Phl bats for inclusion in Swiss import program

MANILA, Philippines - The Philippines has proposed inclusion into Switzerland’s Swiss Import Promotion Program (SIPPO) as a priority country following a two-day Joint Economic Commission (JEC) bilateral meeting which ended Thursday.

Trade Secretary Adrian Cristobal Jr. said being part of the SIPPO would complement the country’s domestic initiatives to build the capacity of local exporters and enable them to adhere to stringent standards of the Swiss market.

SIPPO was identified as a tool for Philippine exporters to be educated on Swiss and European product standards, expansion of business networks, and implementation of cooperation projects.

Switzerland is currently the Philippines’ 25th trading partner with total bilateral trade valued at $556 million.

The second JEC meeting between the Philippines and Switzerland held in Bern this week likewise led to the signing of a free trade agreement (FTA) between the Philippines and the four European Free Trade Association (EFTA) member states comprising of Iceland, Liechtenstein, Norway and Switzerland.

The FTA with the EFTA member states would allow the country to attract more investments from the association’s member economies as well as encourage trade.

In terms of investments, the Philippines is expected to benefit in terms of skills and know-how exchange with many EFTA companies engaged in the manufacture of high-technology type of products.

The FTA is also seen to open markets for the country’s products such as garments, shoes, electronics and agricultural goods.

With a combined population of over 13 million and a combined GDP of $1.2 trillion, the EFTA member states are the world’s ninth largest merchandise trader and the fifth largest trader in commercial services, as well as significant players in the area of foreign direct investment.

EFTA said the FTA agreement with the Philippines would enter into force after completion of the necessary internal procedures for ratification by the parties involved.

“The JEC between the Philippines and Switzerland fully complements and enhances the Phl–EFTA free trade agreement allowing both countries to create an environment conducive for our private sector to seize the benefits,” DTI Undersecretary Nora Terrado said.

Aside from the country’s interest in the SIPPO and the conclusion of the Philippine-EFTA FTA, the DTI said discussions with Switzerland during the JEC meeting also involved regional and multilateral economic issues, implementation of existing bilateral agreements, and the perspectives of the private sector in relation to the domestic developments of both countries.

DTI said Switzerland’s private sector expressed satisfaction in doing business in the Philippines and welcomed the improvements made in the area of competitiveness, innovation and economic freedom reflected in various global reports.

The Philippines–Switzerland JEC is a venue to discuss trade, investment, economic cooperation and related matters to forge closer bilateral trade and investment ties between both countries.

The agreement establishing the JEC was ratified on 2013 with the first meeting of the commission held in Manila in mid-2014.