Exporters are amenable to the Philippine accession to a flexible and uniform international sales law that reduces an important barrier to cross-border trade in a bid to boost country’s exports.
Philippine Exporters Confederation Inc. vice president for promotions Leonor Abella said the United Nations Convention on Contracts for the International Sale of Goods becomes relevant, as it responds to the need for a uniform sales law with international application and acceptance.
“Free trade agreements and increasing global trade liberalization present many, varied and exciting opportunities for growth and expansion for global supply chain players that can adapt to international trade rules well,” she said.
Abella noted that adapting CISG was expected to contribute to the establishment of some common disciplines and certainty in commercial exchanges.
“This is welcome in the light of this cross-border trading regime,” she said.
She said th CISG also promotes and respects the freedom of parties to deviate from provisions, including the option to leave the CISG and choose the application of an entirely different body of law.
Abella said the choice may include the application of the domestic law “if fitting and if agreed by both parties.”
“Clearly, the CISG offers an option for those who prefer a rule that discourages results based on formal legal terms,” she added, citing a paper by the Justice Department.
Abella said the accession to CISG added real value, citing that most of the country’s export markets were also signatories to the convention.