Manila [Philippines], November 15 (ANI): Ambassador of India to the Philippines Harsh Kumar Jain said on Sunday that despite bilateral trade rising to USD 3.9 billion in 2025-26, New Delhi and Manila are capturing only a fraction of their economic potential, with Manila accounting for just 3% of India's trade with ASEAN despite contributing nearly 11% to the bloc's GDP.

Underscoring the need to bridge this gap ahead of Prime Minister Narendra Modi's visit to Manila for the ASEAN-related summits, Ambassador Jain pointed to the ongoing review of the ASEAN-India Trade in Goods Agreement and the proposed India-Philippines Preferential Trade Agreement (PTA) as key drivers to unlock deeper commercial ties.

'Our economic relations are growing, but the potential is much higher than what we have achieved so far. Our bilateral trade increased to US$3.9 billion in 2025-26, which is encouraging. However, given the size, growth and complementarities of our two economies, we should be aiming much higher,' Ambassador Jain said in an interview with ANI. 

'Interestingly, the bilateral trade with the Philippines constitutes only about 3% of our trade with ASEAN, though the Philippines contributes nearly 11% to ASEAN GDP. This illustrates the considerable untapped potential. I am confident that the ongoing review of the ASEAN-India Trade in Goods Agreement and the proposed India-Philippines Preferential Trade Agreement will help in harnessing this untapped potential,' he added.

Highlighting high-growth avenues for Indian businesses, the envoy noted considerable scope for participation in the Philippines' infrastructure and development priorities, alongside pharmaceuticals, IT, semiconductors, fintech, digital services, renewable energy, and critical minerals.

Citing a major recent investment, Jain pointed to India's Kiri Industries acquiring a 40% stake in the Philippine Maalinao-Caigutan-Biyog (MCB) Copper-Gold project to secure copper ore supplies for its smelter in India.

'A recent encouraging development is India's Kiri Industries acquiring a 40% stake in the Philippine MCB Copper-Gold project to secure copper ore supplies for its smelter in India. This will contribute to catering to the growing demand for critical materials for key sectors such as Renewable Energy, E-Mobility, Electronics & Semiconductors in India. Our objective is to further deepen such business partnerships and investments,' he said.

Additionally, highlighting the significance of the establishment of the Strategic Partnership in August 2025, Jain described it as a defining moment that reflected the political will of the leadership in both countries to provide bilateral ties with a more ambitious, comprehensive and future-oriented direction, including in the strategic domain.

He said the partnership was increasingly translating into concrete initiatives, with more frequent high-level engagements, closer defence cooperation, growing business interest and enhanced interactions between institutions and people of the two countries.

"I would say that the relationship is in a very positive phase. We are moving beyond a traditionally friendly relationship towards a partnership with considerable strategic and economic substance," Jain said.

His remarks come as PM Modi is scheduled to attend the 49th Association of Southeast Asian Nations (ASEAN) Summit and Related Summits in Manila, scheduled to take place from November 16 to 18.

In a special briefing by the Ministry of External Affairs, Secretary (East) Rudrendra Tandon noted the PM's schedule and his key engagements during the summit.

'Prime Minister Modi will be travelling to Manila, in the Philippines, to attend the 23rd ASEAN-India Summit and the 21st meeting of the ASEAN-led East Asia Summit process. The visit will take place from the 16th to the 18th of this month,' he said.

As part of the visit, PM Modi will attend a dinner hosted by Philippine President Bongbong Marcos for the visiting dignitaries a day prior to the ASEAN-India Summit and the East Asia Summit. (ANI)