Republic of the Philippines
HOUSE 0F REPRESENTATIVES
Quezon City, Metro Manila
NINETEENTH CONGRESS
Second Riegular Session
ri;useBiiiNo.      9044
INTRODUCED BY REPRESENTATIVES RALPH WENDEL P. TULFO,
]OCELYN P. TULFO, ERWIN T. TULFO, EDVIC G. YAP, AND ERIC G0 YAP
AN ACT MANDATING THE FORMULATION, FINANCING,
IMPLEMENTATI0N, MONITORING, AND EVALUATION OF A
COMPREHENSIVE AND MULTI-YEAR ``TATAK PINOY" (PROUDLY
FILIPINO) STRATEGY, ESTABLISHING A TATAK PINOY COUNCIL, AND
APPROPRIATING FUNDS THEREFOR
EXPLANATORY NOTE
The  International  Monetary  Fund  asserts  that  integration  into  the  global
economy serves as a potent catalyst for fostering economic growth,  development
progress,  and  poverty  alleviation,  particularly  within  the  context  of  developing
countries.   Notably,   certain   Asian   developing   countries-such   as   Korea   and
Singapore, which were economically disadvantaged until the 1970s -have achieved
remarkable success by actively engaging in international trade, thereby attracting
significant foreign direct investments. In contrast, the Philippines confronts persistent
structural obstacles that impede its substantial participation in global trade.
Addressing  these  barriers  that  hinder  sustained  economic  advancement
requires the formulation of a strategic policy aimed at establishing open trade and
investment  channels  between  the  Philippine  economy  and  the  global  market.
Enabling  our  economy  to  seamlessly  integrate  with  the  global  economy  would
facilitate the cultivation of competitive edges in the production of specialized and
advanced  products,  commodities,  and  services.  This  approach would  engender a
surge in job opportunities for unskilled laborers, elevating them to the middle-income
bracket   and   commensurately   enhancing  the   income   prospects   of  the   wider
population. Nonetheless, the comprehensive development of the national economy
necessitates collaborative efforts from both the private and public sectors, with a focus
on   industrializing   and   harnessing   the   nation's   skills   and   productivity   to
comprehensively fortify its intricate production and economic undertakings.
This proposed measure seeks to devise a multi-year and multi-faceted strategy
known as the ``Tatak Pinoy Strategy (TPS)'', designed to amplify the capabilities of


local enterprises, encompassing micro-, small- and medium-sized business, to offer
products and services that can effectively compete on a global scale. This strategy
mandates active involvement from both the pubhic and private sectors to spearhead a
comprehensive  approach towards  enhancing the  diversification, competence,  and
long-term viability of local enterprises. It also endeavors to establish a Tatak Pinoy
Council tasked with developing the TIS, covering plans and programs revolving
around human resources, infrastructure, technology and innovation, investments, as
well as pubHc fiscal management and government procurement.
By bolstering and broadening the spectrum of sophisticated Philippine goods
and services, the ultimate goal is to cultivate a distinctly world-renowned Fhipino
brand - one that evokes pride on the global stage.
In view of the foregoing, the urgent passing Of this bill is
RALPH
:i.::;.-,-:i:i;:
EL P. TULFO
tative
2nd District Of Quezon Crty
ACT-GIS Partylist
Rjepresentative
Lone District of Benguet
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Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City, Metro Manila
NINETEENTH CONGRESS
Second RI3gular Session
*'`frouse Bill No.   9044
1                INTRODUCED BY REPRESENTATIVES RALPH WENDEL P. TULFO,
2          TOCELYN P. TULFO, ERWIN T. TULFO, EDVIC G. YAP, AND ERIC GO YAP
3                       AN ACT MANDATING THE FORMULATION, FINANCING,
4                   IMPLEMENTATI0N, MONITORING, AND EVALUATION OF A
5               COMPREHENSIVE AND MULTI-YEAR ``TATAK PINOY" (PROUDLY
6          FILIPINO) STRATEGY, ESTABLISHING A TATAK PINOY COUNCIL, AND
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APPROPRIATING FUNDS THEREFOR
Be it enacted by the Senate and the House of Rapresentatives Of the Phiitppines in Congress
assembled:
12           SECTION 1. Shorf H.fze. -This Act shall be known as the ``Tatak pinoy (Proudly
13      Filipino) Act".
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15           SEC. 2. DccJ¢rflfj.o#  a/ PoZ..q/.  -It is hereby declared the policy  of the state to
16      encourage,  support,  and  promote the  production and  offering of Philippine-made
17      products, goods, and services of increasing diversity, sophistication, and quality by
18      local enterprises that are globally competitive. Pursuant to Article XII, Section 1 of the
19      1987   Constitution   emphasizing   the   promotion   of   ``industrialization   and   full
20     employment based on sound agricultural development and agrarian reform, through
21      industries that make full and efficient use of human and natural resources, and which
22      are competitive in both domestic and foreign markets," the State hereby adopts the
23      followingpolicies:
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25           (a) In collaboration with the private sector, the state shall endeavor to transform the
26                Philippine economy to such a degree that local enterprises produce and offer
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more sophisticated products, goods, and services that are not ubiquitous, widely
manufactured, or commonly available across the world;
Q) The  State   shall   encourage   the  continuous   improvement,   expansion,   and
diversification  of  the  productive  capabilities  of  local  enterprises  and  their
linkages with domestic, regional, and global value chains;
(c) The State shall ensure that its initiatives to support local enterprises are market-
driven or are in anticipation of future market demand;
(d) The  State  shall  identify  business  sectors,  market  segments,  and  product
opportunities for local enterprises to target and gain comparative advantage.
Towards  this  end,  the  State  shall  employ  scientifically  rigorous  methods
including, but not limited to, analysis of the country's product space, and of
rankings in economic complexity indices;
(e) To elicit pride for Philippine-made products, goods, and services, the State shall
encourage and promote the skill, ingenuity, creativity, and innovativeness of
Filipino workers, craftsmen, laborers, and professionals;
(f)  The State shall support local enterprises through its regular functions, such as,
but   not   limited   to,   the   procurement   of   products,   goods,   and   services
manufactured or offered by local stakeholders. Toward this end, all government
agencies  and  instrumentalities  shall formulate metrics  on how,  within their
respective spheres, they can help support Philippine-made products, goods, and
services;
(g) The State recognizes the complementary roles of the public and private sector,
includingtheacademeandcivflsociety,ingeneratinghigh-payingjobs,pursuing
economic  development,  and  cocreating  solutions  to  the  country's  biggest
challenges. As such, the State shall actively seek out close partnerships with the
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private  sector,  and  endeavor  to  jointly  develop,  finance,  implement,  and
continuously improve a nationwide strategy for supporting local enterprises;
th) The State recognizes the crucial role scientific and technological innovation plays
in economic growth and development. As such, the State shall inplement plans,
programs,  and  projects  that  continuously  improve  the  country's  education
system;  ensure  better  technology  transfer  among  firms,  the  academe,  and
government institutions;  and  encourage  the  generation and  sharing  of new
scientific  and  technological  knowledge  through  research  and  development
(R&D); and
(i)  In pursuit of inclusive economic growth and development, the State shall ensure
that public expenditures to support local enterprises are equitably spread across
the  country,  particularly  among fourth,  fifth,  and  sixth  class  provinces  and
municipalities, and directed to disadvantaged sectors such as, but not limited to,
the urban poor, subsistence farmers and fisherfolk, indigenous communities and
micro-, small and medium-sized enterprises (MSMEs).
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21           SEC. 3. Dcfl.#{.ft.o# a/ Tari.s. -For the purposes of this Act, the following terms shall
22      beapplicable:
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24           (a) £coworm{.c  compJext.fy  refers  to  the  economic  measurement which  is  calculated
25                based on the diversity of products, goods, and services a country produces and
26                their ubiquity, or the number of the countries able to produce them (and those
27                 countries' complexity);
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29           a) J"/#"f I.7td"sfrries  refer  to  industries  that are  in their  early  stages,  where they
30                experience relative difficulty in competing with established competitors abroad
31                and/or are less productive than global benchmarks or best practices;
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(c)  Prodwcf sp¢ce  refers to a type  of visualization that depicts the connectedness
between products based on the similarities Of the know-how required to produce
them.  The  product  space  visualizes  the  paths  that  countries  can  diversify.
Products are linked by their proximrty to each other, based on the probability of
co€xport of both of the two products;
(d) SapJit.sf±.coked refers to the state when a product, good, or service requires a high
level   of   technology,   human   capital,   competencies   or   know-how,   and
infrastructure to be produced or offered;
(e)  Sapfei.sir.cofro# refers to the level of technology, human capital, competencies or
know-how, and infrastmcture required for a product or service to be offered by
an economy like that of the Philippines;
®  Sfrotcfu7iflz  TrflHs¢777z¢fro7i  refers  to  the  prcx:ess  in  which  the  composition  and
distribution of activities within an economy, as measured by such factors as
output, employment, and trade, changes and shifts from low-productivity to
high-productivity; and
(g) Tcch7toJogy  Trtz7zs¢r  refers  to  the  process  by  which  one  party  systematically
transfers to another party the knowledge for the manufacture of a product, the
applicationofaproress,orrenderingofaservice,whichmayinvolvethetransfer,
assignment, or licensing of Intellectual Property RIghts (IPR).
SEC. 4. T¢tok Pt.#ogr Str#feg]/. - To achieve the otyectives of this Act, a Tatak Pinoy
26     Strategy (Trs) shall be formulated, financed, implemented, monitored, evaluated, and
27      continuously improved upon by the Tatak pinoy council, hereinafter referred to as ``the
28      Council'', as prescribed by section 10 of this Act. The Trs shall outline the plan for the
29      country  to  incrementally  and  systematically  expand  and  diversify  the  productive
30      capabilities of local enterprises, and empower them to produce and offer increasingly
31      diverse and sophisticated products, goods, and services, and compete in the global
3 2    -ket.
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2            (a) Detje!ap7'r'2eHf fl7td cbue7iflge. -The development of the Trs shall coincide with that
3                of the philippine Development plan a?DP) at the beginning of every presidential
4                administration. The Trs shall cover a period of at least six (6) years and shall
5                provide for mid-term updates every three (3) years.
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7           Qj) Identif ication of National priorities and strategiv Goals. -As part of the devehop"eul
8                of the TPS, the country's national priorities and strategic goals shall be identified
9                and consolidated through a consultative process that substantially involves both
10                 the public and private sectors.
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12            (c)  T¢rgrf  Sccfor/s  ¢7tdy/or  fcor[omt.c Acfi.t#.dos.  -The  Trs  shall  list  sectors  and/or
13                economic activities, including but not limited to, creative industries as defined by
14                 Republic Act No.11904, otherwise known as the ``Philippine creative Industries
15                 Development Act''.  The list shall include targets for the short-term (3 years),
16                medium-term (6 to 9 years), and long-term (12 years and beyond).
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18           SEC. 5. Pz.Jhars a/ the T¢tok pz.#oy sfr»feg!/. -The Trs shall include plans and
19      programs, and shall be organized according to the following pillars: (1) manpower, (2)
20      infrastructure;  (3) technology and innovation;  (4)  investments; and  (5)  public fiscal
21      management and government procurement.
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23          The council may establish technical clusters and working groups under each pillar
24      to formulate otyectives and targets, conduct the necessary stakeholder consultations,
25      and ensure proper implementation of the TPS. Under each pillar, the Trs shall identify
26      relevant public-private  initiatives  and the  government support or assistance to be
27      provided per targeted sector or economic activity. Each cluster shall be headed by a
28      government agency, as determined by the council, and include relevant private sector
29      representatives.
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(a) Md7ipouJer   -The   Department   of   Labor   and   Employment   (DOLE),   in
coordination  with  the  Council,  the  Department  of  Education  (DepEd),  the
Commission on Higher Education (CHED), and the Technical Education and
Skills Development Authority (TESDA), shall develop a National Upskilling
and Manpower Competitiveness Agenda; ProzJz.did, That said Agenda shall be a
roadmap for ensuring that there is adequate and skilled manpower to realize
the national priorities and strategic goals and support the target sectors and
economic activities identified in the TPS; Prcyz)I.did,¢rfker, That the Agenda shall
include   different  modalities  for  training,  skflls   development,   upskilling,
reskilling, and lifelong learning to be implemented by both public and private
stakeholders;
@) frof#sfrotcfure - The Department of Public Works and Highways (DPWH), in
coordination with the Council and other relevant government instrumentalities
such as, but not limited to, the Department of Budget and Management (DBM),
the  Department  of  Finance  (DOF),  the  Department  of  Information  and
Communications   Technology   (DICT),   the   Department   of  Transportation
(DOTr), the Department of Trade and Industry (DTI), the Department of Energy
(DOE), the Department of Agriculture (DA), the Department of Health (DOH),
the Department of Tourism (DOT), the DepEd, and the Department of National
Defense  (DND),  shall  lead  in  the  formulation  of  a  National  Infrastructure
Development Strategy (NIDS): P7ioz7{ded, That the NIDS shall provide the basis
for  coordinating,  integrating,  and  accelerating  infrastructure  development
across  the  country  to fulfill  the  national  priorities  and  strategic  goals  and
support the target sectors and economic activities identified in the Tlrs;
(c)  Tech„ozog]/ fl7td J7t"otJ¢tr.o7€ - The Department of Science and Technology (DOST)
and its attached agencies, in coordination with the Council and other relevant
governmentinstrumentalitiessuchasbutnotlilnitedtotheNationallrmovation
Council  (NIC),  the  DND,  the  Armed  Forces  of  the  Philippines  (AFP),  the
Philippine Space Agency (PhilsA), the CHED, state universities and colleges
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(SUCs), and private universities with reputable track record in scientific and
technological  research,  shall  ensure  that  the  Trs  is  harmonized  with  the
National Innovation Agenda and Strategy Document (NIASD), in accordance
with Republic Act No. 11293, otherwise known as the ``Philippine Innovation
Act,,;
(d) J7iuesfroe7[£s  -The  DTI,  in  coordination  with  the  Council  and  Investment
Promotion  Agencies,  shall  formulate  a  Tatak  Pinoy  Strategic  Investment
Priority Plan, which shall at the minimum identify sectors and/ or activities and
set investment targets that will enable Philippine industries to transition to the
production of diversified and sophisticated goods and services, whether for
domestic or foreign consumption. For this purpose, existing industry roadmaps
may be used as reference. The DTI, through the Board of Investments, shall
ensure  that the identified  sectors and/or activities shall be included  in the
Strategic Investment Priority Plan (SIPP);
(e) Public Fiscal Managenent and Govern:I'I'ient Procedure - The Devehoprner\t Budget
Coordination Committee (DBCC) shall ensure that programs and projects that
result in the enhancement of the capabilities of local enterprises to produce and
offer increasingly sophisticated products, goods, and services shall be included
in the expenditure priorities and the national government fiscal program.
In   government   procurement   activities,   preference   shall   be   given   to
domestically-produced  and  -manufactured  goods,  supplies,  and  materials
which meet the specified or desired quality; Prot„.did, That in order to claim
preference, the DTI shall certify that such goods, supplies, and materials are
grown, produced, or manufactured in the Philippines; Prowl.did, rtyrfher, That
domestic   preference  shall  be  applied   in  a  manner  consistent  with  the
Philippines' obligations under international agreements.
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1           SEC. 6. T¢tok pc.#ogr cow#c..J. -The council shall be led by a tripartite partnership
2      between the Director General of the NEDA, as the chairperson, and the secretary of
3     Trade and Industry  and the Secretary  of Finance, both as Vice{hairpersons. The
4      Secretaries  of  Agriculture,  Budget  and  Management,  Education,  Information  and
5      Communications Technology, Labor and Employment, Public works and Highways,
6      Science and Technology, Tourism, the Director General of the TESDA, the chairperson
7      of the CHED, and two (2) private sector representatives will also serve as members:
8      Pro".did, That the respective heads of agencies may designate their representatives
9      whose rank shall not be less than an undersecretary: Provt.did, rfurfher, That the private
10      sector representatives shall be appointed by the president of the philippines for a term
11      of three (3) years, and may be reappointed only once from the nominees submitted by
12      reputable business groups, academic institutions, or associations: Pror7z.did, fi7tflzky, That
13      the President shall have the power to reconstitute the public sector members of the
14      Council in order to fully achieve the objectives of this Act.
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16          The council shall serve as the poliey and advisory body to the pbesident and shall,
17      by adopting a whole-of-government approach, formulate policies and programs that
18      will diversify the productive capabilities of local enterprises and increase the country's
19      economic complexity. Towards this end, the councill shall have the following powers
20      and functions:
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22          (a) Formulate the multi-year TPS, in accordance with sections 4 and 5 of this Act;
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24          ®) Ensure timely compliance of agencies with the planning call, as described in
25                 Section 7 of this Act;
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27           (c) Coordinate with National Government Agencies (NGAs) and local government
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units qGUs) to ensure that their respective development plans, policies, and
programs,   are   harmonized   towards   promoting   the   diversification   and
sophistication of Philippine-made products, goods, and services offered by local
enterprises, whether exported or consumed locally;
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(d) Ensure that plans under the TPS are fully implemented in accordance with the
otyectives of this Act;
(e) Audit existing policies, programs, and projects of government and require the
implementing agencies to submit reports on industry performance and provide
policy recommendations to address industry gaps and other challenges;
(D  Monitor,   evaluate,   and   periodically  review  and   assess  the  Trs  and  its
inplementation thereof;
(g) Recommend policies and processes, including re€ngineering of systems and
procedures, in order to attain diversification and sophistication of Philippine-
made products, goods, and services;
th) Propose legislation or amendments to Philippine laws and regulations related to
industry development and promotion of the sophistication and diversification of
Philippine-made products, goods, and services;
(i)  Provide technical assistance and advisory opinions in the review of proposed
national or local legislation, regulations, or procedures; and
0)  Perfomi such other functions as may be necessary, or as may be directed by the
President of the Philippines, to attain the objectives of this Act.
SEC. 7. PJfl[""i.#g C¢ZZ. - The Council shall issue in a timely manner a Planning Call
27      for the Trs to government agencies and relevant private sector stakeholders. Such
28     Planning call shall include the standards and guidelines for preparing the Trs. The
29      Planning   Call   shall   commence   parallel   to   the   formulation   of   the   Philippine
30      Development plan by the NEDA. NGAs shall submit to the council their respective
31      plans and programs and report relevant issues and implementation gaps.
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1           SEC.  8.  H¢r7„o#..z¢tr.o#  a/ Phaus.  -The  Council  shall  direct  the  government's
2      planning cycle to ensure the harmonization and coherence of national, sectoral, and
3      spatial  plans  and  programs by  prescribing standards,  guidelines,  compliance,  and
4      accountability mechanisms. The council sham also review and approve the short-term,
5      medium-term,  and  long-term  development  plans  submitted  by  the  agencies  as
6      stipulated in section 7 of this Act, in order to recommend appropriate action.
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8           SEC.  9. Awfo"¢tr.c Rct7i.eco ¢#d  Llpdrfe.  -The  NEDA,  in coordination with the
9      Council, shall perform an annual review of the implementation of the Trs as provided
10      under this  Act,  in accordance with the monitoring and evaluation of policies and
11      guidelines of the agency. To ensure responsiveness to market conditions, the TPs shall
12      be sutryect to amendment or revision every three (3) years, unless there are supervening
13      events that require an earlier amendment or modification.
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15           SEC.  10.  Raporforz.¢J  Reqz/a+eovc#f.  -  All  departments,  agencies,  government,
16      instrumentalities, and LGUs mandated to implement the Trs shall submit a quarterly
17      report to the council. Such reports shall then be collated by the NEDA acting as Tatak
18     Pinoy council secretariat, and then submitted to the office of the president, the senate
19      Iiresident, the Speaker of the House of Representatives, and the Chairpersons of the
20      Senate Committees on Finance and Trade and Industry and House Committees on
21      Appropriations and Trade and Industry.
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23           SEC.11. TccJI#..caz ¢#d sec#ctHH.¢f s#pporf. -The NEDA is hereby designated to
24      provide overall technical and secretariat support for the Tatak pinoy council. As the
25      principal secretariat, the NEDA shall have the following duties and responsibilities:
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27          (a) Determine and prepare the agenda of the council meetings and prepare the
28                minutes of each meeting;
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1          a) Serve as venue for the initial processing and discussion of the work of the Tatak
2                Pinoy council;
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(c) Receive and prepare communications pertinent to the work of the Council;
(d) Manage and maintain the official records of the Council;
(e) Prepare the annual budget of the Council;
(f)  Prepare reports as required by the Council; and
(g) Perform other duties as may be assigned by the Council.
At least one (1) representative each from the DTI, DOF, DA, DBM, DepEd, DICT,
15      DOLE, DPWH, DOST, DOT, TESDA, and CHED shall be solely dedicated to serve as
16      hiaisons to the Council and provide technical and/or administrative support to the
17      Tatak pinoy council secretariat.
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19          SEC.12. Irformation Dissemination and Awareness campaign. -To er\sore broald
20      buy-in and acceptance, the council, in coordination with the philippine Information
21      Agency (PIA), shall ensure that the goals and otyectives of the TPs are communicated
22      through a nationwide information dissemination and awareness campaign. A parallel
23      effort to communicate the Trs in an appropriate and effective manner to the rest of the
24      world shallbe undertaken.
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26          SEC.13. Implementing Rules and Regulations. -A commi:ttee coaposed of one (1)
27      representative each from the NEDA, the DOF, the DTI, the DBM, the DA, the DepEd,
28      the DICT, the DOLE, the DPWH, the DOST, the DOT, the TESDA, the CHED, and two
29      (2) private sector representatives shall, within sixty (60) days from the effectivity of this
30      Act, formulate and prescribe, after public hearing/s and pubhcation, as required by
31      law, the implementing niles and regulations including, among others, the criteria and
32      guidelines for evaluation of bid proposals, fist of fiscal and non-fiscal incentives and
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1      arrangements that the Goverrment may provide for projects, in order to carry out the
2      provisions of this Act in the most expeditious manner.
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4          This committee shall be headed by the NEDA representative, as the chairperson,
5      with the DTl and DOF representatives serving as vice-Chairpersons. The committee
6      may conduct, formulate, and prescribe after due public hearing/s and publication,
7      amendments to the implementing rules and regulations, consistent with the provisions
8      of this Act.
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10          The non-promulgation of the rules and regulations provided under this section shall
11      not prevent the immediate implementation of this Act upon effectivity.
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13           SEC.   14.   AppraprI.¢fl.o#s.   -   The   funds   necessary   to   carry   out   the   initial
14      implementation of this Act shall be charged against available appropriations of the
15      agencies concerned, sutryect to existing budgeting, accounting, and auditing laws, rules,
16      and regulations. The appropriations necessary for the continued implementation of this
17      Act in succeeding years shall be prepared in accordance with regular government
18     budget procedures and shall be included in the budgets of the concerned NGAs under
19      the annual General Appropriations Act.
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21           SEC.15. Sqp¢rob..J..fry chausc. -If any provision of this Act or a portion thereof is
22      declared unconstitutional or invalid, the remainder of this Act or any provision not
23      affected thereby shall remain in full force and effect.
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25           SEC.16. Rqpc#J..#g chawsc. -All laws, decrees, orders, rules and regulations, or parts
26      thereof  inconsistent  with  this  Act,  are  hereby  repealed,  amended,  or  modified
27      accordingly.
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29           SEC.17. £#ectt.t„.ty. -This Act shall take effect fifteen (15) days after its publication
30      in the official Gazette or in at least two (2) newspapers of general circulation.
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Approved,
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