Agricultural exporters rising through ARISE Plus

GENEVA, Switzerland – Small and medium agricultural players are finding hope in a European Union-funded project that seeks to capacitate them to build their brand, upscale their skills and penetrate foreign markets for their goods.

At least 160 micro, small and medium enterprises (MSMEs) and young entrepreneurs have benefitted from the multiple activities lodged under the ARISE Plus Philippines project of the International Trade Center (ITC).

ITC is a joint agency of two multilateral bodies – the United Nations and the World Trade Organization – tasked with helping small businesses connect with the international market and reap the benefits of global trade.

Ashish Shah, ITC director for country programs, said at least 94 percent of the beneficiaries of ARISE Plus have expressed they are now “more confident” about exporting their goods abroad.

“Overall, through market linkages activities, beneficiaries have had a chance to exposed, some for the very first time, to overseas markets in Europe, North America and also in Asia, which led to the generation of close to $140 million worth of new exports,” Shah told The STAR in an interview at ITC’s headquarters here.

The $6.43-million project focuses on enabling MSMEs to penetrate the EU market and take advantage of trade privileges under the union’s Generalized System of Preference (GSP+), thus, contributing to the overall growth of EU-Philippines trade.

The project started in the first quarter of 2021 and is set to end in February next year. At the end of last year, about $4.67 million has been utilized already leaving some $1.77 million for this year and next year’s use.

“Ultimate project beneficiaries include Philippine MSMEs, which will benefit from improved business environment, policies and processes to increase their competitiveness,” according to the project brief.

To date, the project has helped various agriculture-based MSMEs from those producing coconut-based products like coconut sugar and flour, chocolate and coffee to fruits and paper handcrafts.

The Philippines has an estimated $11 billion of untapped export potential, which includes agricultural products, based on ITC’s export potential assessment study.

“ITC has empowered MSMEs. To access the EU market by improving market access knowledge (EU GSP+ business guide), enhancing product quality and compliance, facilitating market linkages through participation in trade fairs,” Shah said.

Shah cited the example of a Filipina owner of an agricultural company who was trained on export marketing and market linkages under ARISE Plus. The company was able to establish contacts with new foreign buyers.

As a result, Shah pointed out, strengthened her business with European buyers and partners thanks to her participation in a trade fair in Europe late last year. The Philippine-based MSME coconut firm has identified $1.3 million worth of new export deals, Shah added.