This is a re-posted op-ed piece.
Four years ago, backhoes went to work in Subic, destroying 18 luxury vehicles that were smuggled through the Freeport Zone. Customs officials opposed proposals to sell the vehicles instead, saying smugglers participated at auctions and ended up getting their hot goods legally. So the destruction was conducted with fanfare, ostensibly to make sure smugglers got the message.
They probably did, but only while the heat was on, which in this country could last no more than a few months. These days the Land Transportation Office is trying to trace 172 luxury vehicles that cannot be accounted for at the Subic Bay Freeport Zone. The 172 were issued warrants for seizure and detention by the Subic Bay Metropolitan Authority but can no longer be found at the Freeport.
Those who can bring in vehicles duty-free through the Freeport are diplomats and those employed within special economic zones. For the second category, the vehicles can be used outside the zones only temporarily, and with the permission of the zone administrator. Employees who want to own the vehicles and use them freely outside the zones must pay import duties and comply with all requirements for vehicle registration. This privilege has been abused for many years, with smugglers exploiting loopholes in rules on vehicle importation. Legitimate dealers have long complained about vehicle smuggling through special economic zones, with influential politicians believed to be involved in the lucrative enterprise.
The destruction of those 18 luxury vehicles should have paved the way for an overhaul of the rules. But the case of the 172 luxury vehicles that have gone missing from the Subic Bay Freeport Zone indicates that smugglers are back in business. Like many other campaigns against illegal activities in this country, the one against vehicle smuggling has not been sustained. Apart from tracing those 172 vehicles, the government must tighten rules on vehicle importation through special economic zones. Smuggling poses unfair competition and is one of the biggest sources of corruption. There cannot be room for this in the administration of daang matuwid.
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Source: The Philippine Star, Editorial, Sept. 20, 2011
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