BOC lifts special safeguard duty on imported chicken

The Bureau of Customs lifted yesterday the special safeguard duty (SSD) on imported chicken and chicken products in compliance with the directive of the Department of Finance to ensure the supply of chicken and its products in the local market.

The directive to temporarily lift the 15-percent SSD on imported chicken and chicken products was issued by Finance Secretary Juanita Amatong upon the request of Agriculture Secretary Luis Lorenzo, who said "there may be a shortage in the supply of chicken in the coming months."

"We have established, in consultation with the history, that there may be a shortage in the supply of chicken in the coming months, Lorenzo informed Amatong in a letter asking for the lifting of the SSD on imported chicken and chicken products.

Lorenzo said the expected shortage of chicken and chicken products was due to the Avian-flu scare and the surge in demand in April and May, which resulted in the increased prices in the local market of chicken and chicken products.

However, Lorenzo said he may request again for the SSD imposition in the future should conditions warrant.

The government had imposed the SSD on imported chicken and chicken products in September 2002 following findings that "prices have been breached or that the actual C.I.F. import price of each product is less than its corresponding trigger price."

This means the importation of chicken and chicken products had exceeded a specific quota which necessitated the issuance of a measure to control its importation through the imposition of a levy of 15-percent SSD.

Customs Commissioner Antonio Bernardo has issued a memorandum order to all district ports advising them of the temporary lifting of the SSD on imported chicken and chicken products.