JPEPA HAS NUMBERS

Sen. Miriam Defensor Santiago, chair of the Senate foreign relations committee, said that Senate concurrence on Jpepa is “virtually assured,” because 14 senators have already signed the committee report.

“The required two-thirds vote of the Senate is only 15 senators, so we only need one more vote. That won’t be hard, because the issue of constitutionality has already been settled,” she said.

Santiago said that just a few days ago, Japanese foreign minister Masahiko Komura authorized Ambassador Makoto Katsura to sign an exchange of notes with foreign affairs secretary Alberto Romulo, in effect amending the treaty.

“The result of the exchange of notes will be that all Philippine constitutional provisions reserving certain economic activities to Filipinos and to corporations 60% Filipino owned shall prevail over Jpepa,” she said.

Santiago said that in effect, the exchange of notes will cancel the Jpepa provision that Japanese in our country would get “national treatment” – meaning, the same treatment as Filipinos in investment activities.

“Our national patrimony and natural resources will remain safely in Filipino hands,” she said.

Santiago said that pursuant to the RP Constitution, many areas of economic activity will continue to be reserved to Filipinos, such as land ownership, use of natural resources, operation of public utilities, practice of all professions, ownership of schools, of mass media, of advertising industry, etc.

“Under the Vienna Convention on the Law of Treaties, Art. 13, an exchange of notes in effect constitutes a treaty in itself, provided it states that the exchange shall have that effect,” she said.

Santiago said that Jpepa might be RP’s most important bilateral economic agreement in the last 50 years.

“Agriculture and exports will be the biggest winners. The treaty will immediately have a positive impact on farmers, fishermen, and food processors,” she said.

Santiago said that the moment Jpepa becomes effective, immediately 95% of RP exports to Japan will enjoy zero duties.

“ Japan has already concluded similar economic partnership agreements (EPAs) with Singapore, Mexico, Malaysia, Thailand, Chile, Brunei, and Indonesia,” she said.

Santiago said that Japan will certainly increase its foreign direct investment (FDI) in RP, which in 2002-2006 already amounted to US$938 million.

“Japan is our biggest source of official development assistance (ODA) which in 2006 already amounted to US$4.7 billion. With Jpepa, ODA will get even bigger,” she said.

Santiago said that with Jpepa, RP exports to Japan is expected to reach $405 million or P 559 billion by 2011.

“Although there will be zero tariffs on 145 waste products, they cannot come in, because they are banned by R.A. No. 6969 on toxic wastes, and R.A. No.9003 on ecological solid wastes,” she said.

Santiago also said that both countries are bound by the 2007 exchange of notes between the RP and Japanese foreign ministers, stating that “Japan would not be exporting wastes to RP, in accordance with the Basel Convention” on the control of transboundary moment of hazardous wastes.

The 14 senators who signed the committee report were: Sen. Santiago, Roxas, Angara, Arroyo, Enrile, Gordon, Lapid, Revilla, Zubiri, Biazon, Legarda, Estrada, Pangilinan, and Pimentel. All had reservations except Angara and Enrile.

The 5 senators who did not sign were: Honasan, Madrigal, Trillanes, Pia Cayetano, and Escudero.