Europe investors still keen on Philippines

MANILA, Philippines — Investor interest from Europe remains strong amid prevailing concerns on political stability and possible changes in the country’s incentives system, the head of the European Chamber of Commerce of the Philippines (ECCP) said.

ECCP president Guenter Taus said there is “very strong interest” among investors from European nations to explore various trade and investment opportunities in the country.

“There are quite a bit of different countries that are interested to come here and set up. Very strong interest so we’ll see how it goes,” he said.

A trade mission from Austria composed of 15 companies was recently in the country to scout for potential local partners.

Taus said the companies were from various sectors ranging from cosmetics, power, green energy, and waste management.

He said Italian and Danish delegations are also set to visit the country in the coming months.

“We do have several European companies and countries coming in so yes, there’s a lot of interest in the Philippines despite it all,” Taus said.

“We have discussions with companies that have looked at the Philippines and of course, people start comparing the political stability and the incentives that they get and say fine, if they can be revoked anytime, we might want to have a second look at it and see if there are other options that we have. It’s certainly a concern,” the ECCP head added.

In 2017, the European Union (EU) was the Philippines’ fourth biggest trading partner, being the country’s sixth largest import market and third largest export market.

“On our side we’re doing our best to make sure European interest is nurtured here in the Philippines. But there’s also an obligation on the part of the government of the Philippines to make sure the economic opportunities here will be known,” EU Ambassador to the Philippines Franz Jessen said.

“So in that respect, we are encouraged to see that the Trade Secretary will be going to European countries very soon because I think we need more of that outreach also from the government to the European investors through missions from the Philippines going into the EU, explaining about the opportunities not only in terms of trade and investment, but also in terms of tourism,” Jessen added.

A partnership and cooperation agreement (PCA) between the EU and the Philippines entered into force last March 1, providing a new and enhanced legal framework that will enable the two parties to strengthen their bilateral relationship, particularly on political, social and economic matters, including human rights.

The PCA, which was signed in 2012, has been ratified by all of the parties, following the ratification by the Senate of the Philippines last Jan. 22.