03 June 2016 - The Philippines and the European Union (EU) successfully held the first round of negotiations for a free trade agreement in Brusselsfrom May 23 to 27.

The meeting was co-chaired by the Department of Trade and Industry (DTI) and the Department of Foreign Affairs (DFA) for the PH side and the Directorate General for Trade of the European Commission for the EU side. More than 50 officials from the relevant agencies in Manila met with their EU counterparts.These agencies include: the DTI, DFA, Tariff Commission, National Economic and Development Authority (NEDA), Department of Agriculture (DOA), Department of Justice (DOJ), Department of Transportation and Communication (DOTC), Department of Health (DOH), Bangko Sentral ng Pilipinas (BSP), Professional Regulation Commission (PRC), and the Philippine Mission to the EU. 

The first round follows after the simultaneous announcement on 22 December 2015 by then PH Secretary of Trade and Industry Gregory Domingo and EU Trade Commissioner Cecilia Malmström to begin negotiations for a PH-EU FTA.

The EU is one of the Philippines’ top trading partners and sources of investments. In 2015, the EU ranked as fourth trading partner, with total trade amounting to US$13,841 million or 10% of total PH trade with the world amounting to US$125,333 million. PH-EU trade in services, meanwhile, topped PHP169 billion in 2013. The EU is also the largest foreign investor in the Philippines, with a foreign direct investment stock of over PHP 366 billion. Moreover, since December 2014, the Philippines has been a beneficiary country of the EU’s Generalised Scheme of Preferences-Plus (GSP+) arrangement which has provided duty-free access to the EU for over 6,000 PH products. The granting of GSP+ is a testament to the increasingly strong PH-EU bilateral relations and a vote of confidence by the EU to the Philippines’ commitment towards sustainable development, good governance, and the promotion and protection of human rights.

Given this, the FTA will further reinforce the economic partnership between the Philippines and the EU by improving duty-free market access and promoting investments. The agreement, supported by commitments on sustainable development, will also mean more jobs for many Filipinos, as well as better chances for inclusive growth and development. END