The Committee for Accreditation of Cargo Surveying Companies (CACSC) announced Tuesday that starting December 12, 2009, all bulk, and break-bulk cargo shipments bound to the Philippines will be subject to the procedure under Administrative Order No. 243-A and its implementing rules and regulations.

AO-243-A was issued by President Arroyo on September 16, 2009. Its implementing rules were published last October 28, 2009 and takes into effect on November 12, 2009.

AO 243-A was issued to streamline the procedure for importations, to the country and at the same time, protect the members of the government by ensuring the correct assessment of taxes and duties on bulk and break-bulk cargo imports. The AO mandates the CACSC to grant, approve, defer, deny, suspend, or revoke the accreditation of cargo surveying companies and surveyors.

AO 243-A and its IRR cover all bulk and break-bulk cargo bound to the Philippines and loaded unto carrying vessels. The issuances provide a advance clearance system for bulk and break-bulk cargo imports in the Philippines. Only cargo surveying companies accredited by the CACSC shall conduct the cargo surveying required and issue the Load Port Survey Report. The Load Port Survey Report shall be issued after a full survey of quantity and quality of the bulk and break-bulk cargo and should contain the following details: Quantity of the cargo; quality of the cargo; grade of the cargo; price or value of cargo; classification of the cargo; port of loading; name of vessel; h. estimated time of departure from port of loading;. bills of lading; surveyor’s seals details; ports of call of carrying vessel, if there is any; and such additional testing results as may be required by the BOC necessary in determining the value, tariff classification, and/or assessment of shipments covered by AO 243-A.

Any importer obtaining the services of an accredited cargo surveying company pursuant to AO 243-A and its IRR shall be allowed to file entries for the imported articles and pay the proper duties, taxes, and other fees therefore prior to arrival in the Philippine port of destination, provided that:

a. The entry contains a full and true statement of all the articles which are the subject of the importation;

b. The invoice and entry contain a just and faithful account of the actual cost of said articles, including and specifying the cost of insurance and freight and other necessary charges, and nothing has been omitted there from or concealed to the detriment of the proper revenue collection by the government;

c. The invoice and all bills of lading relating to the articles are the only ones in existence relating to the importation in question;

d. The entry, invoice, and bill of lading, and the declarations thereon, are in all respects genuine and true, and were made by the person by whom the same purportedly have been made.

As soon as they cargo arrives at the Philippine port of destination, the importance may immediately cause the discharge and withdrawal of the same from customs premises and/or custody, provided that the declarations in the import entries are confirmed by the Port Load Survey Report, and upon presentation of the proof of payment of duties, taxes, and other fees, as well as compliance with other pre-requisites for a valid importation in accordance with pertinent and existing customs laws, and regulations.

The CACSC is headed by Presidential Adviser on Revenue Enhancement Narciso Y. Santiago Jr., and is composed of representative from the Bureau of Customs (BOC), the Department of Finance (DoF), the Department of Trade and Industry (DTI), and duly recognized industry associations. The BOC is represented by Deputy Commissioner Rey Nicolas and his chief of staff, Atty. Caesar Corpus. The DoF is represented by Atty. Pedro Vicente C. Mendoza and Marceliano P. Bernal Jr. Edison Co Seteng of the Federation of Philippine Industries and Angelito E. Colona of the Philippine Chamber of Commerce and Industry serve as industry representatives in the committee. Dr. Angel Lazaro serves as a consultant of the CACSC.