Firecracker production in Iloilo down 40%
The local pyrotechnics industry in Iloilo is also going through a tough time. Arevalo district, the pyrotechnic capital of Iloilo, is experiencing a slowdown not only in the production but also in the sales due to the gloomy economic situation.
"Firecracker production is down by 40% due to the crisis," Danilo Gizon, president of the Arevalo Pyrotechnics Association, said when interviewed over a public affairs program of DyOK Aksyon Radyo-Iloilo yesterday.
He said that the pyrotechnics industry in Iloilo is hard-hit by the high cost and the scarcity of raw materials and a slump in the sales of their products.
They are also feeling the after effects of the 2008 Beijing Olympics, during which Chinese authorities banned the exportation of ingredients needed for the production of firecrackers.
Although they buy their raw materials from local suppliers, the latter merely imports the same, particularly potassium chlorate, from China, he explained.
Because of the ban, there was less supply in the country, and at a high cost, Gizon said. According to him, it was only of late that their suppliers were able to import the necessary ingredients from China.
Sale of firecrackers is also down, he added. Before, we would start getting orders from our dealers in the towns and neighboring provinces as early as October, Gizon said.
In contrast, he pointed out, there is not much movement in the market now because people have less money to spend for firecrackers.
"Sales is weak, so production has also dwindled," Gizon stressed.
They also had to find other sources of paper used in packing firecrackers, he added. Before, makers of firecrackers recycle the paper used in cement bags. But since cement makers are now using plastic sacks, we have to look for other sources, Gizon pointed out.
"Now we are recycling the paper used to pack animal feeds," he said. Despite these, firecracker makers in Arevalo will be going ahead with a festival at the district plaza on December 18 to showcase and promote their products and to stimulate sale of locally-made fireworks.