The import and sale of second-hand clothes, known as “ukay-ukay,” have become very popular in the Philippines. This has led to conversations about whether this trade should be legalized and regulated. Currently, there is a law (Republic Act No. 4653) that bans the commercial importation of used clothing to protect public health and maintain the country’s reputation. Despite this law, the ukay-ukay industry is still thriving.
Supporters of legalization argue that regulating ukay-ukay could bring in more tax money and offer affordable clothing for shoppers. They believe that making this trade official would help monitor and control the quality of the clothing, which could also tackle health concerns related to second-hand items.
On the flip side, those against legalization are worried that allowing ukay-ukay imports could harm local textile and clothing businesses. They fear that an increase in imported second-hand clothing might hurt local manufacturers and shops, possibly leading to job losses and negative impacts on the local economy.
The Bureau of Customs (BOC) has been actively confiscating shipments of used clothing. For example, in April 2010, they seized P12 million worth of ukay-ukay items that were incorrectly labeled as clothing accessories. However, the secretive nature of ukay-ukay imports makes it hard to enforce these laws effectively.
Some lawmakers are suggesting that it might be time to reconsider the current laws. In 2011, Representative Reynaldo Umali introduced a bill to legalize the importation of used clothes to reduce smuggling and increase tax revenue. More recently, in August 2024, Senator Raffy Tulfo advocated for legalizing and taxing ukay-ukay to manage its growth and ensure proper regulations.
As this discussion moves forward, various stakeholders, including government officials, local manufacturers, retailers, and consumers, are evaluating the potential economic benefits alongside the possible risks to public health and the domestic textile industry. The results of this debate could significantly influence the future of the ukay-ukay trade in the Philippines.
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