TO:       THE ADMINISTRATOR, NATIONAL GRIANS AUTHORITY       ALL CONCERNED
WHEREAS, substantial increase in the cost of inputs has occurred not only in palay production but likewise in the production of corn, sorghum and soybean;

WHEREAS, similar increase in processing, handling and marketing cost of grains businessmen has been triggered by series of oil price increases;

WHEREAS, there is a need to prevent the erosion of Farmers' income due to this cost increase and likewise provide a reasonable rate of returns to grains businessmen;

WHEREAS, it becomes imperative that the price support and ceiling prices for the above-mentioned grains including the by-products of rice and corn be adjusted so as to sustain the incentives for the farmers to increase their production and for grains businessmen to effectively operate in the marketing channel.

NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the Philippines, by virtue of the powers vested in me by the Constitution, do hereby direct the National Grains Authority to increase the price support and price ceilings of feedgrams and by-products as follows:

PRICE SUPPORT       Corngrains — P1.10/kilo           Sorghum — 1.00           Soybeans — 3.55     PRICE CEILING       Corngrits — P1.90/kilo     Rice By-Products       Darak — P0.85/kilos       Binlid — 1.20           Mata-Mata — 1.00     Corn By-Product       Tahop — P0.90/kilo       Tiktik — 1.05       Sungo — 0.90

The NGA is further ordered to promulgate the corresponding circular necessary for the effective implementation of this Letter of Instructions.

All Provisions of other Letters of Instructions inconsistent with this Order are hereby modified accordingly.

This Letter of Instructions shall take effect immediately.

Issued this 23rd day of July, in the year of Our Lord, nineteen hundred and eighty in the City of Manila.