SIXTEENTH CONGRESS OF THE, 
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REPUBLIC OF THE PHILIPPINES 
First Regular Session 
SENATE 
S.B. No. ----B1J 2 
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Introduce.d by Senator Loren Legarda 
EXPLANATORY NOTE 
'13 " JUL -9 A9 :45 
Seaweed industry in the Philippines has great market potential. In 2010 alone, 
the Philippines produced 84,500MT, which is70% of the total world's supply. 
However, such rich industry has not been fully developed and utilized. Currently, 
only 23% of the potential seaweed farm is operational. Moreover, in 2008, Indonesia 
had replaced the Philippines as the top seaweed producer in the world. 
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This bill aims to create a sea""eed development authority that is responsible 
for the promotion, development and gtowth of the seaweed industry. Through the 
said authority, seaweed research and development 'devoted to improve the quality 
of seaweed especially in the face of climate i!l1d environmental changes shall be 
institutionalized. Such will make the industry more globally competitive while 
maintaining sustainable growth. 
Through this proposal, the Philippine seaweed industry can reach its full 
potential by being a major produrer in the, world market. This will bring greater 
income for the country, more work for seaweed farmers and better economy . 
. In view of the foregoing, the passage of this 'bill is earnestly sought. 
~REN"L;;;oA 
Senator 
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SIXTEENTH CONGRES§ OF THE 
REPUBLIC OF THE PHILIPPINES 
First Regular Session 
) 
) 
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SENATE 
S.B.No. 692 
.~l?l1l!tr 
'{€)H!:r llf iht' ~'I'T,['f.'H U 
'13 
JUl -9 n 9 :45 
RECf~I\,En BY: 
Introduced by Senator LOREN LEGARDA 
AN ACT 
CREATING THE PHILIPPINE SEAWEED DEVELOPMENT AUTHORITY 
AND'DEFINING ITS OBJECTIVES, POWERS AND FUNCTIONS 
Be enacted by the Senate and House of Representatives of the Philippines in Congress 
. assembled: 
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Section 1. Short Title. - This Act shall be known as the "Philippine Seaweed 
2 . Development Authority Act of 2013." 
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SEC. 2. 
Declaration of Policy. - It is ~ereby declared to be the policy of the State to 
promote the rapid, integrated d~velopment anq growth of the seaweed industry in 
all its aspects and to ensun~ that the seaweed farmers become direct participants in, 
and beneficiaries of, such d\"velopmlmt and growth. 
Consonant to this policy, the State shall enSllre the development of the seaweed 
industry in accordance with the following principles: 
a. Protection from Unfair Competition. - The State shall protect small farmers 
from unfair competition such as monopolistic and oligopolistic practices by 
promoting a policy environment that provides them priority access to credit and 
strengthened cooperative-based marketing system. Any joint venture with 
foreign investors shall be consistent with the constitutional provision that at 
least sixty per centum ofthe investment, shall be owned by Filipinos. 
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b. Global Competitiveness. - The State shall enhance the competitiveness of the 
seaweed industry sector in both domestic and foreign markets. 
c. Sustai~able Development. - The State' shall promote development that is 
compatible with the (;ons~rvation of the ecosystems in areas where seaweed 
production activities are' carried out. Judicious use of the countryis natura! 
resources shall be exercised in order to attain long"term sustainability. 
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. d. Poverty Alleviation and Social Equity. - The State shall ensure that the poor 
secton; of society have equitable access to resources, income opportunities, basic 
and support services and infrastructure, especially in areas where productivity 
is low, as a means of improving their quality .of life. 
e .. Ratiorial Use of Resources. - The State shall adopt a rational approach in the 
allocation of public investments in the seaweed industry in order to ensure 
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efficiency and effectiveness in the use of scarce resources and thus obtain 
, optimal returns on its investments, . 
f. People Empowerment. - The State shall promo~e people empowerment by 
enabling all citizens through direct participation or through their duly elected, 
chosen or designated representatives, the opportUnity to participate in policy 
, formulation and decision-making by establishillg the appropriate mechanisms 
, and by giving 'them access to information. 
, SEC. 3. Creation of the Philippine Seaweed Development Authqrity, -
To implement and 
attain thedec1ared state policy and consistent with the principles enumerated above, 
there is hereby created the Philippine Seaweed Development Authority, hereinafter 
referred to as Authority, under the Department of Agriculture. 
, SEC. 4. Principal Office. - The Authority shall maintain its administrative principal 
,office in Zamboanga City and shall establish its main research and development 
center in the Province of Sulu. It may establish branches anq other research or 
marketing centers in other parts of the country as may be necessary for the proper 
conduct of its operations. 
SEC. 5. Statement of Objectives. ~ The Authority shall have the following objectives: 
a., TI? enhance profits and incomes in the seaweed farming, by ensuring 
equitable' access to assets, resources' and services" and promoting value-added 
processing; 
b. To encourage and promote people empowerment by strengthening people's 
,organizations, cooperatives, and non~government ,organizations of seaweed 
farmers and by establishing and improving mec"\lanisms and resources for their 
participation in government decision-making and implementation; 
'c. To pursue a market-driven approach to enhance the comparative advantage, 
of our seaweed industry in the world market; 
d. To encourage the seaweed farming ~ector to continuously develop new value-
added or processed seaweed products in order to minimize the marketing of , 
raw, unfinished or unprocessed products; and 
e. To provide social and economic adjustment measures thatincrease 
productivity and impr'ove market efficiency while ensuring the protection and 
preservation of the environment and equity for stnalLfarmers and fisherfolk. 
SEC. 6. Power and Functions, - To carry out its objectives, the Authority shall have 
the following powers and functions: 
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a., 
Prescribe, repeal and amend its own by-laws; 
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Formulate and adopt a Seaweed Industry Development Masterplan 
covering a five (5)-year term at a time, subject to yearly monitoring, evaluation 
and review; 
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C. 
I Establish, operate and maintain one central seaweed industrial processing 
plant and other support'services within the prerruses of its main research and 
development center. Whenever necessary and practicable, it shall establish 
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seaweed industrial processing plants in other major producing provinces geared 
toward the development of the seaweed industry .. Furthermore, farmers shall be 
encouraged to partly own the processing pla~t in order to encourage them to 
increase seaweed production; 
d. 
' Encourage and promote the exportation of seaweed and its value-added 
products by establishing and undertaking measures to e:i1force standards for 
domestic trade imd export 6f seaweed and seaweed products within globally 
acceptable practices and market price; 
e. 
Review, revise, align and thereafter, integrate into the Seaweed Industry 
Development Masterplan, the existing policies, projects and activities of all other 
gq'vernment agencies contributing to' th,e attainment of the objectives of the 
Authority. 
f. 
Institutionalize 
seaweed. research. and' development 
devoted 
to 
improvement, of the quality, of seaweed, its adaptalion to climate' and 
environmental 
changes, 
and 
. its 
various 
applications, 
by 
designating/ eShlblishing' seaweed research a~d exp,:!riment stations, and sub-
stations in strategic locations nationwide, as deemed nec~ssary. ' 
The Authority shall ensure that suffident b.udgetary allocation is available for 
the operations of the, seaweed research and experimental stations and sub-
stations enabling them.to conduct all researches, tests and experiments needed 
. for the development of the industry; 
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En.sure that seaweed farmers' organizations have direct access to markets; 
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Facilitate the access of farmers to credit by encouraging private lending 
institutions to provide loans at affordable inter~st rate; 
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Receive grants from any source, domestic or foreign, public. or private, in 
accordance with eXistiriglaws; 
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Adopt and use a corporate seal; 
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Sue and be sued; 
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Havecontinuous succession until dissolved bylaw; 
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Exercise all the general powers' conferred by law upon corporations as are 
.incidental or conducive to the attainment of the purposes of this Act. 
, SEC. 7. Board of Directors of the Authority. - The corpoT<ltepowers of the Authority 
sha11 be vested in and exercised by a Board of Directors, hereinafter referred to as 
the Board, to be composed of the following: 
a. Secretary of the Department of Agriculture as Chairperson; 
b. Secretary of the Department of Trade & InduS1:J;y as Vice-Chairperson; 
c. Director, University of the Philippines-Diliman Marine Science Institute as ' 
Member; . 
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d. National President,. League of Cities as Member; 
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e. National President, League of Mur1icipalities as Member; 
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f. President, Land Bank of the Philippines (and/ or other government financing 
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institittion/s as Member/s); 
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g. Three (3) representatives of seaweed farmers' organization/s-one (1) 
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representing Luzon; one (1), Visayas; and one (1) representing Mindanao, as 
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Members; 
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h. Two (2) representatives' of the national organization ot the seaweed 
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processing and exporting sector as Members. 
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The representatives of the private sector shall be appointed by the President of 
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the Philippine Republic, upon recommendation of the sector they represent, and 
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shall serve for a term offour (4) years. 
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Only citizens of the Philippines shall be appointed Board Members of the 
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. Authority. In case of vacancy, the appointed successor shall serve only the 
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unexpired portion of the term of his predecessor. 
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The Board of Directots that belong to the government sector may appoint their 
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respective regular representatives to the Board provided these representatives 
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belong to the top three ranks in their respective agencies .. 
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The Board shall meet regulilrly at least once every quarter or as often as it deems 
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necessary. At least six (6) members shall constitute a quorum. The Board may be 
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convoked by the Chairperson or Vice Chairperson. The Board of Directors shall eacH 
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receive a per diem of Ten Thousand Pesos (PlO,OOO.OO)Jfqr every session attended, 
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but in no case shall the total thereof exceed TwentY Thousand Pesos (P20,000.00) per 
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month, 
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SEC. 8., Powers and Duties of the Board. - The Board shall have the following powers 
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and duties: 
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a. Formulate and adopt policies, plans and programs. and prescribe or 
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promulgate such rules, and regulations as may be necessary to implement the 
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intent and provisions cif this Act; 
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b, Enter into, make and execute contracts of any kind as may be necessary or 
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incidental to the attainment of the purposes of this Act; 
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c. Approve the budget of the Authority and to determine the r~asonable 
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compensation of its personnel consistent with the provisions of Republic Act 
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No. 6758 or "The Salary Standardization Law"; 
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d. Establish policies and guidelines for employment on the basis of merit, 
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technical competence and moral character, and approve a staffing pattern of 
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personnel defining their powers and duties subject to Civil Service laws, rules 
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and regulations; 
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e. Review and approve the appointment of personnel of the Authority from the 
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. rank of division chief or higher; 
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f, Exercise final authority on administrative cases involving personnel of the 
Authority where the penalty imposed is suspension of thirty (30) days or more; 
g. Exercise such other powers as may be necessary and proper for the effective 
enforcement of this Act and its implementing rules and regulations. 
SEC. 9. Management. - The management of the Authority and the general conduct of 
its operations shall be vested in the General M~ager who'shall serve as the Chief. 
Executive Officer. The General Manager' shall be a natural-born Filipino citizen, at 
least thirty (30) years old, and a person of known integrity and competence in 
technic:al and administrative fields related to the purposes of this Act. 
He shall be appointed by the President of the Republic for a term of four (4) 
years and may be re-appointed once for another term. 
He shall receive a salary to be determined by the Board in accordance with the 
Salary Standardization Law. 
He shall have the following powers and duties: , 
a) Execute and administer 'the policies, plans, programs and rules and 
.. regulations approved and/ or promulgated by the Board; 
'b) Submitfor the consideration of the Board such policies, plans and programs 
as he/ she deems necessary to carry out this Act; 
c) Direct and supervise the operation. and internal administration of the 
Authoiity, including imposition of diSciplinary actions among the Authority's 
personnel;' 
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d) Appqint or promote employees of the Authority subject to the confirmation 
of the Board; 
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e) Transfer, assign, re-assign employees of the Authority as the exigencies of the 
service may require and approve penalties in administrative cases involving 
suspension for less than thirty (30) days andJigl;lter penalties; 
f) Recommend to the Board the appointment or promotion of personnel from 
the rank of division chief or higher and submit for decision by the Board 
administrative cases where the penalty imposed is suspension for thirty (30) 
days or more, denlotion or separatiordromthe service; . 
g) Administer and manage the budgetary, appropriqclions and financial 
disbursements of the Authority; 
h) Exercise such other powers and perform such other duties as may be directed 
by the Board. 
SEC. 10. Assistance from Other Gopernment Entities. - The Local.Government Units 
(LGUs), the Department of Environment and Natural Resources (DENR), the Bureau 
of Fisheries and Aquatic Resources (BF AR) and all other government agencies 
concerned shall extend the necessary assistance and support to the Authority, 
particularly by including the development of the seaweed industry in their coastal 
resource management plans and programs'-. 
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SEC. 11. Rules and Regulations. - The Department of Agriculture shall, within ninety 
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(90) days from the approval of this Act, formulate the necessary rules and 
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regulations for the implementation of this Act. 
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SEC. 12. Separability Clause. -
If any part or provision of this Act shall be held 
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invalid or unconstitutional, the remaining parts or provisions not affected thereby 
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shall remain in full force and effect: 
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SEC. 13. Repealing Clause. - All laws, decrees, executive orders, proclamations, rules 
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and regulations, and other issuances, or parts thereof which are inconsistent with 
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the prOVisions of this Act ar~ hereby repealed or modified accordingly. 
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SEC. 14., Effectivity, -
This Act shall take effect fifteen (15) days after its publication 
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in the Official Gazette or in at least two (2) national newspapers of general 
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circulation, 
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Approved, 
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