EXECUTIVE ORDER NO. 127 - MODIFYING THE RATES OF IMPORT DUTY ON CERTAIN IMPORTED ARTICLES UNDER SECTION 104 OF THE TARIFF AND CUSTOMS CODE OF 1978 AS AMENDED, IN ORDER TO IMPLEMENT SECTION 109 OF REPUBLIC ACT 8435, OTHERWISE KNOWN AS THE “AGRICULTURE AND FISHERIES MODERNIZATION ACT OF 1997”

WHEREAS, the government needs to provide interim tariff adjustments to the agriculture and fisheries sectors to promote and foster their efficiency and global competitiveness;  

WHEREAS, Section 109 of Republic Act No. 8435, otherwise known as the “Agriculture and Fisheries Modernization Act of 1997” provides that all enterprises engaged in agriculture and fisheries as duly certified by the Department of Agriculture, in consultation with the Department of Finance and Board of Investments shall, for five (5) years after the effectivity of said Act, be exempt from payment of tariff duties for the importation of all types of agriculture and fishery inputs, Machinery, and equipment provided, however, that the imported agriculture and fishery inputs, equipment and machinery and shall be for the exclusive use of the importing enterprise;

WHEREAS, the aforesaid tariff exemption is implemented by Executive Order (EO) No. 133 series of 1999, and its annexes.

WHEREAS, Sec. 4 of EO 133 provides that the Department of Agriculture, Department of Finance, and the Board of Investments, in consultation with the concerned private sector and other government institutions, shall conduct an annual review of the annexes thereof, and shall recommend to the President possible amendments thereto.

WHEREAS, Section s 104 and 401 of the Tariff and Customs Code of 1978 (Presidential Decree No. 1464), as amended, empower the President of the Republic of the Philippines, upon the recommendation of the National Economic and Development Authority, to increase, reduce, or remove existing protective rates of import duty, as well as to modify the form of duty.

NOW, THEREFORE, I, GLORIA MACAPAGAL-ARROYO, President of the Republic of the Philippines, by virtue of the powers vested in me by law, do hereby order:

Section 1. Section s 1 and 6 of Rule VII and Sec. 2 of Rule VIII of Annex “A” of EO 133 shall be amended by replacing the Economic Investigation and Intelligence Bureau (EIIB) with the Bureau of Customs (BOC).

Sec. 2. The articles specifically listed in Annex “B” hereof, classified under Section 104 of the Tariff and Customs Code of 1978, as amended, shall be accorded zero percent (0%) duty up to 08 February 2003. However, the rules and regulations outlined in Annex “A” of EO 133, as amended, in the importation of articles under this list shall not apply, including the requirement for certificate of eligibility or accreditation.

Sec. 3. The articles specifically listed in Annex “C” hereof, classified under Section 104 of the Tariff and Customs Code of 1978, as amended, shall be accorded zero percent (0%) duty up to 08 February 2003, provided that the importation of said articles shall be accompanied by a certificate of eligibility or accreditation duly issued by the Department of Agriculture and shall be subject to the rules and regulations outlined in Annex “A” of EO 133, as amended.

Sec. 4. The rules and regulations in the tariff-exempt importation of articles listed in Annex “C” shall be in accordance with and as outlined in Annex “A” of EO 133, as amended.

Sec. 5. Upon the effectivity of this Executive Order, the above-mentioned articles, which are entered and withdrawn from warehouses in the Philippines shall be levied the rates of duty herein prescribed.

Sec. 6. All Presidential issuances, administrative rules and regulations, or parts thereof, which are inconsistent with this Executive Order are hereby revoked or modified accordingly.

Sec. 7. This Executive Order shall take effect immediately following its complete publication in two newspapers of general circulation in the Philippines.

DONE in the City of Manila, this 23rd day of September, in the year of our Lord, Two Thousand and Two.

Annex “B”
LIST OF AGRICULTURE AND FISHERY INPUTS, MACHINERY AND EQUIPMENT ELIGIBLE FOR DUTY-FREE IMPORTATION
(Certificates of Eligibility and Accreditation are not required)

01.02 0102.10 00 Pure-bred breeding animals (bovine)
01.03 0103.10 00 Pure-bred breeding animals (swine)
01.04 0104.10 00 Sheep

  0104.20 10 Pure-bred breeding animals (goats)

0105.12 10 Turkeys, for breeding, (weighing not more than 185 g)
0105.19 10 Ducks and Geese, for breeding (weighing not more than 185g)
0105.92 10 Chicken, for breeding (of the species Gallus domesticus weighing not more than
2,000 g)
0105.93 10 Chicken, for breeding (of the species Gallus domesticus weighing more than
  2,000 g)

0602 20 00 Trees, shrubs and bushes, grafted or not, of kinds which bear edible fruit or nuts
0602.30 00 Rhododendrons and azaleas, grafted or not
0602.40 00 Roses, grafted or not

   1008.20 00 Millet
   1008.30 00 Canary seed

1207.30 00 Castor oil seeds

1209.22 00 Clover (Trifolium spp.) seed
1209.23 00 Fescue seed
1209.24 00 Kentucky blue grass (Poa pratensis L.) seed
1209.25 00 Rye grass (Lolium multiflorum Lam., Lolium perenne L.) seed
1209.26 00 Timothy grass seed
1209.30 00 Seeds of herbaceous plants cultivated principally for their flowers
1209.91 00 Vegetable seeds
1209.99 00 Other seeds, fruit and spores, of a kind used for sowing.

3104.20 00 Potassium chloride
3104.30 00 Potassium sulphate

3105.20 00 Mineral or chemical fertilizers containing the three fertilizing elements nitrogen,
   phosphorus and potassium
3105.30 00 Diammonium hydrogenorthophosphate (diammonium phosphate)
3105.40 00 Ammonium dihydrogenorthophosphate (monoammonium phosphate) and 
   mixtures thereof with diammonium hydrogenorthophosphate (diammonium
   phosphate)
3105.60 00 Mineral or chemical fertilizers containing the two fertilizing elements phosphorus
and potassium

  3926.90 30 Poultry feeders
  3926.90 90 Transportable grain storage

pedestrian controlled tractors
  8407.32 00 Reciprocating piston engines, of a cylinder capacity exceeding 50 cc but not
exceeding 50 cc but not exceeding 250 cc, for pedestrian controlled tractors
   8407.33 00 Reciprocating piston engines, of a cylinder capacity exceeding 250 cc but not
   exceeding 1,000 cc, for pedestrian controlled tractors
  8407.34 20 Reciprocating piston engines, of a cylinder capacity exceeding 1,000 cc but not
  exceeding 1,100 cc, for pedestrian controlled tractors

8408.20 20 Compression-ignition internal combustion piston engines of a kind used for the
  propulsion of pedestrian controlled tractors of Chapter 87
8408.90 10 Compression-ignition internal combustion piston engines (diesel or semi-diesel
   engines) rated at 25 hp and below, other than marine propulsion engines or
engines for the propulsion of vehicles of Chapter 87

  8424.81 90 Agricultural sprayers
8424.90 10 Parts of the goods of subheading Nos. 8424.81 10

  8432.21 00 Disc harrows
  8432.29 00 Other harrows, scarifiers, cultivators, weeders and hoes
  8432.30 00 Seeders, planters and transplanters
8432.40 00 Manure spreaders and fertilizer distributors
8432.80 00 Other agricultural, horticultural or forestry machinery for soil preparation or
cultivation
  8432.90 00 Parts

   8433.40 00 Straw or fodder balers, including pick-up balers
  8433.51 00 Combined harvester-threshers
  8433.52 00 Other threshing machinery
   8433.53 00 Root or tuber harvesting machines
  8433.59 00 Other (cotton pickers and cotton ginning machines)
  8433.60 00 Machines for cleaning, sorting or grading eggs, fruit or other agricultural produce
8433.90 00 Parts of heading No. 84.33

  8434.20 00 Dairy machinery
8434.90 00 Parts of milking machines and dairy machinery

8436.21 00 Poultry incubators and brooders
8436.29 00 Other poultry-keeping machinery
8436.80 10 Automated horticultural climate control plant and equipment
8436.80 90 Other agricultural, horticultural, forestry, bee-keeping machinery, including
  germination plant fitted with mechanical or thermal equipment
  8436.91 00 Parts of poultry-keeping machinery or poultry incubators and brooders
8436.99 00 Other parts of heading No. 84.36

seeds, grains, or dried leguminous vegetables
  8437.10 90 Machines for cleaning, sorting or grading seed, grain. or dried leguminous
  vegetables
— other than for bread (e.g., wheat, rye)
8437.80 10 Rice hullers; cone type rice mills; coffee or corn mills, industrial type
8437.80 90 Other machinery used in the milling industry or for the working of cereals or 
dried leguminous vegetables other than those of HS subheading No. 8437.80 10
8437.90 00 Parts of subheading Nos. 8437.10 10 and 8437.80 90

  2522.20 00 Slaked lime
  2522.30 00 Hydraulic lime

  2835.24 00 Monopotassium phosphate
  2835.25 10 Calcium hydrogenorthorphosphate (“dicalcium phosphate”) feed grade
2835.26 00 Mono and tricalcium phosphate

  2836.50 00 Calcium carbonate

   2918.14 00 Citric acid anhydrous/monohydrous
2918.16 00 Calcium gluconate

2933.40 00 Norfloxacin 99% base/HCL USP
   2933.59 00 Amprolium HCL; bromhexine HCL; ciprofloxacin HCL/base;
  Cephain; erythromycin base; ethyl succinate; stearate; pyrimethamine
  base/HCL; trimethoprim USP (TMP)
2933.90 00 Mebendazole

base/HCL; sulfamethoxazole; sutfamethaxazine; sulfanilamide;
sulfaguanadine; sulfadoxine; sulfamethoxine)

   2936.21 00 Vitamins A and their derivatives
  2936.22 00 Vitamin B1 and its derivatives
  2936.23 00 Vitamin B2 and its derivatives
   2936.24 00 D- or DL-Pantothenic acid (Vitamin B3 or Vitamin B5) and its derivatives,
  unmixed
2936.25 00 Vitamin B6 and its derivatives, unmixed
2936.26 00 Vitamin B12 and its derivatives, unmixed
2936.27 00 Vitamin C and its derivatives, unmixed
  2936.28 00 Vitamin E and its derivatives, unmixed
2936.29 00 Other vitamins and their derivatives, unmixed
2936.90 00 Intermixture of vitamins and derivatives thereof, including natural concentrates

2937.99 00 Other hormones, natural or reproduced by synthesis; derivatives thereof, used
primarily as hormones; other steroids used primarily as hormones

  2941.20 00 Streptomycin and their derivatives; salts thereof
  2941.30 00 Tetracycline and their derivatives; salts thereof
  2941.40 00 Chloramphenicol and its derivatives; salts thereof
  2941.50 00 Erythromycin and its derivatives; salts thereof
2941.90 00 Other antibiotics

  acid structure, or streptomycin or their derivatives, not put up in measured
  doses or packing for retail sale
3003.20 00 Medicaments containing other antibiotics not put up in measured doses or
packing for retail sale
  3003.39 00 Medicaments containing hormones or other products of heading No, 29.37
  but not containing antibiotics other than of subheading No. 3003.31 00, not
put up in measured doses or packing for retail sale
   3003.9000 Other medicaments, not out up in measured doses or packing for retail sale

consisting of mixed or unmixed products for therapeutic or prophylactic uses,
put up in measured doses or in forms or packing for retail sale.
3004.10 00 Medicaments containing penicillin or derivatives thereof, with a penicillanic
    acid structure, or streptomycin or their derivatives, put up in measured
    doses or packing for retail sale
3004.20 00 Medicaments containing other antibiotics put up in measured doses or
packing for retail sale
3004.32 00 Medicaments containing adrenal cortical hormones put up in measured
    doses or packing for retail sale 
3004.39 00 Medicaments containing hormones or other products of heading No. 29.37
but not containing antibiotics other than of subheading No. 3004.32 00, put
up in measured doses or packing for retail sale
3004.50 00 Other medicaments containing vitamins or other products of heading No. 29.36
3004.90 90 Other medicaments, other than of subheading Nos.
    3004.90 10 and 3004.90 20, put up in measured doses or packing for retail sale

  Ammonium sulphate; double salts and mixtures of ammonium sulphate and
  ammonium nitrate:
   3102.21 00 Ammonium sulphate
3102.29 00 Double salts and mixtures of calcium nitrate and ammonium nitrate
3102.30 00 Ammonium nitrate, whether or not in aqueous solution
  3102.40 00 Mixtures of ammonium nitrate with calcium carbonate or other inorganic non
  fertilizing substances
   3102.50 00 Sodium nitrate
   3102.60 00 Double salts and mixtures of calcium nitrate and ammonium nitrate
   3102.70 00 Calcium cyanamide
  3102.80 00 Mixtures of urea and ammonium nitrate in aqueous or ammoniacal solution
   3102.90 00 Other, mineral or chemical fertilizers, nitrogenous including mixtures not
specified in the foregoing subheadings of 31.02

3105.59 00 Other mineral or chemical fertilizers containing the two fertilizing elements
nitrogen and phosphorous other than of 3105.51 00
3105.90 00 Other fertilizers

  3808.10 90 Other (insecticides, put up in forms of packing for retail sale or as
  preparation articles)
   3808.20 00 Fungicides
   3808.40 00 Disinfectants
   3808.90 00 Acaricide; Molluscicide; Nematicide; Bactericide;
  Bio-pesticides

  3917.22 00 Tubes, pipes and hoses of polymers of propylene, rigid
  3917.23 00 Tubes, pipes and hoses of polymers of vinyl chloride, rigid
   3917.29 00 Other plastic tubes, pipes and hoses, rigid
  3917.31 00 Plastic fible tubes, pipes and hoses, having a minimum burst pressure of 27.6
MPa
3917.32 90 Other plastic tubes, pipes and hoses not reinforced or otherwise combined
with other materials, without fittings, other than of subheading No. 3917.32 10
3917.33 00 Other plastic tubes, pipes and hoses not reinforced or otherwise combined
with other materials, with fittings
3917.39 00 Other plastic tube, pipes and hoses other than of
subheading Nos. 3917.10 00 to 3917.33 00
3917.40 00 Plastic fittings

  3923.21 90 Sacks and bags, of polymers of ethylene other than of subheading No. 3923.29
   10
  3923.29 90 Sacks and bags, of other plastics, other than of subheading No. 3923.29 10
3923.30 00 Carboys, bottles, flasks and similar articles, of plastics, other than polycarbonate
3923.50 00 Plastics stoppers, lids, caps and other closures

3925.90 00 Pig/poultry slats

4010.12 00 Conveyor belts or belting, of vulcanized rubber, reinforced only with textile
materials
  4010.13 00 Conveyor belts or belting, of vulcanized rubber, reinforced only with plastics
4010.19 00 Other conveyor belts or belting, of vulcanized rubber

4011.91 00 New pneumatic tires, of rubber having a “herring-bone” or similar tread of a
kind used on agricultural tractor
  4011.99 00 Agricultural tractor tires

4016.99 10 Articles of a kind used in machinery or mechanical or electrical appliances or
for other technical uses
  4016.99 90 Rubber parts for agricultural/fishery machinery, equipment and vehicles

  4819.20 00 Folding cartons, boxes and cases, of non-corrugated paper or paperboard
4819.30 00 Sacks and bags, having a base of a width of 40 cm or more
  4819.40 00 Other sacks and bags, including cones
4819.50 00 Other packing containers, including record sleeves

  7314.13 00 Other endless bands for machinery
7314.14 00 Other woven cloth, of stainless steel

  8201.20 00 Forks
  8201.30 00 Mattocks, picks, hoes and rakes
  8201.40 00 Axes, bill hooks and similar hewing tools
8201.50 00 Secateurs and similar one-handed pruners and shears (including poultry shears)
  8201.60 00 Hedge shears, two-handed pruning shears and similar two-handed shears
8201.90 00 Other hand tools of a kind used in agriculture, horticulture or forestry

combustion piston engines
8409.99 00 Other parts suitable for use solely or principally with the engines of heading No.

  84.08

8413.20 90 Other hand pumps
8413.30 00 Fuel, lubricating or cooling medium pumps for internal combustion piston
engines
8413.50 00 Other reciprocating positive displacement pumps
8413.60 00 Other rotary positive displacement pumps
8413.70 10 Process feed pump, centrifugal type, with motor drive
8413.70 90 Other centrifugal pumps (e.g., hydraulic pump, brine water pump)
8413.81 00 Other pumps for liquids (e.g., hydraulic pump)
8413.82 00 Liquid elevators
8413.91 90 Parts of pumps of subheading Nos. 8413.50 00, 8413.60 00, 8413.70 90 and
  8413.81 00
8413.92 00 Parts of liquid elevators

  8418.30 00 Freezers of the chest type, not exceeding 800 I capacity
8418.69 90 Cold storage
8418.99 90 Other parts of subheading Nos. 8418.10 90, 8418.30 00, and 8418.69 90

  8419.89 90 Evaporator

  8421.23 00 Oil or petrol-filters for internal combustion piston engines for agricultural
  tractors
  8421.29 00 Filter press
  8421.31 00 Filtering apparatus for gases for internal combustion piston engines for
  agricultural tractors
  8421.99 00 Filter media for trickling filters 

   8422.30 00 Machinery for filling, closing, sealing, or labelling bottles, cans, boxes, bags
   or other containers; machinery for capsuling bottles, jars, tubes and similar
   containers; machinery for aerating beverages
   8422.40 00 Other packing or wrapping machinery (including heat-shrink wrapping
   machinery)
   8422.90 00 Parts of subheading Nos. 8422.30 00 and 8422.40 00

   8423.30 00 Constant weight scales and scales for discharging a predetermined weight of
  material into a bag or container, including hopper scales
   8423.82 00 Other weighing machinery having a maximum weighing capacity exceeding
  30 kg but not exceeding 5,000 kg
   8423.89 00 Other weighing machinery having a maximum weighing capacity exceeding
  30 kg exceeding 5,000 k
  8423.90 00 Weighing machine weights of all kinds parts of weighing machinery

   8425.39 00 Electrical/hydraulic winches, purse seine winches

8426.12 00 Mobile lifting frames on tyres and straddle carriers
  8426.19 00 Other cranes
   8426.30 00 Portal cranes
   8426.41 00 Other machinery, self-propelled, on tyres
   8426.49 00 Other machinery, self-propelled, not on tyres
   8426.91 00 Other machinery designed for mounting on road vehicles

  8427.20 00 Other self-propelled trucks
  8427.90 00 Other trucks

Other continuous-action elevators and conveyors, for goods or materials:
   8428.31 00 Specially designed for underground use
   8428.32 00 Other, bucket type
   8428.33 90 Other, belt type, other than of subheading No. 8428.33 10
  8428.39 00 Other
  8428.50 00 Mine wagon pushers, locomotive or wagon traversers, wagon tippers and
  similar railway wagon handling equipment
   8428.90 00 Other machinery

8431.31 00 Of lifts, skip hoists or escalators, of machinery of heading No. 84.28
  8431.39 90 Other parts of machinery of heading No. 84.28
  8431.41 00 Buckets, shovels, grabs and grips
   8431.49 90 Other parts

  8445.20 00 Coir/yarn spinning machine
   8445.90 00 Ball winding mills/willowing/slivering machines

  8451.50 00 Band saw cutting machines
8451.80 00 Coir rubberizing machines

  8479.40 00 Bobbin winders; spooling machine; coir curling machine; double shaft
hackling machine; winding machine; untwisting machine
  8479.89 90 Husk openers/breakers/crushers; decorticators; coir log machines; waste
    opening machine; dust extraction system; mixers; hammermills and
palletizing machines; other machines used for processing coconut husk/coir
   dust/fiber, aerator mixer, surface aerator and horizontal aspirator, with motor
drives
8479.90 00 Parts of 8479.20 00

8481.20 00 Valves for oleohydraulic or pneumatic transmission
8481.30 00 Check valves
8481.40 00 Safety or relief valves
8481.80 90 Gate valves

transmission elements presented separately; ball or roller screws; gear boxes
and other speed changers, including torque converters
8483.50 00 Flywheels and pulleys, including pulley blocks

8501.20 00 Universal AC/DC motors of an output exceeding 37.5 W
8501.31 00 Other DC motors;DC generators of an output not exceeding 750 W
  8501.32 00 Other DC motors; DC generators of an output exceeding 750 W but not exceeding
    75 kW
8501.33 00 Other DC motors ; DC generators of an output exceeding 75 kW but not exceeding
    375 kW
8501.34 00 Other DC motors DC generators of an output exceeding 375 kW
8501.40 00 Other AC motors, single-phase
8501.51 00 Other AC motors, multi-phased of an output not exceeding 750 W
8501.52 00 Other AC motors, multi-phased of an output exceeding 750 W but not exceeding
   75 kW
8501.53 00 Other AC motors,multi-phased of an output exceeding 75 kW
8501.61 00 AC generators (alternators ) of an output not exceeding 75 kVA
8501.62 00 AC generators (alternators) of an output exceeding 75 kVA but not exceeding 375
kVA
8501.63 00 AC generators (alternators) of an output exceeding 375 kVA but not exceeding
750 kVA
8501.64 00 AC generators (alternators) of an output exceeding 750 kVA

engines (diesel or semi-diesel engines) of an output not exceeding 75 kVA
  8502.20 00 Generating sets with spark ignition internal combustion piston engines
  8502.31 00 Wind powered generating sets

8701.30 00 Track-laying tractors
8701.90 00 Other wheeled tractors

  8704.21 10 Refrigerated vans with compression-ignition internal combustion piston
engines, of g.v.w. not exceeding 5 tonnes
87.04.22 11 Refrigerated vans with compression-ignition internal combustion piston
  engines, of g.v.w. exceeding 5 tonnes up to 6 tonnes
8704.22 91 Refrigerated vans with compression-ignition internal combustion piston
  engines, of g.v.w. exceeding 6 tonnes but not exceeding 20 tonnes
  8704.23 10 Refrigerated vans with compression-ignition internal combustion piston
  engines, of g.v.w. exceeding 20 tonnes
  8704.31 10 Refrigerated vans with spark ignition internal combustion piston engines, of
g.v.w not exceeding 5 tonnes
  8704.32 11 Refrigerated vans with spark ignition internal combustion piston engines, of
g.v.w exceeding 5 tonnes up to 6 tonnes
  8704.32 91 Refrigerated vans with spark ignition internal combustion piston engines, of
g.v.w exceeding 6 tonnes

8708.40 90 Gear boxes, assembled
8708.50 90 Drive axle with differential, whether or not provided with other transmission
  components of agricultural tractors
  8708.60 90 Non-driving axle and parts thereof for agricultural tractors
  8708.70 10 Wheel center discs and center caps whether or not incorporating logos, for 
agricultural tractors
8708.70 90 Other road wheels and parts and accessories thereof, for agricultural tractors
8708.91 90 Radiator of agricultural tractors
8708.92 00 Silencers and exhaust pipes for agricultural tractors
8708.93 00 Clutches and parts thereof for agricultural tractors
8708.94 00 Steering wheels, steering columns and steering boxes
8708.99 90 Other parts and accessories of agricultural tractors

  both persons and goods; over 500 GT

9018.32 00 Tubular metal needles and needles for sutures
  9018.90 00 Other instruments and appliances

9507.20 00 Fish-hooks, whether or not snelled
9507.30 00 Fishing reels