Two pivotal free trade agreements have started to proceed, as Trade Secretary Alfredo Pascual sealed two key agreements to enhance the free trade network.
These deals are the ASEAN-Australia-New Zealand FTA or AANZFTA and the ASEAN-Hong Kong, China FTA or AHKFTA.
On Wednesday, Ambassador Hae Kyong Yu of Australia, Ambassador Peter Kell of New Zealand, and acting Director-General Allan Pang of the Hong Kong Economic Trade Office in Jakarta witnessed the signing at the DTI office in Makati City.
AANZFTA’s 2nd protocol
In a statement on Thursday, Pascual said that the Second Protocol for the AANZFTA updates the original AANZFTA and First Protocol signed in February 2009 and August 2014, respectively.
He said the pact’s new provisions respond to the evolving multidimensional challenges in the business environment and aim to keep the agreement relevant to strengthen supply chain resilience and support sustainable development.
“The finalization of the Second Protocol to Amend the AANZFTA represents another milestone in our work to further strengthen regional trade and investment flows between ASEAN, Australia, and New Zealand. We want to ensure the agreement continues to benefit businesses and reinforce our strategic links in the region,” Pascual said.
Stronger stability
Market access commitments under the amended AANZFTA Chapter on Trade in Services will provide greater stability for Filipino businesses interested in investing and providing services in Australia and New Zealand, particularly in the sectors of professional services, education, transportation, construction, tourism and banking services, among others.
Other key provisions under the Second Protocol are the Professional Services and Education Services Cooperation annexes, which provide a framework for relevant authorities to negotiate initiatives on the mutual recognition of professional qualifications, licensing, or registration in professional services sectors or bilateral or regional cooperation.
These provisions will allow recognition of educational qualifications, digital education, blended learning, and other diverse forms of education delivery. They will further assist Filipino professionals in practicing their profession in Australia and New Zealand.
Moreover, this new commitment complements the country’s implementation of the Transnational Higher Education Act or Republic Act 11448, passed in 2019, allowing foreign universities to provide education services through partnering with a local institution.
