The Philippines are eager to activate the free trade agreement (FTA) with the Republic of Korea next year, as the bilateral pact will benefiting its banana and processed pineapple exporters in the form of reduced tariffs. According to Trade and Industry Undersecretary Ceferino Rodolfo, the signing of the agreement in November would hopefully push through after a meeting with South Korean government officials later this week.
Rodolfo said the Philippines’ priority interest in the FTA would be on the exportation of banana and processed pineapple to South Korea, adding that these goods were being levied a 30-percent tariff.
He explained that Vietnam signed an FTA with South Korea in 2015, which reduced and would eventually set their two-way tariffs for the tropical fruit to zero. “Within five years, the 30 percent tariff would be declining until it reaches 0 percent on the fifth year,” Rodolfo said, implying that this scenario would be a possibility if the bilateral trade deal between the Philippines and South Korea would be signed in November.
Source: business.inquirer.net
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