Question & AnswerQ&A (EXECUTIVE ORDER NO. 592)
Under Section 602 of the Tariff and Customs Code of the Philippines, as amended.
It is a project approved by the NEDA Board that uses container x-ray machines as an alternative to physical examination of shipments to speed up examination and movement of cargoes, prevent smuggling, and improve customs revenue collection.
Through a concessional loan granted by the Chinese government to the Philippine government, with the procurement of machinery from Nuctech Co. Ltd. of China under a government-to-government arrangement.
Importers and/or exporters who have shipments passing through any customs house are charged the CSF.
US$50 for every forty-foot container or US$25 for every twenty-foot container or twenty equivalent units (TEUs), convertible to Philippine currency.
The Commissioner may adjust the rates based on the schedule of fees approved by the NEDA Board.
75% is remitted to the National Treasury for repayment of the concessional loan and related charges; 25% is retained by the Bureau of Customs for administrative support and sustainability of the NCIS Project, including maintenance, investigations, training, and other enhancements.
After loan repayment, the 75% portion shall be deposited in the NCISP Trust Fund, along with the 25% portion retained by the BOC.
A trust fund created from the 25% portion of the CSF to support the NCIS Project’s sustainability. A permanent committee under Section 45, Chapter 5, Book VI of Executive Order No. 292, monitors the fund's activities and balances.
Concerned officials may be subjected to administrative sanctions according to existing laws, rules, and regulations.
It took effect immediately upon its publication in a national newspaper of general circulation.