Philippines sees potential for trade growth with Saudi Arabia
The Philippines is expecting trade
with Saudi Arabia to continue rising, an official from the Department of Trade
and Industry told Arab News as she highlighted areas for growth, including a
mutual recognition agreement for halal certification.
In 2022, the Philippines recorded
a 2.8 percent increase in total trade with Saudi Arabia since 2018. That same
year, the Kingdom was ranked as the Philippines’ 16th major trading partner and
37th export market.
Despite the relatively small
number, Filipino officials highlighted many opportunities for trade growth
between the two countries, with commodities such as bananas, preserved tuna and
data storage units holding the greatest export potential to Saudi Arabia.
Rise in trade volume with Saudi
Arabia is expected to continue to increase.
Data processing machines are among
“the best options for the Philippines’ export diversification in Saudi Arabia which
carries a major digital growth component, as the primary drive-in demand for
Saudi-Philippine trade can be
further enhanced through other channels, including mutual recognition of each
country’s halal certification.
Signing a mutual recognition
agreement on the accreditation of halal certifying bodies could also increase
potential trade and investments between the two countries.
The Philippine Economic Zone
Authority launched a promotion campaign for the country’s domestic halal
industry earlier this year, as Manila seeks to expand the market presence of
its halal-certified food, especially in Gulf countries.
The Philippines also sees
potential for growth for Filipino franchise brands in Saudi Arabia, citing the
more than 1.7 million Filipinos who live in the Kingdom, which is also the
favorite destination for overseas Filipino workers.
Apart from trade, Filipino
franchise brands and companies hold potential for growth due to the large
Filipino expatriate community in Saudi Arabia.
Source: Arab News