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Presidential Decrees

Creating The Philippine Shippers' Council

Presidential Decree No. 165

MALACAÑANG
M a n i l a

PRESIDENTIAL DECREE No. 165 March 31, 1973

CREATING THE PHILIPPINE SHIPPERS' COUNCIL

WHEREAS, the pressing need for economic growth requires that Philippine exports be more competitive in the world markets and that the cost of imports and domestic production and consumer prices be rationalized;

WHEREAS, the objectives can be obtained faster by facilitating the movement of goods to, from and within the Philippines at reasonable and stable freight rates and other terms of shipment; and

WHEREAS, it is necessary to organize the Philippine shippers into a cohesive group to enable them to promote and protect their common interest and the economy and to negotiate with foreign shipping interests from position of strength for reasonable freight rates and optimum shipping terms;

NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the Philippines, by virtue of the powers in me vested by the Constitution as Commander-in-Chief of all the Armed Forces of the Philippines, and pursuant to Proclamation No. 1081, dated September 21, 1972, and General...

Summary of Presidential Decree No. 165 (Philippine Shippers' Council Decree of 1973)

• Statement of Policy and Creation of Philippine Shippers' Council (Section 2)
- Facilitate development and growth of Philippine foreign trade and national economy by enhancing interests of Philippine shippers.
- Creation of a non-stock corporation called the Philippine Shippers' Council.
- Composed of enterprises engaged in exporting commodities, except firms with efficient chartering operations which have the option to join.

• Purposes and Powers of the Council (Section 3)
- Promote and protect common interests of Philippine exporters, importers, and commercial users of water transport. (Section 3a)
- Conduct consultations and negotiations with shipping companies, associations, government authorities, etc. to secure appropriate vessels, reasonable rates, and favorable shipping terms. (Section 3b)
- Facilitate consultations, mediate and/or arbitrate disputes between members and non-members. (Section 3c)
- Serve as a clearing house of information on shipping services and other matters of interest to Philippine shippers. (Section 3d)
- Bring attention to laws, policies, rules, and practices that hamper trade and commerce, and recommend appropriate legislation and remedial measures. (Section 3e)
- Maintain relationships and enter into arrangements with shippers' councils and related organizations in other countries. (Section 3f)
- Exercise general corporate powers and do all things necessary for accomplishing objectives. (Section 3g)
- Attend, participate and/or present views in meetings concerning national shipping policies, government assistance, reasonable freight rates, and favorable tariff and customs treatment. (Section 3h)

• Governing Board (Section 4)
- Governed by a Board of Directors consisting of 15 members.
- 8 members appointed by the President from nominees of major commodity groups.
- 7 members elected by the Council members.
- Term of office is 3 years, with possibility of re-appointment or re-election.
- Board to prescribe guidelines and rules for members, promote ethical conduct, and provide effective management. (Section 4a)
- Board to approve annual and supplemental budgets. (Section 4b)

• Sources of Funds (Section 5)
- Members to pay fees, dues, and other contributions determined by the Board.
- Appropriation of 250,000 pesos annually for 2 years from the National Government as counterpart contribution.

• Assistance from Financial and Other Agencies (Section 6)
- Central Bank of the Philippines, Development Bank of the Philippines, Philippine National Bank, Philippine Export Credit Insurance and Guarantee Corporation, Board of Investments, Bureau of Customs, Philippine Coast Guard, and other government offices and private financial institutions to extend necessary assistance to the Council and its members.
- During the first 2 years, the Council to be attached to the Department of Trade and Tourism for direction, supervision, and coordination of government assistance.

• Council Secretariat (Section 7)
- The Council to have a secretariat headed by an Executive Secretary appointed by the Board for a term of 6 years.

• Implementing Rules (Section 8)
- The Secretary of Trade and Tourism to promulgate necessary rules and regulations to implement the Decree.

• Repealing Clause (Section 9)
- All provisions of existing laws, orders, and rules contrary to or inconsistent with the Decree are repealed or modified accordingly.

• Effectivity (Section 10)
- The Decree takes effect immediately.

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