AMENDING PRESIDENTIAL DECREE NO. 1863

• Number: Presidential Decree No. 1872
• Sections: 4

Preamble

WHEREAS, Presidential Decree No. 1863 was enacted, in

implementation of certain policies of the State, to encourage, promote and

assist the substitution of coco-chemicals for petro-chemicals in the manufacture

of soaps, detergents and other consumer and industrial products;

WHEREAS, in order that the purposes and objectives of the

Decree could be more effectively achieved, there Is a need to include in the

coverage of the Decree other chemicals, natural-based or synthetic, and other

detergent feedstocks/products derived from mineral oil, which could be

substituted with coco-chemicals;

NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the

Republic of the Philippines, do hereby decree and order that:

Section 1

SECTION 1. Section 5 of Presidential Decree No. 1883 is

hereby amended to read as follows:

"SECTION 5. Conditionally Prohibited Importation and Use

of Petro-Chemicals and substitutes. — Upon certification to the BOI by the

bank acquired for the benefit of the coconut farmers under P.D. No. 755 that

UNICHEM, in accordance with its BOI certificate of registration, has commenced

commercial production of coco-chemicals which may be utilized as raw material

feedstock by the surfactant industry, initially in the manufacture of soaps and

detergents, the importation and the use in the Philippines of fatty alcohols

(natural based or synthetic) and their derivatives, and detergent

feedstocks/products derived from mineral oil and natural gas and their

derivatives, for use in the manufacture and sale of detergents and soaps and

such other consumer products as may hereafter be determined pursuant to Section

7 herein, are hereby prohibited and shall be allowed only in the manner and in

the instances prescribed under Section 6 hereof."

Section 2

SEC. 2. Section 6 of Presidential Decree No. 1863 is hereby

amended to read as follows:

"SECTION 6. Manner of and Conditions for the Importation

of Petro-Chemicals and Substitutes. — To ensure an orderly and gradual

shift from the use of petro-chemicals to coco-chemicals and to minimize, if not

eliminate, illicit importations of the chemicals covered by the prohibition

wider Section o hereof, all importations of fatty alcohols (natutral-based or

synthetic) and, their derivatives, and detergent feedstocks/products derived

from mineral oil and natural gas and their derivatives, for use in the

manufacture and sale of detergents and soaps and such other consumer products as

may hereafter be determined pursuant to Section 7 hereof, shall be made solely

through and by UNICHEM at its own expense, for resale at cost plus a reasonable

return to, and use by, manufacturers of detergents and soaps and other

industries that may hereafter be determined pursuant to Section 7 hereof, and

only upon the occurrence and on the duration of a shortage in supply of

coco-chemicals."

Section 3

SEC. 3. This Decree shall take effect immediately.

Done in the City of Manila, this 19th day of July in the year of our Lord,

Nineteen Hundred and Eighty-Three.

(Sgd.) FERDINAND E. MARCOS

President

Republic of the Philippines

By the President:

(Sgd.) JUAN C. TUVERA

Presidential Executive

Assistant