Title
CBW Goods Transfer Compliance Rules
Law
Boc Memorandum
Decision Date
Jan 20, 1999
The BOC Memorandum mandates that all transfers of raw materials or goods from Customs Bonded Warehouses to accredited subcontractors and economic zone locators must undergo strict verification and certification by Customs Warehousemen to prevent misdeclaration and ensure compliance with established regulations.

Q&A (BOC MEMORANDUM)

Before transfer, the Customs Warehouseman must verify and certify the exact quantity and description of the raw materials or goods to be transferred, and the transfer must comply with the warehousing entry requirements under CMO No. 39-91 implementing CAO No. 2-91.

No, shipments must first be physically transferred and deposited to the Customs Bonded Warehouse as per the provisions of CMO No. 39-91 before transfer to accredited subcontractors or members of Common Bonded Warehouse.

The certification ensures accurate identification and determination of the description and quantity of goods, serving as a control mechanism against misdeclaration, over-quantity transfers, and for monitoring imports effectively.

A warehousing entry must be filed before any transfer of goods from Customs Bonded Warehouses.

For garment manufacturers, only pre-cut or cut-to-pattern materials may be transferred unless otherwise approved by the Garments and Textile Export Board (GTEB).

The transfer must be covered by a corresponding boatnote, withdrawal permit, or authority to withdraw, which should be recorded in a logbook by the Customs Warehouseman.

The rules under CMO No. 39-91 implementing CAO No. 2-91 concerning establishment, supervision, and control of Customs Bonded Warehouses are being implemented.

Transfers are allowed only under Section 105 of the TCCP and subject to compliance with specified conditions including warehousing entry and certification by the Customs Warehouseman.

Such practice renders the control mechanism ineffective, allowing risks of misdeclaration, over-quantity transfer, and hampers the monitoring of importation activities.


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