PCCI, BOC tackle NAIA cargo backlog, customs reforms
Philippine Chamber of Commerce and Industry and Bureau of Customs officials discussed priority reforms during their luncheon meeting on July 27. Photo from PCCI
  • The Philippine Chamber of Commerce and Industry is pushing for dedicated Philippine Economic Zone Authority cargo facilities to speed up cargo movement amid issues of congestion
  • The business group is also advocating harmonization of import data reporting between the Bureau of Customs and the Bureau of Internal Revenue 
  • PCCI and the BOC in a recent meeting agreed to work closely on reforms to improve trade facilitation, address cargo congestion at the Manila air and sea ports, and strengthen customs administration
  • The cargo backlog at NAIA was a key issue as it has disrupted semiconductor and electronics shipments
  • Also discussed was the proposed Customs Amnesty Bill to resolve long-pending Customs Bonded Warehouse cases and boost government revenues

The Philippine Chamber of Commerce and Industry (PCCI) and the Bureau of Customs (BOC) have agreed to work closely on reforms to improve trade facilitation, address cargo congestion at Manila air and sea ports, and strengthen customs administration.

The issues were discussed during a luncheon meeting among PCCI officials, Customs Commissioner Ariel Nepomuceno, and other senior BOC officials.

Among the priority concerns raised was the recent cargo backlog at the Ninoy Aquino International Airport (NAIA) and its impact on the semiconductor and electronics industry.

PCCI proposed adopting risk-based cargo clearance, establishing dedicated Philippine Economic Zone Authority (PEZA) cargo facilities, and conducting a Time Release Study to improve cargo movement.

PCCI noted in early July that congestion at NAIA’s air cargo warehouses has disrupted the movement of semiconductor components, with clearance rates dropping from 95% of shipments processed in less than three days last year to 76% as of mid-June.

READ: NAIA air cargo crunch hits semiconductor industry; one global tech firm suspends production

PCCI president Ferdinand Ferrer, who is chairman and chief executive officer of EMS Group of Companies, said the delays have affected shipments of wafers, storage devices, and other semiconductor components that rely exclusively on air transport.

The business group called for dedicated PEZA cargo facilities, stressing that specialized handling would streamline export shipments and reduce delays for manufacturers with tight schedules.

Another key recommendation is conducting a Time Release Study, an internationally recognized tool that measures cargo clearance time and identifies bottlenecks for policy and operational improvements.

BOC-BIR reporting

The business group also proposed reconciling importation data reporting between the BOC and the Bureau of Internal Revenue (BIR) through a Joint Administrative Order to improve data consistency and compliance.

In addition, PCCI expressed support for measures to ease port congestion and improve transparency in shipping charges.

The meeting also discussed the continued participation of PCCI Industry Commodity Experts in the Customs Consultative Group, as well as the proposed Customs Amnesty Bill, which seeks to resolve long-pending Customs Bonded Warehouse cases while generating additional government revenue.

PCCI and the BOC agreed to continue collaborating on these initiatives to enhance the efficiency of customs administration and facilitate trade.

READ: Manila’s Cargo Crisis (Part 1): When Sea and Air Feel the Squeeze

Manila’s Cargo Crisis (Part 2): Capacity Crunch at the Airport

Manila’s Cargo Crisis (Part 3): What Needs to Happen

 

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