G/SCM/N/343/PHL  
 
17 July 2019  
(19-4758) Page: 1/2 
Committee on Subsidies and Countervailing Measures  Original: English  
 
 SUBSIDIES  
NEW AND FULL NOTIFIC ATION PURSUANT TO AR TICLE XVI:1 OF  
THE GATT 1994 AND AR TICLE 25 OF THE AGRE EMENT ON  
SUBSIDIES AND COUNTE RVAILING MEASURES  
PHILIPPINES  
The following communication, dated 16 July 2019, is being circulated at the request of the delegation 
of the Philippines.  
 
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Pursuant to Article XVI:1 of the GATT 1994, and Article 25 of the Agreement on Subsidies and 
Countervailing Measures (ASCM), please find herewith the Ph ilippines’ subsidies programmes 
granted or maintained on Fisheries Sector . This notification is also to fulfil the commitment made 
under paragraph 2 of the Ministerial Decision of 13 December 2017, adopted at the Buenos Aires 
Ministerial Conference (WT/MIN (17)/64).  
 
As provided under Article 25.7 of the ASCM, this notification does not prejudge the legal status, 
effects or nature of the notified programs or measures under GATT 1994 and the ASCM.  
 
TABLE OF CONTENTS  
1   SUPPORT TO COMME RCIAL FISHERIES (SEC TION 35 OF RA 8550)  ............................  1 
2   REGIONAL FISH PO RTS ................................ ................................ ..............................  2 
3   ICE PLANTS AND C OLD STORAGES (IPCS) PD 977 AS AMENDED BY  EO 772  ...............  2 
 
1  SUPPORT TO COMMERCIA L FISHERIES (SECTION  35 OF RA 8550)  
New incentives for the improvement of fishing vessels and acquisition of fishing equipment which 
include:  (i) a limited period of t ax and duty exemptions on the importation of fishing vessels as 
provided in Section 35, paragraph b ;  and (ii) duty and tax rebates on fuel consumption for 
commercial fishing operators of Philippine registry in the high seas as provided in  Section 35, 
paragraph c  were not implemented by the Department of Agriculture since funds were not 
appropriated to the Department for the afore -mentioned purpose.  
 
Exemption from payment of tariff and duties for importation of all types of agriculture and fisheries 
inputs, equipment and machinery of all enterprises duly certified by the Department of Agriculture 
as provided in Executive Order 376  dated October 22, 2004 were granted from 2005 to 2015 through 
the Department of Finance (DOF) and the Board of Investment (BOI) .  
 
Purpose of the Incentive : 
 
To encourage commercial fishing vessel operators to fish farther in the Exclusive Economic Zone and 
beyond.  G/SCM/N/343/PHL  
 
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Background and authority of the Subsidy:   
 
Section 104 of the Tariff and Custom s Code  
 
Legislation under which it is  granted :  
 
RA 8550 as amended by RA 10654; RA 8435  
 
Form of Subsidy : 
 
Tax and duty exemption  
 
To whom and how the subsidy is provided :  
 
Commercial fishing operators, agriculture and fisheries enterprises  
 
Subsidy per unit : 
 
Not available  
 
Duration of the  Subsidy : 
 
2005-2015 
 
Statistical data :   
 
Not available  
 
2  REGIONAL FISH PORTS  
The establishment of fish ports as provided in PD 977 (creation of PFDA) as amended by EO 772 is 
not a form of subsidy. It is the policy of the government to promote the development of the fishing 
industry and improve efficiency in the handling, preserving, marketing and distribution of fish and 
fishery products, reducing post -harvest losses and waste through the establishment and operation 
of fish markets and the efficien t operation of fishing ports’ harbor and other marketing facilities 
(Section 1 PD977).  
 
3  ICE PLANTS AND COLD STORAGES (IPCS) PD 9 77 AS AMENDED BY EO 772 
The establishment of ice plants and cold storage which is a mandate of the Philippine Fisheries 
Developm ent Authority (PFDA) is not a form of subsidy. It forms part of the various fishery post -
harvest infrastructure that the PFDA is mandated to acquire, maintain, and operate to implement 
the policy as provided in Section 1 of PD 977 as amended by EO 772.  
 
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