Govt to implement port accreditation system vs. smuggling

The government will beef up its anti-smuggling efforts by implementing a system of port accreditation for commodities—including oil—that are prone to being illegally imported to the country. In a statement Tuesday, Finance Secretary Cesar Purisima said the port accreditation system “will prevent ‘port shopping’ and hinder unethical importers from literally evading tax collection.” Under the proposed system, only particular ports will be accredited for importation of sensitive commodities such as oil and steel subject to standards and technical requirements. Purisima said accredited ports will be obliged to submit to the Department of Finance monthly reports that will be cross-checked with data from the Department of Energy and the Philippine Ports Authority on a per volume and per vessel basis. All importers of sensitive commodities will be asked to submit annual rolling import plans indicating quantity, type, source and location of intended port arrival. The DOF and its attached agencies have visited seven major district ports to gather data, among them major oil importing ports such as the Port of Limay last February 5 to March 15. A second wave of visits, meanwhile, will begin in April and will cover the Manila International Container Port, the Port of Manila, the Port of NAIA, and the Port of Batangas, another major oil importer. “One of this administration’s priorities is to combat smugglers directly, especially in high-risk commodities such as oil. We in the DOF and its attached agencies are using a proactive, information-driven approach to fight oil smuggling. This is part of establishing tuwid na daan for all businesses in the Philippines,” Purisima said. Latest data from the Energy Department showed that Philippine oil demand amounted to 106.9 million barrels in 2011. But current Bureau of Customs data only records 67.6 million barrels of oil imported in the same year, signifying a discrepancy of 39.3 million barrels that was likely made up through smuggling. — KBK, GMA News