AMENDING SECTION 12 OF REPUBLIC ACT NUMBERED 1407 AS AMENDED, OTHERWISE KNOWN AS “THE PHILIPPINE OVERSEAS SHIPPING ACT OF NINETEEN HUNDRED AND FIFTY-FIVE”.

WHEREAS, the ocean-going vessels of the industry are a
source of foreign exchange earnings for the country; WHEREAS, under
Republic Act No. 1407 ocean-going vessels can avail of needed foreign
exchange for their maintenance and operations only through a complicated
procedures;

WHEREAS, it is desirable that this procedure be simplified
so as to facilitate the access of this sector of the industry to their
required funds;

NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the
Philippines, by virtue of the powers in me vested by the Constitution,
do hereby decree that Section 12 of Republic Act No. 1407 as amended be
further amended to read as follows:

“SECTION 12. All dollars required by ocean-going vessels
of Philippine registry or by operators of ocean-going vessels of
Philippine registry for the purchase of vessels, repair and improvement,
engines, spare parts, accessories, supplies and other expenses required
for the operation of the vessels in foreign ports or in the high seas,
when recommended by the Maritime Industry Authority shall be made
available by the Central Bank of the Philippines or by any other agency
in charge of dollar controls, subject to the rules and regulations of
the Central Bank, free of exchange tax: Provided, That the
Maritime Industry Authority shall ascertain that the above-mentioned
vessels’ repair and improvement, engines, spare parts, accessories and
supplies cannot be furnished by local firms. All dollars acquired or
spent toy the owners of said vessels shall be properly accounted for to
the Central Bank of the Philippines or to any other agency in charge of
dollar controls.”

All such laws, decrees, orders, rules or regulations or any part
thereof as are inconsistent with this Decree are hereby repealed.

This Decree shall take effect upon its approval.

Done in the City of Manila, this 5th day of March, in the year
of Our Lord, nineteen hundred and seventy-five.