Republic of the Philippines
House of Representatives
Quezon City
Nineteenth Congress
Second Regular Session
HouseBiuNo.  8673
RECEIVED     -'£
I     DATE
0  1  AU6  20Z3    I
Introduced by Representatives
HORACI0 P. SUANSING, JR. and MIKAELA ANGELA 8. SUANSING
AN ACT AMENDING REPUBLIC ACT NO. 10845, OTHERWISH KNOWN AS THE
"ANTI-AGRICULTURAL SMUGGLING ACT 0F 2016", AND FOR OTHER
PURPOSES
EXPLANATORY NOTE
In  line  with  the  policy  of the  State  to  assure  the  economic  security  of local  agricultural
producers and consumers by securing our local markets from the grave, destabilizing effects of
the  proliferation  of  smuggled  basic  agricultural  commodities  and  tobacco  products,  the
following  measure  seeks  to  amend  Republic  Act  No.   10845  (or  the  "Anti-Agricultural
Smuggling Act of 2016") to expand the crines defined as and further increase the criminal
penalties imposed on acts of large-scale agricultural smuggling and other forms of market
abuse in the Philippines.
Specifically, the following measure proposes: to expand the list of agricultural products whose
smuggling into the Philippines can be prosecuted under the law; to define (alongside large-
scale  agricultural  smuggling)  the  acts  of  hoarding,  profiteering  or  cartelizing  of  basic
agricultural   commodities  and  tobacco  products   as  economic   sabotage;   to   add  to  the
presumptions  of smuggling, hoarding, profiteering or cartelizing under the law;  to impose
higher  sanctions  on  public  officials,  public  employees  and  public  offices  involved  in
transactions consummating the acts defined as economic sabotage; and to expand the number
of agencies that can institute a case of economic sabotage under the law.
Through these amendments, it is our hope that perpetrators of economic sabotage, who have
continually  evaded punishment at the expense  of the livelihoods of Filipino farmers, may
finally face prosecution commensurate to the damage caused by their actions, and that such
amendments  may  deter  others  who  may  aspire  to  pursue  such  extractive  activities  from
following suit.
In view of the foregoing, the immediate approval of this bill is earnestly sought.
HORAC
2nd District of sultan Kudarat                                  1 st District ofNueva Ecija


Republic of the Philippines
House of Representatives
Quezon City
Nineteenth Congress
Second Regular Session
HouseBillNo.        8673
Introduced by Representatives
HORACI0 P. SUANSING, JR. and MIKAHLA ANGHLA 8. SUANSING
AN ACT AMnNDING REpuBLIC ACT No. io845, OTHERWISE KNowN As THE
ANTI-AGRICULTURAL SMUGGLING ACT OF 2016, AND FOR OTHER
PURPOSES
Be it enacted by the Senate and the House Of Representatives Of the Philippines in Congress
assembled:
SECTION 1. The title of Republic Act No.  10845 is hereby amended to read as:
"AN   ACT   DECLARING   LARGE-SCALE   AGRICULTURAL   SMUGGLING,
HOARDING, PROFITEERING, CARTEL, AND OTHER ACTS 0F MARKHT
ABUSE AS ECONOMIC SABOTAGE, PRESCRIBING PENALTIES TREREFORE
AND FOR OTHER PURPOSES."
SEC. 2. Section 1 of Republic Act no.  10845 is hereby amended to read as:
"Section   1.   This   Act   shall   be   known   as  the   "EXPANDHD   Anti-Agricultural
Smuggling Act of 2023 [2016]."
SEC. 3. Section 2 of Republic Act No.10845 is hereby amended to read as:
" Sec. 2. Decharcr/7.oj7 a/Po/J.c};. -It is the policy of the State to promote the productivity
Of  the  agriculture  sector  and  to  protect  farmers  from  unscrupulous  traders  and
importers,  who by their illegal  importation of agricultural  products,  especially  rice,
significantly affect the production, availability of supply and stability of process and
food security of the State.
THE  STATn  SHALL  LIKEwlsE  PROMOTH  THE  AFFORDABILITv  oF
FOOD  AND  OTHER  AGRICULTURAL  COMMODITIES  FOR  FILIPINO
CoNSuMERS      By      pRnvENTING      LARGE-SCALE      SMUGGLING,
HOARDING,  PROFITHERING,  CARTELIZING,  AND  OTHER  ACTS  OF
MARRET ABUSE THAT MANIPULATE PRICES AND UNDULY RESTRAIN
SUPPLY.


"The  State shall  impose higher sanctions for large-scale smuggling,  HOARDING,
PROFITEERING,   CARTELIZING,   AND   0THHR   ACTS   0F   MARKHT
ABUSE    of   agricultural    products,    AND    TO    PUBLIC    OFFICIALS    OR
HMPLOYEES WHO TAKE PART IN, TOLERATE, OR CONSENT TO THE
DOING  OF THE  SAMH, as A self-preservation measure to shield itself from the
manipulative  scheme  of economic  saboteurs,  and  to  protect  the  livelihood  of our
farmers and to ensure their  economic well-being AND THAT 0F CONSUMERS."
SEC. 4. Section 3 of Republic Act No.  I 0845 is hereby amended to read as:
"SECTION  3.  Large-Scale  Agricultural  Smuggling  as  Economic  Sabotage.  -  The
crime   of  large-scale   agricultural   smuggling   as   economic   sabotage,   involving
AGRICULTURAL COMMODITIHS in its raw state, or which have undergone the
simple  processes  of preparation  or  preservation  for  the  market,  with  a  minimum
amount of one million pesos (P1,000,000.00), [or  rice, with a minimum amount often
million  (P 10,000,000.00)I, OR TOBACCO, WHETHER MANUFACTURED 0R
UNMANUFACTURHD,   INCLUDING   FINISHED   PRODUCTS   SUCH   AS
CIGARS,  CIGARETTES  0R  HEATED  TOBACCO  PRODUCTS,  WITH  A
NINIMUM EXCISE TAX AND VAT PAYABLE IN THE AMOUNT OF ONE
MILLION PESOS (P1,000,000.00), as valued by the Bureau of Customs (BOC), is
committed through any of the following acts:
(a)  XXX
XXX
(h)   Acting   as   A   broker,   AGENT,   FACILITATOR,   FORWARDER,   OR
WAREHOUSE LESSOR of the violating importer;
(I)  ALLOWING  OR  APPROVING  IN  ONE'S  CAPACITY  AS  A  PUBLIC
OFFICER 0R EIVIPLOYEE THE IMPORTATION INTO THH PHILIPPINHS
WITHOUT     THE      REQUIRED      IMPORT     PHRMIT     FROM     THE
REGULATORY AGENCIES, WHHTHHR OR NOT THERH IS PHCUNIARY
INTnRHST oR MATHRIAL BHNHFIT oR ADVANTAGE oN THE PART oF
THn PUBLIC OFFICER oR HMPLoyEE;
(T)      AppRovlNG      oR     GRANTING      ANY      LICENSE,      nxpoRT
DHCLARATloN, CLEARANCE oR PHRMIT, KNowlNG TIIAT THn SAME
Is    MANIFESTLv    UNLAWFUL,    INHQulTABLH    oR    IRRnGULAR,
WHETHER OR NOT THERH IS PECUNIARY INTEREST OR MATERIAL
BHNEFIT OR ADVANTAGE 0N THE PART 0F THE PUBLIC HMPLOYEE
0R OFFICER;
(K)  ALLOWING  THE  USE  0F  A  PRIVATE  PORT,  FISH  PORT,  FISH
LANDING  SITE,  RESORT,  AND/OR  AIRPORT  TO  PERPETUATH  THH
HCONOMIC SABOTAGE REGARDLESS 0F QUANTITY; AND


(L) IrmoRTING FINISHHD pRODuCTS SuCH As clGARETTEs, clGARs,
AND  HHATED  TOBACCO  PRODUCTS,  THAT  ARH  NOT  REGISTHRED
WITH  THE  BUREAU  OF  INTHRNAL  REVENUE.  FOR  THIS  PURPOSE:,
THE    BUREAU    0F   INTHRNAL    REVENUE    SHALL   PUBLISH   AND
REGULARLY  UPDATE  THE  LIST  OF  FINISHHD  GOODS  THAT  ARE
REGISTERED   IN   THEIR   OFFICE,   STATING   THHREIN   THAT   ALL
UNREGISTERED  PRODUCTS  ARE  ILLEGAL  AND  ARE  SUBJECT  T0
IMMEDIATE CONFISCATION.
AGRICULTURAL  COMMODITIES  SHALL  REFHR  TO  RICH,  SUGAR,
CORN,  PORK,  POULTRY,  BEEF,  LAMB,  GARLIC,  ONION,  CARROTS,
CRUCIFHROUS VEGETABLES, FISH, CRUSTACHANS, OR SHELLFISH.
MANUFACTURHD   TOBACCO   REFHRS   T0   ANY   PRODUCT   THAT
CONSISTS OF LOOSE TOBACCO THAT CONTAINS NICOTINE AND IS
INTENDED  FOR  USE  IN  A  CIGARETTE,  INCLUDING  ANY  PRODUCT
CONTAINING TOBACCO AND INTENDHD FOR SMOKING OR HHATING
0R PUFFING OR ORAL 0R NASAL USE. UNMANUFACTURED TOBACCO
RHFERS  TO  AGRICULTURAL  COMPONENTS  DHRIVED  FROM  THE
TOBACCO   PLANT,   WHICH   ARE   PROCESSED   FOR   USE   IN   THE
MANUFACTURING     OF     CIGARETTES     AND     OTHER     TOBACCO
PRODUCTS."
SEC.  5. A new Section 3A shall be inserted after Section 3  of Republic Act. No.10845 to
read as:
"S;E£. 3-A. IARGE-SCALE AGRICUI,TURAL HOARDING, PROFITEERING,
.4IVD cHR7Ez, As EcOwOMJc SidBor4 GE. - HOARDING, PROFITEHRING,
OR CARTEL AS ECONONIC SABOTAGE INSOFAR AS THHY  INVOLVH
AGRICULTURAL COMMODITIHS IN ITS RAW STATH, OR WHICH HAVH
UNDHRGONE   THE   SIMPLH   PROCHSSES      0F   PREPARATION   0R
pRnsERVATloN FOR THE MARKET, wlTH A MINIMUM AMouNT oF
oNn   MILLloN   pESoS   (P1,ooo,ooo.oo),   oR   TOBACCo,   WHETHER
MANUFACTURED   0R   UNMANUFACTURED,   INCLUDING   FINISHED
pRODuCTS  SuCH AS  CIGARS, CIGARETTHS, oR HEATnD  TOBACco
PRODUCTS,  WITH A  MINIMUM  EXCISH  TAX  AND  VAT  PAYABLH  IN
THE AMOUNT 0F ONE MILLION PHSOS (P1,000,000.00), AS VALUED BY
THE   BUREAu   oF   cusTOMs   (Boc)   FOR   IMpoRTs   oR   By   THn
DHPARTMENT  0F  AGRICULTURE  FOR DOMESTICALLY  PRODUCED
COMMODITIHS IS CoMMITTnD THRouGH THE FOLLowlNG ACTS:
A)  HOARDING   -   UNDUH   ACCUMULATION   BY   A   PERSON   OR
COMBINATION     OF     PERSONS     0F     ANY    AGRICULTURAL
coMMODIT¥  oR ANY  TOBACCo  PRODucT BnvoND  Hls  oR
THEIR NORMAL INVENTORY LEVELS OR THE UNREASONABLH
LINITATION    OR    REFUSAL    T0    DISPOSE    OF,    SELL    0R
DISTRIBUTE      THE      STOCKS      OF      ANY     AGRICULTURAL
COMMODITY OR ANY TOBACCO PRODUCT TO THE GENERAL


PUBLIC    OR    THE    UNJUSTIFIED    TAKING    OUT    0F    ANY
AGRICULTURAL  COMMODITY  OR  ANY  TOBACCO  PRODUCT
FROM      THE     CHANNELS      OF     RHPRODUCTION,     TRADH,
COMMERCE AND INDUSTRY. THERE  SHALL BE PRIMA FACIH
EVIDENCE  0F HOARDING WHEN  A  PHRSON  HAS  STOCKS  OF
ANY    AGRICULTURAL    COMMODITY    0R    ANY    TOBACCO
PRODUCT  FIFTY  PHRCENT  (50%)  HIGHER  THAN  HIS  USUAL
INVENTORY AND UNREASONABLY LIMITS, REFUSHS 0R FAILS
TO SELL THE SAME TO THH GENERAL PUBLIC AT THE TIME OF
DISCOVHRY   0F  THH   EXCESS.   THE   DETHRMINATI0N   0F   A
PERSON'S  USUAL  INVENTORY  SHALL  BE  RECKONED  FROM
THE THIRD MONTH  IMMEDIATELy pRncuDING BEFORE THE
DISCOVERY 0F THH STOCKS IN CASE THH PERSON HAS BEEN
nNGAGED IN THE BuSINESS FOR AT LEAST THREE (3) MONTHs;
OTHERWISE,  IT  SHALL  BE  RECKONED  FROM  THE  TIME  HE
STARTHD HIS BUSINESS.
8)  PROFITEHRING  -   SALE   OR  OFFERING  FOR  SALEI   OF  ANY
AGRICULTURAL  COMMODITY  0R TOBACCO PRODUCT AT A
PRICE  GRoSSLv  IN  EXCESS  oF  ITS  TRUE  WORTH.  THERn
SHALL   BE    PRIMA    FACIE   EVIDENCE    OF   PROFITEERING
WHENEVER AN  AGRICULTURAL  COMMODITY  OR  TOBACCO
pRODucT   BEING   SOLD:   (A)   HAs   NO   PRICE   TAG;   a3)   Is
MISREPRESENTED AS TO ITS WEIGHT OR MEASUREMENT; (C)
IS ADULTERATED 0R DILUTED; OR (D) WHENHVER A PERSON
RAISES THE PRICE 0F THE AGRICULTURAL COMMODITY OR
TOBACCO HE SELLS OR OFFERS FOR SALE TO THE GENERAL
PUBLIC BY MORE THAN TEN PHRCENT (10%) OF ITS PRICE IN
THE IMMEDIATHLY PRECEDING MONTH.
C)  CARTEL - ANY COMBINATION 0F 0R AGREHMHNT BHTWEEN
TWO (2) OR MORE PERSONS ENGAGED IN THEI PRODUCTION,
MANUFACTURE,         PROCESSING,          STORAGH,          SUPPLY,
DISTRIBUTION,    MARKETING,    SALH    OR    DISPOSITION    0F
AGRICULTURAL     PRODUCTS     OR     TOBACCO      PRODUCTS
DESIGNHD T0 ARTIFICIALLY AND UNREASONABLY INCREASE
OR MANIPULATE  ITS  PRICE.  THHRH  SHALL BE  PRIMA  FACIE
HvlDENCE oF ENGAGING IN A CARTHL wHENnvHR Two (2) oR
MORE pnRSoNS oR BuSINESS ENTHRPRlsHS CoMPETING FOR
THE     SAMH     MARKET     AND     DEALING     IN     THE     SAME
AGRICULTURAL   COMMODITY   0R   BUSINESS   ENTERPRISHS
ANCILLIARY   TO   THH   IMPORT   TRANSACTION,   PERFORM
UNIFORM 0R COMPLEMENTARY ACTS AMONG THEMSHLVES
WHICH      THND     T0      BRING     ABOUT     ARTIFICIAL     AND
UNREASONABLE INCREASE IN THH PRICE OF AGRICULTURAL
CoMn;IODITy     oR     TOBACCo     PRODUCT     WHEN     THEv
SIMULTANEOUSLY  AND  UNRHASONABLY  INCREASE  PRICES
oN   THEIR   coMpnTING   pRODuCTs   THHREB¥   LEssENING
cormETITloN AMONG THEMSELVE s. "


SEC. 5. Section 4 of Republic Act.  10845 is hereby amended to read as:
"Sechon 4. Penalties. -
(a) The penalty of life imprisonment and a fine of twice the fair value of smuggled
agricultural    product   OR   THE    PRODUCT    SUBJECT   T0    HOARDING,
PROFITEERING, OR CARTEL and the aggregate amount of the taxes, duties and
other charges avoided PLUS INTERusT AT THE PREVAILING LEGAL RATE
shall  be  imposed  on  any  person  who  commits  any  of the  acts  enumerated  under
Sections 3 AND 3-A of this Act.
(b) The penalty of imprisonment of not less than THIRTY (30) [seventeen (17)I years
but not  more than FORTY (40) [twenty (20)I years, and a fine of twice the fair value
of the smuggled,   HOARDED, PROFITEERED, OR CARTELLED agricultural
product and the aggregate amount of the taxes, duties and other charges avoided PLUS
INTEREST AT THE PRHVAILING LEGAL RATE shall be imposed on ANY
PERSON OR the officers of [dummy] corporations, [non-government organizations,
associations, cooperatives, or single proprietorships] who knowingly sell, lend, lease,
assign, consent or allow the unauthorized use of their import permits for  purposes of
smuggling, HOARDING, PROFITEERING, OR  CARTHLIZING.
(c) The penalty of imprisonment of not less than TWENTY (20) [fourteen (14)] years
but not more than THIRTY (30) [seventeen (17)I years, and a fine of twice the fair
value   of  the   smuggled,   HOARDHD,   PROFITEERED,   OR   CARTELLED
agricultural product and the aggregate amount of the taxes, duties and other charges
avoided  PLUS  INTEREST  AT  THE  PREVAILING  LEGAL  RATE  shall  be
imposed on the following:
( 1) The registered owner and its lessee or charterer, in case of lease, of a chartered
boat, motorized commercial vessel  [of more than three (3) gross tonnage], who
knowingly  transports  the  agricultural  product  subject  to  economic  sabotage,
regardless of quantity;
(2)  The  registered  owner  and  its  lessee,  in  case  of lease,  of [six  (6)  or more
wheeler]   trucks,   vans   and   other  means   of  transportation,   who   knowingly
transports the  agricultural  product  subject to economic  sabotage,  regardless of
quantity;
(3)  The  registered  owner  and  lessee  of a  warehouse,  or  any  property,  who
knowingly    stores    the    smuggled,    HOARDED,    PROFITEERED,    OR
CARTELLED agricultural product subject to economic sabotage; or
(4) The registered owner, lessee, president or chief executive officer of the private
port, fish port, fish landing sites, resorts, and airports who knowingly allows the
agricultural  product to be smuggled into the country, OR T0 BE HOARDED
WITHIN THEIR FACILITIES.


I(d) The penalty of imprisonment of not less than twelve (12) years but not more than
fourteen (14) years, and a fine of twice the fair value of the smuggled, agricultural
product and the aggregate amount of the taxes, duties and other charges avoided shall
be imposed on the following:
(1 ) The registered owner and its lessee or charterer, in case of lease, of a chartered
boat,  motorized  commercial  vessel  of three  (3)  gross  tonnage  or  less,  who
knowingly  transports  the  agricultural  product  subject  to  economic  sabotage,
regardless of quantity; or
(2) The registered owner and its lessee, in case of lease, of less than six (6) wheeler
trucks,  vans  and  other means  of transportation,  who knowingly  transports the
agricultural product subject to economic sabotage, regardless of quantity.I
In  all  cases,  the  smuggled,  HOARDED,  PROFITEERED,  OR  CARTELED
AGRICULTURAL COMMODITIHS shall be confiscated, and the property used in
agricultural smuggling, consistent with Section 2530 of the Tariff and Customs Code
and without prejudice to Section 2531 of the same Code, shall be forfeited in favor of
the government.
XXX
If the offender is a tsovemment] PUBLIC official or employee, the penalty shall be
the maximum as hereinabove prescribed and the offender shall  suffer an additional
penalty of perpetual ABSOLUTE disqualification from public office, to vote and to
participate in any public election.
SEC. 6. Section 5 of Republic Act. No.10845 is hereby amended to read as:
"See. 5. Presumption Of Agricultural Smuggling, HOARI)ING, PROFITEERING, OR
CHR7EJ,JZ+IVG. -  Mere possession of |rice or] any agricultural COMMODITY 0R
TOBACCO product [under] COVERED BY this Act, which has been the subject of
smuggling, HOARDING, PROFITEERING, OR CARTHLIZING, [entered into the
Philippines other than the BOC controlled ports or without the necessary permits| shall
be   prima  facie   evidence   of  smuggling,   HOARDING,   PROFITEnRING,  OR
CARTELIZING.
ANY PUBLIC OFFICHR OR EMPLOYEE WHOSE NAME, SIGNATURE 0R
INITIALS    APPHAR    ON    THE    IMPORT    DOCUMENTS,    CUSTOMS
CLnARANCES,   oR   OTHER   DoCuMHNTS,   oR   wHosE   OFFICE   Is
PRIMARILY  RHSPONSIBLE  FOR THH  RELEASE  0F  THE  SHIPMENTS,
USED IN THE COMNISSI0N 0F THE CRIMHS UNDER THIS ACT SHALL
CONSTITUTH PRIM4 I:ACJE EVIDENCE OF PARTICIPATING IN LARGE-
SCALH SMUGGLING, HOARDING, PROFITHHRING, OR CARTELIZING."
SEC. 7. A new section, Section 6, shall be inserted after Section 5 of Republic Act. No.  10845
to read as:


CCSHC.  6.  INSTITUTION  ALND  PROSECUTION  OF  CRIMINAL  AND  CIVIL
pRoCEEDJrvGS. - Ar`nr ClvlL AND CRIMINAL ACTloN ARISING FROM
THH   VIOLATION   0F  THIS  ACT   SHALL  BE  INSTITUTED   BY  THE
BUREAU 0F CUSTOMS (B0C), NATIONAL BUREAU OF INVESTIGATION
(NBI), OFFICH OF THE SOLICITOR GENERAL (OSG), OR DEPARTMENT
OF AGRICULTURH (DA).
CIVIL  AND  CRININAL  ACTIONS  AND  PROCEEDINGS  INSTITUTHD
UNDHR THn AUTHORITv oF THIS ACT SHALL BH BRouGHT IN THE
NAMH 0F THE GOVHRNMHNT 0F THE PHILIPPINHS AND SHALL BE
PROSECUTED ANI) HANDLED  BY  THE  INSTITUTING AGENCY  WITH
THE    ASSISTANCE    0F    THH    DEPARTMENT    OF    JUSTICE    (DOJ):
PROVIDED,  THAT  THE  DETHRMINATI0N  OF  THE  EXISTHNCH  0F
PROBABLE CAUSE AND THE SUBSEQUENT FILING OF ANY CRIMINAL
0R CIVIL CASE WITH THE PROPER COURT AGAINST VIOLATORS OF
THIS ACT SHALL EXCLUSIVELY BELONG T0 THE DOJ. "
SEC. 8. Section 7 of Republic Act No.10845 is hereby renumbered and amended to read as:
" Sec. 8. Prescrjz7J7.o# a/Cr!.mei5. -The crimes punishable under thi s Act shall prescribe
in twenty (20) years."
SEC. 9. Implementing Rules and Regulations. -The Bureau o£ Customs, the Depactment o£
Trade  and  Industry,  the  Department  of  Agriculture,  AND  THE  DEPARTRENT  OF
JUSTICE, in consultation with concerned agencies, shall promulgate the implementing rules
and regulations of this Act within thirty (30) days upon its effectivity.
SEC.  10.  SeprrcrbJ./I.fy C/czwse.  -If any  portion  of this  Act is  declared unconstitutional  or
invalid, the portions or provisions which are not affected shall continue to be in full force and
effect.
SEC.11. Repecr/r.#g Cfa!t,se.  -All laws, decrees, executive issuances,  mles and regulations
inconsistent with this Act are hereby repealed and/or modified accordingly.
SEC.  12. I?Zj7rec/J.v/.ty C/cr!is'e.  -This Act shall take effect after fifteen (15) days following its
publication in the Official Gazette or in two (2) newspapers of general circulation.
Approved,