Department of Agriculture Secretary William Dar on Thursday said he is hoping for the renewal of the United States General System of Preferences (US GSP) to boost the chances of higher performance of the country’s agriculture sector.

“It helps the Philippines attract investments, create new industries and new jobs and encourage supply chain resiliency,” Dar said in a message to reporters.

On Wednesday, Dar discussed possible areas of strengthened partnership with American Charge d’Affaires Heather Variava during their virtual meeting on Wednesday.

The US GSP is the largest and oldest US trade preference program designed to promote economic growth and development in the developing countries through preferential, duty-free entry to the US market of products coming from 122 designated beneficiary countries (BDCs) and territories, including the Philippines.

Trade Industry Secretary Ramon Lopez said the system helps beneficiary countries to increase and diversify trade with the US.

Data from the Philippine Statistics Authority (PSA) show that the US is the top export destination for Philippine products in 2020.

About 70 percent of the Philippine exports to the US were eligible for GSP and about 15.2 percent or USD9.71 billion of the country’s exports last year went to the US.

Due to the impacts of the pandemic, the Philippine exports to US declined by 16.1 percent in 2020 compared to the USD11.57 billion revenues in 2019.

The US GSP expired by end of 2020 and has not been renewed since.

Dar, meanwhile, thanked Variava and the US for their support in the agriculture sector.

He said he invited US investors to invest in coco chips and coco board manufacturing and seafood processing and canning in the Philippines.

With several agricultural partnerships between the two countries, Variava said the US programs are in place to support and complement the Philippines’ undertakings in the agriculture sector. (PNA)