Harbor Star at odds with BOC

SCREENGRAB from www.harborstar.com.ph

Harbor Star Shipping Services Inc., a leading provider of harbor assistance, lighterage, salvage and towing operations in the country, has found itself at odds with the Bureau of Customs (BoC) over a tugboat.

In a disclosure to the Philippine Stock Exchange Friday, Harbor Star said it had received from the BoC a seizure order for MT Propus, a tugboat built in 1982, allegedly for misdeclaring or underdeclaring import duties.

“It is the position of Harbor Star that the seizure order is null and void since it paid the proper duties and taxes on said importation, as evidenced by the certificate of conversion dated 28 May 2013 authorizing the clearance of said tugboat,” the company said. “Furthermore, there is no pending assessment for additional taxes that should merit the issuance of said seizure order.”

The seizure of MT Propus is not expected to materially affect the operations of Harbor Star, the company said.

Harbor Star, which ended last year with a fleet of 34 vessels operating in 66 ports across the country, has been purchasing new vessels for domestic and overseas expansion. This year, it is expanding in five new areas locally—Cebu, Iloilo, Surigao, General Santos and Dumaguete. Ideally, operations will require the acquisition of a total of 10 vessels, officials earlier said.

The company is also planning overseas expansion with a bid to serve two ports in Johor, Malaysia. This foray forms part of Harbor Star’s plan to enter key markets in Southeast Asia as it tries to diversify revenue stream while growing its domestic business.