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The Association of International Shipping Lines supports the proposed new joint administrative order that aims to regulate local charges imposed by foreign shipping lines and address port congestion
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AISL qualified that the JAO must incorporate safeguards, conditions, and balanced provisions on the treatment of charges and fees contained in various bills filed in Congress
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The association also welcomes BOC’s announcement that the proposed draft JAO will be subject to public consultation before its finalization
The Association of International Shipping Lines (AISL) has thrown its support behind the proposed joint administrative order (JAO) that aims to regulate local charges imposed by international shipping lines and address port congestion — but with a clear condition: the order must faithfully incorporate the safeguards and balanced provisions already contained in pending congressional bills on the matter.
“AISL has always supported reasonable and transparent regulation. Our position is straightforward — as long as the proposed Joint Administrative Order faithfully incorporates the safeguards, conditions, and balanced provisions on the treatment of shipping lines charges and fees contained in House Bills No. 10575, 4933, 8165, as well as Senate Bill No. 1012, then we’re happy with it,” AISL president Patrick Ronas said in a statement.
The association also welcomed BOC’s announcement that the draft JAO — now being finalized — will be subjected to public consultation before it is signed. BOC Assistant Commissioner Atty. Vincent Philip Maronilla made the announcement during the recent 2nd Stakeholders’ Summit of the United Portusers Confederation of the Philippines.
Ronas said aligning the JAO “will also accord respect to the provisions of the pending bills that have long been deliberated by the Technical Working Group of the 18th and 19th Congress and are still pending in the 20th Congress.”
Several bills have been filed in Congress seeking to strengthen government oversight over shipping charges imposed by international carriers operating in the Philippines. One of these bills, House Bill No. 10575, was approved on third and final reading in January 2022 during the 18th Congress but failed to advance in the Senate. Similar measures have since been filed in the 19th and current 20th Congress, all still at the committee level.
AISL said these legislative measures were developed through extensive public hearings and consultations involving shipping lines, foreign freight forwarders, customs brokers, terminal operators, importers, exporters, and government agencies across two Congresses. “The resulting provisions represent an equitable framework that balances the legitimate interests, responsibilities, and obligations of all stakeholders in the international trade and logistics chain,” Ronas said.
The urgency of finalizing the JAO was among the priority measures discussed during a June 5 meeting called by Finance Secretary Frederick Go, attended by AISL and BOC. BOC agreed with AISL’s recommendation to incorporate applicable provisions of the pending congressional bills into the JAO. Atty. Chris Noel Bendijo, BOC Deputy Chief of Staff at the Office of the Commissioner, said in an earlier interview that Go had instructed the bureau to review the bills and adopt provisions that can be used “to address the problem now.”
READ: BOC reconsiders joint order regulating foreign shipping line charges
AISL said BOC’s decision to proceed with stakeholder consultation demonstrates the government’s commitment to a consultative and evidence-based regulatory process. “Meaningful reforms can only succeed if responsibilities are fairly allocated and all sectors are held accountable. The objective should be to improve supply chain efficiency and reduce logistics costs while preserving the competitiveness of Philippine ports and ensuring that internationally accepted shipping practices are observed,” Ronas said.
The association reaffirmed its commitment to actively participate in the forthcoming public consultation and to continue working with BOC, the Department of Finance, the Department of Transportation, the Philippine Ports Authority, and other stakeholders in developing what it described as “practical, balanced, and sustainable solutions that will strengthen the country’s logistics sector and facilitate international trade.”
