Smuggling of P3-M onions: Davao trader, 2 BOC brokers charged

MANILA, Philippines - The Bureau of Customs (BOC) yesterday filed smuggling charges before the Department of Justice (DOJ) against a businessman and two Customs brokers for allegedly smuggling P3 million worth of onions via the Port of Davao.

The BOC, in a statement, named the respondents as Moises Bagan-Rodriguez, owner of Davao-based Yanzhen Enterprises, and brokers Abolkhayr Cali and Zahraida Abdul.

They were reportedly charged with violations of the Tariff and Customs Code of the Philippines, namely misdeclaration, undervaluation and importation of agricultural products without the necessary permits from the Department of Agriculture.

Customs Commissioner Rufino Biazon said the illegally imported onions were misdeclared as pastry ingredients and dough and stacked in 20 units of 40-footer shipping containers.

But when inspected, the containers were found to contain onions valued at P3,708,331.13.

Operatives of the BOC-Customs Intelligence and Investigation Service (CIIS) intercepted the illegal shipment at the Port of Davao last Sept. 23.

BOC Deputy Commissioner for Intelligence Group Danilo Lim issued the corresponding alerts for the 20 Customs entries of Yanzhen Enterprises on the day the onion shipment arrived at the southern port on board the vessel MV Jan V-1126.

Lim ordered the CIIS to conduct a thorough examination of all the 20 shipping containers.

“Onions, based on our many seizures for the past months, score the highest in smuggling attempts. This is the reason why we are closely monitoring the importation of agricultural products to ensure that the BOC’s thrust to protect the interest of local farmers, upon instruction of the Commissioner, is strictly enforced,” Lim said. 

The sector mostly affected by the entry of illegally imported onions is the local onion industry, the BOC said.

Since the correct taxes are not paid for the illegal onion importations, smugglers are able to sell these at a much cheaper price than locally produced ones, resulting in economic dislocation to local onion growers.

The BOC estimated the supposed duties on the seized imported onions at P1,483,332 based on the 40 percent rate of duty for onions.

– With Iris Gonzales