HISTORY OF THE PHILIPPINE TARIFF SYSTEM

HISTORY OF THE PHILIPPINE TARIFF SYSTEM

On April 1, 1891, the new tariff which was promulgated on March 3, 1891 took effect. In the later part of 1801 and in 1892, these export duties were restored in 1893 and were continued in force under the American administrative until 1918. These laws of 1891 remain enforced up to the beginning of the American occupation and was continued in forc and affected by the US Military Government until November 15, 1901.

Subsequent alternations and amendments were introduced into this new tariff in 1855, 1857 and 1870 but the policy of protection for Spanish merchandise continued unmodified. Philippine products were accorded preferential treatment in Spain. The law of 1882 provided that except tobacco, rum, sugar, cacao, chocolate and coffee, the products of Archipelago were to be exempted from duty.

Following purposes Junta de Arancelus as follows:

1. to increase revenue

2. to protect the agriculture and arts of the islands, and

3. to expand foreign commerce

Four rates were established according to origin namely:

Following purposes Junta de Arancelus as follows:

1. to increase revenue

2. to protect the agriculture and arts of the islands, and

3. to expand foreign commerce

1. First and lowest rate, Spanish goods in Spanish ships

2. Spanish goods in foreign ships

3. Foreign goods in Spanish ships

4. Foreign goods in foreign ships

Four rates were established according to origin namely:

1. first and lowest rate, Spanish goods in Spanish ships

2. Spanish goods in foreign ships

3. Foreign goods in Spanish ships

4. Foreign goods in foreign ships

The ancient almojarifazgo (a three percent and valorem duty) imposed on both imports and exports was established in Manila by Governor Guido R. Lavizares in 1573.

Duty on Chinese goods was increased to six percent in 1606. Zamboanga was opened in 1833; Cebu in 1842, Iloilo and Sulu in 1855; and Legaspi and Tacloban in 1874.

Philippine exports consisted mainly of rice, coconuts, palm oil, sugar, fibers, straws, cane, dyewoods, lumber and luxuries such as sea snails, beches, defmerk, edible bird nests, tortoise shell, pearls and mother of pearls shells.

Tariff Board, the rates were enforced as follows:

I. Philippine Foreign Trade during the Spanish Period

1. Fifteen (15%) percent on all goods from Spain and Mexico

2. Three (3%) percent on all goods from other countries, except those from China which was 6%

3. Ten (10%) percent of all Asiatic Merchandise to Mexico (export)

4. Three (3%) percent on all exports other than Asiatic.

II. During The Spanish Period

The History of the Philippines by Magellan, the ancient Filipinos were already trading with China, Japan, Siam (Thailand), Cambodia, Inda, Burma, Sumtra, Java and other neighboring islands. Spanish document of 1586 narrated: "keen traders and have traded for many years, they sailed to Mulloco, Malacca, Hazian (probably Anchen, Sumatra), Parani, Burnie and other kingdoms."

A price was fixed for the commodities, "which was paid in gold, as a greed upon or in metal bells (gonsgs) brought from China." The Chinese writers Chao Ju-Kua (1209-1214) and Wang Tay-Uan (1349) observed that the ancient Filipinos were hones in the commercial dealings.

Other foreign traders who brought silks, woolens, bells, porcelains, perfumes, iron tin, colored cotton cloth and other smell wares to the country paid tariff duties.