Philippines, UK Aim to Maximize Developing Countries Trading Scheme Utilization

THE PHILIPPINES and the UK are seeking to maximize the utilization of the UK’s Developing Countries Trading Scheme (DCTS), focusing on key goods like agricultural products. “If we can really optimize the utilization of DCTS… if we can make it at 100% then of course, that’s better,” Trade Undersecretary Allan B. Gepty said at a briefing following the 2nd Joint Economic and Trade Committee (JETCO) Ministerial Meeting on Tuesday. “This will require a lot of information, awareness campaigns, and even capacity building for our exporters and even micro, small and medium enterprises,” he said. In 2025, the Philippine utilization rate for the DCTS is 68%. UK Minister of State for Trade Anas Sarwar added that the UK supports the Philippine accession to the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP). The 12-country CPTPP is composed of Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, Peru, Singapore, Vietnam, and the UK. It represents a combined population of over 500 million and gross domestic product of $13.5 trillion. During the JETCO meeting, the Philippines and UK agreed to continue collaboration on facilitating market access for key agricultural products, as well as expanding cooperation in aquaculture, biotechnology, animal and plant health, and climate-resilient agriculture. Both sides also recognized the importance of energy cooperation in the face of the impact of geopolitical events on fuel prices. “In this context, they welcomed the continued support of the UK in the development of the offshore wind regulation and policy, and promotion of market opportunities in port development in the Philippines,” according to the joint statement issued by Mr. Gepty and Mr. Sarwar. On Wednesday, the Philippines and UK signed a Government-to-Government Partnership that will provide access to up to 5 billion pounds sterling worth of UK Export Finance support for priority programs and projects in the Philippines. The partnership was finalized by Mr. Sarwar, UK Ambassador Sarah Hulton OBE, and Finance Secretary Frederick D. Go. Both sides also agreed to explore opportunities for cooperation in space and trade digitalization. The Philippines also noted the UK’s interest in renegotiating a Double Taxation Agreement to reflect modern international standards and current economic circumstances, it said. “Regular exchanges on multilateral and regional trade issues, including on economic security and green sector developments, will be conducted at the Senior Officials’ level,” according to the joint statement. Mr. Sarwar noted the importance of strengthening bilateral ties with the Philippines in the face of escalating global uncertainty. “If you look at what’s happening right now in the world, there is heightened insecurity,” he told the briefing. “Partnership, cooperation, collaboration is how we get successful nations and successful economies… and that’s why we really value our partnership with the Philippines,” Mr. Sarwar said. The UK was the Philippines’ 23rd largest trading partner in 2025, with total trade valued at $1.1 billion.