By Kris M. Crismundo
MANILA, July 22 (PNA) — The Philippines is fully committed in the ASEAN Economic Community (AEC) taking place on the last day of this year, the Department of Trade and Industry (DTI) chief said.
DTI Secretary Gregory L. Domingo, during The Manila Times 2nd Business Forum on Wednesday, said the Philippines was pursuing an open, liberal and integrated market — the core of ASEAN integration.
“As a founding member of ASEAN it actively participates in further steps to facilitate the movement of goods across borders. These include measures enhancing or improving customs and cross border procedures, clarifying issues regarding rules of origin, as well as developing transportation and logistics infrastructures across the ASEAN economies,” said Domingo.
Domingo said that the country was addressing concerns on non-tariff barriers such as product standards, sanitary and phytosanitary measures, and import licensing.
The DTI chief also noted that the newly signed Philippine Competition Law and the amendments in Cabotage Law were proof of the government’s sustained efforts to liberalize economy and institutionalize economic reforms.
“The Philippine Fair Competition Act effectively levels the playing field as it criminalizes and imposes heavy fines on business activities that promote monopolies and obstruct equal access to market opportunities… The amended Cabotage Law will allow foreign vessels to transport and co-load foreign cargoes for domestic transhipment,” Domingo explained.
“The AEC in full force will enable enterprises in Member States to significantly minimize transaction costs and optimize trade gains. The cost of doing business would be reduced with lower tariffs, streamlined export and import procedures, easier access to suppliers, and better business licensing processes, among others,” he added.
Aside from the Competition Law and the amended Cabotage Law, recent developments made by the government include amendments in the banking law which eliminates limits of foreign ownership in banking sector; the Quadruple A Rating, a new license category for contractors enabling foreign firms to secure construction permits and participate in local projects; and the further amendments to the foreign investment negative list. (PNA)