Phl, Canada ink defense MOU

MANILA, Philippines - President Aquino reiterated yesterday the country’s need to improve its defense capability as he welcomed Canadian Prime Minister Stephen Harper to Malacañang, where the two leaders witnessed the signing of a memorandum of understanding (MOU) on defense procurement between the Philippines and Canada.

Harper arrived in Manila Friday night for a two-day official visit. Harper said the MOU between the Canadian Commercial Corp. and the Department of National Defense would create “new opportunities for Canadian businesses in our defense and security sector.”

“This memorandum of understanding will enable the Philippines to acquire the equipment and expertise it needs to fulfill the country’s defense and security agenda,” Harper said.

Defense Secretary Voltaire Gazmin and Canadian Minister for International Trade Ed Fast signed the MOU. The deal was inked amid a territorial dispute between the Philippines and China over islands and waters in the West Philippine Sea and South China Sea. The government also has to deal with communist insurgency and Islamic radicals.

In a short press briefing after the signing of the agreement, Aquino said the “fundamental issue” was that “we have a lot of outmoded equipment” and very few vessels and aircraft.

“One, in terms of our maritime issues, we have 36,000 kilometers of coastline which excludes the area that has to be observed and surveilled, which is a 200-mile economic zone. Now, we have 132 ships, most of them are World War II era and older. So even dividing 36,000 over 132 becomes quite an impossibility,” Aquino said.

He also said the Philippines does not have a single fighter in its inventory. “We have, in terms of transport, we now have – I’m pleased to note – a 100 percent increase in our air transport capability because previously, we have one C-130 operational; we now have two. It’s still a long way to go,” Aquino said.

“Now, Canada is at the forefront of various equipment that redounds to increasing capability – or to increase the capacities and capabilities of our own forces to meet the needs of defense for our country. I cannot go into specifics lest they be observed by less friendly individuals,” he said.

“So we are now in a position because of this understanding to access the expertise, the skills and get more value for our money for the needs – there are legitimate needs – to be able to defend our territory and our sovereignty,” Aquino said.

The MOU covers government-to-government transactions in defense and military-related procurements. It seeks to ensure smooth and expeditious procurement transactions, with the Canadian government guaranteeing the quality of equipment as well as compliance with procurement contracts by Canadian companies.

The Canadian Commercial Corp. serves as a go-between between Canadian suppliers and foreign governments to transact defense and security contracts.

Last month, the Philippine Coast Guard announced it would buy five patrol boats from France for about 90 million euros or $116 million.

There are also ongoing negotiations to purchase 10 PCG vessels from Japan through a loan.