Negosyante News

November 22, 2024 5:17 pm

DOF Pushes for Full Implementation of ‘Passport for Goods’ System

The Department of Finance (DOF) announced its push for the full implementation of the ATA Carnet, also known as the “passport for goods,” to provide broader access for local businesses to international markets and promote Filipino-made products globally.

In a statement, the DOF explained that the ATA Carnet is part of ongoing efforts to enhance the ease of doing business in the Philippines. The ATA Carnet is an international customs document that allows merchandise to pass through several customs checkpoints duty- and tax-free. Accepted by 81 customs administrations worldwide, the ATA Carnet system was established by the International ATA Conventions and is governed by the World Customs Organization and the International Chamber of Commerce’s World Chambers Federation.

“With this system, we now offer Filipino businesses cost-effective access to international trade exhibitions that would have otherwise been prohibitive for them to attend in the past,” said DOF Revenue Operations Group (ROG) Undersecretary Charlito Martin Mendoza. “This will increase export and import activities, enhance our trade balance, drive job creation, and attract foreign investments.”

The DOF emphasized that almost every industry with temporary importation can benefit from ATA Carnets, including commercial samples, professional equipment, and goods for display at exhibitions, fairs, and meetings. The system is particularly beneficial for micro, small, and medium enterprises (MSMEs), allowing them to participate in trade shows and sell their products on the spot.

The ATA Carnet also promotes trade efficiency by simplifying customs procedures with a single document for all transactions and facilitating entry to multiple countries at a predetermined cost. This system ensures the Bureau of Customs (BOC) can collect duties and taxes if goods are not re-exported within the stipulated time frame.

“We will leverage technology to streamline customs processes, enhance tracking and compliance, and ensure its seamless integration,” Mendoza added.

Recently, Customs released a memorandum entitled “Procedure in the Implementation of the ATA Carnet System in the Philippines under the Istanbul Convention,” integrating the ATA Carnet processing system into the existing BOC system. The DOF has been lobbying for the Philippines’ accession to the Convention of Temporary Admission of Goods (ATA Carnet) or the Istanbul Convention. The Philippine Chamber of Commerce and Industry (PCCI) was admitted as a member of the World Chambers Federation ATA International Guarantee Chain on November 21, 2023, and the ICC approved the full implementation of the Istanbul Convention in the Philippines on July 15, 2024.

As the National Issuing and Guaranteeing Association (NIGA), the PCCI is responsible for guaranteeing the payment of duties and taxes for temporarily admitted goods in case of violations related to conditionally free importation to the Philippines.

The DOF continues to collaborate with the private sector to boost opportunities for local businesses.

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