DTI commits to advance cause of MSMEs with WTO

The Department of Trade and Industry has affirmed its commitment to advance the agenda of micro, small and medium sized enterprises (MSMEs) before members of the World Trade Organization.

“MSMEs should be among the priorities of ongoing trade talks, policies and agreements in the WTO as they comprise the majority of all registered businesses, account for a significant portion of value added and total employment, and are important sources of innovation and job creation, especially in developing countries such as the Philippines,” Trade Undersecretary Adrian S. Cristobal said.

Cristobal explained that advancing the MSME Agenda in WTO would reduce trade barriers and tariffs, improve the ease of doing business, help MSMEs operate in the global market, lower the cost of finished products, sustain and improve the Philippines’ international standing and eventually drive inclusive growth.

“Our strategy is to utilize our WTO membership as a tool to improve our local industries and address the development gaps in our country. By actively participating in discussions and negotiations, and consistently facilitating dialogue and cooperation with our stakeholders, we are optimistic that we can forge better understanding and coherence in discussions of our priorities and initiatives for MSMEs in the multilateral trading system,” Cristobal explained.

The Philippines has been strongly advocating initiatives to foster participation of MSMEs in regional and global markets across all international trade fora, such as Asia-Pacific Economic Cooperation (Apec) and the Association of Southeast Asian Nations (Asean), as well as in the meetings and discussions leading up to the 10th Session of the WTO Organization Ministerial Conference (WTO MC10), which will be held later this month in Nairobi, Kenya.

To underscore the country’s pitch for MSMEs, the Philippine mission to the WTO also submitted a document highlighting the importance of MSMEs and opportunities to enhance dialogues on MSMEs in WTO with other international organizations.

Trade Secretary Gregory L. Domingo, who has been selected as one of the vice chairpersons at the MC10, is set to advance this agenda.

Since 1995, the Philippines has been a member of the multilateral trading system under the WTO, an international organization for liberalizing trade, negotiating trade agreements and settling trade disputes.

The WTO is host to new negotiations under the Doha Development Agenda (DDA), launched in 2001, which aims to open market access for agricultural products, reduce developed-country subsidies to their agricultural sectors and secure a more effective and practical special safeguards mechanism.