Entitled: AN ACT INSTITUTING THE FARMERS AND FISHERFOLK ENTERPRISE DEVELOPMENT PROGRAM OF THE DEPARTMENT OF AGRICULTURE AND FOR OTHER PURPOSES [ FIRST REGULAR SESSION, 17TH CONGRESS ] [ 2016 ] 12/14/2016 Prepared and submitted jointly by the Committee(s) on AGRICULTURE AND FOOD and WAYS AND MEANS with Senator FRANCIS N. PANGILINAN as author per Committee Report No. 23, recommending its approval in substitution of SBN-50; 12/14/2016 Committee Report Calendared for Ordinary Business; 12/14/2016 Sponsor: Senator FRANCIS N. PANGILINAN; 12/14/2016 Transferred from the Calendar for Ordinary Business to the Calendar for Special Order; 12/14/2016 Sponsorship speech of Senator FRANCIS N. PANGILINAN; 12/14/2016 Cosponsorship speech of Senator PAOLO BENIGNO BAM AQUINO IV; [ 2017 ] 5/23/2017 Period of interpellation closed; 5/24/2017 Period of individual amendments; 5/24/2017 Period of individual amendments closed; 5/24/2017 Period of committee amendments closed; 5/24/2017 Approved on Second Reading with Amendments; 5/25/2017 Printed copies were distributed to the Senators; 5/30/2017 Approved on Third Reading; 5/30/2017 In favor: (21) JUAN EDGARDO "SONNY" M. ANGARA, PAOLO BENIGNO "BAM" AQUINO IV, MARIA LOURDES NANCY S. BINAY, FRANKLIN M. DRILON, JOSEPH VICTOR G. EJERCITO, FRANCIS "CHIZ" G. ESCUDERO, SHERWIN T. GATCHALIAN, RICHARD J. GORDON, GREGORIO B. HONASAN II, RISA HONTIVEROS, PANFILO M. LACSON, LOREN B. LEGARDA, EMMANUEL "MANNY" D. PACQUIAO, FRANCIS N. PANGILINAN, AQUILINO KOKO III L. PIMENTEL, GRACE L. POE, RALPH G. RECTO, VICENTE C. SOTTO III, JOEL VILLANUEVA, CYNTHIA A. VILLAR and JUAN MIGUEL F. ZUBIRI; 5/30/2017 Against: (None) ; 5/30/2017 Abstention: (None) ; 5/31/2017 Sent to the House of Representatives requesting for concurrence; [ 2019 ] 2/6/2019 Senate adopted HBN-8857 as an amendment to SBN-1281; 2/7/2019 House of Representatives designated Representatives Panganiban, Ferrer IV, Chavez, Caminero, Suansing and Salon as its conferees to the Bicameral Conference Committee on the disagreeing provisions of HBN-8857 and SBN-1281 on February 6, 2019; (See: O.B. dated May 20, 2019) 3/12/2019 Letter from Acting Secretary General of the House of Representatives, Mr. Dante Roberto P. Maling, dated March 11, 2019, transmitting nine (9) enrolled copies of consolidated HBN-8857 and SBN-1281, for the signature of Senate Secretary Atty. Myra Marie D. Villarica and Senate President Vicente C. Sotto III; 3/19/2019 Letter for Speaker Gloria Macapagal-Arroyo, dated March 18, 2019, returning eight (8) enrolled copies of HBN-8857, which was adopted as an amendment to SBN-1281, which were signed by Senate Secretary Atty. Myra Marie D. Villarica and Senate President Vicente C. Sotto III; 6/4/2019 Consolidated with HBN-8857, which was Approved and Signed into Law by the President of the Philippines, His Excellency, President Rodrigo Roa Duterte on April 17, 2019 and became 6/4/2019 REPUBLIC ACT NO. 11321. (Pursuant to paragraph g, Sec. 7, Rule V of the Rules of the Senate, R.A.No. 11321 (SBN-1281) with the pertinent documents transmitted to the Legislative Records and Archives Service for safekeeping and preservation on June 20, 2019) (The legislative history/plenary deliberations is prepared by the INDEXING, MONITORING AND LIS SECTION, LEGISLATIVE BILLS AND INDEX SERVICE; The data entry on committee meetings is prepared by the Committee Affairs Bureau)
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115 OG No. 25, 6067 (June 24, 2019); Manila Bulletin, May 30, 2019
[ REPUBLIC ACT NO. 11321, April 17, 2019 ]
AN ACT INSTITUTING THE FARMERS AND PISHERFOLK ENTERPRISE DEVELOPMENT PROGRAM OF THE DEPARTMENT OF AGRICULTURE
Be it enacted by the Senate and House of Representatives of the Philippines in Congress assembled:
SECTION .1. Short Title. - This Act shall be known as the "Sagip Saka Act".
SEC. 2. Declaration of Policy. - It is the declared policy of the State to achieve sustainable modern agriculture and food security by helping the agricultural and fishing communities to reach their full potential, increasing farmers' and fishermen's incomes, and bridging gaps through public-private partnerships, thereby improving their quality of life.
In pursuance of this policy, the State shall strengthen the farmers and fisherfolk enterprise development program by establishing a comprehensive and holistic approach in the formulation, coordination and implementation of enterprise development initiatives, consolidating the roles of different government agencies involved in farmers and fisherfolk enterprise development, and intensifying the building of entrepreneurship culture among farmers and fisherfolk,
SEC. 3. The Farmers and Fisherfolk Enterprise Development Program. - There is hereby established the "Farmers and Fisherfolk Enterprise Development Program", herein referred to as the Program, which shall refer to the comprehensive set of objectives, targets, and holistic approach in promoting the establishment of enterprises involving agricultural and fishery products. It shall be integrated and be made consistent with the Agriculture and Fisheries Modernization Plan, and the Micro, Small, and Medium Enterprises Development Plan.
The Program shall make use of science-based technologies in the identification and prioritization of agricultural and fishery products that will he covered.
The forms of assistance to be provided under the Program shall include:
(a) Improvement of production and productivity, including agricultural extension services, skills development, provision of production inputs, equipment, facilities, and infrastructure for production and post-production activities;
(b) Improvement of producers' and enterprises' access to financing in the form of credit grants and crop insurance;
(c) Provision of access to improved technologies through research and development; and
(d) Provision of business support and development services, particularly in the areas of access to markets, marketing, and networking.
SEC. 4. Coverage of the Program, - The Program shall cover the following areas:
(a) Agricultural and fisheries production, including processing of fisheries and agri-based products and farm inputs;
(b) Acquisition of work animals, farm and fishery equipment and machinery;
(c) Acquisition of seeds, fertilizer, poultry, livestock, feeds, and other similar items;
(d) Procurement of agricultural and fisheries products for storage, trading, processing, and distribution;
(e) Construction, acquisition, and repair of facilities for production, processing, storage, transportation, communication, marketing, and such other facilities in support of agriculture and fisheries;
(f) Working capital for agriculture and fisheries graduates to enable thorn to engage in agriculture and fisheries related economic activities;
(g) Agribusiness activities which support soil and water conservation and ecology enhancing activities;
(h) Working capital for long gestating projects: and
(i) Credit guarantees on uncollateralized loans to farmers and fisherfolk.
SEC. 5. Beneficiaries of the Program. - The possible proponent groups or beneficiaries of the Program arc the following:
(a) Existing producer groups whose products are included in the priority commodity value chains and have potential to increase their marketable surplus;
(b) Farmer and fisherfolk which have potential to produce marketable surplus and demonstrate willingness to voluntarily adopt clustering with other groups and forge contracts or formal marketing agreements with buyers or private intermediaries;
(c) Producer groups or cluster of growers that are either operational and/or show a willingness to undergo capacity building on enterprise development and management; and
(d) Micro, small, and medium scale processors; consolidators, exporters, and other enterprises, who are willing to assist producer groups in vertical clustering or joint business planning, and forge contracts or formal marketing agreements with such producer groups. Joint business planning and investments of the producer groups and agro-processors will be supported if it will result in increased, engagement of the producer groups in value-adding activities.
Farmers and fisherfolk must be members of any organization operating in the priority commodity value chain for them to be eligible either as a member of the proponent group or as supplier to the enterprise.
SEC. 6. Implementing Agencies and Partner Agencies, — The Department of Agriculture (DA) shall be the implementing agency of the Program. It shall tap the assistance, expertise and resources of the following agencies, such as the Philippine Coconut. Authority (PGA), National Dairy Authority (NDA), Bureau of Soils and Water Management (BSWM), Philippine Center for Post-Harvest Development and Mechanization, Bureau of Fisheries and Aquatic Resources (BFAK), Agricultural Training Institute (ATI), Agricultural Credit and Policy Council (ACPC), and the Bureau of Agricultural Research (BAR).
The DA shall likewise collaborate with and secure the technical support and assistance of other departments and their attached agencies and corporations to support enterprise development in the priority commodity value chain, such as the Department of Agrarian Reform (DAE), Department of Environment and Natural Resources (DENE), Department of Science and Technology (DOST), Department of Trade and Industry (DTI), and the Department of the Interior and Local Government (DILG).
SEC. 7. Private Sector Partnership. - Partnerships or alliances between farmers and fisherfolk and the private-sector may be formed to improve market access of producer groups.
The following criteria shall be considered in the selection of private sector partners:
(a) Commitment to enter into marketing contract or a buy-back agreement with the producers' group;
(b) Willingness to undertake technology transfer on the provided goods and/or services;
(c) Financial and organizational capability to undertake the proposed enterprise; and
(d) Established and -actual experience in undertaking or implementing the proposed enterprise.
Private sector partners may also provide or donate equipment, machineries, and other forms of assistance to farmers and fisherfoik engaging in enterprise development.
The DA shall issue the guidelines and the qualification requirements in recognizing private sector partners of the Program.
SEC. 8. Creation of the Farmers and Fisherfolk Enterprise Development Council. — To oversee the proper implementation of the Program, the Farmers and Fisherfolk Enterprise Development Council is hereby created. It shall be composed of: (a) the Secretary of the DA or his duly authorized representative who is at least an Undersecretary, who shall be the Chair; (b) a representative of the DTI, who shall likewise at least be an Undersecretary: (c) a representative of the DILG: (d) a representative of the Department of Finance (DOF); (e) a representative of the Cooperative Development Authority (CDA); (f) a representative of a national organization of farmers cooperatives or associations; (g) a representative of a national organization of fisherfolk cooperatives or associations; and (h) two (2) representatives from the agriculture, food, restaurant and business sectors.
The DA shall tap the resources under the management of its attached agencies and commodity development programs and require counterpart funding from partner and local government units (LGUs) and farmers and fisherfolk organizations and enterprises in the form of cash, land, building, labor, or machineries and equipment.
SEC. 9. Local Councils for Farmers and Fisherfolk Enterprise Development. — The Agriculture and Fishery Councils (AFOs) of the Philippine Council for Agriculture and Fisheries (PCAF) shall provide the mechanisms for private sector participation in the development processes at the regional, provincial, city/municipal levels.
SEC. 10. Farmers and Fisherfolk Enterprise Development Information System. - The DA. through the Agribusiness-and Marketing Assistance Service, shall maintain a Farmers and Fisherfolk Enterprise Development Information System to assist, the government in formulating plans and programs on enterprise development, and to enable producer groups, the private sector, the LGUs, and potential donors to respond to the needs of the local and woxid markets and in generating resources for further enterprise development. The information system shall contain a list of possible and implemented programs and projects, a registry of agricultural and fisheries enterprises, and a roster of private companies engaged in these enterprises or have expressed interest in participating in the. Program, and other information that may be identified by the Department or by the Council.
SEC. 11. Direct Purchase by National and Local Government Agencies. - To promote and support farmers and fisherfolk enterprise development, national and local government agencies shall directly purchase agricultural and fishery products from accredited farmers and fisherfolk cooperatives and enterprises: Provided, That said agricultural and fishery products are necessary in the performance of their respective mandates.
For purposes of this Act, the procurement by national and local government agencies of said agricultural and fishery products shall be exempt from the application of the bidding process prescribed under relevant government procurement laws: Provided, That said agencies shall undergo a negotiated procurement under the applicable guidelines of the Government Procurement. Policy Board.
SEC. 12. Tax Incentives and Exemptions. - The provisions of any general or special law to the contrary notwithstanding:
(a) Gifts and donations of real and personal properties .shall be exempt from donor's tax;
(b) The LGUs shall exempt structures, buildings, and warehouses utilized for the storage of farm inputs and outputs from real property tax: Provided, That the assessed value of the property does not exceed Three million pesos (P3,000,000.00);
(c) The Land Bank of the Philippines shall provide preferential rates and special window to accredited farmers and fisherfolk enterprises; and
(d) Exemptions from income tax may be provided for income arising from the operations of the enterprise: Provided, That the farmer and the fisberfolks: cooperatives and enterprises shall register as barangay micro-business enterprises pursuant to Republic Act No. 9178, otherwise known as the "Barangay Micro-Business Enterprises (BMBEs) Act of 2002".
SEC. 13. Implementing Mules and- Regulations. -Within sixty (60) days from the date of effectivity of this Act. the DA, in consultation with the DTI and the DOF. shall formulate the rules and regulations for the proper implementation of this Act.
SEC. 14. Separability Clause. - If any provision of this Act is declared invalid or unconstitutional, the other provisions not affected by such declaration shall remain in full force and effect.
SEC. 15. Repealing Clause. - All laws, executive and administrative orders, rules and regulations inconsistent; with the foregoing provisions are hereby repealed or modified accordingly.
SEC. 16. Effectivity. - Tins Act shall, take effect fifteen (15) days after its publication in the Official Gazette or in a newspaper of general circulation.
(SGD.) GLORIA MACAPAGAL-ARROYO
(SGD.) VICENTE C. SOTTO III
This Act. was passed by the House of Representatives as House Bill No. 8857 on January 28, 2019 and adopted by the Senate of the Philippines as an amendment to Senate Bill No. 1281 on February 6, 2019.
(SGD.) DANTE ROBERTO P. MALING
(SGD.) MYRA MARIE D. VILLARICA
Approved: APR 17 2019
(SGD.) RODRIGO ROA DUTERTE
President of the Philippines
Source: Supreme Court E-Library
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