outbrain
Close  

PH seeks lifting of Japanese tariffs on PH fruit exports

By: - Reporter / @kocampoINQ
/ 05:06 AM October 30, 2017

The Philippines will ask Japan to lift tariffs on its fruit exports, as part of the discussion between President Duterte and Japanese Prime Minister Shinzo Abe.

Mr. Duterte is in Japan for a three-day working visit that will conclude on Oct. 31.

ADVERTISEMENT

According to Agriculture Secretary Emmanuel Piñol, the push for zero tariffs on Philippine fruit exports will be discussed by the two heads of state.

Piñol said on his Facebook page that he had been asked by Finance Secretary Carlos Dominguez III to provide documents on previous negotiations with the Japanese government on the proposed zero tariffs on Philippine fruits including pineapples, mangoes and Cavendish bananas.

FEATURED STORIES

While the appeal has long been pending, Piñol said local fruit growers hoped that negotiations would be hastened given the official involvement of the President and the latter’s friendship with Prime Minister Abe.

Japanese importers, meanwhile, have struck deals with suppliers in Latin American countries that enjoy zero tariffs in Japan, consequently eating into the Philippines’ market share.

Trading companies have started to shift to Ecuadorian bananas due to economic considerations despite surveys that Japanese consumers prefer Philippine bananas, Piñol said.

Under bilateral and economic partnership agreements, fresh bananas exported from countries like Costa Rica and Ecuador enjoy zero tariffs for their pooled quota of 1,000 tons per year.

Philippine bananas, on the other hand, are slapped a tariff of 2.5 percent during the off-season for Japanese fruits and a high of 18 percent during the country’s fruit harvesting season.

Other Southeast Asian countries like Vietnam and Indonesia also enjoy zero tariffs on their banana produce.

Data from the Philippine Statistics Authority (PSA) showed that Japan accounted for more than 30 percent of the Philippines’ total annual banana exports in 2016, or a total of $231.3 million.

ADVERTISEMENT

Last year, an agriculture deal worth P2.3 billion was struck between local banana growers and a Japanese firm, involving a total of 20 million boxes of Cavendish bananas to be exported to Japan.

Subscribe to Inquirer Business Newsletter
Read Next
EDITORS' PICK
MOST READ
Don't miss out on the latest news and information.
View comments

Subscribe to INQUIRER PLUS to get access to The Philippine Daily Inquirer & other 70+ titles, share up to 5 gadgets, listen to the news, download as early as 4am & share articles on social media. Call 896 6000.

TAGS: Business, fruit exports
For feedback, complaints, or inquiries, contact us.


© Copyright 1997-2020 INQUIRER.net | All Rights Reserved

We use cookies to ensure you get the best experience on our website. By continuing, you are agreeing to our use of cookies. To find out more, please click this link.