Reconstituting and expanding National Food Authority

The State mandates the integrated growth and development of the food industry.
Aim to maintain adequate and continuous food supply at reasonable prices while contributing to the national economy.

The NFA is established as a government corporation attached to the Office of the President.
It absorbs the functions and powers previously held by the National Grains Authority.

Extends beyond grains to include raw/fresh and processed/packaged food products.
This broader definition allows the NFA to cover multiple food commodities for development and regulation.

Presidential Decree No. 4 and its amendments (P.D. Nos. 699 and 1485) continue to apply to the NFA.
The NFA Council may determine applicability to other food commodities as needed.

Members include key Government Ministers (Human Settlements, Agriculture, Finance, Industry, Trade), financial institution heads, and a Presidential representative.
The Minister of Human Settlements serves as Chairman; NFA Administrator as Vice-Chairman.
The Administrator, appointed by the President, manages day-to-day operations with assistance from Deputy and Assistant Administrators.
Monthly regular meetings and provisions for special meetings.
Council members receive per diems and other remuneration determined by the Council.

Authority to acquire, hold, invest in, and dispose of shares, stocks, bonds, and obligations.
Power to register, license, and supervise entities involved in all stages of food handling and impose fees/surcharges with Presidential and Council approval.
Authority to handle importation/exportation of food products, raw materials, equipment, and establish domestic and foreign branches.
Engage in manufacturing, processing, or packaging food products as necessary.
Organize internal structure and determine compensation and benefits for employees.
Establish a Provident Fund for retirement and other benefits.
Subsidiaries of the NFA enjoy tax exemptions and privileges upon Presidential approval.

Investments and loans from Human Settlements Development Corporation in Food Terminal, Inc. are transferred to the NFA.
Valuation and terms of payment to be approved by the President with Commission on Audit recommendations.

Authorized capital stock set at 5 billion pesos, divided into 50 million shares, fully subscribed and paid by the national government, LGUs, or other government-owned entities.
Previous capital and surpluses of the National Grains Authority transferred as initial equity.
The national government may provide additional equity investments subject to appropriations and Presidential approval.

Official development assistance and food aid recorded as paid-in capital or subsidy as approved.
National government payments on NFA loans recorded as equity payments or subsidies.
Government may subsidize NFA operations through appropriations.
Review and realignment of food program appropriations involving multiple agencies to ensure policy consistency.
Empowered to negotiate loans at preferential rates and avail preferential rediscount by the Central Bank under monetary board terms.

The Philippine government guarantees the NFA's financial obligations upon Presidential approval.

The NFA shall promulgate implementing rules and regulations.
Such rules take effect 15 days after publication in a daily newspaper of general circulation.

All inconsistent laws, orders, rules, or proclamations are repealed, amended or modified accordingly.

Any invalid or unconstitutional provisions do not affect the validity of the remaining provisions.