The Bureau of Customs has issued guidelines which will improve Electronic Certificates of Origin (e-CO) transactions at the Agency.
The transactions are expected to become faster and easier, without prejudice to its quality and accuracy in terms of computations for dutiable values.
According to a recent press release, Customs Memorandum Order (CMO) 15 – 2019 provides the guidelines for the application, submission, and processing of all e-CO through TradeNet.gov.ph.
CMO 15-2019 for e-CO
The order will facilitate the acceptance of a practically paperless e-CO among the ASEAN Member States (AMS).
Moreover, it will be pursuant to the protocol on the legal framework to implement the ASEAN Single Window (ASW) and the amended ASEAN Trade in Goods Agreement (ATIGA) Operational Certification Procedure.
The granting of zero or reduced tariff rates on certain goods originating from ASEAN countries is in line with ATIGA’s goal of having free and faster flow of goods among the 10-member nations of the ASEAN region.
Not only will this boost the creation of an ASEAN single market, but it will also help strengthen an economically integrated ASEAN region.
The Philippines should not be left behind in the global trade trend. It is a signatory to trade agreements and is compliant to global trade rules and trends.
Although duties and taxes are important for the country’s economy, the electronic processing of the certificate of origin will include the Philippines in the loop of the global trade networks.
The preferential tariff rate of duty is being granted to certain goods that satisfy the following conditions.
- It originated from an AMS, following the ATIGA’s Rules of Origin and Operational Certification Procedure (OCP).
- It presented a document called Certificate of Origin (CO) Form D, which certifies that the goods originated from AMS.
Connection to the ASEAN Single Window
The Philippines was connected to the ASW through TradeNet.gov.ph, which is the new National Single Window (NSW).
TradeNet.gov.ph is the online portal where the automated licensing, permit, clearance and certification systems of Trade Regulatory Government Agencies are integrated.
It was designed as the official government system for electronic exchange of data on trade between and among various Philippine government agencies, as well as between the Philippines and other countries.
It was developed and established by the Department of Finance’s Inter-Agency Business Process Interoperability (DOF-IABPI) and Department of Information and Communication Technology (DICT).
The portal will be tested live in certain major ports of the Bureau and will be reviewed per stage.
The testing will happen at the Port of Manila, the Manila International Container Terminal and the Ninoy Aquino International Airport.
The objective of implementing this measure is to facilitate the transmission of e-CO for export products and the receipt of e-CO for imported products using available technologies and international best practices, in compliance with the Customs Modernisation and Tariff Act (CMTA).