The Bureau of Customs (BOC) has filed smuggling charges against two Cagayan de Oro-based rice traders who illegally imported over 1.3 million kilograms of glutinous rice worth an estimated P82.68 million.
Elmer Cañeta and Michael Abella, owners and proprietors of EC Peninsula Commercial and New Dawn Enterprises, respectively, were charged with multiple counts of violating Section 3601 of the Tariff and Customs Code of the Philippines for the unlawful importations; and Section 29 of Presidential Decree (PD) No. 4, as amended by PD No. 1485 for failure to obtain import permits.
Neither firm was issued Certificates of Eligibility to import rice by the National Food Authority (NFA), nor obtained the required import permits from the NFA for the rice importations.
The illegal rice shipments arrived in November 2014 at the Port of Cagayan de Oro. In their import documents, New Dawn and EC Peninsula misdeclared the rice imports as gypsum boards, plaster boards, kitchenware, and tiles.
“There was clear intent to hide the rice shipments precisely because these traders know that they are importing rice without the required permits,” Customs Commissioner John Phillip Sevilla said.
“We are working closely with the NFA to set policies and procedures that are easy and simple to understand to improve the compliance of rice traders,” Sevilla added.
The NFA regulates rice imports through minimum access volumes to protect the local rice industry.
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