About the Industry

The production of the Philippine Jewelry is composed basically of fine and costume jewelry. Fine -jewelry refers to traditional pieces using valuable and finely crafted gold, silver and gemstones. Costume jewelry generally indicated pieces using inexpensive materials designed to accent trendy fashions and designs, especially in Europe and the United States. The word costume jewelry itself was originally a commercial term invented to distinguish these pieces from fine, or genuine jewelry.

Jewelry manufacturers usually concentrate their effort in exporting costume jewelry considering the wealth of exotic raw materials in the country.

In terms of production structure, the Philippine costume jewelry industry consists of exporters, assemblers, manufacturers and other related firms. In Cebu, exporters and manufacturers usually have relatively distinct functions; most exporters rely on their sub-contractors for their components or in assembling these components.

Cebu is home to a large number of manufacturers and assemblers simplifying management for the exporters. Philippine costume jewelry is highly acclaimed for its quality, design and innovative use of natural materials. Filipino manufacturers have an excellent reputation when it comes to working with natural materials like paper, shell, horn and wood, which are used in different ways unique to the Philippines. We also have access to abundant natural materials and large supply of skilled laborers.

Enhancing the inherent designing skills of the industry, research and development and market penetration to suit market demand are the current strategic mission of the Industry.

Revisions on Jewelry Act Proposed

Jewelry production is indeed one of the country’s most productive industries, attracting buyers and exporters from all over the globe. However, local jewelers are hampered from fully developing and expanding their chosen craft, what with the high cost of imported materials needed to produce these accessories.

Thus, the passage of the Jewellery Act 8502 in 1999 was a big help to local exporters, removing the excessive tariff from imported materials, tools and equipment used in the manufacture and export of the products. But in order to benefit from this incentive, jewellery companies need to have their businesses accredited with the Board of Investment (BOI) – an exercise found to be tedious by many companies. Aside from having to secure numerous documents, exporters from Cebu still need to secure an endorsement from the Department of Finance in Manila before the BOC can release the necessary goods to them. To date, only a handful of exporters are enjoying the incentives the Jewellery Act offers.

In line with this problem, FAME Foundation Philippines and other jewellery associations like the Guild of Philippine Jewelers and the Meycauayan Jewelers’ Industry Association reviewed the Implementing Rules and Regulations of the said law and proposed some fundamental amendments. These are now under the evaluation of the concerned government agencies. The FAME Foundation is hopeful that with the ratification of the proposed amendments, more companies will be encouraged to avail of the incentives the Act gives away.