Download - Tangkilikan philosophy 2
Tangkilikan and the National HeroesThe philosophy of
Rizal and Mabini on nationalism and protectionism:
A free and self-reliant economy is an indispensable foundation of national independence
Jose Rizal
Apolinario Mabini
Tangkilikan and the National HeroesThe philosophy of Rizal and Mabini on
nationalism and protectionism: Dominance of Filipinos over the
country’s economy and resources through government protection and promotion of domestic industries.
Rizal and Mabini on nationalism and protectionism rooted to the neo-mercantilist philosophy of
Friedrich List & Alexander Hamilton.
F. List & A. Hamilton- nationalism and protectionism
Rejected free trade and advocated- protection of domestic industry & market
against foreign encroachment and unfair competition from powerful alien-controlled companies.
active government regulation & intervention in commerce and industry to realize the growth of the economy.
Rizal and Mabini on nationalism and protectionism
Rizal organized the La Liga Filipina in July 1892 as a national organization of Filipinos. Its Constitution stated:
“Mutual protection for all members. Any member may recognize all the others to patronize him in his business or profession. He may request for aid or capital for some enterprise or business when funds are available. If he buys from firms supported by the Liga, he is entitled to a reduction in price”. (Luna-Orosa, Severina 1902)
La Liga Filipina
Economic nationalism during the colonial years “Mercantilist philosophy, the earliest
form of economic nationalism, … puts the interest of the local economy above all considerations” (Lichauco, Alejandro 1985)
“The Chinese who, to a significant degree, helped in the growth of the local economy since the colonial years, became the convenient scapegoat” (Golay, Auspach & Pfanner 1969)
Tangkilikan from the labor perspective Don Isabelo de los Reyes and Dr. Dominador Gomez, leaders of the Union Obrera Democratica (UOD), the first labor federation founded in Feb. 1902 advocated- Popular patronage of local industries &
products [which] were repeatedly raised & urged in various workers’ rallies, pickets and conventions, along with the overriding demand for Philippine independence.
Don Isabelo de los Reyes and Dr. Dominador Gomez
Union Obrera Democratica
Dr. Dominador Gomez
The growth of local industry [is] for the welfare of the labor sector and … the enhancement of a self-reliant and independent nation.
“Every dollar of American capital invested in these islands is a nail in the coffin of Philippine independence- Gomez, 1935 (Dava-Severa 1935)
Don Isabelo de los Reyes
“[The] development of local industry meant not only more businessmen but also more factories & greater jobs and employment opportunities.”
“Unionism”, according to de los Reyes, “was aimed to achieve the longed-for alliance of labor and capital” (Constantino 1975)
Tangkilikan from the labor perspective “Filipino unionism was Filipino
nationalism. It was the unity of Filipinos, workers and capitalists, peasants and professionals, all others to the cause of Philippine independence from American imperialism.” (Velasco, Renato 1985)
Tangkilikan from the Employers’ perspective The Chamber of Commerce of the
Philippines (CCP), which was organized in July 19, 1903, did not oppose free trade because its members initially benefited from it.
But in 1920, the CCP opposed free trade & proposed the doctrine of protectionism and particularly urged for a wider patronage of local products.
Tangkilikan and the birth of NEPA In 1926, the CCP organized a
Committee on Protectionism which promoted economic nationalism & protectionism.
It was composed of Leopoldo Aguinaldo, Toribio Teodoro, Ciriaco Tuazon & Ramon Fernandez.
It launched in Dec. 30, 1926 the “Give Preference to Philippine-Made Goods Campaign”.
Don Salvador Araneta
National Economic Protectionism Association, 1934
Tangkilikan and the birth of NEPA The CCP Committee on Protectionism
organized the National Economic Protectionism Association (NEPA) in November 19, 1934. President, Benito Razon, Socox y Cia; Vice
President, Gonzalo Puyat, Gonzalo Puyat & Sons; Treasurer, Toribio Teodoro, Ang Tibay Shoe Factory; Board members- Leopoldo Aguinaldo, Aguinaldo Ent., Salvador Araneta, lawyer economist, Phil. Economic Ass’n, Ciriaco Tuzon, Tuazon Enterprises.
3 Features of NEPA’s Economic Nationalism1. Belief in the ownership and control of
citizens over the productive assets of the national economy.
2. Active government support and protection to local industries through incentives and legislations against unfair competition from foreigners.
3. Call for nationalist industrialization.
NEPA’s Dekalogo ng Tangkilikan1. Mahalin mo ang sa iyo ng higit pa sa
iba.
2. Parangalan mo ang mga yari sa iyong bayan, ang kanyang mga industriya at ang pangangalakal niya.
3. Maging Pilipino ka sa isip at gawa kapag nauukol sa mga bagay na pangkabuhayan.
NEPA’s Dekalogo ng Tangkilikan4. Huwag kang gagamit ng mga yaring
dayuhan kung mayroon nang gayong yari sa ating bayan.
5. Tangkilikin ang hanapbuhay dito sa atin.
6. Itanim sa isip ang dakilang katotohanang ito: na ang bayang walang pamana ay aba.
N EPA’s Dekalogo ng Tangkilikan7. Magpumilit ka sa hangad na ang bayan
mo ay maging lalong maunlad.
8. Tumulong kang magbigay-dangal sa ikagiginhawa ng manggagawang Pilipino, at sundin ang katutubong batas na nag-aatas na kalingain ng isang kapatid ang kapwa kapatid.
NEPA’s Dekalogo ng Tangkilikan9. Isakatuparan ang tangkilikan sa
pamamagitan ng gawa, at hindi sa salita.
10. Maging matiyaga ka at masipag sa pagganap ng tuntuning nauukol sa ikasusulong ng sarili at ng bansa.
Tangkilikan from the gov’t perspective
In 1930, Manuel Roxas of the Philippine Assembly adopted economic nationalism as the ideology of Ang Bagong Katipunan (ABK) which was composed of businessmen and professionals.
Decalogue of Ang Bagong Katipunan “We will practice economic nationalism. We will organize and struggle for
economic self-sufficiency. We will serve to produce what we need
and buy what we produce. We will encourage the development of
our home industries.
Decalogue of Ang Bagong Katipunan We will patronize our countrymen who
are engaged in business but condemn those who exploit their customers.
We will buy from abroad only those commodities that we do not produce, giving preference to articles coming from countries which buy our products” (Kalaw 1931).
Claro M. RectoNationalist
Claro M. Recto
Ang Parity Amendments ay magdudulot ng paghahari ng mga dambuhalang korporasyong Amerikano sa ating ekonomiya na walang buting idudulot sapagkat ang kikitain ng mga ito'y lalabas lang sa bansa sa halip na magamit upang paunlarin ang ekonomiya.
Claro M. Recto Makabansang pag-iindustriya:
Kung isasaalang-alang ang lawak ng ating mga yamang-bansa, walang alinlangang kakayanin natin ang magtatag ng mga pambansang industriya.
Sa ilalim ng programang ito, makalalalang tayo ng sarili nating mga kalakal sa halip ng walang patumanggang pag-aangkat, at ang ating kapital ay di na lalabas nang lalabas ng bansa. Alexander Remolino
Filipino First Policy President
Carlos P. Garcia
Filipino First Policy Pres. Carlos P. Garcia popularized
economic nationalism through the Filipino First Policy. It gave preference to Filipinos over foreigners in the acquisition of land and capital and in the operation of business, trade and industry.
The Filipino First policy also aimed to encourage the people to patronize Philippine-made products and to promote Filipino labor.
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Tangkilikan before World War II
The NEPA Tangkilikan movement in the 1930s stimulated the growth of Filipino industries.
Local industries increased in 1938. These include textiles, leather & rubber footwear, cement, medical & toilet preparations, household utensils, potteries, furniture, shell craft, cigarettes, cosmetics & lotions, soap, lard, candies, toys, etc.
Tangkilikan before World War II NEPA’s Tangkilikan became a byword
in the country. NEPA had 38 provincial chapters and
160 municipal & barrio chapters. The Bureau of Education helped organize NEPA student chapters nationwide.
The weekly Voice of Industry was broadcast regularly.
Tangkilikan during the War
Tangkilikan philosophy helped alleviate the sufferings of the people during the war.
Economic nationalism was forced to be practiced and found to be viable.
Businesses became self-reliant and produced products made of locally available materials.
Tangkilikan in the 1950s
NEPA was revived in Dec. 30, 1948. It spearheaded the import substitution
industrialization (ISI) development strategy of the country.
Industrial enterprises mushroomed in Manila area making the Philippines the second highest in economic development in the 1950s, next to Japan.
Filipino First Policy
The country produced captains of industry like Salvador Araneta and Hilarion M. Henares, Jr., the ideologues of the industrialization, Filemon Rodriguez, Col. Severo Santiago, Meneleo Carlos, Sr., Pablo Silva, Jose Concecion, Sr. , Jose Marcelo, Jacinto families, and numerous others who pushed for industrialization and ‘Filipino First’ Policy”.
The Pitfalls of the ISI Strategy1. Most of the beneficiaries of the ISI
programs were US firms (3 out of 4 companies set up in 1950s were foreign subsidiaries and joint ventures).
2. Their investments were in tertiary processing and in capital intensive processes that were subsidized and protected by the state.
The Pitfalls of the ISI Strategy3. There were limited forward and
backward linkaging and these ISI industries managed to control the local market via industry cartels or oligopolies and monopolies. They did not expand to the export market for more efficiency, economies of scale and competitiveness.
The Pitfalls of the ISI Strategy4. Colonial mentality led to wasteful
spending. Foreign cultures created new needs, attitudes and values that developed costly tastes among the rich and the upper class that favored the purchase of imported goods. Many foreign & local firms practiced transfer pricing and patronized foreign suppliers instead of local producers.
The Pitfalls of the ISI Strategy5.There was no genuine land reform
program to increase the incomes of the rural population and expand the local market to encourage industrialization.
6. The ISI strategy institutionalized patronage politics and crony capitalism that preserved the dominance of the local dynastic elites & the neo-liberal technocrats in the political system.
The Pitfalls of the ISI Strategy The ISI strategy failed because it was
derailed by anti-industrialization forces. Instead of clearing the obstacles to the ISI strategies for industrialization, it was completely abandoned in exchange of an experimental export-oriented strategy that brought the economy back to the free trade colonial past
The Free Trade Development Strategy With the influence of the IMF-World
Bank, a new export oriented industrialization (EOI) was adopted after President Carlos P. Garcia.
The country literally became an open economy to foreign capital, foreign loans and foreign economic advisers.
There was a promise of economic development and industrialization in this new strategy
The Failure of the Experiment After several decades of globalization
and trade liberalization, studies now show that “people in the high income countries account for 20% of world population but posses 90% of the GDP in the world. On the other hand, poorest people, which account for the lower 20% of world population, posses only 1% of GDP in the world” (ILO Director General Juan Somavia 1999, Takagi 2004)
The need to bring back Tangkilikan Other Asian counties like Taiwan, South
Korea, Hong Kong, Singapore, Thailand, Malaysia, India and lately China followed the Tangkilikan strategy of Japan.
They are now the new Tigers of Asia.
Tangkilikan revival at present
Aside from NEPA and the Pilipino Muna Movement, other Tangkilikan organizations have been formed.
Among them are the Galing Pilipino Movement and the Buy Philippine-Made Products Movement.
One of the most promising group is the Fair Trade Alliance (FTA)
Workshop: Operationalize TangkilikanGuide Questions: How do we see Tangkilikan effectively
operationalized at the grassroots level?How best can we push for Tangkilikan
to be widely adopted and actively employed?
What mechanisms and structures does it need?
References:
Dava, Severa (1935), The Great Accomplishment of Quezon, ManilaGolay, Frank, Ralph Auspach & Ruth Pfanner (1969), Underdevelopment
and Economic Nationalism in Southeast Asia, USA: Cornell University Press.
Kalaw, Maximo (1931), “The Philippine Question”, Philippine Social Science Review, Vol. III, No. 4, p. 16, Manila: Sept. 1941
Luna-Orosa, Severina (1962), “Rizal’s La Liga Filipina and the NEPA”, NEPA Courier, Vol. II, No. 3, June-July 1962, p. 17.
Remolino, Alexander, Claro M. Recto, http://www.tinig.com/v37/v37_kolum_alex.html
Sibal, Jorge V., “The History of NEPA is the History of Economic Nationalism” (manuscript)
Sibal, Jorge V. (2002), “Industrial Culture and Industrialization”, Philippine Journal of Labor and Industrial Relations, Vol. XXII, Nos. 1 & 2, Quezon City: UP SOLAIR
Velasco, Renato S. (1985), Fifty Years of Filipino Economic Nationalism: The National Economic Protectionism Association (NEPA), 1934-1984, Quezon City: UP Asian Center
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