India and Philippines Advance Trade Agreement and Strategic Partnership

The Philippines and India are developing a Preferential Trade Agreement to expand the range of traded goods and strengthen investment cooperation. Josel F. Ignacio, the Philippine Ambassador to India, reported that bilateral trade is approaching US$4 billion, an increase from the US$3 billion benchmark recorded in 2023.

Economic cooperation currently spans Indian investments in Philippine pharmaceuticals, infrastructure, and information technology, while Philippine firms focus on India's food and renewable energy sectors. Both nations are exploring a partnership in the semiconductor industry, with the Philippines aiming to move up the value chain by leveraging India's Semiconductor Mission.

The strategic relationship has expanded into defense and military cooperation. To support people-to-people ties, the countries restored direct flights and implemented a visa-free policy allowing Indian citizens to visit the Philippines for up to 14 days.

Diplomatic engagement peaked in July 2026 with Indian External Affairs Minister S. Jaishankar's visit to Manila for the Quad Foreign Ministers' Meeting and the ASEAN Post-Ministerial Conference. This follows an August 2025 meeting between President Ferdinand Marcos Jr. and Prime Minister Narendra Modi to align global priorities. Ambassador Ignacio described relations as being at an "all-time high."