70 years of diplomatic relations: Philippines and Netherlands to forge stronger ties

On the 70th anniversary of the Philippines and the Netherlands’ diplomatic ties, the two countries have reaffirmed their commitment to a strong bilateral partnership during a webinar held on November 9.

The Netherlands has recently renewed the foreign policy interest in the Indo-Pacific region, particularly highlighting the need to focus on sustainable trade and investments. The Philippines recently assumed its role as country coordinator of the ASEAN-EU relations up to 2025 giving the country a key role in the bilateral initiatives.

Dutch Indo-Pacific Guidelines: Toward a sustainable growth

The Dutch Indo-Pacific guidelines and the European Union’s Indo-Pacific strategy “underscore the growing importance of the Indo Pacific region in which the Philippines is a strategic player,” Secretary General Paul Huijts of The Netherlands’ Ministry of Foreign Affairs said.

As stated in the Indo-Pacific guidelines, the Netherlands will work with the EU  towards ensuring more reliable value chains by exploring the scope for diversifying suppliers from the Indo-Pacific region. The Indo-Pacific region region encompasses the countries around the Indian and Pacific Oceans, including the South China and East China Seas.

The need to strengthen thee bilateral relationship between the EU and the Indo-Pacific region only becomes more crucial amid the COVID-19 pandemic. With the Netherlands being a strong trading nation, reliability of value chains and dependency on suppliers like the Philippines become an imperative to keep the international trade flowing.  Apart from trade, the Netherlands will also focus on promoting green sustainable energy solutions to achieve climate goals.

Ambassador Karin Mossenlechner, Director for Asia and Pacific in the Netherlands Ministry of Foreign Affairs, expounded on the Dutch Indo-Pacific Guidelines and the implications of this policy shift for the Philippines. “The Netherlands and the EU are aware that the geopolitical and geo-economic balance of power in the world is shifting. The Indo-Pacific region is increasingly becoming more strategically important for the EU. It is important that The Netherlands and the Philippines, and the countries in the Indo-Pacific, join hands and work together in bringing about a sustainable post-Covid-19 recovery with green growth.”

Philippine Ambassador to The Netherlands J. Eduardo Malaya cited the opportunities for complementarities between the two sides, notably sharing of knowledge in addressing climate change. “Both the Philippines and the Netherlands are maritime countries, and perhaps we can learn from the Dutch, most of whose land have been reclaimed from the sea. This knowledge is crucial in these times of rising sea levels and climate change,” said Ambassador Malaya.

Stronger business ties

The Netherlands is historically one of the top 5 investors in the Philippines. The economic relations between the Netherlands and the Philippines could be traced back to the late 19th century when “undercover trade” was tolerated between Dutch East Indies and the Philippines. The total trade in between the two nations amounted to $2.42 billion in 2020, with $1.9 billion worth of total exports to the Netherlands.

“The Philippines is committed to re-energizing its relationship with The Netherlands, with emphasis on economic cooperation, and special focus on the agri-food, water and infrastructure; the circular economy; and maritime and healthcare sectors.” Philippine Foreign Affairs Secretary Teodoro L. Locsin, Jr. Stated.

Around 150 Dutch companies are currently operating in the Philippines. At the same time, the Netherlands have welcomed many Overseas Filipino workers, including some 22,000 Filipino seafarers who sail on Dutch flagged vessels and help keep the global economy moving.

Currently, some of the largest investors in the Philippines are Shell, Philips, Unilever, ABN-AMRO and ING Banks, Makro and Liquigaz. On the other hand, Philippine National Bank, Rizal Commercial Banking Corporation, and Equitable-PCI Bank have remittance offices in the Netherlands.

Netherlands Ambassador to the Philippines Saskia de Lang De Lang stated that “the future of The Netherlands and the Philippines is all about hope -- as we are celebrating the 70 years of diplomatic relations, we are celebrating our joint future and we are renewing our bilateral vows.” — LA, GMA News