MANILA, Philippines — The Department of Trade and Industry (DTI) is pushing electronics, food and beverage, information technology – business process management (IT-BPM), creative industries and halal as priority sectors for exports this year.
Trade Undersecretary Abdulgani Macatoman said yesterday the active promotion of the priority sectors forms part of the DTI’s strategy to ramp up the country’s exports.
“We follow the targets of the Philippine Export Development Plan (PEDP) with strong support and commitment across major industries. We remain positive on the opportunities for 2020 as we in the Trade Promotions Group of the DTI continue to pursue the strategies for export growth. Currently, we have electronics, food and beverages, IT-BPM and business services, creative industries, lifestyle and wearables, and halal as among the priority sectors for export promotion driven by global demand,” he said.
To promote these sectors for exports, DTI will be holding outbound business matching missions with the private sector.
Among the export destinations to be visited are Europe, Canada and East Asia for creative services.
For halal, or products and services following the prescribed process of preparation in accordance with Islamic law, outbound business missions would be conducted in Southeast Asia, Gulf Cooperation Council countries, as well as Turkey, Egypt, China and Iran.
For lifestyle products, DTI is targeting Southeast Asia, East Asia and Europe.
For food products, DTI is looking at East Asia, Southeast Asia, Europe, the US, and the Middle East as export markets, while Russia, Mexico and Africa are being eyed for fast-moving goods.
Apart from conducting outbound business matching missions, DTI is also pushing for improvement in overall climate for export development and ease of doing business, as well as greater utilization of preferential trade agreements.
At present, the Philippines has free trade agreements with Japan, the European Free Trade Association which groups Iceland, Liechtenstein, Norway and Switzerland, the Association of Southeast Asian Nations (ASEAN), as well as with China, India, Japan, South Korea, and Australia and New Zealand through the ASEAN.
In addition, the Philippines is a beneficiary of the European Union Generalized Scheme of Preferences Plus and the US General System of Preferences, enabling the country to enjoy zero tariff on certain exports.
Under the PEDP, the target is for the country’s total exports covering both goods and services to reach $122 billion to $130.8 billion by 2022.
Total exports of the country rose 3.7 percent year-on-year to $70.4 billion in the January to September period last year.
Services exports, in particular, went up 7.7 percent year-on-year to $30.6 billion as of end-September, driven by travel services and the IT-BPM sector.
Merchandise exports, meanwhile, grew nearly one percent year-on-year to $39.8 billion in the nine-month period, with electronics products, bananas, and forestry and mineral products contributing to the slight increase.