The umbrella organization representing Information Technology-Business Process Management (IT-BPM) companies in the Philippines is targeting expansion into new European markets as negotiations resume between the Philippines and the European Union (EU) for a free trade agreement (FTA). Jack Madrid, President and CEO of the Information Technology and Business Process Association of the Philippines (IBPAP), informed journalists that there is significant potential for market growth in Europe for the group's member companies.
"It's showing progress, but I envision it to reach greater heights. Currently, our focus remains largely on North America," he remarked. With IBPAP's aspirations for expansion in Europe, the group views the recent declaration from Trade Secretary Alfredo Pascual and European Commission Executive Vice President and Trade Commissioner Valdis Dombrovskis regarding the recommencement of FTA discussions between the Philippines and the EU as a favorable step forward.
Pascual mentioned that formal negotiations are anticipated to recommence in the first half of the upcoming year. Discussions regarding the Philippines-EU Free Trade Agreement were paused following the last round in 2017. The FTA aims to elevate the partnership between the Philippines and the EU by surpassing the advantages of the trade preference scheme Generalized Scheme of Preferences Plus, offering enhanced opportunities for market access in goods, services, and investments.
To grow the market being served in Europe, Madrid said there is a need to step up promotion efforts. 'We need to promote the country a little bit more in Europe so that they are aware of the special talent of the Filipino workforce,' he said. As part of efforts to promote the country's IT-BPM industry, Madrid joined the recent trip of President Marcos to Germany and the Czech Republic.
Madrid remarked, "Several German companies have established successful operations here over numerous years. However, we aim to gradually expand into the Czech market. Despite its smaller population, it holds promise". As part of the visit, IBPAP and the Confederation of Industry of the Czech Republic signed a memorandum of understanding, focusing on fostering trade and investment promotion between the two nations, particularly in the realm of IT-BPM commercial and industrial relations. This partnership entails sharing best practices in influencing governmental policies and talent development, along with promoting the responsible utilization of artificial intelligence.