Automation of the

Application and Issuance of the

SPS Import Clearance

Francis Norman Lopez

President
Agenda

• Introduction
• BOC e2m Import Procedures
• DA Automated SPS Import Clearance
• National Single Window
• Moving Forward
• Q&A
 About InterCommerce

• IT, Value Added Network Services company

– with more than 22 years experience in B2B transactions, and
– more than 12 years in eCustoms Services – accredited as EDI VAN in
1998 and now Accredited by Customs, PEZA, Clark and Subic
Freeports, the Board of Investment and the Department of Agriculture:
BAI, BPI and BFAR - as Value Added Service Provider (VASP) PEZA

• A distributor of Global Exchange Services – GXS, the largest

global B2B eCommerce services provider
• Member, Pan Asian eCommerce Alliance (PAA)
Department of Agriculture
• Independent IT Company - No Affiliation with any logistics
company (broker, forwarder, warehouse operator), thus no
potential conflict of interest with client logistics providers, and
BPI BAI
ensuring data confidentiality and integrity
• InterCommerce . . . YOUR Value Added Service Partner BFAR

Local Focus – Global Reach !

Pan Asian eCommerce Alliance

 Established in 2000
 12 Members VASP
accredited by
respective
Customs
authorities; INS –
12th Member
 Legal framework,
PKI mutual
recognition, and
secure cross
border transaction
service
 Import Entry Workflows – e2m IAS

Application to Import Clearance SPS Import National

DA: BAI, BPI, BFAR Clearance Data Single Window

Airline/
Shipping Line
Forwarder/
Consolidator
Manifest/BL
(BOL, GEN CTN)
IED,
Import Entry SAD
(Formal/Wrhouse) Internet

BOC
Broker Response: VASP e2m IAS
Assessment Importers’ VASP
Final/Temporary Online Visibility: Gateway
Invoice, Import Entry, Release
BL/AWB Assessment Instruction
Statement of Settlement
CPRS Of Duties and Taxes (SSDT)
Approved Arrastre, Whse,
COR w BOC CCN CY-CFS
Importer
Certificate of BOC Final Payment Instruction
?
Registration/CCN
Debit from
Importer Account
(Net: duties, taxes, fees – IPF, CSF, others)

AAB Final Payment Confirmation

AAB BAP/PASS5
BRN + Auto Debit
Agreement (ADA)
Role of Value Added Service Provider -
VASP

 Enabler for electronic transactions with Customs and other

government agencies
– Provide front-end ICT systems available to registered
importers, exporters and designated brokers, and
infrastructure and telecommunications facilities, to allow
electronic transactions with back-office system of Customs
and OGAs,
– Conduct orientation and user training
– Provide customer support and helpdesk
 Adopt to global best practices to facilitate trade,
particularly cross border information exchange
VASP Role in SPS IC Implementation

• InterCommerce enabling the importers

– Orientation on automated permit processes and
requirements, and assistance for compliance to agency
requirements
– Provision of an online system (24/7) for the preparation of
the permit application to agency accredited importers
– Hands-on user training and initial implementation
– Integration of data for other trade processes and generation
of reports
– Technical support and Helpdesk (8:00am to 10:00pm,
Monday to Sunday)
 Import Workflows – eg BAI

Start • Accreditation of regular importer of import

SCM: PO,
products regulated by DA Agencies
Proforma Invoice • Import product may require registration or be
subject to laboratory tests and BFAD
BAI: Import Permit Certificate
Clearance
• Copy of approved Import Permit submitted to
supplier as a requisite prior to export (BAI)
BIR: ATRIG
• Ship-out date must be within 60 days after
Import Clearance approval
BOC: Import
Entry, Release • Import Permit/Clearance and Certificate
required by BIR for issuance of ATRIG (BAI)
End
• Import Permit/Certificate and ATRIG required
by BOC for processing import entry and
release of goods
BAI Import Clearance, Permit

• Application Forms
BAI
Application Form
– NVQS Import Clearance Harmonize
– AFSD Import Permit
– LSD-VBSS Permit
Forms
Submit
Application • BAI Product Groups
– Animal and Animal Products
Pay Import • Live animals, Animal by-products,
Permit/Clearance Fee Animal products Pre-Qualify
BAI Review, – Feeds and Feedstuff Importer, Products
• Feed ingredients and components,
Process, Endorse Veterinary drugs and products
– Veterinary Biological Products
Print Import Clearance for
Approval/Signature • Cycle Time
– Average 3 days
Reduce Cycle
Approve, Sign
Notarize
Time
Import Clearance • Fees
– P100, P125, P200, P250 and P500

• Other Expenses
– Man-hours
– Transportation
Reduce Costs
– Other expenses due to delays in the
approval of the permit
Automated Import Permit Model

• Accreditation and Registration

– Importers and respective products
– Online repository, database and maintenance

• Electronic Processing by Agency

– Automated validation of mandatory data eg only accredited
importers and registered importables
– Automated/online review, endorsement and approval
– Autodebit payment of agency/permit fees
– Online printing of approved permits with reference number
and barcode
 DA SPS Import Clearance - Overview

BPI Plant,
Plant Products

BAI Live Animal

BAI Animal
Internet
Products

Importer, BAI Veterinary

Authorized & Biologicals
Rep/Broker DA Trade System
BFAR, Fisheries
and Aquatic
Resources
BPI, BAI, BFAR
Quarantine Offices

DA ITCAF
(System Administrator)
Importer Procedures

Registration Application Utilization

• Registration with • Online preparation, • Send copy of SPS

DA Agency via Internet/INS Import Clearance
• Submission of the • Electronic to supplier (origin)
List of Importables submission of SPS • Submit SPS IC +
Application Certification to BIR
• Remittance of
Advances for SPS • Receipt of BAI for ATRIG
Fees to DA Agency Response • Attach SPS import
Cashier Clearance doc to
• Printing of the
Approved SPS Import Entry
Import Clearance, Declaration
Import Certificate
 Agency Procedures

Registration Processing Quarantine

• Approve importer • Automated validation of • Quarantine Officer

registration data access to approved
• Approve the List of • Review of application, SPS Import Clearance
Importables determine other • Validate SPS
• Receipt of Advances conditions of import document vs
for SPS Fees, • Autodebit payment of SPS approved SPS online,
issuance of Official Fee cargo
Receipt • Endorsment and Approval • Approve clearance
and release of cargo
• Agency transmits
response to Importer and
approved SPS data to
NSW
Changes in Procedures

• Use of online forms for preparation, support documents

(scanned documents) attached to application, 24 / 7
• Harmonized SPS Import Clearance form for BAI, BFAR and BPI
• Eliminate manual steps:
– Submission of application form and support documents
– Manual, over the counter payment of SPS Fees
– Manual typing of NVQS Import Clearance, AFSD Import Permit,
LSD-VBSS Permit and BAI Certificate for BIR ATRIG
– Physical signature on document
– Notarization of Import Permit
• Electronic submission of approved SPS data to NSW for
Customs automated validation vs import declaration
• Advanced information on approved SPS Import Clearance to
Quarantine Officer
Benefits

• Agency
– Focus on substantive functions, less clerical tasks
– Faster cycle time on processing and issuance of permit
– Advance information to quarantine officers assigned at ports
– Online databases, real time reports and statistics

• Importer
– Faster, predictable response time to permit applications
– Improved compliance to policies and procedures
– Less clerical task and document handling
– Cost savings on trade processes
Importers : Next Steps

• With DA
– Accreditation with respective agencies
– Registration of importables for agency approval
– Advances for SPS Import Clearance Fee

• With InterCommerce
– Registration for DA SPS IC Services, Online Visibility
– Attend User Training of online preparation and submission of
SPS Import Clearance, Online Visibility (Transactions with
DA and Customs)
– Advances for INS Transaction Charges
Questions and Answers

Unit 2203, 88 Corporate Center

Sedeno St., Salcedo Village
Makati City 1227
Telephone: +02 843 2792
Fax: +02 843 8160
Email: [email protected]
www.intercommerce.com.ph
Registry of Importers
Online Registration of Importer
List of Importables of Importers
Importer Access to InterCommerce
Select WebCWS Application
Preparation of the Application for SPS
Select Agency
Confirm Importer Data
Add Purpose and Supplier Data
Add Import Shipping Data
Add Item
Add Item Details
Attach Support Documents
Submit SPS Application
Monitor Balance of Advances with Agency
Application Received by Agency
Login as Reviewer
Select Application for Review
View Details
Add Conditions
Login for Endorsement to Director
Select SPS Application
View Details,
Conditions and
Endorse
Login as Director for Approval
Select SPS Application
View Details,
and Approve
 WORLD TRADE G/SPS/GEN/1001

WTO Notice ORGANIZATION

8 March 2010

(10-1233)

Committee on Sanitary and Phytosanitary Measures Original: English

PILOT IMPLEMENTATION OF THE INS TRADE SOFTWARE SYSTEM

Communication from the Philippines

The following communication, received on 3 March 2010, is being circulated at the request of
the Delegation of the Philippines.

_______________

1. The Philippine Department of Agriculture has adopted a procedural shift from manual to
automated application and issuance of Sanitary and Phytosanitary (SPS) Import Clearance. It has
started the pilot implementation of the INS Trade Software System which automates the application
and issuance of SPS Import Clearance since 16 December 2009 until the month of March 2010. SPS
Import Clearance is a document that shall be used by the selected pilot importers to undertake
importations with their foreign suppliers, replacing the Veterinary Quarantine Clearance (VQC), Plant
Quarantine Clearance (PQC), and Import Permit (IP) issued by the Bureau of Animal Industry (BAI),
Bureau of Plant Industry (BPI), and Bureau of Fisheries and Aquatic Resources (BFAR), respectively.

2. One of the highlights of this activity is the pilot dry run/test of the system where the selected
pilot importers will do live transactions from application, processing, approval of the SPS import
clearance, up to the arrival and inspection of the imported commodity at the port.

3. In this regard, we would like to inform the entire membership of the WTO that the SPS
Import Clearance issuing agencies, i.e., BAI, BPI, and BFAR and pilot importers shall be using the
attached harmonized forms1 of the SPS Import Clearance for the entire duration of this exercise.
Please note, however, that while the system is in pilot mode, import permits issued to other importers
through the manual processing and issuance procedure are still valid for importation and inspection.

4. Furthermore, we would also request the cooperation of WTO Members in informing their
relevant agencies and suppliers of this exercise, in order to facilitate and ensure the smooth
implementation of this activity.

_______________

Back to
BAI Procedures
1
In English only.
Login as Quarantine Officer at Port
View Approved SPS Import Clearance
View SPS
Details
Tag SPS
as Used
Input Data on Actual Inspection
Record of Actual Inspection
 Importer Registration with InterCommerce

1. Importer registers with InterCommerce online

(www.intercommerce.com.ph), providing UserID, password
2. Submit accomplished and submits Registration for CPRS and
Online Visibility
3. Upon validation, InterCommerce activates UserID, password

With registration with InterCommerce, importers have

FREE access to eCustoms Services: CPRS preparation, submission,
Online Visibility on trade transactions, download SSDT and
Management Reports eg Monthly Statement of VAT payments
Questions and Answers

Unit 2203, 88 Corporate Center

Sedeno St., Salcedo Village
Makati City 1227
Telephone: +02 843 2792
Fax: +02 843 8160
Email: [email protected]
www.intercommerce.com.ph