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    Taiwan Walks. A worker walks in front of a row of cranes at the port in Kaohsiung, Taiwan, on Nov. 7, 2007. Taiwan’s export growth probably slowed in October as a housing recession eroded demand from the US, the island’s second-biggest market. --Maurice Tsai/Bloomberg News


    Customs unit claims container
    scanning system no ‘ZTE’
    By VG Cabuag

    Reporter

    THIS early, the Bureau of Customs (BOC) seeks to crawl out of the shadows of a controversial telecommunications deal with the government of the People’s Republic of China, citing the new project to check containers in ports is a different story.

    In a paper sent by facsimile to BusinessMirror, the BOC’s Enforcement and Security Services (ESS) office said the ‘nonintrusive’ container inspection system (NCIS) is not the same as the national broadband deal that Philippine and Chinese government executives inked this year.

    “Definitely not,” the ESS document titled “FAQ on NCIS Project” said.

    To note, the NCIS project requires exporters and importers to pay $20 for scanning a standard 20-foot metal container and $50 for a 40-foot box. The ESS said this payment system would be handled by Chinese firm Tsinghua Tongfang Nuctech Co. or Nuctech.

    The ESS said the BOC “deals directly with the Chinese manufacturer [Nuctech].”

    The national broadband project, meanwhile, taps ZTE Corp., which some legislators said bagged the deal on questionable circumstances.

    The P5.8-billion NCIS project involves buying 20 x-ray units bought under a concessional loan through a government-to-government Bilateral Framework on Economic Cooperation between the Philippines and China.

    The ESS avers the NCIS project was given “the lowest interest rate [2 percent] and no local borrower’s counterpart funding requirement.”

    Comparing it to the Philippine-China broadband project, the ESS claims that ZTE “availed themselves of a preferential buyer’s credit” and that “the contract required a 10-percent upfront payment from the Philippine government prior to local utilization.”

    In the NCIS project, local shippers are expected to shoulder the cost of scanning goods in the Philippines’ main ports.

    The fee, however, will only be levied until all scanning units are installed in ports that include the Ninoy Aquino International Airport, the Manila South Harbor, the Manila International Container Port, and terminals in Batangas, Cebu, San Fernando, Legaspi, Iloilo, Tacloban, Surigao, Cagayan de Oro, Zamboanga, Davao, Subic Bay and Clark Field.

    Besides complying with US security requirements, the project aims to ensure that all shipments bound to the United States are free from any radia- tion used for manufacturing so-called “weapons of mass destruction.”

    The project, which involves the purchase, installation and operation of another 20 mobile x-ray units in major customs areas, would be funded from a loan from the Chinese payable in 20 years, inclusive of a five-year grace period.

    The ESS claims “[t]hese terms can not be matched by any international lending agency…[w]hich shows the trust and confidence china [sic] has in the Phil government fiscal stability.”

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