THE Bureau of Customs (BoC) said it issued a memorandum order implementing the preferential tariffs the Philippines will enjoy as a result of its free trade agreement (FTA) with South Korea.
In a statement on Monday, Commissioner Bienvenido Y. Rubio said issuing clear guidelines aims to foster a “smooth transition and effective implementation” of the FTA between two countries.
The Customs Memorandum Order (CMO), signed by Mr. Rubio, took effect on Dec. 31 and outlines “pertinent provisions such as pre-exportation examination or product evaluation, procedures for the issuance of Certificates of Origin.”
In addition, the CMO provides sets guidelines governing the application process for obtaining Approved Exporter status, obligations of an Approved Exporter, procedures for completing Origin Declarations, and verification protocols.
On Dec. 23, President Ferdinand R. Marcos, Jr. released Executive Order (EO) 80, which called for the updating of import duty rates for products covered by the FTA.
Under EO 80, goods from South Korea listed in the Philippine Schedule of Tariff Commitments will be subject to reduced or zero tariff rates as long as these goods align with the specified rules of origin, including proof of origin.
“The issuance of this Customs Memorandum Order underscores the BoC’s commitment to facilitating trade and fostering economic partnerships with our global partners,” Mr. Rubio added.
“These comprehensive guidelines are designed to ensure seamless compliance with the agreement and maximize the benefits of preferential trade terms,” the BoC said.
In a separate statement on Monday, Customs also announced its five-Point Priority Program, which are digitalizing customs processes, surpassing revenue targets, simplifying procedures and facilitating secure trade, curbing smuggling, and enhancing employee welfare and development.
Mr. Rubio also said he is confident the BoC will reach its P1.06-trillion revenue target for 2024. — Aubrey Rose A. Inosante