UNCTAD urges PH to pursue exports

In creative industries

MANILA, Philippines — The United Nations Conference on Trade and Development (UNCTAD) has called on the Philippines and other developing countries to vigorously pursue opportunities in creative export markets to enable them to reap benefits from the growing international trade in creative goods and services.

The UNCTAD Creative Economy Report 2010 classified creative industries into four large groups including heritage, arts, media and functional creations.

Fifteen creative industries covering arts to the wider fields of science and technology comprise the creative economy, according to John Howkins’ book.

UNCTAD asked developing nations to design tailor-made export strategies for the most competitive creative sectors.

“Development of brands, new markets and new products all these targets should be well articulated. Specialists should be in charge of quality control for exportable creative products in order to respond to the requirements of major markets,” it said.

Trade facilitation issues must be also addressed, noting as an example the slow clearance of goods through ports and customs offices and the need to simplify inspection and paperwork for exports.

“It is important that creative industries be included in the national strategy for export development,” it noted.

The report cited a number of East Asian countries which are implementing outward-looking strategy for their domestic creative industries, and that actively target foreign direct investments and export markets in addition to local markets for creative products.

Countries with highly export-oriented creative industries are Singapore, Hong Kong SAR and mainland China.

Several major Asia Pacific economies including India, Indonesia, Malaysia, Philippines, Republic of Korea, Thailand and Vietnam have much activities related to the creative economy as well as a strategic interest in creative-industry development.

Apart from the development of export markets, the UNCTAD identified other critical areas where developing countries need new policy initiatives to boost their creative economies.

These are the provision of infrastructure, the provision of finance and investment, the creation of institutional
mechanisms, an appropriate regulatory framework, the establishment of creative clusters and a mechanism for effective data-collection measures and analysis.

The UNCTAD also pointed out that infrastructure needs of the emerging creative economies of developing countries arise at all points in the value chain: from initial creative production to marketing and retailing.

“As with any other industry, the creative industries need affordable access to appropriate space in which to work and to live, transportation and distribution facilities,” it said.

The report identified the need for access to information and communication technology (ICT) among the infrastructure requirements particular to the creative industries.

“There is no doubt, however, that access to ICT, in terms of identification of market opportunities, training, innovations, networking and sales, is a significant factor in the development of the viability of small business units. Access to ICT provides a link between education and commerce and assists in turning knowledge into marketable products,” it noted.

Over six consecutive years, growth rate of the world exports of creative goods and services posted an annual growth rate of 14 percent. –EDU LOPEZ, Manila Bulletin