PHL-EU trade agreement would benefit agri sector — PIDS

A study by the Philippine Institute for Development Studies on the impact of a trade agreement between the Philippines and the European Union has found that the export of certain agricultural products to Europe would increase under such an agreement, the Department of Trade and Industry said Thursday. The PIDS study “validate[s] the country’s strategy to increase our competitive advantage in select products such as cacao and abaca,” said Trade Undersecretary and Board of Investments managing head Adrian Cristobal. The DTI, which commissioned the study, also recently conducted a second round of stakeholder consultations for a trade agreement between the Philippines and the EU. In his study “Prospects for a PH-EU FTA: Agricultural Sector Component,” PIDS senior research fellow Roehlando Briones said niche sectors like cacao and abaca are possible sources of economic growth opportunities. Currently, big chocolate firms in Europe and the US source a large percentage of their raw materials from Africa. “Bringing us in parity with these cocoa exporters would be a big help to the industry and even accelerate their rapid growth in the future,” Briones said. According to the Cacao Industry Development Association of Mindanao, the region’s cacao growers have exported around 500 metric tons valued at around $1.2 million since 2009. Cacao producers expect the industry to grow rapidly in the next 10 years as Europe demand grows. — BM, GMA News