Local exporters can now expect tariff free trading in EU

March 17, 2015
Philippine Information Agency by Jasper Rucat | http://goo.gl/ku7ROY

CAGAYAN DE ORO, March 17 (PIA) -- The Department of Trade and Industry (DTI) through its multi-stakeholder briefing here on ASEAN Economic Community and European Union’s Generalised Scheme of Preferences (EU-GSP+) urges more export activities to Europe and ASEAN countries to maximize its zero tariff of over 6,000 products.


 

According to DTI Assistant Secretary Ceferino Rodolfo, that on December 25, 2014, the Philippines became eligible to EU-GSP+ where from about 9,000+ tariff lines in the European Union (EU) two thirds of it have zero percent duties for the Philippines. This is a big advantage for the regional exporters.

EU-GSP+ is a special incentive arrangement for sustainable development and good governance in the form of zero duties.

For current exporters, it is easier because they already know the standard of clients in Europe. For those exporting to other ASEAN countries, which have less standards then DTI, can help to improve, bring up the standards for European market. However, for those first time exporters, there is a need for cooperation.

He said that in the international arena, the fastest growing region is Asia, while within Asia, the fastest growing region is the South East or ASEAN and within ASEAN, the fastest growing economy is the Philippines.

There are three factors to consider particularly the price, jobs and income. Presently, inflation rate is stable at 2.5%. However, jobs sector is the one with the big challenge. He said that we should make growth as inclusive as possible. We have a big population which is an advantage if we are able to utilize our population then we can surmount to the challenge.

According to Rodolfo, we import more than we export. Among the big imports are oil, rice and petrochemicals. However, he said it is ok to import as long as these products are critical to you such as rice, oil and petroleum products.

Further, the Philippines from 2010-2013 has had 10.6% investments. Meanwhile, in 2013 it increased to 11.7%. This is mainly because of the confidence of business community with economic performance.

One of the sectors invested heavily particularly on capital and equipment is the sugar milling.

Rodolfo said that in ASEAN, a top import is also top export. Trade with ASEAN is largely complimentary.

Part of the visit of ASEC Rodolfo in Cagayan de Oro is a tour with the national and local media to different industries in the region including the Mindanao Container Terminal at PHIVIDEC Industrial Estate, Villanueva Misamis Oriental; Del Monte Inc. in Valencia, Bukidnon; Hineleban Coffee at Manolo Fortich Bukidnon.

In Cagayan de Oro, the team visited the Stoneware Pottery Inc., Cagayan de Oro Handmade Paper Crafts, Inc. and Coco Twine and Geonets Production in Tubod, Lanao del Norte.

 

 

DTI Regional Director Linda O. Boniao said that we must continue to maximize strengths for the region in collaboration of private sector and the government.