International Trading

Topics: International trade, Export, Free trade Pages: 11 (3655 words) Published: February 25, 2013
Philippine International Trading Corporation (PITC), a line corporation under the Department of Trade and Industry (DTI), is a self-sustaining government corporation operating under its Revised Charter, Presidential Decree (PD) 1071 (1077) as amended. Since its establishment in 1973 as the government's only international trading corporation, Philippine International Trading Corporation (PITC), has been in the forefront of the Government's economic agenda on market expansion, global competitiveness and improved trade opportunities for the Philippines. PITC promotes and undertakes exports of Philippine products sourced from predominantly small and medium enterprises (SME's) and provides a range of trade-related services - including bonded warehousing for duty-free importation of raw materials used in the manufacture of goods for re-export as well as quality assurance, order consolidation and customs facilitation. In keeping with its mandate to ensure better terms of trade for the country, PITC engages in a variety of special transactions including countertrade and industrial offsets to leverage government importations with trade and investments from foreign suppliers, and is an active participant in government-to-government negotiations which aim to gain increased access of Philippine products and services to new or non-traditional markets, including the Middle East, Eastern Europe, and other socialist economy states. As a line corporation under the DTI, PITC plays a strategic role in the price-supply stabilization efforts of the Government through bulk importation of strategic essential commodities and raw materials in order to stabilize prices and ensure supply in the domestic market, such as pharmaceuticals, rice, sugar, fertilizers, cement, engines, to name a few. Drawing from its vast experience and expertise in contract sales, product sourcing and supply, as well as quality assurance, PITC has likewise ventured into Government Procurement Services in conformity with Republic Act (RA) 9184 and its Revised Implementing Rules and Regulations, providing government clients with efficient, transparent and timely procurement services under Agency-Agency arrangements or as Procurement Agents of government agencies and offices. PITC's key businesses are: International Trading (Imports, Exports, Countertrade), Trade-Related Services (Bonded Warehousing and related EXIM Services), Government Procurement Services (as Procurement Agents or under Agency-Agency arrangements).

The Bureau of Customs (Filipino: Kawanihan ng Adwana, abbreviated as BOC) is the revenue enhancement bureau under the Department of Finance responsible for international trade facilitation and regulation and collection of import/export duties at all Philippine ports. It is currently under the leadership of Commissioner Rozzano Rufino B. Biazon. Historical records show that the Philippine Customs Service started many centuries back long before the Philippines was discovered by the eastern and western expeditionaries. The Philippines had already a flourishing trade with countries of Southeast Asia, but since money at that time was not yet the medium of exchange, people then resorted to the barter system of commodities. The rulers of the barangays were known as the “datus” or “rajahs” collected tributes from the people before they were allowed to engage in their trade. The practice of collecting tributes became part of their culture and was then observed and followed as the Customs Law of the Land. At independence in 1946, the Philippines was an agricultural nation tied closely to its erstwhile colonizer, the United States. This was most clearly observed in trade relations between the two countries. In 1950 the value of the Philippines' ten principal exports--all but one being agricultural or mineral products in raw or minimally processed form--added up to 85 percent of the...
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