PHL reforms can trigger talks on free trade deal with EU, says official

The European Union is aware of the Philippines’ desire to negotiate a free trade agreement (FTA), and that it can happen once Manila implements reforms in intellectual property rights, legal protection of investors, and transparency in contracts.   The investment climate in the Philippine can be conducive once measures are in place that include legal protection for IPR, level playing field for corporate investors, transparent rules and process in public procurement, legal protection for domestic and foreign investors, and conducive Customs procedure, said EU ambassador to the Philippines Guy Ledoux.   Once these reforms are in place, the EU ready to negotiate a free trade deal with the Philippines, according to the EU official.   "FTAs need to take these issues into account to be worth the effort of negotiations. The EU has been always quite open about that," said Ledoux at a forum on FTA hosted by the Friedrich Naumann Foundation for Freedom over the weekend in Makati City.   The EU is concluding free trade negotiations with Malaysia and Singapore and is now looking at similar agreements with Indonesia and Vietnam. Ledoux said the EU is aware of the Philippines' interest to negotiate a similar trade deal.   "We are aware that the Philippines is interested in an FTA with the EU. So let me re-emphasize here that the EU is willing to do engage in discussions when the Philippines is ready," said Ledoux.   The EU supports the Philippine government's commitment to transparency and stakeholder consultations with a view to future FTA negotiations.    "It is Europe's own experience that trade policy based on openness works. It is the key to unlocking competitiveness and growth. We realize this is not an easy process and constant vigilance is called for. But it is the right course for growth," the EU official noted   At issue is not attracting investments through the reforms, but how quickly economies can implement them effectively, said Ledoux.   Europe is a major market for Filipino agriculture and fishery products, said Ledoux, noting that 75 per cent of all EU coconut oil imports worth P21 billion comes from the Philippines.   Tuna (P7.5 billion) and tropical fruits (P4.8 billion) are also among the Philippines’ top exports to the EU. — VS, GMA News