Bureau of Customs (BOC) Commissioner Yogi Filemon Ruiz has signed with his Chinese counterpart an agreement that would pave the way for fast and priority treatment of shipments between the Philippines and China.
Ruiz said the Mutual Recognition Arrangement (MRA) he signed with Chinese Minister of Customs Yu Jianhua will boost the Authorized Economic Operator Program (AEO), a partnership pursued globally by customs administrations to secure and facilitate trade by providing incentives to traders working jointly with customs administrations to improve supply chain security.
MRAs serve as a platform for AEO programs to provide additional benefits to their members through international recognition with partner countries. Under the MRA, Level 2 Certified AEO members accredited by the BOC exporting to China will be afforded trade facilitation benefits.
"Generally, MRA benefits include a higher level of facilitation during cargo clearance, domestic and overseas; priority treatment if the cargo has been selected for inspection; and expedited customs cargo clearance in the event of trade disruption," Ruiz explained.
"AEO companies would thus enjoy cost savings due to better predictability of cargo movement," he added.
Similarly, exporters to the Philippines accredited as Advanced Certified Enterprises under the measures of the Enterprise Credit Management Programme of the GACC will be afforded trade facilitation benefits by the BOC.
The BOC and China's customs office are expected to develop an implementation plan for the recognition, trade facilitation benefits, and exchange of information before its implementation six months from the signing.
The MRA was signed during President Ferdinand "Bongbong" Marcos, Jr.'s visit to China on Jan. 3-5.
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