The Philippines is looking to strengthen its economic partnership with Saudi Arabia, particularly in the sustainability and halal sectors, following a recent agreement between the two nations’ leading business organizations, the Department of Trade and Industry (DTI) announced on Monday.
The Federation of Saudi Chambers and the Philippine Chamber of Commerce and Industry (PCCI) signed a memorandum of understanding (MoU) in Riyadh last week, aimed at enhancing trade and investment relations.
In a statement, the DTI described the agreement as a “significant milestone” in Saudi-Philippine relations, setting the stage for ongoing collaboration to promote sustainable growth across various sectors. The partnership, according to the DTI, will help drive sustainable development, expand trade, and strengthen cultural ties between the two nations.
The PCCI was part of a DTI-led delegation, which included government officials and business leaders, currently on a mission to Saudi Arabia, scheduled to conclude on Tuesday. The mission focuses on promoting the Philippines’ halal industry, with plans to expand it significantly. Manila aims to double the number of halal-certified products and services, generate approximately 230 billion pesos ($4 billion) in investments, and create about 120,000 jobs by 2028.
A key objective of the Philippines’ strategy is to tap into the global halal market, which is estimated to be worth over $7 trillion. To this end, the Philippines is looking to forge new partnerships with countries in the Middle East, including Saudi Arabia.
“This is a promising start, opening the door for further collaboration between our two countries,” Elsie Chua, business executive and co-chair of the Philippines-Saudi Business Council, told Arab News.
She emphasized opportunities under Saudi Arabia’s Vision 2030, particularly in construction, food security, and wellness, with potential to expand beyond halal food into sectors like cosmetics.
Looking ahead, Chua noted that the Philippines will bring a larger delegation to Saudi Arabia next year, led by the PCCI president and including designers, architects, and construction firms.
The agreement follows an uptick in trade between the two nations, which saw significant growth from 2022 to 2023. This boost in bilateral trade came after President Ferdinand Marcos Jr.’s visit to Riyadh in October 2023, where a $4.26 billion investment agreement was signed with Saudi business leaders.
