Duration and Continuity of the Fund
- The Fund shall continue to be set aside up to the year 2015.
- After 2015, collection of duties under the MAV and setting aside of funds shall terminate.
- Any remaining balances after expiration shall not revert to the General Fund but continue to be used for its intended purpose.
Purpose and Allocation of the Fund
- The Fund is earmarked for:
- Protection of farmers against unfair trade practices like smuggling and dumping.
- Increasing agricultural productivity through support services such as irrigation, farm-to-market roads, post-harvest facilities, credit, research and development, marketing infrastructure, market information, and extension services.
- Supporting micro, small and medium enterprises (MSME) in agriculture, aquaculture, fisheries, and related sectors.
- Assistance to young entrepreneurs, out-of-school youth, graduates in agriculture-related courses, cooperatives, corporations, and others involved in agriculture and fisheries economic enterprises.
- Reducing input costs, improving quality, enhancing supply chain efficiency, and infrastructure development to ensure speedy delivery of agricultural products.
Priorities and Limitations in Fund Utilization
- Preferential attention to products and persons adversely affected by the removal of quantitative import restrictions.
- Consistency with the Agriculture and Fisheries Modernization Act policies and the Medium-Term Philippine Development Plan goals.
- Complementary to Department of Agriculture's programs and other government funding.
- Focus on enhancing competitiveness and sustainability of small farmers and fisherfolk.
- Promotion of upstream and downstream agricultural linkages.
- Benefits should accrue to the majority within a sector, not only select groups.
Beneficiaries and Forms of Assistance
- Local government units, state universities and colleges, and government institutions involved in agricultural R&D may avail the fund as financial grants without collateral.
Specific Fund Allocation Percentages
- 70% for agri-based production, post-production, processing, new export industries, infrastructure and public promotion activities.
- 20% for research and development and commercialization including upgrading research facilities of qualified state universities and colleges.
- 10% for funding scholarships in agriculture, forestry, fisheries, and veterinary medicine education.
Oversight and Review
- The Congressional Oversight Committee on Agricultural and Fisheries Modernization (COCAFM) will periodically review the Fund’s usage.
Implementing Guidelines and Procedures
- The Department of Agriculture, consulting COCAFM, shall revise and reform guidelines to expedite processing and disbursement.
- Coordination with the Philippine Information Agency to ensure wide dissemination of information regarding the Act.
- The Department of Agriculture and COCAFM to develop a prioritization plan for optimal use of the Fund.
Amendments, Separability, and Effectivity
- Republic Act No. 8178 is amended to extend and clarify the utilization period and provisions related to the Fund.
- Inconsistent laws, decrees, and rules are repealed or modified accordingly.
- Provisions of the Act are separable; invalidity of any provision does not affect others.
- The Act takes effect immediately upon approval.