Philippines, Thailand agree to narrow trade imbalance

THE Philippines and Thailand have both agreed to resolve their trade imbalance, Philippine Trade Secretary Ramon M. Lopez said, noting the trade surplus currently enjoyed by the Kingdom, the Philippines’ sixth-largest trading partner.

In Bangkok on Wednesday, Mr. Lopez said in a briefing that Thai Prime Minister Prayut Chan-o-cha committed to help “balance” trade between the two countries by encouraging Thai companies to buy Philippine products, thereby increasing Philippine exports to Thailand.

Mr. Lopez is accompanying President Rodrigo R. Duterte on his three-day off icial visit to Thailand. His briefing was made available live on the Presidential Communications Office’s Facebook page.

“Right now, Thailand is our sixth largest trading partner. They have a trade surplus,” Mr. Lopez said in the briefing.

“We’ll be having an investment forum to be attended by CEOs of top Thai companies to encourage them to invest in the Philippines and ride on the robust economic growth that we’re having,” he added.

On Tuesday, Mr. Duterte and Mr. Prayut agreed to improve bilateral trade and investment as well as food security cooperation, and exchange technology in agriculture and energy, among others.

“Both leaders recognized that enhancing economic cooperation requires the cooperation of both the public and the private sectors,” their joint statement read in part.

Data from the Philippine Statistics Authority shows Thailand as the fifth-largest source of imports, accounting for 7.2% share of the total import bill in January 2017 — rising 8.7% year on year to $533.77 million in January.

Meanwhile, Philippine exports to Thailand amounted to $206.56 million, for total trade of $740.33 million and a trade deficit of $327.21 million. Diplomatic relations between the Philippines and Thailand were formally established in June 1949. —