Home » 3PL/4PL, Breaking News, Customs & Trade, Ports/Terminals » E-processing of transshipments for REZA zones starts in 2016

ID-10064915The Bureau of Customs (BOC) and Regional Economic Zone Authority (REZA) have signed a joint memorandum for the mandatory electronic processing of transshipments of REZA locators to REZA zones.

Effective January 1, 2016, Joint Memorandum Order (JMO) No. 01-2015 will require all REZA locators to file their transhipment entries with the BOC’s electronic-to-mobile (e2m) system.

REZA oversees the integration, coordination, planning and monitoring of special economic zones, industrial estate/parks, export processing zones, and other economic zones in the Autonomous Region in Muslim Mindanao (ARMM).

In an interview with PortCalls on the sidelines of the JMO signing in Davao City on November 6, BOC Assessment and Operations deputy commissioner Atty. Agaton Teodoro Uvero said the JMO automating REZA transhipments is similar to the BOC-Philippine Economic Zone Authority (PEZA) JMO No. 01-2015 that ordered mandatory electronic processing of transhipments in PEZA zones.

READ: BOC, PEZA order automates PEZA-to-PEZA goods transfer

Customs commissioner Alberto Lina, in a press conference after the signing, said they are now preparing guidelines so that future investors in REZA will have clear and transparent rules to work under.

Customs Commissioner Alberto Lina (seated left) and Autonomous Region of Muslim Mindano (ARMM) regional governor Mujiv Sabbihi Hataman sign the joint memorandum order on the mandatory electronic processing of transshipments in Regional Economic Zone Authority areas. With them are, among others, BOC deputy commissioner for Assessment and Operations Atty Agaton Uvero (standing second from left) and deputy commissioner for Revenue Collection and Monitoring Atty Arturo Lachica (third from left). Photo courtesy of ARMM.

Customs Commissioner Alberto Lina (seated left) and Autonomous Region of Muslim Mindano (ARMM) regional governor Mujiv Sabbihi Hataman sign the joint memorandum order on the mandatory electronic processing of transshipments in Regional Economic Zone Authority areas. With them are, among others, BOC deputy commissioner for Assessment and Operations Atty Agaton Uvero (standing second from left) and deputy commissioner for Revenue Collection and Monitoring Atty Arturo Lachica (third from left). Photo courtesy of ARMM.

REZA-ARMM executive director Eshan Mabang said the JMO is expected to “generate micro and even macro-economic benefits, attract domestic and investors, and will promote e-commerce.”

The MOU was signed by Lina and ARMM regional governor Mujiv Sabbihi Hataman.

Under the JMO, all REZA locators importing goods for transhipment from any port of discharge to any REZA location must file a transhipment entry in the e2m at the port of discharge.

Manual filing is only allowed if the deputy commissioner for Management Information System and Technology Group “certifies that the e2m system is down for more than two hours.”

In each REZA zone, a Customs clearance area with ample space and facilities must be provided for the use of both REZA and BOC.

A locator must also enrol with REZA, through REZA-accredited value added service providers, in order to qualify for the use of the REZA electronic Import Permit System (e-IPS) and secure e-IPS authorization for tax and duty-free importation.

The locator must also provide a list of importables; list and contact information of responsible company officials and authorized representatives; list and contact information of customs brokers authorized to secure the e-IPS and arrange the clearance, release, and transfer of its transit goods from the ports of discharge to the economic zone; proof of enrolment with one or more REZA-accredited VASPs; and other information required.

The district collector at the port of discharge will require REZA locators processing transhipment entries to post a General Transportation Surety Bond (GTSB) with the Bonds Division of that district to guarantee the direct, immediate, and faithful delivery of goods covered by transhipment entries to the destination REZA locations, as stated in the Transit Single Administrative Documents.

Once JMO No. 01-2015 takes effect, each REZA locator must post a GTSB at each port of discharge where its shipments will arrive.

No underguarding

As with the PEZA JMO, boat notes will no longer be issued for transhipments, nor will cargo be required to be underguarded.

Locators may post a bond with a validity period of their choice, provided that at any time, the bond must remain valid for at least 30 days. “Locators whose bonds are expiring in less than 30 days shall not be allowed to file transhipment entries until they post a bond with an expiry of at least 30 days from the date of filing an entry,” according to the memorandum.

All transhipment cargo in containers leaving the port of discharge must be secured with a REZA seal that must not be opened or tampered with. All non-containerized cargoes, on the other hand, must be underguarded by REZA while in transit.

Meanwhile, if any cargo for transhipment is issued an alert order under Customs Memorandum Order (CMO) No. 21-2014, it will not be released from the port of discharge unless the alerting officer recommends the lifting of the order.

If any shipment for transhipment is levied an alert order after departing the port of discharge but before its release to the REZA destination zone, it will not be released to the locator unless the alerting officer recommends lifting the order.

Locators that fail to comply with the JMO will be penalized, while non-complying BOC officials will be deemed as committing simple neglect of duty punishable with dismissal upon second offense. – Roumina Pablo

Image courtesy of Nutdanai at FreeDigitalPhotos.net

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