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PRESIDENTIAL DECREE NO. 1144
PRESIDENTIAL DECREE NO. 1144 -
CREATING THE FERTILIZER AND PESTICIDE AUTHORITY AND ABOLISHING THE
FERTILIZER INDUSTRY AUTHORITY
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chanroblesvirtualawlibrary
WHEREAS, it
is a Government policy to provide adequate assistance to the
agricultural sector in line with national objective of increasing
food production;chanroblesvirtualawlibrary
WHEREAS, fertilizer and pesticides as vital inputs in food production
and must be supplied in adequate quantities at reasonable costs; chanroblesvirtualawlibrary
WHEREAS, improper pesticide usage presents serious risks to users,
handlers, and the public in general because of the inherent
toxicity of these compounds which are, moreover, potential
environmental contaminants;chanroblesvirtualawlibrary
WHEREAS, there is a need to educate the agricultural sector on the
benefits as well as the hazards of pesticide use so that it can
utilized pesticides properly to promote human welfare while avoiding
dangers to health and environmental pollution;chanroblesvirtualawlibrary
WHEREAS, the fertilizer and pesticide industries have much in common in
terms of clientele, distribution channels, system of application in
farmers' fields, and technical supervision by the same farm management
technicians under the government's food production program;chanroblesvirtualawlibrary
WHEREAS, the foregoing considerations make it desirable to have one
agency to regulate fertilizer importation, manufacture, formulation,
distribution, delivery, sale, transport and storage as well as
pesticide labeling, distribution, storage, transportation, use and
disposal;chanroblesvirtualawlibrary
WHEREAS, the Fertilizer Industry Authority was created by Presidential
Decree No. 135, dated 22 February 1973, and amended by Presidential
Decree Nos. 517 and 669, dated 19 July 1974 and 11 March 1975
respectively, in order to regulate, control and develop the fertilizer
industry but does not include the pesticide industry in its
jurisdiction;chanroblesvirtualawlibrary
WHEREAS, there is an urgent need to create a technically-oriented
government authority equipped with the required expertise to regulate,
control and develop both the fertilizer and the pesticide
industries; chanroblesvirtualawlibrary
NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the Philippines,
by virtue of the powers vested in me by the Constitution, do hereby
decree and order the following:cralaw:red
Section 1. Creation of the Fertilizer and Pesticide
Authority. — The Fertilizer and Pesticide Authority, hereinafter
referred to as the FPA, is hereby created and attached to the
Department of Agriculture for the purpose of assuring the agricultural
sector of adequate supplies of fertilizer and pesticide at
reasonable prices, rationalizing the manufacture and marketing of
fertilizer, protecting the public from the risks inherent in the use of
pesticides, and educating the agricultural sector in the use of these
inputs.
Section 2. Abolition of the Fertilizer Industry
Authority. — The Fertilizer Industry Authority created under
Presidential Decree 135, dated 22 February 1973, as amended by
Presidential Decree 517 and 669, dated 19 July 1974 and 11 March 1975
respectively, is hereby abolished.
The FPA shall assume such appropriations, assets and liabilities and
hire such personnel of the FIA as may be determined by its Board of
Directors; Provided, that such assumption is made within sixty (60)
days from the effectivity of this decree.
Section 3. Definitions. — For the purpose hereof, the
terms herein below shall be understood to mean as follows:cralaw:red
a) "Pesticide" — any substance or product, or mixture
thereof, including active ingredients, adjuvants, and pesticide
formulations, intended to control, prevent, destroy, repel or mitigate
directly or indirectly, any pest. The term shall be understood to
include insecticide, fungicide, bactericide, nematocide, herbicide,
molluscicide, avicide, rodenticide, plant regulator, defoliant,
desiccant and the like.
b) "Fertilizer" — includes any substance — solid or
liquid — or any nutrient element or elements — organic or inorganic
— singly or in combination with other materials, applied directly
to the soil for the purpose of promoting plant growth, increasing crop
yield or improving their quality.
c) "Other agricultural chemicals" — shall mean
chemicals, chemical inputs and chemical compounds not herewith covered
by the definition of fertilizer and pesticide but utilized by the
agricultural sector.
d) "Handlers" — shall mean exporters, importers,
manufacturers, formulators, distributors, suppliers, wholesalers,
dealers, repackers, commercial applicators, warehousers, and retailer
of fertilizers, fertilizer inputs, pesticide and other
agricultural inputs.
e) "Tolerance Level" — shall mean the maximum amount
of pesticides, as determined by the FPA, which may be allowed to remain
in any raw agricultural produce at any stage between harvesting and
consumption.
f) "Imminent Hazard" — shall mean a situation which
exists when the continued use of a pesticide will likely result in
unreasonable adverse effects on the public and/or the environment or
will involve unreasonable hazards to the survival of a specie declared
endangered by the appropriate authorities.
Section 4. Board of Directors. — The powers and
functions of the FPA shall be vested in and exercised by a Board of
Directors which shall be composed of the following officials or their
representatives:cralaw:red
1. Secretary of Agriculture —
Chairman
2. Secretary of Industry — Member
3. Secretary of Finance — Member
4. Secretary of Trade — Member
5. Governor, Central Bank — Member
6. President, Philippine
National Bank — Member
7. Director, Bureau of Plant
Industry — Member
8. Commissioner, Pollution
Control Commission — Member
9. Administrator, Food &
Drug Administration — Member
The members of the Board shall elect a Vice-Chairman who shall act as
Chairman in case of the absence, inability or temporary incapacity of
the Chairman.
Section 5. Organization. — The FPA is empowered to
determine and create its organizational structure in order to achieve
its objectives, including the number, positions and salaries of its
officers and employees.
The Board is empowered to create the positions of Administrator, Deputy
Administrator for Fertilizer, Deputy Administrator for Pesticides, and
other subordinate officials as may be required.
The Board shall appoint all the officers of the FPA, establish a
compensation scheme including allowances and benefits, working hours
and such other conditions of employment as it may deem proper,
discipline and/or removed for cause, and exercise such other powers
over its personnel as may be necessary for the efficient operation of
the FPA. chanroblesvirtualawlibrary
Section 6. Powers and Functions. — The FPA shall have
jurisdiction, on over all existing handlers of pesticides, fertilizers
and other agricultural chemical inputs. The FPA shall have the
following powers and functions:cralaw:red
I. Common to Fertilizers, Pesticides and other
Agricultural Chemicals
1. To conduct an information campaign regarding the
safe and effective use of these products;chanroblesvirtualawlibrary
2. To promote and coordinate all fertilizer and
pesticides research in cooperation with the Philippine Council for
Agriculture and Resources Research and other appropriate agencies to
ensure scientific pest control in the public interest, safety in the
use and handling of pesticides, higher standards and quality of
products and better application methods;chanroblesvirtualawlibrary
3. To call upon any department, bureau, office,
agency or instrumentality of the government, including government-owned
or controlled corporations, or any officer or employee thereof and on
the private sector, for such information or assistance as it may need
in the exercise of its powers and in the performance of its functions
and duties;chanroblesvirtualawlibrary
4. To promulgate rules and regulations for the
registration and licensing of handlers of these products, collect fees
pertaining thereto, as well as the renewal, suspension, revocation, or
cancellation of such registration or licenses and such other rules and
regulations as may be necessary to implement this Decree; chanroblesvirtualawlibrary
5. To establish and impose appropriate penalties on
handlers of these products for violations of any rules and regulations
established by the FPA;chanroblesvirtualawlibrary
6. To institute proceedings against any person
violating any provisions of this Decree and/or such rules and
regulations as may be promulgated to implement the provisions of this
Decree after due notice and hearing;chanroblesvirtualawlibrary
7. To delegate such selected privileges, powers or
authority as may be allowed by law to corporation, cooperatives,
associations or individuals as may presently exist or be organized to
assist the FPA in carrying out its functions, and;chanroblesvirtualawlibrary
8. To do any and all acts not contrary to law or
existing decrees and regulations as may be necessary to carry out the
functions of the FPA.
II. Fertilizers
1. To make a continuous assessment of the fertilizer
supply and demand situation, both domestic and worldwide;chanroblesvirtualawlibrary
2. To establish and enforce sales quotas, production
schedules, distributions areas and such other marketing regulations as
may be necessary to assure market stability and viable operations in
the industry;chanroblesvirtualawlibrary
3. To determine and set the volume and prices both
wholesale and retail; of fertilizer and fertilizer inputs;chanroblesvirtualawlibrary
4. To establish and implement regulations governing
the import and export of fertilizer and fertilizer inputs, and when
necessary, to itself import and/or export such items, including the
negotiating and contracting of such imports and exports; chanroblesvirtualawlibrary
5. To import fertilizer and fertilizer inputs exempt
from customs duties, compensating and sales taxes and all other taxes,
and to purchase naptha locally free from specific taxes and the
corresponding duty on the imported crude, and to sell or convey such
fertilizer or fertilizer input to any individual association, or
corporation likewise exempt from the payment of customs duties and all
other taxes;chanroblesvirtualawlibrary
6. To control and regulate all marketing companies,
whether importer, indentor, wholesaler or retailer; by controlling and
regulating prices, terms, mark-ups, distribution channels, promotion,
storage and other marketing factors in the domestic fertilizer market;chanroblesvirtualawlibrary
7. To regulate and control quality of the different
grades of fertilizer and to set new grades when necessary;chanroblesvirtualawlibrary
8. To control and regulate all aspects of domestic
fertilizer production, including the utilization of idle capacity and
the orderly expansion of the industry and to compel the utilization
of unused or underutilized capacities of fertilizer companies and
to direct any improvements, modifications or repairs as may be
necessary to accomplish this;chanroblesvirtualawlibrary
9. To approve or to reject the establishment of new
fertilizer or fertilizer input plants and the expansion or contraction
of existing capacities;chanroblesvirtualawlibrary
10. To obtain complete assess to all pertinent
information on the operations of the industry, including audited and/or
unaudited financial statements, marketing, production, and inventory
data; chanroblesvirtualawlibrary
11. To control and assist in the financing of the
importation of fertilizer and fertilizers inputs of production, of
inventory and working capital, and of the expansion of the industry;chanroblesvirtualawlibrary
12. To do all such things as may be necessary to
maintain an adequate supply of fertilizers to the domestic market at
reasonable prices while maintaining the long-term viability of the
industry.
III. Pesticides and Other Agricultural Chemicals
1. To determine specific uses or manners of use for
each pesticide or pesticide formulation;chanroblesvirtualawlibrary
2. To establish and enforce tolerance levels and good
agricultural practices for use of pesticides in raw agricultural
commodities;chanroblesvirtualawlibrary
3. To restrict or ban the use of any pesticide or the
formulation of certain pesticides in specific areas or during certain
periods upon evidence that the pesticide is an imminent hazard, has
caused, or is causing widespread serious damage to crops, fish or
livestock, or to public health and the environment;chanroblesvirtualawlibrary
4. To prevent the importation of agricultural
commodities containing pesticide residues above the accepted tolerance
levels and to regulate the exportation of agricultural products
containing pesticide residue above accepted tolerance levels;chanroblesvirtualawlibrary
5. To inspect the establishment and premises of
pesticide handlers to insure that industrial health and safety rules
and anti-pollution regulations are followed; chanroblesvirtualawlibrary
6. To enter and inspect farmers' fields to ensure
that only the recommended pesticides are used in specific crops in
accordance with good agricultural practice;chanroblesvirtualawlibrary
7. To require if and when necessary, of every handler
of these products, the submission to the FPA of a report stating the
quantity, value of each kind of product exported, imported,
manufactured, produced, formulated, repacked, stored, delivered,
distributed, or sold;chanroblesvirtualawlibrary
8. Should there by any extraordinary and unreasonable
increases in prices or a severe shortage in supply of pesticides, or
imminent dangers or either occurrences, the FPA is empowered to impose
such controls as may be necessary in the public interest, including but
not limited to such restrictions and controls as the imposition
of price ceilings, controls on inventories, distribution and transport,
and tax-free importations of such pesticides or raw materials thereof
as may be in short supply.
Section 7. Power to Issue Rules and Regulations to
Implement Decree. — The FPA is hereby authorized to issue or promulgate
rules and regulations to implement, and carry out the purposes and
provisions of this Decree.
Section 8. Prohibitions Governing Sale and Use of
Fertilizers and Pesticides. — It shall be unlawful for any handler of
pesticides, fertilizer, and other agricultural chemicals or for any
farmers, planter or end-user of the same as the case may be:cralaw:red
a) To engage in any form of production, importation,
distribution, storage and sale in commercial quantities without
securing from the FPA a license therefor; chanroblesvirtualawlibrary
b) To use any pesticide or pesticide formulation on
crops, livestock, and the environment in a manner contrary to good
agricultural practices as hereinabove defined;chanroblesvirtualawlibrary
c) To deal in pesticides and/or fertilizers which
have not been previously registered with FPA, or which registration has
expired or has been suspended or revoked;chanroblesvirtualawlibrary
d) To adulterate pesticides formulation and
fertilizer grade;chanroblesvirtualawlibrary
e) To impose as a condition for the purchase of
fertilizer, the simultaneous purchase of pesticide for other
agricultural chemical inputs and vice-versa;chanroblesvirtualawlibrary
f) To mislabel or make claims which differ in
substance from the representation made in connection with a product's
registration or from its actual effectiveness; and
g) To violate such other rules and regulations as may
be promulgated by FPA.
Section 9. Registration and Licensing. — No
pesticides, fertilizer, or other agricultural chemical shall be
exported, imported, manufactured, formulated, stored distributed, sold
or offered for sale, transported, delivered for transportation or used
unless it has been duly registered with the FPA or covered by a
numbered provisional permit issued by FPA for use in accordance with
the conditions as stipulated in the permit. Separate registrations
shall be required for each active ingredient and its possible
formulations in the case of pesticides or for each fertilizer grade in
the case of fertilizer.
No person shall engage in the business of exporting, importing,
manufacturing, formulating, distributing, supplying, repacking,
storing, commercially applying, selling, marketing, of any pesticides,
fertilizer and other agricultural chemicals except under a license
issued by the FPA. chanroblesvirtualawlibrary
The FPA, in the pursuit of its duties and functions, may suspend,
revoke, or modify the registration of any pesticide, fertilizer and
other agricultural chemicals after due notice and hearing.
Section 10. Penalties. —
a. Fertilizer. — Any person who violates any of the
provisions of this Decree or any of the provisions of the rules and
regulations issued or promulgated by the FPA on fertilizer shall be
punished by imprisonment of not less than 15 years and 1 day or more
than 20 years if the amount involved is more than P50,000.00; by
imprisonment of not less than 10 years and 1 day or more than 15 years
if the amount involved is P10,000.00 or less, as well as a fine ranging
from an amount equal to the value involved to three times such value
but which shall in no case be less than P5,000.00 nor more than
P20,000.00; by a fine of P5,000.00 but not more than P10,000.00 by
other violations where the amount involved cannot be determined;
Provided, that if falsification of a public or commercial document is
committed by reasons or on the occasion of the commission of any of the
acts punishable herein, the offender shall be imposed of the maximum
fine and term of imprisonment as above prescribed. If the violation is
committed by a corporation, firm, partnership, cooperative, association
or any other entity, the penalty shall be imposed upon the guilty
office or offices and such corporation, firm, partnership, association
or entity.
b) Pesticides. — Any person who violates any of the
provisions of this Decree or any of the provisions of the rules and
regulations issued or promulgated by FPA or pesticide, shall be liable
to a penal servitude of not in excess of one year or a fine of
P5,000.00 but not more than P10,000.00 provided that if the violation
is committed by a corporation, firm, partnership, cooperative,
association or any other entity, the penalty shall be imposed upon the
guilty officials or officers of such entities.
Section 11. Appropriation. — The sum of One Million
and Two Hundred Thousand (P1.2 Million) Pesos shall, in addition to
what has been appropriated for the Fertilizer Industry Authority for
the Calendar Year 1977, be released out of any funds in the National
Treasury not otherwise appropriated. For every calendar year
thereafter such sums as may be necessary for the operations of the FPA
shall be included in the General Appropriations Decree.
Any provision of existing law to the contrary notwithstanding, the FPA
may impose fees or receive grants, subsidies, donations, or
contributions from any entity and retain such funds for its operation.
Section 12. Life of FPA. — The FPA shall constitute
itself immediately and shall continue to exist until and unless
abolished by the President of the Philippines.
Section 13. Separability Clause. — The provisions of
this Decree are hereby declared to be separable, and in the event any
one of more of such provisions are held unconstitutional, the
validity of other provisions shall not be affected.
Section 14. Repealing Clause. — All laws, decrees,
acts, executive order, ordinances, rules and regulations which are
inconsistent with the provisions of the Presidential Decree are hereby
repealed, amended or modified accordingly.
Section 15. Effectivity. — This Decree shall take
effect upon approval.
Done in the City of Manila,
this 30th day of May, in the year of Our Lord, nineteen hundred and
seventy-seven.
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