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    PASG deputizes industry groups
    in campaign against smuggling
     
    By Max V. de Leon
    Reporter
     

    THE Federation of Philippine Industries (FPI) believes smuggling has a face for each industry.

    Taking this cue from the FPI, the Presidential Antismuggling Group (PASG) has started deputizing domestic industry groups so the agency could shift its drive against smuggling to a more focused and effective “by-industry campaign.”

    Antonio Villar, PASG head, signed separate memorandum of agreement (MOA) with eight industry associations during the Annual General Assembly meeting of the FPI over the weekend deputizing them in the fight against smuggling, which has been causing the government at least P100 billion in annual revenues.

    Those that signed the MOA with PASG are the Association of Petrochemical Manufacturers of the Philippines, Cement Manufacturers Association of the Philippines, Flat Glass Alliance of the Philippines, G.I. Wires Manufacturers Association of the Philippines,  Philippine Steel Rolling Mills Association, Philippine Pulp and Paper Manufacturers Association of the Philippines, Steel Angles Shapes and Section Manufacturers Association of the Philippines and Textile Producers Association of the Philippines Inc.

    Jesus Arranza, FPI president, said at least 10 more industry groups will be following soon.

    He said fighting smuggling by industry basis has been proven effective by the partnership forged earlier by the PASG, the FPI and the sugar industry.

    “Smuggling has different modes per industry so the PASG should know each industry by heart,” Arranza said.

    For example, Arranza said, the smugglers in particular sectors have their favorite ports of destination and bonded warehouses.

    They also know which raw materials, components or finished products the local manufacturers are most vulnerable to smuggling.

    By deputizing the local manufacturers, Arranza said each industry group will establish better rapport and exchange of information with the PASG.

    He said the industry groups can detail a representative to the PASG. The antismuggling agency, on the other hand, will be visiting the manufacturers’ plants so it could know fully their operations and how they are being affected by smuggling.

    Also, by deputizing them, the industry can now check the warehouses where smuggled goods could be stashed and do spy works for the PASG.

    Arranza said the country’s loss is not just limited to the estimated P100 billion in foregone duties and taxes yearly due to smuggling.

    He said the taxes being paid by the domestic manufacturers are also getting diminished every time they are forced to downsize due to cutthroat competition with smuggled goods.

    “And dying industries also mean workers losing their jobs. This is more than just a double-whammy,” Arranza said.

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