Philippine exporters are seen to gain more opportunities in 2020 on the back of strong support and commitment from both the government and the private sectors. This as the latest Philippine exports of goods and services grew by 5.1% year-on-year (YOY) to USD25.0B in the 3rd quarter of 2019 based on the Balance of Payment Manual 6 (BPM6) data from the Bangko Sentral ng Pilipinas (BSP).
The Q3 export growth performance was bolstered by an 8.6% YOY increase in services exports, with a value of USD11.1B for the quarter. It was also backed by the 2.4% YOY increase in the goods exports valued at USD13.9B.
Goods and services’ exports climbed 3.7% to USD70.4B spanning from January to September 2019. Services exports rose by 7.7% YTD to USD30.6B driven by a double-digit increase in exports of travel services due to bigger international tourist arrivals. Aside from travel services, Information Technology and Business Process Management (IT-BPM) also contributed to the services exports’ good showing.
On the other hand, exports of electronics products, bananas, and forestry and mineral products contributed to the moderate increase in the exports of goods.
“We follow the targets of the Philippine Export Development Plan (PEDP) with strong support and commitment across major industries. We remain positive on the opportunities for 2020 as we in the Trade Promotions Group of the DTI continue to pursue the strategies for export growth. Currently, we have electronics, food and beverages, IT-BPM and business services, creative industries, lifestyle & wearables, and Halal as among the priority sectors for export promotion driven by global demand,” said Undersecretary for TPG Abdulgani M. Macatoman.
Macatoman pointed out that under the PEDP 2018-2022, the overall objective is to reach between USD122B-USD130.8B by 2022. To achieve this, the DTI is pushing for the improvement of the overall climate for export development and ease of doing business. Likewise, the availment of preferential trade agreements poses as a significant element for the competitiveness of Philippine exports.
“As part of the comprehensive package of support for Philippine exporters, we have initiatives to elevate the capacity of exporters across priority sectors and in parallel, we have identified priority markets for export promotion both for inbound and outbound opportunities,” said Macatoman.
Among the priority export destinations that the TPG is set to visit this year for the outbound business matching missions (OBMMs), through the Export Marketing Bureau (EMB), Center for International Trade Expositions and Missions (CITEM), Foreign Trade Service Corps (FTSC), and various collaborators from other DTI units and the private sector include both the traditional and non-traditional markets: Europe, Canada, and East Asia for the promotion of Creative Services; Europe and East Asia for the promotion of Green Business; Association of Southeast Asian Nations (ASEAN), Gulf Cooperation Council (GCC), Turkey, Egypt , China, and Iran for Halal Products and Services; ASEAN, East Asia, and Europe for the Lifestyle Sector; East Asia, Southeast Asia, Europe, USA, and the Middle East for the Food Sector; and Russia, Mexico and Africa for Fast Moving Goods.