High tariffs on imported fabrics and garments have made the Philippines a dumping ground for excess production from neighbouring countries says a statement issued by the Federation of Philippine Textile Industries (FOPTI).

Speaking on behalf of local textile producers, the association has called on the Department of Trade and Industry (DTI) to review the tariff duty payable on fabrics and spun yarn to create a level playing field for local manufacturers.

FOFTI spokesperson Jess Arranza said that: "Unless these distortions in tariff are corrected, we will see the demise of the remaining manufacturing firms." The industry has already fallen in size from 52 textile mills and 12,000 garment firms to just 12 textile mills and 5,000 garment producers.

Another incentive for the government to review and amend the tariff rates is the likelihood of more investors relocating to the Philippines.


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