Philippine food exporters are anticipating a decline in US demand due to a 20% tariff on local goods, but remain hopeful that ongoing trade talks will secure reduced rates.
The Philippine Food Processors and Exporters Organization Inc. (PhilFoodex) warned that the higher costs will be passed on to US consumers, potentially shrinking sales and forcing MSMEs to lay off workers.
Affected products include dried fruits, snacks, coconut-based goods, and condiments, with exporters concerned about losing competitiveness despite some tariff advantages over regional peers.
The United Coconut Association of the Philippines remains cautiously optimistic, noting the US is a key market without domestic coconut competitors, though calls for market expansion and product diversification persist.
Meanwhile, the Federation of Free Farmers cautioned against sacrificing local agriculture in negotiations, warning that trade-offs could severely impact Filipino farmers.
Source: PhilNews24 | July 15, 2025
