Subic auctioneers decry government move to freeze auctions

Subic-based trucks and heavy equipment auctioneers said yesterday consumers will have to bear the increase in transport costs and delayed completion of infrastructure development projects should the government decide to temporarily suspend regular auctions.

Romulo A. Armamento, president of the Association of Philippine Auctioneers, Inc., said the transportation cost of goods and services will definitely increase should the joint administrative order up for signature be implemented.

In a press briefing yesterday, Armamento said over 16,000 bidders from 21 countries, including the Philippines, have contributed to the country’s coffers with more than P300 million in revenues during the past eight auctions. He added over P70 million has been paid to the Subic Bay Metropolitan Authority and more than P9 million by way of port charges, on top of the 10 percent flat rate share from stevedoring and arrastre services.

"We cannot deny the fact not all contractors and agencies can afford to buy brand new and expensive trucks and heavy equipment," Armamento said. He added what could be bought from local assemblers cost from P5 million to P7 million, which they can sell at an average of P400,000 to 700,000 apiece.

This is because the auctioneers said they can import complete built-up units compared to complete knocked down equipment assembled at leading car and truck manufacturers. However, Armamento said all their duties for the imported trucks, farm and heavy equipment, have been paid.

"We are not and will never be smugglers," Armamento said as he downplayed accusations from still unidentified parties. He said he has successfully explained their position to the members of the House of Representatives who conducted marathon hearings on the issue. Armamento’s group is composed of Asia International Auctioneers, Inc., the Subic Auctioneers, Inc. and JMVC Holdings, Inc.

He also lamented the late invitation sent by the Economic Mobilization Group-Special Task Force for a meeting sometime ago. "What I cannot comprehend is the fact that we only had the chance to join the deliberations on the Group’s 19th meeting when almost everything has been ironed out," he said.

Armamento said their imported trucks, farm and heavy equipment comprise some five percent of the total importation nationwide.

He added their position has always been in line with the Trade Liberalization Law and the Foreign Investment Act which assure the Filipino families of the free flow of goods and services to the global market.

"Should government officials opt to suspend our regular auctions, protectionism will show it ugly head again," Armamento said.