Key takeaways:
- Philippines and EU restart free trade agreement (FTA) talks
- Philippine businesses optimistic about growth in BPO, KPO, digital commerce, and agri-tech
- Concerns raised about stringent EU regulations, particularly on carbon emissions
- EU is a significant trading partner and investor in the Philippines
- Philippine Chamber of Commerce and Industry (PCCI) plans FTA information campaign
The Philippine business community expressed both hope and caution over the resumption of free trade agreement (FTA) talks between the Philippines and the European Union (EU).
The Philippine Chamber of Commerce and Industry (PCCI) President Enunina V. Mangio welcomed the development, citing potential growth in business process outsourcing (BPO), knowledge process outsourcing (KPO), digital commerce, and agriculture technology.
Mangio is enthusiastic about the restart of FTA talks, believing it could create more opportunities in BPO, KPO, digital commerce, and agriculture technology.
However, PCCI Chairman George T. Barcelon cautioned against conceding to stringent EU conditions, particularly high carbon emission standards that could hinder growth in developing economies like the Philippines.
He emphasized the need for the EU to be flexible while the Philippines negotiates based on its strengths but not at the expense of its development goals.
While Mangio highlighted the success of the EU’s GSP+ program for the Philippines, a 2014 incentive that increased exports to the EU by 27% within a year, Barcelon emphasized the need for balanced concessions.
The EU is the Philippines’ fifth largest trading partner, with total trade reaching $16.16 billion in 2023. The EU is also a significant investor, with foreign direct investments reaching $29.16 million in 2022 and $63.99 billion in 2023.
The PCCI, alongside the Department of Trade and Industry, plans to launch an information campaign this year on the Philippines’ various FTAs, including the RCEP and the potential PH-EU FTA.©️
Business Bayani PH 
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