NTMS still a ‘major hurdle’ for exporters in region | Andrea E. San Juan

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NTMS still a ‘major hurdle’ for exporters in region | Andrea E. San Juan
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NonTariff measures (NTM) remain a “major hurdle” for exporters in the Philippines and other Asia-Pacific countries, according to a joint report by the International Trade Centre (ITC) and Economic and Social Commission for Asia and the Pacific (ESCAP).

NONTARIFF measures remain a “major hurdle” for exporters in the Philippines and other Asia-Pacific countries, according to a joint report by the International Trade Centre and Economic and Social Commission for Asia and the Pacific .

For instance, garment-exporting countries with “less vertically developed value chains” find it difficult to comply with local content requirements. Meanwhile, in the case of the Philippines, the report traced the hardship largely to the increased local use of imported textiles in their markets. In the Philippines, importer clearance certificates are required by the Bureau of Internal Revenue to start operations but are often delayed by up to a month subject to additional documentary requirements and need to be renewed yearly. These lead to procedural obstacles such as delays, additional costs and paperwork, the report stated.

For instance, the report said, “In the Philippines, the Bureau of Customs uses a three-month rolling period methodology that overvalues the product by up to a hundred times the original price, significantly increasing import duties.”

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