EXECUTIVE ORDER NO. 574 December 7, 1979
PROVIDING FOR THE RE-STRUCTURING OF THE ORGANIZATIONAL FRAMEWORK OF THE MINISTRY OF TRADE AND, FOR THE PURPOSE, AMENDING PRESIDENTIAL DECREE NUMBERED SEVEN HUNDRED TWENTY-ONE AND OTHER RELATED LAWS
WHEREAS, far reaching developments in the world economy have necessitated a re-emphasis by the government of its priorities in its efforts to support the growth and development of foreign and domestic trade in order to achieve the national objectives of accelerated economic growth and development;
WHEREAS, for such programs to succeed, the capabilities of the nation to expand and diversify its export markets and secure more advantageous terms and trade for its commodities and services must be more vigorously mobilized;
WHEREAS, for such programs to succeed and, in particular, to achieve a continuing favorable balance of payments the imports of the nation must be marshalled and directed according to an operational framework incorporating a clear-cut and positive character to respond for each new external economic pressure;
WHEREAS, the Ministry of Trade is the primary...
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Executive Orders
Providing for the Re-Structuring of the Organizational Framework of the Ministry of Trade And, for the Purpose, Amending Presidential Decree Numbered Seven Hundred Twenty-One and Other Related Laws
Executive Order No. 574
Summary of Executive Order No. 574
Declaration of Policy (Section 1):
- Promote and develop domestic and foreign trade through a more effective Ministry of Trade.
- Expand export and domestic trade activities.
- Provide measures to facilitate trade and minimize cost-increasing inefficiencies, disincentives, and regulatory restraints.
- Achieve national objectives of providing essential commodities, attaining favorable foreign trade balances, full employment, and accelerated industrialization.
The Ministry of Trade (Section 2):
- Primary responsibility for the development, promotion, rationalization, and regulation of domestic and foreign commerce and trade.
- Principal governmental instrumentality for policy-making, planning, programming, implementation, and inter-agency coordination for all domestic and foreign trade matters and activities.
Authority and Responsibility (Section 3):
- Responsibility and authority vested in a Minister of Trade, assisted by two Deputy Ministers.
- Minister authorized to determine and assign functional areas of responsibilities to the Deputy Ministers, limited to substantive functions and operations.
Powers and Functions (Section 4):
- Formulate and implement policies, plans, programs, and projects consistent with the declared policy and national development plans.
- Supervise and coordinate governmental activities concerning trade, including regulation, enforcement of laws, and facilitation and promotion of trade. (Section 4b)
- Design and administer a comprehensive program for export promotion, market research, training, and consultancy assistance. (Section 4c)
- Collect and disseminate market intelligence data, identify opportunities for foreign exchange savings. (Section 4d)
- Develop inter-agency cooperation and coordination for monitoring and assessing the impact on the balance of trade. (Section 4e)
- Represent the government in trade conferences, meetings, and negotiations, and discharge responsibilities related to trade aspects of treaties and agreements. (Section 4f)
- Promulgate standards, guidelines, rules, and regulations for vital commodities, products, and services. (Section 4g)
- Institute and administer an export product classification system. (Section 4h)
- Maintain a registry of exporters and importers for dissemination of trade information and statistical data. (Section 4i)
- Develop, install, and maintain a management information and performance evaluation system. (Section 4j)
- Establish a mechanism for consultation, liaison, cooperation, and assistance with business sectors and consumer groups. (Section 4k)
- Promulgate necessary rules and regulations. (Section 4l)
- Perform other functions provided by law. (Section 4m)
Organization of the Ministry (Section 5):
- Ministry proper: Office of the Minister, Planning Service, Financial and Management Service, Legal Service, and Administrative Service.
- Bureaus under the Ministry: Bureau of Export Promotion, Bureau of International Trade Relations, Bureau of Domestic Trade Promotion, Bureau of Consumer Affairs, Philippines Bureau of Products Standards, Philippines Patent Office, and Bureau of Fiber and Inspection Service.
- Agencies under administrative supervision: Metric System Board, Design Center Philippines, Accreditation Boards for Service and Repair Enterprises, and Foreign Trade Service Board.
- Attached agencies: Philippine International Trading Corporation and Philippine Shipper's Council.
Functions of the Minister (Section 6):
- Advise the President on matters related to foreign and domestic trade.
- Establish policies and standards for implementing plans and programs of the Ministry.
- Promulgate necessary rules and regulations.
- Exercise supervision and control over offices and bureaus under the Ministry, and appropriate authority over attached agencies.
- Delegate authority for the performance of any function.
- Perform other functions provided by law and Presidential instructions.
Functions of Staff Services (Section 7):
- Planning Service, Financial and Management Service, and Administrative Service functions as stated in the Integrated Reorganization Plan, except legal matters handled by the Legal Service.
Bureau of Export Promotion (Section 8):
- Assist and advise the Minister on policies and programs related to expanding established export markets and identifying new international outlets for Philippine export products.
- Supervise and control the Foreign Trade Service Corps established under Executive Order No. 540.
Bureau of International Trade Relations (Section 9):
- Assist and advise the Minister on export facilitation functions, including promulgation and enforcement of export trade regulations, registration of exporters, country and commodity research, coordination of export procedure simplification, and servicing of bilateral and multilateral trade relations.
Bureau of Consumer Affairs (Section 10):
- Advise and assist the Minister on enforcement of laws, rules, and regulations concerning domestic trade, consumer protection, prevention of trade restraints, and misleading or fraudulent schemes.
- Advise and assist the Minister on matters related to real estate brokers, retail trade, and registration of merchants, business names, and documents related to the law on bulk sales.
Bureau of Domestic Trade Promotion (Section 11):
- Advise and assist the Minister on functions relating to domestic trade promotion and development.
Philippines Bureau of Products Standards, Philippines Patent Office, and Bureau of Fiber and Inspection Service (Sections 12-14):
- Perform functions as provided under existing applicable laws.
Export Facilitation Functions (Section 15):
- Assist in simplification of procedures adopted by other ministries and agencies for regulating export activities.
- Assist in granting fiscal/financial incentives or accrediting/registering export enterprises, and facilitate processing of applications, licenses, permits, and incentives.
- Assist in clarifying and improving the regulatory framework governing importations by export industries with imported inputs.
- Assist in inducing the inflow of investment or technology transfer to export industries by coordinating with relevant government agencies.
Field Organizational Structure (Section 16):
- Within 180 days, the Minister of Trade shall effect the consolidation and integration of the Ministry's field operations, either under existing regional or field units or under ministry-wide regional offices.
- The Minister shall issue the necessary implementing order, including the abolition of existing field offices, transfer of resources and personnel, and organizational relationships between central and field offices.
Transferred Agencies (Section 17):
- Export Promotion Project in the National Economic and Development Authority shall be transferred to the Ministry.
- National Cottage Industries Development Authority (NACIDA) shall be transferred and attached to the Ministry of Industry, except for trade-related functions and programs which shall be transferred to the Ministry of Trade or appropriate agency under its supervision.
Abolished Agencies (Section 18):
- Bureau of Foreign Trade and Bureau of Domestic Trade abolished, with functions transferred to the Bureau of Export Promotion, Bureau of International Trade Relations, Bureau of Domestic Trade Promotion, and Bureau of Consumer Affairs.
- Cottage Industry Development Council and Cottage Industry Development Enterprises abolished, with functions transferred to NACIDA.
- National Cottage Industries Bank abolished, with remaining assets after liquidation transferred to NACIDA.
- Philippine Export Credit Insurance and Guarantee Corporation abolished, with functions transferred to the Philippine Export and Foreign Loan Guarantee Corporation.
Permanent Committees on Philippine Trade Agreements (Section 19):
- Permanent Committees for the implementation of Philippine Trade agreements with foreign countries to be chaired by the Minister or designee.
Personnel Matters (Section 20):
- All positions in the Ministry shall be subject to the Civil Service Law and rules of the Office of Compensation and Position Classification, except as provided by law or Presidential directives.
Contractual Services (Section 21):
- The Ministry is authorized to engage the services of experts and consultants, whether individuals or institutions, on a contractual basis and for reasonable compensation, for various purposes specified in the section.
Personnel Development (Section 22):
- The Minister may adopt a program of cross-posting and reassignment or transfer of employees within the Ministry for personnel development purposes, without prejudice to their salary and emoluments.
Separability Clause (Section 23):
- If any provision is declared unconstitutional, other provisions shall not be affected.
Repealing Clause (Section 24):
- Provisions of Presidential Decree No. 721 and other laws, rules, and regulations inconsistent with this Executive Order are repealed, amended, or modified accordingly.
- Letter of Instructions No. 786, designating a Presidential Action Officer on Trade Facilitations, is modified accordingly.
Effectivity (Section 25):
- This Executive Order shall take effect immediately.
Declaration of Policy (Section 1):
- Promote and develop domestic and foreign trade through a more effective Ministry of Trade.
- Expand export and domestic trade activities.
- Provide measures to facilitate trade and minimize cost-increasing inefficiencies, disincentives, and regulatory restraints.
- Achieve national objectives of providing essential commodities, attaining favorable foreign trade balances, full employment, and accelerated industrialization.
The Ministry of Trade (Section 2):
- Primary responsibility for the development, promotion, rationalization, and regulation of domestic and foreign commerce and trade.
- Principal governmental instrumentality for policy-making, planning, programming, implementation, and inter-agency coordination for all domestic and foreign trade matters and activities.
Authority and Responsibility (Section 3):
- Responsibility and authority vested in a Minister of Trade, assisted by two Deputy Ministers.
- Minister authorized to determine and assign functional areas of responsibilities to the Deputy Ministers, limited to substantive functions and operations.
Powers and Functions (Section 4):
- Formulate and implement policies, plans, programs, and projects consistent with the declared policy and national development plans.
- Supervise and coordinate governmental activities concerning trade, including regulation, enforcement of laws, and facilitation and promotion of trade. (Section 4b)
- Design and administer a comprehensive program for export promotion, market research, training, and consultancy assistance. (Section 4c)
- Collect and disseminate market intelligence data, identify opportunities for foreign exchange savings. (Section 4d)
- Develop inter-agency cooperation and coordination for monitoring and assessing the impact on the balance of trade. (Section 4e)
- Represent the government in trade conferences, meetings, and negotiations, and discharge responsibilities related to trade aspects of treaties and agreements. (Section 4f)
- Promulgate standards, guidelines, rules, and regulations for vital commodities, products, and services. (Section 4g)
- Institute and administer an export product classification system. (Section 4h)
- Maintain a registry of exporters and importers for dissemination of trade information and statistical data. (Section 4i)
- Develop, install, and maintain a management information and performance evaluation system. (Section 4j)
- Establish a mechanism for consultation, liaison, cooperation, and assistance with business sectors and consumer groups. (Section 4k)
- Promulgate necessary rules and regulations. (Section 4l)
- Perform other functions provided by law. (Section 4m)
Organization of the Ministry (Section 5):
- Ministry proper: Office of the Minister, Planning Service, Financial and Management Service, Legal Service, and Administrative Service.
- Bureaus under the Ministry: Bureau of Export Promotion, Bureau of International Trade Relations, Bureau of Domestic Trade Promotion, Bureau of Consumer Affairs, Philippines Bureau of Products Standards, Philippines Patent Office, and Bureau of Fiber and Inspection Service.
- Agencies under administrative supervision: Metric System Board, Design Center Philippines, Accreditation Boards for Service and Repair Enterprises, and Foreign Trade Service Board.
- Attached agencies: Philippine International Trading Corporation and Philippine Shipper's Council.
Functions of the Minister (Section 6):
- Advise the President on matters related to foreign and domestic trade.
- Establish policies and standards for implementing plans and programs of the Ministry.
- Promulgate necessary rules and regulations.
- Exercise supervision and control over offices and bureaus under the Ministry, and appropriate authority over attached agencies.
- Delegate authority for the performance of any function.
- Perform other functions provided by law and Presidential instructions.
Functions of Staff Services (Section 7):
- Planning Service, Financial and Management Service, and Administrative Service functions as stated in the Integrated Reorganization Plan, except legal matters handled by the Legal Service.
Bureau of Export Promotion (Section 8):
- Assist and advise the Minister on policies and programs related to expanding established export markets and identifying new international outlets for Philippine export products.
- Supervise and control the Foreign Trade Service Corps established under Executive Order No. 540.
Bureau of International Trade Relations (Section 9):
- Assist and advise the Minister on export facilitation functions, including promulgation and enforcement of export trade regulations, registration of exporters, country and commodity research, coordination of export procedure simplification, and servicing of bilateral and multilateral trade relations.
Bureau of Consumer Affairs (Section 10):
- Advise and assist the Minister on enforcement of laws, rules, and regulations concerning domestic trade, consumer protection, prevention of trade restraints, and misleading or fraudulent schemes.
- Advise and assist the Minister on matters related to real estate brokers, retail trade, and registration of merchants, business names, and documents related to the law on bulk sales.
Bureau of Domestic Trade Promotion (Section 11):
- Advise and assist the Minister on functions relating to domestic trade promotion and development.
Philippines Bureau of Products Standards, Philippines Patent Office, and Bureau of Fiber and Inspection Service (Sections 12-14):
- Perform functions as provided under existing applicable laws.
Export Facilitation Functions (Section 15):
- Assist in simplification of procedures adopted by other ministries and agencies for regulating export activities.
- Assist in granting fiscal/financial incentives or accrediting/registering export enterprises, and facilitate processing of applications, licenses, permits, and incentives.
- Assist in clarifying and improving the regulatory framework governing importations by export industries with imported inputs.
- Assist in inducing the inflow of investment or technology transfer to export industries by coordinating with relevant government agencies.
Field Organizational Structure (Section 16):
- Within 180 days, the Minister of Trade shall effect the consolidation and integration of the Ministry's field operations, either under existing regional or field units or under ministry-wide regional offices.
- The Minister shall issue the necessary implementing order, including the abolition of existing field offices, transfer of resources and personnel, and organizational relationships between central and field offices.
Transferred Agencies (Section 17):
- Export Promotion Project in the National Economic and Development Authority shall be transferred to the Ministry.
- National Cottage Industries Development Authority (NACIDA) shall be transferred and attached to the Ministry of Industry, except for trade-related functions and programs which shall be transferred to the Ministry of Trade or appropriate agency under its supervision.
Abolished Agencies (Section 18):
- Bureau of Foreign Trade and Bureau of Domestic Trade abolished, with functions transferred to the Bureau of Export Promotion, Bureau of International Trade Relations, Bureau of Domestic Trade Promotion, and Bureau of Consumer Affairs.
- Cottage Industry Development Council and Cottage Industry Development Enterprises abolished, with functions transferred to NACIDA.
- National Cottage Industries Bank abolished, with remaining assets after liquidation transferred to NACIDA.
- Philippine Export Credit Insurance and Guarantee Corporation abolished, with functions transferred to the Philippine Export and Foreign Loan Guarantee Corporation.
Permanent Committees on Philippine Trade Agreements (Section 19):
- Permanent Committees for the implementation of Philippine Trade agreements with foreign countries to be chaired by the Minister or designee.
Personnel Matters (Section 20):
- All positions in the Ministry shall be subject to the Civil Service Law and rules of the Office of Compensation and Position Classification, except as provided by law or Presidential directives.
Contractual Services (Section 21):
- The Ministry is authorized to engage the services of experts and consultants, whether individuals or institutions, on a contractual basis and for reasonable compensation, for various purposes specified in the section.
Personnel Development (Section 22):
- The Minister may adopt a program of cross-posting and reassignment or transfer of employees within the Ministry for personnel development purposes, without prejudice to their salary and emoluments.
Separability Clause (Section 23):
- If any provision is declared unconstitutional, other provisions shall not be affected.
Repealing Clause (Section 24):
- Provisions of Presidential Decree No. 721 and other laws, rules, and regulations inconsistent with this Executive Order are repealed, amended, or modified accordingly.
- Letter of Instructions No. 786, designating a Presidential Action Officer on Trade Facilitations, is modified accordingly.
Effectivity (Section 25):
- This Executive Order shall take effect immediately.