-
The Association of International Shipping Lines, Inc. supports the proposed new joint administrative order that aims to regulate the local charges imposed by international shipping lines and provide measures to address port congestion
-
AISL qualified that the JAO must incorporate safeguards, conditions, and balanced provisions on the treatment of shipping lines charges and fees contained in various bills filed in Congress
-
AISL said bills filed in the Senate and Lower House were developed and accepted in principle by stakeholders in the previous 18th and 19th Congress through extensive public hearings and consultations
-
AISL also welcomes BOC’s announcement that the proposed draft JAO will be subjected to public consultation before its finalization
The Association of International Shipping Lines, Inc. (AISL) expressed support for the proposed new joint administrative order (JAO) that aims to regulate the local charges imposed by international shipping lines and provide measures to address port congestion.
AISL president Patrick Ronas in a statement said their association also welcomes BOC’s announcement that the proposed draft JAO will be subjected to public consultation before finalization.
BOC assistant commissioner Atty. Vincent Philip Maronilla, during the 2nd Stakeholders’ Summit of the United Portusers Confederation of the Philippines, Inc. on June 25, said they will hold a consultation with stakeholders before the draft JAO, which is currently being finalized, is signed.
“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,” Ronas said.
“This 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 still pending in the 20th Congress,” Ronas added.
Several bills have been filed in Congress that seek to strengthen government agencies’ oversight functions over the shipping charges imposed by international shipping lines operating in the Philippines.
One of these, House Bill (HB) No. 10575, was approved on third and final reading in January 2022 during the 18th Congress, but failed to be tackled in the Senate. More similar bills have been filed in the 19th and the current 20th Congress, but all are still pending at the Committee level.
Accepted in principle
According to AISL, these legislative measures were developed and accepted in principle by stakeholders in the 18th and 19th Congress through extensive public hearings and consultations involving shipping lines, foreign freight forwarders, customs brokers, terminal operators, importers, exporters, government agencies, and other stakeholders in the logistics and supply chain.
“These legislative measures have already undergone thorough scrutiny and meaningful consultation among the affected sectors. 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 explained.
AISL noted that during a June 5 meeting called by Finance secretary Frederick Go and attended by the shipping group and BOC, the need to finalize the JAO was among the priority measures discussed.
READ: BOC reconsiders joint order regulating foreign shipping line charges
AISL said BOC agreed with the recommendation of AISL that the applicable provisions of legislative bills be incorporated in the JAO. AISL added that this will avoid conflicts between the provisions of the pending bills and the JAO.
BOC deputy chief of staff Atty. Chris Noel Bendijo, in an earlier interview with PortCalls, said Go has instructed to check bills filed in Congress and adopt provisions that can be “utilized to address the problem now.”
AISL, meanwhile, said BOC’s decision to proceed with stakeholder consultations on the proposed JAO 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 cost while preserving the competitiveness of Philippine ports and ensuring that internationally accepted shipping practices are observed,” Ronas said.
AISL reaffirmed its commitment to actively participate in the forthcoming public consultation and to continue working closely with relevant government agencies such as BOC, Department of Finance, Department of Transportation, Philippine Ports Authority, and other stakeholders in “developing practical, balanced, and sustainable solutions that will strengthen the country’s logistics sector and facilitate international trade.”— Roumina Pablo
