Republic of the Philippines,
HOUSE OF REPRESENTATIV!
Quezon City

SEVENTEENTH CONGRESS
First Regular Session

House BiLLNO. 4585

Introduced by Honorable Michael L. Romero

EXPLANATORY NOTE

In the Republic of the Philippines Agriculture plays a vital role in the economy. Of
the 30 milion hectares of land in the country, one-third (33%) is devoted to
agriculture while two-thirds (67%) of the populace depends on these lands for
their livelihood. Farms are primarily characterized as smalihold and are
managed and cultivated by small farmers.

All these smallhold farmers are important drivers of development in the
countryside but are commonly marginalized and mostly vulnerable to the
rapidly changing social, political, and environmental conditions. Hence in view
of their significant contributions in achieving economic and sustainable
development especially in the countryside, the Republic Act (R.A.) No. 7607,
also known as the "Magna Carta of Small Farmers” was signed into law on June
4,1992.

The Magna Carla of Small Farmers is a creditable law aimed at improving the
lives of the small farmers by empowering them and harnessing their potentials
and abilities. The state encourages greater participation of this marginalized
sector in the government planning and program and project implementation to
contribute to national economic development.

The provision of incentives in the form of infrastructure and other physical assets,
access to vital agricultural services and capacity building provide an avenue for


the small farmers to improve their performance as drivers of development in the
countryside.

In the end, this House Bill is seeking to optimize the promised purpose of the

states law requiring the government's adherence to its provisions and the
provision for the necessary funding.

Earnest approys

GF this bill is hereby requested.

L. ROMERO Ph.D


Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

SEVENTEENTH CONGRESS,
First Regular Session

585
HOUSE BILL nol 585

Introduced by Honorable Michael L. Romero

AN ACT

AMENDING SECTION 27 OF CHAPTER VIII OF R.A. NO.7607
OTHERWISE KNOWN AS THE "Magna Carta of Small Farmers",
INCREASING ITS PENALTIES AND ADMINISTRATIVE SANCTIONS,
AND FOR OTHER PURPOSES

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

SECTION 1. Declaration of Policy

Section 27 of Chapter Vill of Republic Act No. 7607 is hereby amended to
read:

Sec. 27. Procurement of Agricultural Produce. — The National Food
Authority (NFA) or any other appropriate agency of the Department of

Agriculture which implements the government price support for


agricultural produce, especially rice and com, shall only procure and
purchase palay, corn or other agricultural produce directly from small
farmers or farmers’ organizations. Such agency shall devise an effective

procurement scheme to ensure that small farmers can avail of this benefit.

Any official or employee of such agency who allows, consorts or connives
with any trader or nonfarmer in the purchase of rice, com or other
agricultural produce or inpuls subject to price support or any other
government subsidy which is intended exclusively to benefit small farmers,
shall be punished by a fine of not less than Fifty thousand pesos
(P50,000.00) or by imprisonment for a term of not less than three (3) years
but not more than five (§) years, or both at the discretion of the court,
without prejudice to administrative sanctions imposed by the subject
agency with perpetual disqualification to hold public office. The Probation
Law shall not apply to penalties imposed under this Act.

Authentic copies of any evidence of procurement or purchase of palay,
corn and other agricultural produce enjoying price support as provided in
this section shall, within thirty (30) days from the issuance thereof, be
furnished the Bureau of Internal Revenue by the National Food Authority or
any other agency of the Government implementing price support
therefor, subject to the penallies provided in the preceding paragraph for

violation thereof.

The penalties provided under this section shall likewise apply to any official
or employee of the National Food Authority or to any such similar agency
of the Government who consorts or connives with any trader or nonfarmer
in the sale of tice, com or other agricultural produce sold under any

government program.


SECTION 2. Miscellaneous Provisions:

In addition, the Department of Agriculture (DA) shall impose: the following
penalties, after determining, in an administrative proceeding, that violation of

this law has been committed:

a. Withdrawal of the authorization for any licensing and registration

sand

b. Blacklisting, or automatic disapproval of any pending or
subsequent applications that they may filed with the NFA-DA.

SECTION 3. Repealing Clause, All laws, executive orders, issuances, rules
and regulations inconsistent with this Act are hereby amended, repealed or

modified accordingly.

SECTION 4, Separability Clause. If, for any reason or reasons, any portion
or provision of this Act shall be held unconstitutional or invalid, the remaining
provisions not affected thereby shall continue to be in full force and effect.

SECTION 5. Effectivity Clause. This Act shall take effect fifteen (15) days
after its publication in any newspaper of general circulation.

Approved,