Export and Investments Development Act

Senate Silice of the Bert, *p TWENTIETH CONGRESS OF THE ) REPUBLIC OF THE PHILIPPINES ) ) AUG -6 P4:25 First Regular Session SENATE RECEIVED BY: S. No. 1064 Introduced by Senator Jinggoy Ejercito Estrada AN ACT TO DEVELOP EXPORTS AS A KEY TO ACCELERATING ECONOMIC GROWTH AND ENHANCING THE GLOBAL COMPETITIVENESS OF PHILIPPINE PRODUCTS AND SERVICES, THEREBY AMENDING REPUBLIC ACT NO. 7844 OTHERWISE KNOWN AS THE EXPORT DEVELOPMENT ACT OF 1994, AND FOR OTHER PURPOSES EXPLANATORY NOTE The Philippine export sector remains a vital pillar of economic growth and a key driver in the country's integration into the global marketplace. As a foundation in pursuing economic development, our country has worked to improve its export performance under past administrations. According to preliminary data released by the Philippine Statistics Authority (PSA) in its International Merchandise Trade Statistics of the Philippines, March 2025, the country's total export sales amounted to USD 6.59 billion, reflecting an annual growth of 5.9% compared to the same period in the previous year. For the first quarter of 2025 alone, total exports reached USD 19.27 billion, up 5.7% year-on-year. Among the top-performing commodity groups were electronic products, which accounted for USD 3.64 billion or 55.2% of the country's total exports in March 2025. Manufactured goods continued to dominate, contributing over 80% of total exports. Meanwhile, the United States remained the largest single-country destination for

Philippine exports, with USD 1.11 billion in export value, highlighting the importance of the country's trade partnerships with advanced economies. These data demonstrate both the strength and potential of Philippine exports. However, despite these gains, our exporters, particularly micro, small, and medium enterprises (MSMEs), continue to face challenges in competitiveness, market access, regulatory compliance, and innovation. This proposed measure seeks to strengthen support for MSMEs; integrate quality apprenticeships, digital upskilling initiatives, and enterprise-based learning models into the country's educational system; institutionalize benchmarking and market intelligence mechanisms; establish an export green lane facility; rationalize export requirements; prohibit the collection of export-related fees not expressly authorized by law; and institutionalize the annual celebration of a National Exporter's Week, among others reforms. A similar measure was filed by Senator Juan Edgardo "Sonny" Angara during the 19th Congress, during which committee hearings were conducted to gather insights from industry experts and stakeholders. In view of the foregoing, the immediate passage of this bill is earnestly sought. JINGGOY EJERCITO ESTRADA

Senate Offire of the sure up TWENTIETH CONGRESS OF THE REPUBLIC OF THE PHILIPPINES ) 25 AUG -6 P4:25 First Regular Session SENATE RECEIVED BY. S. No. 1064 Introduced by Senator Jinggoy Ejercito Estrada AN ACT TO DEVELOP EXPORTS AS A KEY TO ACCELERATING ECONOMIC GROWTH AND ENHANCING THE GLOBAL COMPETITIVENESS OF PHILIPPINE PRODUCTS AND SERVICES, THEREBY AMENDING REPUBLIC ACT NO. 7844 OTHERWISE KNOWN AS THE EXPORT DEVELOPMENT ACT OF 1994, AND FOR OTHER PURPOSES Be it enacted by the Senate and the House of Representatives of the Philippines in Congress assembled:

Section 1. Short Title. - This Act shall be known as the "Exports and

Investments Development Act.

Sec. 2. Section 2 of Republic Act No. 7844, otherwise known as the "Export

Development Act of 1994" shall be amended as follows: "Sec. 2. Declaration of policy. — It shall be the policy of the State to evolve export development into a national effort AND TRANSFORM THE PHILIPPINES INTO AN EXPORTING NATION. The [government] STATE shall champion exports as a focal strategy for [a] THE ACCELERATION OF INCLUSIVE ECONOMIC GROWTH, INVESTMENTS PROMOTION, EFFICIENT TRANSFER OF KNOWLEDGE AND KNOW-HOW, SCIENTIFIC AND TECHNOLOGICAL INNOVATION, AND sustainable agri- industrial development [to achieve Philippine NIChood towards the year 2000. The private sector shall take the lead

in the collective effort to promote exports through discipline and hard work, as it confronts the challenge of winning international markets.] "[The government and the private sector shall jointly transform the Philippines into an exporting nation.] IT IS THE POLICY OF THE STATE TO IMPROVE THE CONTRIBUTION OF EXPORTS TO NATIONAL ECONOMIC DEVELOPMENT, BY ELEVATING THE DIVERSITY, SOPHISTICATION, AND QUALITY OF PRODUCTS THAT ARE PRODUCED AND/OR SOURCED DOMESTICALLY FOR EXPORT PURPOSES. Towards this end, the State shall instill in the Filipino people that exporting is [not just a sectoral concern, but the key to national survival and the means through which the economic goals of increased employment and enhanced incomes can most expeditiousty be achieved.] KEY TO NATIONAL DEVELOPMENT AND A MEANS TO EXPEDITIOUSLY REDUCE POVERTY, PROVIDE EMPLOYMENT, AND INCREASE THE AVERAGE INCOME OF FILIPINO HOUSEHOLDS.

Sec. 3. Section 3 of Republic Act No. 7844, otherwise known as the "Export

Development Act of 1994" shall be amended as follows: "Sec. 3. Key Operating Principles. - A macro-economic policy framework that supports export development shall be provided, especially in key areas of concern to exporters: "a) xxx; "b) Fiscal and credit policies shall provide adequate funds for public andprivate investments and business expansion, while keeping the cost of credit comparable to international levels ensuring access to loanable funds for [SMES] MICRO, SMALL, AND MEDIUM ENTERPRISES (MSMES), as well as highly technical AND INNOVATIVE export enterprises, especially those in the countryside;

"c) xxx; "d) xxx; "e) Technical support policies to improve the quality of export products shall be adopted, particularly those relating to technology transfer, R&D, technical training and related activities, INCLUDING THOSE THAT REQUIRE FOREIGN INVESTMENT OR INVOLVE ASSISTANCE FROM FOREIGN PARTNERS WHEREVER APPLICABLE, SUBJECT TO RELEVANT LAWS AND REGULATIONS. As such, the Department of Science and Technology (DOST) and the Department of Agriculture (DA) shall be supported by colleges and universities in the diffusion of technology, information and training to the countryside for agri-industrial and export development; "f) Urgent attention must be given to policies affecting infrastructure in order to ensure the adequate supply and quality of power, water [e.g., for irrigation], transportation [e.g., shipping and cargo handling], and communication to support the flow of goods and services in the context of the national export drive; "g) The link between export growth and countryside development must be strengthened through policies favorable to MSMEs, regional industrial centers, and export processing zones to boost rural and farm-based entrepreneurship in identified geographic economic growth areas of the country; "h) Labor and industrial relations policies must recognize the inevitable industrial shifts that will occur in the effort to achieve international competitiveness. Focus shall be given to the formulation of accords between labor and management which shall provide for sustained increase in productivity and competitiveness. In line with this, dual training schemes, QUALITY APPRENTICESHIPS,

DIGITAL UPSKILLING INITIATIVES AND OTHER ENTERPRISE-BASED MODALITIES OF LEARNING THAT INVOLVE CLOSE COLLABORATION BETWEEN EDUCATIONAL INSTITUTIONS AND THE PRIVATE SECTOR shall be integrated as a basic component to the country's primary and secondary education program to ensure that the manpower needs of agriculture and industry will be matched by the skills generated by the educational system. Reasonable price and income policies shall likewise be adopted in order to safeguard the interest of the labor sector; "i) All government agencies whose regulations affect exporters [such as the Beard of Investments (BOI), Bureau of Customs (BOC) and Bureau of Internal Revenue (BIR)] shall IMPLEMENT REGULATORY REFORMS AND simplify THEIR procedures to [minimize bureaucratic red tape] INCREASE EFFICIENCY AND REDUCE TRANSACTIONAL COSTS IN CONSONANCE WITH R.A. 11032 OR THE EASE OF DOING BUSINESS AND EFFICIENT GOVERNMENT SERVICE DELIVERY ACT OF 2018. "J) EFFECTIVE TARGETING OF EXPORT MARKETS, POTENTIAL LOCATORS AND INVESTORS, PRODUCTS FOR DEVELOPMENT, AND NEW GROWTH OPPORTUNITIES SHALL BE INFORMED AND GUIDED BY PROPER SCIENTIFIC ANALYSIS OF RELEVANT DATA AND INFORMATION. AS SUCH, THE DEPARTMENT OF TRADE AND INDUSTRY (DTI) SHALL COORDINATE AND JOINTLY IMPLEMENT WITH THE PHILIPPINE STATISTICS AUTHORITY (PSA), AND OTHER APPROPRIATE GOVERNMENT AGENCIES, DATA-COLLECTION PROCEDURES, DATA-SHARING ARRANGEMENTS, RELEVANT SUBSCRIPTIONS AND

OTHER MECHANISMS THAT ENABLE THE PROPER MEASUREMENT OF THE COUNTRY'S PRODUCTIVE CAPABILITIES AND KNOW-HOW, ITS RELATIVE COMPARATIVE ADVANTAGE IN CERTAIN PRODUCTS AND SERVICES, AND OTHER FACTORS RELEVANT TO THE FULFILLMENT OF THE OBJECTIVES OF THIS ACT. WHEREVER FEASIBLE, SUCH DATA AND INFORMATION SHALL BE DISAGGREGATED INTO NATIONAL, REGIONAL, PROVINCIAL, AND CITY OR MUNICIPALITY LEVELS OF ANALYSIS." "[Ú.)] K. Provisions of existing laws deemed detrimental to the export sector shall be repealed in subsequent acts.

Sec. 4. Section 4 of Republic Act No. 7844, otherwise known as the "Export

Development Act of 1994" shall be amended as follows: "Sec. 4. Definition of Terms. - For the purposes of this Act, the following definitions shall apply to the following terms: "a) "Exporter" means any person, natural or juridical, licensed to do business in the Philippines, engaged directly or indirectly in the production, manufacture, assembly, processing, or trade of products or services which earns at least fifty percent (50%) of its normal operating revenues from the sale of its products or services abroad for foreign currency: Provided, That in the case of services, the same shall be limited to [information technology services, construction services and other] services as defined jointly by the Department of Finance (DOF) and the Department of Trade and Industry (DTI). Services rendered by overseas contract workers are not covered by [the] this definition. "b) xxx;

"c) "Export incentives" shall refer to support measures, FISCAL AND NON-FISCAL, provided by the government to exporters to encourage investment in the export sector, create a freer trade environment and motivate exporters to increase export sales and perform competitively in the [expert] GLOBAL market. The overall objective is to increase the country's export sales. "d) "Accredited EXPORT Organization" shall refer to the organization of exporters granted accreditation by the Export Development Council, as provided in Section 7(1) of this Act. "E) "SOPHISTICATED" REFERS TO THE STATE WHEN A PRODUCT OR SERVICE REQUIRES A HIGH NUMBER OF CAPABILITIES, COMPETENCIES OR KNOW-HOW TO BE PRODUCED OR OFFERED. "F) "SOPHISTICATION" REFERS TO THE NUMBER OF CAPABILITIES, COMPETENCIES, OR KNOW-HOW REQUIRED FOR A PRODUCT OR SERVICE TO BE OFFERED BY AN ECONOMY LIKE THAT OF THE PHILIPPINES."

Sec. 5. Section 5 of Republic Act No. 7844, otherwise known as the "Export

Development Act of 1994" shall be amended as follows: "Sec. 5. Philippine Export Development Plan (PEDP). - The President of the Republic of the Philippines shall approve a rolling three-year Philippine Export Development Plan prepared by the [Department of Trade and Industry] DTI which shall form part of the [medium term] Philippine Development Plan ([MF]PDP). It shall be formulated AND VALIDATED in consultation with the RELEVANT GOVERNMENT AGENCIES AND private sector [, validated] TO BE REVIEWED and updated semestrally.

"The PEDP shall define the country's annual and medium-term export thrusts, strategies, programs and projects INCLUDING THE ENHANCEMENT OF THE CAPABILITIES OF FILIPINO ENTERPRISES AND PROFESSIONALS TO PRODUCE AND OFFER INCREASINGLY SOPHISTICATED AND DIVERSIFIED PRODUCTS AND SERVICES, ALIGNED WITH THE PREVAILING STRATEGIC INVESTMENT PRIORITIES PLAN AND THE MICRO, SMALL, AND MEDIUM ENTERPRISE DEVELOPMENT (MSMED) PLAN. THE PEDP [and] shall be jointly implemented by the government, export and other concerned sectors. "UPON APPROVAL OF THE PEDP, THE PRESIDENT SHALL DIRECT RELEVANT GOVERNMENT AGENCIES TO ALLOCATE FUNDS, UNDER THE GENERAL APPROPRIATIONS ACT (GAA), IN SUPPORT OF THE IMPLEMENTATION OF THE PEDP WHICH SHALL BE MANAGED BY THE DTI - EXPORT MARKETING BUREAU."

Sec. 6. Section 6 of Republic Act No. 7844, otherwise known as the "Export

Development Act of 1994" shall be amended as follows: "Sec. 6. Export Development Council. - The existing Export Development Council [hereinafter referred to as the "Council" which was created by Executive Order No. 98 t19931 as modified by Executive Order No. 110[19931, Executive Order No. 180 {19947, and Republic Act 7844 (1994)] is hereby reorganized and restrengthened to suitably and periodically oversee the implementation of the PEDP and to continuously ensure proper coordination of the formulation and implementation of policy reforms to support the said Plan."

Sec. 7. Section 7 of Republic Act No. 7844, otherwise known as the "Export

Development Act of 1994" shall be amended as follows: "Sec. 7. Powers and Functions. - The Council shall: "a) [approve the PEDP; coordinate, monitor and assess the implementation thereof, and when necessary, institute appropriate adjustments thereon in the light of changing conditions in both the domestic and international environment;] ASSIST THE DTI IN DRAFTING THE PEDP WITH VARIOUS INPUTS FROM STAKEHOLDERS; "b) xxx; "C) ENDORSE TO THE PRESIDENT OF THE PHILIPPINES THE APPROVAL OF THE PEDP; COORDINATE, MONITOR AND ASSESS THE IMPLEMENTATION THEREOF, AND, WHEN NECESSARY, INSTITUTE APPROPRIATE ADJUSTMENTS THEREON IN THE LIGHT OF CHANGING CONDITIONS IN BOTH THE DOMESTIC AND INTERNATIONAL ENVIRONMENTS; "[c] D) Identify the main bottlenecks, problems and constraints in all areas/sectors/activities which influence the competitiveness of exports [including but not limited to, such matters as policy framework; physical infrastructure, finance, technology, production, promotions and marketing]; "[e] E) Mandate specific departments and agencies to address the bottlenecks and problems constraining the [development] COMPETITIVENESS, SOPHISTICATION, AND DIVERSIFICATION of exports [in any of the arcas mentioned in paragraph (c) abovel, and require the concerned Secretaries or their duly authorized representatives to [deliver] SUBMIT progress reportS on the

actions/initiatives taken to resolve these areas of concern at the [next message] SOONEST POSSIBLE TIME; "[e] F) Ensure export quality control by overseeing the formulation and implementation of quality control guidelines by appropriate agencies to [make] ENABLE PRODUCTION OF SOPHISTICATED AND DIVERSIFIED Philippine exports WHICH ARE at par with world-class products; "[f] G) Impose sanctions on any government agency or officer or employee thereof, or private sector entity that impedes efficient exportation of Philippine goods; "[g] H) Recommend to Congress any proposed legislation that would contribute to the competitiveness of Philippine exports; "[A] I) Submit [quarterly] ANNUAL reports to Congress; "[i. Formulate policies or recommend measures and draw up a study within ninety E901 days from the approvar of this Act, relative to the rationalization of the government's export promotion and development functions/activities and programs for the eventual transfer of government export promotions and development activities to the sector within a period of two [21 years after the approval of this Act] "(i) [Formulate the] RECOMMEND policies AND RULES AND REGULATIONS for the grantling] of incentives to exporters BY CONCERNED GOVERNMENT AGENCIES; "k) Adopt such policies, rules, procedures and administrative systems for the efficient and effective exercise of its powers and functions I, including the creation or adoption of an executive committee or secretariat];

"I) Grant and review the accreditation of the DOMINANT organization of exporters according to the guidelines [which it shall later promulgate for the said purpose: Provided, That the organization accredited shall be the dominant one among the other existing export organizations as determined under the guidelines promulgated by the Council hereof. "m) xxX. "N) MANDATE CONCERNED GOVERNMENT INSTRUMENTALITIES TO CONDUCT BENCHMARKING OF TRADE PRACTICES AND PERFORMANCE ABROAD, AS WELL AS MARKET INTELLIGENCE AND/OR CRITICAL STRATEGIES THAT WILL ENHANCE THE SOPHISTICATION AND COMPETITIVENESS, DIVERSIFICATION OF PHILIPPINE EXPORTS. "XXX."

Sec. 8. Section 8 of Republic Act No. 7844, otherwise known as the "Export

Development Act of 1994" shall be amended as follows: "Sec. 8. Composition of the Council. - The Council shall be composed of the following: "a. xxx "XXX "h. XXX "i. [Nine (9)] THREE (3) representatives from the private sector, [the majority of whom shall be recommendees of the accredited organization] and one of whom shall be elected by the Council as Vice-Chairman. "Other heads of executive agencies, private organizations or individuals can be called upon by the Council to attend any Council meeting and assist the Council to resolve issues and problems that concern their respective offices.

"[Likewise, such heads of executive agencies, private organizations or individuals shall respond to the queries of the Council within two weeks from the time such queries are received.]"

Sec. 9. Section 9 of Republic Act No. 7844, otherwise known as the "Export

Development Act of 1994" shall be amended as follows: "Sec. 9. [Mode of] Selection and [Fenure] APPOINTMENT of Private Sector Representatives - The President shall appoint the private sector representatives La who are not ex officio, upon nomination of the accredited organization;] BASED ON THE LIST OF NOMINEES PREPARED BY THE DTI-EMB, ensuring balanced representations [from the Visayas and Mindanao] ACROSS THE MAJOR ISLAND GROUPS and various sectors [, such as the labor sector, agricultural and traditional export sectors as against the non-agricultural and non-traditional export sectors and the like]. "THE SUCCEEDING APPOINTMENTS, AFTER EFFECTIVITY OF THIS ACT, SHALL BE BASED ON THE LIST OF NOMINEES PREPARED BY THE COUNCIL BASED UPON THE RECOMMENDATION OF DTI-EMB: PROVIDED, THAT SECTORAL REPRESENTATION IN THE COUNCIL MAY BE SUBJECT TO MODIFICATION BASED ON THE RECOMMENDED SECTORS OF THE EMB. "The private sector representatives of the Council shall serve for a period of [two (2)] THREE (3) years. NO PRIVATE SECTOR REPRESENTATIVE SHALL SERVE FOR MORE THAN TWO (2) CONSECUTIVE TERMS. VOLUNTARY RENUNCIATION OF THE OFFICE FOR ANY LENGTH OF TIME SHALL NOT BE CONSIDERED AS AN

INTERRUPTION IN THE CONTINUITY OF HIS SERVICE FOR THE FULL TERM FOR WHICH HE WAS APPOINTED. When a vacancy occurs due to the resignation, death or incapacity of a member, a replacement who shall serve for the remainder of the members term of office shall be appointed by the President: PROVIDED, THAT SUCH VACANCY MUST BE FILLED WITHIN THIRTY (30) DAYS FROM OCCURRENCE THEREOF: PROVIDED, FURTHER, THAT THE SUCCESSOR SHALL ONLY SERVE THE REMAINING UNEXPIRED PORTION OF THE TERM."

Sec. 10. Section 10 of Republic Act No. 7844, otherwise known as the "Export

Development Act of 1994" shall be amended as follows: "Sec. 10. Meetings of the Council. - REGULAR MEETINGS OF THE Council-shall BE HELD AT LEAST [meet] once a month TO BE PRESIDED BY THE CHAIRMAN: Provided, That [the President or the chairman may convene the Council anytime whenever he deems it necessary.] WRITTEN NOTICE OF REGULAR MEETINGS SHALL BE SENT TO ALL COUNCIL MEMBERS OF RECORD AT LEAST FOURTEEN (14) DAYS PRIOR TO THE MEETING: PROVIDED, FURTHER, THAT WRITTEN NOTICE OF REGULAR MEETINGS OR ITS DEFERMENT MAY BE SENT TO ALL COUNCIL MEMBERS OF RECORD THROUGH ELECTRONIC MAIL OR SUCH OTHER MANNER AS THE COUNCIL SHALL ALLOW: PROVIDED, FINALLY, THAT SHOULD THERE BE ANY CHANGES IN THE USUAL CONDUCT OF THE REGULAR MEETING, A WRITTEN NOTICE STATING THE DATE, TIME AND PLACE, OR ANY RELEVANT MODIFICATIONS OF THE SAID MEETING MUST BE SENT TO EVERY MEMBER AT LEAST FIVE (5) DAYS PRIOR TO THE SCHEDULED

MEETING. SPECIAL MEETINGS OF THE COUNCIL MAY BE HELD AT ANY TIME UPON THE CALL OF THE CHAIRMAN OR UPON MOTION OF THE VICE- CHAIRMAN RAISED BEFORE THE COUNCIL MEMBERS AND WITH ACQUIESCENCE OF AT LEAST A MAJORITY THEREOF. "[The President shall preside over meetings of the Council on a quarterly basis.]"

Sec. 11. New sections to be denominated as Section 10-A, 10-B, and 10-C are

hereby inserted after Section 10 of Republic Act No. 7844, otherwise known as the "Export Development Act of 1994", which shall read as follows: "SEC. 10-A. VENUE OF MEETINGS. - MEETINGS OF THE COUNCIL MAY BE HELD ANYWHERE IN THE PHILIPPINES, UNLESS OTHERWISE STIPULATED IN IMPLEMENTING RULES AND REGULATIONS OR AS MAY BE AGREED UPON BY THE COUNCIL DURING THE PRECEDING REGULAR MEETING: PROVIDED, THAT, THE COUNCIL MAY CONDUCT MEETINGS THROUGH TELECONFERENCE, VIDEO CONFERENCE, OR OTHER RELIABLE FORMS OF REMOTE OR ELECTRONIC MEANS, USING APPROPRIATE INFORMATION AND COMMUNICATIONS TECHNOLOGY SYSTEMS, IN TIMES OF PUBLIC EMERGENCIES, FORCE MAJEURE, OR OTHER SIMILAR EVENTS AS MAY BE DETERMINED BY THE COUNCIL WHICH MAY PREVENT MAJORITY OF THE MEMBERS FROM ATTENDING THE MEETINGS: PROVIDED, FURTHER, THAT REMOTE PARTICIPATION IN MEETINGS SHALL BE AVAILABLE ONLY IF THE COUNCIL MEMBER IS WITHIN PHILIPPINE JURISDICTION." "SEC. 10-B. QUORUM AND VOTING. - FOR PURPOSES OF QUORUM FOR AND DURING MEETINGS,

ATTENDANCE OF A MAJORITY OF THE COUNCIL MEMBERS IS NECESSARY. A VOTE OF A MAJORITY OF THE COUNCIL MEMBERS WHO ACTUALLY TOOK PART IN THE DELIBERATIONS OF MATTERS RAISED DURING THE MEETING IS NEEDED IN ORDER TO REACH A DECISION. VOTES OF COUNCIL MEMBERS WHO FAILED TO COMPLY WITH THE AFOREMENTIONED REQUISITE SHALL NOT BE CONSIDERED." "SEC. 10-C. SECRETARIAT. - WITHIN SIXTY (60) DAYS AFTER THE EFFECTIVITY OF THIS ACT, A SECRETARIAT SHALL BE CREATED IN THE DTI-EMB, UNDER THE DIRECT SUPERVISION OF ITS DIRECTOR. THE SECRETARIAT SHALL SERVE AS THE SUPPORT STAFF OF THE COUNCIL IN THE EXERCISE OF ITS FUNCTIONS. SUCH POSITIONS MAY BE CREATED FOR THIS PURPOSE, IN CONSULTATION WITH THE DEPARTMENT OF BUDGET AND MANAGEMENT."

Sec. 12. Section 12 of Republic Act No. 7844, otherwise known as the "Export

Development Act of 1994" shall be amended as follows: "Sec. 12. Accredited Export Organization (AEO). - The Council shall accredit a single umbrella organization of exporters, BASED ON ACCREDITATION GUIDELINES TO BE ISSUED PURSUANT TO THIS ACT [pursuant to Section 7(1) of this Act], to represent the export sector concerns and interests for three (3) years E, after which the Council shall undertake a review of the accreditation prior to the granting or re-granting of the said accreditation]. THE PROCEDURE FOR RENEWAL OF ACCREDITATION OF THE AEO OR THE GRANT OF ACCREDITATION TO A NEW ONE SHALL LIKEWISE BE BASED ON THE ACCREDITATION GUIDELINES.

"The accredited EXPORT organization shall: "a) xxx; "b) [Represent the interest of the export sector] ADVOCATE POLICY REFORMS AND SUSTAINABLE AND IN NOVATION-DRIVEN PROGRAMS IN PARTNERSHIP WITH THE GOVERNMENT FOR THE INTERESTS OF THE EXPORT SECTOR; "C) ESTABLISH AND/OR STRENGTHEN REGIONAL AND/OR PROVINCIAL OFFICES TO PROVIDE DEDICATED ASSISTANCE TO EXPORTERS AND ASPIRING EXPORTERS AND IMPLEMENT EXPORT INDUSTRY DEVELOPMENT AND PROMOTION ACTIVITIES IN CLOSE COORDINATION WITH THE DTI OFFICES AND OTHER RELEVANT GOVERNMENT AGENCIES IN THE REGIONS/PROVINCES; "[c.] D) [Be responsible for coordinating, supporting and assisting] COORDINATE, SUPPORT AND ASSIST the DTI relative to the formulation and implementation of the government's export DEVELOPMENT AND promotion programs and policies; Provided, That in the event that some of the export promotion functions of the government are privatized in accordance with the Act, it shall be responsible for the performance of such privatized export promotion function; "[d] E) Manage the Philippine Trade Center, which shall include, among others, the authority to enter into contracts with promotion facilities or functions; AND, "F) SUBMIT ANNUAL REPORT TO THE COUNCIL AND RECOMMEND PROPOSED POLICY MEASURES AIMD GOVERNMENT PROGRAMS THAT WOULD CONTRIBUTE TO THE DEVELOPMENT OF EXPORTS."

Sec. 13. A new Section 15-A is hereby inserted after Section 15 of Republic Act

2 No. 7844, otherwise known as the "Export Development Act of 1994", which shall read as follows: "SEC. 15-A. EXPORT TRADE COMPLAINTS DESK(ETDC). - THE DTI SHALL ESTABLISH AN EXPORT TRADE COMPLAINTS DESK WHERE EXPORTERS, BUYERS, OR THEIR AGENTS CAN FILE COMPLAINTS AND SEEK REDRESS FOR GRIEVANCES RELATING TO ANY EXPORT-RELATED TRANSACTION, IN ORDER TO PROMOTE ETHICAL BUSINESS PRACTICES AND ENHANCE THE IMAGE OF THE PHILIPPINES AS A RELIABLE SUPPLIER OF GOODS AND SERVICES IN THE GLOBAL MARKET."

Sec. 14. Section 17 of Republic Act No. 7844, otherwise known as the Export

Development Act of 1994 is hereby repealed.

Sec. 15. New Articles III, IV and V shall be inserted in Republic Act No. 7844,

otherwise known as the "Export Development Act of 1994" and the existing Article III and succeeding Articles and its sub-sections shall be re-sectioned and renumbered accordingly. The new Article III shall read as follows: "ARTICLE III "FUNDING "Sec. 16. Funding. - [The activities and operational expenses of the Council shalt be funded jointly by budgetary appropriations from the government and by private sector contributions as provided for in Executive Order No. 98.] A SEED CAPITAL FUND SHALL BE ESTABLISHED TO COVER ACTIVITIES AND OPERATIONAL EXPENSES OF THE COUNCIL THROUGH JOINT BUDGETARY APPROPRIATIONS FROM GOVERNMENT AND PRIVATE SECTOR-CONTRIBUTIONS. "SEC. 17. GOVERNMENT-OWNED AND/OR CONTROLLED CORPORATIONS (GOCCS) SHALL

PROVIDE SUPPORT ON ESTABLISHING A SUSTAINABLE FUNDING MECHANISM FOR THE IMPLEMENTATION OF THE EXPORTS AND INVESTMENTS POLICIES, PLANS, PROGRAMS, PROJECTS, AND INITIATIVES. "ARTICLE IV "OTHER INCENTIVES "SEC. 18. CREATION OF AN EXPORT GREEN LANE FACILITY. - AN EXPORT GREEN LANE FACILITY SHALL BE ESTABLISHED FOR QUALIFIED EXPORTERS FOR ADVANCE PROCESSING AND CLEARANCES OF THEIR EXPORT REQUIREMENTS UNDER THE BUREAU OF CUSTOMS, FOOD AND DRUG ADMINISTRATION AND OTHER COMPETENT AUTHORITIES. "SEC. 19. EXEMPTION FROM EXPORT REQUIREMENTS. - ALL INSPECTION, COMMODITY AND EXPORT CLEARANCE REQUIREMENTS ON PHILIPPINE COMMODITY EXPORTS ARE HEREBY DISPENSED WITH, EXCEPT FOR THE FOLLOWING: "A) THOSE REQUIRED AS A RESULT OF THE EXISTENCE OF IMPORT QUOTAS IN OTHER COUNTRIES, SUCH AS GARMENTS AND SUGAR; "B) THOSE COVERING ITEMS WHICH ARE BANNED FOR EXPORTS; "C) THOSE COVERING EXPORTS OF LOGS, COPPER AND COFFEE; AND "D) THOSE COVERED BY INTERNATIONAL AGREEMENTS TO WHICH THE PHILIPPINES IS A SIGNATORY. "ANY OR ALL OF THE CLEARANCE REQUIREMENTS DISPENSED WITH IN THE PRECEDING PARAGRAPH MAY BE REINSTATED WITH

PRIOR APPROVAL, BY AN INTER-AGENCY COMMITTEE (IAC) COMPOSED OF THE REPRESENTATIVE OF THE DEPARTMENT OF TRADE AND INDUSTRY, AS CHAIRPERSON, AND THE REPRESENTATIVES OF THE DEPARTMENTS OF FINANCE, BUDGET AND MANAGEMENT, BANGKO SENTRAL NG PILIPINAS, AND THE NATIONAL ECONOMIC AND DEVELOPMENT AUTHORITY, AS MEMBERS, TAKING INTO ACCOUNT FACTORS SUCH AS REQUIREMENTS OF THE IMPORTER OR IMPORTING COUNTRY, SECURITY, HEALTH, SAFETY AND OTHER REASONS IN THE NATIONAL INTEREST: PROVIDED, THAT NO NEW INSPECTION, COMMODITY AND EXPORT CLEARANCE REQUIREMENTS MAY BE IMPOSED BY A GOVERNMENT OFFICE, BUREAU, AGENCY, OR INSTRUMENTALITY WITHOUT PRIOR APPROVAL BY THE LAC. "SEC. 20. FEES ON EXPORTS. - NO OTHER FEES SHALL BE IMPOSED OR COLLECTED ON EXPORT RELATED PERMITS AND CLEARANCES OTHER THAN THOSE SPECIFICALLY REQUIRED BY LAW. "ARTICLE V "NATIONAL EXPORTER'S WEEK "SEC. 21. NATIONAL EXPORTER'S WEEK. - THE FIRST WEEK OF DECEMBER OF EVERY YEAR IS HEREBY DECLARED AS NATIONAL EXPORTER'S WEEK. THE DTI, EDC AND THE AEO SHALL JOINTLY ORGANIZE ACTIVITIES TO ENCOURAGE ACTIVE PARTICIPATION OF EXPORTERS, TRADE-RELATED AGENCIES AND THE ACADEME AND RELATED ORGANIZATIONS, ESPECIALLY THOSE THAT ARE IN THE REGIONS, THAT AIM TO FOSTER

COLLABORATION, PARTNERSHIP AND SYNCHRONIZATION OF EFFORTS TOWARDS EXPORT INDUSTRY DEVELOPMENT. THEY SHALL LIKEWISE RECOGNIZE THE CONTRIBUTION OF EXPORTERS IN THE ECONOMIC DEVELOPMENT OF THE COUNTRY BY INCLUDING THE CONFERMENT OF AWARDS TO PERFORMING EXPORTERS DURING THE NATIONAL EXPORTER'S WEEK. TO THIS END, THE DTI, EDC AND AEO SHALL ISSUE GUIDELINES ON THE CRITERIA AND CATEGORIES FOR THE SELECTION OF THE EXPORTERS' AWARD. CATEGORIES MAY INCLUDE BUT ARE NOT LIMITED TO RECOGNITION OF APPLICATION OF NEW INNOVATION, TECHNOLOGY TRANSFER AND EXPORT/PRODUCT DIVERSIFICATION. "Article 3 "Other Incentives "Sec. [16] 22. Incentives. - XXx "Sec. [177 23. Negotiability. - xxx "Article 4 "Transitory Provisions "Sec. [18] 24. Appointment of Private Sector Representatives. - xxx "Sec. [191 25. Funding of the Council. - xxx "Sec. [20] 26. Operation of the Council. - xXX "Article 5 "Criminal Offenses and Penalties "Sec. [21] 27. Non-compliance of the Mandatory Provisions in this Act. - xxx "Article 6 "Administrative Procedures and Special Clauses

Sec. 16. Implementing Rules and Regulations. - The DTI, in consultation with

2 the EDC and other relevant government agencies and private stakeholders, shall 3 formulate the rules and regulations to implement the provisions of this Act within sixty 4 (60) days from effectivity of this Act. Non-issuance of the implementing rules and 5 regulation shall in no case prevent the full implementation of this Act after its 6 effectivity.

Sec. 17. Separability Clause. - If any part or provision of this Act is declared

unconstitutional, the remainder of this Act or any affected thereby shall remain in force and effect.

Sec. 18. Repealing Clause. - All existing laws or parts thereof inconsistent with

the provisions of this Act are hereby repealed or amended accordingly.

Sec. 19. Effectivity Clause. - This Act shall take effect fifteen (15) days after its

complete publication in the Official Gazette or in a newspaper of general circulation. Approved,