I,IANIIA.
PHITIPPINES I TUESDAY 28 JANUARY 2O2O
ouse eyes rggulating
shipping charges
The JAO was part of DTtr's commitment to stakeholders to flnd measures to address the high cost of
international shipping, a frequent complaint among stakeholdqrs
The House of nepresentatives (HoR) will
push for the uswiftn passage of a measure
seeking to regulate foreign shipping lires'
charges to help lower the cost for ir4porieis
and bring down the price ofconsumer goods.
House Speaker Alan Peter Cayetano, in a
statement, said importers have n0 choice but
to pass on the high shipping costs, leading
to higher prices of consurner goods.
nLocal producers who import raw
materials are forced to pay exorbitant
shipping fees, which jack up their production
costs, and, in the process, result in higher
prices for domestic consurners,' he said,
'In the end, it's the consumers that
we're trying to protect. This will also help
the government improve its tax collection
capabilities,' Cayetano added.
The House speaker said he is coordinating
with the Department of Trade and Industry
(DTI) on consotidating the agency's draft
bill regulating foreign shipping liners' with the
charges .with siryilar House bills (HB) filed
by lawmakers.
DTI Unders€oetary of the Competitiveness
and Ease 0f Doing Business Group, Rowel
Barba, earlier said the DTI is drafting a
bill'that will cover 'addiiional charges' of
foreign shipping lines calling on Philippine
ports. He said it will not cover freight rates
as these are not regulated internationally.
Barba said he hopes the draft biil would
be linished by the end of Janualy, adding
the bill will be endorsed to both houses of
Congress.
IIe explained the move toward legislation,
instead of the plan to issue an Executive
Order (EO), was decided because 'after a
series ofronsultations with other govemment
agencies, the best option is thru legislati0n.'
\ n4ge - Kzrqtr
In February last year, the DTI, together
Department of Transportation
(DoTr) and the DBpartment of Finance
(DoF) relea.sed a dra.ft joint Administrative
Order (JAO) intending to regulate origin
and destination charges imposed by foreign
carriers, and to lessen or eliminate port
congestion,
The JAo was part of DTI's commitment
to stakeholders to find m€asures to address
the high cost of international shipping, a
frequent complaint among stakeholders.
But by July 2019, DTI announced that
instead 0f a JAo, it would push for 8n E0
instead in order to give nmore teeth' io the
proposed policy.
Then in November 2019, DTI Se$et8ry
Ramon I-opez said the "way to go is lggislation:
and thal "we need a new law because it might
not be enough to have ar EO.'