The Department of Trade and Industry (DTI) is seeking to forge stronger bilateral relations with Spain, as it positions the Philippines as a prospective gateway of Spanish firms into Asia.
“A stronger partnership between Spain and the Philippines will allow us to advance our respective development goals, expand our markets, and improve the quality of life of our people. We are urging Spain and our friends in Latin America to seize opportunities in Asia through the Philippines,” Trade Undersecretary Adrian S. Cristobal Jr. said.
“Spain is potentially an important trade partner of the Philippines. We can be Spain’s gateway to Asia. Our common heritage forged many centuries ago is a sound basis to increase trade and investments that will sustain the robust pace of growth we have been experiencing,” Cristobal added.
The Philippines boasts of key advantages that allows it to be a prime investment destination. For one, the Philippines is one of the fastest-growing economies in the region, growing at an average of 6 percent yearly over the past four years.
DTI said the country also stands on firm footing financially. The Philippines further improved dramatically in the world competitiveness rankings since 2010. It moved up the rankings to place 52nd in 2014 from the 85th spot in 2010.
Spanish Ambassador Luis A. Calvo also pointed out that the Philippines, as the only country in Asean to be granted inclusion in the European Union’s new generalized scheme of preferences (EU-GSP+), is attracting a significant number of Spanish companies that are interested in doing business in the country and contributing to its modernization.
The EU-GSP+ is an enhanced tariff scheme that allows the Philippines to export 6,274 products to any of the 28 members of the EU at zero tariff. This makes Philippine-made products more competitive in the EU compared to other Asean countries.
Calvo added Spain is looking forward to the establishment of a free-trade agreement between the Philippines and the EU. Until then, “Spain will continue to take advantage of the rapidly improving economic environment prevailing in the Southeast Asian region, particularly in the Philippines.”
Spain is the Philippines’ 26th major trading partner, 25th-largest export market, and 23rd-largest import source.
The Philippine Statistics Authority (PSA) earlier reported that the bilateral merchandise trade between the Philippines and Spain for the first three months of 2015 has already reached $130 million.