Customs Bureau implements program to improve trade processes
The Bureau of Customs (BOC) is implementing an Authorized Economic Operator Program (AEO) which would accredit compliant private companies involved in global trade and facilitate such trade. The bureau adopted the program through the issuance of Customs Administration Order No. 1-2012.
Customs commissioner Rufino Biazon explained that the order is “designed to create an accreditation procedure that offers certain benefits and incentives to certain economic operators considered as BOC’s trusted allies.”
“The order will also reduce processing periods, last priority in post entry audits, recognition as a low risk company, reduced inspection or expedite clearance if covered by mutual recognition programs under bilateral and multilateral arrangements, and other trade facilitation benefits which the BOC may give under existing laws and regulations,” Biazon said.
Additionally, according to the Customs order, companies accredited by the BOC are responsible for updating the agency if there are significant changes in their security profile and information, and of providing information on any non-conformity with the program guidelines.
Accredited parties may be importers, exporters, manufacturers, brokers, carriers and ports operators.
Biazon said that the program is an internationally accepted set of Customs administration procedures.
The AEO program will first be implemented inside the Clark Freeport Zone.
Finance Secretary Cesar Purisima approved the implementation of the AEO, pursuant to the Philippines’ commitment to the World Customs Organization (WCO) and to the Revised Kyoto Convention on the Harmonization and Simplification of Customs Procedures.
The WCO, in its Research Paper No. 8, calls for customs organizations to focus on high-risk trade whilst facilitating legitimate trade.
“Dividing traders into high and low-risk is also a principle of compliant trader programs which focus on revenue collection,” the WCO said. — DVM, GMA News
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