Bureau of Customs (BOC) officers are being required to observe strictly the proper description of food and articles covered by warehousing goods declaration.
In a memo to all concerned BOC officials and officers dated August 9, Assessment and Operations Coordinating Group deputy commissioner Atty. Edward James Dy Buco said the description must be in sufficient detail “to enable the subject article to be identified for tariff classification, valuation, and other statistical purpose.”
He added that importers or consignees who fail or refuse to comply shall be subjected to continuing alert.
Last year, BOC also reiterated that articles must be declared with detailed descriptions, specifically for shipments of fiber, yarn, and fabric, as general descriptions violated customs regulations.
Dy Buco noted that Customs Administrative Order (CAO) No. 08-2007 establishes the rules for describing imported articles properly in tariff terms, and that it is implemented by Customs Memorandum Order (CMO) 28-2007.
Earlier reiterations
BOC revived the two orders, which had gone unenforced for seven years in early 2014.
In March 2015, the agency suspended 70 traders and 45 customs brokers for describing imported articles in general terms, but lifted the suspension more than a week after.
BOC also reiterated, in 2015, the need to comply with the two memos after verifying reports that numerous imported goods “were declared in general manner to avoid proper classification and valuation or that description of articles in the import declarations [was] not sufficient in detail to enable the article to be identified for tariff classification, valuation and other statistical purposes.”
In October 2017, customs officials, importers, and customs brokers were enjoined to “revisit and observe” the provisions of CAO 08-2007 and CMO 28-2007.
Another reiteration was made in January 2018 with then Customs Commissioner Isidro Lapeña saying that, despite the repeated calls, violations remained prevalent.
CMO 28-2007 requires importers to make detailed descriptions of imported articles in tariff terms; otherwise, their shipments will have to go through 100% examination. The order aims to foil attempts by importers to evade paying the right tariff by simply giving generic descriptions.
Under the CMO, the description of articles must be “in sufficient detail to enable the article to be identified for tariff classification, valuation and other statistical purposes.”
Failure to describe the shipment in detail will be the full responsibility of the importer or broker, CMO 28-2007 states.
“Good faith is not a defense. Both importers and customs brokers shall exercise utmost diligence in declaring goods for purposes of customs clearance,” CMO 28-2007 adds.
Violators will be given a warning on their first offense, get their accreditation suspended for six months on second offense, and have their accreditation cancelled and their name blacklisted on third offense. – Roumina Pablo
