Philippines exploring export opportunities in India

MANILA, Philippines — The Department of Trade and Industry (DTI) has highlighted the substanital opportunities for Philippine exports to India, estimating an untapped export potential of $566.92 million.

During the Markets of the World forum hosted by the World Trade Center Metro Manila (WTCMM), DTI- Export Marketing Bureau assistant director Jhino Ilano said there is unrealized export potential in India.

Among these potential exports include electronics, halal-based products, personal care and beauty products, coconut products, and other organic products such as dairy products and eggs.

Filipino exporters can also take advantage of the ASEAN-India Free Trade Agreement (AIFTA) where the Philippines enjoys reduced tariffs for 94 percent of exports to India.

Ilano said that  total trade with India has been growing at a compound annual rate of   4.2 percent   from 2018 to 2022, reaching $2.8 billion in 2022.

Total exports were at $2.1 billion while imports totaled $701.4 million.

Meanwhile, former Philippines India Business Council (PIBC) chairman Raju Mandhyan said that India was the fastest growing large economy in the world before and after the pandemic.

He said India has large domestic demand, with demand outpacing supply. Two-thirds of GDP is reportedly accounted for by domestic demand, driven by a large market of 1.4 billion population – the largest human resource in the world.

Mandhyan said investment potentials in India are in the fields of beauty and wellness, tourism and travel, luxury goods, food and beverages, and aqua and seafood products.

Imports from India meanwhile include engineering goods like machinery, equipment and components, pharmaceuticals, and educational content.

“India is such an exciting market with many positive developments happening in various sectors,” WTCMM chairman Pamela Pascual said.

“Progress is seen in trade, investment, economic, scientific, and technical cooperation. With the world’s exponential growth in digitalization and globalization, both countries have emerged as frontliners in the service sectors, particularly in the business process outsourcing industry. WTCA alone has over 60 license holders across India making it one of the largest WTC contingents in the world,” Pascual said.

Pascual shared that WTCMM is putting together a Philippine delegation to participate in the annual World Trade Centers Association (WTCA) Global Business Forum hosted by WTC Bengaluru, India in March 2024.

Trade delegations from different parts of the world are expected to participate in business to business meetings and collaborations during annual WTCA gatherings.

India currently ranks as the country’s 15th largest trading partner with a 1.31 percent share of total trade with the Philippines.

It is 16th among the country’s export markets with a 0.89 percent share of total exports, and 14th among import suppliers with a 1.53 percent share of total imports.