Aug 4, 2025
Agreement aims to enhance market access for Chilean pork and chicken
Chile and the Philippines are nearing the conclusion of a Comprehensive Economic Partnership Agreement (CEPA), which is set to significantly enhance bilateral trade, particularly in the meat sector. This agreement marks a milestone as it would be the Philippines' first trade deal with a Latin American country, aiming to strengthen economic ties and open new avenues for trade.
Background
The negotiations for the CEPA between Chile and the Philippines began with the first round of talks in May 2023. The agreement is designed to improve market access by reducing or eliminating tariffs, simplifying customs processes, and enhancing sanitary standards. For Chile, the Philippines represents a strategic market, especially for pork and chicken exports, given the country's growing demand for animal protein.
Market Implications
The Philippines, with over 110 million inhabitants, is a significant consumer of pork and chicken, making it a key destination for Chilean meat exports. In 2024, Chile exported 5,000 tons of pork and 8,000 tons of poultry to the Philippines, highlighting the potential for growth. The CEPA aims to further boost these figures by ensuring competitive conditions for Chilean products in the Philippine market.
The trade agreement is expected to benefit both countries by fostering economic growth and creating opportunities for businesses. Chilean exporters will gain a more stable and favourable environment, while the Philippines can diversify its sources of supply. Additionally, the agreement includes provisions for intellectual property, competition, services, and investment, which could open new opportunities for Filipino professionals in Chile.
Strategic Importance
For Chile, the agreement is part of a broader strategy to expand its presence in Asia and reinforce its position as a reliable supplier of high-quality meat. The Chilean meat sector is known for its high standards of safety, traceability, and sustainability, attributes that are increasingly valued in international markets.
As negotiations progress, both countries are optimistic about finalising the agreement by the end of the year, paving the way for enhanced trade relations and mutual economic benefits.