Editorial
Open for business
AT last, Dagupan’s seafood processing plant — officially named Korea-Philippines Seafood Processing Plant — is open and now on more than a week of successful trial operations. It was not an easy journey leading up to the inauguration ceremonies last November 29. The construction of the plant was marred by political strains, causing the break-up of local alliances, as well as social challenges, specifically the relocation of illegal settlers at the site.
Having survived all that, the plant now faces its biggest test: becoming a successful business venture.
Everything appears promising at this point, especially after all the encouraging speeches during the opening ceremony. But the commercial viability of the plant remains doubtful, mainly because the government is running it. This is not to say that we have no confidence in Dr. Westley Rosario, director of the National Integrated Fisheries Technology Development Center (NIFTDC) of the Bureau of Fisheries and Aquatic Resources, who has been appointed to head the management group that will handle the processing plant for about five years, after which it will be turned over to the Dagupan City government. We have our highest regards for Rosario who has proven himself a most competent expert in aquaculture development, but running a business is an entirely different field.
The government as a whole has a poor track record in managing commercial enterprises. The country has yet to see a showcase to prove that government, with its bureaucracy and mindset as a subsidized entity, has the capability to manage and succeed in a highly competitive global market. The only exception perhaps is running casinos and operating the lottery, where operations and management principles are largely institutional worldwide, and whose profitability is keyed on a promise of easy quick winnings by gambling.
Just the same, we wish the government luck and we’d be happiest to be proven wrong.
A lot of hope has been pinned on the processing plant’s potential in providing jobs, increasing the income of fish farmers, propping up the province’s aquaculture industry, and making Dagupan one of the biggest suppliers of processed seafood in the Asian region, or perhaps even beyond. Now that also means a whole lot of disappointment hanging by. Furthermore, it would be such a shame not to live up to the expectations of the Korean government, which funded the construction of the plant, and surely that will have an impact on Korean investors who are eager to put in their money in the Pangasinan.
Rosario and his team would do well not to work towards eventually handing over the plant to yet another government entity, but to find options on how to get the private sector into the project.
Running a business is best left to those who know it best.
