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SENATE OF THE PHILIPPINES 
SIXTEENTH CONGRESS 
First Regular Session 
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) 
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SENATE 
Senate Bill No. 2082 
..st'I1~tr 
(Off.~r lIf 1I1.,fo""br~ 
'14 
JAN 22 P 3 56 
Introduced by SENATOR JOSEPH VICTOR G. EJERCITO 
EXPLANATORY NOTE 
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The Philippines is primarily an agricultural country, with vast resources 
for rice cultivation - the people's staple food. 
During the past years 
however, the country has experienced an alarming rice shortage and we 
were left with no choice but to import rice from other countries. 
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The government is gearing towards the direction of solving the prevailing 
crisis involving the supply, production and price of rice. Notwithstanding 
these efforts, the problem was aggravated by the proliferation of 
unscrupulous rice traders and dealers who are illegally importing rice to 
, the detrimen~ of our economy. 
Rampant smuggling has been a lingering issue in the Philippines. It is 
costing the government billions of pesos in unpaid duties and taxes and 
also killing the local producers. More so, approximately two-thirds of the 
country's population is dependent on agricultural industry such that any 
event of smuggling is tantamount to stealing our people's livelihood. 
This bill seeks to' address the growing and unresolved cases of rice 
s'muggling in the country by defining the crim~ as economic sabotage due 
~:~op'::,~~al off"t, on th, nati:na1 ;0 
:~nOmic gmwth =d 
JOSEPH VICTOR G. EJERCITO 


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SENATE OF THE PHILIPPINES 
SIXTEENTH CONGRESS 
First Regular Session 
) 
) 
) 
SENATE 
Senate Bill No. 
'senllh' 
let"; •• 1 t~. ~m 
.b,~ 
'14 
JAN Z2 P 3 :56 
2082 
Introduced by SENATOR JOSEPH VICTOR G .. EJERCITO 
. AN ACT DECLARING RICE SMUGGLING AS ACT OF ECONOMIC 
SABOTAGE, PRESCRIBING PENALTIES THEREFOR AND FOR OTHER 
PURPOSES 
Be it enacted by the Senate and the House of Representatives of the 
Philippines in Congress assembled: 
SECTION 1. Short Title. - This Act shall be known as the "Anti-Rice 
Smuggling Act of 2014" 
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SECTION 2. Declaration of Policy. - It shall be the policy of the 
State to curb all forms of economic sabotage that are inimical to the 
country's economic growth and development. 
The State therefore, 
declares that any form of rice smuggling is prejudicial to national interest 
and derails economic growth and development. 
SECTION 2. Definition of Terms - As used in this Act, the term: 
. ,,(1) "Economic Sabotage" is any act or activity which undermines, 
weakens or renders into disrepute the economic system or viability of the 
country or tends to bring about such effects and shall include, inter alia, 


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price manipulation to the prejudice of the public especially in the sale of 
basic necessities and prime commodities. 
(2) "Smuggling" also known as direct or outright smuggling, refers 
to the act of importing or bringing into or assisting in importing or 
bringing into the Philippines, any article, good or product without the 
corresponding documents, permits or licenses when these are required 
by existing laws, order, rules and regulations including the receipt, 
concealment, purchase or sale or in any manner facilitating the 
transportation, concealment, or sale of such article, after importation, 
knowing the same to have been imported contrary to law. 
(3)"Technical 
Smuggling" 
p~rtains 
to 
misdeclaration, 
misclassification or undervaluation of imported goods or products in 
violation of the Tariff and Customs Code of the Philippines and other 
related laws. 
SECTION 3. Definition of the Crime of Rice Smuggling. -
Any 
person who shall import or bring into the Philippines staple grain-rice 
without the required import permit from the implementing agency, or any 
person who shall import staple grain-rice by means of fraud or by 
illegally obtaining the required import permit shall be guilty of the crime 
of rice smuggling, including those acts which are within the purview of 
technical smuggling. 
SECTION 4. Rice Smuggling as Act of Economic Sabotage. - The 
acts of rice smuggling, including technical smuggling thereof are acts 
inimical to national interest, ecoriomic growth and development. 
Any 
person regardless of nationality or citizenship found guilty of engaging in 
rice smuggling or technical smuggling thereof of a minimum aggregate 
amount of One Million Pesos (Php 1,000,000.00) worth of rice as valued 
by the, Bureau of Customs utilizing methods of value verification such as 
but not limited to Revision Orders and/or appropriate agencies and 
entities identified, accredited or certified by the Bureau of Customs, shall 
be gui!ty of economic sabotage. 
SECTION 5. Penalties .. -
Any person, natural or juridical, 
regardless of nationality or citizenship, found guilty of engaging in 
s'muggling or technical smuggling of a minimum aggregate amount of 
One Million Pesos (Php 1,000,000.00) worth of rice shall suffer the 
following penalties: 
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a. Fine equal to twice the fair value of the smuggled articles; 
b. Fine equal to the aggregate amount of the taxes, duties and 
other charges avo~ded; 
c. Imprisonment of a minimum of eight (8) years and one (1) day 
up to life imprisonment; and 
d. Confiscation of the smuggled articles . 
When the offender is a juridical person, criminal liability shall 
attach to its president, chief operating officer or manager. In addition, 
the business permits and licenses of the business entity shall be revoked 
or cancelled. 
The broker of violating importers shall likewise be liable and shall 
be charged as principal. 
When the offender is a government official or employee acting in 
,connivance with private individuals or entities or other government 
officials or employees, he shall be imposed the same penalty as the 
principal offender. In addition, he shall be disqualified from holding any 
public office, whether by election or appointment. 
SECTION 6 . .Implementing Rules and Regulations. - The Bureau of 
Customs in coordination with the C].ppropriate agencies shall promulgate 
the implementing rules and regulations of this Act within thirty (30) days 
after its effectivity. 
SE;CTION 7. Prescription of Grimes. -
The crime punishable under 
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this A,ct shall prescribe in twenty (20) years. 
SECTION 8. Separability Clause. -: The provisions of this Act are 
hereby declared to be separable from, and independent of, one another 
and that should one or more of such provisions be declared 
unconstitutional, the validity of the remaining provisions shall not be 
affected thereby. 
SECTION 9. Repealing' Clnuse. -
All laws, decrees, executive 
issuances, rules and regulations inconsistent with this Act are hereby 
repealed and / or modified accordingly . 


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SECTION 10. Effectivity Clause. 
immediately upon its approval. 
Approved, 
This Act shall take effect