National Food Authority (1)

February 25, 2010 FIRB RESOLUTION NO. 003-10 SUBJECT MATTER : National Food Authority (1) WHEREAS, the National Food Authority (NFA) is mandated to ensure food security and grains supply in the country and stabilize their prices; WHEREAS, there is a need to stabilize the price and supply of basic food commodities, particularly rice which is the Filipino staple food; WHEREAS, to achieve these objectives, the NFA has resorted to rice importations to augment domestic production, in the process incurring duty obligations thereon to the Bureau of Customs (BOC); WHEREAS, the NFA applied for tax subsidy in the amount of P28,821,705,291.80 corresponding to its 2010 rice importations as payment of its duty obligations would have an adverse impact on NFA's financial position and further exacerbate the magnitude of its loss as duties would form part of its operating expenses; WHEREAS, the grant of tax subsidy to the subject rice importation will help the government to immediately stabilize the price and supply of rice; NOW, THEREFORE, BE IT RESOLVED, AS IT IS HEREBY RESOLVED, to approve the application for tax subsidy of the NFA corresponding to its 2010 rice importations in the amount of TWENTY EIGHT BILLION EIGHT HUNDRED TWENTY ONE MILLION SEVEN HUNDRED FIVE THOUSAND TWO HUNDRED NINETY ONE AND 80/100 PESOS (P28,821,705,291.80) only: Provided, that 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 rice importation authorized by the NFA Council for 2010: Provided further, that such availment shall be in accordance with the terms and conditions of Section 14 of the 2010 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. EScIAa (SGD.) REYNALDO V. UMALI Deputy Commissioner Bureau of Customs (SGD.) ELMER C. HERNANDEZ Undersecretary Department of Trade and Industry (SGD.) MARGARITA R. SONGCO Deputy Director-General National Economic and Development Authority (SGD.) MARISSA O. CABREROS Assistant Commissioner Bureau of Internal Revenue (SGD.) DANTE V. SY OIC, National Tax Research Center Head, FIRB Secretariat Director Department of Budget and Management (SGD.) GIL S. BELTRAN Undersecretary of Finance Presiding Officer-FIRB