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Home International Customs Philippines

Philippines Customs repeals no-inspection policy for export cargoes

byCustoms Today Report
28/07/2015
in Philippines
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MANILA: Bureau of Customs (BoC) has revived its inspection requirements for selected export cargoes after previously repealing the policy due to its vulnerability to corruption, the agency said in a new issuance.

In Customs Memorandum Order (CMO) no. 20-2015, four types of exports are subject to inspection when cargoes are loaded into containers: those forming part of import quotas in other countries like sugar and garments; items banned for export; logs, copper and coffee; and shipments covered by international agreements to which the Philippines is a signatory.

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Thus, BoC said the provision in CMO 04-2015 which removes the inspection requirement on all export cargoes has been repealed.

“The presence of customs inspectors during the actual stuffing of containers is required on export cargoes mentioned… and those under alert or hold order duly issued by customs authorities,” the issuance stated.

The policy required stuffing inspectors and warehouse officials of the BoC to supervise and verify the loading of cargoes into container vans, as mandated by CMO 22-2010 or the Revised Port Operations Manual.

Under the rule, all exporters must first file a Notice of Stuffing before the BoC before shipments are loaded. Once cargo vans have been stuffed and sealed, the inspector must prepare and sign a report.

Former Customs Commissioner John Phillip P. Sevilla repealed the provision early this year amid the request of traders to hold off its implementation, with the Philippine Exporters Confederation, Inc. (Philexport) saying at the time the move will delay shipments and carry additional costs to exporters. The system is likewise prone to corruption, it said.

Instead, at least either of two requirements should be presented before BoC officials: a copy of the pre-advance notice issued by the shipping line to the port operator which shows the date of booking and other details or a certification from the port operator indicating the goods came from the Philippines.

Sought for comment, Philexport President Sergio R. Ortiz-Luis said he opposes the revival of inspections and the group will seek a dialogue with Customs Commissioner Alberto D. Lina.

“We will certainly discuss that with the Bureau,” Mr. Ortiz-Luis said by phone.

Mr. Ortiz-Luis added the BoC cannot be “selective” in limiting the types of exports which are subject to stuffing requirements.

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