Philippine Salt Industry Development Act (Republic Act 11985)

(a) ArtisanaZ salt refers to, locally produced unrefined salt, (300) MT per year; derived directly from a living sea or ocean, using trailitional methods. It retains natural traces of minerals coming from (3) Medium prod11,cer/manufacturer - a person, sea water, and is produced by traditional or community-based corporation, or association engaged in the production, trade, enterprises; and distribution of salt ranging from more than three hundred (300) MT to two thousand (2,000) MT per year; or

(b) Artisanal salt producer refers to one who utilizes traditional methods of production using non-mechanized means; (4) Large pr-oducer/manafacturer - a person, corporation, or association engaged in the production, trade, and

(c) Food-grade salt refers to sa:lt for human consumpti0n; distnoution of salt exceeding two thousand (2,000) MT per year; and ~d) Industrial salt refers to salt used in the treatment, processing, and/or manufacture of non-food commercial (i) Salt production refers to the process of generating salt prod,ucts; from salt water utilizing solar evaporation or cooking and other acceptable methods. (e) Iodized salt refers to ordinary salt with fortifican:t potassium iodate (KIO 3); SEC. 4. Philippine Salt Industry Development Roadmap (Salt Roadmap). - For the attainment of the objectives of this (f) Salt refers to an unrefined salt derived directly from Act, there shall be formulated and established a Philippine Salt a Living sea or ocean, harvested throu-gh the process of Industry Development Roadmap (Salt Roadmap), which shall cooking, smoking or solar evaporation. Regardless of the include, but not be limited to, programs, projects and manner of production, it retains natural traces of minerals interventions for the development and management, research, coming from sea water; processing, utilization., business modernization., and commercialization of Philippine salt: Provided, That the Salt (g) Salt farms refer to areas of land, shorelines, or coastal Roadmap shall be aligned with the objectives and continued a.Teas, including their buildings, machineries, and equipment, implementation of Republic Act No. 8172 or "An Act for Salt used in salt production. Salt farms may be classified as: Iodrzation Nationwide (ASil\1)", which shall incl11,de the mandatory iodization of all food-grade salt and shall have the (1) Individual salt farm - salt farm of not more than following obj'ectives, among others: fifty (50) hectares; or (a) Increase salt production in order to attain salt (2) Corporate or cooperative I association salt farm - salt self-sufficiency, and become a net exporter of salt; farm of not more than two hundred fifty (250~ hectares; 4 5 (b) Encourage salt farming and expand the number of Members: salt-producing areas; (c) Director of the Bureau of Fisheries and Aquatic (c) Ensure the sustainable production, management and Resources (BFAR); harvesting, and soil and water conservation practices in salt-farming areas; (d) Secretary of the Department of Environment and Natural Resources (DENR);

(d) Promote public and private investments in the salt industry development programs; (e) Secretary of the Department of Science and Tecb.no1ogy (DOST);

(e) Ensure the sustainability and viability of the sa1t industry through the estab1ishn;i.ent of cooperatives among salt (f) Secretary of the Department of Health (DOH); farmers and salt producers in order to optimize local production and improve access to government interventions, assistance, (g) Secretary of the Department of Tourism (DOT); and incentives; (h) Secretary of the Department of Public Works and

(f) Advance market access for Pruhppine salt products Highways (DPWH); locally and internationally; (i) Secretary of the Department of Labor and Employment

(g) Support researcb. and development (R&D) activities for (DOLE); salt production and processing and introduce Il'ew and appropriate technology based on R&D outputs; G) Chairperson of the Cooperative Development Authority ECDA);

(h) Ensure regular fundi..Bgfor salt prod,-action, processing, commercial and marketing programs and projects and provide (k) Executive Drrector of National Fisheries Research and technical and financial assistance in th€ local design and Development Institute (NFRD[); fabrication of high-capacity p,rocessing equipment and machineries for the salt industry and salt iodization; and (1) One (1) representative each from th€ Leag1:re of Provinces of the Philipp-ines, Lea·gue of Cities of the

(i) Provid€ continuous training and capacity building in Philippines, and League of Municipalities of the Phili.ppi:nes of the salt industry development. salt-producing areas; SEC. 5. Creation of Philippine Salt Industry Development (m) One (1) representative from the private sector engaged Counci:l (Salt Council). - To ensure the unified and integrated in salt-production business; and implementation of the Salt Roadmap and accelerate the modernization and industrialization of the Philippine salt (n) Three (3) representatives from the salt farmer industry, a Salt Council is hereby created with the following coop€ratives, two (2) representing Luzon and on.€ (1) composition: representing Visaya:s and Mindanao: (a) Secretary of the Department of Agriculture (DA), as Provided, That the respective agencies may designate their Chairperson; permanent representatives whose rank shall not be lower than an Assistant Secretary: Provided, further, That the (b) Secretary of the Department of Trade and Industry representatives from business sector shall be chosen by BF AR (DTI) as Vice-Chairperson; from a list of three (3~ nominees submitted to it by the sector; 6 7 and the representatives from the cooperatives shall be chosen G) Establish an agri-insurance program for salt producers; by BF AR from a list of five (5) nominees for Luzon and three (3) for the Visayas and Mindanao submitted to it by the salt (k) Submit annual reports, not later than June 30, to farmers' cooperatives: Provided, finally, That one-third (1/3) the Office of the President and to each House of Congress, on of al:l the members of tbe Salt Council shall constitute a the status of the implementation of the Salt Roadmap and the quorum. salt industry development in the country; SEC. 6. Functions of the Sali Council. - The Salt (1) Recommend to the Department of Budget and Council shall have the following powers and functions: Management (DBM) tbe required yearly appropriations for the plan and implementation of the salt development programs; (a) Formulate the five (5)-year Salt Roadmap, which shall co,ntain the short-term, medium-term, and long-term (m) Promulgate such rules and regulations, and exercise development plan (Development Plan) for the industry, such other powers aE.d functions, as may be necessary to which shall be updated yearly, or earlier, as determined by carry out the objectives of this Act; and the Sa1t Council; (n) Constitute tbe staffing complement of the (b) Mentify specific and priority p-rograms and projects Program Management Office Secretariat with the power to :in support of, and in l:i:ne with, the Salt Roadmap; create and abolish positions. (c) Provide development funds and technical assistance to SEC. 7. Creatio,n of a Program Management Office salt farmers and the industry. The snpprnrt shall 0e (PMO). - The DA, through the B,FAR, shall lead in the commensurate to the size of the salt farm; i:mplementation of the Development Plan. Towards this end, a PMO is hereby crecl!ted under the 0:f.fi.ce of the BFAR (d) Implement the mechanization of salt _production Director to oversee the overall imp1ementation of the process through the provision of machinery and eq,mpment Development Plan and the monitoring of its execution by the such as, but not limited to, harvesters, and motorized pumps implementing agencies and/or partners. Further, the PMO to reduce operational cost; shall also assume a'Ild _perform secretariat functions such as to coordinate and manage the regular meetings of the Salt (e) Identify sources of financing and facilitate credit Council, prepare aRd/or consolidate reports, monitor the windows with government banks and the Agricultru-al Credit implementation of policy decisions that the Sa1t Council has Policy Council (ACPC) to expand the salt industry development; adopted, and liaise with ail the member departments and relevant agencies of the government. The PMO shall have a (f) Increase production of local salt by increasing land staff complement, as approved by the Salt Council. area devoted to salt and improving farm productivity; SEC. 8. Salt as an Aquatic Resource Product. - Salt, (g) Institutionalize capacity building for salt farmers unprocessed or processed, is hereby classified as an aquatic through the BF AR provincial 0£:6.ces und-er the Fi:sheries resource product and shall be exempt from all taxes. Post-Harvest Technology Division (FPHTD); The DA shal1 also ensure that salt is a priority commodity to be produced locally in areas or regions identified (h) Strengthen market linkage and promotion of Philippine in th.is Act. The reqwed resources shall be allocated by the salt; DA for this p·urpose. (i) Con-duct continuing R&D on innovation and. modernization of the salt industry; 8 9 SEC. 9. Mapping and Determination of Public Lands for tenurial instrument (herein referred to as the Salt Production Salt Production; Role of the DENR and BFAB. - Most areas Tenurial Instrument or SPTI) to qualified salt producers for suitable for salt production are public lands wh:ich are the use of these public lands, certified copies of which shall currently within the administrative jurisdiction of the DENR be furnished the Salt Council through the PMO: Provided, and the BF.AR. That tenurial instruments on public lands already issued to private entities shall be respected: Provided, further, That Pursuant to this Act, the DENR through its appropriate tenurial instruments issued for salt production shall be strictly bureaus and its attached agency, the National Mapping and used only for the purpose for which it was granted, and tbat Resource Information Authority (NAMRIA), and the BFAR are public land with salt farms shall not be converted to other hereby mandated to map out, identify, and designate public uses, other than· for fisheries and aquaculture purposes: lands, including portions of municipal waters, as salt Provided, furthermore, That the procedure for sucb issuance production areas. They shall p;ioritize p-ublic lands situated shall take into utmost consideration Republic Act No. 11032 in the following provinces that are identified as suitable for or the "Ease of Doing Business and Efficient 'Government salt production, namely: Ilocos Norte, Ilocos S1:lr, La Union, Service Delivery Act of 2018": Provided, finally, That the Pangasinan, Zambales, Bataan, Occidental Mindoro, Oriental BF AR shall maintain a digital database of all applicants and Mindoro, Palawan, Marinduque, Quezon Province, Misamis holders of SPTI to ensure integrity of d:ata, stronger d:ata Oriental, and Antiq1'le, which are now hereby declared as protection, and convenient data access. priority areas for salt production. They shall finish the task within sixty ~60) days from the effectivity of this Act: (a) Salt Producti0,n Tenurial Instrument (SPTI). An Provided, That public lands in other regions shall a:lso be application for an SPTI o-n a public land for salt farm subsequently mapped out, identified and designated as potential prod1:1ctionshall be sl:l!bmitted to BFAR. BF AR sb.all issue the salt prod,u.ction areas, within six (6,) months from the effectivity SPTI to qualified sa:lt prodlicers, which shall. :iind;icate, inter of this Act: Provided, further, That the res1'llt of the alia, the following: mandatory mapp::ing, identification, and designation of public lands for salt produ.ction shali be shared with the public, (1) Name and other relevant information about the through the DiENR and BFAR websites or otherwise, as their grantee; respective agency rules shall allow, so as to inform inter,ested salt inc:11'lstryinvestors: Provided, furthermore, That they shall (2') Terms and conditions in the use of the salt farm; also provide a report on the completion of this mapping, identification, and designation to both Houses of Congress (3) Period of use of the public land on which the salt through the Congressional Oversight Committee on Agriculrure farm is located; and Fisheries Modernization (COCAFM). (4) Conditions for termination, which shall. include an. SEC. 10. Transfer of Public Lands Identified as Suitable undertaking to start sa1t farm construction a!D.doperation for Salt Production from DENR to BFAR. - The D,ENR is within one (1) year from the approval and granting of the hereby mandated to transfer public lands map,ped out, SPTI and to protect and p:reserve critical habitat for marine identified, and designated as suitable for salt production under life in the area; and its administrative j1:U"isdictionto BFAR. It shahl do so within ninety (90~ days fr0m the effectivity of this Act. (5) Metes and bounds of the salt farm. SEC. 11. Allocation and Use of Public Lands for Salt Provided, That nothing herein shall be add:ed that contradicts Production,· Role of BFAR; Miscellaneous Provisions. - BFAR the principles and provisions of Republic Act No. 11032: is hereby manda:ted to allocate public lands for salt production Provided, further, That new/renewa1/transfer of application for to qua,lifi.ed salt producers. For this purpose, it shall issue a SPTI shall be submitted to the BF.AR Provincial Office, which JO 11 shall process and issue the SPTI applied for within forty-five members shall render its officers liable for criminal acts under (45) days from the complete submission of the three (3) existing laws. requirements enumerated in subparagraph (b) of this section, failure in the issuance of which shall render the application (c) Period of Use of Public Land for Salt Farm. The approved and BF AR shall immediately issue the SPTI applied salt producer with an SPTI shall be allowed use of public land for to the applicant: Provided, furthermore, That the SPTI for salt production for twenty-five (25) years, renewable for shall bear only the signature of the Regional Director and the another twenty-five (25) years: Provided, That the lease BFAR Director. agreement shall be su:bject to early termination upon a determination by BFAR, upon due process, of the grantee's (b) Qualification of Salt Producers Applying for SPTI. violation of the provision(s) of the SPTI. The BF AR shall approve application for SPTI on the bases of only the following three (3) requirements: (d) Limitations on the Size of Salt Farms. Individuals may lease up to fifty (50) hectares of salt farms. Corporations (1) Certificate of Registration as a salt producer, secured or cooperatives/associations may lease up to two hrmdred fifty under Section 13 of this Act; (250) hectares. A lease applicant may apply for a lease for more than one (1) area and hold several lease agreements, but (2) The applicant has an outstanding track record of in no case shall the total area of such multiple lease engaging m salt farm busmess or other related business for agreements exceed the limits prescribed under this provision. at least three (3) years, or has an actual experience :im salt pToduction for at least three (3) years: Provided, That SEC. 12. Utilization of Pub.Zic Lands Already Issued coop-erat:i:ves/associat:i!ons of swbsistence and small salt Fishpond Lease Agreements (FLAs) for Salt Production; Other producers/farmers may present certification and e:a:dorsem-ent Fo-rms o-f Pub-lie Land Possession. - Fi-shpo-nd Lease from the local government units (LGUs) within which the-ir Agreements (Fl.As) issued by BFA.."1t before the enactment of intended salt fa.no. will. be established of their capability to this law may now mc1ude salt proc:Luctionas among the valid manage and operate a salt farm, in lieu of the three (3:)-year activities that may be undertaken by the leaseholder: Provided, period ~equrrement; and That if the lessee so decides to engage in salt production, such lease agreement, or such portion of that public land under the (3) Payment of rental fee for the use of said p'l!l.blicland FLA to be used for salt production, shall be governed by the in the amount equal to current rates exacted by BFAR on the provisions of this Act. In such case, the alxeady issued FLA use of these public lands: shall be amended accordingly to reflect salt production: Provided, That the period in the amended FLA for salt Provided, That cooperatives/associations of subsistence and production shall state the full twenty-five (2·5)-year period. small salt producers/farmers shall be given prefereBtial treatment in the grant of SPTI and shall be allowed rent-free If other public lands identified for salt production use of the public land on which the salt farm and its facilities purposes under this Act are already in the possession of private are built for a period of three (3) years from the start of entities, BF AR shall notify the possessor that such public land salt farm operations: Provided, further, That said has been identified as suitable for salt production, and if the cooperatives/associations shall present authenticity of the possessor shall accede to develop such public land into salt Bature and composition of its members through a• certification production area, then the process of developing the area into from the local office of the Department of Social Welfare and salt production shall continue in accordance with the provisions Development (DSWD) and the LGU of residence~ Provided, of this Act. furthermore, That misdeclaration or falsification or any other false deed to conceal the real nature and composition of its SEC. 13. Registration as Salt Producer; Control Measures. - All salt producers, whethe:r holders of SPTI or 12 13 otherwise, shall register with the BFAR: Provided, That the (i) Securities and Exchange Commission (SEC) Food and Drug Administration (FDA) shall retain its registration; jurisdiction over the registration of salt for human consumption as provided llllder Republic Act No. 8172, and (ii) Certification as Existing Salt Producer from the LGU Republic Act No. 10611 or the "Food Safety Act of 2013". The where the salt farm operates; following are the qualification requirements for registration: (iii) Updated tax payment record; and (a) For Cooperatives/Associations (iv) Proof of SSS, Pag-IBIG, Phill!ealth remittances. (1) Existing (2) New Registrants (i) Certification as Existing' Salt Producer from the LGU where the salt farm operates; (i) SEC registration; (ii) ·Certificate of Registration from CDA for cooperatives, (ii) Business plan; and or from LGU where the farm site is located for farmers' association; (iii) Farm Site Inspection Report from the PFO. (iii) Production record for the immediately preceding year; (c) For In.d-.i:viduals/Artisanal and (1) Existing (iv) _A.ffid:avitfrom apphcan-t of existence of at least fifty (50~ members. (i) Certificate as a Salt Prodiucer from the LGU, and indication as artisan.al, :i:fapplicable; and (2) New Registrants (ii) Production report for the immediately preceding year. (i) Certificate of Registration from CDA for cooperatives, or from LGU where the- proposed farm site is located for (2) New Registrants farmers' association; (i) Business plan; and (ii) Business pJ.an; (ii) Farm/Production Site h1spection Report from the PFO. (iii) Farm Site Inspection Report from the Provincial Fisheries Officer- (PFO); and Registration shall be renewed every three (3~ years. (iv) Affidavit from applicant of existence of at least Upon complete submiss:i,on of the qualification fifty (50) members. requirements, BFAR shall issue the Certificate of Registration as a salt producer, or a notice of the denial of the application (b) For Corporations for registration, accompanied by an e2,.--planation for such denial, within forty-five (45~ days from completion. The failure (1) Existing of BF AR to act on the applicati-0n renders the application approved, and it shall immediately issue the said 8ertificate of Registration. An appeal for such denial shall be filed with the BF AR Director within fifteen (15} days from receipt of 14 15 Notice of Denial, which in turn shall be decided with which shall be known as Daan Asinan. In the construction administrative :finality by tbe Director, within fifteen (15) days of the Daan Asinan, the DA-BF AR shall consider the from filing. investment cost for salt production in the area, the number of salt producers and their families who shall benefit from the SEC. 14. Support for the Development o-f Salt Farms venture, and the amount of salt produced or to be potentially and Salt Producers. - The DA-BFAR, in consultation with produced in the salt production areas. Thereafter, the DA-BFAR individuals, corporations, associations, and cooperatives from shaH. coordinate with the DPWH for the latter to undertake the salt industry, shall provide technical support in the the construction, improvement, and maintenance of the Daan development and operation of existing salt farms. It shall assist Asinan. in the design of salt farms of cooperatives/associations. SEC. 16. Research and Promotion of Salt Farming BFAR is hereby mandafed and authorized to grant Methodologies and Techniques. - The DA-N""FRD-I,:i!Ilclose material and technical assistance to salt farms of coordination with the DA-Philippine Center for Postharvest cooperatives/associations through its own projects and programs D-evelopment and Mechanization (DA-PhilMec-h), shall for the salt indnstry, on the following concerns: spearhead the development of the latest technology in salt prod1:1ction, particruarly technology that allows year-round (a) Establishment of salt farm warehouses; production of salt even under erratic weather patterns. It shall also encourage the mechanization of salt production fr0m (b) Provision of inputs for salt development, machinery, pre- to post-harvest and develop technologies that promote and equipment; alternative methods and cost-effective techniq,ues in salt production. (c) Conduct of extension services; The DA-NFRDI shall immedia,te-ly transfer the results (d) Establishment and strengthening of salt prod1:1.cers of their completed study/techno,1o.gy/product to salt cooperative; and producers/manufacturers. (e) Development of modern salt production and processing SEC. 17. Extension Programs. - The BFAR, in technology. coordination with the DTI, DOST, DO:LE, Technical Educa,tion and Skills Development Authority (TESDA) and other relevant This mandate shall be funded out of the tariff coliection goverrunent agencies, shall provide compJemtmtary training on imported salt as provided in Sections 27 and 2'8 of this programs that shall develop and upgra:de the- skills aRd Act. The B"FAR shall institutionalize the Develonment of Salt competencies of Pbilipp-ine salt prod,uce-rs, ensure p;roduct Industry Program. (DSIP) as a regular program funded by the traceability and compliance to food safety, hasten technology General Appropriation-s Act (GAA) and shall- cover the acquisition including product labelling and packaging, enhance :i!Ilterventions that are not :i!Ilcluded for funding by the Sa1t skills on market positioning for Philippme artisanwspecialty Jnd,ustry Development and 8ompetitiveness Enhancement Fund and industrial salts and such other capabilities necessary in (SID·CEF) over and above the regular budget of BFAR under the maintenaB.ce and development of the local salt mdustry. the GAA. SEC. 18. Corps of Salt Production Trainers. - Within SEC. 15-. Construction of Salt Farm Roads. - Consistent thirty (30~ days from the effectivity of this Act, BF AR shall with the Development Plan, the DA-BFAR, in coordination form the Corps of Trainers for salt production, whose members with the LGUs a:n_d: the resident salt producers, shall identify shall he recruited from BFAR personnel in the pr0vinces, under priority locations of roads linking the salt farms to the market, the FPHTD; experts from state universities and colleges (SUCs) vtith a track record for studying an:d researching on 16 17 salt production and post-production tecbniques and technology; SEC. 22. Importation of Salts. - No person shall import e:iqierts from Agricultural Training Institute (ATI)'; and from salt without first sec1:1ring a permit from the following practitioners in actual salt farm production in the country. agencies: The corps members shall be tasked to help o-ut in the establishment of salt farms in areas designated as such by (a) DA-BFAR and DOH-FDA for food grade salt; and this Act. BFAR shall spend for their travel, lodging, honoraria and other necessary expenses, within existing budgetary rules. (b) DA-BFAR for non-food grade salt. SEC. 19. Salt Farmers Cooperatives and Associations. - The DOH-FDA and DA-BFAR are hereby mandated to The CDA shall assist in the formation, organizational harmonize and stream.line their processes. strengthening, and financial literacy of cooperatives and th-eir local salt farmers-members and'producers. It shaR aim to build SEC. 23. Mandatory Use of Domestically Produced Salt. capabilities of cooperatives and associations to leverage their The government shall mandate the use of d0mestically own resources, run sustainable 0perations, and increase the produced salt in its programs, including the fertilization of number of successful cooperative-managed salt farms in the coconut farms by the PhilippIDe Coconut Authority (PCA). country. SEC. 24. National Iodization Program. - Notwithstanding SEC. 20. Trade and E:rpo-rt A:ssistance. - The DTI and the pFOvisions 0f Republic Act No. 8172, iodization of artisanal the DA shall assist and suipport local salt prodl!lcers in the and non-food grade salt and salt intended for export is hereby trade and exportation of their prod111ct.They shall e:ahance the rendereGl optional in the country. The use of artisan.al salt by capabilities and global competitiveness of potentia1 and existing food manufactu;rers and food establishments shall be allowed. producers am.d exporters through export financing; business matching; provision of trac:Le and market infonnation; The salt pro·duc·ed by salt farmers shall n·ot be p;romotio:a of focally produced salt to local and international a,ut0matically categorized as food grade, nor shall the burden markets; organization of trade fairs and business missions; 0f iodizing salt be on the salt farmers. conduct of seminars, workshops, conferences and sympos~um on export-related subjects, including export documentation and Food grade salt may be sold by farmers to salt processors procedu;res; product design and development; and market and in compliance with this Act provided that ioclization shaJ.ilbe product consultancy. The government shall give pr-eference to done by the processors. locally produced salt :i:n government p:1:.1a-chases. Importers, traders and distributors of imported food-grade SEC. 21. Ro-le of LGUs. - LGUs shall, as far as salt that will undertake fortification shall comply with the practicable, establish their respective Sart Industry iodization standard:s set by the DOH. Development Task Force (Salt Task Force). LGUs shall regularly condu:ct a sw.-vey of existing salt farms and salt For this purpose, the DOH shall develop guidelines for processing enterprises in their respective localities. the implementation of this new mandate, taking into consideration international trade nuances and standards LGUs, in cooperatio,n with the DENR, BFAR, :impacting on local food manufacturers and exporters. DA-NFRDI, and DTI and: the appropriate DOST Regional Office, shall identify appropriate areas for local salt production The BFAR-FPHTD, is hereby tasked to develop and in their respective localities. implement a comprehensive program for the acquisition, design, and manufacture of salt iodization· equipment, and the further development of salt iodization technology. 18 19 SEC. 25. Labeling of Salt Made in the Philippines. - All .Salt imports include imported products under the salt produced or manufactured in the Philippines for export following HS headings or AHTN Codes, the Descriptions: shall be labeled as ''Made in the Philippines" in a prominent and conspicuous manner on the product, its packaging, and 2501 - Salt (including table salt and denatured salt) and accompanying documentation, and shall comply with the pure sodium chloride, whether or not :in aqueous solution of requirements of Republic Act. No. 7394, otherwise known as containing added anti-caking or free flowing agents; sea water. the "Consumer Act of the Philippines". (a) 2501.00.10 Table salt For domestically produced salt intended for the local market, salt manufacturers, producers or farmers are (b) 2501:00.20 Unprocessed rock salt encouraged to provide a label ''Macre in the Philippines". ' (c) 2501.00.50 Sea water The DTI shall assist domestic salt manufacturers, producers or farmers on this labeling requirement. (d) Other SEC. 26. Incentives. - The following incentives sha}J. be (e) 250Ul0.51 Salt, denatured, industrial provided to i.n,vestors in salt farms development and salt processing facilities: (f) 2501.00.91 Wrtb. sodium chloride content more than 60% but less than 97%, calculated on a dry basis, (a) The Board of Investments shall classify salt farms as fortified with iodine. preferred areas of investment lln.der its Investment Priorities Plan (IPP; subject to pertinent ruil.es and regulations; (g) 2501.00.92 Other, with sodiU'Ill chloride content 97% or more but less than 99.9%, calcu:lated on a (b) Salt farm owners, salt processors and other related dzy basis. businesses shall be exempt from the payment of import duties for imported machines and equri.pm.ent to be actaally and (h) 2'5@1.00.99 ·Other directly 1:1sedin their businesses, su,bject to pertinent rules and regulations; SEC. 2-S. Creation of the Salt Industry Development and Competitiveness Enhancement Fund (SIDCEF). - The (c) The salt producers and processors shaN be given SIDCEF is hereby created from the salt tariff colil.ectionsspecial priority to access credit assista:ace and guarantee schemes account with the National Treasury. The SIDCEF shall exist granted by government financial institutions (GFis); and for the next ten (lOD years following the effectivity of this Act. (d) Salt farm development and their eql:lipment shall be The allocation and utilization of the SID:CEF shall be covered by the Philippine Crop Insm.-ance Corporation.. subject to the following guidelines: SEC. 27. Tariff on Salt. - There shall be levied, collected, (a) The SIDCEF shall be earmarked, released, and and paid upon all imported salt a duty of nine percent (9%) implemented as follows: ad valorem. (1) Provision of machinery and equipment, including sea Tariff collections shall be credited automatically to a water pumps, salt graders, salt harvesters, dl:lID.ptrucks and special account with the National Treasury, which shall be bagging ma,chines, an,d salt iodization machines for in place within ninety (90~ days from the effectivity of this beneficiaries who are into salt iodization; fifty percent (50%); Act, for the purpose of developing the salt industry. to be 1:1tilized and implemented by BFAR; 20 21 (2) Establishment of salt farm warehouses/storage areas; (e) ~'A.nyprogram undertaken in accordance ·with this Act forty percent (40%); to be constructed and implemented by shall only be deemed complementary and supplementary to, DPWH; and shall not be a replacement of, any existing programs for the fisherfolk already implemented by the DA-BFAR and other (3) Conduct of extension services; :five percent (5%); to be agencies concerned. utilized and implemented by BFAR provincial offices; and SEC. 29. Powers of the President. - Notwithstanding (4) Development of modern salt production and processing Section 27 of this Act and consistent with the Philip-pine technology; :five percent (5%) to be utilized and implemented national interest and the objective of safeguarding local salt by NFRDI: producers and consumers, the President is hereby empowered to act with full delegated authority subject to the provisions Provided, That the beneficiaries of the SIDCEF are the salt of the Customs Modernization and Tariff Act (CMTA), in the cooperatives/associations of subsistence and small farmers following circumstances: fisherfolk: Provided, further, That the ear:markin.g percentage shall be reviewed at the end of the :6.ftb.(5th ) year following (a) The President may revise or adjust existing rates of the effectivity of this Act, ,vithout prejudice to an earlier review customs duties on salt imports consonant with the country's i:f deemed necessary, for possible revisions and upgrading based international agreements, including any necessary change in on changes in mtervention priorities: Provided, furthermore, classification applicable to their importation: Provided, That That the allocation and disbursement of funds sh.a1:lfocus on the adjustment is time-bound and that the power herein the provinces that have the .most munber of salt farms; delegated to the President shall only be exercised when Congress is not in session:: Provided, further, That any order (b) At the end of the :fifth (5th ) year from the effectivity issued by the President adjusting the applied tarifif rates shall of this Act, a mandatory review sha:11be conducted by the take effect :fifteen (15) days after publication; and CO<CAFM to determine whether SID:CEF and i,ts use as provided for under this Act sh-all 0e conti:m.iled, amended, or (l:D)fu. the event of any :im-minent or forecasted shortage, terminated. The COCAFM shall utilize the increase or decrease or such other situation requiring government intervention, the in farmers' incomes as a primary benchmark in determmi.ng President is empowered for a I:imited period andlor a specified the effectiveness of the interventions under the SIDCEF and volume, to allow the importation of salt at a lower applied its possi1Dleextension; tariff rate to address the situation. Such order shaJil take effect immediately a:ad can be issued even when C0ngress is in (c) The Secretary of the DA a:ad the BF.AR Director shall session. be accountable and responsible for the management and u,tilization of the said fund in coordination with the 0ther The power herein delegated to the President may be government agencies concerned:; withdrawn or terminated by Congress through a joint resolution. (d) The amount allocated shall be released directly to the impleme:ating agencies as provided for in this Act based on SEC. 3.0. Reporting. - The various departments and the objectives of the Salt Roadmap: Provided, That the agencies specified in this Act shall provide regl:l].ar updates to unu-tilized portion of the SIDCEF shall not revert to the the Salt Council on the progress of their programs and general fund but shall continue to be used for the purpose for activities toward the realization of the objectives of this Act. which it was set aside. The fund releases shall not be subject to any ceiling by the DBM; and 22 23 SEC. 31. Congressional Oversight. - The COCAFM shall This Act, which is a consolidation of Senate Bill No. 2243 regularly exercise its oversight powers to ensure the full and House Bill No. 8278, was passed by the Senate of implementation of this Act. the Philippines and the House of Representatives on December 6, 2023 and December 13, 2023, respectively. SEC. 32. Agencies Regular Programs. - The additional mandates, functions and activities of the various departments and agencies provided for and identified in this Act shall be considered regular programs and shall be funded accordingly in their annual budgets as particularly provided in Sections 15, 19, and 20 of this Act. REG~ Secretary General SEC. 33. Appropriations . .i The amount necessary for the House of Representatives effective implementation of this Act shall be taken from the appropriations of the BFAR. Thereafter, such amount as may be needed for the continued implementation of this Act shall be included in the annual GAA. Approved: MAR1 1 2024 SEC. 34. Separability Clause. - If any provision of this Act is declared invalid or unconstitutional, the other provisions A •a of this Act not affected by such declaration shall remain in full force and effect. SEC. 35. Repealing Clause. - Sections 3 and 5 of FERDINAND ROMU,iLDEZ MARCOS JR. - Republic Act No. 8172 are modified accordingly. All laws, Pres.fdent of the Philippines decrees, orders, rules and regulations or other issuances or parts inconsistent with the provisions of this Act are hereby 0 repealed or modified accordingly. SEC. 36. Effectiuity. - This Act shall take effect fifteen (15) days after its complete publication in the Official Gazette or in two (2) newspapers of general circulation. Approved, ~/- ma RD~ ~WBWJ Speaker of the House President of the Senate of Representatives Office of the Prc:;ident MALACANANG RECORDS OFFICE 111 _ _ I _ .111 CERTIFl~D COPY • &.aa..._.__ • a.a.aaa. • • a:.a ■ ..... ._ ....... Rl!PUBLIC OP TBB PBILIPPI!ll!S A ~-1.IJ~- ESPINO 111111111111111 IIII111111111 PBBK004-177 ..,.-Htr ~J,{ ~~~RECTOR IV