06 May 2016 - The Second Meeting of the Joint Economic Commission (JEC) between the Philippines and Switzerland was convened on April 27 in Berne.

Department of Trade and Industry (DTI) Undersecretary Nora K. Terrado headed the Philippine delegation, together with Department of Foreign Affairs(DFA) Undersecretary for International Economic Relations Laura del Rosario, Philippine Ambassador to Switzerland and Liechtenstein Joselito A. Jimeno, with representatives from DOLE, Tariff Commission, and DTI’s Bureau of International Trade Relations and Export Marketing Bureau.

Ambassador Livia Leu, Head of Bilateral Economic Relations of the Swiss State Secretariat for Economic Affairs, headed the Swiss delegation.

Ambassador Jimeno said the Second Meeting of the JEC was a great opportunity to express the Philippines’ strong interest in pursuing a more extensive economic cooperation with Switzerland. In coordination with the DTI, the Ambassador said the Philippine Embassy shall pursue all possible efforts to put the country in Switzerland’s radar of economic cooperation.

The JEC discussions thus focused, among others, on the Philippines’ bid to become a priority country for the Swiss Import Promotion Program (SIPPO); regional and multilateral economic issues; the implementation of existing bilateral agreements and the perspectives of the private sector in relation to the domestic developments of both countries; including the recently concluded Free Trade Agreement between the Philippines and the four European Free Trade Association (EFTA) members states (comprising of Iceland, Liechtenstein, Norway and Switzerland).

The exchange on the PH–EFTA FTA focused on the broader market access of the Philippines in Switzerland through the FTA and the activities proposed to be undertaken as part of the communications plan to promote and advocate the FTA in the Philippines and Switzerland.

To complement the FTA, the SIPPO program 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.

The private sector represented in the Swiss panel expressed satisfaction in doing business in the Philippines especially as it is one of the fastest growing countries in the most dynamic region of the world.

The meeting also touched on the Philippine proposal for inclusion of GSIS coverage in the existing Philippines-Switzerland Social Security Agreement (signed in 2001) and Switzerland’s intent on renegotiating the two countries’ existing Air Services Agreement (signed in 1952).

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. It also aims to promote sound business-to-business cooperation between the two countries.

In June 2013, then Trade Secretary Gregory L. Domingo and Swiss State Secretary for Economic Affairs Marie-Gabrielle Ineichen-Fleisch signed a memorandum of understanding to create a Joint Economic Commission between Philippines and Switzerland.

The agreement establishing the PH-Switzerland JEC was subsequently ratified in December 2013, followed by the first meeting of the JEC held in Manila in July 2014.  During the first meeting of the JEC, the Philippine delegation was headed by then DTI Undersecretary (now incumbent Secretary) Adrian Cristobal, while the Swiss side was headed by SECO’s Ambassador Leu.

According to the DTI, the engagement with Switzerland is part of its strategy to increase its trade engagements in the European region.  The Philippines’ Europe Strategy includes the country’s participation in the European Union-General Scheme of Preferences Plus (EU-GSP+) and pursuit of a possible PH-EU free trade agreement (FTA).

Switzerland is the Philippines’ 25th trading partner with total bilateral trade valued at $556 million.  In 2015, PH exports to Switzerland increased by 6.47%.  These figures are foreseen to increase with the PH-EFTA FTA coupled with trade promotion and cooperation activities under the JEC. 

Major exports of the Philippines to Switzerland are medical instruments, mineral compounds, electrical machines, textiles and apparel and other machinery.

Meanwhile, major Swiss exports to the Philippines include watches, pharmaceuticals, agricultural products like cheese and chocolate and non-electric machines. END