MANILA – The Philippine authorities is asking Japan to set the subsequent normal evaluate of its free commerce settlement (FTA) because the nation has offensive pursuits in agriculture.
In an interview with commerce reporters, Special Trade Representative Dita Angara-Mathay mentioned tropical fruit growers in Mindanao are batting for the removing of seasonal tariffs for Philippine bananas and pineapple getting into Japan.
According to the Department of Trade and Industry (DTI), imported bananas from the Philippines are slapped with an 18 p.c tariff in the course of the winter season and an 8 p.c tariff throughout summer season in Japan beneath the Philippines-Japan Economic Partnership Agreement (PJEPA).
Angara-Mathay mentioned Philippine bananas are shedding market share in Japan to bananas from Ecuador and Peru, as bananas from these nations have zero tariff in Japan.
“At one point, we are at the high 90s (percent) share of our bananas. Right now, I think we’re on the 70s. The landed cost coming from Ecuador is high but we are losing share, and this is something we need to look into,” she mentioned partly in Filipino.
DTI Assistant Secretary Glenn Penaranda added that the market share of the Philippines for all imported bananas to Japan was at 76 p.c or about 844 million tons.
“We want to maintain this number or at least increase it with our policy shift,” Penaranda mentioned.
Both commerce officers mentioned amending the tariffs for tropical fruits could be finished by the final evaluate of PJEPA.
“You know we have a dominant position. To say, I think our bananas really taste better. And then, our proximity to Japan. It gives us an advantage,” Penaranda mentioned.(PNA)