Finance Secretary Benjamin Diokno expressed his support behind President Ferdinand Marcos Jr.’s push to resume the free trade agreement negotiations between the Philippines and the European Union.

The Finance chief made his remarks on Friday after Marcos had said earlier this week that now is the right time to resume the negotiations for an FTA which will facilitate a freer flow of goods between the Philippines and the EU.

“Geo-economic fragmentation and trade protectionism will only burden an already struggling global economy. That said, now is the time for us to resume the Philippines-European Union Free Trade Agreement negotiations,” Diokno said.

Ideal platform

“The FTA will be an ideal platform to optimize the benefits of the large EU market and a permanent mechanism to fuel our economic relations,” Diokno added.

The initial meetings between Manila and the EU to explore the FTA began in 2013. These meetings involved discussions on the goals, fundamental principles, and scope of the FTA negotiations. Eventually, the trade ministers met in Brussels in October 2015 and finalized the objectives and scope of the talks.

Three months later, both parties publicly announced the start of the FTA negotiations. The first round of negotiations took place in May in Brussels, Belgium, followed by the second round in February 2017 in Cebu.

Increased market access

However, even without the FTA, the Philippines has already experienced increased market access to the EU. This improvement was facilitated by their successful application to the Generalized Scheme of Preferences-Plus (GSP+) in 2014.

Under the EU GSP+, import duties on products from vulnerable developing countries are eliminated, allowing easier access to the EU market. The GSP+ is designed to promote sustainable development and good governance.