on behalf of cigarettes while trying hard to remain as a role model for his son. It also detailed high-level lobby in US politics, an Iron Triangle of lobbyists, members of US Congress and officials Federal agencies, as tobacco lobby fought head-on against the health establishment.

On FVR’s first day in office, the Palace Household, an office that’s, well, exactly managing the Palace household, had been taken over by the new administration. At its helm was Ambassador Lolita Haney, FVR’s aunt. Her gunner was Mrs. Paynor, wife of incoming protocol officer, and later Ambassador of Palace Protocol, Marciano Paynor. That morning, we have been disappointedly surprised. Mrs. Paynor had told us point blank that no cigarette would ever be lit inside the palace. The smoke deteriorates national treasures by Amorsolo, Juan Luna and other great Filipino masters that were hanging all over the palace walls. She added that even camera flashes ruin them. That’s ironic because FVR is aptly known as Tabako. Later on, we would equally be disappointed that our favorite caterers, Jade Vine, Ria’s Cuisine and Makati Skyline, would, from that day forward, be replaced by an endless fare of tuna sandwich and, oh well, tuna sandwich. We would later regularly see Century Tuna delivery trucks. FVR had a problem with cholesterol and his carotid would later be operated on. After a few months serving the FVR Administration, I never ate another tuna sandwich for years, until I got tired of pink salmon and discovered white albacore.

We had a smoking club under the Cory Administration. Our president was Ruben D. Torres, former Secretary of Labor and later, Executive Secretary. The membership spanned through different levels of the hierarchy. At that time, there were lead crystal ash trays all over, and as long as it does not get into the eyes of non-smokers, you’re fine. Just sit in the corner and light up, the high velocity air flow and filtration system will take care of it. Our club shared cigarettes and lighters, exchanged palace news, and bartered favors.

But it had been different under FVR since the only ash trays inside the palace are the ones for FVR’s chewed up tobacco. We would now have to go out through very heavy bullet- proof French doors, you have to lean your weight forward, into the patio or a terrace. Getting in would be more cumbersome because some doors lock you out. You have to either hope somebody inside would look outside and beg you way in, or go back to the entrance and through guards and a maze of hallways and stairs to be back to where you started. But life went on.

Through two administrations, smoking time for VIPs and staff alike took its unspoken toll on many occasions. Sometimes, the convoy’s itinerary had to be planned to have a smoking whistle stop. Venues of programs, locations of stage, riders in a particular vehicle of the convoy, and VIP holding rooms are often influenced by staff and VIPs’ smoking habits. Central Bank’s Falcon jet had to wait in Mactan International Airport because we could not find a cigarette vendor. We had to get a smoking holding room in Sarabia Manor (Iloilo) for Mrs. Ramos who was stressed about the number of people who showed up in a supposedly very private lunch with her family in La Paz. Lai Torres explained to her, “You are the First Lady now, so they are all your relatives suddenly.”

The arrival of Estrada Administration did not change the FVR “no smoking” policy even if the incoming Administration itself had its smoking club. On the morning of Estrada Inauguration, as I parked my tora-tora alongside the gleaming rides of national elites, I saw Triple V and more than half a dozen aluminum-clad catering trucks! Goodbye to one century of Century Tuna. On that day of Estrada Inauguration, like I did for the Ramos Inauguration, I would be the conductor of the bus shuttling incoming Cabinet members from the landing area to Palace luncheon, to Quirino Granstand for the Inaugural Address, to a Grandstand mini-reception, and back to the Palace for the first Cabinet Meeting, and the Inaugural Ball. Upon arrival from the Presidential oath taking in Barasoain Church, Erap went straight to the Drawing Room to try the President’s Desk. Then lunch was served. As he was walking out from the President’s Office for lunch, a giant chandelier, wires shorted out and cut the chains, fell down, missing him and his wife by a few feet. We were outside the office door waiting to hail to the new chief when we heard a big thud. Thud! No one will ever know whether it was a premonition of what will be a failed presidency, or the revolting spirits of the presidents past, or both.

But lunch was super, all the king’s best caterers and finest china for the first day of the newest presidency. It was exclusive for 300 people composed of the Estrada Family, very close friends and political allies, and yes, acolytes like us. Mostly, they were familiar faces of the silver screen, business and politics.

After lunch, we congregated to our usual smoking time. New smoking faces have been directed to the only and the best smoking spot by by the Pasig River. Then there was this short, balding, dark man who did not look familiar; he stood next to me asking about palace life. He was generally nice but curt sometimes. He told me he is an incoming Undersecretary of Tourism. So I politely asked why I never saw him in company of the elites, or at least, the power circles of Tourism Department. He said that he is from Jamindan, Capiz but he lived in the States for decades; has two houses there, in fact. But Erap, a close friend, had asked him to come home and help. So, you are from Jamindan, I’m from Sapian. Yes, he said his Dad was a mayor, and yes, he knows some Orilloses and Hondrados. Well, the only person I know from Jamindan is the late Nong Boy Advincula, husband of Nang Venus. He said he knows the Advinculas but he is not in a hurry to go home as yet because he had lots of work waiting for him. I did not ask for his name, but at the Cabinet meeting that day, I surmised from the list that his name was Orestes Ricaforte. I never saw him again. Never heard anything until two years later. After the downfall of Erap, I saw on the news that his wife, Yolanda Ricaforte, was the auditor of Erap’s jueteng money. Deng! His work waiting for him was counting Erap’s money. Had I known then, I should have volunteered to work under him and would have already paid up all my debts to Gee Ann Ballie Tupaz and NN Alvarez!

Anyway, at the second Erap Cabinet Meeting, our smoking club continued to expand. A new member was Undersecretary Fely Villareal, known to Mambusaonons as “the Madre,” daughter of former Speaker Cornerlio Villareal, Sr., who even ran for mayor in Mambusao. At that time, she was GMA’s deputy in Department of Social Services and Development. We shared cigarettes and lights, and assigned someone as a look out in case GMA suddenly calls her. GMA kept Undersecretary Villareal very busy and she had to put out halfway-lit cigarettes. What a waste.

I hoped to see them both again at the next meetings. But Erap did not convene the Cabinet for many months. On that second meeting, he said that since he was the President, he would not use the scripts we prepared. Neither would the agenda be as long as FVR’s. Whoever had issues among Cabinet would have to resolve it themselves and he would sign anything. He just asked us to enjoy the Manila Hotel catered lunch, which of course, was a pleasant surprise for us to be free from tedious minutes and the scourge of Century Tuna. The third Erap meeting and the last Cabinet meeting I will ever attend will be a Manila Bay cruise aboard the newly refitted BRP “Ang Pangulo.”

Petropolitik, Sapian and China - Sixth in a Continuing Series

Another way to revisit the saga of Sapian, China and oil crisis is tracing the thread of Philippine petroleum deregulation. Fidel V. Ramos (FVR) pushed for the enactment of Republic Act 8180, the Downstream Oil Industry Deregulation Act of 1996, to promote a more competitive market and prices by allowing the entry of “small” oil players to the market monopolized by the so-called Big Three, namely, Pilipinas Shell Petroleum, Caltex Philippines Inc. and Petron Inc. This involves the removal of the government subsidy to oil prices, called the Oil Price Stabilization Fund, which provided a cushion to oil price increases. In 1999, a new oil deregulation law (RA 8479) was enacted to pave the way for the full deregulation of the oil industry.

During World War II, many countries heavily regulated industries and nationalized critical industries (e.g., petroleum, coal mines, steel mills etc.) to provide maximum support and efficient use of resources for war efforts. After the war, many countries continued or expanded controls on industries to rebuild their war-ravaged economies, and well into the 70s. By the 80s, U.K. Prime Minister Margaret Thatcher - plagued by paralyzing strikes, mismanagement, and bankruptcy - started to privatize government companies. In economic circles, it was called Thatcherism. In the U.S., President Ronald Reagan tried to relax government control on businesses, called Reaganomics. Both trends lean toward Keynesian economics. A very influential 20th Century economist, John Maynard Keynes theorized that government should use its power sparingly at the macro-economic level to regulate (e.g., interest rates, use of reserves etc.) but let the private sector and market forces try to equalize itself. http://en.wikipedia.org/wiki/Keynesian_economics

Along these lines U.S. President Bill Clinton, FVR and other leaders promoted a book by David Osborne and Ted Gaebler, entitled, Reinventing Government: How the Entrepreneurial Spirit is Transforming the Public Sector. The authors looked into model governments efficiently run like corporations, with performance-based budget, partnership with the private sector, and people empowerment themes. It called for leveling of the playing field, deregulation, decentralization, devolution, and liberalization, in all aspects of government, politics and the economy. From Washington, to Europe, to Tokyo, a chorus of international organizations told Cory and FVR to pursue these goals. Hence, it was institutionalized in FVR’s Philippines 2000. http://govinfo.library.unt.edu/npr/index.htm

Under this philosophy, started by Cory but staunchly implemented by FVR, the bureaucracy worked double time to deregulate, decentralize, and devolve powers of governance. Among the first tangible result of these is the Local Government Code
- to the perpetual chagrin of my mother and Nono Varon’s parents (it’s a relief they are all in the United States now!) - that included the devolution of the Department of Health’s Rural Health Units (RHUs) to local government units. There were persistent rumors that RHUs will be renationalized, but early on I asked former Health Secretary Juan Flavier (now, Senator) and he told me to tell my mother to change career because it’s not going to happen. In theory, local governments should have more control over their local affairs and would be able to prioritize their policies and fine-tune their programs according to local needs.

Another example is today’s proliferation of cell phones. PLDT monopoly was broken by giving away franchises to any company able to install 5,000 lines, can apply for telephone franchise anywhere in the Philippines. Many leapfrogged with infinite cell lines, so you now have a galaxy of cell service providers. This also was true with Cable TV providers and a host of other telecommunications sub-sectors. Philippine Airlines franchise monopoly was also broken. Now, passengers are no longer at the mercy of PAL. Anyone who has a plane, compliant with all BOT regulations, could apply for an air franchise anywhere in the Philippines. Then you have BOT (Build-Operate-Transfer, Build-Transfer-Operate, Build-Own-Operate etc.) alphabet schemes, which allowed building of dozens of giga-wattage power plants by Hopewell Holdings, Enron, etc. worth billions of dollars. The caveat, contracts for 50 years for guaranteed power purchase by the National Power Corporation. This wiped out the brown outs overnight, particularly when power grids throughout the country have been interconnected. Then, you have your Skyway, North Luzon Expressway, MRT and many others. Under the general theme, base lands, like the Fort Bonifacio area, have been opened to joint ventures with the private sector.

For a moment, the Philippines was referred to as one of the Tiger Cubs of Asia.

Petropolitik, Sapian and China - Fourth in a Continuing Series

Cory and Ramos Cabinet deliberations on GATT/WTO involved many economic concepts that Ms. Flores laid the foundations for. GATT/WTO was discussed on my first attendance in a Cory Cabinet Meeting, and Jose Concepcion (JoeCon), former Trade and Industry Sectary in Cory Cabinet, owner of Condura, Cosmos Bottling, General Milling, etc., tripped on my right foot and almost crashed on former Defense Secretary Renato De Villa. I was terrified, my first Cabinet and I caused an accident. But people I sat next to assured me that it was not my fault - Lucille Peralta (now Ortille, and Director General of the Cabinet Coordinating Committee on Housing and Urban Planning), also from Roxas City, and Mary Ann Z. Fernandez (now Assistant Commissioner of Civil Service Commission) told me JoeCon was looking up on screen while briskly walking down the hall.  Corridor of power is always cramped, so seats around the Cabinet Meetings are always crowded. Seating was arranged in two rings - the inner circle which is the president and cabinet members, and the outer circle composed of lesser bishops and acolytes like myself. State Dining Room is cold and dark when giant Swarovski chandeliers are dimmed for PowerPoints. Only Imelda’s sconces would light the old rose velvet carpet while people seated on the outer circle would obstruct most steps of the way. Talk about cordon sanitaire.

Anyway, this was not the case in the brightly lit and well-appointed National Economic Development Authority (NEDA) Board Room in Pasig, thanks to Toto “Tayho” Guijaro. The president and Cabinet also convene as Joint Cabinet-NEDA Board a few times a year to update the National Development Plan, and they meet in Pasig once in a while. In NEDA sa Pasig, I always see Toto Tayho because he does the electro-systems for NEDA Board Sub-Committee on Human Resources and NEDA Board/Cabinet that I both attend. I’m sure, Toto Tayho, bombarded by economics everyday, would remember the lectures of Ms. Flores. Our batch was the first to graduate under the nationalized high school. Unfortunately, it was the last batch Ms. Flores would teach. That very next school year, she moved to then Panay State Polytechnic College (PSPC). Lucky them.

Further exploration on China’s economic boom needs us to look into just a little bit of GATT and history. Ms. Flores taught us that Industrial Revolution, which started in Britain between late 1700s and early 1800s, was characterized by increased production due to mechanization (e.g., steam engines - factories and railways). Mechanization allowed mass production that created surplus products. Countries needed to sell surplus products to other countries (dumping). But other countries have the same industries and were creating the same products. So, each country tried to protect its domestic industries, and a period called Protectionist Era ensued. Nations established trade barriers, raised import taxes and tariffs, to make it very difficult to import and export outside of national boundaries. Trade wars ensued - dumping of surpluses to, or raising tariffs against unfriendly nations. Countries like Britain, U.S. and France (Allied) were lucky. Their colonies acted both as exclusive markets for their surpluses and source of cheap raw materials. Other industrializing countries like Japan, Italy and Germany (Axis) did not have colonies. Axis powers had to either have colonies or just fade away. Many summed up World War II as an attempt by Axis powers to re-divide the world and gain colonies for themselves. At that time, China was an agrarian economy trying to survive its own Cultural Revolution.

In 1944, GATT, a trade treaty involving many nations, was established. Its purpose was to facilitate free trade by encouraging member-nations to reduce tariffs and remove trade barriers. This would avoid trade wars and the need to maintain colonies (i.e., the Philippines was then allowed to become independent). Under GATT, each one had a list of sectors, industries or specific products they want to open to international competition. Taxes for those specified sectors or products are either lowered significantly or removed altogether. Since then, GATT worked on the sidelines until the emergence of European Community in the late ’80s. At that time, trade blocs, treaties involving many nations, in many regions of the world started to proliferate. By early 90s, there were APEC, Uruguayan Round, NAFTA, AFTA, BIMP/EAGA and dozens others. Trade blocs reminded some economists of Protectionist Era.

Therefore, GATT had to be reinvented. This time, it would have to include China. The world could not wait to sell 1.3 billion more bottles and cans of Coca-Cola and McDonald’s burgers.  And China itself, wary of being alone after the downfall of USSR and its Eastern European allies, and tempted by outward forces of its modernizing economy, had to jump into the bandwagon. Western companies, led by American investors, raced their way to China to manufacture everything from slippers to ICs. This proliferated the market with too much China products and created higher demands for petroleum.

Negative implications for Sapian: First, China has drawn in foreign investments that would have otherwise been invested in the Philippines that, directly, either employ some Sapianons, or benefit Sapianon businessmen, or indirectly, bring in money into the domestic economy and trickle down to Sapian in form of taxes or increased buying power/demand for Sapian fishery products. Second, flood the Philippine market with cheaper Chinese goods, competing with our local industries - especially with GATT - losing our fledging manufacturing businesses and jobs. Third, highly industrialized China makes it more influential in geopolitics to the detriment of our security, including losing our claim to the disputed, natural gas rich 200-mile EEZ off Palawan. Fourth, China is developing backbone industries like steel, chemicals, etc., is reckless with environment and could upset South Asian environmental health (e.g., nuclear waste, industrial dust, acid rain, etc.). Fifth and most importantly, China, consuming more oil, offsets supply equilibrium, creating shortage, increasing prices, and causing more instability in volatile Middle East (e.g., giving Saddam rockets, bribing Iran with $70 billion, and possibly, some bits of nuclear technology). Increased prices slow down the Philippine economy, as it pays more power bills, lower Peso value because more dollar is paid for oil imports, less tax collections because of lowered profits, less foreign investments because of less anticipation of profits, and so on.   

On the positive side for Sapian: First, abundance of made in China products, as said earlier, makes it easier for us to buy products that used to be difficult and expensive to acquire. Second, China would attempt to expand its political and economic clout among its neighbors and invest in the Philippines, such as in agro-industry. This should be our last opportunity to dove-tail on global trade. Third, since the continued affluence of China’s economy is dependent on its goodwill, it would not do much to offset South Asia security - although the 200-mile EEZ is now irretrievably lost.