Garment exporters claim US lobbying trip a success

The Philippines has found sponsors in Washington who will file at the US Senate a measure granting trade perks to garment exports, industry group leaders said on Friday. The bill — a counterpart to one already filed at the US House of Representatives — will be introduced to the Senate by end-March and thus bring approval of the incentives closer, the officials said after returning from a lobbying trip. "Definitely, it will be filed in two weeks," Confederation of Garment Exporters of the Philippines (Congep) President Lawrence delos Santos told reporters on the sidelines of a Trade department event. Two or three US senators are likely to introduce the bill that seeks to reduce duties on Philippine garment exports that use American textiles and yarns, confederation Executive Director Teresita Jocson-Agoncillo said. The officials did not identify the US legislators. Back in June 2009, a similar version was introduced at the House called Save Our Industries Act of 2009. The House bill, authored by Rep. Jim McDermott, has been touted as a means to increase US textile sales while boosting Philippine garment exports. The bill also seeks duty-free privileges for Philippine-made garments that do not use American inputs, although items under this list maybe cut, Jocson-Agoncillo said. "There are no reductions in the list [that will be presented to the Senate], but we were told by the private sector that we may have to trim it. It will be the Trade department’s call," she added. The bill is expected to add $1.1 billion to annual export sales that have currently stagnated at $2-2.5 billion since 2006, according to the confederation. The trade incentive granted to the Philippines should also lure $480 million worth of investments for factories in the first two years of the law’s implementation, it added. — Jessica Anne D. Hermosa, BusinessWorld