Solon bucks Roxas claim on trade with China

Rep. Harry C. Angping (3rd district, Manila) said the Philippines would be at the losing end if it fails to appreciate the vast potential of free trade with China.

Angping was reacting to news story which appeared in yesterday issue of The STAR stating that "the Philippines is more amenable to a free trade agreement with Japan than with China. The story quoted Trade and Industry Secretary Manuel Roxas II as saying that a free trade agreement with Japan will be more advantageous to the Philippines.

Angping pointed out that while the country directly competes with China in the agriculture and manufacturing sectors, China remains to be an untapped market with 1.2 billion consumers and that its full potential as a market for Philippine exports remains unrealized.

The Manila solon said a free trade agreement with China would definitely serve to challenge our agricultural and manufacturing sectors to improve the quality of Philippine exports and lower prices, as well as increase productivity.

This, he added, may also challenge the government to address the high-powered costs that eat up about 14 percent of the cost of goods. The country’s average power cost at P5.30 per kilowatt hour is one of the highest in Asia compared with only P1.93 kilowatt hour in Indonesia or P1.85/kilowatt hour in Thailand.

Angping noted that among the ASEAN countries the Philippines has the least amount of trade going on with China.

Angping is hopeful that the government will review its free trade policy and prioritize China as one of the trading partners to be developed.

"We should look at the positive side and huge potentials of trade with China and not be fazed by perceived obstacles," Angping added.