Philexport says SME exporters can tap interest-free gov’t loans for shipping costs

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The Philippine Exporters Confederation, Inc. (Philexport) said Friday that SB Corp. is providing a “quick-response fund” for small exporters whose operations have been affected by the government’s community quarantine rules. 

“Small and medium-sized enterprises (SMEs) with at least one year’s experience in export transactions can apply for interest-free government loans to meet their shipping freight costs requirement,” Philexport said in a statement. 

Lourdes Rosario M. Baula, head of the Financing Sector of SB Corp., acknowledged that the increase in freight rates and cost of raw materials resulted in an increase in total production cost. 

“Exporters have to compromise their profit margin to meet export sales targets and keep their businesses afloat,” she said. 

SME exporters are those with assets of between P3 million and P100 million.  

They must also be able to show at least three consummated purchase orders or letter sof credit, Philexport said. – Arjay L. Balinbin