Customs OKs easier, duty-free entry of medical, relief goods amid COVID-19
The government will establish a one-stop shop to fast-track the duty-free entry of imported medicines and other medical supplies—now considered as relief goods—to stop the spread of the COVID-19 disease.
In an e-mail to Laban Konsyumer Inc. president Victorio Mario A. Dimagiba, Finance Undersecretary Bayani H. Agabin said the Bureau of Customs (BOC) and the departments of Agriculture (DA), Finance (DOF), Foreign Affairs (DFA), Health (DOH), and Social Welfare and Development (DSWD) last Tuesday signed a joint administrative circular covering clearance for relief consignments that entered the country during a state of calamity, in order to facilitate the entry of medicines and relief goods.
President Duterte had placed the Philippines under a state of calamity while the country fought the COVID-19 pandemic.
Agabin told Dimagiba in the e-mail shared by the latter to reporters that the joint circular “will create a one-stop to process all approvals.”
“It will be published today (Wednesday) and will become effective immediately after publication,” Agabin said.
Also, Agabin said that “based on feedback from the BOC, there is no backlog on the importation of medical equipment and PPEs [personal protective equipment].”
“They [the BOC] are full complement at the moment,” Agabin added.
But when sought for more details, Foreign Affairs Secretary Teddy Boy Locsin said on Twitter that the joint circular was not yet signed.
The BOC nonetheless already moved to provide provisional goods declaration for relief consignment under a state of calamity.
Under the memorandum signed by Customs Commissioner Rey Leonardo B. Guerrero on Wednesday, “effective immediately, goods declaration involving donations for relief consignment may be provisionally declared in accordance with Customs Memorandum Order (CMO) No. 7-2020,” referring to the earlier interim procedure issued by the BOC covering provisional goods declaration.
Guerrero said the provisional declaration will be subject to the following conditions: the donee must be a government agency, such as the DOH; and the consignee must issue an undertaking to submit lacking document/s within 45 days after the shipment was released as well as distribute or use the goods only after the Food and Drug Administration (FDA) or other regulatory agencies already cleared them when required.
“The lacking document may include, among others, the tax exemption indorsement (TEI) from the DOF. For exigency in the release of the goods, the received copy of the application for TEI shall be dispensed with,” Guerrero said.
Guerrero added that these products will come in duty- and tax-free.
“The goods shall be considered as relief consignment, as defined in Section 120 of the Customs Modernization and Tariff Act (CMTA), imported during a state of calamity and intended for a specific calamity area for the use of the calamity victims therein. As such these shall be exempt from duties and taxes pursuant to Section 121 of the CMTA. While the goods shall be released under tentative assessment, the posting of a bond for the release thereof is not required,” Guerrero said, adding that the assessment will be deemed completed once all pending documents were received by the BOC.
“The district collector shall immediately clear the goods for release to the consignee upon receipt of the undertaking. Pursuant to Section 120 of the CMTA, the port shall allow the following: lodging, registering and checking of the provisional goods declaration and supporting documents prior to the arrival of the goods, and their release upon arrival; clearance beyond the designated hours of business or away from customs offices and waiver of any corresponding charges; and examination and/or sampling of goods only in exceptional circumstances,” according to Guerrero.
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