December 18, 2024
MANILA – President Ferdinand Marcos Jr. on Tuesday approved the implementation of commitments under the free trade agreement between the Philippines and South Korea.
He also approved two big-ticket projects worth P63.2 billion to enhance agricultural productivity, regional connectivity, and economic activity in the country.
Marcos approved the implementation of free trade commitments through the National Economic and Development Authority (Neda) board, which he chairs, during its 23rd meeting and the last for 2024 in Malacañang.
During the meeting, the board approved the issuance of an Executive Order (EO) that will cover the country’s tariff commitments under the Philippines-Korea Free Trade Agreement (PH-KR FTA) signed on September 7, 2023 during the 43rd ASEAN Summit in Jakarta, Indonesia.
The agreement aims to strengthen economic relations between the two countries by facilitating trade and investment flows, removing barriers to market access, and creating new business and investment opportunities.
“The agreement will support government efforts to manage competitive exclusion vis-à-vis Asean (Association of Southeast Asian Nations) neighbors, encourage more foreign direct investments, and secure more preferential concessions than those currently available under the Asean–Korea FTA and the Regional Comprehensive Economic Partnership Agreement,” Neda’s statement read.
“In addition, upon implementation of the Agreement, Korea will grant preferential duty-free entry on 11,164 Philippine products accounting for $3.18 billion or 87.4 percent of total Korean imports from the Philippines,” it added.
Approved big-ticket projects
The board also approved the construction of the P37.5-billion Ilocos Norte-Ilocos Sur-Abra Irrigation Project (INISAIP) of the National Irrigation Administration.
Neda said the project is poised to “improve agricultural output and water management across the three provinces” by irrigating up to 14,672 hectares of agricultural land during the wet season and 13,256 hectares during the dry season.
According to Neda, the INISAIP includes the construction of an earth-and-rockfill dam across the Palsiguan River in Abra, an afterbay dam in Nueva Era in Ilocos Norte, and irrigation canals.
It also plans to incorporate renewable energy components, such as hydroelectric power plants and a solar power farm through a public-private partnership.
“With a six-year implementation period, INISAIP will benefit approximately 32,604 families, significantly improving their livelihoods and fostering sustainable economic development in the Ilocos and Cordillera regions,” Neda Secretary Arsenio Balisacan said.
The board also approved the P25.7-billion Accelerated Bridge Construction Project for Greater Economic Mobility and Calamity Response (ABC Project) of the Department of Public Works and Highways, which would pave the way for the construction of 29 bridges nationwide.
Neda said the project was financed through an Official Development Assistance (ODA) loan from the French government.
The project’s Component 1, comprising seven long bridges, is scheduled from January 2025 to December 2029 while Component 2, consisting of 22 calamity response bridges, will run from January 2025 to December 2027.
Neda said the board also approved adjustments to the following ongoing projects:
- Value Chain Innovation for Sustainable Transformation in Agrarian Reform Communities (VISTA) of the Department of Agrarian Reform (DAR);
- Health System Enhancement to Address and Limit (HEAL) COVID-19 Project of the Department of Health (DOH);
- Panglao-Tagbilaran City Offshore Bridge Connector (PTCOBC) Project of the Department of Public Works and Highways (DPWH);
- Metro Manila Interchange Construction Project, Phase VI (MMICP VI) of the Department of Public Works and Highways (DPWH); and
- North-South Commuter Railway (NSCR) System Project – Malolos-Clark Railway Project (MCRP), Tranche 1 of the Department of Transportation (DOTr).
Neda also announced two completed projects: the Arterial Road Bypass Project Phase III (Plaridel Bypass) and the Panguil Bay Bridge.