DTI sets groundwork for higher exports to Australian market

The Department of Trade and Industry (DTI) has set the groundwork for Filipino exporters to increase their exports to Australia and significantly capture a firmer foothold of the Australian market with the opening of the Philippine Trade Center (PTC) in Melbourne.

Initiated in November 2004, the PTC in Melbourne will showcase quality Philippine products and services including tourism.

The PTC will also provide directions to Philippine manufacturers and suppliers on internationally accepted technologies and standards on electronic trading and distribution.

Aside from showcasing Philippine products, the PTC will also provide the following services: a facility for trade fairs, events and seminars relating to products and services; assistance with business matching; provision for business club membership to provide visibility to Australian investors of Philippine manufactured products and services using web-based secured technology; and provision for Australian products and services required in the Philippines to be exhibited and shown to Philippine manufacturers and distributors, resulting to increased trade.

The new trade center’s optional services include assistance to Philippine manufacturers on supply chain processes and requirements in Australia and assistance to Philippine manufacturers on guidelines relating to exporting and distribution to Australia.

These include distribution, consolidation, electronic trading, scanning bar code labels on products and EAN processing.

According to Trade and Industry Secretary Juan B. Santos, "the soon-to-be opened PTC in Melbourne, which provides a permanent showroom facility where Philippine products can be displayed, is an opportunity that our exporters can take advantage of to further increase their exports to Australia."

Santos noted that "Australia’s healthy economy, with high per capita income and strong currency, provides a growing market for imported goods and services."

Australia is the Philippines’ 15th biggest trading partner, accounting for 1.23 percent of total trade in 2003.

Australia ranked 13th as an export market accounting for 1.14 percent share and 14th as an import source with 1.31 percent.

During the last five years, from 1999-2003, Philippine exports to Australia grew at an average annual rate of 21 percent.

For the whole of 2004, the country’s exports to Australia increased by 18.4 percent to $481.658 million from $406.800 million in the same period in 2003.

The country’s top export products to Australia include electronics (computers, semi-conductor devices, consumer electronics), automotive parts (lead acid batteries, electrical wiring harness, steel belted tires), processed food (cocoa butter, desiccated coconut, processed fruits, vegetables like banana chips, dried mangoes and papayas, fruit juices, noodles, condiments, seasonings and mixes, ice cream, prepared seafood and tea), marine, furniture and houseware, fashion garments, gifts and holiday decors, jewelry, construction materials, mining and information technology services.