INDIA sees the Philippines as a partner rather than a competitor in the information technology and business process management (IT-BPM) industry, with the two countries already working together in areas that span the global services and maritime sectors.
The Philippines and India are established players in the global outsourcing industry, with the latter generally recognized as the world’s largest IT-BPM market and the former as another major services hub.
‘In fact, there are many areas where we are collaborating with each other,’ Indian Ambassador to the Philippines Shri Harsh Kumar Jain told reporters on the sidelines of the Association of Southeast Asian Nations (Asean)-India business forum in Makati on Wednesday.
‘Of course, IT-BPM industry is one which is a very successful example of collaboration between the two countries,’ he added.
In June, for instance, the two countries identified information and communication technologies, IT-BPM and artificial intelligence as areas for deeper cooperation under their Joint Working Group on Trade and Investment, alongside infrastructure, energy and pharmaceuticals.
They even elevated their bilateral relationship to a strategic partnership in August 2025 during President Ferdinand R. Marcos Jr.’s state visit to India. Among the agreements signed during the visit was a memorandum of understanding on cooperation in digital technologies.
Jain also pointed to Indian and Filipino seafarers and offshore workers as another example of the two countries’ workforces operating alongside each other in global industries. Further, he mentioned room for greater cooperation in agriculture and manufacturing.
The envoy’s comments come as Manila and New Delhi prepare to explore a bilateral preferential trade agreement (PTA), which could provide another avenue for expanding commercial ties.
The proposed PTA would initially cover trade in goods, but India wants to eventually broaden its scope to services.
‘It’s a matter of discussion and negotiation. But to begin with, I think it’s a preferential trade agreement in goods, but we would want to also broaden it,’ Jain said.
The Philippines and India have already agreed on the terms of reference for the negotiating committee. Formal negotiations are expected to begin after the ongoing review of the Asean-India Trade in Goods Agreement (AITGA) is completed.
Jain said he expects the review to conclude next year, while Trade Undersecretary Allan B. Gepty has separately said the Philippines hopes to begin PTA negotiations with India in 2027.
For India, a bilateral agreement could allow both sides to make commitments beyond those under the broader Asean-India trade framework.
‘When we have a trade agreement with the entire Asean, it is the least common denominator of all the countries,’ Jain said.
‘But now when we engage in bilateral trade agreements with the Philippines, we can be more ambitious and we can look for more concessions and bringing more clients into this differential trade agreement,’ he added.
Jain said bilateral trade between India and the Philippines currently stands at about $3.9 billion, compared with around $128 billion in India-Asean trade.