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Pimentel Seeks Reforms at CITEM Over ‘Operational Issues’.

Manila: Senate Minority Leader Aquilino Pimentel III is seeking reforms at the Center for International Trade Expositions and Missions (CITEM) due to concerns over operational issues. CITEM is a government-owned and -controlled corporation mandated to develop, nurture, and promote micro, small and medium enterprises, brands, designers, and manufacturers by implementing an integrated approach to export marketing in partnership with other government and private entities.

According to Philippines News Agency, Pimentel highlighted some well-known issues and challenges CITEM faces, including high exhibitor costs, direct competition and duplication of functions with other government agencies conducting promotional events, and a 50-year lease of prime property to the Philippine Exporters Confederation, Inc. (Philexport) for only PHP1,000 per year, which is deemed “grossly disadvantageous” to the government.

Pimentel criticized CITEM’s practice of passing 80 percent of exhibition costs to exhibitors, hindering the
participation of small businesses. He emphasized the significant burden that participation costs pose for small Filipino investors with quality and world-class products.

Despite receiving an annual government subsidy with an allocation of PHP195.6 million in the 2024 budget, CITEM only promotes Philippine products in six countries – Germany, France, Japan, Malaysia, the United Arab Emirates, and China – covering only two sectors: home and fashion, and processed food.

Pimentel noted that CITEM owns a 4.9-hectare prime lot that is not generating reasonable revenues, which should and could have been used for its operations. He emphasized the need for CITEM to address its problems to effectively pursue its mandate.

In response to these issues, Pimentel filed Senate Resolution 1218 to direct the appropriate Senate committee to conduct an inquiry into CITEM’s current circumstances to formulate appropriate policies for its reform.