CCBI:
Brokers, reps all set for CAO implementation
THE Chamber of Customs Brokers Inc. (CCBI)
has expressed readiness for the full implementation of Republic
Act 9280 or the Customs Brokers Act of 2004 and Customs Administrative
Order No (CAO) 3-2006. "The customs brokers and customs
representatives, duly accredited by the CCBI are ready and
able to operate as your partner for trade facilitation and
revenue collection," CCBI president Atty. Jose Leabres,
in a letter to Customs commissioner Napoleon Morales, said.
CCBI is the only accredited professional organization under
the CAO. In accordance with paragraphs 1, 2 and 3, Part VII
of the CAO, CCBI said it has already accredited a total of
1,291 customs brokers while 4,239 customs representatives
or personeros have attended CCBI-conducted training as of
July. "With this number, your function for trade facilitation
and revenue collection will not be jeopardized with the full
implementation of the law," Leabres added. Leabres said
the almost three years since RA 9280 was signed by President
Arroyo and the almost six months since the CAO 3-2006 was
approved by Finance Secretary Margarito Teves are more than
enough for affected companies to change their business practices.
Originally, CAO 3-2006, which operationalizes RA 9280 at the
Bureau of Customs (BOC), was scheduled to take effect May
22, 2006. However, Morales issued a 60-day suspension period
until July 21 to avoid what he said was the impending dislocation
of employment of personnel of customs brokerage firms, and
other logistical issues that may result from the strict implementation
of the CAO.
But on July 19, Morales again issued an additional 30-day
extension until August 21 to give time to the technical working
group amending the CAO 3-2006 to complete its work. CCBI is
requesting a meeting with BOC legal division and Customs Accreditation
Secretariat chief Atty. Reynaldo Umali with regard to the
full implementation of the law..
PRBCB
expresses optimism over resolution's release this week
THE Professional Regulation Board for Customs Brokers (PRBCB)
is optimistic it can release the resolution on the scope and
limitation of the customs brokers' profession this week. This
after the Professional Regulation Commission (PRC) found satisfactory
the arguments presented by the PRBCB for the issuance of the
motion. "PRC said our opinion attached to the motion
is correct and satisfactory," PRBCB chairman Constantino
Calica told PortCalls. He said there are just some provisions
in the resolution that need fine tuning before the PRC issues
its approval. Calica, however, declined to elaborate on the
specific provisions. Originally, PRBCB scheduled the release
of the resolution on July 28, but this was pushed back after
the PRC decided to have a second look at the motion last week.
The resolution seeks to, among others, address questions on
employment of customs brokers by companies as well as whether
freight forwarders may be allowed to lodge import and export
shipments at the Bureau of Customs (BOC) under Customs Administrative
Order No. 3-2006. CAO 3-2006 operationalizes RA 9280 at the
BOC. PRBCB said the resolution was adopted based on Article
II, Section 7 of Republic Act 9280 or the Customs Brokers
Act of 2004 which provides the body the power to issue such
guidelines for the smooth implementation of the law. Earlier,
international trade and customs consultant and PortCalls columnist
Atty. Agaton Teodoro Uvero said the resolution by the PRBCB
will, among others, settle whether employees of corporations
(forwarders or customs brokerages houses included) are allowed
to sign, file and process import entries in behalf of their
client importers. He added that failure to comply with the
PRBCB guidelines may result in the revocation or cancellation
of the customs broker license. Revocation will automatically
result in the cancellation of accreditation of the customs
broker with the BOC.
JICA:
Manila, Cebu ports need additional facilities
THE Japan International Cooperation Agency (JICA) is urging
the government to focus on Manila and Cebu and construct the
needed port facilities as annual cargo traffic from the two
cities are expected to surge 69% in the next nine years. JICA
also proposed to ship owners to invest heavily on Ropax, widely
known as combo vessels as it accommodates both cargo and passenger,
to handle such increase in traffic. According to JICA, annual
cargo traffic between the two cities will grow from 2.5 million
metric tons in 2005 to 4.23 million metric tons by 2015. Ropax
vessels will corner more than half of the market by 2015,
followed by container vessels at 28%, and the rest shared
by tankers, barges and other general cargo vessels. Passenger
traffic on the said route is expected to decrease more than
50% from 415,000 annually in 2005 to only 240,000 annually
in 2015. Based on future demand forecast, there should be
two dedicated berths in Manila and three in Cebu, the gateway
of the country to southern Philippines. JICA said existing
port infrastructure of both cities should be utilized, though
there would be minor improvements along the way, such as demolition
of about 80% of the existing infrastructure in both cities
to be replaced by new ones. It said the new facilities should
have passenger terminal buildings, about 2,170 square meters
big Manila and 4,600 square meters for Cebu; a boarding bridge
for safe movement of people; a container yard; a parking area
that will serve both for rolling vehicles that would board
or alight the Ropax and as public transport terminal for passengers.
It said such proposal is viable since the operator of the
terminal will get its revenues from both the passengers-who
will pay a terminal fee-and the cargo handling fee from the
vessel operator. Other potential revenues include fees from
parking, tenant rental fee, advertisements. At the moment,
Sulpicio Lines and Gothong have dedicated piers in the Manila
North Harbor which is used not only for their Ropax vessels
but also for other cargo vessels. Aboitiz Transport Systems
Corp, operator of the SuperFerry, uses the Asian Terminals
Inc.-owned Eva Macapagal Super Terminal at the Manila South
Harbor for its Ropax operation. In Cebu port, Sulpicio Lines,
Gothong and Aboitiz Transport each uses a dedicated berth.
PSB
rationalization program stumbles on lack of funds
BUDGETARY constraints are hampering the rationalization program
of the Philippine Shippers' Bureau (PSB), PSB executive director
Atty. Pedro Vicente Mendoza said. "Budgetary constraints
really delayed our program. Maybe we should wait a little
longer or until such time government sources out the needed
funds for us," Mendoza said. Early this year, PSB submitted
to the President its rationalization program covering not
only shipping but the entire logistics sector. Under the program,
the PSB wants to be known as Philippine Shippers and Logistics
Bureau. Mendoza said this way, the bureau can fully cater
to the needs of the entire industry, not only shipping but
also air, land, and rail transportation.
He explained the bureau wants an expansion of its coverage
in line with the massive government projects designed to improve
the transportation sector. Current government projects include
the development of a rail system from Manila to Clark to decongest
the movement of cargoes currently concentrated at the North
Luzon expressway as well as the development of a rail system
to the Bicol Region. For land, the government recently broke
ground on the Subic-Clark-Tarlac Road to boost trade between
the three areas and tap unsaturated market particularly from
Northern Luzon. For air, airport improvements are ongoing
and several air pacts set to be signed with foreign carriers
as well as incentives given to carriers that will land in
Clark and Subic.
THE Philippine Ports Authority (PPA) has started the bidding
process for the expansion of Mabila Port in Davao Del Sur
to support the growth of the municipality of Sarangani. According
to the bid documents, the facilities of the port including
the rock causeway will be expanded. A roll on-roll off ramp
and breasting dolphin, mooring and fendering system will be
constructed and a port lighting system installed. The cost
of the expansion project is about P43.04 million. It should
be completed within 10 months from start of construction.
PPA said it will award the contract later this month. According
to a feasibility study conducted by the National Economic
and Development Authority, the port improvement is just one
of the components to spur development in the area. The study
said after the port has been expanded, the local government
would also construct an ice plant, a warehouse for the fisherman,
and other infrastructure facilities. Since the creation of
the municipality some 30 years ago, economic activity in Sarangani
remained stagnant as a result of remoteness of the area, risk
of travel due to rough seas, and poor infrastructure facilities.
During the late 1990s, a shipping firm based in General Santos
City established a new route in the area using a fast-craft
passenger vessel. Due to difficulties in berthing and minimal
patronage because of high fares, the operation was withdrawn,
the study said. It said, however, that since Sarangani is
a strategic place for emergency relief and anchorage, especially
during bad weather, activity in the area could be spurred
to serve a station for vessels going to and from the fishing
grounds. In the long run, it could be a route for fishing
vessels. "Having a good port system would encourage the
opening of additional sea transport routes and improve the
sea transport system plying in the area. Fishing activity
is expected to gain more from this project being the major
industry in the municipality," the study said.
Strong
customer service ethic brings Wingspeed Shipping Corp continued
success
In cutthroat service industries such as freight forwarding,
companies that focus their attention on customer service are
more likely to thrive. Wingspeed Shipping Corp. (WSC) is one
of those institutions. WSC, which just celebrated its 13th
anniversary, survived a grueling 2005. "Despite continuing
political and economic uncertainties, the company said, "we
were still able to meet our objectives." That it did
so with flourish is a testament to the company's success "in
controllingÉ operating costs without sacrificing revenues.
We continue to implement cost-cutting measures." This
year, WSC is confident of meeting its 10% growth projection
based on the approved budget. A three-year plan designed and
formulated two years ago is steering the company in this direction.
The strategy this year includes enlarging the network in areas
where the company is weak. "We continue to develop and
expand our North America traffic," WSC said. It is also
upgrading its software and hardware systems even as it renovates
its offices. More importantly, WSC said it will have to continue
"enhancing services in order to meet customers' demands."
In the years to come, WSC will "continue to promote emphasis
on customer service. Customers' needs and satisfaction are
very important to us. Our customers have been with us for
the past years and very seldom do we lose customers. We continue
to expand our operations, capture bigger market share, improve
profitability, maximize resources and secure opportunities
to support our core business." It is also hoping for
"improvements in the political and economic arena."
The company is confident President Gloria Macapagal-Arroyo
"should at least be able to meet expectations of the
business community based on her government agenda." WSC
offers worldwide seafreight services in association with its
extensive international network of agents. It offers clients
direct and immediate access to any market in the world. The
range of services also includes NVOCC, cargo consolidation,
breakbulk, export/import customs clearance, warehousing and
land transportation.
