Philippine Fisheries Code of 1998 (Republic Act No. 8550)

Republic Act No. 8550 February 25, 1998 (http://www.gov.ph/1998/02/25/republic-act-no-8550/) REPUBLIC OF THE PHILIPPINES CONGRESS OF THE PHILIPPINES METRO MANILA Tenth Congress FIFTH SPECIAL SESSION Begun and held in Metro Manila on Tuesday the seventeenth day of February, nineteen hundred and ninety-eight [REPUBLIC ACT No. 8550] AN ACT PROVIDING FOR THE DEVELOPMENT, MANAGEMENT AND CONSERVATION OF THE FISHERIES AND AQUATIC RESOURCES, INTEGRATING ALL LAWS PERTINENT THERETO, AND FOR OTHER PURPOSES Be it enacted by the Senate and House of Representatives of the Philippines in Congress assembled SECTION 1. Title. — This Act shall be known as “The Philippine Fisheries Code of 1998.” CHAPTER I Declaration of Policy and De�nitions SECTION 2. Declaration of Policy. — It is hereby declared the policy of the State: GOVPH (/) http://www.gov.ph/ http://www.gov.ph/1998/02/25/republic-act-no-8550/ http://www.gov.ph/ a. to achieve food security as the overriding consideration in the utilization, management, development, conservation and protection of �shery resources in order to provide the food needs of the population. A �exible policy towards the attainment of food security shall be adopted in response to changes in demographic trends for �sh, emerging trends in the trade of �sh and other aquatic products in domestic and international markets, and the law of supply and demand; b. to limit access to the �shery and aquatic resources of the Philippines for the exclusive use and enjoyment of Filipino citizens; c. to ensure the rational and sustainable development, management and conservation of the �shery and aquatic resources in Philippine waters including the Exclusive Economic Zone (EEZ) and in the adjacent high seas, consistent with the primordial objective of maintaining a sound ecological balance, protecting and enhancing the quality of the environment; d. to protect the rights of �sherfolk, especially of the local communities with priority to municipal �sherfolk, in the preferential use of the municipal waters. Such preferential use, shall be based on, but not limited to, Maximum Sustainable Yield (MSY) or Total Allowable Catch (TAC) on the basis of resources and ecological conditions, and shall be consistent with our commitments under international treaties and agreements; e. to provide support to the �shery sector, primarily to the municipal �sherfolk, including women and youth sectors, through appropriate technology and research, adequate �nancial, production, construction of post-harvest facilities, marketing assistance, and other services. The protection of municipal �sherfolk against foreign intrusion shall extend to offshore �shing grounds. Fishworkers shall receive a just share for their labor in the utilization of marine and �shery resources; f. to manage �shery and aquatic resources, in a manner consistent with the concept of an integrated coastal area management in speci�c natural �shery management areas, appropriately supported by research, technical services and guidance provided by the State; and g. to grant the private sector the privilege to utilize �shery resources under the basic concept that the grantee, licensee or permittee thereof shall not only be a privileged bene�ciary of the State but also active participant and partner of the Government in the sustainable development, management, conservation and protection of the �shery and aquatic resources of the country. The state shall ensure the attainment of the following objectives of the �shery sector: 1. Conservation, protection and sustained management of the country’s �shery and aquatic resources; 2. Poverty alleviation and the provision of supplementary livelihood among municipal �sherfolk; 3. Improvement of productivity of aquaculture within ecological limits; 4. Optimal utilization of offshore and deep-sea resources; and 5. Upgrading of post-harvest technology. SECTION 3. Application of its Provisions. — The provisions of this Code shall be enforced in: a. all Philippine waters including other waters over which the Philippines has sovereignty and jurisdiction, and the country’s 200-nautical mile Exclusive Economic Zone (EEZ) and continental shelf; b. all aquatic and �shery resources whether inland, coastal or offshore �shing areas, including but not limited to �shponds, �shpens/cages; and c. all lands devoted to aquaculture, or businesses and activities relating to �shery, whether private or public lands. SECTION 4. De�nition of Terms. — As used in this Code, the following terms and phrases shall mean as follows: 1. Ancillary Industries — �rms or companies related to the supply, construction and maintenance of �shing vessels, gears, nets and other �shing paraphernalia; �shery machine shops; and other facilities such as hatcheries, nurseries, feed plants, cold storage and refrigeration, processing plants and other pre-harvest and post-harvest facilities. 2. Appropriate Fishing Technology — adaptable technology, both in �shing and ancillary industries, that is ecologically sound, locally source-based and labor intensive. 3. Aquaculture — �shery operations involving all forms of raising and culturing �sh and other �shery species in fresh, brackish and marine water areas. 4. Aquatic Pollution — the introduction by human or machine, directly or indirectly, of substances or energy to the aquatic environment which result or is likely to result in such deleterious effects as to harm living and non-living aquatic resources, pose potential and/or real hazard to human health, hindrance to aquatic activities such as �shing and navigation, including dumping/disposal of waste and other marine litters, discharge of petroleum or residual products of petroleum or carbonaceous materials/substances, and other, radioactive, noxious or harmful liquid, gaseous or solid substances, from any water, land or air transport or other human-made structure. Deforestation, unsound agricultural practices such as the use of banned chemicals and excessive use of chemicals, intensive use of arti�cial �sh feed, and wetland conversion, which cause similar hazards and deleterious effects shall also constitute aquatic pollution. 5. Aquatic Resources — includes �sh, all other aquatic �ora and fauna and other living resources of the aquatic environment, including, but not limited to, salt and corals. 6. Arti�cial Reefs — any structure of natural or man-made materials placed on a body of water to serve as shelter and habitat, source of food, breeding areas for �shery species and shoreline protection. 7. Catch Ceilings — refer to the annual catch limits allowed to be taken, gathered or harvested from any �shing area in consideration of the need to prevent over�shing and harmful depletion of breeding stocks of aquatic organisms. 8. Closed Season — the period during which the taking of speci�ed �shery species by a speci�ed �shing gear is prohibited in a speci�ed area or areas in Philippine waters. 9. Coastal Area/Zone — is a band of dry land and adjacent ocean space (water and submerged land) in which terrestrial processes and uses directly affect oceanic processes and uses, and vice versa; its geographic extent may include areas within a landmark limit of one (1) kilometer from the shoreline at high tide to include mangrove swamps, brackish water ponds, nipa swamps, estuarine rivers, sandy beaches and other areas within a seaward limit of 200 meters isobath to include coral reefs, algal �ats, seagrass beds and other soft-bottom areas. 10. Commercial Fishing — the taking of �shery species by passive or active gear for trade, business & pro�t beyond subsistence or sports �shing, to be further classi�ed as: 1. Small scale commercial �shing — �shing with passive or active gear utilizing �shing vessels of 3.1 gross tons (GT) up to twenty (20) GT; 2. Medium scale commercial �shing — �shing utilizing active gears and vessels of 20.1 GT up to one hundred �fty (150) GT; and 3. Large commercial �shing — �shing utilizing active gears and vessels of more than one hundred �fty (150) GT. 11. Commercial Scale — a scheme of producing a minimum harvest per hectare per year of milk�sh or other species including those raised in pens, cages, and tanks to be determined by the Department in consultation with the concerned sectors; 12. Coral — the hard calcareous substance made up of the skeleton of marine coelenterate polyps which include reefs, shelves and atolls or any of the marine coelenterate animals living in colonies where their skeletons form a stony mass. They include: (a) skeletons of anthozoan coelenterates characterized as having a rigid axis of compact calcareous or horny spicules, belonging to the genus corallium as represented by the red, pink, and white corals which are considered precious corals; (b) skeletons of anthozoan coelenterates characterized by thorny, horny axis such as the antipatharians represented by the black corals which are considered semi precious corals; and (c) ordinary corals which are any kind of corals that are not precious nor semi-precious. 13. Coral Reef — a natural aggregation of coral skeleton, with or without living coral polyps, occurring in intertidal and subtidal marine waters. 14. Demarcated Areas — boundaries de�ned by markers and assigned exclusively to speci�c individuals or organizations for certain speci�ed and limited uses such as: a. Aquaculture, sea ranching and sea farming; b. Fish aggregating devices; c. Fixed and passive �shing gears; and d. Fry and �ngerlings gathering. 15. Department — shall mean the Department of Agriculture. 16. Electro�shing — the use of electricity generated by batteries, electric generators and other source of electric power to kill, stupefy, disable or render unconscious �shery species, whether or not the same are subsequently recovered. 17. Endangered Rare and/or Threatened Species — aquatic plants, animals, including some varieties of corals and sea shells in danger of extinction as provided for in existing �shery laws, rules and regulations or in the Protected Areas and Wildlife Bureau of the Department of Environment and Natural Resources (DENR) and in the Convention on the International Trade of Endangered Species of Flora and Fauna (CITES). 18. Exclusive Economic Zone (EEZ) — an area beyond and adjacent to the territorial sea which shall not extend beyond 200 nautical miles from the baselines as de�ned under existing laws. 19. FARMCs — the Fisheries and Aquatic Resources Management Councils. 20. Farm-to-Market Roads — shall include roads linking the �sheries production sites, coastal landing points and other post-harvest facilities to major market and arterial roads and highways. 21. Fine Mesh Net — net with mesh size of less than three centimeters (3 cm.) measured between two (2) opposite knots of a full mesh when stretched or as otherwise determined by the appropriate government agency. 22. Fish and Fishery/Aquatic Products — include not only �n�sh but also mollusks, crustaceans, echinoderms, marine mammals, and all other species of aquatic �ora and fauna and all other products of aquatic living resources in any form. 23. Fish Cage — refers to an enclosure which is either stationary or �oating made up of nets or screens sewn or fastened together and installed in the water with opening at the surface or covered and held in a place by wooden/bamboo posts or various types of anchors and �oats. 24. Fish Corral or “Baklad” — a stationary weir or trap devised to intercept and capture �sh consisting of rows of bamboo stakes, plastic nets and other materials fenced with split bamboo mattings or wire mattings with one or more enclosures, usually with easy entrance but dif�cult exit, and with or without leaders to direct the �sh to the catching chambers, purse or bags. 25. Fish �ngerlings — a stage in the life cycle of the �sh measuring to about 6-13 cm. depending on the species. 26. Fish fry — a stage at which a �sh has just been hatched usually with sizes from 1-2.5 cm. 27. Fish pen — an arti�cial enclosure constructed within a body of water for culturing �sh and �shery/aquatic resources made up of poles closely arranged in an enclosure with wooden materials, screen or nylon netting to prevent escape of �sh. 28. Fisherfolk — people directly or personally and physically engaged in taking and/or culturing and processing �shery and/or aquatic resources. 29. Fisherfolk Cooperative — a duly registered association of �sherfolk with a common bond of interest, who have voluntarily joined together to achieve a lawful common social or economic end, making equitable contribution to the capital requirement and accepting a fair share of the risks and bene�ts of the undertakings in accordance with universally accepted cooperative principles. 30. Fisherfolk Organization — an organized group, association, federation, alliance or an institution of �sherfolk which has at least �fteen (15) members, a set of of�cers, a constitution and by-laws, an organizational structure and a program of action. 31. Fisheries — refers to all activities relating to the act or business of �shing, culturing, preserving, processing, marketing, developing, conserving and managing aquatic resources and the �shery areas, including the privilege to �sh or take aquatic resource thereof. 32. Fish Pond — a land-based facility enclosed with earthen or stone material to impound water for growing �sh. 33. Fishing Boat/Gear License — a permit to operate speci�c types of �shing boat/gear for speci�c duration in areas beyond municipal waters for demersal or pelagic �shery resources. 34. Fishery Management Areas — a bay, gulf, lake or any other �shery area which may be delineated for �shery resource management purposes. 35. Fishery Operator — one who owns and provides the means including land, labor, capital, �shing gears and vessels, but does not personally engage in �shery. 36. Fishery Refuge and Sanctuaries — a designated area where �shing or other forms of activities which may damage the ecosystem of the area is prohibited and human access may be restricted. 37. Fishery Reserve — a designated area where activities are regulated and set aside for educational and research purposes. 38. Fishery Species — all aquatic �ora and fauna including, but not restricted to, �sh, algae, coelenterates, mollusks, crustaceans, echinoderms and cetaceans. 39. Fishing — the taking of �shery species from their wild state of habitat, with or without the use of �shing vessels. 40. Fishing gear — any instrument or device and its accessories utilized in taking �sh and other �shery species. a. Active �shing gear — is a �shing device characterized by gear movements, and/or the pursuit of the target species by towing, lifting, and pushing the gears, surrounding, covering, dredging, pumping and scaring the target species to impoundments; such as, but not limited to, trawl, purse seines, Danish seines, bag nets, paaling, drift gill net and tuna longline. b. Passive �shing gear — is characterized by the absence of gear movements and/or the pursuit of the target species; such as, but not limited to, hook and line, �shpots, traps and gill nets across the path of the �sh. 41. Fishing vessel — any boat, ship or other watercraft equipped to be used for taking of �shery species or aiding or assisting one (1) or more vessels in the performance of any activity relating to �shing, including, but not limited to, preservation, supply, storage, refrigeration, transportation and/or processing. 42. Fishing with Explosives — the use of the dynamite, other explosives or other chemical compounds that contain combustible elements or ingredients which upon ignition by friction, concussion, percussion or detonation of all or parts of the compound, will kill, stupefy, disable or render unconscious any �shery species. It also refers to the use of any other substance and/or device which causes an explosion that is capable of producing the said harmful effects on any �shery species and aquatic resources and capable of damaging and altering the natural habitat. 43. Fishing with Noxious or Poisonous Substances — the use of any substance, plant extracts or juice thereof, sodium cyanide and/or cyanide compounds or other chemicals either in a raw or processed form, harmful or harmless to human beings, which will kill, stupefy, disable or render unconscious any �shery species and aquatic resources and capable of damaging and altering the natural habitat. 44. Fishworker — a person regularly or not regularly employed in commercial �shing and related industries, whose income is either in wage, pro�t-sharing or strati�ed sharing basis, including those working in �sh pens, �sh cages, �sh corrals/traps, �shponds, prawn farms, sea farms, salt beds, �sh ports, �shing boat or trawlers, or �sh processing and/or packing plants. Excluded from this category are administrators, security guards and overseers. 45. Food Security — refers to any plan, policy or strategy aimed at ensuring adequate supplies of appropriate food at affordable prices. Food security may be achieved through self suf�ciency (i.e. ensuring adequate food supplies from domestic production), through self reliance (i.e. ensuring adequate food supplies through a combination of domestic production and importation), or through pure importation. 46. Foreshore Land — a string of land margining a body of water; the part of a seashore between the low-water line usually at the seaward margin of a low tide terrace and the upper limit of wave wash at high tide usually marked by a beach scarp or berm. 47. Fully-developed Fishpond Area — a clean leveled area enclosed by dikes, at least one foot higher than the highest �oodwater level in the locality and strong enough to resist pressure at the highest �ood tide; consists of at least a nursery pond, a transition pond, a rearing pond or a combination of any or all said classes of ponds, and a functional water control system and producing in a commercial scale. 48. Gross Tonnage — includes the underdeck tonnage, permanently enclosed spaces above the tonnage deck, except for certain exemptions. In broad terms, all the vessel’s ‘closed-in’ spaces expressed in volume terms on the bases of one hundred cubic feet (that equals one gross ton). 49. Inland Fishery — the freshwater �shery and brackishwater �shponds. 50. Lake — an inland body of water, an expanded part of a river, a reservoir formed by a dam, or a lake basin intermittently or formerly covered by water. 51. Limited Access — a �shery policy by which a system of equitable resource and allocation is established by law through �shery rights granting and licensing procedure as provided by this Code. 52. Mangroves — a community of intertidal plants including all species of trees, shrubs, vines and herbs found on coasts, swamps, or border of swamps. 53. Maximum Sustainable Yield (MSY) — is the largest average quantity of �sh that can be harvested from a �sh stocks/resource within a period of time (e.g. one year) on a sustainable basis under existing environmental conditions. 54. Migratory species — refers to any �shery species which in the course of their life could travel from freshwater to marine water or vice versa, or any marine species which travel over great distances in waters of the ocean as part of their behavioral adaptation for survival and speciation: (a) Anadromous species — marine �shes which migrate to freshwater areas to spawn; (b) Catadromous species — freshwater �shes which migrate to marine areas to spawn. 55. Monitoring, control and surveillance — a. Monitoring — the requirement of continuously observing: (1) �shing effort which can be expressed by the number of days or hours of �shing, number of �shing gears and number of �sherfolk; (2) characteristics of �shery resources; and (3) resource yields (catch); b. Control — the regulatory conditions (legal framework) under which the exploitation, utilization and disposition of the resources may be conducted; and c. Surveillance — the degree and types of observations required to maintain compliance with regulations. 56. Municipal �sherfolk — persons who are directly or indirectly engaged in municipal �shing and other related �shing activities. 57. Municipal �shing — refers to �shing within municipal waters using �shing vessels of three (3) gross tons or less, or �shing not requiring the use of �shing vessels. 58. Municipal waters — include not only streams, lakes, inland bodies of water and tidal waters within the municipality which are not included within the protected areas as de�ned under Republic Act No. 7586 (The NIPAS Law), public forest, timber lands, forest reserves or �shery reserves, but also marine waters included between two (2) lines drawn perpendicular to the general coastline from points where the boundary lines of the municipality touch the sea at low tide and a third line parallel with the general coastline including offshore islands and �fteen (15) kilometers from such coastline. Where two (2) municipalities are so situated on opposite shores that there is less than thirty (30) kilometers of marine waters between them, the third line shall be equally distant from opposite shore of the respective municipalities. 59. Non-governmental organization (NGO) — an agency, institution, a foundation or a group of persons whose purpose is to assist peoples organizations/associations in various ways including, but not limited to, organizing, education, training, research and/or resource accessing. 60. Payao — a �sh aggregating device consisting of a loating raft anchored by a weighted line with suspended materials such as palm fronds to attract pelagic and schooling species common in deep waters. 61. Pearl Farm Lease — public waters leased for the purpose of producing cultured pearls. 62. People’s Organization — a bona �de association of citizens with demonstrated capacity to promote the public interest and with identi�able leadership, membership and structure. Its members belong to a sector/s who voluntarily band themselves together to work for and by themselves for their own upliftment, development and greater good. 63. Person — natural or juridical entities such as individuals, associations, partnership, cooperatives or corporations. 64. Philippine waters — include all bodies of water within the Philippine territory such as lakes, rivers, streams, creeks, brooks, ponds, swamps, lagoons, gulfs, bays and seas and other bodies of water now existing or which may hereafter exist in the provinces, cities, municipalities, and barangays and the waters around, between and connecting the islands of the archipelago regardless of their breadth and dimensions, the territorial sea, the sea beds, the insular shelves, and all other waters over which the Philippines has sovereignty and jurisdiction including the 200-nautical miles Exclusive Economic Zone and the continental shelf. 65. Post-harvest facilities — these facilities include, but are not limited to, �shport, �shlanding, ice plants and cold storages, �sh processing plants. 66. Purse Seine — a form of encircling net having a line at the bottom passing through rings attached to the net, which can be drawn or pursed. In general, the net is set from a boat or pair of boats around the school of �sh. The bottom of the net is pulled closed with the purse line. The net is then pulled aboard the �shing boat or boats until the �sh are concentrated in the bunt or �sh bag. 67. Resource Rent — the difference between the value of the products produced from harvesting a publicly owned resource less the cost of producing it, where cost includes the normal return to capital and normal return to labor. 68. Sea farming — the stocking of natural or hatchery-produced marine plants or animals, under controlled conditions, for purposes of rearing and harvesting, but not limited to commercially-important �shes, mollusks (such as pearl and giant clam culture), including seaweeds and seagrasses. 69. Sea ranching — the release of the young of �shery species reared in hatcheries and nurseries into natural bodies of water for subsequent harvest at maturity or the manipulation of �shery habitat, to encourage the growth of the wild stocks. 70. Secretary — the Secretary of the Department of Agriculture. 71. Superlight — also called magic light, is a type of light using halogen or metal halide bulb which may be located above the sea surface or submerged in the water. It consists of a ballast, regulator, electric cable and socket. The source of energy comes from a generator, battery or dynamo coupled with the main engine. 72. Total Allowable Catch (TAC) — the maximum harvest allowed to be taken during a given period of time from any �shery area, or from any �shery species or group of �shery species, or a combination of area and species and normally would not exceed the MSY. 73. Trawl — an active �shing gear consisting of a bag shaped net with or without otter boards to open its opening which is dragged or towed along the bottom or through the water column to take �shery species by straining them from the water, including all variations and modi�cations of trawls (bottom, mid-water, and baby trawls) and tow nets. CHAPTER II Utilization, Management, Development, Conservation and Allocation System of Fisheries and Aquatic Resources SECTION 5. Use of Philippine Waters. — The use and exploitation of the �shery and aquatic resources in Philippine waters shall be reserved exclusively to Filipinos: Provided, however, That research and survey activities may be allowed under strict regulations, for purely research, scienti�c, technological and educational purposes that would also bene�t Filipino citizens. SECTION 6. Fees and Other Fishery Charges. — The rentals for �shpond areas covered by the Fishpond Lease Agreement (FLA) and license fees for Commercial Fishing Boat Licenses (CFBL) shall be set at levels that re�ect resource rent accruing from the utilization of resources and shall be determined by the Department: Provided, That the Department shall also prescribe fees and other �shery charges and issue the corresponding license or permit for �shing gear, �shing accessories and other �shery activities beyond the municipal waters: Provided, further, That the license fees of �shery activity in municipal waters shall be determined by the Local Government Units (LGUs) in consultation with the FARMCs. The FARMCs may also recommend the appropriate license fees that will be imposed. SECTION 7. Access to Fishery Resources. — The Department shall issue such number of licenses and permits for the conduct of �shery activities subject to the limits of the MSY of the resource as determined by scienti�c studies or best available evidence. Preference shall be given to resource users in the local communities adjacent or nearest to the municipal waters. SECTION 8. Catch Ceiling Limitations. — The Secretary may prescribe limitations or quota on the total quantity of �sh captured, for a speci�ed period of time and speci�ed area based on the best available evidence. Such a catch ceiling may be imposed per species of �sh whenever necessary and practicable: Provided, however, That in municipal waters and �shery management areas, and waters under the jurisdiction of special agencies, catch ceilings may be established upon the concurrence and approval or recommendation of such special agency and the concerned LGU in consultation with the FARMC for conservation or ecological purposes. SECTION 9. Establishment of Closed Season. — The Secretary may declare, through public notice in at least two (2) newspapers of general circulation or in public service announcements, whichever is applicable, at least �ve (5) days before the declaration, a closed season in any or all Philippine waters outside the boundary of municipal waters and in bays, for conservation and ecological purposes. The Secretary may include waters under the jurisdiction of special agencies, municipal waters and bays, and/or other areas reserved for the use of the municipal �sherfolk in the area to be covered by the closed season: Provided, however, That this shall be done only upon the concurrence and approval or recommendation of such special agency and the concerned LGU and FARMC: Provided, further, That in municipal waters, �shery management areas and other areas reserved for the use of the municipal �sherfolk, closed season may be established by the concerned LGU in consultation with the FARMC for conservation or ecological purposes. The FARMCs may also recommend the establishment of closed seasons in municipal waters, �sheries management and other areas reserved for the use of the municipal �sherfolk. SECTION 10. Introduction of Foreign Aquatic Species. — No foreign �n�sh, mollusk, crustacean or aquatic plants shall be introduced in Philippine waters without a sound ecological, biological and environmental justi�cation based on scienti�c studies subject to the bio-safety standard as provided for by existing laws: Provided, however, That the Department may approve the introduction of foreign aquatic species for scienti�c/research purposes. SECTION 11. Protection of Rare, Threatened and Endangered Species. — The Department shall declare closed seasons and take conservation and rehabilitation measures for rare, threatened and endangered species, as it may determine, and shall ban the �shing and/or taking of rare, threatened and/or endangered species, including their eggs/offspring as identi�ed by existing laws in concurrence with concerned government agencies. SECTION 12. Environmental Impact Statement (EIS). — All government agencies as well as private corporations, �rms and entities who intend to undertake activities or projects which will affect the quality of the environment shall be required to prepare a detailed Environmental Impact Statement (EIS) prior to undertaking such development activity. The preparation of the EIS shall form an integral part of the entire planning process pursuant to the provisions of Presidential Decree No. 1586 as well as its implementing rules and regulations. SECTION 13. Environmental Compliance Certi�cate (ECC). — All Environmental Impact Statements (EIS) shall be submitted to the Department of Environment and Natural Resources (DENR) for review and evaluation. No person, natural or juridical, shall undertake any development project without �rst securing an Environmental Compliance Certi�cate (ECC) from the Secretary of the DENR. SECTION 14. Monitoring, Control and Surveillance of Philippine Waters. — A monitoring, control and surveillance system shall be established by the Department in coordination with LGUs, FARMCs, the private sector and other agencies concerned to ensure that the �sheries and aquatic resources in Philippine waters are judiciously and wisely utilized and managed on a sustainable basis and conserved for the bene�t and enjoyment exclusively of Filipino citizens. SECTION 15. Auxiliary Invoices. — All �sh and �shery products must have an auxiliary invoice to be issued by the LGUs or their duly authorized representatives prior to their transport from their point of origin to their point of destination in the Philippines and/or export purposes upon payment of a fee to be determined by the LGUs to defray administrative costs therefor. ARTICLE I Municipal Fisheries SECTION 16. Jurisdiction of Municipal/City Government. — The municipal/city government shall have jurisdiction over municipal waters as de�ned in this Code. The municipal/city government, in consultation with the FARMC shall be responsible for the management, conservation, development, protection, utilization, and disposition of all �sh and �shery/aquatic resources within their respective municipal waters. The municipal/city government may, in consultation with the FARMC, enact appropriate ordinances for this purpose and in accordance with the National Fisheries Policy. The ordinances enacted by the municipality and component city shall be reviewed pursuant to Republic Act No. 7160 by the sanggunian of the province which has jurisdiction over the same. The LGUs shall also enforce all �shery laws, rules and regulations as well as valid �shery ordinances enacted by the municipal/city council. The management of contiguous �shery resources such as bays which straddle several municipalities, cities or provinces, shall be done in an integrated manner, and shall not be based on political subdivisions of municipal waters in order to facilitate their management as single resource systems. The LGUs which share or border such resources may group themselves and coordinate with each other to achieve the objectives of integrated �shery resource management. The Integrated Fisheries and Aquatic Resources Management Councils (FARMCs) established under Section 76 of this Code shall serve as the venues for close collaboration among LGUs in the management of contiguous resources. SECTION 17. Grant of Fishing Privileges in Municipal Waters. — The duly registered �sherfolk organizations/cooperatives shall have preference in the grant of �shery rights by the Municipal/City Council pursuant to Section 149 of the Local Government Code: Provided, That in areas where there are special agencies or of�ces vested with jurisdiction over municipal waters by virtue of special laws creating these agencies such as, but not limited to, the Laguna Lake Development Authority and the Palawan Council for Sustainable Development, said of�ces and agencies shall continue to grant permits for proper management and implementation of the aforementioned structures. SECTION 18. Users of Municipal Waters. — All �shery related activities in municipal waters, as de�ned in this Code, shall be utilized by municipal �sherfolk and their cooperatives/organizations who are listed as such in the registry of municipal �sherfolk. The municipal or city government, however, may, through its local chief executive and acting pursuant to an appropriate ordinance, authorize or permit small and medium commercial �shing vessels to operate within the ten point one (10.1) to �fteen (15) kilometer area from the shoreline in municipal waters as de�ned herein, provided, that all the following are met: a. no commercial �shing in municipal waters with depth less than seven (7) fathoms as certi�ed by the appropriate agency; b. �shing activities utilizing methods and gears that are determined to be consistent with national policies set by the Department; c. prior consultation, through public hearing, with the M/CFARMC has been conducted; and d. the applicant vessel as well as the shipowner, employer, captain and crew have been certi�ed by the appropriate agency as not having violated this Code, environmental laws and related laws. In no case shall the authorization or permit mentioned above be granted for �shing in bays as determined by the Department to be in an environmentally critical condition and during closed season as provided for in Section 9 of this Code. SECTION 19. Registry of Municipal Fisherfolk. — The LGU shall maintain a registry of municipal �sherfolk, who are �shing or may desire to �sh in municipal waters for the purpose of determining priorities among them, of limiting entry into the municipal waters, and of monitoring �shing activities an/or other related purposes: Provided, That the FARMC shall submit to the LGU the list of priorities for its consideration. Such list or registry shall be updated annually or as may be necessary, and shall be posted in barangay halls or other strategic locations where it shall be open to public inspection, for the purpose of validating the correctness and completeness of the list. The LGU, in consultation with the FARMCs, shall formulate the necessary mechanisms for inclusion or exclusion procedures that shall be most bene�cial to the resident municipal �sherfolk. The FARMCs may likewise recommend such mechanisms. The LGUs shall also maintain a registry of municipal �shing vessels by type of gear and other boat particulars with the assistance of the FARMC. SECTION 20. Fisherfolk Organizations and/or Cooperatives. — Fisherfolk organizations/cooperatives whose members are listed in the registry of municipal �sherfolk, may be granted use of demarcated �shery areas to engage in �sh capture, mariculture and/or �sh farming: Provided, however, That an organization/cooperative member whose household is already in possession of a �shery right other than for �sh capture cannot enjoy the �shing rights granted to the organization or cooperative. SECTION 21. Priority of Resident Municipal Fisherfolk. — Resident municipal �sherfolk of the municipality concerned and their organizations/cooperatives shall have priority to exploit municipal and demarcated �shery areas of the said municipality. SECTION 22. Demarcated Fishery Right. — The LGU concerned shall grant demarcated �shery rights to �shery organizations/cooperatives for mariculture operation in speci�c areas identi�ed by the Department. SECTION 23. Limited Entry Into Over�shed Areas. — Whenever it is determined by the LGUs and the Department that a municipal water is over�shed based on available data or information or in danger of being over�shed, and that there is a need to regenerate the �shery resources in that water, the LGU shall prohibit or limit �shery activities in the said waters. SECTION 24. Support to Municipal Fisherfolk. — The Department and the LGUs shall provide support to municipal �sherfolk through appropriate technology and research, credit, production and marketing assistance and other services such as, but not limited to training for additional/supplementary livelihood. SECTION 25. Rights and Privileges of Fishworkers. — The �shworkers shall be entitled to the privileges accorded to other workers under the Labor Code, Social Security System and other bene�ts under other laws or social legislation for workers: Provided, That �shworkers on board any �shing vessels engaged in �shing operations are hereby covered by the Philippine Labor Code, as amended. ARTICLE II Commercial Fisheries SECTION 26. Commercial Fishing Vessel License and Other Licenses. — No person shall operate a commercial �shing vessel, pearl �shing vessel or �shing vessel for scienti�c, research or educational purposes, or engage in any �shery activity, or seek employment as a �shworker or pearl diver without �rst securing a license from the Department, the period of which shall be prescribed by the Department: Provided, That no such license shall be required of a �shing vessel engaged in scienti�c, research or educational purposes within Philippine waters pursuant to an international agreement of which the Philippines is a signatory and which agreement de�nes the status, privileges and obligations of said vessel and its crew and the non-Filipino of�cials of the international agency under which said vessel operates: Provided, further, That members of the crew of a �shing vessel used for commercial �shing except the duly licensed and/or authorized patrons, marine engineers, radio operators and cooks shall be considered as �sherfolk: Provided, furthermore, That all skippers/master �shers shall be required to undertake an orientation training on detection of �sh caught by illegal means before they can be issued their �shworker licenses: Provided, �nally, That the large commercial �shing vessels license herein authorized to be granted shall allow the licensee to operate only in Philippine waters seven (7) or more fathoms deep, the depth to be certi�ed by the NAMRIA, and subject to the conditions that may be stated therein and the rules and regulations that may be promulgated by the Department. SECTION 27. Persons Eligible for Commercial Fishing Vessel License. — No commercial �shing vessel license shall be issued except to citizens of the Philippines, partnerships or to associations, cooperatives or corporations duly registered in the Philippines at least sixty percent (60%) of the capital stock of which is owned by Filipino citizens. No person to whom a license has been issued shall sell, transfer or assign, directly or indirectly, his stock or interest therein to any person not quali�ed to hold a license. Any such transfer, sale or assignment shall be null and void and shall not be registered in the books of the association, cooperative or corporation. For purposes of commercial �shing, �shing vessels owned by citizens of the Philippines, partnerships, corporations, cooperatives or associations quali�ed under this section shall secure Certi�cates of Philippine Registry and such other documents as are necessary for �shing operations from the concerned agencies: Provided, That the commercial �shing vessel license shall be valid for a period to be determined by the Department. SECTION 28. Commercial Fishing Vessel Registration. — The registration, documentation, inspection and manning of the operation of all types of �shing vessels plying Philippine waters shall be in accordance with laws, rules and regulations. SECTION 29. Registration and Licensing of Fishing Gears Used in Commercial Fishing. — Before a commercial �shing vessel holding a commercial �shing vessel license may begin �shing operations in Philippine waters, the �shing gear it will utilize in �shing shall be registered and a license granted therefor. The Department shall promulgate guidelines to implement this provision within sixty (60) days from approval of this Code. SECTION 30. Renewal of Commercial Boat License. — The commercial �shing boat license shall be renewed every three (3) years. The owner/operator of a �shing vessel has a period of sixty (60) days prior to the expiration of the license within which to renew the same. SECTION 31. Report of Transfer of Ownership. — The owner/operator of a registered �shing vessel shall notify the Department in writing of the transfer of the ownership of the vessel with a copy of such document within ten (10) days after its transfer to another person. SECTION 32. Fishing by Philippine Commercial Fishing Fleet in International Waters. — Fishing vessels of Philippine registry may operate in international waters or waters of other countries which allow such �shing operations: Provided, That they comply with the safety, manning and other requirements of the Philippine Coast Guard, Maritime Industry Authority and other agencies concerned: Provided, however, That they secure an international �shing permit and certi�cate of clearance from the Department: Provided, further, That the �sh caught by such vessels shall be considered as caught in Philippine waters and therefore not subject to all import duties and taxes only when the same is landed in duly designated �sh landings and �sh ports in the Philippines: Provided, furthermore, That landing ports established by canneries, seafood processors and all �sh landing sites established prior to the effectivity of this Code shall be considered authorized landing sites: Provided, �nally, That �shworkers on board Philippine registered �shing vessels conducting �shing activities beyond the Philippine Exclusive Economic Zone are not considered as overseas Filipino workers. SECTION 33. Importation of Fishing Vessels or Construction of New Fishing Boats. — Prior to the importation of �shing vessels and the construction of new �shing vessels, the approval/clearance of the Department must �rst be obtained. SECTION 34. Incentives for Municipal and Small-Scale Commercial Fisherfolk. — Municipal and small-scale commercial �sherfolk shall be granted incentives which shall include, but are not limited to, the following: a. at least ten percent (10%) of the credit and the guarantee funds of government �nancing institutions shall be made available for post-harvest and marketing projects for the purpose of enhancing our �sherfolk competitiveness by reducing post-harvest losses. Quali�ed projects shall include, but shall not be limited to, ice plants, cold storage, canning, warehouse, transport and other related infrastructure projects and facilities; and b. the Department shall undertake the following programs: 1. a capability-building program for targeted parties shall be developed by the Department to promote greater bankability and credit worthiness of municipal and small-scale commercial �shers. Such program shall include organizing activities, technology transfer, and skills training related to commercial �shing as well as credit management. Groups and cooperatives organized under the program shall have priority access over credit and guarantee funds established under this Code; and 2. an information campaign shall be conducted to promote the capability building and credit programs. The campaign shall ensure greater information dissemination and accessibility to targeted �sherfolk. SECTION 35. Incentives for Commercial Fishers to Fish Farther into the Exclusive Economic Zone (EEZ). — In order to encourage �shing vessel operators to �sh farther in the EEZ and beyond, new incentives for improvement of �shing vessels and acquisition of �shing equipment shall be granted in addition to incentives already available from the Board of Investments (BOI). Such incentives shall be granted subject to exhaustive evaluation of resource and exploitation conditions in the speci�ed areas of �shing operations. The incentive shall include, but not be limited to: a. long term loans supported by guarantee facilities to �nance the building and acquisition and/or improvement of �shing vessels and equipment; b. commercial �shing vessel operators of Philippine registry shall enjoy a limited period of tax and duty exemptions on the importation of �shing vessels not more than �ve (5) years old, equipment and paraphernalia, the period of exemption and guidelines shall be �xed by the Department within ninety (90) days from the effectivity of this Code; c. commercial �shing operator of Philippine registry engaged in �sheries in the high seas shall be entitled to duty and tax rebates on fuel consumption for commercial �sheries operations. Guidelines shall be promulgated within ninety (90) days from the effectivity of this Code by the Department; and d. all applicable incentives available under the Omnibus Investment Code of 1987: Provided, That the �shing operation project is quali�ed for registration and is duly registered with the BOI. SECTION 36. Complement of Fishing Vessels. — Every commercial �shing vessel of Philippine registry when actually operated, shall be manned in accordance with the requirements of the Philippine Merchant Marine rules and regulations. SECTION 37. Medical Supplies and Life-Saving Devices. — All �shing vessels shall be provided with adequate medical supplies and life-saving devices to be determined by the Occupational Safety and Health Center: Provided, That a �shing vessel of twenty (20) GT or more shall have as a member of its crew a person quali�ed as a �rst aider duly certi�ed by the Philippine National Red Cross. SECTION 38. Reportorial Requirements. — Each commercial �shing vessel shall keep a daily record of �sh catch and spoilage, landing points, and quantity and value of �sh caught, and off loaded for transshipment, sale and/or other disposal. Detailed information shall be duly certi�ed by the vessel’s captain and transmitted monthly to the of�cer or representative of the Department, at the nearest designated landing point. SECTION 39. Report of Meteorological and Other Data. — All vessels and crafts passing navigational lanes or engaged in �sheries activity shall be required to contribute to meteorological and other data, and shall assist the Department in documentation or reporting of information vital to navigation and the �shing industry. SECTION 40. Color Code and Radio Frequency. — For administrative ef�ciency and enforcement of regulations, registered �shing vessels shall bear a color code as may be determined by the Department and may be assigned a radio frequency speci�c and distinct to its area of operation. SECTION 41. Passage. — Commercial and other passage not in the regular conduct of �sheries activity shall be made at designated navigational lanes. SECTION 42. Transshipment. — Foreign �shing vessels wishing to avail of land, air and sea facilities available in the Philippines to transport �shery products which are caught outside Philippine territorial waters to its �nal destination shall call only at duly designated government owned or -controlled regional �shport complexes after securing clearance from the Department. SECTION 43. Operation of Radio Communication Facilities on Board Fishing Vessels. — The Department shall promulgate guidelines in the operation of radio communication facilities on board �shing vessels and the assignment of radio frequencies speci�c and distinct to area of operation in coordination with the National Telecommunications Commission. SECTION 44. Use of Superlight. — The number and wattage of superlights used in commercial �shing vessels shall be regulated by the Department: Provided, That the use of superlights is banned within municipal waters and bays. ARTICLE III Aquaculture SECTION 45. Disposition of Public Lands for Fishery Purposes. — Public lands such as tidal swamps, mangroves, marshes, foreshore lands and ponds suitable for �shery operations shall not be disposed or alienated. Upon effectivity of this Code, FLA may be issued for public lands that may be declared available for �shpond development primarily to quali�ed �sherfolk cooperatives/associations: Provided, however, That upon the expiration of existing FLAs the current lessees shall be given priority and be entitled to an extension of twenty-�ve (25) years in the utilization of their respective leased areas. Thereafter, such FLAs shall be granted to any Filipino citizen with preference, primarily to quali�ed �sherfolk cooperatives/associations as well as small and medium enterprises as de�ned under Republic Act No. 8289: Provided, further, That the Department shall declare as reservation, portions of available public lands certi�ed as suitable for �shpond purposes for �sh sanctuary, conservation, and ecological purposes: Provided, �nally, That two (2) years after the approval of this Act, no �sh pens or �sh cages or �sh traps shall be allowed in lakes. SECTION 46. Lease of Fishponds. — Fishpond leased to quali�ed persons and �sherfolk organizations/cooperatives shall be subject to the following conditions: a. Areas leased for �shpond purposes shall be no more than 50 hectares for individuals and 250 hectares for corporations or �sherfolk organizations; b. The lease shall be for a period of twenty-�ve (25) years and renewable for another twenty-�ve (25) years: Provided, That in case of the death of the lessee, his spouse and/or children, as his heirs, shall have preemptive rights to the unexpired term of his Fishpond Lease Agreement subject to the same terms and conditions provided herein provided that the said heirs are quali�ed; c. Lease rates for �shpond areas shall be determined by the Department: Provided, That all fees collected shall be remitted to the National Fisheries Research and Development Institute and other quali�ed research institutions to be used for aquaculture research development; d. The area leased shall be developed and producing on a commercial scale within three (3) years from the approval of the lease contract: Provided, however, That all areas not fully producing within �ve (5) years from the date of approval of the lease contract shall automatically revert to the public domain for reforestation; e. The �shpond shall not be subleased, in whole or in part, and failure to comply with this provision shall mean cancellation of FLA; f. The transfer or assignment of rights to FLA shall be allowed only upon prior written approval of the Department; g. The lessee shall undertake reforestation for river banks, bays, streams, and seashore fronting the dike of his �shpond subject to the rules and regulations to be promulgated thereon; and h. The lessee shall provide facilities that will minimize environmental pollution, i.e., settling ponds, reservoirs, etc: Provided, That failure to comply with this provision shall mean cancellation of FLA. SECTION 47. Code of Practice for Aquaculture. — The Department shall establish a code of practice for aquaculture that will outline general principles and guidelines for environmentally sound design and operation to promote the sustainable development of the industry. Such Code shall be developed through a consultative process with the DENR, the �shworkers, FLA holders, �shpond owners, �sherfolk cooperatives, small-scale operators, research institutions and the academe, and other potential stakeholders. The Department may consult with specialized international organizations in the formulation of the code of practice. SECTION 48. Incentives and Disincentives for Sustainable Aquaculture Practices. — The Department shall formulate incentives and disincentives, such as, but not limited to, ef�uent charges, user fees and negotiable permits, to encourage compliance with the environmental standards and to promote sustainable management practices. SECTION 49. Reversion of All Abandoned, Undeveloped or Underutilized Fishponds. — The DENR, in coordination with the Department, LGUs, other concerned agencies and FARMCs shall determine which abandoned, underdeveloped or underutilized �shponds covered by FLAs can be reverted to their original mangrove state and after having made such determination shall take all steps necessary to restore such areas in their original mangrove state. SECTION 50. Absentee Fishpond Lease Agreement Holders. — Holders of �shpond lease agreements who have acquired citizenship in another country during the existence of the FLA shall have their lease automatically cancelled and the improvements thereon to be forfeited in favor of the government and disposed of in accordance with rules and regulations promulgated thereon. SECTION 51. License to Operate Fish Pens, Fish Cages, Fish Traps and Other Structures for the Culture of Fish and Other Fishery Products. — Fish pens, �sh cages, �sh traps and other structures for the culture of �sh and other �shery products shall be constructed and shall operate only within established zones duly designated by LGUs in consultation with the FARMCs concerned consistent with national �sheries policies after the corresponding licenses thereof have been secured. The area to be utilized for this purpose for individual person shall be determined by the LGUs in consultation with the concerned FARMC: Provided, however, That not over ten percent (10%) of the suitable water surface area of all lakes and rivers shall be allotted for aquaculture purposes like �sh pens, �sh cages and �sh traps; and the stocking density and feeding requirement which shall be controlled and determined by its carrying capacity: Provided, further, That �sh pens and �sh cages located outside municipal waters shall be constructed and operated only within �sh pen and �sh cage belts designated by the Department and after corresponding licenses therefor have been secured and the fees thereof paid. SECTION 52. Pearl Farm Leases. — The foregoing provisions notwithstanding, existing pearl farm leases shall be respected and allowed to operate under the terms thereof. New leases may be granted to quali�ed persons who possess the necessary capital and technology, by the LGUs having jurisdiction over the area. SECTION 53. Grant of Privileges for Operations of Fish Pens, Cages, Corrals/Traps and Similar Structures. — No new concessions, licenses, permits, leases and similar privileges for the establishment or operation of �sh pens, �sh cages, �sh corrals/traps and other similar structures in municipal areas shall be granted except to municipal �sherfolk and their organizations. SECTION 54. Insurance for Fishponds, Fish Cages and Fish Pens. — Inland �shponds, �sh cages and �sh pens shall be covered under the insurance program of the Philippine Crop Insurance Corporation for losses caused by force majeure and fortuitous events. SECTION 55. Non-Obstruction to Navigation. — Nothing in the foregoing sections shall be construed as permitting the lessee, licensee, or permittee to undertake any construction which will obstruct the free navigation in any stream, river, lakes, or bays �owing through or adjoining the �sh pens, �sh cages, �sh traps and �shponds, or impede the �ow of the tide to and from the area. Any construction made in violation hereof shall be removed upon the order of the Department in coordination with the other government agencies concerned at the expense of the lessee, licensee, or occupants thereof, whenever applicable. The Department shall within thirty (30) days after the effectivity of this Code formulate and implement rules and regulations for the immediate dismantling of existing obstruction to navigation. SECTION 56. Non-Obstruction to De�ned Migration Paths. — Nothing in the foregoing sections shall be construed as permitting the lessee, permittee, or licensee to undertake any construction which will obstruct any de�ned migration path of migratory �sh species such as river mouths and estuaries within a distance determined by the concerned LGUs in consultation with and upon the recommendation of the FARMCs. SECTION 57. Registration of Fish Hatcheries and Private Fishponds, etc. — All �sh hatcheries, �sh breeding facilities and private �shponds must be registered with the LGUs which shall prescribe minimum standards for such facilities in consultation with the Department: Provided, That the Department shall conduct a yearly inventory of all �shponds, �sh pens and �sh cages whether in public or private lands: Provided, further, That all �shpond, �sh pens and �sh cage operators shall annually report to the Department the type of species and volume of production in areas devoted to aquaculture. ARTICLE IV Post-Harvest Facilities, Activities and Trades SECTION 58. Comprehensive Post-harvest and Ancillary Industries Plan. — The Department shall conduct a regular study of �sheries post-harvest operations and ancillary industries, in the formulation of a comprehensive plan for post-harvest and ancillary industries. It shall take into account among others, the following: a. detailed and clear guidelines on the distribution, construction, maintenance and use of post-harvest infrastructure facilities; b. extension of credit and incentives for post-harvest operations; c. promotion and strengthening of semi-processing, processing and handling; d. development of domestic �shmeal industry; e. development of �sheries ship-building and repair as a viable industry; f. development and strengthening of marketing facilities and activities, including the pricing system, with emphasis on collective marketing and the elimination of middlemen; g. increased participation of cooperatives and non-governmental organizations in post harvest operations and ancillary industries; and h. integration of �sheries post-harvest operations into the national �sheries plan. SECTION 59. Establishment of Post-Harvest Facilities for Fishing Communities. — The LGUs shall coordinate with the private sector and other concerned agencies and FARMCs in the establishment of post-harvest facilities for �shing communities such as, but not limited to, municipal �sh landing sites, �sh ports, ice plants and cold storage and other �sh processing establishments to serve primarily the needs of municipal �sherfolk: Provided, That such post harvest facilities shall be consistent with the Comprehensive Post-harvest and Ancillary Industries Plan. SECTION 60. Registration and Licensing of all Post-Harvest Facilities. — All post-harvest facilities such as �sh processing plants, ice plants, and cold storages, �sh ports/landings and other �shery business establishments must register with and be licensed by the LGUs which shall prescribe minimum standards for such facilities in consultation with the Department. SECTION 61. Importation and Exportation of Fishery Products. — a. Export of �shery products shall be regulated whenever such exportation affects domestic food security and production: Provided, That exportation of live �sh shall be prohibited except those which are hatched or propagated in accredited hatcheries and ponds; b. To protect and maintain the local biodiversity or ensure the suf�ciency of domestic supply, spawners, breeders, eggs and fry of bangus, prawn and other endemic species, as may be determined by the Department, shall not be exported or caused to be exported by any person; c. Fishery products may be imported only when the importation has been certi�ed as necessary by the Department in consultation with the FARMC, and all the requirements of this Code, as well as all existing rules and regulations have been complied with: Provided, That �sh imports for canning/processing purposes only may be allowed without the necessary certi�cation, but within the provisions of Section 61(d) of this Code; and d. No person, shall import and/or export �shery products of whatever size, stage or form for any purpose without securing a permit from the Department. The Department in consultation with the FARMC shall promulgate rules and regulations on importation and exportation of �sh and �shery/aquatic resources with the Government’s export/import simpli�cation procedures. SECTION 62. Instruments of Weights and Measures, and Quality Grades/Standards. — Standards for weights, volume and other measurements for all �shery transactions shall be set by the Department. All �sh and �shery products for export, import and domestic consumption shall meet the quality grades/standards as determined by the Department. The LGU concerned shall, by appropriate ordinance, penalize fraudulent practices and unlawful possession or use of instruments of weights and measures. CHAPTER III Reconstitution of the Bureau of Fisheries and Aquatic Resources and Creation of Fisheries and Aquatic Resources Management Councils ARTICLE I Reconstitution of the Bureau of Fisheries and Aquatic Resources SECTION 63. Creation of the Position of Undersecretary for Fisheries and Aquatic Resources. — There is hereby created in the Department of Agriculture the position of Undersecretary for Fisheries and Aquatic Resources, solely for the purpose of attending to the needs of the �shing industry, to be appointed by the President. Such Undersecretary shall have the following functions: a. set policies and formulate standards for the effective, ef�cient and economical operations of the �shing industry in accordance with the programs of the government; b. exercise overall supervision over all functions and activities of all of�ces and instrumentalities and other of�ces related to �sheries including its of�cers; c. establish, with the assistance of the director, such regional, provincial and other �shery of�cers as may be necessary and appropriate and organize the internal structure of BFAR in such manner as is necessary for the ef�cient and effective attainment of its objectives and purposes; and d. perform such other functions as may be necessary or proper to attain the objectives of this Code. SECTION 64. Reconstitution of the BFAR. — The Bureau of Fisheries and Aquatic Resources (BFAR) is hereby reconstituted as a line bureau under the Department of Agriculture. SECTION 65. Functions of the Bureau of Fisheries and Aquatic Resources. — As a line bureau, the BFAR shall have the following functions: a. prepare and implement a Comprehensive National Fisheries Industry Development Plan; b. issue licenses for the operation of commercial �shing vessels; c. issue identi�cation cards free of charge to �shworkers engaged in commercial �shing; d. monitor and review joint �shing agreements between Filipino citizens and foreigners who conduct �shing activities in international waters, and ensure that such agreements are not contrary to Philippine commitment under international treaties and convention on �shing in the high seas; e. formulate and implement a Comprehensive Fishery Research and Development Program, such as, but not limited to, sea farming, sea ranching, tropical/ornamental �sh and seaweed culture, aimed at increasing resource productivity, improving resource use ef�ciency, and ensuring the long-term sustainability of the country’s �shery and aquatic resources; f. establish and maintain a Comprehensive Fishery Information System; g. provide extensive development support services in all aspects of �sheries production, processing and marketing; h. provide advisory services and technical assistance on the improvement of quality of �sh from the time it is caught (i.e. on board �shing vessel, at landing areas, �sh markets, to the processing plants and to the distribution and marketing chain); i. coordinate efforts relating to �shery production undertaken by the primary �shery producers, LGUs, FARMCs, �shery and organizations/cooperatives; j. advise and coordinate with LGUs on the maintenance of proper sanitation and hygienic practices in �sh markets and �sh landing areas; k. establish a corps of specialists in collaboration with the Department of National Defense, Department of the Interior and Local Government, Department of Foreign Affairs for the ef�cient monitoring, control and surveillance of �shing activities within Philippine territorial waters and provide the necessary facilities, equipment and training therefor; l. implement an inspection system for import and export of �shery/aquatic products and �sh processing establishments, consistent with international standards to ensure product quality and safety; m. coordinate with LGUs and other concerned agencies for the establishment of productivity enhancing and market development programs in �shing communities to enable women to engage in other �sheries/economic activities and contribute signi�cantly to development efforts; n. enforce all laws, formulate and enforce all rules and regulations governing the conservation and management of �shery resources, except in municipal waters, and to settle con�icts of resource use and allocation in consultation with the NFARMC, LGUs and local FARMCs; o. develop value-added �shery-products for domestic consumption and export; p. recommend measures for the protection/enhancement of the �shery industries; q. assist the LGUs in developing their technical capability in the development, management, regulation, conservation, and protection of the �shery resources; r. formulate rules and regulations for the conservation and management of straddling �sh stocks and highly migratory �sh stocks; and s. perform such other related functions which shall promote the development, conservation, management, protection and utilization of �sheries and aquatic resources. SECTION 66. Composition of BFAR. — As a line bureau, the BFAR shall be headed by a Director and assisted by two (2) Assistant Directors who shall supervise the administrative and technical services of the bureau respectively. It shall establish regional, provincial and municipal of�ces as may be appropriate and necessary to carry out effectively and ef�ciently the provisions of this Code. SECTION 67. Fisheries Inspection and Quarantine Service. — For purposes of monitoring and regulating the importation and exportation of �sh and �shery/aquatic resources, the Fisheries Inspection and Quarantine Service in the BFAR is hereby strengthened and shall have the following functions: a. conduct �sheries quarantine and quality inspection of all �sh and �shery/aquatic products coming into and going out of the country by air or water transport, to detect the presence of �sh pest and diseases and if found to harbor �sh pests or diseases shall be con�scated and disposed of in accordance with environmental standards and practices; b. implement international agreements/commitments on bio-safety and bio-diversity as well as prevent the movement or trade of endemic �shery and aquatic resources to ensure that the same are not taken out of the country; c. quarantine such aquatic animals and other �shery products determined or suspected to be with �shery pests and diseases and prevent the movement or trade from and/or into the country of these products so prohibited or regulated under existing laws, rules and regulations as well as international agreements of which the Philippines is a State Party; d. examine all �sh and �shery products coming into or going out of the country which may be a source or medium of �sh pests or diseases and/or regulated by existing �shery regulations and ensure that the quality of �sh import and export meet international standards; and e. document and authorize the movement or trade of �sh and �shery products when found free of �sh pests or diseases and collect necessary fees prescribed by law and regulations. ARTICLE II The Fisheries and Aquatic Resources Management Councils (FARMCs) SECTION 68. Development of Fisheries and Aquatic Resources in Municipal Waters and Bays. — Fisherfolk and their organizations residing within the geographical jurisdiction of the barangays, municipalities or cities with the concerned LGUs shall develop the �shery/aquatic resources in municipal waters and bays. SECTION 69. Creation of Fisheries and Aquatic Resources Management Councils (FARMCs). — FARMCs shall be established in the national level and in all municipalities/cities abutting municipal waters as de�ned by this Code. The FARMCs shall be formed by �sherfolk organizations/cooperatives and NGOs in the locality and be assisted by the LGUs and other government entities. Before organizing FARMCs, the LGUs, NGOs, �sherfolk, and other concerned POs shall undergo consultation and orientation on the formation of FARMCs. SECTION 70. Creation and Composition of the National Fisheries and Aquatic Resources Management Council (NFARMC). — There is hereby created a National Fisheries and Aquatic Resources Management Council hereinafter referred to as NFARMC as an advisory/recommendatory body to the Department. The NFARMC shall be composed of �fteen (15) members consisting of: a. the Undersecretary of Agriculture, as Chairman; b. the Undersecretary of the Interior and Local Government; c. �ve (5) members representing the �sherfolk and �shworkers; d. �ve (5) members representing commercial �shing and aquaculture operators and the processing sectors; e. two (2) members from the academe; and f. one (1) representative of NGOs involved in �sheries. The members of the NFARMC, except for the Undersecretary of Agriculture and the Undersecretary of the Interior and Local Government, shall be appointed by the President upon the nomination of their respective organizations. SECTION 71. Terms of Of�ce. — The members of NFARMC, except the Undersecretary of Agriculture and the Undersecretary of the Interior and Local Government, shall serve for a term of three (3) years without reappointment. SECTION 72. Functions of the NFARMC. — The NFARMC shall have the following functions: a. assist in the formulation of national policies for the protection, sustainable development and management of �shery and aquatic resources for the approval of the Secretary; b. assist the Department in the preparation of the National Fisheries and Industry Development Plan; and c. perform such other functions as may be provided by law. SECTION 73. The Municipal/City Fisheries and Aquatic Resources Management Councils (M/CFARMCs). — The M/CFARMCs shall be created in each of the municipalities and cities abutting municipal waters. However, the LGU may create the Barangay Fisheries and Aquatic Resources Management Councils (BFARMCs) and the Lakewide Fisheries and Aquatic Resources Management Councils (LFARMCs) whenever necessary. Such BFARMCs and LFARMCs shall serve in an advisory capacity to the LGUs. SECTION 74. Functions of the M/CFARMCs. — The M/CFARMCs shall exercise the following functions: a. assist in the preparation of the Municipal Fishery Development Plan and submit such plan to the Municipal Development Council; b. recommend the enactment of municipal �shery ordinances to the sangguniang bayan/sangguniang panlungsod through its Committee on Fisheries; c. assist in the enforcement of �shery laws, rules and regulations in municipal waters; d. advise the sangguniang bayan/panlungsod on �shery matters through its Committee on Fisheries, if such has been organized; and e. perform such other functions which may be assigned by the sangguniang bayan/panlungsod. SECTION 75. Composition of the M/CFARMC. — The regular member of the M/CFARMCs shall be composed of: a. Municipal/City Planning Development Of�cer; b. Chairperson, Agriculture/Fishery Committee of the Sangguniang Bayan/Panlungsod; c. representative of the Municipal/City Development Council; d. representative from the accredited non-government organization; e. representative from the private sector; f. representative from the Department of Agriculture; and g. at least eleven (11) �sherfolk representatives (seven (7) municipal �sherfolk, one (1) �shworker and three (3) commercial �shers) in each municipality/city which include representative from youth and women sector. The Council shall adopt rules and regulations necessary to govern its proceedings and election. SECTION 76. The Integrated Fisheries and Aquatic Resources Management Councils (IFARMCs). — The IFARMCs shall be created in bays, gulfs, lakes and rivers and dams bounded by two (2) or more municipalities/cities. SECTION 77. Functions of the IFARMCs. — The IFARMC shall have the following functions: a. assist in the preparation of the Integrated Fishery Development Plan and submit such plan to the concerned Municipal Development Councils; b. recommend the enactment of integrated �shery ordinances to the concerned sangguniang bayan/panlungsod through its Committee on Fisheries, if such has been organized; c. assist in the enforcement of �shery laws, rules and regulations in concerned municipal waters; d. advice the concerned sangguniang bayan/panlungsod on �shery matters through its Committee on Fisheries, if such has been organized; and e. perform such other functions which may be assigned by the concerned sangguniang bayan/panlungsod. SECTION 78. Composition of the IFARMCs. — The regular members of the IFARMCs shall be composed of the following: a. the chairperson of the Committee on Agriculture/Fisheries of the concerned sangguniang bayan/panlungsod; b. the Municipal/City Fisheries Of�cers of the concerned municipalities/cities; c. the Municipal/City Development Of�cers of the concerned municipalities/cities; d. one (1) representative from NGO; e. one (1) representative from private sector; and f. at least nine (9) representatives from the �sherfolk sector which include representatives from the youth and women sector. The Council shall adopt rules and regulations necessary to govern its proceedings and election. SECTION 79. Source of Funds of the FARMCs. — A separate fund for the NFARMC, IFARMCs and M/CFARMCs shall be established and administered by the Department from the regular annual budgetary appropriations. CHAPTER IV Fishery Reserves, Refuge and Sanctuaries SECTION 80. Fishing Areas Reserves for Exclusive Use of Government. — The Department may designate area or areas in Philippine waters beyond �fteen (15) kilometers from shoreline as �shery reservation for the exclusive use of the government or any of its political subdivisions, agencies or instrumentalities, for propagation, educational, research and scienti�c purposes: Provided, That in municipalities or cities, the concerned LGUs in consultation with the FARMCs may recommend to the Department that portion of the municipal waters be declared as �shery reserves for special or limited use, for educational, research, and/or special management purposes. The FARMCs may recommend to the Department portions of the municipal waters which can be declared as �sheries reserves for special or limited use for educational, research and special management purposes. SECTION 81. Fish Refuge and Sanctuaries. — The Department may establish �sh refuge and sanctuaries to be administered in the manner to be prescribed by the BFAR at least twenty-�ve percent (25%) but not more than forty percent (40%) of bays, foreshore lands, continental shelf or any �shing ground shall be set aside for the cultivation of mangroves to strengthen the habitat and the spawning grounds of �sh. Within these areas no commercial �shing shall be allowed. All marine �shery reserves, �sh sanctuaries and mangrove swamp reservations already declared or proclaimed by the President or legislated by the Congress of the Philippines shall be continuously administered and supervised by the concerned agency: Provided, however, That in municipal waters, the concerned LGU in consultation with the FARMCs may establish �shery refuge and sanctuaries. The FARMCs may also recommend �shery refuge and sanctuaries: Provided, further, That at least �fteen percent (15%) where applicable of the total coastal areas in each municipality shall be identi�ed, based on the best available scienti�c data and in consultation with the Department, and automatically designated as �sh sanctuaries by the LGUs in consultation with the concerned FARMCs. CHAPTER V Fisheries Research and Development SECTION 82. Creation of a National Fisheries Research and Development Institute (NFRDI). — In recognition of the important role of �sheries research in the development, management, conservation and protection of the country’s �sheries and aquatic resources, there is hereby created a National Fisheries Research and Development Institute (NFRDI). The Institute shall form part of the National Research and Development Network of the Department of Science and Technology (DOST). The Institute, which shall be attached to the Department shall serve as the primary research arm of the BFAR. The overall governance of the Institute shall be vested in the Governing Board which shall formulate policy guidelines for its operation. The plans, programs and operational budget shall be passed by the Board. The Board may create such committees as it may deem necessary for the proper and effective performance of its functions. The composition of the Governing Board shall be as follows: a. Undersecretary for Fisheries — Chairman b. BFAR Director — Vice Chairman c. NFRDI Executive Director — Member d. PCAMRD Executive Director — Member e. Representative from the academe — Member f. four (4) representatives from the private sector who shall come from the following subsectors: — Members * Municipal Fisherfolk * Commercial Fishing Operator * Aquaculture Operator * Post-Harvest/Processor The NFRDI shall have a separate budget speci�c to its manpower requirements and operations to ensure the independent and objective implementation of its research activities. SECTION 83. Quali�cation Standard. — The Institute shall be headed by an Executive Director to be appointed by the President of the Philippines upon the recommendation of the governing board. The Executive Director shall hold a Doctorate degree in �sheries and/or other related disciplines. The organizational structure and staf�ng pattern shall be approved by the Department: Provided, however, That the staf�ng pattern and remunerations for scienti�c and technical staff shall be based on the quali�cation standards for science and technology personnel. SECTION 84. Research and Development Objectives. — Researches to be done by the NFRDI are expected to result in the following: a. To raise the income of the �sherfolk and to elevate the Philippines among the top �ve (5) in the world ranking in the �sh productions; b. to make the country’s �shing industry in the high seas competitive; c. to conduct social research on �sherfolk families for a better understanding of their conditions and needs; and d. to coordinate with the �sheries schools, LGUs and private sectors regarding the maximum utilization of available technology, including the transfer of such technology to the industry particularly the �sherfolk. SECTION 85. Functions of the NFRDI. — As a national institute, the NFRDI shall have the following functions: a. establish a national infrastructure unit complete with technologically-advanced features and modern scienti�c equipment, which shall facilitate, monitor, and implement various research needs and activities of the �sheries sector; b. provide a venue for intensive training and development of human resources in the �eld of �sheries, a repository of all �sheries researches and scienti�c information; c. provide intensive training and development of human resources in the �eld of �sheries for the maximum utilization of available technology; d. hasten the realization of the economic potential of the �sheries sector by maximizing developmental research efforts in accordance with the requirements of the national �sheries conservations and development programs, also possibly through collaborative effort with international institutions; and e. formally establish, strengthen and expand the network of �sheries-researching communities through effective communication linkages nationwide. CHAPTER VI Prohibitions and Penalties SECTION 86. Unauthorized Fishing or Engaging in Other Unauthorized Fisheries Activities. — No person shall exploit, occupy, produce, breed, culture, capture or gather �sh, fry or �ngerlings of any �shery species or �shery products, or engage in any �shery activity in Philippine waters without a license, lease or permit. Discovery of any person in an area where he has no permit or registration papers for a �shing vessel shall constitute a prima facie presumption that the person and/or vessel is engaged in unauthorized �shing: Provided, That �shing for daily food sustenance or for leisure which is not for commercial, occupation or livelihood purposes may be allowed. It shall be unlawful for any commercial �shing vessel to �sh in bays and in such other �shery management areas which may hereinafter be declared as over-exploited. Any commercial �shing boat captain or the three (3) highest of�cers of the boat who commit any of the above prohibited acts upon conviction shall be punished by a �ne equivalent to the value of catch or Ten thousand pesos (P10,000.00) whichever is higher, and imprisonment of six (6) months, con�scation of catch and �shing gears, and automatic revocation of license. It shall be unlawful for any person not listed in the registry of municipal �sherfolk to engage in any commercial �shing activity in municipal waters. Any municipal �sherfolk who commits such violation shall be punished by con�scation of catch and a �ne of Five hundred pesos (500.00). SECTION 87. Poaching in Philippine Waters. — It shall be unlawful for any foreign person, corporation or entity to �sh or operate any �shing vessel in Philippine waters. The entry of any foreign �shing vessel in Philippine waters shall constitute a prima facie evidence that the vessel is engaged in �shing in Philippine waters. Violation of the above shall be punished by a �ne of One hundred thousand U.S. Dollars (US$100,000.00), in addition to the con�scation of its catch, �shing equipment and �shing vessel: Provided, That the Department is empowered to impose an administrative �ne of not less than Fifty thousand U.S. Dollars (US$50,000.00) but not more than Two hundred thousand U.S. Dollars (US$200,000.00) or its equivalent in the Philippine Currency. SECTION 88. Fishing Through Explosives, Noxious or Poisonous Substance, and/or Electricity. — (1) It shall be unlawful for any person to catch, take or gather or cause to be caught, taken or gathered, �sh or any �shery species in Philippine waters with the use of electricity, explosives, noxious or poisonous substance such as sodium cyanide in the Philippine �shery areas, which will kill, stupefy, disable or render unconscious �sh or �shery species: Provided, That the Department, subject to such safeguards and conditions deemed necessary and endorsement from the concerned LGUs, may allow, for research, educational or scienti�c purposes only, the use of electricity, poisonous or noxious substances to catch, take or gather �sh or �shery species: Provided, further, That the use of poisonous or noxious substances to eradicate predators in �shponds in accordance with accepted scienti�c practices and without causing adverse environmental impact in neighboring waters and grounds shall not be construed as illegal �shing. It will likewise be unlawful for any person, corporation or entity to possess, deal in, sell or in any manner dispose of, any �sh or �shery species which have been illegally caught, taken or gathered. The discovery of dynamite, other explosives and chemical compounds which contain combustible elements, or noxious or poisonous substances, or equipment or device for electro �shing in any �shing vessel or in the possession of any �sherfolk, operator, �shing boat of�cial or �shworker shall constitute prima facie evidence, that the same was used for �shing in violation of this Code. The discovery in any �shing vessel of �sh caught or killed with the use of explosive, noxious or poisonous substances or by electricity shall constitute prima facie evidence that the �sherfolk, operator, boat of�cial or �shworker is �shing with the use thereof. (2) Mere possession of explosive, noxious or poisonous substances or electro�shing devices for illegal �shing shall be punishable by imprisonment ranging from six (6) months to two (2) years. (3) Actual use of explosives, noxious or poisonous substances or electro�shing devices for illegal �shing shall be punishable by imprisonment ranging from �ve (5) years to ten (10) years without prejudice to the �ling of separate criminal cases when the use of the same result to physical injury or loss of human life. (4) Dealing in, selling, or in any manner disposing of, for pro�t, illegally caught/gathered �sheries species shall be punished by imprisonment ranging from six (6) months to two (2) years. (5) In all cases enumerated above, the explosives, noxious or poisonous substances and/or electrical devices, as well as the �shing vessels, �shing equipment and catch shall be forfeited. SECTION 89. Use of Fine Mesh Net. — It shall be unlawful to engage in �shing using nets with mesh smaller than that which may be �xed by the Department: Provided, That the prohibition on the use of �ne mesh net shall not apply to the gathering of fry, glass eels, elvers, tabios, and alamang and such species which by their nature are small but already mature to be identi�ed in the implementing rules and regulations by the Department. Violation of the above shall subject the offender to a �ne from Two thousand pesos (P2,000.00) to Twenty thousand pesos (P20,000.00) or imprisonment from six (6) months to two (2) years or both such �ne and imprisonment at the discretion of the court: Provided, That if the offense is committed by a commercial �shing vessel, the boat captain and the master �sherman shall also be subject to the penalties provided herein: Provided, further, That the owner/operator of the commercial �shing vessel who violates this provision shall be subjected to the same penalties provided herein: Provided, �nally, That the Department is hereby empowered to impose upon the offender an administrative �ne and/or cancel his permit or license or both. SECTION 90. Use of Active Gear in the Municipal Waters and Bays and Other Fishery Management Areas. — It shall be unlawful to engage in �shing in municipal waters and in all bays as well as other �shery management areas using active �shing gears as de�ned in this Code. Violators of the above prohibitions shall suffer the following penalties: (1) The boat captain and master �sherman of the vessels who participated in the violation shall suffer the penalty of imprisonment from two (2) years to six (6) years; (2) The owner/operator of the vessel shall be �ned from Two thousand pesos (P2,000.00) to Twenty thousand pesos (20,000.00) upon the discretion of the court. If the owner/operator is a corporation, the penalty shall be imposed on the chief executive of�cer of the Corporation. If the owner/operator is a partnership the penalty shall be imposed on the managing partner. (3) The catch shall be con�scated and forfeited. SECTION 91. Ban on Coral Exploitation and Exportation. — It shall be unlawful for any person or corporation to gather, possess, sell or export ordinary precious and semi-precious corals, whether raw or in processed form, except for scienti�c or research purposes. Violations of this provision shall be punished by imprisonment from six (6) months to two (2) years and a �ne from Two thousand pesos (P2,000.00) to Twenty thousand pesos (20,000.00), or both such �ne and imprisonment, at the discretion of the court, and forfeiture of the subject corals, including the vessel and its proper disposition. The con�scated corals shall either be returned to the sea or donated to schools and museums for educational or scienti�c purposes or disposed through other means. SECTION 92. Ban on Muro-Ami Other Methods and Gear Destructive to Coral Reefs and Other Marine Habitat. — It shall be unlawful for any person, natural or juridical, to �sh with gear method that destroys coral reefs, seagrass beds, and other �shery marine life habitat as may be determined by the Department. “Muro-Ami” and any of its variation, and such similar gear and methods that require diving, other physical or mechanical acts to pound the coral reefs and other habitat to entrap, gather or catch �sh and other �shery species are also prohibited. The operator, boat captain, master �sherman, and recruiter or organizer of �shworkers who violate this provision shall suffer a penalty of two (2) years to ten (10) years imprisonment and a �ne of not less than One hundred thousand pesos (P100,000.00) to Five hundred thousand pesos (P500,000.00) or both such �ne and imprisonment, at the discretion of the court. The catch and gear used shall be con�scated. It shall likewise be unlawful for any person or corporation to gather, sell or export white sand, silica, pebbles and any other substances which make up any marine habitat. The person or corporation who violates this provision shall suffer a penalty of two (2) years to ten (10) years imprisonment and a �ne of not less than One hundred thousand pesos (P100,000.00) to Five hundred thousand pesos (P500,000.00) or both such �ne and imprisonment, at the discretion of the court. The substance taken from its marine habitat shall be con�scated. SECTION 93. Illegal Use of Superlights. — It shall be unlawful to engage in �shing with the use of superlights in municipal waters or in violation of the rules and regulations which may be promulgated by the Department on the use of superlights outside municipal waters. Violations of this provision shall be punished by imprisonment from six (6) months to two (2) years or a �ne of Five thousand pesos (P5,000.00) per superlight, or both such �ne and imprisonment at the discretion of the courts. The superlight, �shing gears and vessel shall be con�scated. SECTION 94. Conversion of Mangroves. — It shall be unlawful for any person to convert mangroves into �shponds or for any other purposes. Violation of the provision of this section shall be punished by imprisonment of six (6) years and one (1) day to twelve (12) years and/or a �ne of Eighty thousand pesos (P80,000.00): Provided, That if the area requires rehabilitation or restoration as determined by the court, the offender should also be required to restore or compensate for the restoration of the damage. SECTION 95. Fishing in Over�shed Area and During Closed Season. — It shall be unlawful to �sh in over�shed area and during closed season. Violation of the provision of this section shall be punished by imprisonment of six (6) months and one (1) day to six (6) years and/or �ne of Six thousand pesos (P6,000.00) and by forfeiture of the catch and cancellation of �shing permit or license. SECTION 96. Fishing in Fishery Reserves, Refuge and Sanctuaries. — It shall be unlawful to �sh in �shery areas declared by the Department as �shery reserves, refuge and sanctuaries. Violation of the provision of this section shall be punished by imprisonment of two (2) years to six (6) years and/or �ne of Two thousand pesos (P2,000.00) to Twenty thousand pesos (P20,000.00) and by forfeiture of the catch and the cancellation of �shing permit or license. SECTION 97. Fishing or Taking of Rare, Threatened or Endangered Species. — It shall be unlawful to �sh or take rare, threatened or endangered species as listed in the CITES and as determined by the Department. Violation of the provision of this section shall be punished by imprisonment of twelve (12) years to twenty (20) years and/or a �ne of One hundred and twenty thousand pesos (P120,000.00) and forfeiture of the catch, and the cancellation of �shing permit. SECTION 98. Capture of Sabalo and Other Breeders/Spawners. — It shall be unlawful for any person to catch, gather, capture or possess mature milk�sh or “sabalo” and such other breeders or spawners of other �shery species as may be determined by the Department: Provided, That catching of “sabalo” and other breeders/spawners for local breeding purposes or scienti�c or research purposes may be allowed subject to guidelines to be promulgated by the Department. Violation of the provision of this section shall be punished by imprisonment of six (6) months and one (1) day to eight (8) years and/or a �ne of Eighty thousand pesos (P80,000.00) and forfeiture of the catch, and �shing equipment used and revocation of license. SECTION 99. Exportation of Breeders, Spawners, Eggs or Fry. — Exportation of breeders, spawners, eggs or fry as prohibited in this Code shall be punished by imprisonment of eight (8) years, con�scation of the same or a �ne equivalent to double the value of the same, and revocation of the �shing and/or export license/permit. SECTION 100. Importation or Exportation of Fish or Fishery Species. — Any importation or exportation of �sh or �sheries species in violation of this Code shall be punished by eight (8) years of imprisonment, a �ne of Eighty thousand pesos (P80,000.00) and destruction of live �shery species or forfeiture of non-live �shery species in favor of the department for its proper disposition: Provided, That violator of this provision shall be banned from being members or stock holders of companies currently engaged in �sheries or companies to be created in the future, the guidelines for which shall be promulgated by the Department. SECTION 101. Violation of Catch Ceilings. — It shall be unlawful for any person to �sh in violation of catch ceilings as determined by the Department. Violation of the provision of this section shall be punished by imprisonment of six (6) months and one (1) day to six (6) years and/or a �ne of Fifty thousand pesos (P50,000.00) and forfeiture of the catch, and �shing equipment used and revocation of license. SECTION 102. Aquatic Pollution. — Aquatic pollution, as de�ned in this Code shall be unlawful. Violation of the provision of this section shall be punished by imprisonment of six (6) years and one (1) day to twelve (12) years and/or a �ne of Eighty thousand pesos (P80,000.00) plus an additional �ne of Eight thousand pesos (P8,000.00) per day until such violation ceases and the �nes paid. SECTION 103. Other Violations. — The following �sheries activities shall also be considered as a violation of this Code: a. Failure to Comply with Minimum Safety Standards. — The owner and captain of a commercial �shing vessel engaged in �shing who, upon demand by proper authorities, fails to exhibit or show proof of compliance with the safety standards provided in this Code, shall be immediately prevented from continuing with his �shing activity and escorted to the nearest port or landing point. The license to operate the commercial �shing vessel shall be suspended until the safety standard has been complied with. b. Failure to Conduct a Yearly Report on all Fishponds, Fish Pens and Fish Cages. — The FLA of the holder who fails to render a yearly report shall be immediately cancelled: Provided, That if the offender be the owner of the �shpond, �sh pen or �sh cage, he shall be subjected to the following penalties: (1) �rst offense, a �ne of Five hundred pesos (P500.00) per unreported hectare; (2) subsequent offenses, a �ne of One thousand pesos (1,000.00) per unreported hectare. c. Gathering and Marketing of Shell Fishes. — It shall be unlawful for any person to take, sell, transfer, or have in possession for any purpose any shell �sh which is sexually mature or below the minimum size or above the maximum quantities prescribed for the particular species. d. Obstruction to Navigation or Flow and Ebb of Tide in any Stream, River, Lake or Bay. — It shall be unlawful for any person who causes obstruction to navigation or �ow or ebb of tide. e. Construction and Operation of Fish Corrals/Traps, Fish Pens and Fish Cages. — It shall be unlawful to construct and operate �sh corrals/traps, �sh pens and �sh cages without a license/permit. Subject to the provision of subparagraph (b) of this section, violation of the above-enumerated prohibited acts shall subject the offender to a �ne ranging from Two thousand pesos (P2,000.00) to Ten thousand pesos (P10,000.00) or imprisonment from one (1) month and one (1) day to six (6) months, or both such �ne and imprisonment, upon the discretion of the court: Provided, That the Secretary is hereby empowered to impose upon the offender an administrative �ne of not more than Ten thousand pesos (P10,000.00) or to cancel his permit or license, or to impose such �ne and to cancel his permit or license, in the discretion of the Secretary: Provided, further, That the Secretary, or his duly authorized representative, and law enforcement agents are hereby empowered to impound with the assistance of the Philippine Coast Guard, PNP-Maritime Command: Provided, �nally, That any person who unlawfully obstructs or delays the inspection and/or movement of �sh and �shery/aquatic products when such inspection and/or movement is authorized under this Code, shall be subject to a �ne of not more than Ten thousand pesos (P10,000.00) or imprisonment of not more than two (2) years, or both such �ne and imprisonment, upon the discretion of the court. Every penalty imposed for the commission of an offense shall carry with it the forfeiture of the proceeds of such offense and the instruments or tools with which it was committed. Such proceeds and instruments or tools shall be con�scated and forfeited in favor of the Government, unless they be the property of a third person not liable for the offense, but those articles which are not subject of lawful commerce shall be destroyed. SECTION 104. Commercial Fishing Vessel Operators Employing Unlicensed Fisherfolk or Fishworker or Crew. — The owner/operator of a commercial �shing vessel employing unlicensed �sherfolk or �shworker shall be �ned Five hundred pesos (P500.00) each for every month that the same has been employed and/or One thousand pesos (P1,000.00) for every month for each unlicensed crew member who has been employed. SECTION 105. Obstruction of De�ned Migration Paths. — Obstruction of any de�ned migration paths of anadromous, catadromous and other migratory species, in areas including, but not limited to river mouths and estuaries within a distance determined by the concerned FARMCs shall be punished by imprisonment of seven (7) years to twelve (12) years or a �ne from Fifty thousand pesos (P50,000.00) to One hundred thousand pesos (P100,000.00)or both imprisonment and �ne at the discretion of the court, and cancellation of permit/license, if any, and dismantling of obstruction shall be at his own expense and con�scation of same. SECTION 106. Obstruction to Fishery Law Enforcement Of�cer. — The boat owner, master or operator or any person acting on his behalf of any �shing vessel who evades, obstructs or hinders any �shery law enforcement of�cer of the Department to perform his duty, shall be �ned Ten thousand pesos (P10,000.00). In addition, the registration, permit and/or license of the vessel including the license of the master �sherman shall be canceled. SECTION 107. Promulgation of Administrative Orders. — For purposes of �shery regulation or other �shery adjustments, the Department in consultation with the LGUs and local FARMCs, shall issue Fishery Administrative Orders or regulations for the conservation, preservation, management and sustainable development of �shery and aquatic resources. CHAPTER VII General Provisions SECTION 108. Fisherfolk Settlement Areas. — The Department shall establish and create �sherfolk settlement areas in coordination with concerned agencies of the government, where certain areas of the public domain, speci�cally near the �shing grounds, shall be reserved for the settlement of the municipal �sherfolk. Nothing in this section shall be construed to vest ownership of any resettlement area to a municipal �sherfolk for whom said areas may have been reserved for or had been actually granted to. SECTION 109. Municipal Fisheries Grant Fund. — For the development, management and conservation of the municipal resources, there is hereby created a Fishery Grant Fund to �nance �shery projects of the LGUs primarily for the upliftment of the municipal �sherfolk. The amount of One hundred million pesos (P100,000,000.00) is hereby appropriated out of the Department’s allocation in the General Appropriations Act (GAA) to support the Grant Fund. For this purpose, the Department may seek �nancial assistance from any source and may receive any donation therefore. SECTION 110. Fishery Loan and Guarantee Fund. — Pursuant to Section 7, Article XIII of the Constitution, there is hereby created a Fishery Loan and Guarantee Fund with an initial of One hundred million pesos (P100,000,000.00), which shall be administered by the Land Bank of the Philippines. The fund shall be made available for lending to quali�ed borrowers to �nance the development of the �shery industry under a program to be prescribed by the Department. For the same purpose, the Department may seek �nancial assistance from any source and may receive any donation therefrom. SECTION 111. Fishing Vessels Development Fund. — There is hereby created a Fishing Vessels Development Fund to enhance the building and/or acquisition of �shing vessels. This shall be a long-term loan facility that shall be administered by the Development Bank of the Philippines. The amount of Two hundred and �fty million pesos (P250,000,000.00) per year for �ve (5) years is hereby appropriated out of the Department’s allocation in the GAA to support this Development Fund. SECTION 112. Special Fisheries Science and Appro�shtech Fund. — The Department shall provide subsidy for full technical and �nancial support to the development of appropriate technology, both in �shery and ancillary industries, that are ecologically sound, locally source based and labor intensive, based on the requirement and needs of the FARMCs. An initial amount of One hundred million pesos (100,000,000.00) shall be authorized for the purpose of a Special Fisheries Science and Appro�shtech Fund, and thereafter shall be included in the GAA. SECTION 113. Aquaculture Investment Fund. — An Aquaculture Investment Fund in the minimum amount of Fifty million pesos (P50,000,000.00) shall be established for soft loans which shall be extended to municipal �sherfolk and their organization who will engage in aquaculture, and for the development of underdeveloped or underutilized inland �shponds. SECTION 114. Other Fisheries Financing Facilities. — In addition to �sheries credit guarantee, grant and other similar facilities granted under this Code, quali�ed Filipino �sherfolk and �sheries enterprises shall enjoy such other facilities granted them under existing and/or new laws, specially as to rural credit, with preference being given to �sheries cooperatives. SECTION 115. Professionalization of Fisheries Graduates. — There is hereby created a Fisheries Board of Examiners in the Professional Regulation Commission to upgrade the Fisheries Profession: Provided, however, That those who have passed the Civil Service Examination for Fisheries shall automatically be granted eligibility by the Fisheries Board of Examiners: Provided, further, That they have served the industry in either public or private capacity for not less than �ve (5) years: Provided, �nally, That the �rst Board Examination for B.S. Fisheries Graduates shall be conducted within one (1) year from the approval of this Code. SECTION 116. Upgrading of State Fisheries Schools/Colleges. — The Department, in coordination with the Commission on Higher Education (CHED), Department of Education, Culture and Sports (DECS), and Technical Education and Skills Development Authority (TESDA), shall upgrade State Fisheries Schools/Colleges which provide both formal and non-formal education: Provided, however, That the CHED shall incorporate Appro�shtech in the curricula of �sheries schools/colleges. The Department and the CHED shall jointly formulate standards to upgrade all �sheries schools/colleges. Fisheries schools/colleges that do not meet minimum standards shall be closed. SECTION 117. Inclusion of Fisheries Conservation Subjects in School Curriculum. — Fisheries conservation subjects shall be incorporated in the curricula of elementary and secondary schools both private and public. SECTION 118. Educational campaign at all levels. — The Department, the CHED, the DECS and the Philippine Information Agency shall launch and pursue a nationwide educational campaign to: a. help realize the policies and implement the provisions of this Code; b. promote the development, management, conservation and proper use of the environment; c. promote the principle of sustainable development; and d. promote the development of truly Filipino-oriented �shing and ancillary industries. SECTION 119. Infrastructure Support. — The Department in cooperation with concerned agencies shall: a. prepare and implement a nationwide plan for the development of municipal �shing ports and markets; b. prioritize the construction of farm-to-market roads linking the �sheries production sites, coastal landing points and other post-harvest facilities to major market and arterial roads/highways; c. identity community infrastructure facilities such as �sh landing ports, ice plant and cold storage facilities in consultation with �shery cooperatives/associations and prepare plans and designs for their construction that would be consistent with international environmental impact; d. establish and maintain quality laboratories in major �sh ports and prescribe the highest standards for the operation and maintenance of such post-harvest facilities; e. arrange and make representations with appropriate funding institutions to �nance such facilities for the use of the �shery cooperatives/associations; f. develop and strengthen marketing facilities and promote cooperative marketing systems; and g. promote and strengthen local �sheries ship-building and repair industry. SECTION 120. Extension Services. — The Department shall develop cost-effective, practical and ef�cient extension services on a sustained basis, in addition to those provided by state educational institutions, especially to municipal �sherfolk in undeveloped areas, utilizing practicable and indigenous resources and government agencies available, and based upon a system of self-reliance and self-help. SECTION 121. Protection of Sensitive Technical Information. — The Department shall take such measures as may be necessary in order to protect trade, industrial and policy information of Filipino �sherfolk, �sheries owners/operators, entrepreneurs, manufacturers and researchers, when disclosure of such information will injure the competitiveness or viability of domestic �sheries. SECTION 122. Assistance in Collecting Information. — The Department, in coordination with other government entities concerned, may require Filipino representatives abroad and foreign based personnel to assist in the collection of �sheries data and information. SECTION 123. Charting of Navigational Lanes and Delineation of Municipal Waters. — The Department shall authorize the National Mapping and Resource Information Authority (NAMRIA) for the designation and charting of navigational lanes in �shery areas and delineation of municipal waters. The Philippine Coast Guard shall exercise control and supervision over such designated navigational lanes. SECTION 124. Persons and Deputies Authorized to Enforce this Code and Other Fishery Laws, Rules and Regulations. — The law enforcement of�cers of the Department, the Philippine Navy, Philippine Coast Guard, Philippine National Police (PNP), PNP-Maritime Command, law enforcement of�cers of the LGUs and other government enforcement agencies, are hereby authorized to enforce this Code and other �shery laws, rules and regulations. Other competent government of�cials and employees, punong barangays and of�cers and members of �sherfolk associations who have undergone training on law enforcement may be designated in writing by the Department as deputy �sh wardens in the enforcement of this Code and other �shery laws, rules and regulations. SECTION 125. Strengthening Prosecution and Conviction of Violators of Fishery Laws. — The Department of Justice (DOJ) shall embark on a program to strengthen the prosecution and conviction aspects of �shery law enforcement through augmentation of the current complement of state prosecutors and through their continuous training and reorientation on �shery laws, rules and regulations. SECTION 126. Foreign Grants and Aids. — All foreign grants, aids, exchange programs, loans, researches and the like shall be evaluated and regulated by the Department to ensure that such are consistent with the Filipinization, democratization and industrialization of �shing industry and the development of the entire country. SECTION 127. Mandatory Review. — The Congress of the Philippines shall undertake a mandatory review of this Code at least once every �ve (5) years and as often as it may deem necessary, to ensure that �sheries policies and guidelines remain responsive to changing circumstances. CHAPTER VIII Transitory Provisions SECTION 128. Moratoria. — The Department shall, upon the recommendation of the Bureau, have the power to declare a moratorium on the issuance of licenses for commercial �shing vessels to operate in speci�ed area or areas in Philippine waters for a limited period of time if there are indications of over�shing brought about by a decrease in the volume and sizes of �sh caught therein or for conservation or ecological purposes. No new licenses and similar privileges on exploitation of speci�c �shery areas in Philippine waters and aquaculture production areas shall be issued in accordance with this Code. Such moratoria shall not exceed �ve (5) years from the effectivity of this Code. SECTION 129. Formulation of Implementing Rules and Regulations. — An Inter-agency Committee is hereby created to formulate rules and regulations for the full implementation of this Code within ninety (90) days of its effectivity: Provided, however, That the formulated rules and regulations shall be submitted to both Houses of Congress for information and guidance. Such rules and regulations shall take effect upon publication in a newspaper of general circulation. The Inter-agency Committee shall be composed of the following: a. Secretary of Agriculture as Chairman; b. Secretary of the Interior and Local Government; c. Secretary of Environment and Natural Resources; d. Secretary of Justice; e. Secretary of Finance; f. Secretary of Budget and Management; g. Secretary of Labor and Employment; h. Secretary of National Defense; i. Commissioner of Civil Service Commission; j. Director of BFAR; k. Executive Director of PCAMRD; l. General Manager of PFDA; m. One (1) representative from each of the following: a.1. The League of Provinces; a.2. The League of Cities; a.3. The League of Municipalities; a.4. The Liga ng mga Barangay; n. Representative of the municipal �sherfolk; o. Representative of the commercial �shers; p. Representative of the non-government organizations involved in �shing concerns; and q. A representative from the academe coming from the specialized �sheries institution. CHAPTER IX Final Provisions SECTION 130. Appropriation. — The sum necessary to effectively carry out the provisions of this Act during the �rst year of implementation shall be sourced from the budget of the DA/BFAR and other agencies performing �sheries-related functions: Provided, however, That such amount as may be necessary to carry out the provisions of Sections 79, 109, 110, 111, 112, 113 are hereby appropriated out of the unappropriated funds of the National Treasury. The Congress of the Philippines shall provide for the appropriations of the Department, the NFRDI and the Fisheries Scholarship Program for the succeeding years to be included in the annual GAA. SECTION 131. Repealing Clause. — Presidential Decree No. 704, as amended by Presidential Decree Nos. 1015 and 1058, Presidential Decree No. 977, as amended, Executive Order No. 967, Series of 1984, Executive Order No. 116, Series of 1987, Executive Order No. 292, Series of 1987, Executive Order No. 473, Series of 1991 and other existing laws except Republic Act No. 7611, decrees, executive orders, and rules and regulations or parts thereof, which are inconsistent with this Code, are hereby repealed or modi�ed accordingly. SECTION 132. Separability Clause. — If any portion or provision of this Code is declared unconstitutional or invalid, the other portions or provisions hereof, which are not affected thereby, shall continue in full force and effect. SECTION 133. Effectivity. — This Code shall take effect �fteen (15) days after its publication in the Of�cial Gazette or in two (2) newspapers of general publication. Approved on February 25, 1998 Source: www.da.gov.ph (http://www.da.gov.ph) This entry was posted under Legislature (http://www.gov.ph/section/legis/), Republic Acts (http://www.gov.ph/section/laws/republic-acts/) and tagged �sheries (http://www.gov.ph/tag/�sheries/). Bookmark the permalink (http://www.gov.ph/1998/02/25/republic-act-no-8550/). REPUBLIC OF THE PHILIPPINES All content is in the public domain unless otherwise stated. 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