Title
Guidelines on Organic Certification Subsidy
Law
Da Department Circular No. 04, S. 2015
Decision Date
Jun 17, 2015
The Department Circular No. 04-15 provides guidelines and financial support for organic agriculture entities/farmers and input producers in the Philippines to obtain certification, ensuring compliance with organic agriculture standards. The subsidy covers application, certification, inspection, and laboratory analysis fees, and is paid directly to officially accredited certifying bodies, promoting transparency and accountability in the certification process.
A

Scope and Applicability

  • Applies to all organic agriculture entities/farmers and organic input producers certified by DA-BAFS accredited local Organic Certifying Bodies (OCBs)

Key Definitions

  • Certification: Formal attestation by accredited OCBs that products or systems comply with organic standards
  • Certification Cost: Includes application fees, processing fees, traveling expenses, and per diems related to inspection
  • Application Fee: One-time fee for processing certificate application
  • Certification Fee: Variable fee for inspection and evaluation of compliance
  • Certification Subsidy: Financial incentive scheme provided by DA for organic certification compliance
  • Micro, Small, Medium Enterprises (MSME): Classified by asset size from under ₱3 million to ₱100 million
  • Organic Agriculture Entities/Farmers: Participants in production, processing, sale, and distribution of organic products
  • Organic Agriculture Validation Team (OAVT): DA-BAFS team monitoring compliance and market surveillance
  • Organic Certificate: Official document proving conformity with organic agriculture standards
  • Organic Certifying Body (OCB): Accredited body verifying adherence to organic certification standards
  • Organic Input Producer: Producer of organic-compliant inputs like fertilizers and pest management products
  • Registration: Official recording and verification of farming entities with DA-BAFS
  • Scope: Types of organic operations certified, e.g., crop, livestock, processing, aquaculture
  • Total Organic Produce: Volume of marketable yield in the previous year

Eligibility Criteria for Certification Subsidy

  • Individuals or accredited groups registered with SEC, CDA, DOLE, or DTI
  • Classified as MSMEs
  • Engaged in local organic food or input production
  • Compliant with applicable PNS as certified by accredited OCB
  • Registered with DA-BAFS
  • Entities with conditional certification approval may qualify if conditions are met
  • Subsidy prioritized for local market producers; export-oriented subsidy limited to MSME, indigenous people, ARBs
  • Priority for subsidy under funding constraints: small land and aquaculture farms, MSMEs, indigenous people, ARBs

Coverage of Certification Subsidy

  • Total certification costs covered including:
    • Application fees
    • Certification fees
    • Inspection and re-inspection fees including travel expenses and per diems
    • Laboratory analysis costs
  • Subsidy fee structure varies by certification type and number of certified scopes
    • Individual: ₱50,000 to ₱100,000 depending on scopes
    • Group: ₱70,000 to ₱150,000 depending on scopes

Limitations on Subsidy Availment

  • Maximum of three organic certifications subsidized per entity/farmer/producer

Processing of Certification Subsidy

  • RFOs responsible for implementing subsidy scheme
  • Payment made directly to accredited local OCBs
  • Tripartite Memorandum of Agreement (MOA) between RFO, OCB, and applicant
  • Pre-certification steps include:
    • Procurement of certification services by RFO per Government Procurement Reform Act
    • Batch processing based on Work and Financial Plan
    • Submission of application form, letter of intent, and other documents by applicants
    • Pre-assessment by RFO for compliance with PNS
  • Post-certification processing requires:
    • Certified true copies of organic certificate and Certificate of Registration (COR)
    • Official receipts or billing statements for certification and laboratory fees
  • Additional documentary requirements may apply

Repealing and Separability Clauses

  • Any conflicting orders, guidelines or regulations modified, revoked or repealed
  • If any part of the circular is invalidated, remaining provisions continue in force

Effectivity

  • Takes effect 15 days after publication in Official Gazette or newspaper of general circulation and filing with National Administrative Register at UP Law Center

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