The Bureau of Customs (BOC) collected P253.04 billion from January to June, 0.47% lower than the P254.25-billion target for the period as the coronavirus (COVID-19) pandemic continued to pummel the economy, restricting business activity in most parts of the country.
According to preliminary data submitted to the Department of Finance (DOF), the first semester collection was also 16.49% less than the P303.01-billion take during the same period in 2019. DOF is the BOC mother agency.
But for the month of June alone, BOC surpassed its target by 4.42% as import volumes have begun to improve.
In an earlier statement, BOC attributed the June positive performance to “gradually improving volume of importation” and “government’s effort in ensuring unhampered movement of goods domestically and internationally considering the pandemic situation.”
BOC noted it has also maintained enhanced control measures against undervaluation, misdeclaration, and other forms of technical smuggling to protect the country’s borders and collect lawful revenues.
A preliminary report from the BOC Financial Service shows 11 of the bureau’s 17 collection districts hit their June targets: San Fernando, Legazpi, Cebu, Tacloban, Cagayan De Oro, Zamboanga, Davao, Subic, Clark, Aparri, and Limay.
For the full year 2020, BOC is tasked to collect P541.703 billion, lower by 26% from the initial P731-billion target following the Development Budget Coordination Committee (DBCC) approved adjustment of targets in response to the impact of the COVID-19 pandemic on the Philippine economy.
DBCC projects the Philippine economy contracting by 2% to 3.4% in 2020. The National Economic and Development Authority estimates the potential impact of the pandemic on the economy at P2 trillion or 9.4% of gross domestic product this year.
The country’s total expected revenue collection for 2020 has been revised to P2.61 trillion or 13.6% of GDP. This is lower by P560.5 billion or 17.7% compared with the P3.17-trillion program approved by the DBCC on March 27, 2020.
