December 9, 2024 | 12:00am
MANILA, Philippines — The country’s exporters can unleash $12 trillion worth of business opportunities by adopting practices aligned with the Sustainable Development Goals (SDGs), according to the Philippine Exporters Confederation Inc. (Philexport).
During the 2024 National Exporters’ Week and National Export Congress, Philexport president Sergio Ortiz-Luis Jr. said exporters can unlock $12 trillion in business opportunities by delivering the United Nations (UN) SDGs.
Adopted by UN member states in 2015, the SDGs seek to create a more just, sustainable and peaceful world by 2030.
Ortiz-Luis urged exporters and manufacturers to adopt sustainability into their businesses to create new markets or expand existing ones even as they face challenges in the global trade environment.
“More than a trend, going green has evolved to be our core strategy in sustainably developing and growing our exports,” he said.
He said businesses can gain by taking advantage of mega trends that support consumer shifts including the adoption of circular business models and carbon labelling, including for food and consumer packaged goods.
“Working with a sustainability lens also enables companies to differentiate or build brands, penetrate new markets or new segments where sustainability matters and develop new partnerships and sales channels,” he said.
“Further, there are a lot of investment funds and banks that offer preferential terms if companies can demonstrate that they are working within this framework,” he said further.
He also emphasized the importance of being aware and complying with the sustainability policies and standards imposed by the European Union (EU), the country’s fourth largest trading partner.
The EU market represents a further $11 billion worth of unrealized export potential for the Philippines, he said.
To help micro, small and medium enterprises adopt sustainable practices, become more productive and reduce the cost of doing business, Philexport is working with the government to push for support.
Exporters are grappling with a challenging global trade environment with Ortiz-Luis expressing concern over the 91 new trade-restrictive measures on goods introduced by G20 economies between mid-October 2023 and mid-October 2024, as shown in the Trade Monitoring Report by the World Trade Organization.
G20 economies cover 19 countries and two regional bodies that include Philippine export markets like China, Japan, US and EU.
Ortiz-Luis said other challenges include geopolitical shifts, climate change effects, import regulations in key markets like the US and the EU, as well as inflation that can affect demand for consumer goods.
“Considering these developments, I believe that the ambitious targets set under the PEDP (Philippine Export Development Plan) of $143.4 billion for this year and $240.5 billion by 2028 will somehow be adversely affected and difficult to achieve,” he said.
Amid challenges in meeting the targets under the PEDP, Department of Trade and Industry Export Marketing Bureau director Bianca Sykimte said earlier that the export goals would be revised.
While adjustments are being eyed in the export targets under the PEDP, she said the government is confident export goals under the Philippine Development Plan (PDP) or the government’s overall development blueprint, will be achieved.
For this year, the PDP set a $107 billion target for exports covering both goods and services.
By 2028, the target under the PDP is for total exports to hit $135.08 billion.
From January to September, the Philippines’ merchandise exports rose slightly to $55.67 billion from $55.08 billion in the same period in 2023.
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