Textile firms alarmed over proliferation of smuggled clothing

The Federation of Philippine Textile In-dustry (FPT) expressed alarm yesterday over what it refers to as the continued smuggling of used clothing through the country’s eco-nomic zones.

FPT secretary general Jesus Aranza said importation of used clothing is banned by law, yet it continues to take place at the Subic and at Clark ecozones. Often, the goods end in the local market, he added.

According to Aranza, used clothing that are shipped mostly from the United States, Bang-kok and Hong Kong are flooding the local market to the detriment of the locally-made clothes.

Only recently, he said 40 garment factories have closed shop in Canlubang, resulting in thousands of employees losing their jobs.

Aranza said smuggling of the banned items could not take place unless there is a conspiracy between Customs personnel and those of the economic zones.

Importations made through the ecozones are tax-free, provided they are not sold for domestic use.

Aranza and top officers of the textile in-dustry met with Customs Deputy Commissioner Ray Allas to plan a course of action aimed at stopping the smuggling of used clothes.

One of the measures agreed upon was to strictly enforce the rules and regulations on the importation of used clothing by groups using religious or charitable organizations to beat the ban.

Under the rule, importation of used clothing is allowed if sanctioned by the Department of Social Welfare and Development (DSWD).