RP to buy Australian coal, will take Canberra to WTO over fruits
RP to buy Australian coal, will take Canberra to WTO over fruits
Agence France-Presse
Manila
The Philippines said Monday it would by coal from Australian
over the next two years but at the same time it is talking
Canberra to the World Trade Organization (WTO) over a ban on its
tropical fruit exports.
"The Philippines' National Power Corp. has agreed to purchase
coal from Australia on a competitive bidding basis, with an
assured quota of 975,000 metric tons for 2003 and 2004,"
President Gloria Arroyo said.
"This is in line with our diversification program for energy
security. This will revive a trade that has been dying down over
the years between Australia and the Philippines," she told a
joint news conference with visiting Prime Minister John Howard.
State-run National Power has been buying coal almost
exclusively from China and Indonesia in recent years because both
producers can offer lower prices.
Arroyo also thanked Howard "for his positive response to our
proposals to further open up the Australian market for our
products especially the agricultural products coming from
Mindanao" in the southern Philippines.
However in Canberra, Australian officials said Manila is to
take Canberra to the WTO over its import ban on Filipino bananas
and paw paw.
The Philippines has formally lodged an application with the
WTO alleging Australia is unfairly using its quarantine laws to
keep out the fruit, Trade Minister Mark Vaile said.
The two countries have been holding talks over three years on
the fruit, which Australia maintains is unsafe to bring into the
country because of certain diseases endemic in the Philippines.
Meanwhile, Howard announced in Manila on the first day of his
official visit that the two governments agreed to convene a
"joint forum" to "discuss the areas of difference" regarding
Filipino agricultural products.
"We've had some areas of difference in areas such as matters
of quarantine and the Australian view is, that (the ) quarantine
rules and procedures are utterly based on science and from time
to time some countries have a different view and that is
perfectly legitimate.
"We have made some progress in some areas and the view is that
if we can establish a mechanism that can bring all of these
issues together, we can get better outcomes for everybody," he
added.
Arroyo said: "The general message that I received from Prime
Minister Howard is that this is not a matter of trade barriers
but rather of scientific precautions where we can together work
out what is the mutually acceptable precautionary measures."
She said the two sides have "already moved forward" because
Australia has agreed that Filipino pineapple exports can be
inspected in Australia.
"Now as to the type of inspection, that's something that can
be the subject of additional talks."
Howard welcomed Manila's announcement on the coal quota
purchases. "That will be warmly applauded by Australian coal
companies," he said.
He also said he told Arroyo he would be "encouraging an
intensification of the interest by mining companies in Australia"
in the Philippines.
"We have great expertise in that area and that is something
where we can provide additional assistance."