RP, Japan form panel to oversee economic pact

The Philippines and Japan have agreed to create a joint coordinating team (JCT) to oversee the preliminary talks on the proposed Japan-Philippines Economic Partnership Agreement (JPEPA).

According to Trade Undersecretary Thomas Aquino, the JCT will move the JPEPA process to a more advanced stage, leading to actual negotiations aimed at achieving substantial mutual benefits.

Aquino, together with director Makio Myagawa of the Japan Ministry of Foreign Affairs, led the delegations from both countries to the inaugural meeting of the JCT.

The two-day meeting was held recently in Manila.

The highlight of the meeting was the approval of the main issues relevant to the ongoing negotiations of the JCT terms of reference (TOR).

The JCT would be composed of government officials from both countries.

The Japanese delegation would be co-chaired by the representatives of the Ministries of Foreign Affairs, Finance, Agriculture, Forestry and Fisheries, and Economy, Trade and Industry.

Meanwhile, the Philippine panel would be represented by the Department of Trade and Industry.

Representatives of the Japanese Ministry of Foreign Affairs and the Philippine Department of Foreign Affairs would be the coordinators.

The JCT will continue to seek the view of the private sector and the academe through their representation in the JCT.

According to Aquino, the essential feature of the TOR is the holding of consultative meetings with experts from the two countries on issues crucial to economic cooperation such as human resource development and the movement of natural persons; investments and competition, among others.

Aquino said Japan had reiterated its concern regarding the treatment of Japanese investors and their investments in the Philippines.

The Japanese also expressed their desire for the relaxation of Philippine investment rules on foreign equity, land possession, foreign currency controls and performance requirements.

Japan is also urging more movement on transparency laws and administrative rulings on foreign investments.