WHEREAS, in order to prevent price increases of critical
steel products, Presidential Decree No. 476 granted a subsidy for
customs duties incurred in the importation of iron and steel slabs and
coils for rerolling, unwrought zinc and unwrought tin by steel companies
engaged in the manufacture of hot or cold rolled steel coils and
sheets, galvanized iron sheets and tinplates;
WHEREAS, the subsidy granted by Presidential Decree No. 476
was only for the Fiscal Year 1973-1974 period;
WHEREAS, world market prices of slabs, hot rolled coils and
unwrought tin used in the manufacture of tinplates for milk cans have
continued to increase;
WHEREAS, this increase in world prices will cause a further
rise in the prices of tinplates used for the production of milk cans,
which will correspondingly result in the increase of prices of milk, an
essential commodity, to the detriment of the general public;
WHEREAS, to minimize such further increase in the prices of
tinplates and, consequently, of milk, it has become desirable and
necessary to subsidize for Fiscal Year 1974-1975 the importation of
steel slabs and hot rolled coils for rerolling and unwrought tin used in
the manufacture of tinplates for milk cans, to the extent of the
customs duties which would have been shifted to the general public;
NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the
Philippines, by virtue of the powers vested in me by the Constitution,
do hereby decree and order a supplemental appropriation to Presidential
Decree No. 503, the Appropriation Act for Fiscal Year 1974-1975, as
follows:
"Supplemental appropriation for reimbursement to steel rolling
mills and electrolytic tinning line operators of customs duty under
headings 73.07, 73.08 and 80.01, Schedule XV of the Tariff and Customs
Code, as amended .... P16,000,000; Provided, That this
appropriation shall be released to the Iron and Steel Authority which
shall authorize payments therefrom to the Bureau of Customs to meet
customs duties incurred in the importations of steel slabs, hot rolled
coils and unwrought tin, used in the manufacture of tinplates for milk
cans, by steel rolling mills and electrolytic tinning line operators; Provided,
further, That no releases will be made out of this appropriation
except to subsidize customs duty charged on imports made on or after
July 1, 1974; Provided, further, That payments out of this
appropriation shall be in the form of fund transfers into the Bureau of
Customs income account, except that actual cash payments made by
authorized companies to meet the above-described customs duties will be
reimbursed upon approval by the Iron and Steel Authority: Provided,
further, That the order for transfer of funds into the Bureau of Customs
account duly directed by the Iron and Steel Authority and acknowledged
by the Bureau of the Treasury will constitute evidence of payment of
corresponding customs duty liabilities; Provided, finally, That
any or all outstanding obligations which any beneficiary of this subsidy
may owe the National Government and/or its agencies or
instrumentalities, including Government-owned or controlled
corporations, shall have a prior lien on the subsidies which are payable
under this Decree.
This Decree shall take effect immediately.
Done in the City of Manila this 16th day of September in the
year of Our Lord, nineteen hundred and seventy-four.
(Sgd.)
FERDINAND E. MARCOS
President of the Philippines
By the President:
(Sgd.)
ALEJANDRO MELCHOR
Executive Secretary