BOC CUSTOMS MEMORANDUM ORDER NO. 3-2011, January 28, 2011

[ BOC CUSTOMS MEMORANDUM ORDER NO. 3-2011, January 28, 2011 ]

MORATORIUM ON APPROVAL TO ESTABLISH AND OPERATE AN INDUSTRY-SPECIFIC CUSTOMS BONDED WAREHOUSES

In view of various reports and persistent complaints received that Industry-Specific Customs Bonded (ICBW) are allegedly being used as conduits for smuggling activities thru the diversion and sale of the imported bonded raw materials and/or finished products to the local market without payment of the customs duties and taxes due thereat, causing huge revenue losses annually, a moratorium on the processing and approval of applications to establish and operate an Industry Specific Customs Bonded Warehouse is hereby imposed.

Henceforth, all applications for the establishment and operation of the aforesaid type of CBW shall outrightly be denied until further instructions from the Commissioner of Customs. Any application for the re-activation of inactive ICBWs shall be considered as a new application and shall thus be instantly denied.

Application by PEZA-registered enterprises or locators or by export producers duly accredited by BOI/DTI for registration as end-user client of existing ICBWs may however be processed but clearance prior to approval thereof must be obtained from the Commissioner of Customs.

The Deputy Commissioner, AOCG is hereby directed to submit to the Office of the Commissioner the list of all ICBWs granted by the Bureau to placing of the ICBWs future importations under Section 1508 of the TCCP, revocation of its license/permit, prosecution for criminal liability of persons who are party to the violations of the TCCP, as amended etc.

For strict compliance.

This Order shall take effect immediately and shall last until revoked.

Adopted: 28 January 2011

(SGD.) ANGELITO A. ALVAREZ Commissioner