Philippine National Police Service Stores System (PNPSSS) (1)

April 16, 2008 FIRB RESOLUTION NO. 003-08 SUBJECT MATTER : National Food Authority (2) WHEREAS, the National Food Authority (NFA) is mandated to ensure food security and grains supply in the country and stabilize their prices; ESAHca WHEREAS, there is a need to stabilize the price and supply of basic food commodities, particularly rice and corn which are the Filipino staple food items; WHEREAS, to achieve these objectives, the NFA has resorted to rice and corn importations to augment domestic production, in the process incurring duty obligations thereon to the Bureau of Customs (BOC); WHEREAS, the FIRB already approved the amount of P22,614,615,170.00 covering the duties of the NFA's 2008 rice importations per FIRB Resolution No. 2-08; WHEREAS, the NFA applied for additional tax subsidy in the amount of P9,475,987,500 corresponding to the additional rice importation for 2008 by the private sector, farmers' organizations and all other licensed rice importers; WHEREAS, the provision of tax subsidy to answer for the duty obligations on the additional rice importation is likely to encourage the private sector, farmers' organizations and all other licensed rice importers to help address the strong demand and shortfall in overall cereal production versus utilization requirement; NOW, THEREFORE, BE IT RESOLVED, AS IT IS HEREBY RESOLVED, to approve the application for tax subsidy of the NFA corresponding to the additional rice importation for 2008 in the amount of P9,475,987,500.00 only : Provided, that the issuance of the Certificate of Entitlement to Subsidy (CES) shall be issued only upon submission by the NFA to the FIRB of the required billings and/or documents evidencing the importations with a certification from the NFA that the volume covered by said billings is part of the 600,000 metric tons of rice authorized by the NFA Council: Provided finally , that such availment shall be in accordance with the terms and conditions of Section 14 of the 2008 General Appropriations Act, subject to the availability of funds therefor, pursuant to the terms and conditions of the Rules and Regulations to Implement the Subsidy Provision under Executive Order No. 93. Service fee should go to NG which I understand the economic managers approved (SGD.) GIL P. MONTALBO Director Department of Budget and Management (SGD.) ELMER C. HERNANDEZ Undersecretary Department of Trade and Industry While I am signing the Resolution, am asking why "marine insurance" is being charged to the tax subsidy. Moreover, NFA will be implementing a "service fee" on its rice importation. Will NFA levy the "service fee" or can it be used to pay NFA's obligations to NG? (SGD.) MARGARITA R. SONGCO Deputy Director-General National Economic and Development Authority (SGD.) JAMES H. ROLDAN Assistant Commissioner Bureau of Internal Revenue (SGD.) NOEMI B. ALCALA Officer-in-Charge, Collection Service Bureau of Customs (SGD.) LINA D. ISORENA Executive Director Head, FIRB Secretariat National Tax Research Center (SGD.) GIL S. BELTRAN Undersecretary of Finance Presiding Officer-FIRB