Domestic manufacturers are up against what they called a brazen anomaly in the importation of palm olein supposedly to be used for animal feeds in order to avoid paying the corresponding taxes and duties.
In a letter to the Bureau of Customs Commissioner Ariel F. Nepomuceno dated July 4, 2025, the Federation of Philippine Industries (FPI) led by its president Jesus L. Arranza, who is also chairman of the FPI Fight-Illicit Trade and Anti-Smuggling committee, the group has sought an audience to present various issues, particularly smuggling of palm olein.
“This anomaly is so brazen because it does not only involved the BOC, but, the Bureau of Animal Industry (BAI) and the Food and Drug Authority (FDA), as well,” alleged the FPI letter signed by Arranza.
FPI stressed that local producers and manufacturers in the Philippines are the most affected by illicit trade including all forms of smuggling.
Being the government agency that is the first line of defense against smuggling, FPI said they are earnestly seeking an appointment with the BOC chief at anytime convenient to his convenient.
“We will present various issues during the meeting where we could come up with a strategic working relation to support you in your new position particularly considering that President of the Philippines who has always been responsive to our concerns has his full confidence with your appointment,” the letter added.
One of the issues that reached President Marcos, FPI said is their exposé of the unscrupulous importation of palm olein supposedly to be used for animal feeds in order to avoid paying the corresponding taxes and duties.
FPI further noted that the directive issued by the President, as the tax leakage according to the House of Representatives reached P45 billion in a span of 15 years, to investigate the matter immediately resulted in the 70 percent stoppage of its importation.
