Following its aggressive move to export more fresh fruits to the Philippines, the United States under President Donald Trump will ramp up its agricultural exports to the country in connection with strong Filipino demand for food, according to a Manila Bulletin news report.
For the newcomers reading this, not even the softened economic growth of the Philippines dampened the Filipinos’ rising demand for food and the young population is a factor behind it. America sees opportunities to export more meat, seafood and other agricultural products to the Philippines.
To put things in perspective, posted below is an excerpt from the news report of the Manila Bulletin. Some parts in boldface…
The United States (US) is gearing up to increase its agricultural exports to the Philippines, banking on the country’s growing food demand and potential economic growth.
In a Dec. 17 report, the US Department of Agriculture (USDA) said the country was the ninth-largest market for US exporters last year, with agricultural goods valued at $3.5 billion.
The foreign agency expects continued growth in the years to come, especially given the country’s fast-growing economy, which ranked third among the Association of Southeast Asian Nations (ASEAN) countries last year.
While it noted that the Philippine economy “continues to face risks from geopolitical tensions and trade policy uncertainties,” the USDA said it will likely remain resilient in the coming year.
The International Monetary Fund (IMF) earlier lowered its forecast of the country’s gross domestic product (GDP) growth from 5.4 percent to 5.1 percent this year, before rebounding to 5.6 percent in 2026.
The USDA also cited the easing of inflation and income inequality, driven by a growing population, as fueling demand for more agricultural commodities.
“With its rapid population growth, the Philippines has a young population that increasingly demands imported agricultural products,” it said.
According to the USDA, these market dynamics provide opportunities for US agricultural product exporters to broaden their presence in the country.
The report said products that have the “greatest potential for expansion” include dairy, poultry, ethanol (non-beverage), pork, beef, processed potatoes, confectionery and snack foods, and seafood.
Last year, the US was the top single-country supplier to the Philippines, with a market share of 18 percent, behind ASEAN at 31 percent.
The USDA noted that despite this strong performance, US exporters remain at a disadvantage relative to other exporters due to logistical and tariff challenges.
In this case, members of ASEAN benefit from lower tariffs and cheaper shipping costs, whereas the US is subject to slightly higher taxes under the most-favored nation tariff rates.
On top of this, the USDA said exporters also face higher costs due to government policies such as the sanitary and phytosanitary import clearance (SPSIC)—a document required before shipment of any agricultural product to the Philippines.
“SPSICs are valid for 20 to 90 days, depending on the commodity. The limited validity period adds costs and complicates the timing of exports, among other factors,” the report read.
In this view, the USDA emphasized the need for exporters to keep up to date with market trends to maintain the competitiveness of American products in the local market.
For instance, it noted that young Filipinos are more open to new flavors and experiences, which suppliers could consider when promoting their products.
For the full report of the US Department of Agriculture related to the news story, click here.
Let me end this piece by asking you readers: What is your reaction to this development? Are you looking forward to more American agricultural products plus seafood in the local markets? Do you think exporters of America are on the verge of becoming more competitive globally over the next 24 months?
You may answer in the comments below. If you prefer to answer privately, you may do so by sending me a direct message online.
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