Businesses urged the European Union (EU) to retain the Philippines in its Generalized Scheme of Preferences Plus (GSP+), as the EU Parliament moved to revoke the perks over President Rodrigo Duterte’s questionable human rights record.

European Chamber of Commerce of the Philippines president Nabil Francis said on Tuesday, September 22, that the revocation “will result in massive social and economic repercussions to the Philippines, and will compromise the notable progress that the European Union and the Philippines have built over the years.”

Francis noted that a year after the Philippines qualified for GSP+, Filipino exports to the EU expanded by 27%, based on trade data.

“The removal of the GSP+ will put at risk thousands of jobs generated in both the agriculture and manufacturing sectors. Revoking the preferential trade arrangement in the midst of a pandemic will also exacerbate the economic situation of the country,” he said.

Management Association of the Philipines president Francis Lim also said the revocation will make Philippine exports “less competitive and will seriously impact on several industries” already reeling from the coronavirus crisis.

“It will increase the number of the unemployed among our countrymen at the time when they most need jobs,” Lim said. 

In a text message to Rappler, Philippine Chamber of Commerce and Industry president George Barcelon said he does not see any reason for the revocation of the GSP+, as the human rights concerns have already been “discussed” by the Duterte government before.

This is not the first time the EU Parliament threatened to remove the tariff perks over Duterte’s drug war and tirades against the press. In 2017, the EU Parliament issued a resolution warning the Philippines of the possible removal of GSP+ preferences if the human rights situation in the country did not improve.  

“I hope the revocation of GSP+ would not be effected, which has great impact on our European trade,” Barcelon said.

Presidential Spokesperson Harry Roque earlier dared the EU to revoke GSP+, which provides duty-free perks for around 6,200 Philippine exports.

“Tama na ‘yang diskusyon. Gawin na nila ang gusto nilang gawin sa mga panahon na ito. If they want to implement it, go ahead,” fumed Roque on Friday, September 18, in a virtual press briefing.

(Stop the discussions. They should do what they want to do during this time. If they want to implement it, go ahead.)

“I’m sorry I’m being very undiplomatic in my answer, but what else can I say? At the time of a pandemic, they’re threatening us. Susmaryosep (Oh my God), what else do we lose?” he added.

Trade Secretary Ramon Lopez took a more diplomatic approach, saying an inter-agency working group is seeing to it that Philippine officials address issues raised by the European Commission.

Lim and Francis also pushed for dialogue between the Philippines and the EU.

“Our government should not take the matter lightly for the sake of our people. We hope it will be discussed and addressed by both parties in a mutually satisfactory manner,” Lim said.

Francis expressed hope they would still “arrive at an optimal decision.” – Rappler.com