The draft memorandum circular that will clarify the list of chemicals under the Philippine National Police’s (PNP) control and detail how applicants can obtain permits and accreditation to acquire such substances will be out by the middle of February, according to the Department of Trade and Industry (DTI).
DTI said its attached agency, the Board of Investments (BOI), is set to meet with industry stakeholders to discuss and review the proposed memorandum circular that outlines the implementing rules and regulations for the PNP’s controlled chemicals list.
Besides the list, the circular contains proposed procedures for streamlining regulations, including storage, handling and transport; and the accreditation guidelines for third-party logistics providers and company-owned vehicles.
PNP is mandated by law to regulate for security purposes the possession of chemicals used to produce explosives. However, its updated list also includes common household chemicals often used by manufacturers, particularly those in the electronics and semiconductor sectors.
To access these chemicals, companies must first secure a permit from the PNP to import, handle, or transport them. Acknowledging the difficulties and delays encountered in securing permits, the PNP issued a 60-day moratorium on the application requirement that runs from December 9, 2015 to February 9, 2016.
“The government and private sector have been working together to address barriers to enhance the ease of doing business in our country,” DTI undersecretary and BOI managing head Dr. Ceferino Rodolfo said in a statement.
“We are seeking a balanced solution to regulate the industry while simplifying the processes involved in securing PNP permits and licenses,” Rodolfo added.
As such, a technical working group (TWG) that is co-chaired by the trade department, through BOI, and the Department of the Interior and Local Government (DILG) has been formed. Composed of representatives from government agencies and the private sector, the group regularly convenes to periodically review the list to identify which chemicals can be deregulated and which cannot, DTI noted.
The TWG aims to simplify the process of securing PNP permits and licenses as well.
The Chemical Industry Roadmap, crafted by the private sector under the BOI Industry Roadmap Project, identifies business processes that can be streamlined to improve the industry’s competitiveness.
Gretchen Fontejon-Enarle, president of the Samahan sa Pilipinas ng mga Industriyang Kimika, said, “Our long sought-after moratorium on 41 PNP controlled chemicals was finally heeded during the meeting convened by the BOI in December 2015. Now, we have the opportunity to work with PNP in coming up with mutually agreed principles on regulations.”
The global chemicals industry registered revenues of US$4.12 trillion in 2010, and the Philippine Chemicals Industry Roadmap envisions capitalizing on the growing needs of the industrial world.
The Philippine chemicals industry is the third largest subsector of the manufacturing industry and consists of two major groups: chemical and chemical products, and rubber and plastics products. There are 1,400 registered chemical manufacturing firms directly employing more than 93,000 personnel, and revenue from domestic production has been growing at an average of 7% per annum.
The chemicals industry is highly diverse and covers raw materials, such as oil, water, air, and minerals, which are converted into various substances for use by other chemical companies, producers in other industries, and other consumers. The industry has extensive links with other industries including those in agriculture/agribusiness, automotives, cement, creatives, construction, energy, fishing, health, housing, and pharmaceuticals. – Roumina Pablo
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