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PCCI finalizing bond requirement under ATA Carnet System (Convention on Temporary Admission [Istanbul Convention])
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The bond is required to start implementation of the system in the country
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International Chamber of Commerce has acknowledged PCCI as the National Issuing and Guaranteeing Association for ATA Carnet
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The Bureau of Customs won’t be able to accept ATA Carnets unless PCCI complies with requirement as NIGA
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The ATA Carnet system will allow temporary admission and tax-free and duty-free importation of commercial samples, professional equipment, and articles for presentation or use in trade fairs, shows, and exhibitions
The Philippine Chamber of Commerce and Industry (PCCI) is finalizing the bond required to start immediate implementation of the ATA Carnet System (Convention on Temporary Admission [Istanbul Convention]) in the country.
Pending compliance, the Bureau of Customs is unable to accept ATA Carnets as a temporary admission paper for customs clearance.
The ATA Carnet system is an international scheme that allows temporary admission and tax-free and duty-free importation of commercial samples, professional equipment, and articles for presentation or use in trade fairs, shows, and exhibitions.
Philippine businesses attending trade fairs and exhibitions in territories parties to the Convention are among those expected to benefit from the agreement.
The International Chamber of Commerce (ICC) has acknowledged PCCI as the National Issuing and Guaranteeing Association for ATA Carnet. Its appointment was endorsed by the Department of Finance through the BOC.
PCCI told PortCalls it has complied with ICC World ATA Carnet Council (WATAC) requirements and is only now finalizing the bond requirement. Made up of representatives from countries and territories where Carnets are issued and accepted, WATAC runs the ATA system and its international guarantee chain.
PCCI on April 11, 2022 was appointed by BOC as the NIGA for the ATA system.
NIGA is the association affiliated to a Guaranteeing Chain and accredited by BOC to issue Temporary Admission Papers (TAP) and to guarantee the amount of security and other charges to be imposed. Only one NIGA will be appointed by BOC.
PCCI in a letter dated April 18 accepted its appointment and confirmed its commitment to fulfill its responsibilities as the NIGA.
Under BOC Customs Administrative Order No. 02-2022, which provides guidelines implementing the ATA Carnet System in the Philippines, the NIGA is authorized, mandated, and/or recognized to issue ATA Carnets.
READ: BOC sets rules to implement ATA Carnet
It is authorized to guarantee payment of import duties and taxes as defined under the Istanbul Convention payable to BOC in case of a breach in use of temporary admission, and failure on the part of ATA Carnet holders to re-import/re-export goods within the period stipulated by BOC.
The ATA Carnet, sometimes referred to as the “passport for goods,” is a single document that will pass through several customs territories and will be valid up to one year. ATA is an acronym of the French and English words “admission temporaire/temporary admission,” while carnets are referred to as “passports for goods” or “merchandise passports”.
The Senate concurred with the accession to the Convention on Temporary Admission and its various Annexes, which constitute the international codification of the ATA Carnet system, in November 2021.
The Instrument of Accession was deposited and accepted by the World Customs Organization on January 17, 2022, making the Philippines to become the 73rdcontracting party to the Convention. – Roumina Pablo
