Although it was not achieved last year... "This year, aiming for Korea-Philippines FTA agreement"

President Moon Jae-in and Philippine President Rodrigo Duterte pose for a commemorative photo before the 'Korea-ASEAN Special Summit' meeting at a hotel in Busan on November 25 last year. (Photo by Yonhap News)

[Asia Economy Reporter Moon Chaeseok] The government announced that it will finalize the Free Trade Agreement (FTA) with the Philippines within this year. Initially, they aimed to conclude the agreement by November last year, which marked the 70th anniversary of diplomatic relations, but it has been extended into this year.

On the 28th, the Ministry of Trade, Industry and Energy stated that the 5th official FTA negotiations between the two countries will be held in Manila, Philippines, from the 29th to the 31st.

From the government side, Yeo Han-gu, Director-General of Trade Negotiations at the Ministry of Trade, Industry and Energy, will serve as the chief representative, with delegations from the Ministry of Trade, Industry and Energy, the Ministry of Economy and Finance, and the Ministry of Agriculture, Food and Rural Affairs participating in the negotiations.

From the Philippine side, Ceferino S. Rodolfo, Undersecretary of the Department of Trade and Industry, and Allan B. Gepty, Assistant Secretary, will serve as joint chief representatives, with delegations from the Department of Trade and Industry, the Department of Agriculture, the Department of Justice, and the Board of Investments attending.

The Ministry of Trade, Industry and Energy announced that this round of negotiations will cover agreement texts on goods, rules of origin, cooperation, and general provisions, as well as tariff negotiations related to market access for goods.

According to the ministry, trade with the Philippines amounted to approximately $12 billion last year (exports $8.4 billion, imports $3.7 billion). The trade volume with the Philippines ranks 5th among the 10 ASEAN countries.

Previously, the two countries declared the start of Korea-Philippines FTA negotiations in June last year and have held four official negotiation rounds since then.

Notably, during the Korea-ASEAN Special Summit held in Busan from November 25 to 27 last year, after meeting with Philippine President Rodrigo Duterte, the trade ministers of both countries agreed on an early conclusion package for the FTA goods negotiations.

The Ministry of Trade, Industry and Energy emphasized the significance of the progress made in the negotiations but acknowledged that the conclusion timeline has been somewhat delayed compared to the initial goal of finalizing the agreement by November last year, as announced at the start of negotiations in June.

A ministry official expressed hope, stating, "Once the Korea-Philippines FTA is concluded, it will lay the foundation for significantly expanding economic cooperation between the two countries."