Amending Presidential Decree Number Four, Entitled "Proclaiming The Creation of The National Grains Industry Development Administration and Providing Funds Therefor"

MALACAÑANG
M a n i l a

PRESIDENTIAL DECREE No. 699

AMENDING PRESIDENTIAL DECREE NUMBER FOUR, ENTITLED "PROCLAIMING THE CREATION OF THE NATIONAL GRAINS INDUSTRY DEVELOPMENT ADMINISTRATION AND PROVIDING FUNDS THEREFOR"

WHEREAS, it is the declared policy of the state to promote the integrated growth and development of the grains industry so as to provide adequate and continuous food supply to the nation and contribute to the national economy;

WHEREAS, to carry out and implement the foregoing policy, Presidential Decree No. 4 was promulgated creating the National Grains Industry Development Administration, otherwise known as the National Grains Authority, hereafter referred to as the Authority;

WHEREAS, despite the various measure adopted to attain self-sufficiency in rice, corn and other grains, it appears that the private sector is somewhat lukewarm or slow to engage in the production of such grains, especially so in the light of the problems and difficulties arising from the large-scale production of such grains and the development of virgin and undeveloped lands;

WHEREAS, the government spends a big sum of money...

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Summary of Presidential Decree No. 699

Amending Presidential Decree No. 4 on the National Grains Industry Development Administration

I. Expanded Powers and Functions of the National Grains Authority
- Perform functions necessary for grains production, processing, handling, storage, and transport facilities. (Section 1)
- Own, lease, operate buildings, equipment, and immovable properties for carrying out functions. (Section 2)

II. Authority to Contract Indebtedness
- Authorize the Authority to contract indebtedness by issuing bonds, loan agreements, or other evidences of indebtedness. (Section 3)
- Domestic Indebtedness:
    - Terms and conditions for bonds/evidences of indebtedness. (Section 3)
    - Exemption from taxes and eligible for investment by public and private entities. (Section 3)
    - Establishment of a sinking fund under the custody of the Central Bank. (Section 3)
    - Guarantee of payment by the Republic of the Philippines. (Section 3)
- Foreign Indebtedness:
    - Authorized to contract up to $500 million from foreign governments or institutions. (Section 3)
    - Exemption from taxes, fees, and import restrictions. (Section 3)
    - Guarantee of repayment by the Republic of the Philippines. (Section 3)

III. Additional Powers of the Authority
- Purchase, lease, or acquire lands for grains cultivation and production. (Section 3)
- Engage technical services and make advance payments for land development. (Section 3)
- Sell, lease, mortgage, pledge, or dispose of the Authority's property and assets. (Section 3)
- Adopt a corporate seal, sue and be sued, and perform necessary acts. (Section 3)
- Initial fund of P10 million set aside for immediate implementation. (Section 3)

IV. Repealing Clause and Effectivity
- Inconsistent provisions of Presidential Decree No. 4 and other laws are repealed or modified. (Section 4)
- The Decree takes effect immediately. (Section 5)