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Sachet Economy of the Philippines

Updated on April 19, 2011
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I don’t mean to degrade the economic situation of my country, the Philippines, but it is true. The crystal-clear evidences can be measured with the prevalent usage of sachet in every commercial product I buy. Literally, sachets of different products are what you can see and buy from sari-sari stores to the huge department stores in the country. And my opinion will lead to how our financial status fare in the Asian and world market.

Sachet Investments

Why do investors look at the economic climate of the Philippines? Economic experts observed that both local and foreign businessmen adjusted their packaging according to the needs of the people, especially those who belong to the poverty line (isang kahig, isang tuka).

Poor people cannot afford bulk items, so investors packaged their products, mostly in sachets so as to draw more income from them as their primary consumers.

Statistics show that almost 50 % of the country’s population of almost 80 million belong to the poverty line. Because of this, business analysts described the prevailing situation as synonymous to a “sachet phenomenon”.

The devaluation of peso contributed to this kind of economic upheaval. The more the peso devaluates, the more sachet products are being introduced by the business sector.

Living in Sachets

As I continue to live in the Philippines, my three decades of life here saw the introductions of more and more sachet products that range from beauty to kitchen items.

As a young child, I was always in an errand to buy a sachet of shampoo, toothpaste and other toiletries plus kitchen items like vinegar and soy sauce in sachets.

As the years go by, the Philippine peso can only afford sachet products for the families who belong to the poverty line.

With the help of the administration of President Benigno Aquino III, let's hope that this 'sachet trend' will be replaced by 'bulk realities'.

Is there still hope for the Philippine economy to recover fully? Please, do comment on this hub.


Outlook for Philippine Economy c/o Bloomberg

Causes of a Sachet Economy

 Even a non-economist, like me, will notice the major causes of having a sachet economy. In the Philippine setting, consider the following setbacks in the government.

  1. Rampant graft and corruption in the government - Unfinished roads are just one of the effects of rogue public officials who unshamely shove people's money into their pockets.
  2. Bigtime tax evaders - Big businessmen that tamper their tax declaration are never punished.
  3. Devaluation of money - The basic wage of an  ordinary employee cannot even buy the basic needs of his family for a month.
  4. Insurgency problem - Leftist proliferate in the mountains and continue their campaign for government reforms (?).
  5. Displacement of people - Disorientation of Filipino families who believe that their lives will be better if they flock to big cities in the country.

I'm sure, many Filipino who are working or living outside the country can attest of the facts I've presented. The labor sector of the country is the leading contributor to the economic stability of the country. Funny thing, we measure our economy with the amount of dollar reserves we gain annually, care of the OFWs (overseas Filipino workers).

Are we still dictated by the World Bank(WB) or the International Monetary Fund (IMF)? doubt about it.



Fastest Growing Economy in Asia c/o lagodaxnian


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    • travel_man1971 profile image

      Ireno Alcala 3 years ago from Bicol, Philippines

      @Me, too! I was a 100% fan of P-Noy but now I am changing my mind. He cannot even investigate the two members of his cabinet (Abad & Purisima) to clear issues about their so-called anomalies or shadowy transactions.

      PS. We already have Ginebra in sachet!

      Samples were given out by San Miguel Corporation to partygoers at the Tiktikan Festival in Angeles City, Pampanga on October 29, 2006.

    • CrisSp profile image

      CrisSp 3 years ago from Sky Is The Limit Adventure

      Ahh, the sachet generation in the Philippines! How awful!

      I was hopeful in the beginning when Pnoy came to power but with what I see everyday in the news (including this hub), I am now starting to believe that the Philippines is not going anywhere. Pardon my pessimism but with the Binay's and all those corrupt sitting in full power, what else should we expect.

      P.S. Seriously, you guys have Ginebra in sachet? :)

    • travel_man1971 profile image

      Ireno Alcala 5 years ago from Bicol, Philippines

      @Harold Banawa: Thanks for dropping by. That "controversial" thing intrigues me.

      Orient me of your idea because I'm interested in it. (e-mail me @ for your abstract).

      God bless!

    • Harold Banawa profile image

      Harold Banawa 5 years ago from Lipa City

      i have an idea to decrease sachet products in the market. this idea came into my mind when i saw dirty street, canals, drainage and even rivers full of plastics some or many of them are sachets i think its maybe 30-40% not so sure about the stats hehehe. This occurs by non responsible disposal by many irresponsible people, most of them are people belong to the poverty. when calamity comes all they can do is reliance on government assistance... My idea is confidential for now, i wanna talk to someone who can help me to talk to the people high grounds. maybe you can help me travel man...

    • travel_man1971 profile image

      Ireno Alcala 6 years ago from Bicol, Philippines

      Yes, earthbound. Expect for more new sachet products to come and grace stores this coming days. You know what I mean.

    • earthbound1974 profile image

      earthbound1974 6 years ago from Bicol, Philippines

      If the barometer of the country's economy is through the sachet products, then this hub is an eye-opener to government bigwigs to work seriously in order to stabilize our financial status.

    • travel_man1971 profile image

      Ireno Alcala 7 years ago from Bicol, Philippines

      That's right, minesgm. The most important thing that keeps us moving is HOPE.

      Let's just keep our fingers crossed that we will persevere against the challenges we're facing, be it from nature calamities or man-made anomalies.

    • minesgm profile image

      minesgm 7 years ago from Texas

      That's really one problem of Philippine Peso.. the big time inflation every year. Though Filipinos are known as hopeful for some progress in this administration. Goodluck to all of us!!

    • travel_man1971 profile image

      Ireno Alcala 7 years ago from Bicol, Philippines

      You're right, sailor. I hope the present administration will fulfill their promises to the people...that they will follow the straight path to progress.

    • thesailor profile image

      thesailor 7 years ago from Seven Seas

      A good leader should be the saving grace of our bottom-stuck economy. Thanks for enlightening me, travel man.

    • travel_man1971 profile image

      Ireno Alcala 7 years ago from Bicol, Philippines

      Hey, bacville. I'm glad you're really concentrating on your studies. I'm sure you'll have a definite answer regarding the economic situation of our country.

    • bacville profile image

      bacville 7 years ago from Manila, Philippines

      I will have an answer with our assignment in Social Studies. Thanks, travel man. It is an added information regarding our nation's economic situation.