The Philippines and Canada will begin exploratory talks for a Free Trade Agreement (FTA) starting January next year. This is according to Canadian Minister for Export Promotion, International Trade and Economic Development, Mary Ng.
Ng is in the Philippines from December 4 to 6, with a delegation of 300 representatives from over 190 Canadian companies and organizations for Team Canada’s fourth and biggest trade mission in the country. She also met with President Ferdinand Marcos Jr. in Malacañang Wednesday, December 4.
“I told the president that we were going to enter into exploratory talks for the FTA. So he was very pleased about that it's important for businesses. Businesses will say to me as a trade minister all the time, that they're looking for the rules. They want to understand, you know, the predictability of the environment that governments can give them. We don't do business in government, but we can do the work to create the right conditions for businesses to see that predictability, to see the opportunities, to understand what those rules are,” Ng said.
Ng explained that Canada has been engaged in negotiations for an FTA with the Association of Southeast Asian Nations (ASEAN) since 2021. But Canada also believes that Canada and the Philippines will also benefit from doing a bilateral agreement.
“I believe that the teams are gonna get together at the very beginning of the new year. We’re already in December so the new year is only a month away, and they’re gonna begin doing that work,” she added.
During a plenary session for the Team Canada Trade Mission (TCTM) in Taguig City Thursday, Philippine Investment and Economic Affairs Secretary Frederick Go laid out the country’s priority sectors which include: infrastructure, energy, tourism, electronics and semiconductors, mineral exploration and processing, food and agriculture, pharmaceuticals and medical devices and steel.
“We are enhancing the ease of doing business and logistical cost of doing business to create a favorable climate for businesses to thrive. Our policy framework for foreign direct investments is the most open and liberal that it has ever been...among our legislative milestones, we have just finished a landmark legislation called the CREATE MORE Act. This strengthens fiscal and non-fiscal incentives making it attractive for global firms to invest in strategically important sectors,” Secretary Go said in his speech.
Ng guaranteed that many Canadian investors have interests or are already investing in areas most needed by the Philippines.
“Canada's bilateral trade with the Philippines right now is approximately $5.6 billion, $3 billion in merchandise trade, $2.6 billion in services," Ng said.
Around 700 business-to-business (B2B) meetings are expected throughout Canada’s 3-day trade mission in the Philippines. Ng said several contracts have been already signed and more are expected until tomorrow.
“When businesses grow, they create jobs. And those are jobs for people in the Philippines, jobs for people in Canada. And so I'm so encouraged by the size of the business delegation that's here, the size of this trade mission across many sectors. I'll give you one example of OpenText. OpenText already has about 1,500 you know, Filipino employees here in Manila. They are opening their new innovation center here, and they are projecting even further job growth,” Ng said.
Ng added that Canada’s trade mission is part of Canada’s Indo-Pacific strategy launched in 2022, involving a 2.3 billion dollar investment over five years. The Philippines and Canada also celebrated 75 years of diplomatic relations last October.
Source: ABS-CBN
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<p>Time: 2024 By: Ministry of Industry and Trade</p>
