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THE zero-tariff arrangements enjoyed by other banana suppliers to Japan are eroding the competitiveness of Philippine growers, whose rates were set in 2006, officials said.
The Philippines’ banana tariff rates in Japan were set in a 2006 bilateral economic agreement at 18% between April and September, and 8% between October and March, the Department of Agriculture (DA) said in a statement on Sunday.
Meanwhile, Japan imposes zero or preferential tariffs on bananas from Cambodia, Laos, Mexico Vietnam, it noted.
“A major challenge for Philippine banana exporters is the high tariff under the Japan-Philippines Economic Partnership Agreement (JPEPA), which was signed in 2006,” the DA said.
Agriculture Secretary Francisco P. Tiu Laurel, Jr. and a delegation of industry met with Japanese importers recently, part of a broader Philippine effort to lobby for tariff cuts.
Though the Philippines still holds the largest share of the Japanese market, supplying three out of every four bananas consumed, “this figure has declined from a peak of nine in every 10,” the DA said.
Mr. Laurel also met with Japan’s State Minister of Agriculture, Forestry, and Fisheries, Hirofumi Takinami, and Liberal Democratic Party Secretary-General Hiroshi Moriyama to discuss a potential review of JPEPA “in light of shifting global economic conditions.”
Citing the Japan Banana Importers Association, the DA said Philippine bananas enjoy a freshness and taste advantage.
The DA said the Philippines is optimistic about ongoing trade negotiations between the two countries, which promise more advantageous market access for Philippine banana exports.
Philippine banana exports declined 2.97% to 2.28 million metric tons in 2024, with the industry losing its position as the third-leading banana exporter.
Mr. Laurel said the government will continue to support banana growers battling Fusarium wilt, a soil-borne fungal disease that has significantly affected production. — Kyle Aristophere T. Atienza