DAVAO CITY (MindaNews / 5 June) – The Philippines has asked South Korea to lower tariffs on the country’s agricultural exports such as banana and pineapple from the current 25-30 percent to 5 percent, Trade Secretary Ramon Lopez said.
In a press briefing at the Imperial Palace Boutique Hotel in Seoul, South Korea, Lopez said the country seeks to increase the volume of its exports to South Korea by relaxing the hefty taxes on agricultural products that are not yet covered by the ASEAN-Korea Free Trade Agreement.
The official said the 5-percent tariff rate is similar to the tariff level that the Philippines imposes on imported goods from South Korea.
“In other words, tayo po nagbaba na ng taripa (We have already cut tariff rates). So we are basically asking for reciprocity as to the products that would enter South Korea,” he added.
Lopez said the Philippines is currently South Korea’s largest supplier of banana, but its market share is threatened by suppliers from other banana-producing countries.[]
He said reducing the tariff rate would allow more agricultural exports to enter the South Korean market.
Pilipino Banana Growers and Exporters Association executive director Stephen Antig said on Tuesday that it will be good if the South Korean government will allow the removal or reduction of tariffs since it is the third or fourth largest buyer of bananas from the Philippines.
Lopez said they discussed with their counterparts during bilateral meetings a plan to revive the Joint Commission on Trade and Economic Cooperation and the possible development of a preferential trading agreement that will improve market access of Philippine agricultural products to South Korea.[]