Big gains in farm exports, bigger test for GI products in foreign markets

The latest data on agricultural trade deficit from the Philippine Statistics Authority (PSA) provided a glimpse of what the country is capable of in terms of its export performance. PSA data showed that the farm trade gap in May shrank 6.4 percent to $988.65 million, from last year’s $1.06 billion. (See, ‘Farm trade deficit narrows to $988.65M in May-PSA,’ in the BusinessMirror July 11, 2026). While payments for imported food continued to account for the lion’s share of agricultural trade during the period, the 12.8-percent increase in exports allowed the Philippines to narrow the deficit.

Of the products shipped out by the country, edible fruit and nuts, and peels of citrus fruit or melons were the top farm export in May, earning $299.68 million or 35.7 percent of total farm export revenues. This was followed by animal, vegetable, or microbial fats and oils and their cleavage products; preparations of vegetables, fruit, nuts, or other parts of plants; and tobacco and manufactured tobacco substitutes. Malaysia, according to the PSA, was the top buyer of Philippine food exports during the period.

The government is building on the recent gains in farm exports through its latest initiative-origin-based branding, which has the potential to prop up the value of agri-fishery exports. The Department of Agriculture (DA) has tapped the assistance of the Intellectual Property Office of the Philippines (IPOPHL) for geographical indications or GI. (See, ‘Origin-based branding seen hiking farm export receipts,’ in the BusinessMirror, July 29, 2026). According to IPOPHL, a geographical indication is any indication that identifies a good as originating in a territory, region or locality, where a given quality, reputation or other characteristic of the good is essentially attributable to its geographical origin or human factors.

The Philippines’s aspiration is to have something like Champagne (France), Scotch whisky (Scotland), Parmigiano Reggiano (Italy), or Kobe beef (Japan). The DA said these products carry a bigger price tag because consumers associate them with a specific place, heritage and quality. These products, however, did not earn their reputation overnight; they were a result of years of innovation, attention to detail and the quest of producers to continually improve their offering.

The IPOPHL website indicated that three local products are already in its GI register-Guimaras mangoes, Aklan pina and Albuquerque Asin Tibuok. While mangoes are considered a major farm export of the Philippines, the two other GI products have yet to make significant inroads into foreign markets and earn a status that will enable them to shore up the country’s export receipts. Although mangoes are popular worldwide, exporters continue to face hurdles related to sanitary and phytosanitary (SPS) standards and other non-tariff measures.

The government intends to expand its GI list with the potential inclusion of Cordillera Heirloom Rice, Davao Pomelo, Zambales Mangoes, Davao Cacao, Davao Durian, Bonuan Bangus, Quezon Lambanog, Camarines Norte Queen Pineapple, Oriental Mindoro Calamansi, and Bohol’s Ubi Kinampay. These products, however, must be acceptable to foreign markets and must meet stringent international standards. Sans the necessary support that will allow local producers to hurdle nontariff measures, these products will surely struggle to reach foreign shores.

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