PHL convinces US, EU on grace period to rectify excise taxes on alcoholic drinks

The Philippines has until March 8, 2013 to enact a new law that complies with the World Trade Organization ruling that found the country’s excise taxes against imported alcoholic beverages in violation of global trade rules, the Department of Trade and Industry (DTI) said Wednesday.   DTI Secretary Gregory Domingo, in a statement issued Wednesday, said the Philippine mission to the WTO was able to negotiate for a grace period or reasonable period of time to remove the higher set of excise taxes on imported alcoholic beverages.   “The Philippines negotiated in good faith and considered various factors before agreeing to the RPT to comply with the ruling.  We have also assured the distilled spirits industry of our support as they adjust to the ruling," Trade Secretary Gregory Domingo said in a statement on Wednesday.   The United States and European Union had initially offered a RPT of only nine months, according to the DTI. Filipino negotiators were able to extend this to 13 months and 8 days—ending on March 8 next year.   "This benefits the Philippines as it also gives our legislators ample time to work out certain policies consistent with our obligations in the WTO,” Undersecretary Adrian Cristobal said. — ELR, GMA News