Letter of Instructions No. 66

[ LETTER OF INSTRUCTION NO. 66, March 22, 1973 ]

ANNOUNCING THE APPROVAL AND EFFECTIVITY OF THE SIXTH INVESTMENT PRIORITIES PLAN AND FOURTH EXPORT PRIORITIES PLAN UNDER THE INVESTMENT INCENTIVES ACT AND EXPORT INCENTIVES ACT.

WHEREAS, pursuant to the provisions of Republic Act No. 5l86, otherwise known as the "Investment Incentives Act," and Republic Act No. 6l355 otherwise known as the "Export Incentives Act," the Board of Investments has prepared the Sixth Investment Priorities Plan and the Fourth Export Priorities Plan and the same have been submitted to me for approval through, and with recommendation of the National Economic and Development Authority and

WHEREAS, after a careful study of the said Sixth Investment Priorities Plan and Fourth Export Priorities Plan and their supporting data, I have found them to be feasible and in conformity with law and accordingly approved it;

NOW, THEREFORE, pursuant to Section 18 of Republic Act No. 5186, and Section h of Republic Act No. 6135, I, FERDINAND E. MARCOS, President of the Philippines, do hereby declare and proclaim in effect the Sixth Investment Priorities Plan and Fourth Export Priorities Plan hereto attached.

Done in the City of Manila, this 22nd day of March, in the year of Our Lord, nineteen hundred and seventy-three.

(Sgd.) FERDINAND E. MARCOS President Republic of the Philippines BOARD OF INVESTMENT Ortigas Building Ortigas Avenue, Pasig, Rizal SIXTH INVESTMENT PRIORITIES PLAN and FOURTH EXPORT PRIORITIES PLAN FOREST PRODUCT 1. Tree Farming (NP) MC (Local) : 1.8 million cu. m.

2. Lumber Product (NP) MC (Export): Variable 3. Plywood (NP) MCa) Local : 68 million sq. ft.

b) Export : Variable4. Veneer (NP) MC (Export) : Variable FIBER PRODUCT 1. Ramie (P) MC (Local) : 10 million sq. yd Condition: Integrated 2. Pulp, Pulp and Paper (P/NP) MCa) Local : 82,800 MT b) Export : Variable Condition: Paper production is qualified for registration only to extent integrated with and supported by pulping capacity. N.B.1. P means pioneer; NP means non-pioneer, P/NP means pioneer or non-pioneer to be determined on case-to-case basis.

2. Under the column indicating the Measures Capacities, the word Variable denotes the likelihood of a domestic demand-supply gap or of an export potential.

3. The classification of Pioneer status in the IPP is primarily on the basis of newness of the product. While NP ordinarily means non-pioneer, the Board reserves the right to change the status of an area, from NP only to P, after public hearing, if a new and better process is used in the manufacture of such product and there are economic advantages in giving the preferred activity pioneer status.

CROP PRODUCTION

1. Peanuts (NP) MC (Local): 7,700 MT 2. Sorghum (NP) MC (Local): 133,300 MT 3. Soybeans (NP) MC (Local): 116,300 MT 4. Rice (NP) MC (Local): 640,000 MT Condition: Developing new fields and integrated with processing facilities.

5. Cotton Production (Growing and Ginning) (NP) MC (Local): 50,000 MT 6. Corn (NP) MC (Local): 358,000 MT Condition: Developing new fields and integrated with processing facilities.

7. Grain Processing (Rice) (NP) MC (Local): 615,000 MT Conditions: [1] A. Centrals in Consumption Areas Location Storage Capacity (MT) 1. Greater Manila 50,000 2. La Union (San Fernando) 20,000 3. Zamboanga del Sur (Malangas) 10,000 4. Cotabato del Sur (Dadiangas) 10,0005. Cagayan de Oro City 10,000 6. Doilo City 10,000 _________ 110,000 ====== [2] B. Centrals in Production Areas Region Storage Capacity (MT) 1. Docos 7,000 2. Cagayan Valley [3] 66,000 3. Central Luzon 101,000 4. Southern Luzon 10,000 5. Bicol 25,000 6. Western Visayas 11,000 7. Eastern Visayas 31,000 8. S&WMindanao [3] 21,000 9. N & E Mindanao [3] 8,000 _________ 280,000 ====== [1] In addition to the above conditions regarding centrals in production areas, centrals in consumption areas must be integrated with satellites, preferably modernized existing mills. A satellite-central must have at least 1,500 MT of storage capacity and equipped with facilities for bulk storage and handling, cleaning, drying, hulling, milling, packaging and pest and rodent control. [2] Centrals in production areas must be of at least 2,000 MT storage capacity and equipped with facilities for bulk storage and handling, cleaning, drying milling, whitening, grading and packing, and pest and rodent control. Processing capacities should be based on 3 stock-turns per year. [3] Facilities to be established in these areas my be also utilized for corn drying/storage. The specific locations and extent of utilization for corn are treated on a case to case basis, but should not be over 60 percent of capacity.

FOOD PROCESSING

1. Agar-agar (Processed Seaweeds) (NP) MC a) Local: 110,000 MT b) Export: Variable Condition: Project should generate export revenues in the first five years of commercial operation in an amount aggregating at least the difference between the total foreign exchange capital cost of the project and the amount resulting from multiplying actual projectemployment by $4,000. Failure to comply with this condition shall subject the project to prescribed penalties.

2. Fruit & Vegetable Processing (P/NP) MC a) Local: 14,650 MT b) Export: Variable 3. Coconut Oil (NP) MC (Export): Variable Condition: Milling capacity to be distributed among coconut producing regions in proportion to copra supply.

4. Palm Oil (NP) MC a) Local: 110 MT b) Export: Variable 5. Feed Yeast (NP) MC (Local): 15,000 MT Condition: In sugar cane-producing regions 6. Tomato Paste (P/NP) MC (Local): 1,000 MT 7. Processed Meat (NP) MC (Local): 9,000 MT Condition: Outside greater Metropolitan Manila Area 8. Processed Fish (NP) MC a) Local: 64,380 MT b) Export: Variable LIVESTOCK AND FISHING 1. Cattle (NP) MC (Local): 24,300 MTDW 2. Hogs (NP) MC (Local): 36,224 MTDW 3. Poultry (NP) MC 36,640 MT (Meat) (Local): 35,920 MT (Eggs) 3,293,000 (Chicks) 4. Fish (Commercial Deep Sea) (NP) MC a) Local: 100,000 MT b) Export: Variable 5. Fish (Inland) (NP) MC a) Local: 15,800 MT b) Export: Variable 6. Shrimps and Shellfish (NP) MC a) Local: 7,410 MT b) Export: Variable METALLIC MINERAL PRODUCTS 1. Iron Ore (NP) MC a) Local: 1.5 million MT b) Export: Variable Conditions 1 Benefited, including pre-reduced and metallized pellets. 2 Production for local market to be phased with establishment of smelting facilities.

2. Chromite Ore (NP) MC (Export): Variable Condition: Beneficiated 3. Copper Ore (NP)MC a) Local: 115,000 MT (copper metal content of concentrates) b) Export: Variable Condition: Beneficiated 4. Copper Metal (P) MC a) Local: 10,500 MT b) Export: Variable Conditions:1. Pyrometallurgical or hydro-metallurgical extraction processes.

2. Project should generate export revenues in the first five years of commercial operation in an amount aggregating at least the difference between the total foreign exchange capital cost of the project and the amount resulting from multiplying actual project employment by $4,000. Failure to comply with this condition shall subject the project to prescribed penalties.

5. Primary Steel (P) MC (Local): 1 million MT Condition: Integrated, including slabs, blooms and billets.

6. Ferro-Alloys(NP) MC [*] a) Local : 2,300 MT b) Export: Variable Comments:2,300 MT of local MC is intended for existing use broken down as follows:

a) 306 MT for ferrosilicon, silicomanganese and ferromanganese.

b) 1,994 MT for all other ferroalloys 7. Nickel Metal and Alloys (P) MC (Export): Variable 8. Gold Mining and processing (NP) MC (Export): Variable Condition: Beneficiated ore 9. Gold Refining (P/NP) MC: 360,000 ozs.

NON-METALLIC MINERAL PRODUCTS

1. Asbestos (P) MC (Local): 5,000 MT 2. Perlite (NP) MC a) Local: 8,200 MT b) Export: Variable 3. Foundry Coke (P) MC (Local): 30,000 MT 4. Dinnerware (P/NP) MC [*] a) Local : 964 MX b) Export: Variable 5. Clay (NP) MC (Local): 34,000 MT Condition: Beneficiated 6. Refractories (P/NP) MC (Local): 10,000 MT 7. Rock Aggregates (NP) MC (Local): 507,000 cu.m. Condition: Cebu Island onlyCHEMICAL PRODUCTS 1. Salt a. Industrial Salt (P/NP) MC (Local): 87,000 MT Conditions:Purity: 92 percent NaCL (Wet Basis), minimum.

b. Edible Salt (P) MC (Local): 93,200 MT Conditions:Purity: 99.5 percent NaCL (Dry Basis), minimum. Size: Passing No. 20 steve; 95 percent, minimum. Moisture content: 0.5 percent, maximum 2. Polyvinyl Alcohol Resins (P) MC (Local): 2,590 MT 3. Nylon Fibers (P) MC [*] a) Local : 2,040 MT b) Export: Variable 4. Chemical Gypsum (NP) MC (Local): 105,000 MT 5. Rubber belts (P) MC (Local): 250,000 kg. MC (Export): Variable 6. Polyester Fiber (Staple fiber & filament yarn) (NP) MC (Export): Variable Condition: Reserved for expansion of registered plants.

7. Low-density Polyethylene (P) MC a) (Loud): 115,000 MT b) Export: Variable Condition: Project should generate export revenues in the first five years of commercial operation in an amount aggregating at least the difference between the total foreign exchange capital cost of the project and the amount resulting from multiplying actual project employment by $4,000. Failure to comply with this condition shall subject the project to prescribed penalties.

8. High-density Polyethylene (P) MC a) Local: 36.000 MT b) Export: Variable Condition: Project should generate export revenues in the first five years of commercial operation in an amount aggregating at least the difference between the total foreign exchange capital cost of the project and the amount resulting from multiplying actual project employment by $4,000. Failure to comply with this condition shall subject the project to prescribed penalties. 9 Polypropylene (P) MC a) Local: 40,000 MT b) Export: Variable Condition: Project should generate export revenues in the first five years of commercial operation in an amount aggregating at least the difference between the total foreign exchange capital cost of the project and the amount resulting from multiplying actual project employment by $4,000. Failure to comply with this condition shall subject the project to prescribed penalties.

10. Antibiotics (P) a. Tetracyclines MC (Local): 30,000 kg.b. Streptomycins MC (Local): 30,000 kg.

c. Penicillins MC (Local): 57,000 kg.

11. Cellophane (P) a) Local: 6,400 MT b) Export: Variable Conditions:

1. The project must be located close to the Northern Luzon Copper Smelter in order to make the cost of sulfuric acid as low as possible;

2. The project must be located in an area which is economically accessible to sites suitable to tree farming:

3. A project for the manufacture of pulp to be used as raw material for the cellophane project should be submitted within one year from the start of the operation of the cellophane project;

4. Project should generate export revenues in the first five years of commercial operation in an amount aggregating at least the difference between the total foreign exchange capital cost of the project and the amount resulting from multiplying actual project employment by $4,000. Failure to comply with this condition shall subject the project to prescribed penalties.

12. Glass containers (NP) MC (Local): 113,000 MT 13. Petroleum Wax (P) a) Local: 16,000 MT b) Export: Variable Condition: Project should generate export revenues in the first five years of commercial operation in an amount aggregating at least the difference between the total foreign exchange capital cost of the project and the amount resulting from multiplying actual project employment by $4,000. Failure to comply with this condition shall subject the project to prescribed penalties.

14. Gum Rosin and Gum Turpentine (P) MC a) Local: 8,000 MT b) Export: Variable Condition: Project should generate export revenues in the first five years of commercial operation in an amount aggregating at least the difference between the total foreign exchange capital cost of the project and the amount resulting from multiplying actual project employment by $4,000. Failure to comply with this condition shall subject the project to prescribed penalties.

15. Textiles (NP) MC a) Local 115,400,000 sq. yds.

b) Export: Variable Condition: Only new textile mills will be entitled to registration under the IPP, with the condition of location outside the Greater Manila area. Expansion of existing textile mills in Greater Manila area should be registered under the Export Incentives Act, with a commitment to export a minimum proportion of production resulting from the expansion in capacity.

16. Agricultural Lime (NP) MC (Local): 72,000 MTCondition: In suitable locations and capacities to serve farm needs economically. (Outside Greater Manila) IRON OR STEEL-BASED INDUSTRIES 1. High Carbon Steel Wire (P) MC (Local): 17,150 MT 2. Alloy Steel (P) a. Ingots MC (Local): 12,160 MT b. Castings MC (Local): Variable Condition: Alloy steel ingots must be produced.

HAND TOOLS

1. Files (P/NP) MC (Local): 116,500 doz.

INDUSTRIAL MACHINERY

1. Shapers (P) MC (Local): 2,700 units 2. Lathes (P) MC (Local): 8,900 units 3. Drill Presses (P) MC (Local): 6,800 units 4. Pumps (P/NP) [*] MC (Local) : 2,530 units 5. Carbide-tipped Tools (P/NP) MC (Local): 1.9 million units 6. Shaft bearing products (P) MC (Local): 745.000 units 7. Regulators and adaptors and pressure, etc. MC 300,000 pcs. (regulators & adaptors) [*] 176,000 pcs. (pressure reducing valves) (Local) 8. Speed Reducers (P/NP) MC (Local): 42,300 units Conditions:

(1) 5 to 10 HP per unit (2) Substantially from domestically cast, rolled or forged metal.

9. Logging blocks of alloy Steel (P) MC (Local): 3,300 units Substantially from domestically cast, rolled or forged metal. Condition:

10. Globe, gate and check valves (P) MC (Local): 720 MT Condition: From 2 inches and above and made from domestically cast or forged metal. FARM MACHINERY1. Palay threshers (NP) MC (Local): 9,500 units Condition: Power operated 2. Disc plows, disc harrows and roto tillers (NP) MC a) Local: 2,400 units b) Export: Variable 3. Grain Driers (P) MC (Local): 750 units FABRICATED METAL PRODUCTS 1. Steam boilers (P) MC (Local): 1,200 units Condition: Package type up to 200 Bo. Hp.

ENGINES

1. High HP Diesel engines (P) MC (Local): 5,400 units Condition: 200 BHP and above 2. Small gasoline engines (P) MC (Local): 68,000units Condition: Up to 15 BHP ELECTRICAL EQUIPMENT 1. Electrical controls a) Circuit breakers (NP) MC (Local): 736,900 poles Condition: Up to 125 A b) Magnetic starters (NP) MCa) Local: 36,000 units b) Export: Variable Condition: Up to size 2 2. Flashlights (NP) MC a) Local: 1,710,000 units b) Export: Variable 3. Kilowatt-hour meters (P) MC (Local): 109,100 units 4. Power transformers (P) MC (Local): 145,000 KVA 5. Transceivers (P) MC (Local): 1,190 units 6. Electrical Tape (NP) MC (Local): 7.3 million rolls 7. Electric Motors for automotive use (NP) MC a) Local: 65,000 units b) Export: Variable TRANSPORT EQUIPMENT 1. Barges and Tugboats (P/NP) MC a) Local: 377,000 GT b) Export: Variable 2. Fishing Boats (P/NP) MC (Local): 59,040 GT3. Inter-island Ships (P) MC (Local): 380,000 GT 4. Ocean-going Ships (P) MC (Local): 875,000 GT 5. Motorcycles (NP) [*] MC (Local) : 15,720 units;

6. Automotive Gauges and Instruments (NP) MC a) Local: 56,000 units b) Export: Variable 7. Vehicle Shock Absorber (NP) MC a) Local: 600,000 units b) Export: Variable 8. Automotive Rear Axles (P) MC a) Local: 30,000 units b) Export: Variable Condition: Project should generate export revenues in the first five years of commercial operation in an amount aggregating at least the difference between the total foreign exchange capital cost of the project and the amount resulting from multiplying actual project employment by $4,000. Failure to comply with this condition shall subject the project to prescribed penalties.

9. Automotive Propeller Shafts (P) MC a) Local: 30,000 units b) Export: Variable 10. Automotive Clutches (P) MC a) Local: 30,000 units b) Export: Variable 11. Automotive Engine Block (with cylinder head) (P) MC a) Local: 58,800 units b) Export: Variable Condition: Project should generate export revenues in the first five years of commercial operation in an amount aggregating at least the difference between the total foreign exchange capital cost of the project and the amount resulting from multiplying actual project employment by $4,000. Failure to comply with this condition shall subject the project to prescribed penalties. [*] Applications for the entire measured capacity have been received and are now under process.

FOURTH EXPORT PRIORITIES PLAN LIST A: EXPORTABLE PRODUCTS OF EXISTING FIRMS BTN SITC EXPORTABLE PRODUCTS

Food Processing 02.01 to 02.06; 16.01; 011.1 to 011.6; 1. Processed meat including 16.02; 011.8(1); 011.8 canned, chilled or frozen, 16 03; 16.04; 16.05 (9); 411.3 (1); 012.9; dried, salted or dehydrated 013.3; 013.4 meat 013.8; 032.0 (1); 032.0 (2)03.01; 03.02; 03.03; 031.1 to 031.3; 032.0 2. Processed sea foods 16.04; (1); 032.0 (2) including canned, chilled or 16.05 frozen, dried or salted or dehydrated sea foods. 04.01; 04.02 022.1; 022.2; 022.3 3. Processed milk 04.02; 21.07 022.1; 022.2; 099.0 (9) 4. Frozen specialties 07.01 to 07.06; 08.01 to051; 052; 053; 054; 0555. Processed fruits and 08.13; vegetables including juices, 20.01 to 20.07 canned, chilled or frozen, dried, salted or dehydrated. 07.01 to 07.03; 07.05; 054 6. Dried roots 12.04 to 12.06; 12.08 09.01 071.1; 081.9 (1) 7. Coffee, processed 09.04 to 03.10 075.1; 075.2(1) (2) (3) 8. Spices such as processed (4) (5) (9) ginger, pepper, onion, garlic. 11.01 to 11.09; 19.01 to046.0 (1) (2); 047.0 9. Cereal preparations 19.08. (1) (2); 048.1 (1); 048.2; 055.4 (1) Note:

1. BTN means Brussels Trade Nomenclature 2. SITC means Standard International Trade Classification.

3. List A contains a list of exportable products of existing firms. Firms registered for List A products shall be entitled to all incentives granted under R.A. 6135 except tax exemption on imported capital equipment. However, exceptions to this policy may be made; and on a case to case basis, firms registered under List A may be allowed tax and duty free importation of capital equipment, provided that the following conditions are fulfilled: (a)The applicant firms have already made commercial exportation of their registered exportable products; (b)They are currently utilizing close to one hundred percent of their total existing capacity; and (c)They can prove to the satisfaction of the Board that the expansion capacity being applied for will be used substantially (at least 50 percent), if not entirely, for export.

4. List B would include products of preferred projects which are intrinsically export-oriented, or of such a nature that even if production were to be substantially sold in the domestic market, they would still be desirable to promote. Enterprises registered under List B will be entitled to free importation of machineries only if the project will export at least 50 percent of its total production.

BTN SITC EXPORTABLE PRODUCTS

(2) (3) (4); 599.5(1) (2); 048.1 (2); 048.3; 048.8 (1) (2) (3); 055.4 (5)11.01; 11.03 to 11.06 046.0 (1); 047.0 (1); 055.4 10. Flour (1) (2) (3) (4) 11.08 599.5(1) 11. Starches 13.03 292.9 12. Agar-Agar 15.01 to 15.17 091.3;091.4;411.1;411.3(2)13. Vegetable cooking oils (4) and lard (5) (9);442.0 to 421.7; 422.1 to 422.5; 422.9; 431.1 to 431.4; 512.2 (5) (6) 15.13; 04.03; 04.04 091.4; 023.0; 024.0 14. Margarine, butter and cheese 16.04 032.0 (1) 15. Fish sauce 17.04 062.0 (1) 16. Confectionery 18.03; 18.04; 18.05 072.3 (1); 072.3 (2); 17. Cocoa and cocoa 072.2 preparations 18.06 073.0 18. Chocolate and chocolate preparations 19.03 048.3 19. Noodles 19.08 048.4 (2) 20. Biscuits & cookies; cones 20.02 055.5 (2) 21. Catsup 21.06 099.0 (6) 22. Baking powder 21.06 099.0 (6) 23. Brewer's yeast 21.07 099.0 (9) 24. Peanut butter 21.07 099.0 (9) 25. Chewing gum 21.07 099.0(9) 26. Coconut syrup 21.07 099.0 (9) 27. Food coloring such as atsuete 22.02 111.0(2) 28. Soft drinks 22.03 112.3 29. Beer 22.04 to 22.07 112.1 (1); 112.1 (2); 112.1 30. Fruits and flower wine (3); 112.2 22.08; 22.09 512.1 (4); 112.4 31. Alcoholic products such as rum, whisky and gin 22.10 099.0 (7) 32. Vinegar, all kinds 23.05 081.9 (4) 33. Brewery spent grains 04.04 024.0 34. Processed cheese 04.05 025.0 35. Processed poultry products Processed Rubber Products 40.05 621.0 (1) 1. Crumb rubber 40.06 621.0 (2) 2. Camel back 40.11 629.1 3. Rubber tires and inner tubes 40.14 629.9 (8) 4. Rubber gloves 40.14 629.9 (8) 5. Rubber toys and sporting goods 40.16 629.9 (9) 6. Rubber tiles 64.01 851.0(1) 7. Rubber shoes 64.01 851.0 (1) 8. Rubber sandals 64.01 851.0(1) 9. Rubber slippers 35.06 599.5(9) 10. Bonding cement40.06 (A) 621.0 (2) 11. Rubber cement 40.06 (B) 621.0 (2) 12. Rubber and thread gums 40.09 621.0(5) 13. Rubber tube 40.14 (C) 629.9 (8) 14. Rubber automotive parts such as vibration dampers caps, weather strips, handles and pedals, carpet underlay made of rubber. 40.16 629.9 (9) 15. Curing tube & sectional air bag Chemicals and Chemical Products 27.10 331.0 (2); 332.1 to 332.5 (1); 332. 1. Motor gas and diesel 9(1); 513.2 28.01 513.2(1) 2. Chlorine liquid and chlorine compounds 28.03 513.2 (7) 3. Carbon black 28.03 513.2 (7) 4. Acetylene black 28.06 513.3 (1) 5. Hydrochloric acid 28.08 513.3 (3) 6. Sulphuric acid 28.13; 29.04 to 29.07 513.3 (9); 512.2 (1) (2) (3)7. Acid oils, fatty acid and (7) (8) fatty alcohols 28.23 513.5 8. Iron oxide 28.45 514.3(3) 9. Silica gel 28.56 514.9 (4) 10. Calcium carbide 29.04 to 29.07 512.2 (1) (2) (3) (7) (8) 11. Alcohol rectified and refined, dis tilled and denatured 31.01 to 31.05 561 12. Fertilizers: organic and inorganic 32.07 to 32.08 533.1 to 533.3 (1) 13. Paints, pigments, varnishes and related products 32.13 533.2 to 895.9 14. Ink 33.06 553.0 15. Cosmetics, perfumery 34.01; 34.02 554.1; 554.2 16. Soaps and detergents 34.04 599.7 (1) 17. Wax and wax products 35.01 to 35.06 599.5 (3) (4) (6) (7) (9) 18. Glues 36.01 to 36.08 571.1 (1) (2); 571.2 (1) 19. Pyrotechnic explosives (2); 571.3; 599.9 (3); 899.3 (2) (3) 36.06 899.3 (2) 20. Matches 38.11 599.2 21. Insecticides, pesticides 38.11 599.2 22. Mosquito coils 38.19 599.9 (9) 23. PVC tiles 39.01 581.1 24. Alkyd resins 44.02 241.2 241.2 25. Charcoal 37.08 862.3 26. Photographic chemicals 15.11 512.2 (6) 27. Glycerine, refined and crude Metallic Products 26.01 283.7 1. Manganese concentrates26.01 285.0 (1) 2. Silver concentrates and bars 73.02 671.4; 671.5 3. Ferro-alloys 73.04 679.1 to 679.3; 698.9 (1) 4. Metal castings; rough, finished semi-finished 73.10; 73.11; 74.03; 673.1 (1); 673.2 (1); 673.4 5. Metal rods, bars, angles, 75.02; (1); shapes and sections, of 76.02; 77.02; 78.02 673.5 (1); 682.2 (1); 683.2 iron or steel (hot-rolled, (1); forged, extruded, cold- 684.2 (1); 689.3 (2); 685.2 formed or cold finished) (1); 686.2 (1); 687.2 (1); 692.2 (1); 73.13 674.1(1); 674.2 (1);.674.3 6. Iron and steel plates, coils (1); and and sheets including 674.7; 674.8 (1) G.I. sheets 73.14; 74.10; 76.12 677.0 7. Steel, aluminum and (1);693.1(2);693.1(3) copper wires 73.17; 73.18; 73.20; 672.9: ; 678.1 to 678.3; 8. Pipes and tubes; B.I., G.I., 74.07; 74. 682.2 (5); spiral welded or aluminum 08; 75.04; 76.06; 682.2 (6); 683.2 (3); 76.07; 75.02; 684.2 (5); 78.05; 79.04; 80.05; 684.2 (6); 689.3 (2); 685.2 (1); 73.21 686.2 (3); 687.2 (4); 691.1 9. Prefabricated and fabricated structural products made of iron and steel and cement 73.23 692.2(1) 10. Steel drums 73.23 692.2 (1) 11. Pails 73.24 692.3 (1) 12. Compressed gas cylinders and similar pressure containers of iron and steel 73.25; 74.10; 76.12; 693.1 (1) to 693.1 (3); 13. Insulated cable wires 85.23; 723.1 73.31; 73.22; 74.14; 694.1 (1); 694.2(1); 14. Nails, bolts, nuts 74.15 694.1 (2); 694.2 (2); 698.9 (1) 73.40 698.9 (1) 15. Grinding balls 76.03; 76.04 684.2 (2); 684.2 (3) 16. Aluminum sheets and foil 80.03 687.2 (2) 17. Tin plates 80.06 698.9 (8) 698.9 (8) 18. Tin cans 82.06 to 82.15 695.2 (5)(6);696.0 (l) to 19. Household utensils made 696.0 of metal including (6); 719.4(1) enamelled 82.08 719.4(1) 20. Kitchen appliances and tools, hand-operated such as meat grinders, coconut graters 82.09; 82.13 696.0 (1) to 696.0(5) 21. Cutlery such as scissors, blades, tailor's shears, shovels, spades, rakes, saws, knives 82.11 696.0(3) 22. Razor blades 83.01; 83.11 (3) 698.1 (1); 698.8 (5) 23. Metallic closures and screw caps83.02 698.1 (2) 24. Building hardware such as hinges, door knobs, door bolts and window rotor-operators 83.03 698.2 25. Vault doors (e.g. insulated vault doors) 83.03 698.2 26. Safes (e.g. record safes and tape- guards) 83.03 698.2 27. Strong boxes, armored and rein- forced strong room doors and compartments and fittings (e.g. insulated filing cabinets) 83.04 698.2 28. Filing cabinets, racks, sorting boxes, paper trays, paper rests and similar office equipment of base metal 73 38 812.3 29. Wrought iron furniture 83.07 812.4(2) 30. Gas lamps 93.01 to 93.07 951.0 (2) to 951.0 31. Firearms and ammunitions (5);894.3(1) (2) (3); 571.4 97.01; 97.08; 80.06 8942(1); 894.5; 698.9 (8) 32. Toys and sporting goods 25.02; 26.01 274.2; 281.4 33. Pyrite cinders or iron sulfite Non-Metallic Products 25.15; 68.16 273.1 (2); 663.6 (3) 1. Marble slabs, tile chips and curios 25.15 273.1 (2) 2. Processed marble blocks 25.20:25.21 273.3 3. Cement additives 25.22 661.1 4. Lime 25.23 661.2 5. Cement & clinker 68.11 663.6 (2) 6. Cement floor tiles 68.12 661.8(3) 7. Asbestos tiles 68.12 663.6 (2); 661.8 (3) 8. Pipes and tubes asbestos cement 68.12 663.6 (2); 661.8 (3) 9. Roofing tiles & fire bricks 69.01 to 69.03 662.3(1) (2); 663.7 10. Refractories 69.04 to 69.14 662.4(1) (2) (3) (4) (5); 11. Clay products such as 663.9(1); pottery, roofing tiles and 812.2; 666.4; 666.5; 666.6; paste frits. 663.9 69.04 to 69.14 (2); 662.4 (1) (2) (3) (4) 12. Ceramic products such as (5); tiles (glazed, vitrified), 663.9(1); 812.2; 666.4; sanitary ware sinks. 666.5; Bidets, etc., except (2) 666.6; 663.9 (2) dinnerware. 70.00 664;665 13. Glass & glass containers such as sheet glass, window panes, optical glass, bottles. 70.08 664.7 14. Safety glass 70.20 651.8; 653.8; 664.9 (4) 15. Reinforced fiber glass products25.02 274.2 16. Pyrite (unroasted) (roasted) Machinery and Equipment and Parts 84.24; 84.25; 84.28 712.1; 712.2; 712.9 (9) 1. Agricultural equipment and components 84.24; 84.25; 84.28 712.1; 712.2; 712.9 (9) 2. Process equipment and components 84.24; 84.25; 84.28 712.1; 712.2; 712.9 (9) 3. Transport equipment and components 84.24; 84.25; 84.28 712.1; 712.2; 712.9 (9) 4. Construction equipment and components 84.29 718.3(1) 5. Ricemills and parts thereof 84.41 717.3 6. Sewing machines 87.01 712.5 7. Tractor parts 87.06 732.8(9) 8. Parts of trucks, passenger trucks, automobiles and other commercial vehicles 87.10 733.1 (1) 9. Bicycles Electrical Products Machines & Parts 83.15 698.8(6) 1. Welding electrodes 84.21 719.6(4) 2. Fire extinguishers 85.03 729.1 (1) 3. Dry cell batteries 85.04 729.1 (2) 4 Storage batteries 85.09 729.4 (2) 5. Motor control center 85.17 729.9 (4) 6. Fire alarm systems 85.19 722.2 7. Panelboard 85.20 729.2 8. Electric lamps & bulbs, incan descent and fluorescent 85.22; 84.15 729.9 (6); 725.0 (1) 9. Electrical appliances sucli as electric fans, toasters, refrigera tors, TV 85.23; 85.25 to 28 723.1; 723.2(1) to (3); 10. Bus ducts 729.9 (8) 85.27 723.2 (3) 11. Light dimmers 76.08 691.2 12. Formed aluminum parts such as door shelves, food shelves, and/ or parts thereof 76.13 (A) 693 (3) 13. Wire screens 84.11 (A) 719.2 (2) 14. Hermetic compressors 84.12 (B) 719.1 (2) 15. Evaporators 84.17 (B) 719.1 (9) 16. Condensers and heat exchangers 85.13 724.9(1); 724.1; 7242 17. Electronic equipment, parts and components 85.15; 85.15 (B); 724.9; 724.2:729.9 (5); 85.18; 722.2; 729.7; 729.9 (9); 85.19; 8522; 729.9 (8) 85.2882.50 729.2 18. Fluorescent and mercury lamp ballasts Wood Products 44.27 632.7 1. Caskets 44.27 632.7 2. Carvings & lattice works 44.27 632.7 3. Pallets 44.27 632.7 4. Shelves 44.27 632.7 5. Sandals & shoes 44.27 632.7 6. Toys & sporting goods 44.27 632.7 7. Parquet tiles 44.27 632.7 8. Bamboo products 44.27 632.7 9. Prefabricated houses & components except lumber 44.28 632.8 (9) 10. Gun stocks 44.28 632.8(9) 11. Cabinets 44.28 632.8(9) 12. Mouldings 44.28 632.8(9) 13. Doors & fixtures 94.01 to 94.04 821.0(1) (2) (3) (9) 14. Furniture, complete or knocked down & parts 48.16; 44.28 642.1 (1); 632.8 (9) 15. Boxes and crates Pharmaceutical Products 30.01 to 30.03 541.6 (2) (3); 541.7 1. Drugs & other pharmaceuticals 30.04 541.9 (1) 2. Wadding, gauze, bandages, adhesives, similar articles 30.04 541.9(1) 3. Sanitary napkins 30.05 541.9(9) 4. Talcum powder 30.05 541.9(9) 5. Dentures Fiber Products 57.04 265.8 1. Coconut coir 57.10; 57.11; 51.04 653.5 (1);653.6(1); 2. Bags, kenaf, jute synthetic 653.4; 653.9 (4) 58.01 657.5 3. Carpets and rugs 59.04; 59.05; 59.06 665.6(1) (2) (3) 4. Cordage, twines, rope, fishing nets, abaca and synthetic 67.04 899.9(5) 5. Wigs and hair pieces Textile Products 50 to 57 651 to 653 1. Textile yarns and fabrics, cotton and synthetic and their blends 50 to 57 651 to 653 2. Fabrics of abaca, sinamay, burlap, jusi, pineapple and other bast fibers 58.03 to 58.10 654 to 655 3. Specialty garments such as laces, garters and band 58.10 654 4. Embroideries61.00 841 5. Garments 61.00 841 6. Gloves 61.00 841 7. Hosiery 62.05 656.9 8. Tablecloths 62.05 656.9 (2) 9. Mosquito nets Paper Products 48.01 D; 48.10 641.4; 642.9 (1) 1. Ggarette paper 48.01 641.5 2. Tissue (Napkin) 48.01 641.2 (1) 3. Bond 48.13 642.9 4. Carbon paper including diazo papers, electrostatic copy papers 48.16 642.1 5. Boxes and packaging materials 48.16 642.1 6. Containers of paperboard 49.01 to 49.11 892.1 (1) (2) (3); 892.2; 7. Books, pamphlets, 892.3; 892. magazines and other 4 (1) (2); 892.9 (2) (3) (4) printed matters (9) Other Products 1. Fish meal 12.09 to 12.10; 09.01 081 2. Animal and poultry feeds D; 18.02; 23.01 to 23.07 24.02 122.2 3. Cigarettes 44.25 to 44.28 632.8(1); 632.8 (2); 632.8 4. Garment hangers of wood, (9); plastics or metal 632.7 (3) 49.01 to 49.11 892.1 (1) (2) (3); 892.2; 5. Advertising materials 892.3; 892. 4 (1) (2); 892.9 (2) (3) (4) (9) 56.04; 56.04 266.3(1); 266.2(1); 266.2 6. Threads of cotton or (3); synthetic fibers 266.3 (3); 71.01 to 71.16 667.1 to 667.4; 275.1; 7. Jewelry 275.2(1); 681.1(1) (2); 581.2(1) (2); 285.0 (2); 897.1(1) (2) (3) (4); 897.2 71.01 667.1 8. Cultured pearls 71.05 to 71.11 681.1(1); 681.1 (2); 9. Plaques and trophies 681.2(1) (2); 71.12 to 71.16 285.0 (2); 897.1(1) (2) (3) 10. Cufflinks (4); 73.34 897.2;698.5 (2) 11. Pins:safety or dressmaker's 98.01 899.5(2) 12. Buttons 98.02 899.5(3) 13. Zippers 99.01 896.0(1) 14. Paintings 44.19; 44.20; 44.24; 631.8 (7); 632.7(1) (2) (3),15. Handicrafts such as 44.25; 632.8 lampshades, placemats,44.27; 44 28; 46 01 to (2) (9); 899.2 (1); 657.8; shellcrafts, hats, 46.03; 899.2 (1); household utensils, toys, 65.01 to 65.07; 67.01 657.8; 841.5 (1) (2) (3) (4) and sporting goods. to 67.05; (9); 899.9 (2) (3) (4) (5) 97.01 to 97.08; 98.06; (6); 894.2 98.11; (1) (2) (3) (4) (5); 884.4(1) 9812 (2); 894.5; 895.9 (2); 899.3 (5); 899.5 (4); 83.10; 899.4(1) (2) (3) 42.02; 66.01 to 66.03 831.0; 899.4 (1) (2) (3) 16. Travel goods 42.02; 64.02 to 64.05 621.0 (1) (2) (3) (4) (5) 17. Leather products such as (6); 621.1; purses, wallets, belts, 629.3; 629.4: 629.9 (8) straps, gloves, footwear (9); 841.6 wear 41.02 to 41.08 611.3; 611.4; 611.9 (1) to 18 Tanned leather 5; 611.9 (9) 39.07; 64.01; 64.02; 893.; 851.0 (1) (2); 612.2; 19. Plastic products such as 42.01; 831.0; light diffusers, footwear, 62.02; 48.00; 71.16; 899.2; 657.8; 899.2 (2); containers, sheets, 90.03; 897.2; 841. raincoats, packaging 90.04; 94.03; 96.01 to 2 (1) (2);821.0 (9); 899.2 materials, brushes, 96.06; (3) (4) (5) brooms, gloves, 97.01 to 97.08 (7); 899.5 (1); 894.2 (1) toothbrushes, toys and (2) (3) (4) (5); sporting goods, optical 894.4 (1) (2); 894.5; 895.5 frames (2) (3) (5) (6) (7); 895.2 (1) (2) (3); 895.9 (2) (3) 98.01 to 98.16 (5); 899.5 (4) (5) (6) (7) 98.02; 98.03; 98.05; 899.5 (3); 895.2 (1); 895.2 20. School and office supplies 83.05 (3); such paperclips, pens and holders, bookbinders, rulers, desk pieces, etc. 92.01 891.4 (1) 21. Musical instruments & parts Pianos and parts thereof 92.02 891 4 Guitars and ukeleles 92.02 891 4 Violins 92.05 891.8(3) Harmonicas LIST B: EXPORTABLE PRODUCTS OF PREFERRED AREAS OF [*] INVESTMENTS BTN SITC EXPORTABLE PRODUCTS 07.01 to 07.06; 08.01 051;-052;053;054;055 1. Processed fruits & to 08.13 vegetables (NP) 20.01 to 20.07 17.02 061.9 2. Glucose powder (including cassava starch production) (NP) 15.07 422.9 3. Rice bran oil (P)13.03 292.9 4. Agar-agar (NP) 15.11 512.2 (6) 5. Refined glycerine (NP) 16.05 032.0 (2) 6. Processed shrimps & shellfish (NP) 28.03 513.2 (7) 7. Activated carbon (P) 29.11 512.4 (1) 8. Furfural (P) 33.01 551.1 9. Essential oils (NP) 44.15 631.2 (1) 10. Blockboard & blockboard cores (NP) 47.01 251 11. Cellulosic staples for specialty pulp(P) 64.01 to 64.06 851.0 (1) (2) (3) (4) (5); 12. Footwear (NP) 612.3 73.02 671.4; 671.5 13. Ferro-alloys (NP) 84.11 719.2 14. Hermetic compressors (P) 85.01 to 85.28 722 to 726; 729 15. Electronic parts and components such as transistors, diodes, printed circuit boards, integrated circuits, variable resistors and rotary switches (P) 65.11 729.9(2) 16. Electric welders (NP) 82.03 695.22 17. Pliers and wrenches (P) 84.63 732.0 18. Motor vehicle transmission (P) 59.14; 60.01; 60.06 653 19. Knitted fabrics a. Flat (NP) b. Circular (NP) Condition: At least 70% of total production must be exported 61.00 841 20. Garments (NP) Condition: At least 70% of total production must be exported. [*] An enterprise applying under List B will be entitled to tax free importation of machinery only if said enterprise agrees to export at least 50 percent of its total production.