NTA, July 31, 2000
RULES AND REGULATIONS GOVERNING THE TRADING OF ALL TYPES OF LOCALLY GROWN LEAF TOBACCO, AS AMENDED
Administration (NTA) by virtue of Executive Order No. 245 and in
consonance with the thrust of the Agency on “TOTAL MARKET DEVELOPMENT THROUGH FAIR AND EQUITABLE TRADING”,
the following rules and regulations governing the trading of all types
of locally grown leaf tobacco are hereby promulgated for the information
and guidance of all concerned.
REGULATION I — GENERAL PROVISIONS
RULE 1. Definition of Terms — As used in these Rules and Regulations:
a) Trading Rules and Regulations — refers to the rules and regulations governing the trading of all types of locally grown leaf tobacco.
b) NTA — refers to the National Tobacco
Administration, a government agency created and existing by virtue of
Executive Order No. 245.c) NTA Board — refers to the NTA Board of Directors, as the policy-making body of the Agency.
d) Administrator — refers to the Chief Executive Officer of the NTA.
e) NTA Classifier/Grader — refers to an NTA
official/employee duly assigned or designated by the NTA Administrator
as a tobacco classifier/grader to supervise/monitor the
classifying/grading of leaf tobacco.f) moa (Memorandum of Agreement) — refers to the production and marketing agreement between and among the NTA, the farmer-cooperator and the buying firm.
g) Leaf Tobacco Buyer — refers to any person, natural or juridical, duly licensed by the NTA, to buy leaf tobacco from the tobacco farmer-producers.
h) Principal Buyer — refers to a tobacco buyer
who, under a purchase commitment, commits to purchase the leaf tobacco
bought by the licensed leaf tobacco buyers.i) Buyer Firm (BF) — refers to a tobacco
company, duly licensed by the NTA, to buy leaf tobacco directly from the
tobacco farmers, which has entered into a Tobacco Contract Growing
project with the NTA and certain tobacco farmers under a MOA.j) Tobacco Trading Center — refers to the place
(building or warehouse), including its accessories/facilities, which is
used for buying, selling, baling, grading, weighing, paying and/or
storing of leaf tobacco in accordance with the herein rules.k) Purchase Commitment — refers to a collective
written commitment of the tobacco buyers to buy a specific quantity of
leaf tobacco from tobacco farmer-producers during a particular crop
year.l) Tobacco Farmer-Producer — refers to a person whose stock of leaf tobacco is the product of the land tilled by him personally.
m) Leaf Tobacco — refers to locally grown tobacco leaves that are traded at the trading center level.
n) License to Buy — refers to a written
authority, issued by the NTA to qualified tobacco bf/tc operator, to buy
leaf tobacco directly from the tobacco farmer-producers, at a
designated tobacco trading center/s.o) Permit to Purchase — refers to a written
authority issued by the NTA, to wholesale tobacco buyer/trader/principal
buyers to purchase leaf tobacco from tobacco bf/tc operators or other
wholesale tobacco buyer/traders/principal buyers.p) Certificate of Authority — refers to a written
authority issued by the NTA, to a field representative, of a duly
licensed tobacco bf/tc operator, to get, collect and/or deliver to the
bf/tc operator, the leaf tobacco produce of the tobacco
farmer-producers.q) PATDA — refers to the Philippine Aromatic
Tobacco Development Association, whose members are the principal buyers
of all types of leaf tobacco.r) MDRD — refers to the Market Development and Regulation Department of the NTA-Central Office.
s) Branch Office — refers to any of the branch offices of the NTA and its extension offices located at the tobacco producing provinces.
t) Tobacco Trading — refers to the buying and
selling, barter or exchange of leaf tobacco from the tobacco
farmer-producers to the trading center and/or to the principal buyer.u) Roving Teams — refers to NTA
officials/employees, designated by the Administrator to enforce and
oversee the proper, effective, and efficient compliance of the herein
rules and regulations, at the trading center/s, particularly on the
accurate weighing, proper grading, prompt payment and proper
documentation.v) Field Representative — refers to a person who
is registered with the NTA, as the duly authorized agent of a licensed
tobacco bf/tc operator to get, collect and/or deliver leaf tobacco from
farmer-producers outside the trading center, after compliance with
certain conditions and requirements, herein set forth.w) Tobacco Bale Tag — refers to an accountable
form/document that identifies the tobacco bale or roll, relating to the
name of the farmer-seller, the weight and the grade of the leaf tobacco
being sold directly by the tobacco farmer-producer at the trading center
as the main document to support the corresponding purchase invoice
voucher.x) Purchase Invoice Voucher (PIV) — refers to an
accountable form/document that identifies the tobacco purchased by the
duly licensed tobacco bf/tc operator from a tobacco farmer-producer,
indicating the name of farmer-seller, source of the tobacco, the weight,
grade, total price per grade, total market value of the tobacco sold,
name and signature of tc operator, time of arrival and the payment of
the sales proceeds of the tobacco and the corresponding serial number/s
of the tobacco bale tag/s.y) Certificate of Purchase (COP) — refers to an
accountable form/document that identifies the leaf tobacco
gathered/collected by a field representative from the tobacco
farmer-producer and delivered to a duly licensed tobacco bf/tc operator.
REGULATION II — Jurisdiction and General Functions
For the effective enforcement of these Tobacco Trading Rules and Regulations;
RULE 1. The NTA Board of Directors shall:
a) Adopt, prescribe and promulgate the proper and needed
tobacco trading policies, rules and regulations in consultation with the
management.b) Approve/ratify the implementing guidelines that are
recommended by the Administrator for the effective and efficient
enforcement of the tobacco trading rules and regulations governing the
trading of all types of locally grown leaf tobacco.
RULE 2. The NTA Administrator shall:
a) Primarily be responsible for the effective and efficient
implementation of the trading rules and regulations, particularly, on
the rules relating to proper classification and bundling by the tobacco
farmer-producer of his tobacco produce and by the tobacco buyer on
accurate weighing, proper grading, prompt payment and proper
documentation of tobacco acceptances.b) Grant/issue licenses to tobacco buyers of whatever
category/type, to buy leaf tobacco directly from the tobacco
farmer-producers only after complying with the requirements as
prescribed under these rules and regulations and subject to the
conditions provided herein. The same condition/s shall be complied with
in the granting/issuance of permit to redry vis-a-vis with the redrying
plant operators and permit to purchase leaf tobacco from licensed
tobacco traders, vis-a-vis wholesale tobacco buyers/trader/s/redrying
plant.
REGULATION III — NTA LICENSE TO ENGAGE IN TOBACCO TRADING
RULE 1. Who May Apply For License To Buy Leaf Tobacco —
Any person of legal age and having the legal capacity to enter into
contract, a corporation, partnership, company, cooperative, or any other
juridical entity, duly licensed to do business in the Philippines,
and/or recognized and affiliated with PATDA, as a member of good
standing, may apply for a License to Buy leaf tobacco from the tobacco
farmer-producer/s thru its trading center/s, subject to the provisions
of Rule 2 hereof and after paying to the NTA cashier the corresponding
processing and license fees in the amount of:
| For Virginia Tobacco | PhP 2,000.00 |
| For Burley Tobacco | 2,000.00 |
| For Dark/Native Cigar Filler/Batek Tobacco | 700.00 |
RULE 2. Requirements To Support The Application For License To Buy Leaf Tobacco
— Any application (MDRD Form No. 1) for the issuance of a
License/Authority to buy leaf tobacco, shall be filed with the Branch
Office where the trading center is located, the same to be supported by
the following:
a) Information sheet of the trading center operator (MDRD Form No. 2);
b) If trading center is a corporation or operates under the
corporate name of a principal buyer, designation from the principal
buyer/corporation, as duly authorized operator of such trading center
(MDRD Form No. 3);c) Endorsement/recommendation by the Branch Office where the trading center is located (MDRD Form No. 4);
d) Clearance from the Branch Office, as to payment of R & R fees and other obligations (MDRD Form No. 5);
e) Photocopy of Articles of Incorporation/By-Laws, if the applicant is a corporation (For new applicant);
f) Latest certified copy of audited financial statements
and/or latest copy of Income Tax Returns of the trading center operator
or the corporation:g) Vicinity/location and floor plan of the trading center,
indicating its total area, location and dimension of the different
service areas (if the applicant is new);h) Latest certified copy of the Mayor’s Permit from the municipality/city where the trading center is located;
i) Photocopy of NTA Official Receipt indicating full payment of the processing and license fees.
REGULATION IV — TRADING OF LEAF TOBACCO
RULE 1. The Following Are Qualified To Buy Virginia, Burley And/Or Dark/Native Cigar Leaf/Batek Leaf Tobacco:
1.1.a A duly licensed tobacco bf/tc operators;
1.1.b A duly licensed tobacco bf/tc operator qualified to buy
all the contracted tobacco produce of its farmer-cooperators under a
TCGP Memorandum of Agreement and Marketing Agreement.1.1.c A duly licensed wholesale tobacco buyer/trader
authorized to buy leaf tobacco from a duly licensed tobacco bf/tc
operator/s and/or other Wholesale Tobacco buyer/trader.
RULE 2. Time, Place and Duration of Trading — The
buying of leaf tobacco at the trading center shall be from 8:00 AM to
5:00 PM, Monday to Saturday, except if any of the said days is declared
as an official holiday. However, the buying at the TC outside of the
official working days may be allowed upon written request by the tobacco
bf/tc operator and duly approved by the branch manager concerned and
with prior notice of at least seven (7) working days, provided, that the
overtime pay of the NTA personnel assigned thereat shall be for the
account of the tobacco bf/tc operator.
RULE 3. Location And Use Of Trading Center — The
trading center shall be located in a place adjacent to a street or
thoroughfare, permitting easy access to it by farmer-producer/seller.
The use of the trading center/warehouse/building, for purposes other
than tobacco trading, may be allowed, provided, that the other business
activities are conducted outside the trading center and do not in any
way hamper/obstruct the effective and efficient implementation of these
rules.
RULE 4. Requirements Before Buying — Before buying leaf tobacco, a tobacco bf/tc operator shall:
a) Obtain from the NTA a License to buy leaf tobacco, duly approved and signed by the Administrator;
b) Obtain all the prescribed trading forms (e.g). Purchase
Invoice Voucher (PIV), Purchase Books, Tobacco Bale Tags, Tally-Out
Sheet/Delivery Receipt, Certificate of Purchase for its authorized field
representative/s and register them with the NTA Branch Office;c) Submit to the NTA Branch Office, the name/s and facsimile
signature/s of the TC Manager and/or his representative, tobacco
grader/s, weigher/s and other persons who are authorized to sign for and
in behalf of the tobacco bf/tc operator/s;d) Set up in front of the trading center, a signboard
measuring 3 feet x 6 feet containing, among others, the name and address
of the trading center, the corresponding NTA license number, his
regular business hours and days of trading (e.g., “Open for business
8:00 am to 5:00 p.m., Monday to Friday, 8:00 am to 12:00 noon, Saturdays
and Sundays”);e) Display conspicuously inside the trading center samples of
tobacco leaves that meet the minimum specifications or descriptions of
each official grade/s. These samples shall be approved and certified by
the Roving Team and shall be kept in an appropriate glass-encased
display board that is visible to the public and should be changed every
fifteen (15) days, or earlier in case of sudden deterioration or change
in the color and quality of the tobacco samples;f) Install at least one (1) weighing scale that is duly
calibrated and sealed by the Roving Team. The weighing scale shall be
inspected and calibrated regularly by the Roving Team, who shall monitor
at random the accuracy of such weighing scale;g) Exhibit the original copy of the NTA License To Buy Leaf
Tobacco in a conspicuous place within the premises of the trading
center;h) Provide a separate receiving ramp/area for the weighing
and grading of leaf tobacco that are personally delivered by the tobacco
farmer-producer/s;i) Hire sufficient number of personnel to undertake the proper accomplishment of the prescribed trading forms; and
j) Provide a permanent/adequate space for the NTA bulletin/billboard/s that is visible to the public.
RULE 5. Classification And Baling Of Tobacco — The
tobacco farmer-producer/seller shall bring/sell his leaf tobacco produce
to a duly licensed tobacco bf/tc operator, properly bundled into 25 to
30 leaves per bundle/roll, tied at the butts and reasonably classified
in accordance with the grading standards prescribed by the NTA.
The equivalent tare to be deducted from the gross weight of the leaf
tobacco is one (1) kilo per bale, if the baling material used is a
plastic sack and two (2) kilos, if it is a jute sack.
RULE 6. Order Of Buying/Acceptance — The tobacco
farmer-producer shall personally bring his tobacco produce to a duly
licensed tobacco bf/tc operator and shall be attended to strictly on a
“first come, first serve” basis and shall be chronologically recorded in
the trading center incoming logbook.
RULE 7. Weighing Of The Leaf Tobacco — Upon arrival
of the leaf tobacco in the tobacco trading center, it shall be weighed
on a duly calibrated weighing scale. Weighing of the leaf tobacco shall
be done in the presence of the farmer-producer/seller and the Roving
team.
RULE 8. Tobacco Grading During Tobacco Season —
During tobacco trading season, the Administrator shall assign a
responsible, capable and knowledgeable trading official/employee, at the
trading center, to enforce and oversee the proper, effective and
efficient enforcement/compliance of these trading rules and regulations,
particularly, on the proper grading, accurate weighing, prompt payment
and proper documentation of leaf tobacco acceptances. The Administrator
shall also field/commission trading roving team/s for the same purpose.
The NTA designated representative/s shall have the authority to
intervene, at any time, in the enforcement of these trading rules and
regulations, particularly, on specific matters as cited herein. The
power to arbitrate is vested on the trading officials/employees assigned
thereat, and/or to NTA officials of higher rank.
RULE 9. Pricing Of Leaf Tobacco — Leaf tobacco
shall be bought by the duly licensed tobacco buyers at prices not lower
than the prescribed floor prices corresponding to a particular leaf
tobacco grade, as determined and approved by the NTA Board of Directors.
RULE 10. Tobacco Bale Tag — The tobacco
trading center, shall use tobacco bale tag/s at all times when buying
leaf tobacco during the trading season. The name of the farmer-seller,
the weight and the grade of the leaf tobacco shall be written legibly on
each of the three segments of the tobacco bale tag by the trading
center/buyer’s weigher and grader. The segments of the tobacco bale tag
shall be distributed as follows:
| Segment No. 1 | TC’s Copy (to be attached to the tobacco bale/roll) |
| Segment No. 2 | NTA’s Copy (to be attached to the PIV Copy for MDRD) |
| Segment No. 3 | Farmer’s Copy |
The grade/s of the tobacco subjected to mediation/arbitration shall
be indicated in the tobacco bale tag and shall be signed by the Roving
Team and the TC tobacco grader.
RULE 11. Purchase Invoice Voucher (PIV) — Every leaf
tobacco purchased from a tobacco farmer-producer shall be covered by a
PIV, duly registered with the NTA and BIR. The PIV shall be properly
accomplished by the bf/tc personnel immediately after the grading,
weighing and payment of the sales proceeds of the leaf tobacco or within
24 hours after its delivery/acceptance. It shall be accomplished in
three (3) copies to be distributed as follows:
| Original | NTA-MDRD |
| Duplicate | Buyer |
| Triplicate | Farmer-Seller |
The PIV shall indicate the name of the trading center, its business
address, BIR registration number, etc., name of tobacco
farmer-producer/seller, date of transaction, source of the tobacco, as
to barangay and municipality, grade/s of the tobacco, net weight of each
grade, the corresponding buying price for each grade, the total price
for each grade, the total market value of the tobacco sold, name and
signature of the trading center manager, the time of arrival of the leaf
tobacco at the trading center and the time of payment of the sales
proceed/s and serial number of the tobacco bale tag/s and the
Certificate of Purchase (COP), if applicable.
RULE 12. Certificate Of Purchase (COP) —
Every leaf tobacco gathered/collected by a field representative from the
tobacco farmer-producer and delivered to a licensed tobacco bf/tc
operator shall be covered by a COP, properly accomplished and duly
signed by the tobacco farmer-producer/seller. It shall be submitted by
the field representative to the tobacco bf/tc operator upon delivery of
the leaf tobacco gathered/collected by him and attached to the PIV,
issued for the purpose.
REGULATION V — PAYMENT OF TOBACCO
RULE 1. Manner Of Payment — All leaf tobacco purchased by the duly licensed leaf tobacco bf/tc operator/s shall be paid in cash.
RULE 2. Payment In Check Or Other Negotiable Instruments
— Payment in the form of personal check, postal check, money order or
any other form of negotiable instrument maybe allowed, if the amount due
is more than ten thousand (PhP10,000.00) pesos and there is a bank or
other facility for encashment within the province where the trading
center is located, provided, however, that such mode of payment is
acceptable to the tobacco farmer-producer.
RULE 3. Time Of Payment — The licensed leaf tobacco
bf/tc operator shall pay the tobacco farmer-producer/seller,
immediately after the grading, weighing and issuance of the
corresponding PIV. However, if payment cannot be made promptly due to
fortuitous event or circumstances beyond the control of the tobacco
bf/tc operator/s, payment shall be made within forty-eight (48) hours
after the normal conditions are restored.
RULE 4. Place Of Payment — The place of payment
shall be at or near the place where the trading center is located.
Payment in a place other than the trading center may be allowed, if the
payment cannot be effected at or near the trading center by reason of
the deterioration of the peace and order conditions in that place or any
other cause beyond the control of both parties, provided, that payment
shall not be made in any bar/disco house or drinking establishment,
gambling or other similar places.
REGULATION VI REGISTRATION OF TC FIELD REPRESENTATIVES
RULE 1. Who May Apply As Tobacco BF/TC Operator’s Field Representative
— Any person of legal age and having legal capacity to enter into
contract, duly recognized and authorized by a duly licensed tobacco
bf/tc operator, may apply for a Certificate of Authority to
gather/collect leaf tobacco from the tobacco farmer-producers and
deliver the same to the licensed tobacco bf/tc operator, subject to the
provisions of Rule 2 hereof and after paying to the NTA cashier the
required registration fee in the amount of :
| For Virginia tobacco | PhP 1,000.00 |
| For Burley tobacco | 1,000.00 |
| For Dark/Native Cigar Filler/Batek tobacco | 500.00 |
RULE 2. Requirements To Support The Application Of A Field Representative:
a. Information sheet
b. Name of tobacco bf/tc to which the applicant is affiliated
c. Proof of payment of the required registration fee.
REGULATION VII COLLECTION AND RECORDING OF PURCHASE INVOICE VOUCHERS (PIVs)
RULE 1. Every Monday and Friday, during the
trading operations, the Roving Team shall gather/collect the properly
accomplished PIVs, COPs and Tobacco Bale Tags issued by the tobacco
bf/tc operator and submit the same to the Branch Office to clerk who
shall record chronologically in the Purchase Book, the following
information and data:
• Name of Farmer-Producer-Seller
• Source of the tobacco (Barangay, Municipality)
• Date of payment/arrival
• Volume, grade and value of the leaf tobacco
• Serial Number of PIV and tobacco Bale Tags
REGULATION VIII — RESEARCH AND REGULATION (R & R) FEES
RULE 1. Research & Regulation Fees — Every
tobacco bf/tc operator shall pay to the NTA the amount of thirty
centavos ( PhP0.30) for every kilogram of tobacco purchased/accepted,
representing Research and Regulation (R & R) Fees.
RULE 2. Payment Of R & R Fees — The R & R
fees herein provided, shall be due and payable within the calendar month
immediately following the month the leaf tobacco was
purchased/accepted. It shall be the duty of the tobacco bf/tc operator
to pay the corresponding R & R fees, including the accrued penalties
due therefrom, if any, to the NTA Branch Office where such trading
center is located.
RULE 3. The Basis Of The R & R Fees shall be
the quantity/volume of tobacco that is recorded in the purchase book,
using as source document, the PIV, less three (3%) percent handling
loss/shrinkage allowance.
RULE 4. Surcharge For Late Payment Of Research & Regulation Fees
— In case the R & R fees are not paid within the reglementary
period prescribed herein, a penalty/surcharge of three (3%) percent per
month, compounded monthly, shall be imposed, paid and collected in the
manner prescribed herein, provided, that the NTA Administrator may
summarily order the revocation/suspension of the License to Buy and
closure of the trading center concerned until such time that it complies
with the payment of all the required R & R fees and penalties due.
The penalty/surcharge of three (3% ) percent per month shall be due
and demandable within one month after the principal R & R Fees are
due for payment. Such penalties/surcharges shall be for the account of
the trading center concerned and shall be paid in the same manner and
procedure as in the payment of R & R Fees.
RULE 5. Billing And Collection Of R & R Fees —
At the end of each month, the Branch Office shall prepare a billing
letter and send to the tobacco bf/tc operator/s on or before the 10th
day of the succeeding month. In case the R & R Fees remain unpaid on
the 20th day of the month, another billing letter shall be prepared and
sent to the tobacco bf/tc operator not later than the 25th day of said
month.
All R & R Fees, penalties and surcharges shall be collected and
deposited by the Branch Office concerned to the NTA–Central Office’
On-Line Bank Account.
REGULATION IX — SPECIAL PROVISIONS
In view of the peculiar trading system and the various sub-types and
uses of native/dark tobacco produced and grown in the Visayas and
Mindanao regions, the following special provisions, in addition to the
herein provisions under Regulation Nos. I to VIII, which are not
inconsistent therewith, shall govern the trading of udlot, tugko, sapud,
lulong, barot, pasta and batek leaf tobacco, to wit:
RULE 1. Definition of Terms:
a) Authority to Buy — refers to a written authority
issued by the NTA, through the Branch Manager, to a buyer of leaf
tobacco, called viajero, to buy leaf tobacco directly from the
farmer-producers/sellers.b) Batek/Udlot/Tugko — refers to the upper leaf of a native/dark leaf tobacco produced in the Visayas and Mindanao regions.
c) Sapod/Lulang/Barot — refers to the lower leaf of a native/dark leaf tobacco produced in the Visayas and Mindanao regions.
d) Pasta — refers to the lower leaves that are
shredded into three (3) millimeter wide and sold as raw material for
chewing tobacco and cigarette making.e) Paldo — refers to a bale of leaf tobacco containing 50 to 60 kilograms of leaf tobacco.
f) Manos — refers to a bundle/pack of leaf tobacco containing 100 leaves per bundle/pack.
g) Tabo System — refers to the leaf tobacco trading system, conducted thru an auction, at a designated place within a municipality.
h) Viajero — refers to a leaf tobacco buyer, other
than a leaf tobacco bf/tc operator, who buys native/dark type of leaf
tobacco directly from the tobacco farmer-producer and sells, delivers,
transports and ships the same to other barangay/s, municipality/ies,
province/s or other leaf tobacco buyers.
RULE 2. Leaf Tobacco Trading By The Viajeros —
Before buying leaf tobacco, a viajero shall secure an “Authority to Buy”
by filing the properly accomplished prescribed application form with
the NTA Branch Office concerned, and pay the corresponding processing
and registration Fees. This authority shall be valid for one trading
season. Only NTA-registered viajeros are allowed to buy leaf tobacco
directly from the tobacco farmer-producers within the province indicated
in the NTA Authority to Buy leaf tobacco, by following the herein
rules:
a) The “Authority to Buy” shall be carried personally by the viajero, at all times, when buying leaf tobacco.
b) Buying of tobacco may be in “manos” or “paldos”,
provided, that there shall be a corresponding equivalent volume in kilos
of the manos or paldos which shall be properly indicated in the
Certificate of Purchase to be issued by the viajero, to the
farmer-producer/seller.c) The tobacco farmer-producer/seller shall be paid within
24 hours after the consummation of the sale or before the
delivery/release of the tobacco from his bodega/storage.d) The viajero shall secure a Certificate of Inspection
from the NTA Branch Office/Field Office, before transporting any leaf
tobacco purchased, to other barangay, municipality or province,
indicating therein that the corresponding Research & Regulation Fees
for the leaf tobacco purchased, are fully paid to the NTA Branch Office
concerned, which shall issue the corresponding official receipt.e) The viajero shall not buy leaf tobacco produced by a
tobacco farmer-producer covered by a tobacco contract growing project
supervised by the NTA, unless the contractor-buyer refuses to buy the
subject tobacco.
RULE 3. Tabo System Of Tobacco Trading — Buying and selling of leaf tobacco under a “tabo system” shall follow the rules stipulated herein:
a) Any local government unit (LGU) which operates or intends
to operate a tabo system of leaf tobacco trading shall notify the NTA
Branch Office concerned, by providing the following data/information:1) Copy of the resolution of the Sangguniang Bayan/Barangay
concerned, to operate a “tabo” system of leaf tobacco trading;2) Location plan of the place/s where the tabo system shall be conducted;
3) Floor plan of the building, indicating its total area, location and dimension of the different service area/s; and
4) Designated day/s and time of tabo trading.
b) Tobacco farmer-producer/s and NTA-licensed tobacco buyers
shall be allowed to participate in the “tabo” system of leaf tobacco
trading.c) During the designated day/s and time of “tabo” system of
leaf tobacco trading, an NTA official/employee and/or a Roving Team
shall be assigned to oversee the trading activity/ies thereat.d) Leaf tobacco purchased/auctioned thereat shall be properly
weighed on a duly-calibrated weighing scale in the presence of the
tobacco farmer-producer and NTA Roving Team, who thereafter issue a
Certificate of Inspection and the corresponding official receipt for the
payment of the Research & Regulation Fees.
REGULATION X — TRADING OF LEAF TOBACCO WITH WHOLESALE TOBACCO BUYERS/TRADERS /REDRYING PLANT OPERATORS
RULE 1. Permit To Purchase And/Or To Redry Issued To Wholesale Tobacco Buyers/Traders And Redrying Plants —
Any Wholesale Tobacco Buyer/Trader and Redrying Plant Operator, may
engage in the trading of locally grown leaf tobacco by securing the
necessary permit from the NTA.
RULE 2. Requirements To Support Application For The Issuance Of Permit To Purchase And Permit To Redry
— Any natural/juridical person who intends to engage in the purchase
and redrying of leaf tobacco, shall secure “Permit To Purchase” and/or
“Permit To Redry”, after compliance with the following requirements:
a) Purchase Commitment to buy/redry a specific quantity/volume
of leaf tobacco from duly licensed tobacco bf/trading center operators;b) Certified list of duly licensed tobacco trading center/s
that shall operate under its Purchase Commitment and the duly authorized
signatories in all trading documents;c) Financial guarantee or any document to prove the financial
capacity of the affiliated trading center operator/s to buy leaf
tobacco; andd) Photocopy of NTA official receipt indicating full payment of the processing and license fees.
RULE 3. Wholesale Tobacco Buyers/Traders And
Redrying Plant Operators are authorized to buy/accept/receive leaf
tobacco deliveries from licensed tobacco bf/tc operator/s and/or other
wholesale tobacco buyers/traders for redrying/processing/sale. Every
leaf tobacco delivery/ies shall be supported by a tally-out-sheet or
delivery receipt signed by the trading center/wholesale tobacco
buyer/trader and duly signed as “Received” by the wholesale tobacco
buyer/trader/redrying plant operator/s.
RULE 4. The Wholesale Tobacco Buyer/Trader/Redrying Plant Operator Shall Require The Following Documents:
a) Tally-out-sheet/Delivery sheet
b) Certificate of Inspection issued by NTA Branch Office/Roving Team
REGULATION XI — TOBACCO TRADING VIOLATIONS AND SANCTIONS
RULE 1. For violation/s of any of the herein
prescribed provisions of these tobacco trading rules and regulations,
particularly, on proper grading, accurate weighing, prompt payment and
proper documentation of the leaf tobacco traded, the NTA Administrator
shall impose the necessary administrative sanction/s, ranging from
warning to revocation/cancellation of the license/permit, depending on
the gravity of the act/s committed.
RULE 2. For any violation/s committed by NTA
officials/employees, particularly on the implementation/enforcement of
these rules and regulations, the NTA Administrator shall impose the
corresponding administrative sanction/s.
These Trading Rules and Regulations shall take effect immediately.
31 July 2000
Approved by the NTA Board of Directors under NTA Board Resolution No. 010 series of 2000