The Philippine Trade and Investment Center in Dubai, under the Department of Trade and Industry Philippines, conducted the Stakeholder Consultations on the Proposed Philippines-United Arab Emirates Comprehensive Economic Partnership Agreement (CEPA) on May 4, 2024, Saturday, at the Rizal Hall of the Philippine Consulate General in Dubai, United Arab Emirates.
The consultations, among the first held outside the Philippines, offered stakeholders a comprehensive understanding of the proposed PH-UAE CEPA, outlining its timeline, rationale, potential trade and investment benefits, and key negotiation areas. This also served as a platform for the negotiating team to gather valuable input and recommendations from stakeholders, specifically the business and professional groups.
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Among the attendees were His Excellency Alfonso Ver, Ambassador of the Philippines to the UAE (Philippine Embassy in UAE), Honorable Marford Angeles, the Consul General of the Philippine Consulate General in Dubai, joined by Director General Rowel Barba of the Intellectual Property Office of the Philippines.
In his welcome remarks, His Excellency Ambassador Ver said, “This was organized to bring the Filipino community here on the same page as what the government wants, what we are after, and what we might achieve when we finally complete the FTA (Free Trade Agreement).”
Undersecretary Allan B. Gepty, the Chief Negotiator of the Philippines under the Department of Trade and Industry International Relations Group then presented an overview of the PH-UAE CEPA.
THE TIMELINE
Undersecretary Gepty shared that on December 8, 2021, a proposal to forge the CEPA was raised by the Philippines. In February 2022, initial exploratory talks between the PH and the UAE resulted in a joint statement signaling intent to pursue the PH-UAE CEPA, followed by the endorsement of the initial draft of the Terms of Reference (TOR).
Subsequently, on April 11, 2022, the Tariff and Related Matters Committee (CTRM) instructed to proceed with the CEPA negotiations. This led to interagency meetings/consultations from March to October 2023, and the finalization of the TOR on November 27 until it was adopted and signed at the sidelines of COP28 in UAE last December. This was followed by an endorsement from the CTRM of a resolution on the Issuance of Mandate to Negotiate the PH-UAE CEPA based on the Agreed Terms of Reference.
Moreover, the first round of negotiations is set to take place in Dubai from May 6 to May 8, 2024.
TERMS OF REFERENCE
The framework of the negotiations were also presented to the stakeholders which Undersecretary Gepty mentioned as the “areas or subject matters that the CEPA will cover in the course of negotiations.”
These are as follows:
- Objectives
- Principles of the Negotiations
- Tariff and Services Sector Liberalization
- Rules of Origin
- Scope and Coverage of the CEPA
- Methodology
- Exchange of Data and Draft Chapters
- Administration of the Negotiations
The list of negotiating teams from the Philippines such as the Department of Trade and Industry, which has the primary mandate to negotiate free trade agreements, joined by the Board of Investments, Department of Agriculture, the Intellectual Property Office of the Philippines, and other relevant government agencies, were also mentioned during the presentation.
NEGOTIATING OBJECTIVES
There were six chapters outlined in the overview with its corresponding negotiating objectives that hold promise for both the Philippines and the UAE. These were:
- Trade in Goods
Objective: To attain the highest degree of tariff liberalization for PH products of interest while safeguarding highly sensitive products.
- Rules of Origin
Objective: Secure liberal rules of origin for PH products of interest, so it will not be difficult for these products to be exported in the UAE.
- Customs Procedures and Trade Facilitation
Objective: Achieve more facilitative, transparent, and predictable procedures for conducting trade.
- Sanitary and Phytosanitary Measures
Objective: Establish a clear mechanism to address trade-related issues and timebound consultation process to respond to and resolve SPS issues.
- Technical Barriers to Trade
Objective: Ensure consistency with international standards and ensure that new measures are subject to adequate consultations.
- Investments
Objective: Ensure the protection of PH businesses in the UAE. Attract more investments from the UAE through promotion and facilitation.
“Of course as far as our business is concerned, we want to create more opportunities for our people, so that it will be more convenient for them to set up their business here,” added Undersecretary Gepty.
The presentation of the overview was followed by an open forum. Both the professional and business groups presented questions, clarifications, and concerns to Undersecretary Allan B. Gepty, Ambassador Alfonso Ver and Director General Rowel Barba.
During the discussions, stakeholders highlighted opportunities for enhancing Philippine business engagement in the UAE, focusing on areas such as streamlining customs procedures and addressing financing challenges and limited market knowledge.
Hon. Marford Angeles concluded the event, remarking: “We in government, we can only create the best environment for changes to take place. The ones that will come into the door that we will be opening will be you, we are happy that we are hand-in-hand with you in shaping this environment.”
With the first round of negotiations set to commence on May 6-8, 2024, the groundwork laid during these consultations sets a promising foundation for future cooperation and mutual prosperity between the Philippines and the UAE.
