The Philippine government is negotiating reduced tariffs on banana exports to Japan as an interim measure while pursuing potential zero-duty access through future membership of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership.
Agriculture Secretary Francisco Tiu Laurel said he recently held talks with his Japanese counterpart to reiterate the Philippines' request to amend the Japan-Philippines Economic Partnership Agreement. He noted that this was the third time the issue had been raised, with a focus on tariffs applied to Philippine banana exports.
Under JPEPA, Japan applies an eight per cent tariff on bananas shipped from the Philippines between October and March, rising to 18 per cent for shipments from April to September. The Philippine government has long sought changes to the agreement, as Japan remains the main market for Philippine bananas, accounting for about 75 per cent of total exports.
However, the Philippines' position in the Japanese banana market has weakened in recent years. Competing suppliers with lower or zero tariffs have increased shipments, affecting market share.
"We reiterated our request that our bananas be granted a lower tariff. This is because other countries, such as Vietnam, Thailand, and Mexico, are already moving toward zero tariffs," Tiu Laurel said.
He added that the current request does not seek full tariff elimination but proposes a reduction to a range of five to eight per cent. "So their response was somewhat positive, and we will wait for their study on how this can be done," he said.
The tariff discussions are viewed as a temporary approach, as the government expects to secure zero-duty access for bananas through accession to CPTPP. The Philippines applied to join the trade bloc in August last year and expects its request to be approved within the year.
Tiu Laurel said Japan has agreed to support the Philippines' application. He also indicated that the accession process could take around two years, during which the country aims to meet all requirements.
As part of preparations, the Department of Agriculture is working on compliance with the International Union for the Protection of New Varieties of Plants, which is among CPTPP's conditions. "So we have to follow certain conditions that all CPTPP members also comply with," Tiu Laurel said.
CPTPP members include Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore, Vietnam, and the United Kingdom. The agreement provides for liberalised trade, including zero tariffs on a range of goods, common standards, and investment frameworks.
Source: Manila Bulletin