EU tariff scheme to boost Phl export value

CEBU, Philippines - Several Philippine industries including those that have lower penetration in the global market specifically in the European Union could grow in terms of export value, the Department of Trade and Industry said.

Export Marketing Bureau director Senen Perlada said the greater access to the EU market with the help of a system of tariff preferences would allow local industries to increase their exports to the 28-member economic bloc.

In his recent discussion to local exporters in Cebu, Perlada said the coconut, marine, fruit, food and chemical are the sectors that could essentially compete in the export industry.

These are the industries that could potentially increase their share to the total ASEAN exports to the EU, the official explained.

Sectors of garments, home furnishings, fashion accessories, footwear are also among those that will benefit from EU’s Generalized System of Preferences Plus which allows Philippine exports to enter the bloc duty-free.

Perlada particularly mentioned that home wooden furniture sector need to be competitive and grow in terms of its export share.

For instance, ASEAN had 11.27 percent share to world furniture imports in EU in 2013. In that case, the Philippines only contributed 0.35 percent to the total ASEAN share.

Moreover, the EMB also listed some products that would benefit from the tariff-reduction scheme. Current tariff for pineapple juice is at 28.5 percent, garments at 5 to 9 percent, preserved fruits at 6 to 9 percent, tuna at 20.5 percent, fruit jams and jellies at 20.5 percent and footwear at 11.9 percent.

If tariffs are cut, the trade official said prices of these products could go down and become more competitive with other foreign products. — (FREEMAN)