Port stakeholders issue manifesto for high utilization of ports

Port stakeholders issue manifesto for high utilization of ports

The Philippine Ports Authority (PPA), Bureau of Customs (BOC), Association of International Shipping Lines, port operators Asian Terminals Inc. (ATI) and International Container Terminal Services, Inc. (ICTSI) collaborated and issued a Manifesto of Support last 15 March 2019 for Government’s Effort to ease the problem of overstaying containers and make Philippine ports efficient.

Under the manifesto, PPA issued a directive to all importers, consignees, owners, and shippers of containers already cleared by the BOC to withdraw said containers within fifteen (15) days. Failure to comply with the directive will lead to the transfer of Customs-cleared containers to designated inland container depots of ATI and ICTSI. The cost of transfer will be shouldered by the cargo owners, shippers, consignees, logistics operators, or customs brokers.

For port operators, ATI and ICTSI will regularly provide government with information on the status of utilization of their ports, as well as information on containers staying inside their terminals for at least 30 days since arrival.
Foreign shipping lines are required to promptly evacuate empty containers, either by regular ship calls or sweeper vessels, from the Philippines within the period prescribed by the BOC.

BOC, in the meantime, will regularly dispose of seized or abandoned containers to maintain efficient utilization of Manila South Harbor and MICT. (MJAA)

Exporters urged to conduct risk-assessment of dual-use products

Exporters and manufacturers are urged by the Strategic Trade Management Office (STMO) to conduct risk assessment of their products that may be of dual-use goods, otherwise known as strategic goods.

Dual-use goods are items, software, or technology which can be used for both civil and military end-use. These goods are listed in the National Strategic Goods List (NSGL). Other types of strategic goods are military goods and nationally controlled goods.

Strategic goods is defined by the Strategic Trade Management Act (STMA) as “products that for security reasons or due to international agreements, are considered to be of such military importance that their export is either prohibited altogether or subject to specific conditions”. These products are “generally suitable to be used for military purposes or for the production of WMD (Weapons of Mass Destruction)”.

To determine if the goods are of dual-use, exporters may refer to the NSGL, ask the product manufacturer or request classification from the STMO.

Exporters of dual-use goods are required to register and secure an exporter authorization or license from the STMO. Registration of exporters, as announced by the STMO in a forum, will be in the last quarter of 2019, while the exporter authorization is scheduled to be implemented in the third quarter of 2020.

The STMO, a bureau under the Department of Trade and Industry, is mandated by the STMA to regulate such goods by issuing “authorization/ licenses for the export, import, re-export, transit, transshipment, and provision of related services such as brokering, transporting, financing and providing technical assistance of strategic goods”.

Also covered by the STMA are the transit, transshipment, re-export, import, and reassignment of strategic goods. The schedule of regulating such activities is still to be announced by the STMO.

Non-compliance of the Act by the exporters will risk them seizure, delays, fines, imprisonment and inclusion in the denials list/ watchlist.

The STMA, otherwise known as Republic Act No. 10697, “An Act Preventing the Proliferation of Weapons of Mass Destruction by Managing the Trade in Strategic Goods, the Provision of Related Services, and for Other Purposes,” was enacted to enforce measures to establish domestic controls to prevent the proliferation of weapons of mass destruction (WMD) and their means of delivery from or within the Philippines. (ARB)

EU Requires Exporters of GSP products to be registered

Effective this year, exporters of products under the European Union (EU) Generalized System of Preference (GSP) – are required to be registered to the Registered Exporters System (REX).

The system allows exporters to issue self-certifications of the origin of goods  to the EU under the GSP Program.

The REX replaces the current system of origin certification based on certificates of origin issued by the Bureau of Customs (BOC).

However, the rules of determining the origin of good in the EU GSP scheme remain unchanged with the application of the REX System.

The global transition period from the current system of origin certification to the REX system started on 01 January 2017 and will last until 30 June 2020.

There are three (3) easy steps for exporters to register in the REX system: (1) The exporter fills in (electronically/ on paper) an application and submits it to the BOC; (2) If the application is complete, BOC encodes it in the REX system, assign a REX number, a registration date and a validity date; and (3) BOC informs the exporter of the registration or non-registration within seven (7) working days after receipt of the complete set of documents by the Export Control Division (ECD) of the BOC.

The following documents are needed  to be submitted by the exporter to BOC: latest income tax return, Unique Reference Number (URN) for PEZA locators and Client Profile Registration System (CPRS) for non-PEZA locators, business permit, SEC/DTI registration, list of products applied for authorization to make invoice declaration and product evaluation report.

Exporters who are not manufacturers or producers, must have prior knowledge on how the goods were manufactured or produced and that they comply with the origin rules applied under Annex 22-03 in GSP. Finally, registered exporters shall be notified about the results of the application and shall be assigned with a REX number within seven (7) working days after receipt of the complete set of documents by the ECD. (GTM)