House, DTI team up to regulate PHL shipping costs

Legislators are now looking at regulating shipping rates in the country and lowering costs for importers, in efforts to bring down prices of consumer goods.

In an emailed statement, Speaker Alan Peter Cayetano said the House of Representatives will work with the Department of Trade and Industry (DTI) to "swiftly" pass a measure to regulate shipping rates.

"Local producers who import raw materials are forced to pay these exorbitant shipping fees, which jack up their production costs, and, in the process, result in higher prices for domestic consumers," he said.

According to Cayetano, the high shipping fees force importers to pass on these costs to consumers, leading to higher prices of goods.

"Ang prinoprotektahan natin dito, in the end, ay ang ating consumers. This will also help the government improve its tax collection capabilities," he said.

Moving forward, Cayetano said the House will coordinate with the DTI in reconciling and fine-tuning a draft bill that the department is set to submit by this month.

At least two bills seeking to regulate and standardize local fees imposed by foreign shipping lines are currently pending in the House.

House Bill No. 4316 filed by Bagong Henerasyon Party-list Representative Bernadette Herrera-Dy aims to standardize local charges at both the origin and destination imposed by international shipping firms.

Meanwhile, HB 4462 filed by Ang Probinsyano Party-list Representative Ronnie Ong mandates the Maritime Industry Authority (MARINA) to promote fair and transparent destination fees and other shipping charges among freight forwarders.

To recall, the DTI earlier planned to issue a Joint Administrative Order –together with the Department of Transportation (DOTr) and the Department of Finance (DOF) –on the regulation of local fees.

The agency later decided to instead ask the President to issue an Executive Order on the matter.

The DTI was later prompted to draft a bill and submit it to Congress to give more teeth to the measure. —Jon Viktor Cabuenas/LBG, GMA News