Department of Agriculture Secretary Francisco P. Tiu Laurel Jr., along with a high-level delegation and representatives from the Philippine banana industry, pushed for lower tariffs on Philippine bananas bound for Japan.
Tiu Laurel stressed in a recent visit to Japan, the importance of the agriculture commodity to thousands of Filipino farmers and workers, especially in Mindanao.
“To sustain and expand this industry, we must push for tariff reductions. Lower tariffs will encourage greater investment in banana production, driving poverty alleviation, job creation, and economic security in Mindanao,” he said.
The Philippines remains Japan’s top banana supplier, providing three out of every four bananas consumed. This share, however, has declined from a peak of nine in 10.
The Japan Banana Importers Association (JBIA) attributes Japanese consumers’ preference for Philippine bananas to their superior freshness and taste.
The forum with Japanese banana importers, attended by the Pilipino Banana Growers and Exporters Association (PBGEA), focused on quality standards, tariff concerns and industry growth strategies.
Japan imposes a seasonal tariff of 18 percent on Philippine bananas from April to September and 8 percent from October to March on over 1 million metric tons of bananas annually.
Bananas from Cambodia, Laos, Mexico and Vietnam enjoy zero or preferential tariffs.
As Japan is the largest market for Philippine bananas, the industry generates over $1 billion in annual sales and supports more than 700,000 Filipinos.
The Philippines delegation 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 the Japan-Philippines Economic Partnership Agreement (JPEPA) in light of shifting global economic conditions.
“This trip aims to address the declining competitiveness of Philippine bananas in Japan. We seek to find a common solution with stakeholders to resolve the tariff issue and negotiate mutually beneficial terms with the Japanese government under JPEPA,” said Tiu Laurel.