FIRB Resolution No. 027-94

September 13, 1994 FIRB RESOLUTION NO. 027-94 WHEREAS, fertilizers remain to be a major input to agriculture and whose provisions, therefore, have to be assured, particularly in terms of prices affordable to farmers; WHEREAS, in recognition thereof, taxes and duties on fertilizers have been totally relieved by the government either by outright exemption (in respect of the value-added tax, whether on domestic purchases or importations thereof) and/or grant of subsidy (as regards the duties on importations thereof), in order to bring fertilizer prices to levels relatively affordable to farmers; and WHEREAS, fertilizer trading is deregulated with the consequence that unless there is a monitoring scheme that can effectively track the same to ensure that fertilizer prices are net of the subsidy granted thereto by the Fiscal Incentives Review Board, there is a great possibility that the provisions of subsidy will only redound to the benefit of fertilizer traders rather than the farmers originally intended to be benefited thereby: NOW, THEREFORE, BE IT RESOLVED, AS IT IS HEREBY RESOLVED, to enjoin the assistance and cooperation of the Department of Trade and Industry, specifically through its Regional Offices to cause to be monitored existing networks and/or structures of fertilizer trading in their respective regions to determine, among others, the extent by which subsidy provisions granted by the FIRB on fertilizer importations are effectively reflected in the prices of fertilizers sold to farmers thereat, and cause to be submitted reports of such determination to the FIRB on a quarterly basis or as often as may be needed by the FIRB. (SGD.) JUANITA D. AMATONG Acting Secretary of Finance Presiding Officer FIRB Subject Matter : FERTILIZER AND PESTICIDE AUTHORITY (2) References : FIRB Technical Committee Meeting dated July 22, 1994 FIRB Meeting dated September 12, 1994