The MoU, also known as the National Single Window (NSW) for Customs and Cargo Inspection and Clearance, enables a single submission of data and information, a single and synchronous processing of data and information, a single decision making for Customs inspection, clearance and release of cargoes with the objective of achieving effective and efficient system in expediting customs cargo clearance and release to promote better trade facilitation and achieve better economic efficiency and effectiveness.

Among the thrusts of the NSW is the linkage of the BoC’s AsycudaWorld software implementation with the DA’s Electronic Sanitary and Phytosanitary Certification System (DA eCertification).

Through the AsycudaWorld software, a system being utilized by most developed nations in the world such as the US and Japan, the BoC will computerize all of its transactions to eliminate graft and corruption within the agency. The system is also being eyed by the bureau as a tool to ascend to the Revised Kyoto Convention next year.

According to Customs Commissioner Napoleon Morales, the agreement is aimed at pooling in the efforts of the BoC and the DA in facilitating trade and improving the transparency and accountability in the governance of the imported agricultural and fishery products and reduce violations of the Tariff and Customs Code of the Philippines (TCCP).

"The agriculture sector has been complaining of rampant smuggling of vegetable and meat products into the country, which they claim has been slowly killing the industry," Morales said. "The NSW is one way to reinforce our commitment to curb smuggling in Philippine ports through strengthened cooperation between government agencies."

The MoU also approved the creation of a DA-BoC Technical Working Group to ensure the effective implementation of the agreement between the two government agencies, which the DA secretary and the customs commissioner will head.

The group is expected to come up with a design of the NSW, the institutional arrangements of the NSW, report templates for management information, and the process of reconciliation of conflicting information on the implementation of the NSW. The group is also tasked by the finance secretary to draft joint administrative order containing the implementing rules and regulations needed for the effective implementation of the NSW.

The Customs chief said that the NSW aims not only to expedite and and synchronize importation processes but also explained that the creation of an improved system by the TWG will minimize the transaction costs and complexity of international trade for business, while maintaining efficient and effective levels of government control. He further said that traders and the government could both benefit from trade facilitation through increased effectiveness of control methods, efficient deployment of government resources, correct revenue yields, improved trader compliance, accelerated economic development and encouragement of foreign investments.

"For traders, it would promote cutting of costs and reduced delays, faster Customs clearance and release through predictable official intervention, simple commercial framework for both domestic and international trade and enhanced competitiveness," he said.