MANILA: Philippine products, including industrial goods as well as fish and other marine products, can access European Free Trade Association (EFTA) States duty-free after the two parties signed a free trade agreement (FTA).
“With the entry into force of the Agreement, the EFTA States abolish all customs duties on imports of industrial products, including fish and other marine products, originating in the Philippines,” EFTA stated.
The EFTA-Philippines FTA was signed in Bern, Switzerland by Trade Secretary Adrian S. Cristobal Jr., President of Swiss Confederation Johann N. Schneider-Amman, Iceland Ambassador Martin Eyjólfsson, Minister of Foreign Affairs of Liechtenstein Aurelia Frick, and State Secretary of Ministry of Trade, Industry and Fisheries of Norway Dilek Ayhan.
In return, the Philippines will gradually eliminate customs duties on industrial products, including fish and other marine products from EFTA.
The EFTA-Philippines FTA will also boost trade in services including sectors of finance, telecommunication, movement of natural persons, and maritime transport.
Under the FTA, the two parties agreed to cooperate in trade facilitation to comply with international standards and high quality of public service.
The FTA text also noted simplification of international trade procedures under its agreement on trade facilitation.
“The Parties shall apply trade and border procedures that are simple, reasonable and impartial,” the FTA text stated.
“The Parties shall limit controls, formalities and the number of documents required in the context of trade in goods between the Parties to those necessary and appropriate to ensure compliance with legal requirements and thereby simplify to the greatest extent possible the respective procedure,” it added.
Trade of goods between EFTA and the Philippines grew at an average annual rate of 11 percent between 2005 and 2015.
Total bilateral merchandise trade reached USD863 million, with Philippine exports to EFTA at USD456 million and imports from EFTA countries at USD407 million.
Top exports of the country to EFTA include precious metals such as gold, electronic parts and dental prosthesis, electrical machinery and medical instruments. Philippine imports include pharmaceuticals, clocks and watches, and machinery.
EFTA considers the Philippines as a significant market and one of the fastest and most resilient countries in Asia.
