Policy Paper on Smuggling

Download Policy Paper on Smuggling

Post on 05-Aug-2016

213 views

Category:

Documents

0 download

Embed Size (px)

DESCRIPTION

Smuggling of Selected Agricultural Commodities in the Philippines

TRANSCRIPT

  • SUMMARY

    T his paper was prepared by the Southeast Asian Regional Center for Graduate Study and Research in Agriculture (SEARCA) as a milestone deliverable of the project funded by the Department of Agriculture Bureau of Agricultural Research (DA-BAR) titled, An Assessment of Smuggling on Selected Agricultural Commodities in the Philippines.1

    Through Focus Group Discussions (FGDs) and Key Informant Interviews (KIIs) done in various institutions (in the Philippines and its neighboring countries), the authors examined WKHG\QDPLFVRIVPXJJOLQJLQWKH3KLOLSSLQHVVSHFLoFDOO\DGGUHVVLQJWKHIROORZLQJ The nature and the extent of smuggling in the country; The effectiveness of existing policies to address smuggling; The channels of smuggling in selected agricultural commodities; and Policy implications to mitigate the problem of smuggling.

    0RUHRYHUWKHDXWKRUVKDYHLGHQWLoHGDQGDQDO\]HGoYHPDMRULVVXHVRQVPXJJOLQJ Policies and Procedures on Imports Tariff Rates Extent of Smuggling Value of Smuggling Effectiveness of Anti-Smuggling Policies

    6SHFLoF UHFRPPHQGDWLRQV IRU RSHUDWLRQDO SROLFLHV DQG OHJLVODWLYH DFWLRQV PHQWLRQHG LQWKLVSDSHUZHUHEDVHGRQWKHoQGLQJVRIWKHVWXG\RQVPXJJOLQJRQVHOHFWHGDJULFXOWXUDOcommodities in the Philippines.

    This paper includes an introduction which provides the context of smuggling in the 3KLOLSSLQHVDGHWDLOHGDQDO\VLVRIWKHoYHPDLQLVVXHVLQVPXJJOLQJDQGUHFRPPHQGDWLRQVfor operational policies and legislative actions.

    2

    PHOT

    O BY

    TAUF

    AN W

    IJAYA

  •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

    $ VWXG\ ZDV FRQGXFWHG RQ VSHFLFFRPPRGLWLHV NQRZQ WR EH LQWHUQDWLRQDOO\WUDGHGDQGVPXJJOHGLQWRWKHFRXQWU\ZKLFKKDYH VLJQLFDQW DGYHUVH HIIHFWV WR ORFDOSURGXFHUV 7KH FRPPRGLWLHV FRQVLGHUHGZHUHULFHFDUURWVSRXOWU\SRUNEHHIVXJDUDQGJLQJHU

    6HFRQGDU\GDWDRQWKHGRPHVWLFSURGXFWLRQDQGFRQVXPSWLRQRI ULFHVXJDUFDQHJLQJHURQLRQ FDUURWV SRXOWU\ GUHVVHG FKLFNHQEHHI DQG SRUN ZHUH REWDLQHG IURP WKH%XUHDX RI $JULFXOWXUDO 6WDWLVWLFV %$6

    6XSSO\ DQG8WLOL]DWLRQ$FFRXQWV 68$ IRUDJULFXOWXUH IURP WR 'DWD IRU DOOWKH VXSSO\ DQG XWLOL]DWLRQ RI WKH VHOHFWHGFRPPRGLWLHV IRU WKLV VWXG\ ZHUH UHSRUWHGLQPHWULFWRQVWH[FHSWIRUULFHZKLFKZDVUHSRUWHG LQ WKRXVDQG PHWULF WRQV %DVHGRQ WKLV 68$ WRWDO GRPHVWLF VXSSO\ WRWDOGRPHVWLF XWLOL]DWLRQ DQG QHW DYDLODEOH IRRGVXSSO\ ZHUH HVWLPDWHG 7KH VHFRQGDU\ GDWDIRU LPSRUWV DQG H[SRUWV ZHUH JHQHUDWHGIURPWKH)RRGDQG$JULFXOWXUH2UJDQL]DWLRQRI WKH 8QLWHG 1DWLRQV 6WDWLVWLFDO 'DWDEDVH)$267$7

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

    SMUGGLING IN THE PHILIPPINES

    Because smuggling affects government revenues, the competitive advantage of domestic industries, and employ-ment, among many, examining its nature, extent, and implica-tions should be top priority.

    3

    PHOT

    O BY

    GEM

    URD

    ANET

    A

  • 7HFKQLFDO VPXJJOLQJ LV FDUULHGRXW LQPDQ\ IRUPVDQG IDFHWVGHSHQGLQJRQWKHDELOLW\DQGZLOOLQJQHVVRI WKHSRUWDXWKRULWLHVWRLPSOHPHQWWKHH[LVWLQJDQWLVPXJJOLQJODZVDQGWKHLQFHQWLYHVDPRQJ WKH VPXJJOHUV $ODQR UHSRUWHG WKDW WHFKQLFDOVPXJJOLQJLQYROYHVWKHXVHRI OHJDOWUDGHFKDQQHOVLQEULQJLQJWKHJRRGVLQWRWKHFRXQWU\EXWVHYHUDOIRUPVRI PDQLSXODWLRQVDUH HPSOR\HG WR HYDGH SD\LQJ FRUUHFW GXWLHV 6RPH IRUPVRI PDQLSXODWLRQ LQFOXGH PLVGHFODUDWLRQ XQGHUYDOXDWLRQPLVFODVVLFDWLRQDQGIDNHGHOLYHU\GRFXPHQWDWLRQ0LVGHFODUDWLRQ LV GRQH E\ SUHVHQWLQJ IDOVLHG FXVWRPVGHFODUDWLRQSULPDULO\WRDYRLGSD\LQJKLJKHUGXWLHV$ODQR7KLVLVGRQHE\GHFODULQJDGLIIHUHQWDQGORZHUYDOXHSURGXFWWKDQ WKH DFWXDO LPSRUWHG LWHP )RU H[DPSOH WKLV KDSSHQVZKHQWKHVKLSPHQWGHFODUHVWKDWLWFRQWDLQVVKZKHQLQIDFWLW FRQWDLQV FKLFNHQZKLFK KDV D KLJKHU YDOXH DQG WKHUHIRUHFRPPDQGVKLJKHUWDULII

    8QGHUYDOXDWLRQ RQ WKH RWKHU KDQG LQYROYHV GHFODULQJ WKHFRUUHFW SURGXFW EXW WKH YDOXH LV ORZHU WKDQ WKH DFWXDO YDOXHVXFKWKDWWKHDPRXQWRI GXWLHVWREHSDLGLVDJDLQORZHU7KHDXWKHQWLFLW\ RI WKH UHFHLSWV RU WKH SRVVLELOLW\ RI REWDLQLQJUHFHLSWVRWKHUWKDQWKHDFWXDORQHIRUWKHWUXHVKLSPHQWLVDQLVVXHLQXQGHUYDOXDWLRQ

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

    RI VPXJJOLQJ DTXDOLWDWLYHDQDO\WLFDO WHFKQLTXHNQRZQDV WKH5DSLG$UHD$SSUDLVDO5$$ZDVHPSOR\HG:LWKWKHVHQVLWLYHGDWDJDWKHUHGWKLVSDUWLFXODUDQDO\VLVZDVFKRVHQWRGHWHUPLQHWKHQDWXUHRI LOOHJDOWUDGH)XUWKHUPRUHWKHVWXG\GUHZOHVVRQVIURPWKHVWDNHKROGHUVH[SHULHQFHVIURPWKHUHJXODWRU\DJHQFLHVRI WKHJRYHUQPHQWDVZHOODVRI WUDGHUVDQGSURGXFHUV

    7KHH[WHQWRI VPXJJOLQJZDVDSSUR[LPDWHGE\WKHGLIIHUHQFHEHWZHHQDSDUWLFXODUFRPPRGLW\VYROXPHRUYDOXHRI H[SRUWVDV GHFODUHG E\ WKH FRXQWU\ RI VRXUFH RI D SDUWLFXODU WUDGHG

    FRPPRGLW\ WR WKH LPSRUW YROXPH RU YDOXH RI WKH VDLGFRPPRGLW\ DV UHSRUWHG LQ WKH FRXQWU\ RI GHVWLQDWLRQ DW DVSHFLHGSHULRGRI WLPH%RWKLPSRUWDQGH[SRUWYDOXHVZHUHH[SUHVVHG LQ IUHH RQ ERDUG )2% WHUPV 7KH VWXG\ RQO\HVWLPDWHG WKH H[WHQW RI VPXJJOLQJ WKURXJK ZKDW KDV EHHQFRPPRQO\ UHIHUUHG WR DV technical smuggling. 7KH H[WHQW RI direct smuggling LV QRW REVHUYDEOH &RQVLGHULQJ WKH ORJLVWLFDOFRQVWUDLQWVWKHHVWLPDWLRQRI GLUHFWVPXJJOLQJZDVQRWFRYHUHGLQWKLVVWXG\

    NATURE OF TECHNICAL SMUGGLING

    4

    PHOT

    O BY

    IQBA

    L GUN

    ADHA

    RMA

  • $FFRUGLQJWRNH\LQIRUPDQWVLQWHUYLHZHGLWLVYHU\HDV\IRUWKHSRUWSHUVRQQHOWRGHWHFWLI DJULFXOWXUDOFRPPRGLWLHVDUHEHLQJLPSRUWHGLQWR WKH FRXQWU\ EHFDXVH WKH\ DUH FDUULHGLQ UHIULJHUDWHG YDQV XQOLNH PDQXIDFWXUHGJRRGVDQGDSSOLDQFHVWKDWDUHSXWLQRUGLQDU\FRQWDLQHUYDQV(YHQWKHQDORWRI DJULFXOWXUDOFRPPRGLWLHV KDYH EHHQ UHSRUWHG WR KDYHFRPHLQWRWKHFRXQWU\XQGHWHFWHGE\SURSHUDXWKRULWLHV DQG DUH WKHUHIRUH FRQVLGHUHGVPXJJOHG$VLGH IURP PDQLSXODWLRQ RI YDOXHV WKHFKDQJLQJSDWWHUQRI PHDWLPSRUWDWLRQIRUWKHODVWWKUHH\HDUVVHHPVWRIDYRUWKHVKLIWIURPWKHLPSRUWDWLRQRI IUHVKIUR]HQPHDWWRPRUHRI RWKHU PHDW FXWV DQG RIIDO ZKLFK DUH RI ORZHUYDOXH)RULQVWDQFHWKHWRWDOYROXPHRI PHDWLQWHQGHGIRUGRPHVWLFFRQVXPSWLRQKDVEHHQGHFOLQLQJLQSURSRUWLRQWRWKDWLQWHQGHGIRUZDUHKRXVLQJ$OWKRXJKWKHUHZDVDGHFOLQHLQWKHSURSRUWLRQRI PHDWDQGRIIDOLPSRUWHGIRUGRPHVWLFFRQVXPSWLRQLQWKHUHVWLOOZDVDJHQHUDOLQFUHDVHIRUWKHRWKHUW\SHVRI LPSRUWHGPHDW

    6PXJJOLQJ RI VXJDU FDQ HLWKHU EH GLUHFW RUWHFKQLFDO +RZHYHU XQOLNH LQ PHDW GLUHFWVPXJJOLQJ LVPXFK HDVLHU IRU VXJDU EHFDXVHLW GRHV QRW UHTXLUH D UHIULJHUDWHG WUDQVSRUWIDFLOLW\ $OWKRXJK XQGRFXPHQWHG RIFLDOO\WKHUH ZHUH UHSRUWV WKDW EDJV RI VXJDU ZHUHVWDVKHGDZD\LQWKHHQJLQHURRPRI WKHVKLSZKHUH WKH\ DUH XQOLNHO\ WR EH LQVSHFWHG ,QVXFKFDVHGLUHFWVPXJJOLQJRFFXUUHG

    ,Q VHYHUDO LQVWDQFHV VXJDU FDQ EH VPXJJOHGWKURXJK WKH GLUHFW FKDQQHO E\ GHFODULQJ LWDV SUHPL[ LQVWHDG RI SXUH VXJDU IRURXWTXRWD DQG IRU LQTXRWD 3UHPL[HVDFFRUGLQJ WR D NH\ LQIRUPDQW LQ WKH 6XJDU5HJXODWRU\ $GPLQLVWUDWLRQ 65$ DUHSRZGHUHGPL[HVRI VXJDUDQGRWKHUDYRULQJDQG FRORULQJ HJ RUDQJH VWUDZEHUU\ HWFXVHGLQEHYHUDJHV6LQFHWKH\DUHVXSSRVHGO\QRW SXUH WKH\ DUH FKDUJHG D PXFK ORZHU

    WDULII UDWHZKHQFODVVLHGDVRWKHUV7KHVDPHNH\LQIRUPDQWUHYHDOHGWKDWDVRIWGULQNVFRPSDQ\LQWKHFRXQWU\ZDVSXWLQDKRWVSRWZKHQXSRQUDQGRPVDPSOLQJRI LWVGHFODUHGSUHPL[ ODERUDWRU\ WHVWLQJ UHVXOWHG WR SHUFHQW VXJDU FRQWHQW IRU WKH VDPSOHGVKLSPHQW

    ,QTXRWD WDULIIV DUH WDULII UDWHV IRU YROXPHVLPSRUWHGZLWKLQWKHPLQLPXPDFFHVVYROXPH0$9 RU WKH SUHQHJRWLDWHG YROXPH RI DOORZDEOHLPSRUWDWLRQLQWRWKHFRXQWU\7KHVHDUH ORZHU WKDQ WKH RXWTXRWD WDULII UDWHVZKLFKDUHOHYLHGRQLPSRUWHGJRRGVWKDWDUHEH\RQGWKH0$9:KHWKHUWKHLPSRUWYROXPHLVZLWKLQWKH0$9RUQRWLVDOUHDG\LQGLFDWHGLQWKHDSSOLFDQWVLPSRUWSHUPLW

    )RU YHJHWDEOHV VPXJJOLQJ LV XVXDOO\ GRQHWKURXJKWKHOHJDOFKDQQHODVQRQLQFOXVLRQLQWKHPDQLIHVWRUWKH *UHHQ/DQH9HJHWDEOHVDUH KLJKO\ SHULVKDEOH DQG VKRXOG EH NHSW LQUHIULJHUDWHG YDQV IRU SURORQJHG VKHOI OLIHPDNLQJLWHDV\WREHLGHQWLHG+RZHYHUVLQFHWKH\DUHQRWLQWKHPDQLIHVWWKHVHVKLSPHQWVHYDGH LQVSHFWLRQ DQG DUH UHOHDVHG ZLWKRXWSURSHUGRFXPHQWDWLRQ7KLVXVXDOO\KDSSHQVZLWKRQLRQV

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

    5

    Technica