RP inks 2 countertrade deals worth $274.7M

Two countertrade agreements to supply anti-terrorism equipment and maritime traffic information systems worth $274.7 million were signed recently at the Philippine Embassy in London.

The signatories were Arthur Yap, president and chief executive officer of the Philippine International Trading Corp. (PITC) and Dr. Roger Saunders, chairman of Norstad Group.

The final beneficiaries of the agreement will be the Philippine National Police (PNP) and the Philippine Ports Authority.

The countertrade program aims to make the twin projects operate on a self-sustaining basis by making the Philippines a technology and training hub for anti-terrorism and maritime traffic management for both developed and developing countries, particularly in Asia.

Yap attributed the success of the countertrade project to the initiative of President Arroyo who has expressly directed PITC to pursue and complete the negotiations.

Ambassador Bautista said "the use of countertrade should be maximized in the Philippines to benefit the country’s development projects which are normally hampered by cashflow problems."– Marianne Go