Pursuant to the powers granted to the National Food Authority under Presidential Decree No. 4 as amended, to devise and maintain a system for regularly obtaining information on current stock positions of rice and/or corn and/or their by-products, their prices, and movements, this Circular is hereby issued for the information and compliance of all concerned:

1. All shippers of rice and/or corn and/or their by-products by means of water transport, whether for commercial or for domestic consumption whose quantity is 500 kilograms (i.e. bags @50 kg net) and above, shall be required to apply to the nearest NFA office, for a Certificate to Transport their intended shipments prior to loading, stating therein among others the quantity, commodity, value, name of shipper and consignees, in triplicate copies using the prescribed forms.

For the purpose of this Circular, the term "water transport" shall mean and include, but not limited, to vessel, boat, barge and other water crafts.

2. The Certificate to Transport shall be issued and signed by the NFA Regional Director/Provincial Manager concerned or his duly authorized representative before the rice and/or corn and/or by their by-products shall be allowed to be loaded in the vessel, barge, boat, banca and other water crafts.

3. All consignees of the shipped rice and/or corn and/or their by-products shall likewise be required to submit a Report to the nearest NFA office within twenty-four (24) hours from receipt of the goods, in triplicate copies using the prescribed form stating among others, that they have received the rice and/or corn and/or their by-products stated in the vessel's cargo manifest.

4. All rice and/or corn and/or their by-products not duly reported to the National Food Authority as required hereof, shall be considered as illegally possessed, in which case, said stocks shall be subject to confiscation by the NFA.

5. A fee of Fifty Pesos (P50.00) shall be paid by the applicant/shipper to the NFA issuing the Certificate to Transport to cover the administrative cost.

6. The necessary forms shall be secured from the nearest NFA office.

Non-compliance with this Circular shall subject to offender, upon conviction, to a punishment by imprisonment of not less than one year nor more than two years, and a fine of not less than four thousand pesos (P4,000.00) nor more than six thousand pesos (P6,000.00), pursuant to Section 29 (c) of Presidential Decree No. 4. (The offender may also be subject to an administrative proceedings where the penalty of suspension and/or cancellation of his/her NFA License, and/or fine of not less than four thousand pesos (P4,000.00) nor more than six thousand pesos (P6,000.00 may be imposed. The NFA may issue cease and desist orders pending the termination of the administrative case).

If the violation is committed by a Corporation, Partnership or Association, the penalty shall be imposed upon the President, Directors, Managers, Managing Partner, as the case may be, or other officials thereof, responsible for each violation.

Further, pursuant to Section 6, Paragraph a, subparagraph (x) of Presidential Decree No. 4, as amended, and to be able to enforce the provisions of this Letter-Circular, the NFA Administrator is hereby authorized to call upon and deputize any NFA official and employee or officials of other government agencies as maybe necessary to assist the National Food Authority in carrying out its functions.

This Letter-Circular shall take effect fifteen (15) days following its publication once in a newspaper of general circulation and filing with the UP Law Center.

Adopted: 9 Feb. 1999

(SGD.) EDUARDO NONATO N. JOSON II
Administrator