RECENT policy changes removing electronic cargo tracking requirements for qualified exporters are aimed at reducing “friction” in supply chains and improving the country’s trade competitiveness, the Philippine Economic Zone Authority (Peza) said.
This follows the Bureau of Customs (BOC) decision to exempt eligible exporters from the Electronic Tracking of Containerized Cargo (E-TRACC) system, which requires GPS-enabled electronic seals on containers to monitor cargo movement.
Under Customs Memorandum Order 04-2026, the exemption applies to exporters registered with investment promotion agencies, such as Peza, particularly those classified as Authorized Economic Operators (AEOs) with Level 1 benefits.
“We are effectively rolling out the red carpet for our investors. This is the brand of service we’ve promised since day one—no red tape, only red-carpet treatment,” Peza director general Tereso Panga said.
The agency said the exemption comes at a time when exporters are dealing with shifting global supply chains and rising logistics costs, which have increased pressure on outbound shipments.
Since its rollout in 2020, E-TRACC has required the installation and monitoring of electronic seals, a process that exporters say added both time and cost to cargo handling, particularly for outbound shipments.
For Peza, removing the requirement for qualified exporters would eliminate seal-related fees and shorten processing time, allowing faster movement of goods between economic zones and ports.
Meanwhile, Panga said the agency is committed to a “no red tape” approach in trade facilitation, noting that the partnership with customs authorities is intended to speed up processes without compromising oversight.
It also said the agency is pushing to expand the exemption to cover more export-oriented firms, particularly in the electronics sector, which accounts for a large share of shipments from economic zones.
While the easing of requirements is expected to streamline logistics, Peza said continued coordination with customs officials is needed to ensure proper implementation across all economic zones.
The policy shift comes as the government works to sustain foreign investment inflows. Latest data from the Bangko Sentral ng Pilipinas showed net foreign direct investments reached $443 million in January.
