Law Summary

1. Purpose and Background

• Legal Principle/Provision: This Executive Order aims to establish a committee dedicated to studying the feasibility of a Japan-Philippines Economic Partnership Agreement (JPEPA).
• Key Context:
  • The Philippines seeks to improve its economic status and reduce poverty.
  • Economic expansion and regional integration are seen as essential for sustainable growth.
  • The Philippines and Japan share a mutual interest in fostering economic ties.
• Important Objectives:
  • Promote bilateral economic cooperation across various sectors including trade, tourism, investments, and technology.

2. Creation of the Philippine Coordinating Committee (PCC)

• Legal Principle/Provision: Establishment of the PCC to oversee the feasibility study for JPEPA.
• Composition:
  • Representatives from various government agencies including, but not limited to:
    • Department of Foreign Affairs (DFA)
    • Department of Trade and Industry (DTI)
    • Department of Agriculture (DA)
    • Department of Finance (DOF)
    • National Economic and Development Authority (NEDA)
  • Each agency must have at least one permanent representative with a rank not lower than Director.
• Co-Chairs:
  • DFA Undersecretary for International Economic Relations
  • DTI Undersecretary for International Trade
• Meeting Coordination:
  • The DTI Undersecretary will convene meetings, with the DFA Undersecretary acting in their absence.
• Timeframe: The PCC is to be convened immediately after the Executive Order takes effect.

3. Functions of the PCC

• Legal Principle/Provision: The PCC is tasked with specific functions related to the JPEPA.
• Key Functions:
  • Participate in negotiations with Japanese counterparts.
  • Formulate Philippine positions for said meetings.
  • Conduct consultations with stakeholders regarding the JPEPA.
  • Draft the proposed framework for the JPEPA and its Implementing Agreements (IAs).
  • Perform additional necessary functions as required by the study.

4. Secretariat and Coordination

• Legal Principle/Provision: The Bureau of International Trade Relations (BITR) will serve as the PCC Secretariat.
• Key Responsibilities:
  • The Secretariat will manage and coordinate the PCC's activities.
  • The DFA is responsible for liaising with the Japanese counterpart.

5. Drafting of the JPEPA Framework

• Legal Principle/Provision: The DTI is responsible for drafting the final version of the proposed JPEPA framework and its IAs.
• Requirements:
  • The DTI may commission consultancy services as needed, following existing rules and regulations.

6. Budgetary Provisions

• Legal Principle/Provision: Each agency will bear its own expenses related to the PCC’s functions.
• Key Requirements:
  • The DTI must submit a work program and budget to the Department of Budget and Management (DBM) to cover costs associated with the PCC’s activities.

7. Effectivity

• Legal Principle/Provision: The Executive Order takes immediate effect upon issuance.
• Implementation: The order was signed on May 28, 2003.

Key Takeaways

• The Executive Order establishes the PCC to study the feasibility of the JPEPA, aiming to enhance Philippine-Japanese economic relations.
• The PCC is composed of representatives from key government agencies, with specific roles assigned to its co-chairs.
• The functions of the PCC encompass negotiation participation, stakeholder consultations, and drafting of the JPEPA framework.
• Budgetary responsibilities are clearly outlined, requiring each agency to manage its own costs while the DTI handles overall coordination and framework drafting.
• The Executive Order is effective immediately, signaling prompt action on this initiative.