CEBU CITY, Philippines – In an effort to further strengthen the trade relations between Australia and the Philippines, the Australian government announced its keen interest to open businesses in the country particularly relating to mining, infrastructure, tourism and business process outsourcing (BPO).

Australian Ambassador Rod Smith made emphasis on increasing trade partnerships with the Asea n-Australia -New Zealand Free Trade Agreement going into effect last year, following his visit to Cebu recently to promote the “Australia Unlimited” brand.

Smith said the Australian government have been considering Cebu as one of their potential business partners because of its thriving economy, which is buoyed by the growth of the city’s manufacturing and outsourcing sectors.

“Australia and the Philippines have a long-standing trade relationship. We want to strengthen it and we are capitalizing our efforts in Cebu and the rest of the Visayan region,” Smith said in a recent interview.

In the BPO sector alone, the Ambassador notes of increasing inquiries from Australian companies who plan to outsource some of its requirements to Cebu and the rest of the Philippines. “At present, the Australian government recognizes the Philippines as the world’s number one destination for contact centers,” he noted.

The Ambassador likewise encouraged Cebuano exporters to capitalize on the free trade agreements to boost trade between the Philippines and Australia.

Smith reported that of the $90 billion in trade between Asea n and Australia, the Philippines accounts for less than three percent or $2.5 billion. “The figures seem solid but it is not spectacular considering the potential of the Philippines,” he added.

Last year, two-way merchandise trade between Australia and the Philippines was valued at R60 billion. Major Australian merchandise exports to the country include copper ores and concentrate, medicine, copper and milk and cream.

Philippine exports were electrical machinery and parts, radio broadcast receivers, telecommunications equipment and parts.

The two-way trade in services between the two countries last year is valued at R35.28 billion, with the Philippines recording a surplus of R18.36 billion to an import of R17.12 billion from Australia.

Australia’s top service exports to the country are education-related and personal travel. The Philippines’ top exports were personal and business-related travel.

He also advised exporters to “look beyond traditional markets” and consider Australia’s large economy as destination of the country’s exports. For Cebu, Smith said they are interested in the furniture and food processing sectors.

Ross Bray, senior trade and investment commissioner for Philippines and Micronesia of the Australian Trade Commission said they have partnered with the Department of Trade and Industry in conducting trade and investment seminars for exporters.