Philippine retailers are optimistic about bigger market opportunities in the brick-and-mortar format and online retail.
Philippine Retailer Association president Roberto Claudio Sr. said the major transformations in the industry such the proposed 1D-2D Barcode Migration, the Internet/Digital Taxation Law and the VAT Refund Scheme for Tourists would revolutionize the way retail is operating in the Philippines.
“We stand at the forefront of these transformative changes, acting as the driving force behind innovation, adaptation, and advocacy within the retail realm. Our steadfast commitment to empowering the retail sector equips us to navigate these dynamic shifts and lead the way toward a future defined by growth, resilience, and unparalleled consumer experiences,” Claudio said on the opening day of the 2-day 29th National Retail Conference and Expo 2023.
The PRA is hopeful the measures that will be introduced by the government will level the uneven playing field created by online merchants and make sure the online retailers adhere to the same laws and ordinances that traditional stores abide by.
Claudio said the government should ensure that taxation matters, duties, product standards, intellectual property, price tags, officials receipts and truth in advertising are upheld consistently across all online market places.
“Addressing these concerns are of paramount concern to our retail community,” he said.
Claudio said the PRA supports the proposed Internet Taxation Law embodied in Senate Bill 250 authored by Senator Pia Cayetano. The groups, he said, believes that the bill will pave the way for a more suitable business landscape in the local retail industry will benefit both local and international online entrepreneurs.
The PRA has been actively supporting the proposed bill on VAT refunds for non-resident tourists in the Philippines.
The legislation seeks to establish a mechanism for refunding value-added ax to non-resident tourists, enhancing the overall shopping and tourism experience.
“We recognize the immense potential that this bill holds in attracting more tourists, stimulating retail businesses, and fostering overall economic growth,” Claudio said, adding the bill is set to undergo floor deliberation in the Senate in the coming weeks.
He also cited Asian Development Bank’s recent outlook, projecting that the Philippines will lead major Southeast Asian countries in terms of growth this year, driven by private consumption that underpins retail trade.
“In light of this favorable forecast, we, in the retail sector, must remain committed to continuous learning and enhancing our businesses. We must conquer the challenges that come our way, ensuring that we maintain our position at the forefront of the game,” he said.
