WHEREAS, it is a tradition that bona fide Filipino resident
traders in the Sulu Archipelago and Zamboanga del Sur by reason of geographical
proximity, historical and social ties, are from time immemorial engaged in
commercial intercourse with neighboring islands;
WHEREAS, majority of the people living in those areas depend
upon such trade as their principal means of livelihood and source of income;
WHEREAS, in order to attain the foregoing objectives it is
necessary to liberalize the procedure for entrance and clearance of cargoes and
vessels of bona fide Filipino residents who are engaged in such trade;
NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the
Philippines, by virtue of the powers vested in me by the Constitution as
Commander-in-Chief of all the Armed Forces of the Philippines, and pursuant to
Proclamation No. 1081, dated September 21, 1972, and General Order No. 1, dated
September 22, 1972, as amended, do hereby order and decree:
That bona fide Filipino resident traders in Sulu Archipelago, the island of
Balabac and Zamboanga del Sur who desire to engage in trade with neighboring
islands shall properly register with the branches of the Philippine National
Bank in Jolo or Zamboanga City or their designated representatives. Said traders
may sell, buy, barter or trade any merchandise, goods or articles except those
which are contraband or prohibited by the Tariff and Customs Code, as amended,
or those which are banned by special laws and regulations, the value of which
does not exceed Five Thousand Pesos (P5,000.00) per trip not to exceed two trips
per month, with such trading houses in neighboring islands as shall be duly
approved and certified by the Philippine National Bank. The registry list
containing the names of authorized traders and trading houses shall be
transmitted to the Commander of the Southwest Command, who is hereby empowered
to coordinate all activities and to undertake all necessary measures for the
implementation of this Decree.
That the formalities relative to the entrance and clearance of traders,
vessels and cargoes and military clearances shall be required and effected at
the ports of Jolo and Zamboanga City.
That only vessels duly registered with the Philippine Coast Guard shall be
allowed to carry, convey or transport merchandise, goods or articles for
purposes of the trade. To facilitate the registration of vessels, the Philippine
Coast Guard may avail of the services of the Philippine Constabulary and the
Bureau of Customs.
The Monetary Board is authorized to waive the requirements of Central Bank
rules and regulations for purposes of carrying out this trade. The Philippine
National Bank shall also undertake such measures as shall be necessary to
promote the greater participation of the banking systems in the trade areas,
including the designation of correspondent banks to pave the way for the gradual
shift from barter trade.
Merchandise, goods or articles imported pursuant to this Decree shall be
free of import duties or taxes when sold and consumed either in Jolo or in an
area in Zamboanga City which shall be determined under the implementing
regulations. Merchandise, goods or articles removed or taken out from these two
areas shall pay the necessary import taxes and duties and any individual in
possession of untaxed merchandise, goods or articles outside of these two areas
shall be held liable pursuant to the provisions of existing laws.
The Commander of the Southwest Command shall, in consultation with the
representatives of the Philippine National Bank, the Bureau of Customs and the
Philippine Coast Guard, issue the regulations necessary to implement this Decree
and shall recommend to me the necessity of modifying this Decree after six
months from the date hereof.
All laws, decrees, rules and regulations which are inconsistent herewith are
amended or modified accordingly.
This Decree shall take effect immediately.
Done in the City of Manila, this 9th day of January, in the year of Our Lord,
nineteen hundred and seventy-three.
(Sgd.) FERDINAND E. MARCOS
President
Republic of the Philippines
By the President:
(Sgd.) ALEJANDRO MELCHOR
Executive Secretary