200 traders to join Duterte in Russia

ST. PETERSBURG – A delegation of more than 200 business people from the Philippines will join President Duterte in his official visit here this week to meet with Russian President Vladimir Putin and Prime Minister Dmitry Medvedev for possible trade opportunities, Trade Secretary Ramon Lopez has confirmed.

“Many are joining. This trip will definitely open doors for more trade and investments between the two countries,” Lopez, who will be part of the team accompanying Duterte during the trip scheduled from May 22 to 26, told The STAR.

After lining up for months to join the landmark visit, these 250-300 businessmen decided to participate in the delegation because the country’s relationship with Russia still has a huge growth potential, according to Lopez.

He said finding ways to boost agricultural exports from the Philippines, including the country’s bananas, to the Russian market is one area high on the agenda.

Here at the Eurasian country’s second largest city, members of the Philippine-Russian Business Assembly (PRBA) led by the Russian Federation to the Philippines honorary consul Armi Lopez-Garcia arrived over the weekend to prepare for the visit.

“As business people, they would like to see opportunities here. PRBA is really here to help market the Philippines and help connect businessmen from the Philippines with businessmen from Russia,” she said, adding that some Russian companies want to look for Philippine suppliers.

“They’re looking at the Philippines to supply goods – from seafood products to fruits such as bananas,” Garcia added, noting that Russian businessmen also want to supply to the Philippines.

“They can supply a lot of agricultural products,” Garcia said.

Aside from the PRBA, the Philippine Chamber of Commerce and Industry (PCCI) will also have 30 to 40 members who will join Duterte’s official visit, according to PCCI president George Barcelon, who will lead the group.

“There would be businessmen joining from various sectors, namely, manufacturing, real estate, tourism, energy, LNG fuel and information technology. We expect around 30 to 40 under the PCCI delegation,” Barcelon said.

Among those in the business delegation list released by the Department of Trade and Industry are Aboitiz Equity Ventures (AEV) executive vice president Sabin Aboitiz, A Brown Company Inc. chairman emeritus Walter Brown, AG&P chairman Jose Leviste Jr., Ayala Land Inc. president and chief executive officer Bernard Dy, D.M. Consunji Inc. president and CEO Jorge Consunji, Eastern Petroleum Group of Companies chairman and CEO Fernando Martinez, RFM Corp. president and CEO and presidential adviser for entrepreneurship Jose Concepcion III, MVP Group spokesman Michael Toledo, Villar Group chairman Manuel Villar and LT Group Inc. president Michael Tan.

The Department of Foreign Affairs said Duterte’s visit to Moscow would indeed send a strong message of Manila’s commitment to seek new partnerships and strengthen relations with non-traditional partners such as Russia.

Agreements related to defense, military and technical cooperation will be signed, and cooperation in the field of security between the respective national security councils will be forged, the DFA said.

There’s also room to grow bilateral trade between the two countries, the DFA said.

Bilateral trade between Manila and Moscow in 2016 totaled $226 million, with the Philippines exporting only $49 million worth of goods to Russia.

Russian Ambassador Igor Anatolyvich Khovaev said in April that his government looked forward to cooperation in different fields such as trade and investments, politics, education, culture, tourism, science and technology, as well as agriculture.

“It will be a milestone in the history of our relations and it should be successful. It is in the long-term interest of the two countries and it will greatly contribute to regional stability and sustainable development,” he said.

Sky’s the limit

For Lopez, sky is the limit in terms of the economic cooperation between the Philippines and Russia.

“We’re on ground zero. Russia is a newly opened relationship, so we can discuss practically all aspects of cooperation,” he said. “With Russia, everything is new, so there will definitely be signings on trade cooperation.”

On DTI’s end, Lopez said two memoranda of intent (MOI) are expected to be inked with Russia during the trip: one on trade and investment promotion and another on industry development.

“I’m sure other agencies will also have their own agreements signed. Plus, of course, the bilaterals. People to people, exchange of culture, arts and so many more,” he said.

“The main task is for them to increase their awareness on the Philippines, the businesses here, the opportunities here. That’s why we will do a business forum where we will present doing business in the Philippines. We will also present Dutertenomics,” Lopez added.

Duterte and Putin met in November 2016 during the Asia-Pacific Economic Cooperation Summit in Peru, where Russia committed to import $2.5 billion worth of the country’s agricultural products.

Last month, the Philippines and Russia held in the country their inaugural Joint Commission on Trade and Economic Cooperation where they tackled economic cooperation initiatives in areas such as trade, investments, iron and steel and aviation industries, peaceful use of nuclear energy, higher education, energy, information and communications technology, intellectual property, agriculture, transportation, science and technology, tourism and labor.

With Duterte’s pursuit of an independent foreign policy, Lopez said the DTI is taking the lead in strengthening bilateral engagements with non-traditional partners such as Russia.

Biting weather

Meanwhile, biting May weather — from as low as three degrees Celsius at night to as high as 20 degrees Celsius — awaits Duterte when he arrives in the Eurasian country.

Averse to the cold, Duterte has postponed his trip to Russia several times and chose the month of May for his visit because the weather is expected to be warmer.

Locals, however, said it has been unusually cold lately, with the temperature ranging from 12 to 19 degrees Celsius.

The wind from the Baltic Sea, though, makes the weather colder; thus, layers of clothing aside from a thick coat are a must even in these spring months of April and May.

Late last month, a freak April blizzard took Russia by surprise.

“The weather in Russia is like a capricious lady,” a local said.