Mining sector’s contribution to the Philippine economy

Despite a number of opposition coming from some civil society and religious organizations, the country’s mineral industry was able to contribute to the Philippine economy and the contribution will continue to alleviate poverty in the countryside where the majority of the poor reside.

For the year 2009, the mineral industry was able to contribute:

1. Php100.50 billion to the country’s Gross Domestic Product (GDP). This represents 1.30% of the country’s GDP; 

2. Php112 billion in gross mineral production value;

3. US$1.5 billion in investments with US$800 million coming from four (4) foreign mining companies in nickel and gold-copper production;

4. Mineral exports of US$3.6 billion; 

5. Excise taxes, fees and royalties estimated at Php22 billion which is translated to developmental activities in host mining communities;

6. Employment generation of 160,000 with multiplier effect that for each mining job, 4 to 10 more jobs are created in the upstream and downstream business;

 7. Wages and benefits of Php22.5 billion;

 8. Commitment to environmental management and mine rehabilitation before closure is Php21.7 billion, an assurance that no legacy or abandoned mine will exist in the future;

 9. Php1.2 billion for social and community development benefiting about 749 host and neighboring communities of 385 mining projects; and

 10. Continuing participation in the DENR “Adopt a Tree, Adopt a Mining Forest Program” documented the industry’s commitment to helping address “Climate Change” by planting 8 million trees from 1997 to 2009.(LDV MARCH 23, 2010)