QuestionsQuestions (LETTER OF INSTRUCTIONS NO. 954)
Fish is essential to the Filipino diet; fish supply and prices fluctuate due to seasonality, inefficiencies in the fish marketing system, and lack of adequate institutional credit for producers and traders; hence the need for concerted government and private sector action to stabilize production, streamline marketing, and provide credit.
They were directed to undertake direct procurement of a significant portion of daily fish traded in Metro Manila and sell the fish through selected traders and/or retailers to reduce or stabilize supply and prices.
The Ministry of the Budget was directed to place the compensation and position structure of PFMA under the same classification as government corporations.
Through MLGCD’s Bureau of Cooperative Development: step up organization of cooperatives among market vendors; coordinate participation of market vendor and consumer cooperatives; direct CMSP to market fish at reasonable prices to marketing and consumer cooperatives; and direct existing 'Super Palengke' to increase fish volumes at reduced prices.
To prepare recommendations and guidelines for importing frozen fish to supply requirements of local fish canners, hotels, restaurants, and other institutions to ease pressure during lean months; headed by FTI’s Managing Director; members include a representative of local fish canners, importers of canned fish, tin-plate manufacturers, fishing vessel operators, the Central Bank, and PFMA.
Completing the terminal road network and providing lighting facilities in its newly-constructed wing, with a directive for PFMA to improve all its facilities in the area.
PFMA was instructed to immediately undertake accreditation of all fish producers and traders operating in Navotas Fishing Port and Fish Market, using credit-worthiness as the major criterion.
PFMA, jointly with Market Administrators in public markets, would accredit all fish retailers in public and private markets of Metro Manila; the Ministry of Finance, Market Administrators, and the Metro Manila Commission were instructed to assist PFMA in proper accreditation.
Market Administrators were instructed to allow use of market stalls and/or market 'puestos' as collaterals for working capital loans under the program and to respect financial institutions’ claims over these collaterals in case of foreclosure.
The LOI appropriated P35,000,000 for the last quarter of 1979: P20,000,000 for Land Bank as Guarantee and Loan Fund; P3,250,000 as PFMA corporate equity; P6,250,000 as FTI corporate equity; P1,500,000 for BFAR; and P4,000,000 for Cooperatives Development Fund for relending/trading operations.
Total appropriation for 1980 was P93,000,000: P80,000,000 for Land Bank Guarantee and Loan Fund; P5,000,000 for PEMA (current operating expenditures); P5,000,000 for FTI (current operating expenditures); and P3,000,000 for BFAR (surveys under the program).
Central Bank was to qualify a rediscounting rate of 4% for working capital loans granted by government financial institutions and private banks covered by promissory notes at an interest rate not to exceed 12% per annum plus 2% service charge.
The Land Bank Guarantee and Loan Fund was to cover 80% of the value of all working capital loans under the program.
The Commission on Audit was to draw up flexible audit procedures to enable FTI, PFMA, and CMSP to match private sector purchasing and marketing practices, including allowing immediate cash payments and verbal commitments for sourcing and marketing.
The LOI covered importation guidance for lean months (frozen fish imports), surveys and identification of bangus and prawn spawning grounds through BFAR, rice-fish expansion via Palay-Isdaan with fish nurseries, reductions of import duties on fishing vessels, increased quota for second-hand fishing vessels, faster licensing steps for joint fishing ventures (MARINA ad-hoc committee), and security measures for safe operations in certain waters.