Sectoral rep seeks probe on entry of substandard steel products

MANILA, Philippines - Noting the rise of construction related incidents reportedly brought about by substandard steel products, ABAKADA Rep. Jonathan de la Cruz yesterday called for an immediate and thorough investigation into the extent and scale of technical smuggling of such products and others including garlic, onion and agricultural items nationwide.

Dela Cruz also demanded an immediate update from the Bureau of Customs on the almost two-year-old request of the Philippine Iron and Steel Institute (PISI) to Finance Sec. Cesar Purisima and then Bureau of Customs (BOC) Commissioner Rozzano Rufino Biazon for a probe of 15 companies for technical smuggling based on gross undervaluation of their steel imports;

“Sadly, practically nothing has been heard of about the request and the activities of these 15 companies and their alleged smuggling activities since,” Dela Cruz said.

Dela Cruz said the investigation was prompted by reports that on May 9, 2012, Joyland Industries, Inc. brought in 7,904.17 metric tons of finished steel wire rod with a declared value of $279 per metric ton, as against the prevailing import price then of $640 to $700 per metric ton.

Making matters worse, the ABAKADA solon emphasized, is the fact that collapsed structures during the Bohol earthquake and Super Typhoon Yolanda in the Leyte-Samar area have been found to have below-par steel bars reportedly smuggled into Cebu and other ports.

“Who knows how many more hundreds maybe thousands of structures all over the country had used smuggled substandard steel products?”

“The House had better move in fast before such structures go down and helpless residents die in the event, hopefully not, of another disaster like the Bohol earthquake and Super Typhoon Yolanda which the country may face, while lost government revenues continue to rise by the billions,” What about the 14 others? We are talking of billions of pesos in lost government revenues here,” De la Cruz added.