Daytime truck ban in Manila hurts Customs revenues

By , on February 25, 2014


36007_405720121143_7995496_n

Manila, Philippines — The daytime truck ban in Manila is hurting the revenues of Bureau of Customs (BOC).

This was expressed by Customs Commissioner John Philip Sevilla, stating that the agency’s two largest collection districts posted a 35-percent decline in revenues.

From a daily average of P613 million, it dropped to P397.2 million on Monday as trucks that weigh 4,500 kilogram such as eight-wheeler trucks, gravel and sand trucks, cargo trucks, cement mixers, sand tractor trailers and container trucks were banned from entering Manila from 5 a.m. to 9 p.m.

Decline in revenues

On the first day of the truck ban, only four container vans were released by the Manila International Container Port (MIC), while not even a single cargo was released by Port of Manila (POM).

“From a daily average of almost P360 million, MICP was only able to generate P262.8 million or a 27-percent decline while revenues of POM dropped by 47 percent to P134.4 million from the previous daily average of P253 million,” the agency said.

On Tuesday, Feb. 25, BOC released a report to validate its earlier claims that the new measure would affect the agency’s revenue collections.

“While there are conditions and factors that are beyond the control of the Bureau of Customs, we are ready to adjust to the needs of importers and other stakeholders,” Sevilla said.

The agency is now coordinating with affected stakeholders, including the Port Users Confederation, as well as Asian Terminals, Inc. and the International Container Terminal Services, Inc., private port operators that run POM and MICP, respectively.

Meanwhile, Manila Mayor Joseph “Erap” Estrada asked the operators and drivers of cargo trucks to give the daytime truck ban, a chance to prove its effectiveness within six months.

At least 6,000 trucks operate in Manila everyday, Estrada said.

A fine of P5,000 will be charged to violators of the daytime truck ban.