FTAs seen driving Philippines, India trade to $10 billion

MANILA, Philippines — Bilateral trade between India and the Philippines could hit $10 billion in the next five to six years through opportunities from free trade agreements (FTAs).

“With the ASEAN (Association of Southeast Asian Nations)-India revised trade agreement coming into effect once it’s concluded and subsequently the India-Philippines preferential trade agreement (PTA), I think we can easily reach $5 billion very soon,” India Ambassador Harsh Kumar Jain told reporters during a business-to-business and business-to-government meeting for an Indian business delegation.

“And then, of course, we can work on to reach, $10 billion in the next five to six years,” he said.

Last year, total trade between India and the Philippines reached $3.55 billion.

Jain said bilateral trade between the Philippines and India has been posting steady annual growth of 15 to 16 percent in favor of India.

Jain said top products being imported by the Philippines from India include pharmaceuticals, engineering products and agro-products like buffalo meat.

Meanwhile, the Philippines’ major exports to India are electronics, semiconductors and minerals.

Jain said the two countries are waiting for the conclusion of the revised ASEAN-India Trade in Goods Agreement.

“The idea is that once that is concluded, we will further build on that in the PTA between the two countries,” he said.

He expressed hope that the review of the ASEAN-India Trade Agreement in Goods would be concluded in the next couple of months.

“We would very much like that this is concluded before the ASEAN Summit this year,” he said.

The ASEAN Summit is set to be held in Manila in November.