Daily Tribune
Despite the persistent geopolitical uncertainties, the Philippine Franchisers Association (PFA) expects franchise companies to gain 10 percent in revenues for the year.
“We’re still quite aggressive, it’s about eight percent to 10 percent. We do know there’s a lot of headwinds around the world. And we don’t know where inflation, or I think more importantly, interest rates are going,” PFA chairperson Chris Lim told reporters at the sidelines of the opening of Franchise Asia Philippines 2025-International Franchise Conference on Thursday at the SMX Convention Center.
He said the food segment will remain the driver of growth, followed by the services sector, which is now gaining momentum and is equally important as the food sector.
“Factors that may affect it, we do see a lot more people getting into franchising. So, we see a lot of people wanting to be their own boss. People in the provinces especially want to be based back there and create opportunities there,” Lim stated.
Trade and Industry Secretary Cristina Roque earlier said that one of the priority sectors during her tenure as DTI chief is franchising, apart from uplifting the stance of the micro, small and medium enterprises as her foremost priority.
In October last year, the Small Business Corporation, DTI’s lending arm, signed a memorandum of agreement with the PFA, aiming to strengthen their partnership in MSME development.
Meanwhile, Lim said his group thinks the recent 17 percent tariff the United States imposed on all US-bound exports may not affect most of the PFA members, as most are now sourcing their supplies and raw materials locally or in the neighboring ASEAN region.
“Because the ones that will have impact are those that have a lot of exposure to the US market. But even that will be a bit muted because the franchise sector has been diversifying its supply base. And a lot are localized already. It would usually be sauces and mixes if they ever get anything outside the Philippines. But the main products, whether chicken or potatoes, now try to source them as locally as possible,” he said.
On Wednesday, Economic and Investment Affairs Secretary Frederick Go said he and Roque are optimistic about the results of the upcoming meeting with United States Trade Representative Jamieson Greer sometime this month.
Go earlier said that the meeting with Greer would further strengthen the bilateral trade partnership between the Philippines and the US, amid the recently imposed 17 percent US reciprocal tariffs, which have been halted for 90 days.
“We are confident that, through our strong economic and diplomatic ties, we can find mutually advantageous arrangements,” Go remarked.
Roque echoed the sentiment, noting that “the consultative process has enhanced mutual understanding and alignment on shared goals.”
But the Trade Department did not divulge the exact date of the meeting.
Meanwhile, Franchise Asia Philippines 2025, which will run from 25 to 27 April, is presented with a theme that captures the essence of franchising: “Building Success Together.” This theme underscores the power of collaboration as the foundation of the franchising industry.
It highlights the vital partnerships between franchisors, franchisees, government, suppliers, and service providers — an interconnected ecosystem that drives growth and success.
Reminiscent of the Bayanihan spirit, it fosters a sense of community built on trust, mutual support and shared values.
