BOC to auction off 200,000 overstaying sacks of rice

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Overstaying cargoes including over 200,000 sacks or over 10 million kilograms of rice shipments are to be auctioned on August 25 by the Bureau of Customs-Manila International Container Port (BOC-MICP), expected to generate more than P186 million in revenue for the government.

The auction is to comply with the directive of Customs Commissioner Alberto Lina to raise non-traditional revenues out of overstaying shipments and decongest the container yards, BOC-MICP District Collector Elmir Dela Cruz said in a statement.

“I have ordered the immediate disposal thru Public Auction Sale of 408 container vans of overstaying rice shipments and other assorted items to preserve the value and quality of the goods, pursuant to Section 2607 of the Tariff and Customs Code of the Philippines (TCCP),” Dela Cruz added.

He disclosed that the public auction will include the sale of over 10,000 tons of overstaying rice shipments, most of them having arrived at MICP two years ago and consigned to Silent Royalty Marketing and Starcraft International Trading.

According to BOC-MICP Auction and Disposal Division Chief Gerry Macatangay, they were not able to auction off the rice shipments earlier because of court cases that the two consignees filed against BOC.

BOC seized the alleged illegal imported rice shipments of Silent Royalty and Starcraft in 2013 and filed smuggling charges before the Department of Justice against the top officials and customs brokers of the companies for bringing in rice without the proper government permits in violation of the TCCP. Further the amount of imported rice exceeds the Minimum Access Volume set by the National Food Authority (NFA).

Both Starcraft and Silent Royalty filed counter charges against BOC, claiming that private importers could bring in rice without security permits as import restrictions had already been lifted through a World Trade Organization agreement in 2012. BOC, however, argued that under Philippine laws, only the NFA can import rice and that companies must secure an import permit from the food agency to bring in their own rice imports.

“Even if there are charges pending in court, we will auction off the 336 20-footer container vans of white and glutinous rice consigned to Silent Royalty Marketing and 63 20-footer container vans of white and glutinous rice consigned to Starcraft International Trading that arrived last October and November 2013,” Macatangay said. He added that proceeds from the auction will be held in trust pursuant to Section 2607 of TCCP.

Other items up for disposal are rice shipments from Greyvoid Corporation and Intercontinental Grains; assorted motorcycle parts and bicycles from Panda Vine International Trading; assorted pieces of apparel from Pie Link Trading; a 2006 Toyota RAV4 from Juan Ballinan Jose; and used piano, refrigerator, furniture, kitchenware, speakers, toys and bicycles from Marilou Vidal Surplus Enterprise.

The Law Division-MICP sent notices to the consignees to claim or file entry, but the letters came back because the consignees were no longer located at the address indicated on the manifest, Macatangay said. “Their lawyers were also furnished a copy of said notice to file entry.”

Public viewing of the merchandise and the pre-bid conference for all qualified bidders will be conducted on August 24.

Image courtesy of Naypong at FreeDigitalPhotos.net