The Trade Department concluded the fifth and latest round of negotiations for a Philippines-European Free Trade Association agreement, raising hopes for increased trade with the European bloc.
“We have made substantial progress in key areas of complementation and are optimistic that we can sign the agreement before June this year,” said Trade Undersecretary Ceferino Rodolfo.
EFTA, composed of Switzerland, Liechtenstein, Norway and Iceland, concluded their negotiations with the Philippines earlier this month.
Prior to the negotiations, Trade conducted eight consultations for a possible Philippines-EFTA free trade agreement.
Rodolfo said with the negotiations nearing their conclusion, the Philippines was developing a work program to encourage and promote free trade agreements to enable local industries benefit from the opportunities.
“Right now, most Philippine products have duty-free access to the EU [European Union] through the European Union’s Generalized Scheme of Preferences Plus. We are targeting a more permanent and long term relationship through the ongoing negotiations with EFTA,” he said.
He added establishing a strong foothold in the European market was a key component of the country’s trade strategy.
Top Philippine exports to the EFTA member states in 2004 include gold in semi-manufactured forms, digital monolithic integrated circuits, aircraft parts, printed circuits, artificial teeth and silver. Leading imports from EFTA were medicaments, diagnostic or laboratory reagents, parts of airplanes or helicopters and wrist watches.
Rodolfo noted that improving market access with Europe through the EFTA would encourage investments in the services and non-services sector and bring in high value added products, technological knowhow and capital from highly developed economies.
The Philippines is also actively participating in negotiations on the Regional Comprehensive Economic Partnership, where Trade will continue technical consultations with the rest of the Trans-Pacific Partnership member countries, including Chile, Peru, Japan, and Vietnam.
Technical consultations in 2015 were held with Canada and Mexico after similar negotiations with the United States, Malaysia, Australia and New Zealand were concluded in 2014.
“The country’s sectors and industries stand to benefit greatly from these trade initiatives. These will, as well, further improve the country’s global standing as we engage in freer trade and attract more foreign direct investments,” Rodolfo said.
