DTI Assistant Secretary Allan Gepty (Screenshot of PCOO Global Media and Public Affairs virtual presser)
MANILA – The Philippines can attract more foreign investments with the signing of the Regional Comprehensive Economic Partnership (RCEP) deal, Department of Trade and Industry (DTI) Assistant Secretary Allan Gepty said Friday.
During the virtual presser of the Presidential Communications Operations Office (PCOO) Global Media and Public Affairs, Gepty said the conclusion of RCEP will facilitate more investments into the region aside from allowing freer flow of goods among the 15 participating countries.
RCEP is a comprehensive trade and investment agreement of the Association of Southeast Asian Nations (Asean) and its five free trade agreement (FTA) partners --Australia, New Zealand, China, Japan, and South Korea.
It was concluded last Nov.15 after eight years of negotiations.
Gepty said manufacturing companies from non-RCEP participating countries can expand their operations in the Philippines if they are looking into selling to other RCEP countries.
For instance, a handbag manufacturer from Italy eyeing to sell to China can put up its production facility in the Philippines and export to China at zero tariff, instead of exporting the handbags from Italy at around 20-percent tariff.
Aside from China, the manufacturer can also export to other RCEP participating countries at zero tariff, he said.
This is the same for manufacturers of Covid-19-related products eyeing to sell to the 15 RCEP nations.
The RCEP market accounts for one-third of the world’s population.
Gepty, who is also the country’s lead negotiator for RCEP, said Philippine-based manufacturers of Covid-19-related products can take advantage of the deal.
With the global health and economic crisis, the RCEP ensured to have an unimpeded flow of essential goods within the region, he added.
“Right now, the demand (for essential goods) is increasing. You could just imagine what RCEP can provide,” Gepty said.
Earlier, DTI Undersecretary Ceferino Rodolfo said a Japanese manufacturer of polymerase chain reaction (PCR) test machines and kits will be investing in the Philippines.
The company will be catering to the domestic and international markets.
Rodolfo said the firm considered to invest here rather than in other countries because the government did not impose an export ban on essential goods at the onset of the pandemic.
This gives assurance to the Japanese PCR test equipment maker that the Philippines is a good investment destination to sell not only in the domestic market but also for exports. (PNA)
