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Monday, June 02, 2008
RP to import rice from Vietnam
MANILA -- The Department of Justice (DOJ) has affirmed Sunday the importation of rice from Vietnam to plug the production shortfall and buffer stock of 2.7 million metric tons for this year.
The DOJ disclosed the validity of a memorandum of agreement (MOA) signed between the Philippines and Vietnam governments for the procurement of 1.5 million metric tons of rice even without the benefit of a public bidding.
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In a legal opinion, Justice Secretary Raul Gonzalez Sr. said the government's purchase of rice from Vietnam is considered an executive agreement, thus exempted from the requirement of public bidding under Republic Act (RA) 9184, or the Government Procurement Reform Act.
Defining the executive agreement, Gonzalez said it is used to designate international agreements entered into by the President, without concurrence of the Senate and embodying adjustments of detail carrying out well-established national policies and traditions and those involving arrangements, which are temporary in nature.
"In sum, the memorandum of agreement may be considered as an executive agreement, and excluded from the provisions of RA 9184 and it shall be governed by the international law principle of 'pacta sunt servanda' (international agreements must be performed in good faith)," he said.
The MOA, Gonzalez noted, is considered temporary in nature since the importation of Vietnamese white rice is for the period 2008 to 2010 only.
He further said that executive agreements involving goods, regardless of source of funds, do not fall within the scope of RA 9184, which mandates that all procurement activities must be made through public bidding.
Agriculture Secretary Arthur Yap and Vietnamese Industry and Trade Minister Yu Huy Hoang signed the MOA last March on the sidelines of the two-day Philippine Development Forum.
The agreement states that the "Vietnamese government agrees to sell, unless under circumstances of natural disaster and harvest loss, and the Philippines to buy up to 1.5 million MT (metric tons) of Vietnamese white rice annually starting year 2008, subject to market and production conditions and to terms allowable under applicable laws of both countries."
The Vietnam Southern Food Corp. and the National Food Authority (NFA) are the only government agencies authorized to implement the terms of the MOA, which will remain in effect for three years.
Gonzalez issued the opinion in response to the queries of NFA Administrator Jessup Navarro on whether or not the MOA can be considered an executive agreement and if so, would the project fall under the last sentence of Section 4 of RA 9184, which states: "Any treaty or international or executive agreement effecting the subject matter of this Act to which the Philippine government is a signatory shall be observed." (ECV/Sunnex)
For more Philippine news, visit Sun.Star Pampanga. (June 2, 2008 issue)
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