Philippine new markets needed to cover slight decline in trade

By APD Writer Melo M. Acuna

MANILA, August 10 (APD) – Socioeconomic Planning Secretary Ernesto M. Pernia said he expects Philippine trade to recover due to global economic recovery during the second half of year 2017.

In a statement released today, Secretary Pernia there is a need to tap new markets for Philippine trade to recover from its slight decline in June 2017.

This was Dr. Pernia’s reaction to a report from the Philippine Statistics Authority that total trade contracted by 1.2% in June after posting ten months of positive growth since August last year.

However, despite the contraction, total merchandise trade grew by 11.2% for the first half of 2017 compared to that of previous year as exports (13.6%) and imports

(9.6%) supporting the country’s growth.

Dr. Pernia said the Philippines should take advantage of its EU-Generalized System of Preferences Plus (GSP+) preferential status.

He further recommended the government agency Department of Trade and Industry continue information sessions on “Doing Business with the EU using the GSP+” in key Philippine cities and towns.

There was modest growth in Philippine exports with ASEAN at 4.8% and European Union with 3.9% helped mitigate the decline in traditional markets including the United States (-8.7%), Japan (-9%) and China at (-2.4%).

For Philippine imports, growth in ASEAN reached 4.5% and EU pegged at 0.5% which offset the decline from the United States (-8.2%), China (-3.7%) and Taiwan (-33.1%).

Dr. Pernia explained the country’s hosting of the ASEAN Summit, the Philippines is “in a better position to push for a reduction in non-tariff barriers within the region.”

He added non-tariff measures had increased from 1,m634 to 5,975 from 2000 to 2015.

(ASIA PACIFIC DAILY)