Carlos P. Garcia

“ Because of our independent foreign policy, we have gained new prestige in our own region of the world and in the international community. We are truly forging the true image of the Filipino nation. With rational firmness, we have accomplished much without painful disruptions or violent difficulties which normally follow the process.
The bonds of friendship and mutual interest which link the Philippines and the United States, our closet ally and friend, remain firm and enduring. ”

“ I therefore call upon the press, the radio and television to focus their floodlights upon the men who committed the corrupt act and not upon the administration that caught and punished the act. Let us not hide the identity of the corrupt behind generalities. Let us demand that the corrupt men answer for their criminal acts instead of pinning responsibility on President under that novel political heresy of “command responsibility.” ”

“ External confidence in our economy has been so enhanced that foreign banks have gone as far as offering loans for economic development both to our government and to private investors. This puts to shame the self-proclaimed prophets of doom who had greeted our proposed economic stabilization measures with dire predictions of economic disaster.
The success of the stabilization program in solidifying and strengthening our internal and external financial position encouraged the Administration to consider the relaxation of restrictions and controls. ”

“ It is time that we step up the development of the livestock industry through the enactment of appropriate legislation. At present our meat and milk production meets only 15 per cent of the national requirement. We have to import P48 million worth of meat, milk and dairy products each year. The need for assuring an adequate supply of these vital food product calls for serious efforts to develop the livestock industry.
There is need for stepping up the pace towards increasing fish production from the deep seas. The Philippines tuna resources are among the richest in the world. ”

“ The age of cement roads has come to the Philippines. It is high time that the main highways traversing the various agricultural and industrial areas (about 15,000 km. long) be paved with cement o reduce the cost of maintenance. The use of cement instead of asphalt in the construction of our roads will be far more economical in the long run. Local cement production will soon be expanded so as to bring down the price thereof and enable the government to undertake this ambitious project. I urge that Congress consider the adoption of a program cementing our national highways. ”

“ As we lurch forward into the future, we derive new strength and fresh inspiration by surveying the horizon we have traversed during the year under review. We see that we have reached new heights of prosperity and development as a result of our momentous decision to enact into legislative mandates the fiscal stabilization measures which we implemented vigorously. ”

“ I recommend the establishment of a Deep-Sea Fishing Administration for the purpose of encouraging, coordinating and assisting the development by the private sector of deep-sea fishing. Accordingly, the Development Bank of the Philippines should set aside no less than P10 million a year for this purpose.
While it is wise to encourage the utilization of our forest resources, we have it necessary to look into their conservation and effective exploitation. Scientific management of commercial forest areas through selective logging has been intensified. ”

“ The problem of providing low-cost housing for our wage-earners, particularly in urban areas, continues to be a major concern of this Administration. The Home Financing Commission, the People’s Homesite and Housing Corporation and the National Urban Planning Commission should coordinate their efforts behind a bold long-range housing program for the masses. We must encourage the participation of private enterprise in this essential program. The Social Security System should embark on a low cost housing project for the benefit of its members. ”

“ If society does not correct this twisted attitude, the day will come when this social cancer will spread deep into the system of our body politics without any doctor that will have the courage to prescribe the remedy and lead the nation to salvation. ”

“ I have directed a study on the dispersal of the industries supported by basic facilities. Our policy in this connection is to give priority to the area with the greatest potential. Priority should be given to the systematic development of Mindanao because of its tremendous natural resources and because it is the least developed among the three groups.
The financial resources required for economic development at the rate necessary to sustain a continuing growth will call for the tapping of idle savings and channeling them to productive investments. ”

“ The Philippine Charity Sweepstakes has raised great amounts of funds for social welfare activities. The broadening of the scope of its benefits should be considered by Congress.
D. Social Security
Today, almost four million people are enjoying the protection and benefits of the Social Security System for the private sector and the Government Service Insurance System for the government sector. These two systems also assist our economic development since a large portion of their resources is being channeled to productive investments in various sectors of our economy. ”

“ In implementing the Retail Trade Nationalization Act, the Department of Commerce and Industry registered and assisted a great number of new Filipino retailers. This Congress also passed during the last session the Rice and Corn Trade Nationalization Law.
The role of non-agricultural cooperatives in the economy has gained added strength with the establishment of the Philippine National Cooperative Bank.
At present, there are a number of agencies with which businessmen have to deal in setting up an enterprise. ”

“ The Joint Legislative-Executive Tax Commission, created to improve our tax system, has already submitted legislative plans which deserve your serious consideration. These proposals meet the need for additional revenue, without increasing the average taxpayers’ burden, and provide impetus for rapid economic development. ”

“ Where once existed barrios wrapped in apathy and a sense of hopelessness, there now thrive invigorated communities inspired by democratic grassroots leadership—a strong guarantee against the inroads of Communism. ”

“ Full decontrol may obviously be accompanied by an increase in price of imports, but it will create conditions favorable for the establishment of new industries to increase production for export and employment and, in the long run, stabilize prices. With the savings of foreign exchange resulting from the reduction of imports of consumer goods, we shall have more resources available for the importation of machineries and equipment to expand industrial production. ”

“ I wish to reiterate anew that we cannot move in the dark. We can proceed only against those cases brought to light by civic-minded citizens and supported by evidence. We cannot act on the basis of generalities or on gossips peddled by “ugly wagging tongues.” ”

“ Rural health units have continued to minister to the needs of the masses. The Government has upgraded the standards of services.
More and more funds are needed in order to fully provide in the rural areas medical service and health facilities. ”

“ Rural banks have increased to 150 at the end of 1960. We accelerated the grants of land patents and homesteads and the resettlement efforts of the National Resettlement and Rehabilitation Administration. ”

“ Towards this end, public policies should learn from the experience of more advanced countries by encouraging the establishment of investment houses quite distinct from the mutual funds. This will further strengthen the financial basis of the economy and assure sources of long-term funds for desirable productive ventures.
D. Economic Nationalism and Trade
Even as we are making provisions for expanding production, we have attended to increasing outlets for our output. ”

“ In connection with cigar manufacture, it may be necessary that government policy should encourage mechanization of cigar making if we hope to fill our cigar quota in the American market to the tune of 180 million cigars of which we have only filled the meager amount of six million cigars. ”

“ In this connection, I am glad to announce that necessary credit facilities have been extended by the Philippine National Bank with the support of the Central Bank and the Development of the Philippines to permit the ready expansion in sugar production and take advantage of the opportunity of increasing the country’s foreign exchange earnings in the amount of about $60 million. All in all, the total amount of sugar we have to export to the United States this year is 1.4 million tons. ”

“ The annual schedule of payments and allocations to the public and private sector is with a view of utilizing reparations payments in such a manner as shall assure the maximum benefits in an equitable and widespread a manner as possible. We set aside P5 million o develop the potential cottage and home industries and thereby provide more employment opportunities for the masses. This policy will be implemented annually as long as necessary. ”

“ To correct the acute shortage of textbooks we initiated a textbook printing project to print 35 million textbooks at a cost of P47 million, plus $5.9 million as counterpart.
Private schools continue to play an important role in education. They accommodate 60 per cent of the secondary students and 90 per cent of those on the college and graduate levels. To the end that the highest standards of instruction possible may be maintained, an increase in the supervisory personnel is necessary. ”

“ The fact that there were only 44 strikes in 1960 as against 59 strikes as the annual average during the preceding three years is an eloquent evidence of the growing contentment in the labor ranks, and of better relationship and understanding between management and labor. With the increasing acceptance by employers of the institution of collective bargaining, industrial peace has been greatly enhanced. ”

“ In this connection I want to interject the observation that land values in and around industrial centers have increased even fifty times as high as, say, a decade ago, and yet their assessment values have remained stationary. Another observation is that when the government buys a real property for some public use, it pays a price ten or twenty times more than the assessed value. ”

“ To improve the position of Filipino firms and corporations resulting from certain weaknesses in their capital structure and to provide incentives to all investors, other assistance measures should be approved by Congress. ”

“ Significantly, through the favorable policies of the present administration, economic activities since 1953 have been so expanded as to accommodate an additional 2.2 million workers, thereby reducing unemployment from 1.4 million or 17 per cent of the labor force in 1953 to only 750,000 or 7.7 per cent of the labor force in 1959.
G. Health
Public health and sanitation services were further extended to the rural areas. Most of the diseases which have been the common causes of death are under control. ”

“ This administration is determined to realize its major project of establishing integrated steel plants. It has encouraged and supported the participation of the private sector in this industry. The private segment of our economy has made initial investment towards owning 49% of the capitalization. Private participation in the Iligan project calls for appropriate amendments of the charter of the National Shipyards and Steel Corporation which I strongly recommend. ”

“ To accelerate our industrialization and the utilization of our vast natural resources, I recommend amendments to the petroleum, mining and corporation acts to make them conform with modern advances, problems and trends in leading mining countries ”

“ They are a definite asset in fighting Communism. They can be massive assistance, as once in the past, in keeping elections free, honest, and orderly. They can contributed effectively in our efforts for reforestation and against deforestation and also in the conservation of other natural resources. ”

“ To provide greater stimulus for the industrial development program, it is essential that appropriate business incentives he provided for. Fiscal measures are necessary to reduce the initial burden incident to the establishment of new enterprise.
The establishment of basic industries requires large capital investments. To lighten the initial burden, I recommend legislation granting basic industries full exemption from duties and taxes on their initial fixed capital requirements. ”

“ It is our constant endeavor to keep our National Defense organization abreast with the latest advances. Under the Mutual Defense Pat with the United States we are modernizing our armed forces particularlt in relation to the new weapons and methods of warfare. ”

“ This apportionment is in line with the industrial dispersal policy of this Administration.
In this connection, offers of private corporation or contractors to build for the government portions of the cement road system, under special terms or deferred payment plan, should be welcomed and accommodated.
Industrial power output has been increased by 265,000 kilowatts due mainly to the operation of the Binga Hydro electric project. Studies for four other hydroelectric projects with a total capacity of 359,000 kilowatts have been completed. ”

“ It will do us well to asses carefully those possibilities with a view to determining their impact upon our policy towards Communist China and what measures we could devise alone or in cooperation with the free peoples or our region to meet the developing situation. ”