THE government must continue its efforts to enhance the utilization of free trade agreements (FTAs) especially by manufacturing and services sector companies, including setting up an FTA portal.
A new discussion paper published by the Philippine Institute for Development Studies (PIDS) titled "How Are Firms Responding to Philippine Free Trade Agreements?" made the proposal although the utilization rate of FTAs reported by the manufacturing sector is increasing compared with a 2010 study.
The two sectors report that FTA utilization is still hampered by a lack of information which, when available, was rated poorly in terms of quality and volume.
"Identified as the main source of information for FTAs, the government needs to increase the efficiency scope, and reach of its promotional and technical training programs and to rely further on technology to deliver results," it said.
The Department of Trade and Industry (DTI) has been trying to increase FTA awareness through Doing Business in FTAs (DBFTA) sessions nationwide, and the publication of a DBFTA Handbook, as well as FTA primers.
To complement these initiatives, the PIDS paper said the government needs to further promote FTAs by setting up a portal where information about the benefits of FTAs, the process of gaining access, the requirements and forms and other relevant information can be easily accessed or downloaded.
The paper noted that the FTA portal is not only cost-effective but also a means to promote transparency in the process of Certificates of Origin (COO) issuance, thus minimizing rent-seeking behavior of the agencies involved in FTA implementation.
It said efforts should include reforms toward electronics COO and self-certification and linkage to the national single window.//
