Solons support used-truck importation

Two congressmen supported yesterday the proposal to liberalize the importation of second-hand trucks, saying it will be a big boost to fledgling small enterprises.

Representatives Prospero Nograles of Davao City and Didagen Dilangalen of Maguindanao said the plan to allow the entry into the country of light trucks could be the "happy compromise" between car and truck manufacturers and importers of used vehicles.

Nograles said these two groups have been engaged in a bitter word war and have been fighting for government’s attention.

"I hope that the proposal of the Department of Trade and Industry to liberalize truck imports but ban the entry of used cars and sport utility vehicles (SUVs) is acceptable to the two groups," he said.

Trade Secretary Mar Roxas has reportedly set the proposal in the form of a draft executive order to President Arroyo.

Nograles and Dilangalen said the liberal entry here of used light trucks would benefit small and medium industries and local government units (LGUs).

They said small businessmen and LGUs would prefer to buy used trucks that cost below P400,000 rather than new ones, which sell for at least P1 million each.

"With P1 million, a town mayor can buy three trucks for garbage hauling or road repair jobs instead of just one," said Nograles.

Dilangalen revealed that many local officials and businessmen in Mindanao have been buying second-hand trucks, equipment and SUVs from importers and auctioneers based in Subic and Metro Manila.

He lamented that under the DTI proposal, these buyers would no longer be able to acquire used cars and other passenger vehicles.

Nograles dismissed the car and truck manufacturers’ claim that importers and auctioneers have been eating into their market and jeopardizing the investments they have made in putting up production facilities and the jobs they have created.

He said the recent report that these assemblers’ vehicles sales for the period January to November this year have grown by 11 percent belies such claim.

"If their sales grew by 11 percent, that means that their market is expanding and not contracting. The latter would be the case if auctioneers are taking away customers from assemblers," he said.

He added that sooner or later, the government has to liberalize the entry here of all types of vehicles. – Jess Diaz