Government eyeing boost of PH mining sector

The Department of Finance (DOF) is looking to amplify the country’s mining industry under the Marcos Administration.

In a television interview, Finance Secretary Benjamin Diokno said that the mining sector will now be among the major growth sectors of the economy during the term of President Ferdinand Marcos Jr.

Diokno said that the country’s mining industry was practically nil in the past years due to emphasis on environmental concerns, citing that the industry’s contribution to the gross domestic product (GDP) is only 0.06%.

In the 1980s, the mining industry accounted for 21% of the country’s export earnings, and around two percent of the GDP.

Earlier, President Marcos said that he is considering adding value-added tax (VAT) on partially processed ore exports.

In 2021, data from the Philippine Statistics Authority said that the country’s value for key mineral reserves increased by 32.2% to Php 378.04 billion. However, the National Economic and Development Authority (NEDA) and Mining Industry Coordinating Council (MICC) said in its recent review that the majority of the mining operations in the country need to undergo serious reform.

In the same year, the government lifted the four-year ban on open-pit mining to allow the industry to be a potential contributor to economic recovery at the height of the COVID-19 pandemic and the onslaught of Typhoon Odette.