No need to rush FTA with US, says Aquino

Trade and Industry officer-in-charge Thomas G. Aquino, just like his predecessor, Juan B. Santos, does not see the need to rush a Free Trade Agreement (FTA) with the US.

"I still have to be convinced," Aquino admitted yesterday.

Furthermore, the veteran trade negotiator pointed out, "I still have to see the agriculture sector buy into it."

Aquino pointed out that "it takes two" to come up with an agreement.

Santos had previously noted that the Philippine private sector does not seem keen on an FTA with the US.

Aquino has the same perception, especially the Philippine agriculture sector which would be most adversely affected if US agriculture exports such as corn and wheat are allowed into the country.

According to Santos, an FTA with the US at this time may even be "premature."

Instead, Santos pointed out, the Philippines has a more beneficial trade relation with its ASEAN neighbors as well as with Japan and China.

The Philippines has more trade with Japan than the US and is in the midst of negotiations with an FTA with Japan.

The Philippines already has an FTA with the ASEAN and China.

Santos had urged the American Chamber of Commerce of the Philippines to make representation with the US if they believe that an RP-US FTA is beneficial.

The help of the private sector is necessary so that they can identify which areas can be opened up to liberalization.

US Embassy officials had appeared cool to an FTA pointing out that the US has set the criteria that countries that enter into an FTA with the US "must be able to live up to their commitment."

US Embassy officials had also said that actions that must be taken by countries interested in entering into an FTA with the US would include dealing with corruption, tightening up on intellectual property rights and human rights.

One area which the US feels the Philippines has not yet been able to adequately address is its intellectual property right (IPR) compliance.