A Boon for Consumers, Manufacturers, and Truckers
In a game-changing move aimed at easing the burden on consumers, boosting manufacturers, and aiding truckers, President Ferdinand R. Marcos Jr. issued Executive Order (EO) No. 41 on September 25. As the Christmas season approaches, this executive order carries far-reaching implications for the nation’s economy, and it’s a development welcomed by the Department of Trade and Industry (DTI).
Suspending “Pass-Through Fees” for Efficient Goods Movement
EO 41’s core directive is to suspend the collection of “pass-through fees” by local government units (LGUs). This strategic move aligns with the Philippine Development Plan 2023-2028’s goal of reinvigorating local industries and ensuring the smooth movement of goods across regions while reducing costs.
A Boost for Business and Consumers
During a news forum in Quezon City, DTI Undersecretary for Communications Kim D. Lokin highlighted the transformative potential of EO 41. It promises to enhance the ease of doing business, reduce operational costs for local businesses, and directly benefit consumers by lowering the cost of goods.
Lokin expressed his appreciation, stating,
“So that, at the end of the day, when the product reaches them, goods and even services mababa po, kahit papaano ay kaya pa po nila – affordable and kung hindi man po bumaba ay hindi naman po tataas,”
while thanking President Marcos for his decision.
Joy Spreads Across Sectors
The announcement of EO 41 has elicited widespread enthusiasm, with Rina Papa, Vice President of the Alliance of Concerned Truck Owners and Organization (ACTOO), expressing her elation, particularly on behalf of truckers who have grappled with numerous challenges in the transportation sector.
Truckers Applaud the Move
Additionally, Papa extended her gratitude to the DTI for its pivotal role in facilitating the issuance of EO 41, labeling it as a rare and welcome piece of good news amid the persistent difficulties faced by the transportation industry.
Moreover, she shed light on the substantial financial burden placed on truckers by LGUs through pass-through fees, underscoring the City of Manila’s road user taxes as a prime and concerning example.
Easing Truckers’ Financial Load
Truckers, Papa explained, have been grappling with monthly fees ranging from P2,000 to 2,500 per truck due to such taxes. Over the course of a year, this translates to almost P30,000 in additional logistics costs per truck, a substantial challenge considering Manila’s role as home to two major international ports.
Implications Beyond Manila
ACTOO, as Papa revealed, aspires to play a crucial role in shaping the rules and regulations governing the implementation of EO 41. Moreover, their aim is to extend the scope beyond national roads, taking into account the roads leading to business hubs, manufacturing sites, and warehouses.
Furthermore, Papa expressed optimism that LGUs, guided by EO 41, would contemplate the broader repercussions of imposing taxes, levies, and permits. She strongly underscored that the distribution of goods has ramifications for the national economy and the entire nation. Importantly, this isn’t solely about local traffic or road usage within a single municipality or province; it resonates on a nationwide scale.
Sources: THX News & Philippines Government.
