$2-billion RP-Russia trade in works – Angara

MANILA, Philippines – Negotiations are underway to boost the bilateral trade between Russia and the Philippines from $200 million to $2 billion, Sen. Edgardo J. Angara disclosed the other day.

Angara, chairman of the Senate economic and finance committee, said he will be in Russia next week to talk to high officials there to promote trade and investments here while guest of the Philippine embassy in its Independence Day celebration.

“There is a huge room for growth in trade between the two countries because Russia needs our main exports, such as tropical fruits, coconuts and carageenan (seaweed), while we can benefit greatly from accessing their oil, timber and metals,” he said.

Angara said trade possibilities between the two countries are largely untapped with Russia only as the 29th largest trading partner in 2006 with less than one percent of Philippine exports.

“The Philippines and Russia are natural trade partners because of their proximity to each other,” he said. “East Siberia and the Russian Far East are located in northern Asia, above our neighbors China, Japan and Korea.”

Angara disclosed that Russia is currently looking at expanding trade with the Philippines and other Southeast Asian countries “to increase economic activity in its eastern states and to stake a claim in East Asia’s regional integration.”

“We should enhance foreign relations with Russia, particularly in the areas of trade, tourism, science, and technology,” the senator from Baler, Aurora said.

He said that the Philippine government has granted visa-free entry to Russian tourists for 21 days and the Philippine Chamber of Commerce and Industry has signed an economic cooperation agreement with the Russian government.

Angara noted that his home province is “trade-compatible” with Russia as Aurora grows Philippine main exports to that country — bananas and coconuts.

He said that the development plan for Aurora calls for promoting agribusiness, including the cultivation of seaweeds, and for developing forest plantations, which can tap Russia as a market.

“We can also benefit from technical assistance (of Russia) in establishing sustainable agro-forestry plantations and improving our timber standards,” Angara said. –(The Philippine Star)