MANILA, Philippines - Exporters and businesses in the Zamboanga Peninsula are making preparations to take advantage of the European Union’s Generalized System of Preferences Plus (EU-GSP+).
According to the Department of Trade and Industry (DTI), a Doing Business with the EU using the GSP+ Information session was recently conducted in Zamboanga City to inform exporters and businesses there of the benefits of the trade preference scheme.
“We’ve already had initial discussions with businesses who plan to expand their operations in the region. The EU GSP+ is a developmental tool which helps the country generate additional revenue and new jobs critical to economic growth,” said Trade Assistant Secretary Ceferino Rodolfo.
The EU GSP+ is a scheme allowing beneficiary countries to export 6,274 products to any of the 28 members of the bloc at zero tariff for a period of 10 years.
The Philippines, which secured EU GSP+ status in December, is the only beneficiary country of the scheme in Southeast Asia.
Among the major products of Region 9 which stand to gain the most from the EU GSP+ are marine and coconut products.
Fishery products which were previously slapped with as much as 24 percent tariff to the EU, may now enter the trade bloc at zero duty under the scheme.
Canned tuna and sardines firm Permex Producer and Exporter Inc. said during the event that it intends to take advantage of the EU GSP+.
“The ball is on our side. It’s there – more than 6,200 products that we can export to EU at zero tariff. It is up to us to deliver and to take that opportunity,” Permex Producer and Exporter Inc. president Edgar Lim said.
Other products that may avail of duty free access to EU include processed fruit, prepared food, animal and vegetable fats and oils, textiles, garments, headwear, footwear, furniture, umbrellas, and chemicals.
While exporters in the Zamboanga Peninsula are interested to avail of the EU GSP+, they noted that government support would be needed to facilitate their entry to the EU market.
In particular, the private sector needs an international port in Zamboanga
so they will not have to ship their products to the ports of Manila, Davao or Cagayan de Oro which results in “double handling” or entailing additional costs.