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Republic of the Philippines

HOUSE OF REPRESENTATIVES
Quezon City, Metro Manila

Seventeenth Congress
First Regular Session

HOUSE BILLNo._591€

Introduced by Honorable Michaelina M. Antonio

EXPLANATORY NOTE

Article XI, Section | of the Constitution provides that the State shall promote
industrialization and full employment based on sound agricultural development and
agrarian reform, and that in the pursuit of these goals, all sectors of the economy and all
regions of the country shall be given optimum opportunity to develop.

For us to achieve rice self-sufficiency and for our agricultural sector to develop,
there is a need to make appropriate procedures, technologies, and facilities accessible to
our farmers at every stage of rice production.

This necessarily includes providing our rice farmers with post-harvest support.
Based on a study of PHilMech and PhilRice (2010), a total of 16.47% grain losses are
incurred during the postharvest activities, with drying and milling setting the highest
recorded losses with 36% and 34% share respectively. These losses can be reduced by
5 to 10% with mechanized drying and harvesting; therefore, government postharvest
support must be increased.

This bill aims to have our government, through the Department of Public Works
and Highways (DPWH), Department of Agriculture (DA), and Department of Agrarian
Reform (DAR), construct post-harvest facilities like warehouses, rice mills, and transport
facilities. This will also provide them with the equipment and machinery necessary to
operate these warehouses and rice mills. These facilities and equipment will be acquired
by farmers’ cooperatives at cost to be amortized for 25 years. The farmers’ control and
ownership of these facilities will, as a consequence, increase their income significantly.

In view of the foregoing, the passage of this bill is earnestly sought.

aie

hanes M. ANTONIO

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Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

Seventeenth Congress
First Regular Session

HOUSE BILL NO. 591€

Introduced by Honorable Michaclina M. Antonio

AN ACT PROVIDING POST-HARVEST FACILITIES TO RICE FARMERS

AND APPROPRIATING FUNDS THEREFOR

Be it enacted by the Senate and House of Representatives of the Philippines in
Congress assembled:

SECTION 1. Short Title - This Act shall be known as the "Post-Harvest Facilities
Support Act of 2017."

SEC. 2. Declaration of Policy - \t is the policy of the State to promote agricultural and,
more broadly, rural development. Specifically, the State aims to raise farm incomes to a
level high enough to allow the farmers to satisfy their material needs and enhance their
self-esteem. It is also the policy of the State to encourage and strengthen non-government
organizations, such as farmers’ organizations and cooperatives.

SEC. 3. Creation of Warehouses and Rice Mills - The Department of Public Works and
Highways, in consultation with the Department of Agriculture, the Department of
Agrarian Reform, and farmers’ cooperatives shall construct warehouses and rice mills in

every rice-producing municipality and city in the Philippines: Provided, That in the initial


phase of the program, every district with at least one rice-producing municipality shall
be the beneficiary of at least one warehouse and rice mill.

SEC. 4. Grant of Necessary Equipment and Machinery ~The Department of Trade and
Industry, in consultation with the Department of Agriculture, the Department of Agrarian
Reform, and farmer cooperatives, shall provide the equipment and machinery necessary
to operate these warehouses and rice mills as well as the necessary transport facilities.
These include, but are not limited to dryers, silos, and modem processing equipment.
SEC. 5. Amortization — The warehouses and rice mills, including the equipment and
machinery required to operate them, shall be sold to the accredited farmers’ cooperatives
which will be given 25 years to amortize the facilities at cost or without interest

SEC. 6, Appropriations - The amount of One Billion (P1-B) Pesos is initially
appropriated for the program. In subsequent years, the amount necessary to pursue the
program shall be incorporated in the General Appropriations Act, and the funding shall
come from, among others, the savings realized from the phasing out of the palay and rice
subsidies and from amortizations then accumulated.

SEC. 7. Implementing Rules and Regulations — Within thirty (30) days from the
effectivity of this Act, the Department of Public Works and Highways, the Department
of Agriculture, the Department of Agrarian Reform and the Department of Trade and
Industry shall jointly promulgate the necessary rules and regulations to implement this
Act,

SEC. 8, Separability Clause ~ If any provision in this Act or the application thereof is
held invalid or unconstitutional, the validity of other provisions not affected thereby, she

be in full force and effect.


SEC. 9. Repealing Clause — All laws, decrees, orders, proclamations, rules and
regulations, and other issuances, inconsistent herewith, are hereby repealed or modified
accordingly

SEC. 10. Effectivity Clause ~ This Act shall take effect upon its approval.

Approved,