|
|
 |
| |
| Philippines |
| Foreign
Trade |
| Exports |
US$ 35.1 billion f.o.b. (2002) |
| Export commodities |
Electronic equipment, machinery
and
transport equipments, garments,
coconut products, chemicals |
| Export partners (2002) |
US$ 28.4% Japan 15.9% Taiwan 6.3% Singapore
6.2% Netherlands 6.1% Hong Kong 5.3% |
| Imports |
US$ 33.5 billion f.o.b. (2002) |
| Import commodities |
Raw materials, machinery and
equipment, fuels, chemicals |
Import partners(2002)
|
Japan 22.7% USA 20.1% Singapore
8.4% South Korea 5.3% Taiwan
4.4% |
| Debt – external |
US$ 60.3 billion (2002) |
| A strengthening
of purchasing power brought about by an improved economy
and complemented by a stabilized currency are expected
to rebound in greater consumer demand for goods. |
| |
| Trade between
Sri Lanka and the Philippines |
| During the year
2002 the total trade between Sri Lanka and the Philippines
amounted to Rs. 1,381.77 Mn. The major exports of Sri
Lanka to the Philippines during the last few years have
been woven fabrics, garments, food and beverages, tyres
and tubes and plastic materials. The following statistics
show the trade relationship with the Philippines. |
| YEAR |
EXPORTS
(RS.MN.)
|
IMPORTS
(RS.MN.)
|
TOTAL TRADE
(RS.MN.)
|
BALANCE OF TRADE
(RS.MN.)
|
| 2000 |
136.00 |
539.19 |
675.19 |
-403.19 |
| 2001 |
162.41 |
599.35 |
761.76 |
-436.94 |
| 2002 |
572.11 |
809.66 |
1,381.77 |
-237.75 |
| 2003(Jan. – Aug.) |
320.32 |
417.07 |
737.39 |
-96.75 |
|
|
In 2002 the total
trade between Sri Lanka and the Philippines was 0.13%
of Sri Lanka’s total trade with all countries. Exports
to the Philippines accounted for 0.12% of our total exports
and imports from the Philippines accounted for 0.13% of
our total imports in 2002
Exports increased rapidly from 162.4 Mn. in 2001 to 572.11
in 2002 which is a 250% increase. Imports too increased
during this period but not in the same proportion as exports
and consequently the unfavorable balance of trade registered
a decline. Total trade is continuing to increase from
675.19 in 2000 to 1,381.77 Mn. in 2002 – more than
double. |
| |
| Trade prospects
between Sri Lanka and the Philippines |
Trade ties between
Sri Lanka and the Philippines have been long standing.
The Sri Lanka Embassy in the Philippines was opened in
1998. Like Sri Lanka the Philippines too has an open economy
policy. A bilateral trade agreement was signed between
Sri Lanka and the Philippines in 1980. There have been
initiatives to revive this trade agreement. However considering
the current trend of private sector – led free and
open trade practices, the scope for promoting bilateral
trade on a government – sponsored framework or an
agreement is rather limited. Nevertheless the Dept. of
Trade and Industry, Philippines is of the view that this
agreement could accommodate new proposals for mutual co-operation
between both countries without difficulty.
A substantial volume of tea being imported into the Philippines
are through non-tea producing third party countries such
as Singapore, USA, Hong Kong. At present the Philippines
tea market is dominated by multinational brands such as
Unilever (Lipton’s tea) and Nestle (Nesta). There
has been some demand for flavoured tea bags from Sri Lanka.
So far Sri Lanka has not effectively explored the Philippines
tea market. In view of growing demand Sri Lanka will have
to make continuous and concerted efforts for promotional
of Ceylon tea in a predominantly coffee drinking country
like the Philippines. There is a growing demand for black
tea in the Philippines. Majority of Filipinos prefer iced
tea to hot tea, particularly the younger generation. Consumption
of iced tea at household level is primarily based on instant
tea powder. Sri Lanka should promote its tea as a health
drink emphasizing its medicinal as well as therapeutic
properties in order to exploit the increasing health consciousness
among the Philippine people.
Promotion of finished jewellery is extremely difficult
in the Philippines due to high tariffs and other levies
to protect the local industry. There is demand for Sri
Lankan gems particularly by jewellery makers. The traditional
preference of the Philippine consumer is for jewellery
set with diamonds and pearls. However, the Jewellery Development
Act of 1999 aims to promote Manila as another jewellery
producing center like Bangkok. This Act offers a range
of incentives including duty/excise tax free imports of
raw materials and machinery needed by the Philippines
Jewellery manufacturers. Sri Lanka could make use of this
opportunity to promote its cut and polished gems.
At the request of the EDB and Sri Lanka Embassy in Manila,
a five member delegation of Philippine jewellery makers.
visited Sri Lanka in May, 1999 on a fact finding mission
and was able to meet a cross section of firms in Sri Lanka
engaged in the gem and jewellery trade offering an opportunity
to promote Sri Lanka’s cut and polished gem stones.
Processed food products and also organically processed
spices offer good prospects in the Philippines. Given
the limited variety of domestically grown organic products,
import opportunities clearly exist for organic chemical
free, eco friendly and natural processed food products.
Prospects for organically produced fresh vegetables, fruits,
herbs, spices, rice, sugar, soya bean, honey as well as
processed fruits and vegetables exist in the Philippines.
Sri Lanka has a favourable image as a producer of ayurvedic
medicines and opportunities exist for ayurvedic products
as well as a variety of other organic products including
bio tea. The Bio Search Exhibition in Manila is organized
annually for the purpose of promoting the emerging organic,
natural and herbal medicine.
Products with prospects in the Philippines which could
be exported by Sri Lanka based on the demand in the Philippines
market and indicating the current sources for these products
are – |
| HS NO. |
DESCRIPTION
|
IMPORTS FROM WORLD 2001 (US$ MN.)
|
IMPORTS FROM WORLD 05 YEAR AVERAGE (US$
MN.) |
MAIN SOURCES OF SUPPLY |
VALUE (US$ MN.) |
| 320890 |
Paints & varnishes based
on polymers dissolved in a non aqueous solution |
15.873 |
81.879 |
Japan
Singapore
Taiwan
Malaysia |
5.343
2.285
1.404
1.867 |
| 320990 |
Paints & varnishes based
on polymers dissolved in an aqueous solution |
5.833 |
25.278 |
Taiwan
Japan
Malaysia |
1.131
1.206
0.525 |
| 481840 |
Sanitary articles of paper,
sanitary towels and napkins, diapers for babies |
31.471 |
128.257 |
Taiwan
Thailand
|
11.930
10.654 |
| 481910 |
Cartons, boxes and cases of
corrugated paper and paper board |
8.547 |
40.136 |
Hong Kong
Korea
|
2.166
1.297
|
| 481920 |
Cartons, boxes and cases of
non corrugated paper |
3.650 |
30.148 |
Taiwan
Hong Kong
|
1.160
0.929
|
| 190530 |
Sweet biscuits, waffles, wafers |
8.581 |
43.923 |
China
Malaysia
Indonesia
|
1.273
2.098
3.306
|
| 210690 |
Food preparation not elsewhere
specified such as preparations of yeast, soya
bean, flour, milk foods for beverages, compound
alcoholic beverages |
141.227 |
484.465 |
Thailand
Singapore
Malaysia
|
31.223
25.071
31.170
|
|
|
Other products
with potential are : auto accessories such as car mats,
mud flaps and also raw hides and skins.
Philippines has a well developed cane furniture industry.
Sri Lanka could obtain technical co-operation for design
and quality enhancement by inviting experts/consultants
to Sri Lana to evaluate current status of Sri Lanka’s
cane furniture industry, ascertain the type of training
as well as machinery and tools required for the improvement
of design and craftsmen’s skills of Sri Lankan manufacturers.
They could also conduct training programmes for groups
of selected craftsmen.
Since there has been no effective campaign to promote
Sri Lanka’s products in the Philippines market the
Sri Lanka Embassy in Manila has represented Sri Lanka
in exhibitions in the Philippines on a selective basis.
In this way Sri Lanka has participated in
Automekaniko 1999, 2000
Motor show International (Philippines) 2000, 2002
Bio Search 1999, 2000
GPJ International Jewellery Exhibition 1998
Asia Food Expo – food and beverage exhibition 1999,
2000
1st Philippine Covering 2000 – exhibition of construction/covering
material e.g. tiles etc.
Worldbex – Building and Construction Exhibition,
2000,2001,2002, 2003 |
|
|
|
