By PhilExport News and Features

07 July 2018

Published also in Business Mirror

EXPORTERS are seeking clarification from the Philippine National Police (PNP) on unresolved issues on the implementing rules and regulations (IRR) on controlled chemicals, noting these have adversely affected the competitiveness of the industry.

In a letter to Police Director General Chief Oscar D. Albayalde of the PNP, Philippine Exporters Confederation Inc. (PhilExport) President Sergio Ortiz-Luis Jr. said these issues have remained pending since the approval of the IRR in June 2016.

The PNP is implementing the IRR on Controlled Chemicals pursuant to Section 4C and 4F of Presidential Decree 1866 on illegal possession of firearms and explosives, as amended by Republic Act (RA) 9516 approved on June 9, 2016.

“While we appreciate the objective of the IRR toward promoting and preserving national security, there are issues that have yet to be resolved which have adversely affected the competitiveness of the industry, particularly stakeholders in the housewares sector that use these regulated chemicals in their production,” Ortiz-Luis said.

The Export Development Council Networking Committee on Trade Policies and Procedures Simplification (NCTPPS), which is chaired by PhilExport, underscored the need for the PNP to determine threshold quantity on controlled chemicals for micro and small enterprises (MSEs) and provide guidelines on its implementation.

The Department of Trade and Industry (DTI) has issued Department Administrative Order 18-01 in January with subject guidelines on certifying MSEs engaged in the business of purchasing PNP-controlled chemicals.

“However, this is still cannot be implemented since the PNP is yet to determine threshold quantity for MSEs,” NCTPPS said.

It also urged the Department of the Interior and Local Government/PNP to review and amend Executive Order 256 to rationalize fees for the application for controlled chemicals and the removal of fee for permit to unload, subject for consultation with relevant stakeholders.

Stakeholders have been recommending the removal of the requirement of permit to unload. Unloading is said to be an integral part of the importation process.