MANILA, Philippines – Canada is sending its biggest trade delegation to the Philippines in hopes of securing opportunities in a more investor-friendly Manila.

The “powerhouse delegation,” which is arriving in Manila on December 4 and will be here until the 6th, comprises 300 business leaders from 180 organizations representing 17 business sectors as well as leaders from its provinces and territories including Alberta Minister of Affordability and Utilities Matt Jones. The Team Canada Trade Mission (TCTM) will be led by Mary Ng, Canada’s minister of export promotion, international trade, and economic development.

The Canadian embassy in the Philippines said more businesses are looking at Manila to establish their business hubs.

“Companies are looking at the Philippines to establish in [and] using the Philippines as a hub in terms of servicing other countries in the region,” Guy Boileau, commercial counselor and senior trade commissioner at the embassy of Canada, said on Thursday, November 21.

“We’ve identified priority sectors specifically to align with the objectives and strategies of the Marcos administration,” he added.

Representatives from businesses in agriculture and food security, clean tech, infrastructure, and information and communications technology. However, Canadian firms in defense, aerospace, and education will also be present during the trade mission.

The goal of the visit is to conduct business-matching among Canadian and Philippine businesses, and to allow Canadian business leaders to get a feel of the land.

Among the visiting business leaders, majority or 60% are from small and medium enterprises, while the rest represent “large Canadian companies.”

“This is really important because we know the importance that the Philippines attaches to supporting and scaling up MSMEs and SMEs and we have the same objectives,” Boileau said. “I think there’s a lot we can do between the two countries in supporting and fostering collaboration between our SMEs.”

There will be around 100 Philippine companies from all over the archipelago that will be meeting the TCTM.

The embassy pointed to the country’s growing investment-friendly environment, which sparked the interests of Canadian-based businesses looking for a “stable and predictable business environment.”

For instance, the recently signed Republic Act 12066 or the Corporate Recovery and Tax Incentives for Enterprises to Maximize Opportunities for Reinvigorating the Economy Act — dubbed “CREATE MORE” — which clarifies taxation rules and provides tax incentives to registered business enterprises.

The trade mission is part of Canada’s overall Indo-Pacific strategy, quelling talks that it is expanding its trade ahead of the second Trump presidency.

“Certainly, a focused trade in the Indo-Pacific will help Canada balance against any particular disruptions around the international system,” Andrew Green, political and public affairs counselor of the embassy of Canada, said.

Before the TCTM sets foot in Manila, the delegation will be in Indonesia. The embassy also noted that the TCTM heading to the Philippines is bigger than the delegations it brought to South Korea and Japan.

In February 2024, Canada opened its Indo-Pacific Agriculture and Agri-Food Office in Manila. A month prior, Canadian Minister of International Development Ahmed Hussen visited Manila to announce CAD$15 million in aid to the Philippines over six years.

Canada has been keen on growing closer to the Philippines, including in its defense ties.

Canada opened up its Dark Vessel Detection System to the Philippines in late 2023. Negotiations are also underway for a State of the Visiting Forces Agreement (SOVFA), which would allow Canadian troops to regularly visit the Philippines for military exercises and vice versa. Green also told reporters that discussions to elevating ties — whether it’s through a strategic or comprehensive partnership — are ongoing. SOVFA negotiations, however, will take precedence.

Canada has a huge stake in the maritime security of the region, including in areas withint the West Philippine Sea. The waterway is a major trade route for several countries, including Canada. It is estimated that a third of global trade passes through the South China Sea. – Rappler.com