GOVPH

Challenges of the Philippine Metal Casting Industry: Metal Casting Companies Up Close and Personal with DOST-MIRDC

By James Bernard Herrera

The metal casting industry is said to be a cornerstone of manufacturing industries worldwide. It is involved in the various sectors that make a country’s economy thrive, such as agriculture, transportation, and defense sectors. However, in the Philippines, the metal casting industry has been experiencing a constant decline over the last few decades, which directs us to this question: what are the causes of this decline?

The Department of Science and Technology - Metals Industry Research and Development Center (DOST-MIRDC) gathered local metal casting companies for a focus group discussion (FGD) on September 23, 2024, at La Breza Hotel, Quezon City. The event was part of the Center’s industry study titled “Local Metal Casting Industry Thriving Despite Challenges,” to verify the study’s findings as it nears completion.

The study focuses on why the metal casting industry, once robust, has become a declining industry in the Philippines. From hundreds of local foundries operating in the 1970s, the number has dwindled to just 68 foundries.

During the FGD, the team presented the study findings, where participants also provided feedback and verification.

Industry players showing keen interest in the findings being presented by Ms. Kathlyn Kai Negado.

Money factor. The first and most pressing challenge identified was financial. Many companies have experienced a shrinking market share, which they attributed largely to the influx of imported cast products. As one participant noted, “The local market is not just being penetrated by imports, it’s already dominated by them.”

Machine and method factors. The financial strain also ties into the challenges around machines and methods. Many companies are reluctant to invest in modern technology, fearing that the uncertain market demand will not justify the cost. Most foundries now operate on a jobbing basis, which makes investing in technology and capability upgrades too risky a business move. One participant shared their company’s first-hand experience: one of their customers opted to import metal cast products rather than commission their foundry for production.

Manpower factor. The next major challenge is manpower. The metal casting industry has been grappling with brain drain for over a decade. Data from the Philippine Statistics Authority (PSA) shows that thousands of skilled workers in related fields have gone abroad, leaving a significant shortage of talent in the local industry.

Many companies have been forced to recruit and train workers with no prior knowledge or experience. Some participants confirmed this statement and even mentioned that they actively search for potential employees in provincial areas, as many urban-based young workers view foundry jobs as “dirty and unappealing”—a sentiment widely echoed during the discussion.

Materials factor. Material sourcing also presents a challenge. Most local foundries rely on imported raw materials, such as silica sand and foundry coke. The import taxes on these materials lead to increased production costs, forcing companies to raise their prices to remain viable, further hindering the industry's marketability.

Aside from these imported materials, procuring locally-available scrap is also part of the challenge due to its price being unregulated at present by any government entity. It is also discussed that the Philippines exports high volumes of scrap material in kilograms over the last five years, where Bangladesh is found to be the top client. During the discussion, industry players mentioned that the price of local scrap is currently being dictated by the purchasing rates of steel companies, making the price of scrap metal very erratic within the local market.

As the FGD wrapped up, Industry Consultant Engr. Napoleon Tanganco expressed optimism: “I believe the current number of existing companies will stabilize, as most of the remaining ones are large enterprises.” However, while larger companies may continue to survive, smaller ones will likely continue to struggle unless significant changes are made. This is where DOST-MIRDC’s role becomes crucial. The study team gathered additional feedback during the FGD, which will be incorporated into the industry study.

Engr. Napoleon Tanganco sharing his insights during the discussion

Moving forward, the study team will consult with DOST-MIRDC experts and management to finalize recommendations. The goal is to revitalize the local metal casting industry and significantly contribute to the country’s economic development. The study’s findings and recommendations are scheduled to be presented to the Center’s officials and Governing Council by the end of 2024.

Balik Scientist Program: Solidifying Dreams of Modernization for the Philippine Nation

By: James Bernard Herrera

Balik Puso, Balik Pilipinas, Balik Scientist! Filipino experts from various fields have been leaving our home country for decades in hopes of attaining greater heights in their careers. As time went by, in an attempt to ease the burden on the country’s development, the Philippine government took the initiative to establish the Balik Scientist Program (BSP). While it was enacted back in 1975, it was formally institutionalized as the Republic Act 11035 in 2018.

This program serves to be a stopgap, counteracting the effects of brain drain in the country. BSP promotes the local circulation of information and knowledge that Filipino experts from abroad have gained from their years of practice, which strengthens the science and technology capabilities of the Philippines. Knowledge and information transfer also accelerates the flow of technology within public and private industries, the academe, and government institutions, which guarantees progress in various fields.

BSP also provides incentives to the returning Filipino experts, on top of their chance to serve as pioneers of innovation in their home country. According to Executive Director Enrico C. Paringit of the Philippine Council for Industry, Energy, and Emerging Technology Research and Development (DOST-PCIEERD), the program had successfully connected with 157 Balik Scientists since 2013, all of which came to impart their experiences and learnings in different sectors. At present, there have been a total of 664 successful BSP engagements since the year 1975.

Among the experts that the BSP has brought back to the country, one of them specializes in robotics. Dr. Albert Causo, CEO and co-founder of Hand Plus Robotics based in Singapore, who is also the second Balik Scientist who became associated with DOST-Metals Industry Research and Development Center (DOST-MIRDC), did a short-term engagement where he worked with Dr. Jayson Rogelio from Advanced Mechatronics, Robotics, and Industrial Automation Laboratory (MIRDC-AMERIAL). Prior to his BSP engagement, he mentioned that he chose to do the short-term option which he considers as the “getting to know” stage of this program, and will later decide his next course afterwards.

At the end of his program term, Dr. Causo had his exit presentation in the morning of September 16, 2024. His presentation titled “Are We Ready for Robots? Opportunities and Challenges for Robotics in the Philippines” laid bare the current reality of robotics in the country. “In summary, we need to catch up”, he said as he went straight to declaring the findings of his study. In relation to this, Metals Industry Research and Development Center (MIRDC) Executive Director Robert O. Dizon stated, “there’s not much activity in automation. What’s lacking? Expertise in robotics.”

Showcasing of robotic arm by Dr. Causo in his presentation (Source: Dr. Albert Causo)

Following this, Dr. Causo said that back in December 2023, he met with Executive Director Paringit where one of their discussions included that he was hoping to put up a subsidiary of his company in Singapore here in the Philippines. However, he decided to let go of the idea after learning that the country lacks qualified robotics engineers for the company to operate, and opted to go for Malaysia instead.

This missed opportunity highlights the challenges our country is facing in this field of expertise, but mentioned that he can still see its potential in the near future. At present, Dr. Causo is the Program Director of ALGOrhythm Robotics Center in Cebu City where they guide and train the younger generations in the field of robotics. “The best age is to start them young; slowly introduce them to technology that they can handle… let them learn the skills needed to not be afraid.”

On a similar note, Director Dizon had a training agreement with Dr. Causo where MIRDC personnel were sent to Malaysia to train under his wing. This is in hopes of upscaling the capabilities and skills of engineers in AMERIAL, which will bolster the services that MIRDC has to offer.

Dr. Causo as he tells the story of his experience as a Balik Scientist with AMERIAL

Moving further, despite the difficulties in adapting robotics on a large scale level, Dr. Causo showcased some robot related patents here in the Philippines. These creations are being used in the fields of medicine, search and rescue, environment protection, agriculture, and so on.
As the presentation came to a close, Dr. Causo expressed his satisfaction in being one of the growing Balik Scientist community. “I can say that we have a future together after experiencing the Balik Scientist Program.” He sees BSP as the start of potential future partnerships between him and the MIRDC, stating that he is looking forward to introducing the center to foreign companies that he worked with, including the Singapore Institute of Manufacturing Technology.

To conclude, DOST’s Balik Scientist Program is a doorway of possibilities waiting to be opened by our fellow Filipinos who excelled in their own field. Not only does it let new knowledge flow into the local community, but also lets these scientists return to the place they can truly call home. Those who spread knowledge that can improve the livelihood of the people are among those that we call modern day heroes.

DOST-MIRDC Committed to Make its Presence Felt in Region II through MEIC-CSU
By: Zalda R. Gayahan

Not every day, a state university receives assistance from a government agency. On September 25, 2024, the bright skies and the clear weather lay witness to another milestone of the Department of Science and Technology – Metals Industry Research and Development Center (DOST-MIRDC). It was on this day that the DOST-MIRDC was able to strengthen its pursuit of establishing mini-MIRDCs in the region – through turning over the Metals and Engineering Innovation Center (MEIC) to the Cagayan State University.

Key officials of the DOST, DOST-MIRDC, and CSU were present during the event to celebrate the collaboration that resulted in the establishment of a facility that will catalyze the innovativeness of metals, engineering, and allied industries in the region – the MEIC.

DOST Secretary Renato U. Solidum leads officials in the unveiling of the MEIC-CSU marker during the handover ceremony on September 25, 2024 held at the CSU Carig Campus.

DOST-MIRDC Executive Director shared how the MEIC concept began with instructions from the former DOST Undersecretary for R&D, Dr. Rowena L. Guevara. According to Director Dizon, Usec Guevara brought forward the idea of putting up metals innovation centers in all regions. This idea was then supported by former DOST Secretary Fortunato T. dela Peña. Dir. Dizon further shared that the framework included coordination with DOST Regional Offices who were given the role of nominating a state university where the MEIC will be located. DOST Regional Office II was among the first five regional offices that nominated an SUC, which is the very proactive and supportive CSU

DOST-MIRDC Executive Director Engr. Robert O. Dizon shares the story of the MEIC during the handover ceremony of the MEC-CSU.

Dr. Marilen V. Cauilan, opens the handover ceremony of the MEIC-CSU on September 25, 2024.

President for Academic Affairs of the CSU said, ‘We are really so thankful to DOST. There are many areas of collaboration we have with DOST. We hope to have more collaborations.’ Dr. Cauilan further suggested that the CSU and DOST collaborations can continue to make significant contributions to the global community through strengthening local brands.

The MEIC in CSU is part of the first batch of the MEIC project whose implementation started on August 1, 2021. MEIC batch 1 was completed on July 31, 2023.

Usec. Leah J.Buendia addresses the guests during the handover ceremony.

USec Leah J. Buendia, DOST Undersecretary for Research and Development, also gave her support to the handover ceremony. ‘We are all proud to witness that the results of R&D will be used by and transferred to CSU. This is one of the visions of Secretary Solidum – to roll out our R&D results not only to researchers but also to adopters,’ Usec. Buendia remarked.
DOST envisions the achievement of national development through science, technology, and innovation. Supporting the DOST in the realization of this vision are its seven attached research and development institutes, one of which is the DOST-MIRDC.

The rollout of the R&D results to adopters, Usec. Buendia said, ‘is DOST’s commitment in the next four years.’

Usec. Sancho A. Mabborang, Undersecretary for Regional Operations, urges the audience to keep on innovating.

Usec Sancho A. Mabborang, Undersecretary for Regional Operations, warmly welcomed all guests to the turnover ceremony and urged everyone to keep reaching for goals. In his message, Usec Mabborang said, ‘We have made significant steps toward the realization of aspirations. We are moving forward. Ituloy-tuloy po natin ang trabaho. We need to keep innovating. We need to keep aspiring.’

By aspirations, Usec. Mabborang was referring to DOST and MIRDC’s aspirations of utilizing science, technology, and innovation to achieve national development. Usec. Mabborang also mentioned the Electromobility Research and Development Center (EMRDC), similar to the MEIC, one of the newest facilities that make the CSU’s portfolio of technologies more complete and competitive. According to Usec. Mabborang, the MEIC, EMRDC, and CSU should work together and continue to innovate to contribute to the growth of the country’s economy.

Making the economy grow is a vision shared by all, especially by DOST Secretary Renato U. Solidum. He expressed his hope that the MEIC-CSU will make a lot of products. Sec. Solidum reminded everyone: ‘To whom much is given, much is expected.’ This quote, according to him, is a perfect reminder for the why the EMRDC and the MEIC are facilities established at the CSU. ‘I hope that we can show to the public that this (EMRDC and MEIC) is the way to go for sustainability efforts and to make sure that our environment is clean,’ Sec. Solidum shared. ‘Bottom line is we really want to make sure that our R&D contributes to our economy.’

DOST Secretary Renato U. Solidum Jr. expresses his hopes that DOST, MIRDC, and CSU contribute to the economy through R&D.

After the initial program, DOST and CSU officials conducted a brief tour of the CSU campus to visit the Food Innovation Center, EMRDC, and hold the unveiling of the MEIC marker.
DOST-MIRDC provided various equipment to complete the establishment of the MEIC, including a hydraulic shearing machine, power hacksaw, sheet metal roller, hydraulic press brake, workstation with CAD/CAE software, and various electric and hand tools, among others.

Some of the equipment installed at the MEIC-CSU intended to encourage the industry and academe to engage in R&D.

The handover ceremony is one milestone for the DOST, DOST-MIRDC, and the CSU as the MEIC will continue to serve as a facility for R&D, consultancy and technology transfer collaborations with metals and engineering companies, universities, and other potential users. Being a technology hub for the regions, especially for the metals and engineering firms, DOST-MIRDC will now be able to extend its services to more industry players in the countryside.

Balik Scientist Program: Driving Force of Innovation for the Filipinos, by Expert Filipinos

By: James Herrera

 Filipino experts from various fields have been leaving the Philippines for decades in pursuit of greater opportunities abroad. To address the impact of this brain drain on national development, the Philippine government established the Balik Scientist Program (BSP). This initiative promotes the return of Filipino experts to share the knowledge and skills they have gained overseas, fostering the local exchange of ideas and expertise.

Since the inception of BSP in 1975, the program has successfully engaged 664 Balik Scientists from various fields of expertise, including Dr. Albert Causo, an expert in robotics. Dr. Causo is the CEO and co-founder of Hand Plus Robotics in Singapore. He is also the second Balik Scientist to form a partnership with DOST-Metals Industry Research and Development Center. During his short-term engagement under the BSP, he collaborated with DOST-MIRDC’s Advanced Mechatronics, Robotics, and Industrial Automation Laboratory (AMERIAL).

Screenshots taken during Dr. Causo’s Exit Presentation

 At the conclusion of his BSP engagement, Dr. Causo delivered an exit presentation titled “Are We Ready for Robots? Opportunities and Challenges for Robotics in the Philippines” on September 16, 2024, via Zoom. In his presentation, Dr. Causo candidly assessed the state of robotics in the Philippines, noting, “In summary, we need to catch up.”

Despite the country’s difficulties in adapting robotics on a large scale, Dr. Causo remains optimistic, viewing the situation as an opportunity for growth and innovation. He highlighted existing robot-related patents in the Philippines, with applications spanning medicine, search and rescue, environmental protection, and agriculture.

In line with exploiting opportunities for growth and innovation, the DOST-MIRDC completed the Internet of Things (IoT)-based Machine Shop Monitoring System project.  This low-cost machine monitoring system determines machine utilization which is an important performance parameter of a manufacturing facility.  As this system is designed to be low-cost, it can be used by small companies.  This locally designed and developed system is now available for commercialization and can serve as a stepping stone for local companies’ upgrade toward Industry 4.0. 

The DOST-MIRDC’s efforts to prepare local manufacturing firms for Industry 4.0 is a parallel move toward preparing them for robotics and the multitude of benefits that come with the use of this technology.  

Currently, Dr. Causo serves as the Program Director of ALGOrhythm Robotics Center in Cebu City, where he helps train and guide the next generation of robotics enthusiasts. He hopes to continue contributing to the advancement of robotics in the Philippines and sees his stint as a Balik Scientist as the foundation for future collaborations with DOST-MIRDC. Dr. Causo is also eager to introduce the Center to international partners, including those at the Singapore Institute of Manufacturing Technology.

The DOST’s line agencies, especially DOST-MIRDC, encourage all Filipino experts abroad to join the growing roster of Balik Scientists who have greatly contributed to advancing science, technology, and innovation in the country.