MANILA -The European Union’s two highest policymaking bodies have welcomed the proposed four-year extension of the regional bloc’s preferential trading scheme for developing countries, a move which is seen to benefit Philippine exporters once approved and made official.
Trade Secretary Alfredo Pascual said this on Wednesday, citing a report from the European Commission (EC), which proposed to extend the Generalized Scheme of Preferences (GSP) Plus of which the Philippines is currently a beneficiary.
“In view of the upcoming expiry of the GSP regulation at the end of 2023 and the still-ongoing negotiations for a new regulation, the commission has proposed an extension of the current rules which was welcomed by the European Parliament and the council,” Pascual told reporters on the sidelines of a forum organized by the Stratbase ADR Institute in Makati City.
The trade chief said that a four year-extension would greatly benefit local exporters.
According to data from the Department of Trade and Industry, there are over 6,000 Philippine-made goods shipped to the EU enjoying zero import duties under an arrangement that will last until the end of 2023.
The value of these goods under the GSP Plus has reached €2.03 billion ($2.21 billion) as of 2021, accounting for a 26- percent-share of GSP exports to total exports.
These goods include prepared or preserved tuna and pineapple, vacuum cleaners and spectacle lenses.