Question & AnswerQ&A (PCA ADMINISTRATIVE ORDER NO. 01)
The legal basis is Presidential Decree No. 1468, as amended by Presidential Decree 1644, which grants the Philippine Coconut Authority (PCA) full power to regulate the marketing and export of coconut products and by-products.
The main objective is to promote the viability of the virgin coconut oil sector by enforcing mandatory minimum standards in processing and fair marketing to ensure competitiveness and consumer protection.
All Virgin Coconut Oil products must be processed in conformity with the mandatory standard for Philippine Virgin Coconut Oil adopted by the PCA and registered with the Philippine National Standards as PNS/BAFPS 22:2004.
Producers, processors, traders, and exporters of virgin coconut oil dealing business in the Philippines must register annually with the PCA.
They must obtain a License to Operate with the Bureau of Food and Drugs (BFAD) if the VCO is intended for human consumption, dietary/food supplement, or therapeutic application.
A commodity clearance must be obtained, issued by PCA based on inspection, sampling, and complete analysis by the PCA Product Quality Control Research Laboratory.
The label must provide sufficient information to identify the production process used, such as traditional process, fermentation with or without heat, centrifuge process, expelling process, or equivalent methods ensuring conformity with standards.
They must adopt suitable manufacturing practices or a 'kitchen-clean' plan, ensuring sanitation controls, proper handling, storage, packaging, and waste disposal to avoid contamination, guided by BFAD Administrative Order No. 153, s. 2004.
Inspection criteria include plant location away from animals and contamination sources, adequate lighting and ventilation, sanitary facilities, pest-free premises, suitable plant construction materials, and worker hygiene standards.
Sanctions include cancellation, revocation or suspension of Certificate of Registration, non-issuance of export or commodity clearance, and possible legal action with BFAD, Department of Trade and Industry, or National Consumers Council.
It takes effect fifteen days after its publication in a newspaper of general circulation.