MANILA, Philippines - The Bureau of Customs will avail itself of the services of Societe Generale de Surveillance (SGS), the world’s largest inspection company, for a non-exclusive new trade facilitation program on bulk cargo at no cost to the government.
This was confirmed by SGS vice president George Bottomley after receiving a certificate accrediting SGS issued by the committee for the accreditation of cargo surveying companies chaired by the Presidential Adviser on Revenue Enhancement and chairman of the (CACSC) Narciso Y. Santiago Jr.
According to Bottomley, SGS has been issuing survey reports on behalf of its commercial clients shipping bulk and break bulk cargoes to the Philippines, especially oil, petroleum products, chemicals, minerals and agricultural goods with the surveys paid for either by the buyer or seller.
“What is different about the new program is that the Bureau of Customs will now be able to receive such information in a secure electronic format directly from SGS prior to the arrival of the goods in the Philippines and there will be no charge to the Philippine government”.
Bottomley made it clear that SGS is not the exclusive service provider under this program and that other international surveyors had been accredited.
Bottomley noted that the new program is unique and is the first time that any Customs organization has had the vision to utilize commercial survey reports for advance cargo clearance.
“This development is very timely as we all hope that this year the Philippines will be the third member of ASEAN to accede to the Revised Kyoto Convention which emphasizes trade facilitation and simplicity in Customs procedures. This new program is a model of what is expected under the RKC as it will enable the payment of duties and taxes in advance thereby reducing the cycle time in the Customs entry and release process. With this program Philippines will be able to immediately demonstrate its commitment to the principles of the Convention,” Bottomley explained.
The program was first announced to the Public on Sept. 16, 2009 through Malacanang-issued Administrative Order 243-A. The stated objective of the program is to facilitate the assessment of bulk and break bulk cargoes by harnessing the technical support of accredited surveyors.
The AO also provided for the creation of a committee for the accreditation of cargo surveying companies and defined the criteria under which a surveyor could become accredited.
Customs Commissioner Napoleon Morales said the program is both a risk management and trade facilitation tool. Morales said the new program would help resolve smuggling by preventing pilferage of cargoes en route to the Philippines. Morales said the implementing guidelines on AO 243-A are now being finalized.