WHEREAS, under Art. 5 [Declaration of Policy] of the Consumer Act [RA 7394]. - It shall be the duty of the State: (a) to develop and provide safety and quality standards for consumer products, including performance or use-oriented standards, codes of practice and methods of tests; (b) to assist the consumer in evaluating the quality, including safety, performance and comparative utility of consumer products; (c) to protect the public against unreasonable risks of injury associated with consumer products; (d) to undertake research on quality improvement of products and investigation into causes and prevention of product related deaths, illnesses and injuries; (e) to assure the public of the consistency of standardized products under Article 6 of the same law, the Department of Agriculture is tasked to enforce its implementing rules and regulations with respect to products related to agriculture;

WHEREAS, Art. 7 of the Consumer Act mandates the Department of Agriculture (DA) to establish consumer product quality and safety standards such as, but not limited to, precautions in storage, transporting and packaging;

WHEREAS, Administrative Order No. 9 Series of 1993 re: Rules and Regulations Implementing RA No. 7394 - The Consumer Act of the Philippines Section 3: Functions of the Implementing Agencies, provides that the National Meat Inspection Service (NMIS) shall accredit and classify meat source such as cold storage according to their facilities and handling practices;

WHEREAS, Section 8.3 of Republic Act (RA) No. 9296 otherwise known as Meat Inspection Code of the Philippines provides that the NMIS shall evaluate and classify meat establishments as to compliance to hygiene and sanitation standards;

WHEREAS, the Bureau of Fisheries and Aquatic Resources (BFAR) has an existing procedure for the certification of cold storage warehouse/facilities used for the storage of fish and fishery/aquatic products based on its compliance to basic sanitation and hygiene requirements in support to the implementation of the Hazard Analysis Critical Control Point (HACCP) system. However, if the cold storage warehouse used is part of the processing facility engaged in the freezing of fish and fishery products, the Certificate of Approval issued by BFAR to the fishery establishment engaged in freezing is extended to its cold storage facility;

WHEREAS, while the cold storage industry is continuing to grow rapidly in the Philippines, however, only the accreditation for the handling and maintenance of frozen meat and meat products throughout the cold chain had been established;

WHEREAS, cold storage facilities are likewise used for the handling, maintenance and preservation of fruits, vegetables, other plant products; eggs and milk and other milk products;

WHEREAS, a centralized and harmonized system for the accreditation of cold storage facilities for meat and meat products; fishery products; fruits, vegetables, other plant products; eggs and milk and other milk products shall be established;

WHEREAS, the accreditation of cold storage facilities will enable the Department to determine post-harvest problems and regulate the operation of cold storage facilities to effectively maintain the quality and safety of agricultural and fishery products, with due regard to humidity needs or product compatibility;

WHEREAS, the DA requires that all agriculture and fishery products that need to be stored in Cold Storage Warehouse (CSW) can only be traded if and when these are stored in an accredited and compliant CSW;

WHEREAS, in order to ensure the quality and safety of all imported agricultural and fishery products requiring cold storage, the accreditation of CSWs wherein these goods will be stored, shall be made a mandatory requirement for the issuance of Sanitary/ Phytosanitary Clearance by all bureaus, attached agencies or offices of the Department;

WHEREAS, the Department shall work hand in hand with the Cold Chain Association of the Philippines, Inc., a multi-sectoral group of companies and other professional organizations in the Philippines with the primary mission to organize the different industry sectors participating in the supply chain of both chilled and/or frozen food products and other groups operating temperature controlled product storage or distribution, for the efficient consultation, drafting and implementation of this Administrative Order, in accordance with Article 7 of the Consumer Act;

WHEREAS, Administrative Order No. 31, Series of 2012 directs and authorizes all Heads of Departments, Bureaus, Commissions, Agencies, Offices and Instrumentalities of the National Government, including Government-Owned and Controlled Corporations, to rationalize the rates of their fees and charges, increase their existing rates and impose new fees and charges subject to the observance of due process and such other requirements set forth by existing laws and regulations;

WHEREAS, to ensure full implementation of this AO, a Joint Memorandum Circular (JMC) with DILG was executed between DA and the Department of the Interior and Local Government (DILG) requiring all Local Government Units (LGUs) to include DA-CSW Accreditation in their mandatory requirements for the application of business permits and licenses of establishments with and/or requiring cold storage facilities, refrigerated container vans storing agricultural and fishery products, starting 2014, which, if already accomplished by the particular LGU, shall automatically nullify the documentary requirements emanating from LGUs under this AO, without the necessity of amending this AO;

WHEREAS, in order to effectively monitor the implementation of this AO, the DA may engage the services of a software provider that will link all LGUs, DA Regional Field Units (RFUs) and the DA Central Office under the Public-Private Partnership (PPP) program of the government.

NOW THEREFORE, I PROCESO J. ALCALA, Secretary of the Department of Agriculture, by virtue of the powers vested in me by law, do hereby issue this Administrative Order for Mandatory Accreditation of CSW for Agricultural/Fishery Products.

Section 1
SCOPE

This Order covers the guidelines on mandatory accreditation of Cold Storage Warehouse (CSW) for agricultural and fishery products nationwide. CSW shall include but not limited to the following:

1.1	Cold Storage Warehouse for
	1.1.1	meat and meat products;
	1.1.2	fish and aquatic products;
	1.1.3	fruits, vegetables and other plant products;
	1.1.4	milk and derivatives of milk, and eggs;
	1.1.5	animal feeds; and
1.2	Stationary refrigerated container vans;

Section 2
OBJECTIVES

The objectives of this Order are hereby enumerated as follows:

1.	To support the adoption of food safety risk analysis program of the Department of Agriculture, which is an essential tool of an effective food safety management;
2.	To have a functioning traceability system that will provide adequate information on product condition and ensure fast tracking and recovery of affected lot found not in conformity with the established food safety standards; and
3.	To increase confidence among the regulators, industry and consumers that the measure for the cold storage of agricultural and fishery products for local market and export are appropriate, in place and effective to control food safety hazards.

Section 3
DEFINITION OF TERMS

For the purpose of these guidelines, the following terms and phrases shall mean:

3.1	Accreditation - the procedure by which the DA-CA CSW Composite Team (CSWCT) gives formal recognition through the issuance of a certificate of accreditation to a cold storage that complied with the accreditation requirements set by the Department of Agriculture, its Bureaus and Attached Agencies.
3.2	Accreditation Requirements - standards or measures established by the concerned government agency for the issuance of a certificate of accreditation for CSW.
3.3	Agricultural and fishery products - commodities, raw or processed, that are marketed for human consumption (excluding water, salt and additives) or animal feeds.
3.4	Cold-chain - refers to the various points of the production chain wherein the perishable commodity is kept at the required ideal temperature throughout the post-harvest handling stage to maintain its quality and safety.
3.5	Cold Storage Warehouse (CSW) - establishment used for the storage of local and/or imported agricultural and fishery products intended for commercial purposes.
3.6	Commercial Purposes - The use by any corporation, association, society, organization or individual for any fare, fee, charge or other consideration, directly or indirectly with any business or other undertaking intended for profit, regardless of its quantity.
3.7	Committee on Cold Storage Warehouse Accreditation (CCSWA) - is composed of authorized inspectors from NMIS, BFAR, Bureau of Plant Industry (BPI) and Bureau of Animal Industry (BAI).
3.8	Competent Authority (CA) - the official government agency having jurisdiction over the commodity and has the legal mandate to enforce relevant laws and regulations on quality and safety assurance of agricultural and fishery products for local/export market intended for human consumption or animal feeds.
3.9	DA-CA CSW Composite Team (CSWCT) - is composed of the Chairman, with a rank of, at least, Assistant Secretary, with Members from the NMIS, BAI, BFAR, BPI, and Legal Division with two (2) representatives each, and a Committee on CSW Accreditation (CCSWA).
3.10	Food - fruits and vegetables, eggs, butter, fresh animal flesh and fresh products there-from, and fresh fish and fishery products and fowl flesh, which are stored in a cold-storage warehouse.
3.11	Food-borne hazard - any biological, chemical or physical agent in, or condition of food, with the potential to cause an adverse effect on human health.
3.12	Hazard Analysis Critical Control Point (HACCP) - a preventive food safety management system which identifies, evaluates and controls the hazards which are significant to food safety. A HACCP Plan is a company's written document delineating the procedures to be followed to demonstrate the application of the seven principles of HACCP to ensure food safety.
3.13	Provisional Certificate of Accreditation - temporary accreditation granted to a CSW for a minimum period of six (6) months but not to exceed one (1) year shall be given to the CSW subject to compliance of all conditions and requirements for accreditation.
3.14	Risk Analysis - a systematic, disciplined approach for making food safety decisions, which includes three major components: risk assessment, risk management and risk communication. It is a powerful tool for carrying out science-based analysis for reaching out sound consistent solutions to food safety problems.
3.15	Sanitary/Phytosanitary Clearance - issued by the respective Competent Authority (CA), to protect against risks linked to food safety, animal health and plant protection or to prevent or limit damage within a territory from the entry, establishment and spread of pests.
3.16	Stationary Refrigerated Container Van - fixed refrigerated van used for holding or storing chilled or frozen agricultural and fishery products.
3.17	Traceability - the ability to follow the movement of food through specified stage(s) of production, processing, storage and distribution.

Section 4
REQUIREMENTS FOR ACCREDITATION AND RENEWAL

4.1	Application for accreditation
	4.1.1	The cold storages are required to comply with the following:
		4.1.1.1	Duly accomplished and notarized Application Form;
		4.1.1.2	Floor Plan/Layout showing all storage rooms and other facilities for specific products;
		4.1.1.3	Recent photographs of the inner and outer portions of the CSW;
		4.1.1.4	Documentary requirements: Business Permit (City/Municipal Government); Environment Compliance Certificate/Certificate of Non-Coverage (DENR); Permit to Operate/Exemption Certificate (DENR); Photocopy of Business Registration - DTl/SEC; Sanitary Permit; Certificate of Potability;
		4.1.1.5	Reliable recording system for readily available information;
		4.1.1.6	Rated capacity;
		4.1.1.7	List of clientele (with specific products) for the last two (2) years, where applicable; and
		4.1.1.8	Copy of the official receipt (OR) of accreditation fee paid to the concerned CA;
4.2.	Renewal of Accreditation
	4.2.1	Cold storage applying for renewal of accreditation is required to comply with the following:
		4.2.1.1	Duly accomplished and notarized Application Form;
		4.2.1.2	Updated documentary requirements, namely: Business Permit Permit to Operate/Exemption Certificate - DENR (waste disposal/treatment facilities) Sanitary Permit Certificate of Potability;
		4.2.1.3	Photographs of additional facilities/improvements, if any;
		4.2.1.4	Rated capacity;
		4.2.1.5	List of clientele (with specific products) for the last two (2) years, where applicable; and
		4.2.1.6	Copy of the official receipt (OR) of accreditation fee paid to the concerned CA

Section 5
AUDIT AND ASSESSMENT

5.1	The Conduct of Audit and Assessment:
	5.1.1	The audit and assessment of CSWs shall be conducted by the CCSWA.
	5.1.2	The CCSWA shall endorse the submitted documents, as well as the report on the result of the audit and assessment simultaneously, to the CSWCT Chairman, copy furnished all CAs.

Section 6
PROCEDURES ON THE ACCREDITATION/ RENEWAL OF ACCREDITATION

6.1	The following procedures shall be strictly observed in the accreditation/ renewal of accreditation of CSW:
	6.1.1	Application for Accreditation/Renewal of Accreditation
		6.1.1.1	Submission of duly accomplished Application Form (in triplicate) to the CA responsible for the bulk of goods being stored/to be stored by a CSW.
	6.1.2	Schedule of Fees
		6.1.2.1	Payment of fees shall be imposed and collected by the respective CAs, as follows: Bureau Particulars Amount NMIS AAA Classification P3,600.00 AA Classification P2,600.00 BAI P2,600.00 BPI P2,600.00 BFAR P2,600.00
	6.1.3	Inspection and Evaluation of all CSWs All CSWs applying for accreditation/renewal of accreditation shall undergo inspection and evaluation using the accreditation criteria for CSW to ensure compliance with all the requirements.
		6.1.3.1	If documentary requirements are complete, the CA shall forward the application to the CSWCT.
		6.1.3.2	The CSWCT shall endorse the application to the CCSWA, which shall conduct the audit and assessment of the CSW.
		6.1.3.3	The Certificate of Recognition/Accreditation issued by the concerned CA for the following establishments shall be recognized by the CSWCT for the purpose of evaluating the CSW applying for DA-CA CSW Accreditation:
			6.1.3.3.1	EU and Non EU recognized processing plants.
			6.1.3.3.2	GOP /GMP /SSOP /HACCP Certified processing plants.
			6.1.3.3.3	In-house CSWs which are integral parts of processing plants/ slaughterhouses/meat cutting plants/poultry dressing plants for exclusive use of the plant.
		6.1.3.4	The CCSWA shall submit the result of its audit and assessment to the CSWCT Chairman, copy furnished all CAs.
	6.1.4	Issuance of a Certificate of Accreditation or Letter of Disapproval
		6.1.4.1	A Certificate of Accreditation shall be issued by the CSWCT Chairman to the CSW that meets the requirements. However, if there are comments/ objections from any of the CAs involved, it shall be referred to the CCSWA for further study and prepare its recommendations to the CSWCT Chairman.
		6.1.4.2	The CSWCT Chairman shall decide whether or not to grant or deny the application.
		6.1.4.3	The Certificate shall indicate the types of products approved to be stored/ kept in the CSW.
		6.1.4.4	The validity period of the Certificate of Accreditation shall be for two (2) years unless revoked earlier.
		6.1.4.5	The CSWs which intend to add other products, other than those indicated in the Certificate of Accreditation, may seek its accreditation through the regular process, for which an Addendum shall be issued by the CSWCT Chairman, provided that the same will follow the expiration date indicated in the initially issued Certificate of Accreditation.
		6.1.4.6	A CSW may be granted a Provisional Certificate of Accreditation (PCA) for a minimum period of six (6) months but not to exceed one (1) year subject to compliance of all conditions and requirements for accreditation.
		6.1.4.7	In case a CSW is granted a provisional certificate accreditation, the CSW is required to submit a corrective action plan within seven (7) days from receipt thereof.
		6.1.4.8	Said provisional accreditation may be revoked, cancelled or suspended for violation of this A.O. and other pertinent laws. The accreditation is not transferable and shall not be used in any place other than the one stated in the Certificate of Accreditation whether provisional or for the full period of two (2) years.
		6.1.4.9	Upon the implementation by the LGUs of the provision under the DA-DILG Joint Memorandum Circular, mentioned in the second to the last paragraph of page 2 of this A.O., the CSW shall be required to furnish the DA-CSWCT with copies of the documentary requirements under Section 4 within thirty (30) days from the issuance of the Provisional/Certificate of Accreditation. Failure on the part of the CSW to comply with this requirement shall be a cause for the revocation of its Provisional/Certificate of Accreditation.

Section 7
RENEWAL OF ACCREDITATION

7.1	Renewal of Accreditation
	7.1.1	The application for renewal of accreditation shall be submitted to the concerned CA sixty (60) days prior to the expiry date specified in the Certificate of Accreditation to be renewed and shall follow the procedure for Accreditation in the preceding section.
	7.1.2	The expiry date of the CSW with a renewed accreditation shall always follow the expiry date of the initial accreditation. An application submitted to the regional office a day after the expiry date and likewise those with incomplete requirements shall be considered filed out of time.
	7.1.3	The CSW granted with provisional accreditation shall automatically expire on the specified date, unless granted an extension after compliance with the recommended improvements.
	7.1.4	A CSW that needs renovation and/or provision of appropriate equipment and facilities must be complied first before endorsement to the CSWCT.
	7.1.5	Failure to conform to the needed renovation and/or provision of equipment and facilities shall result to the downgrading of its classification or the pendency of the application for accreditation.
	7.1.6	Failure to renew its Certificate of Accreditation on the specified date shall result in automatic revocation of its accreditation.
	7.1.7	The CSW shall consistently follow the procedure for the issuance of a Certificate of Accreditation found in this Order.

Section 8
IMPLEMENTATION

8.1	The following agencies shall be the CA in the implementation of this Order:
	8.1.1	BFAR, for fish and aquatic products;
	8.1.2	NMIS, for meat and meat products;
	8.1.3	BPI, for fruits, vegetables and plant products; and
	8.1.4	BAI, for eggs, milk other milk products, and animal feeds.
8.2	The concerned CA shall oversee the unloading of products for storage in the accredited CSW.

Section 9
RESPONSIBILITIES OF COLD STORAGE OPERATORS

9.1	The cold storage operators and the accredited CSW shall comply with the terms and conditions of the DA's issuance of a Certificate of Accreditation.
	9.1.1	The Cold Storage Operators shall:
		9.1.1.1	Fully cooperate with the CA in the implementation of this Order.
		9.1.1.2	Support the traceability system for food products being advocated by the Department of Agriculture.
		9.1.1.3	Allow duly authorized officers/inspectors of the CA to enter and inspect the CSW premises during reasonable hours and conditions.
		9.1.1.4	Allow the verification and evaluation of relevant records or documents.
		9.1.1.5	Provide assistance as may be needed to enable the controlling authority to conduct inspection and testing efficiently and effectively.
		9.1.1.6	Communicate immediately with the concerned Competent Authority for any technical problems that may arise.
		9.1.1.7	Not allow the unloading of imported products for storage therein in the absence of representative from the concerned CA.
		9.1.1.8	Not allow the release of commodities for which a Hold Order was issued by the concerned CA.

Section 10
FUNCTIONS OF THE COMMITTEE ON COLD STORAGE WAREHOUSE
ACCREDITATION (CCSWA)

10.1	The CCSWA shall:
	10.1.1	Conduct audit and assessment of the CSW.
	10.1.2	Endorse the submitted documents, as well as the report on the result of the audit and assessment to the CSWCT.
	10.1.3	If there are comments/objections from any of the CAs on the result of the audit and assessment by the CCSWA, upon referral, the CCSWA shall conduct further study and prepare its recommendations to the CSWCT Chairman.

Section 11
FUNCTIONS OF THE COLD STORAGE
WAREHOUSE COMPOSITE TEAM (CSWCT)

11.1	The CSWCT shall:
	11.1.1	Review all documents submitted by the CCSWA and make recommendations to the CSWCT Chairman
	11.1.2	CSWCT Chairman shall issue the Certificate of Accreditation or letter of disapproval of Accreditation, as the case may be.
	11.1.3	Investigate and recommend to the DA Secretary appropriate actions/penalties for violations of this AO.
	11.1.4	Provide Forum to address issues arising from the implementation of this Order.
	11.1.5	Maintain a list of accredited CSWs and non-compliant and/or non-accredited CSW and monitor regularly.

Section 12
REPEALING CLAUSE

The provisions of existing Memorandum Circulars, Administrative Order, other issuances or parts thereof that are inconsistent with the provisions of this Order are hereby modified, revoked or repealed accordingly.

Section 13
PENALTY PROVISION

All persons, firm or corporation found guilty of directly or indirectly violating any provision of this Order shall be penalized under all existing relevant laws, which shall have suppletory application to this Order.

Section 14
EFFECTIVITY

This Administrative Order shall take effect fifteen (15) days after publication in two (2) newspapers of general circulation, the Official Gazette and filing of a copy at the UP Law Center.

(SGD.) PROCESO J. ALCALA Secretary
Recommending for Approval:
(SGD.) DR. RUBINA O. CRESENCIO Director Bureau of Animal Industry	(SGD.) DR. CLARITO M. BARRON, PhD, CESO IV Director Bureau of Plant Industry
(SGD.) ATTY. ASIS G. PEREZ Director Bureau of Fisheries and Aquatic Resources	(SGD.) DR. MINDA S. MANANTAN Executive Director National Meat Inspection Service