senseneres: CAN WE CONVINCE MULTINATIONAL COMPANIES TO MAKE THEIR PRODUCTS LOCALLY?

CAN WE CONVINCE MULTINATIONAL COMPANIES TO MAKE THEIR PRODUCTS LOCALLY?

I have been toying with an idea that flips the usual script of economic diplomacy. Instead of flying Filipino officials abroad to court multinationals in their home countries, why not talk to these companies right here—on our own soil—where they already earn profits from Filipino consumers?

If they make money here, shouldn’t they also make their products here?

This is not about waving a flag or appealing to patriotism. It’s about reciprocity — the good old “quid pro quo.” If the Philippines gives these corporations access to our massive consumer market, perhaps they can return the favor by creating jobs, building factories, and sourcing materials locally.

And so I propose a simple but potentially game-changing idea:
Create a special unit in the Department of Trade and Industry (DTI) dedicated entirely to persuading multinationals to localize production.

Not abroad. Not through embassies.
Right here, in the Philippines.

The Everyday Examples That Got Me Thinking

Take Colgate Plax mouthwash. Check the label — it’s imported from Thailand, yet sold by Colgate-Palmolive Philippines. Do we really not have the capability to bottle mouthwash locally?

Or consider the ketchup sachets in Burger King. Believe it or not, those tiny packets travel all the way from India before they reach your burger tray in Quezon City or Makati.

And what about Starbucks Coffee? The Philippines grows world-class arabica and excelsa beans — yet how much of Starbucks’ Philippine inventory actually comes from our farms?

These are major global brands that enjoy a massive Philippine consumer base. But the economic value — the factories, the jobs, the supply chains — is happening outside our borders.

Why Would Multinationals Listen?

Because localization can actually be good for them. Here’s what the global trend shows:

Shorter supply chains are cheaper and more resilient. COVID, wars, and shipping delays have taught multinationals a painful lesson.
ESG pressures push companies to reduce carbon footprints — and producing closer to markets does exactly that.
Local tastes shift fast. Firms respond more quickly if product development is done locally.

Countries like Vietnam, Malaysia, and Indonesia have already leveraged this logic to lure foreign manufacturers. Why shouldn’t we?

But Let’s Be Honest… It Depends on Cost

Multinationals will not manufacture here out of charity.
They will do it only if it is cheaper, easier, and more predictable than importing.

Which means the entire Philippine government — national agencies, LGUs, utilities, regulators — must work together to make localization attractive, not burdensome.

Infrastructure. Energy prices. Logistics. Permits. Regulations.
These are the levers that matter.

If Thailand can convince Colgate to put a factory there, surely the Philippines can also offer a competitive environment. We are not starting from zero — we already have manufacturing clusters, industrial estates, and a capable labor force.

A Proactive DTI Is the Missing Piece

Imagine a DTI task force that:

Meets every multinational operating in the Philippines
Reviews which of their products can feasibly be produced here
Offers tailored incentives
Connects them with local suppliers, LGUs, and logistics networks
Follows through until actual plants are built

This is not just diplomacy.
It is economic statecraft done at home.

The Big Question

Can we convince multinationals?
Yes — if we make the numbers work.

Global corporations respect one thing above all: efficiency. If producing in the Philippines lowers costs, shortens supply chains, and improves resilience, they will choose us without hesitation.

But we cannot wait for them to propose it.
We need to make the first move.

And perhaps—just perhaps—the mouthwash on our shelves, the ketchup in our packets, and the coffee in our cups will soon be proudly made in the Philippines.

RAMON IKE V. SENERES

www.facebook.com/ike.seneres iseneres@yahoo.com senseneres.blogspot.com 09088877282/09-11-2026