The Bureau of Customs (BOC) collected P32.87 billion in revenue in September 2014, its highest ever single-month collection and 27.2% more than the P25.84 billion collected in the same period last year.
BOC said the record revenue was collected “on the back of continuous improvements in valuation and an increase in the volume of imported goods.”
The September revenue is, however, 5.26% lower than the target of P34.6 billion set by the inter-agency Development Budget Coordination Committee (DBCC).
Volume of imports in September grew 15.7%, driven by growth in the import of petroleum products; motor vehicles; iron and steel products; as well as electrical machineries and equipment, which together accounted for about 72% of total customs revenues.
Valuation of imported goods likewise improved, offsetting a decline in the prices of petroleum products. Reports from the Department of Energy showed that Dubai crude decreased by about US$6.10 per barrel in September, while imported diesel and gasoline went down by $7.10 and $3 per barrel, respectively, in the Mean of Platts Singapore.
The P0.98 depreciation of the peso versus the US dollar also helped defray the decline in the prices of petroleum products, with the merchandise accounting for about 27% of total imports last month.
On average, every P1 movement in the exchange rate of the Philippine peso against the US dollar has an estimated P2.7 billion impact on BOC’s revenue collection.
BOC added that the September milestone in revenue collection was also supported by a 31% growth in the import of motor vehicles, as well as a record 41.72% surge in sales of cars and trucks. Following the agency’s strong performance for the month, total revenues for the third quarter of 2014 reached P92.39 billion, up 15% year-on-year, keeping track with improvements in the country’s economy.
From January to September 2014, total revenue collections of the BOC reached P265.787 billion, up 18% from the P225.01 billion logged in the same period last year.
BOC noted that improvements in its system for valuating goods, coupled with enhanced enforcement and apprehension efforts, yielded an 18.23% hike in the customs value of imported products and a 19.08% increase in duties and taxes collected in the first nine months of the year, offsetting a slight decrease in the average tariff rate.
At the port level, revenue gathered by the agency’s 17 collection districts nationwide for the first three quarters of 2014 grew by an average 18.23% year-on-year. Of these districts, the ports of Batangas, Iloilo, Cebu, Davao, Subic, and Aparri exceeded their collection target for the period.
The Manila International Container Port and Port of Manila still had the highest contributions but did not exceed their revenue targets for the month.
For October 2014, BOC has a collection goal of P36.81 billion set by DBCC.
Image courtesy of Stuart Miles at FreeDigitalPhotos.net
