FIFTEENTH CONGRESS of the 
) 
REPUBLIC OF THE PHILIPPINES 
) 
First Regular Session 
) 
SENATE 
S.B. No. 1983 
Introduced by HON. RAMON BONG REVILLA, JR. 
EXPLANATORY NOTE 
The fact that rice is the basic staple of Filipinos gives credence to the 
sensitivity of our people in cases of shortage or even a slight increase in the 
price of rice. This scenario, as our experience would show, has staggering 
economic and political ramifications. It no longer matters if the cause is due 
to: 1) the absence of a mechanism that requires the government to maintain a 
minimum buffer stock level, 2) .the lack of foresight of government planners, 
and 3) hoarding or inefficient distribution. 
To obviate future rice shortages and to ensure an adequate, stable, 
continuous and affordable rice supply for our people especially during times of 
emergencies and calamities, this bill seeks to establish a strategiC food 
security and rice reserve. A minimum rice reserve equivalent to the 15-day 
national rice consumption is to be established, maintained, and controlled by 
the government through the National Food Authority (NFA), the agency 
mandated to assure the food security of the country especially during times of 
emergencies and calamities, and stabilizing the supply and price of grains. 
With a fifteen (15) day buffer stock, the government can unload or distribute 
anytime there is a noted gap in the supply of rice in the market in any part of 
the country to effectively stabilize the price of this staple. 
In view of the foregoing and with the primordial objective of assuring a 
steady and ample supply of rice, at affordable prices, to our people, espeCially 
in times of disaster and calamities, the passage of this bill is strongly 
recommended. 


FIFTEENTH CONGRESS of the 
) 
REPUBLIC OF THE PHILIPPINES 
) 
First Regular Session 
) 
SENATE 
S.B. N~. 19 8 3 
Introduced by BON. RAMON BONG REVILLA, JR. 
AN ACT 
ESTABLISHING A STRATEGIC FOOD SECURITY RICE RESERVE 
AND FOR OTHER PURPOSES 
Be it enacted by the Senate and House of Representatives of the Philippines in 
Congress assembled: 
SECTION 1. Title. This Act shall be known as the "Strategic Food Security 
Rice Reserve Act of 2010". 
SEC. 2. Declaration of Policy. - It shall be the policy of the State to ensure an 
adequate supply of rice at reasonable and affordable prices for the people in 
times of calamities. 
SEC. 3. Definition of Terms. -As used in this Act, the following terms shall 
mean: 
(a) Calamities are fortuitous events which include acts of God such as but 
not limited to typhoons, floods, droughts, earthquakes, fires, volcanic 
eruptions, lahar flows, and acts of man such as political andlor civil 
disturbances, and wide spread civil unrest. 
(b) Government Food Security Rice Reserve is the inventory of rice andlor 
palay by the National food Authority (NFA), equivalent to the 15-day . 
average national daily rice consumption to be maintained as a matter 
of national policy. 
SEC. 4. Administration. - In order for the National Food Authority (NFA) to 
effectively perform the functions and responsibilities provided for in this Act, it 
shall: 
(1) Maintain and manage a government rice reserve equivalent to fifteen (15) 
days of the national rice consumption for the current year and determine the , 
location and distribution of such stocks into depots nationwide. 
(2) Procure stock from small farmers and farmer's cooperatives and import 
only under abnormal conditions determined through consultation with all • 
affected sectors unless directed otherwise by the President: Provided, that, ' 
the quality of imported rice shall be regular milled rice, thirty-five percent' 
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(35%) brokens, or better; Provided, further, that, in case all or part of the initial 
reserve is imported, NFA will have the option to release the imported stocks 
at a price that will allow it to procure locally its equivalent volume in palay 
form to maintain the fifteen (15) day rice reserve. 
(3) Release to the market said government rice reserve upon the declaration 
of a state of calamity by the President of the Republic of the Philippines: 
Provided, that, such declaration shall specifically state that NFA rice reserve 
is to be released to the market upon the recommendation of the Secretary of 
the Department of Agriculture: Provided, further, that, the release price of said 
rice shall be based on the prevailing market price immediately prior to the 
occurrence of the calamity. 
SEC. 5. Refill of Rice Reserve. The NFA shall ensure that rice stocks are 
refilled in accordance with the provisions of this Act. 
SEC. 6. Strengthening Farmers Cooperative. Net proceeds from the 
importation of the rice reserve shall be used to strengthen farmer's cooperatives 
in their grains marketing activities, 
Agri-based cooperatives shall be strengthened in order 'to undertake the 
farm business, agri-business such as but not limited to production and post-
harvest facilities, processing and marketing services. 
The Cooperative Development Authority (CDA) in coordination with the 
local government units, and other government agencies and in cooperation with 
people 
and 
non-government 
organizations 
(NGOs) 
shall 
initiate 
the 
transformation of agri-based cooperatives into entrepreneurs. The government 
will play the catalytic and supportive role without intervention into the internal 
affairs of the cooperative while ensuring that they will adhere to sound business 
principles. 
SEC. 7 Appropriation. - There shall be appropriated from the funds of the 
National Treasury, a seed money of P3.70 billion for the initial operations of the 
Food Security Fund which shall be constituted into a revolving fund held in trust 
by NFA which shall be used for funding replenishment and as a depository for 
funds obtained from the sale/monetization of food security stocks. Thereafter, all 
such amounts as may be necessary for the continued operation of said Fund 
which shall include the maintenance and lor increase of the Food Security Rice 
Reserve, shall be automatically appropriated in the General Appropriations Act 
as approved by Congress. 
SEC. 8 . Monitoring. - The NFA shall regularly review and assess the national' 
palay and rice situation and, on the bases of the data and information collected 
prepare a report to be submitted to the Office of the President and to both 
Committees on Agriculture of Congress. 
SEC. 9. Implementing Rules and Regulations. - The NFA Administrator shall, 
within sixty (60) days from the effectivity of this Act, issue the implementing rules 
and regulations of this Act. Copies of such rules and regulations shall be 
submitted to both Committees of Agriculture and Food of the Senate and House' 
of Representatives, within fifteen (15) days from issuance of the same. 
SEC. 10 . Separability Clause. - If any provision of this Act shall be deemed 
unconstitutional or invalid, the other provisions not affected thereby shall remain' 
in force and effect. 
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SEC. 11. Repealing Clause. - All Acts, Presidential Decrees, Executive Orders 
and Administrative Orders, Rules and Regulations and other such issuances or 
parts thereof which are inconsistent with the provisions of this Act are hereby 
repealed or modified accordingly. 
SEC. 12. Effectivity Clause. - This Act shall take effect fifteen (15) days after its 
complete publication in at least two (2) newspapers of general circulation, 
Approved, 
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