Customs Declarations and Operations Quiz

Definitions and Terminologies

• A Client Exporter is a person who manufactures products using raw materials, accessories, and packaging materials for export or storage for authorized end users and clients.
• A Customs Bonded Warehouse (CBW) is a facility licensed by the bureau to import, receive, and store goods without paying duties and taxes, under bond, for manufacture into finished products for export or storage.
• Customs Premises refer to facilities, warehouses, ports, airports, wharves, infrastructure, and other premises over which the bureau has exclusive control, direction, and management for customs purposes.
• Customs Territory refers to areas in the Philippines where customs and tariff laws may be enforced.
• Diversion refers to the act of bringing bonded articles to a place other than their intended destination without prior authority from the bureau.
• An Entry refers to the act, documentation, and process of bringing imported goods into customs territory, including goods coming from free zones.
• Exportation refers to the act, documentation, and process of bringing goods out of the Philippine territory.
• An Extension Warehouse is a separate CBW facility granted by the bureau to an already authorized CBW operator to optimize capacity and efficiency in its operation.
• A Free Zone refers to a special economic zone registered with the Philippine Economic Zone Authority (PEZA) or other duly chartered or legislated special economic zones and free ports.
• A Formula of Manufacture refers to the formula of conversion issued by a duly authorized government institution to its CBW operator, determining the raw material usage and wattages of a particular finish product for export and subsequent liquidation.
• Goods refer to articles, ware, merchandise, and other items subject to importation and exportation.
• A Goods Declaration refers to a statement made in the manner prescribed by the bureau and other appropriate agencies, indicating the procedure to be observed in the application for the entry or admission of imported goods.
• Importation refers to the act of bringing goods from a foreign country into Philippine territory.

Customs Documents and Authorities

• An Alert Order is a written issue by the Commissioner, District Collector, or other customs officer authorized in writing by the Commissioner, after the lodgement of a goods declaration and before their actual release from customs authority.
• Authority to Operate refers to the authority given by the bureau to a person, natural or juridical, to establish and operate a CBW.
• Authority to Transfer refers to the document issued by the District Collector to a CBW, allowing the transfer or sale of imported raw materials, semi-finished products, or finished products.
• A Certificate of Authority to Operate is a document issued by the Bureau to operate, natural or juridical, to establish and operate a CBW.
• A Certificate of Identification (CI) is a document certifying that the finished product is from a particular warehouse entry.
• A Certificate of Importer Accreditation is a document issued by the bureau to an entity registered as an importer and recognized as electronically lodging goods declarations in the Bureau's existing registration system.
• A Certificate of Inspection and Loading (CIL) is a document issued by the Bureau, certifying the conduct of inspection over the cargo for export and its actual loading on the exporting carrier.