Philippine gov't implements "systemic reforms" to fight smuggling

The Philippine government has adopted "systemic reforms" to combat rampant smuggling in the country, a senior government official said here Tuesday.

Philippine Presidential Communications Operations Office Secretary Herminio Coloma Jr. said in a news briefing in Malacanang, the presidential palace, that President Benigno S. Aquino III has ordered new Bureau of Customs Commissioner John Sevilla to take steps to promote transparency and openness and adopted a systemic approach to plug loopholes and minimize opportunities for graft and corruption in his agency.

Among the specific measures being implemented now at the bureau include centralized single reference for valuation information and implementation of a single dispute resolution process for valuation, he said.

The Customs bureau has also started digitization of every single formal transaction, review of the monitoring of Customs bonded warehouses, revamp of the importer accreditation process, and has intensified monitoring of sensitive imports, Coloma added.

He also said that the Philippine government acknowledged the need to amend the Customs and Tariff Code to strengthen the anti- smuggling campaign of government.

"We assumed office without any illusion that this (smuggling issue) is a small-time problem. We realized that this is a systemic and deeply-rooted problem that is why we are prepared to address it strategically and to adopt long-term solutions," he explained.

Washington-based Global Financial Integrity group earlier reported that for the past 51 years until 2011, the "illicit funds " flowed into and out of the Philippines were estimated at 410.5 billion U.S. dollars, bulk of which came from smuggling.