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The Deconsolidators Association of the Philippines, Inc. clarified that the non-processing or abandonment of balikbayan boxes do not automatically amount to syndicated estafa, as suggested by previous statements by the Bureau of Customs
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DAPI said in many cases, disruptions occur due to commercial and operational problems, and are not necessarily criminal acts
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DAPI called on BOC and other agencies to complete thorough fact-finding before announcing criminal conclusions and to work and collaborate with industry groups
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DAPI said it remains ready to cooperate fully with government agencies “to identify and eliminate truly fraudulent actors.”
The Deconsolidators Association of the Philippines, Inc. (DAPI) clarified that the non-processing or abandonment of balikbayan boxes do not automatically amount to syndicated estafa, as suggested by previous statements by the Bureau of Customs (BOC).
DAPI, in a statement published in PortCalls, said it recognizes and supports BOC’s mandate to protect overseas Filipino workers (OFWs) and their families from fraudulent practices involving balikbayan shipments, but stressed that due process for all parties should be followed.
“We share the government’s commitment to ensuring that OFWs receive the service they deserve,” said the group of balikbayan cargo companies, cargo logistics, and freight forwarders.
“At the same time, we respectfully express concern over recent public statements suggesting that the non-processing or abandonment of certain shipments automatically amounts to syndicated estafa,” DAPI said.
The group said such conclusions should be made only after careful investigation of all facts and circumstances.
Following the launch of the government’s free door-to-door delivery for abandoned balikbayan boxes in December last year, Customs commissioner Ariel Nepomuceno said in several media interviews that BOC is determined to go after deconsolidators and file large-scale estafa cases against them.
READ: BOC starts free delivery of abandoned balikbayan boxes
Nepomuceno claimed there are companies that band together or collude just to collect payments from OFWs but do not deliver their balikbayan boxes.
Abandoned or undelivered balikbayan boxes have been a years-long issue, prompting various measures and policies by the government and in some cases, in partnership with the private sector. Last year, a joint administrative order strengthening regulation on balikbayan boxes was signed to address long-standing concerns.
READ: BOC suspends Makati Express Corp accreditation as deconsolidator
DAPI said not all delayed or abandoned shipments are the result of scams.
It explained that in many cases, disruptions occur due to business failures, unpaid shipping charges, unpaid contractual obligations (packaged rate) to the deconsolidators, sudden closure of foreign consolidators, or uncoordinated shipments sent to the Philippines without proper or prior advise.
“These are commercial and operational problems — not necessarily criminal acts,” the group pointed out, adding that when shipments fail due to events beyond the local deconsolidator’s control, “it is difficult to conclude that there was a planned scheme to defraud.”
Moreover, DAPI said when foreign consolidators fail to fulfill their obligations due to various reasons, such as, among others, closing down of their overseas operations, or sending shipments or containers without proper coordination, unpaid freight, carrier’s destination charges and non-payment of the services to the Philippines partners, the local deconsolidators have no contractual authority or practical ability to resolve the problem — even if they want to help affected families.
“It is therefore important to distinguish between failures caused by foreign parties and actual wrongdoing by local companies,” DAPI said.
The group noted that isolated cases of problematic shipments, which it said are often caused by foreign business defaults, “should not automatically define an entire company or industry as fraudulent.”
DAPI said public statements that prematurely label unresolved commercial disputes or uncoordinated shipments as criminal syndicates risk destroying reputations of legitimate firms, create panic among OFWs, discourage compliant industry participation, and oversimplify a complex cross-border logistics structure unfamiliar to the general public.
“We fully support strong protection for OFWs. At the same time, policies and public communications should also consider the reality of legitimate freight forwarding and deconsolidation businesses, which are essential partners in serving OFW families,” the group stated.
“DAPI strongly agrees that OFWs deserve protection from fraudulent actors. However, effective consumer protection must be matched by fair treatment of legitimate freight forwarders and deconsolidators, who form an essential backbone of the OFW remittance and logistics ecosystem,” the group said.
It noted that there are government-accredited deconsolidators that have shown and have gone beyond legal duty to assist stranded shipments in good faith–despite lacking contractual obligation–to help OFW consignees and avoid further hardship.
“The deconsolidation industry is often misunderstood by the general public. Careless or premature public statements can unintentionally fuel misinformation, panic, and mistrust — even where no criminal conduct exists,” DAPI said.
It therefore encourages BOC and other agencies to complete thorough fact-finding before announcing criminal conclusions, clearly distinguish foreign consolidator failures from local wrongdoing; and work and collaborate with industry groups to educate the public on how balikbayan logistics works and strengthen consumer protection mechanisms.
Moreover, DAPI said it remains ready to cooperate fully with government agencies “to identify and eliminate truly fraudulent actors.”
“We also stand committed to improving industry standards and protecting OFWs — while ensuring that legitimate Philippine businesses are treated fairly and judged on evidence, not assumptions.” it added.
