BOC achieves 3.5% revenue growth amid Mideast crisis, trade headwinds
MANDAUE CITY, Cebu – Despite challenges in global and domestic trade and the economic impact of the ongoing crisis in the Middle East, the Bureau of Customs (BOC) still managed to exceed its collection target for April 2026.
In fact, the BOC recorded its highest cumulative surplus in the past decade for collections made during the first four months of 2026.
The agency’s collections reached P325.808 billion – surpassing its target of P314.660 billion by P11.148 billion, or 3.5 percent. This was also P19.729 billion, or 6.4 percent, higher than the amount collected during the same period in 2025.
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“This is our highest year-to-date surplus on record for the last 10 years, and it reflects the discipline, integrity, and consistency of our personnel across all ports. Even in the face of global uncertainties and policy shifts that affect our revenue base, we continue to deliver results that directly support government programs and national development,” Commissioner Ariel Nepomuceno said in an advisory posted on the agency’s Facebook page.
For April alone, the BOC posted its highest monthly collection at P86.400 billion‚ P7.800 billion, or 9.9 percent, above its target of P78.600 billion. This was also P11.699 billion, or 15.7 percent, higher than collections in April 2025.
Suspension of excise taxes
The BOC said its strong revenue performance underscores a solid start toward its trillion-peso collection goal for 2026.
This milestone comes amid external challenges affecting global and domestic trade, as well as the agency’s implementation of a three-month suspension or reduction of excise taxes on liquefied petroleum gas (LPG) and kerosene.
President Ferdinand Marcos Jr. issued an executive order suspending excise taxes on specific petroleum products to help cushion the impact of the ongoing energy emergency.
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The suspension covers taxes on LPG ”except when used as a raw material for petrochemical production or for motive power, and on kerosene, except when used as aviation fuel.”
The BOC began implementing the President’s directive in April, which affected its revenue streams.
However, the agency said that under the leadership of the Department of Finance, headed by Secretary Frederick Go, and in line with the President’s directive to strengthen fiscal performance, it continues to implement reforms aimed at improving efficiency, transparency, and trade facilitation.
Sustained gains
Nepomuceno attributed the BOC’s sustained gains to strengthened valuation practices, improved monitoring systems, and the continued digitalization of customs processes under his Integrity, Accountability, and Modernization (IAM) Program.
The IAM Program is designed to promote integrity, strengthen accountability, and accelerate modernization to improve efficiency, transparency, and service delivery.
He emphasized that strong revenue performance was driven not by higher tax rates, but by smarter systems, tighter enforcement, and sustained institutional reforms.
The agency’s digitalization and real-time monitoring have enhanced collection efficiency, while improved valuation and stricter enforcement ensure that correct duties and taxes are collected.
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