PASA – Pilipino American Shippers Association, Bringing back the Integrity of Balikbayan Box Industry

PASA – Pilipino American Shippers Association, Bringing back  the Integrity of Balikbayan Box Industry
Manny Paez 

Last January 14, 2011, the Pilipino American Shippers Association of balikbayan box industry in California had their meeting at the Manila Forwarder office in Eagle Rock Blvd, Los Angeles, CA.

The event was attended by Philippine Trade Representative Hon. Archimedes Gomez who mentioned the complaints the Philippine Department of Trade and Industry has received due to unscrupulous balikbayan box company providers. He also assured that the Philippine government will do its part in regulating the industry.

Various ideas was exchanged to protect the consumers and the industry itself both in the USA and Philippine –side.

On the Philippine-side, the governing agency of the balikbayan box industry is Philippine Department of Trade and Industry’s Philippine Shipper’s Bureau.  The Philippine Government has no recourse against balikbayan box companies who fails to deliver if the company is not accredited by PSB.  It can only order a “cease and desist to operate order “, which will be too late for the consumers.

The solution to this, as per discussion, is that US-based companies should open their own operations in the Philippines. This however, is unfair to those companies who are just starting up. Opening a freight forwarding business in the Philippines or in any part of the world is capital intensive.

One solution that was brought up was that Philippine-based companies who will accept the balikbayan box cargoes of a foreign principal must post a bond to effect clearing and deliveries of balikbayan boxes if the foreign principal failed to pay their Philippine counterpart.

One of the reasons why a balikbayan box is not being cleared thru customs or not being delivered is because the US or any foreign company fails to pay their Philippine counter part.  These have been prevalent due to cut-throat competition, offering low prices even beyond ones cost.

On the US-side, regular speakers will be invited to educate all of the members in various US Government regulations and opportunities. This will include US Homeland Security, US Department of Commerce, US Small Business Administration, US Internal Revenue Service, State Fund, OSHA, among others.

Although there was a last minute change in the location of the meeting which was originally scheduled at FACLA , this did not stop more than 30 balikbayan box industry movers and shakers to attend.


It is notable to state that Mr. Joel Longares of Atlas Shippers and Mr. JP Carino of Forex were both in attendance and provided pointers and tips for everyone.

One of the points that was agreed upon was the weight limit of balikbayan boxes. For safety and government regulation ( OSHA and Worker’s Comp ) purposes, balikbayan boxes and jumbo boxes from customers should weigh less than 150 lbs., The term “ buhatable” can be used to put humor in implementing this weight restrictions. The whole group will reject such heavy shipments.

As an alternative, heavy items can be split into various boxes and not just one. It is also notable to remind the consumers that there is a Philippine Bureau of Customs balikbayan circular restriction of sending items that is more than 12 of a kind.

For a complete list of illegal and or restricted items for shipping, please visit:

http://www.manilaforwarder.com/restrictions.html
.

Next PASA meeting will be on February 23, 2011 at 5 PM sharp in FACLA located at 1740 W Temple St,  Los Angeles. CA. All balikbayan box company executives are encouraged to attend.