APEC Business Advisory Council Philippines Wednesday echoed the support for the World Trade Organization and stressed the importance of mitigating the impact of climate change especially on the most vulnerable communities.
These issues were highlighted by the region’s business leaders in the third ABAC meeting held last June 22 to 25 in Hangzhou, China, the group said in a statement released Wednesday.
Established in 1995, the WTO sets the global rules of trade.
This multilateral trading system provides for a more predictable and competitive international business environment.
Through this mechanism, economies such as the Philippines can play on a level playing field as other more developed economies.
“The common trading framework provided by the WTO allows Philippine products to compete fairly in the global market. While it is not perfect, we should work to strengthen and improve the system, rather than undermine it,” according to ABAC Philippines chairman Tomas Alcantara.
The expansion of world trade in recent decades has lifted over a billion people out of poverty. In the APEC region, extreme poverty rate fell sharply to 1.8 percent in 2015 from 41.7 percent in 1990, while poverty rate dropped to 13.4 percent from 63.1 percent over the same period.
For ABAC 2019 chairman Richard Von Appen of ABAC Chile, reforming the WTO and in particular, resolving the crisis in its dispute settlement system is one strong message the Council will deliver to APEC Leaders in this year’s annual dialogue that will be held in Santiago in November.
“We also need to reform the rules to make sure that the WTO remains relevant and fit for purpose—including to ensure that modern business models can flourish and that women and MSMEs can access the opportunities and benefits of the global economy,” he added.
ABAC PH meanwhile underscored that the challenge for APEC is not only making economic growth inclusive, but also sustainable. As such, Alcantara shared, “as APEC looks forward to a new vision beyond Bogor Goals—of free and open trade and investment in the region by 2020—sustainability, most crucially addressing climate change is one of ABAC’s priority.”
Climate change must be immediately addressed, citing serious risks and repercussions not only for business but also for the rest of society, the statement said.
It added: “The world is getting increasing number of natural disasters, 70 percent of which occur in the Asia-Pacific.
“In the Philippines alone, Typhoon “Ompong” (International name: “Mangkhut”), considered as the strongest typhoon in 2018 that also wreaked havoc in Guam, Hong Kong, and Southern China, brought $623 million in damages to public infrastructure and agriculture.
“The strongest, Typhoon “Yolanda” [“Haiyan”] landed in 2013 cost over US$1.85 billion in damages and left more than 7,000 dead.“