Supply diversification must continue even after pause in Iran fighting — MAP

PHILIPPINE ORGANIZATIONS should continue diversifying their sources of supply and improving their energy efficiency following the US declaration of a ceasefire in Iran, the Management Association of the Philippines (MAP) said.

“MAP welcomes the temporary ceasefire among the US, Israel, and Iran, as any easing of tensions in the Middle East is positive for global markets and for Philippine businesses,” MAP President Donald Patrick L. Lim said via Viber.

“The immediate effect may be some relief in oil prices, the peso, and business sentiment, which could help moderate inflationary pressures and reduce uncertainty for companies,” he noted.

Despite this, business must remain ready for volatile fuel and logistics costs going forward, Mr. Lim said.

“For Philippine firms, this is a reminder to strengthen contingency plans, diversify supply sources, and improve energy efficiency while the situation remains fluid,” Mr. Lim said.

The US declared a two-week ceasefire Tuesday, which is expected to reduce the risks associated with transiting the Strait of Hormuz.

According to the Department of Energy, the price of diesel and gasoline could hit P172 per liter and P120 per liter, respectively, after major oil companies on Monday announced a fresh round of hikes beginning April 7. — Beatriz Marie D. Cruz