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September 29, 1966

Entered into force 29 September 1966.

AGREEMENT BETWEEN THE GOVERNMENT OF THE REPUBLIC OF THE PHILIPPINES AND THE GOVERNMENT OF JAPAN CONCERNING THE ESTABLISHMENT OF TECHNOLOGICAL AND DEVELOPMENT CENTRE FOR COTTAGE AND SMALL-SCALE INDUSTRIES

ARTICLE I

There shall be established a Technological and Development Centre for Cottage and Small-Scale Industries (hereinafter referred to as "the Centre"), in Marikina, Rizal, which shall execute the following activities for the purpose of improving production and developing techniques in cottage and small-scale industries in the Philippines:

a. practical and theoretical training of the Filipino technicians in the field of small-scale industries;

b. demonstration and introduction of modern techniques and machinery for small-scale industries;

c. research with a view to improving techniques in commercial production and marketing;

d. research and testing pertaining to the design of production and develop- merit of machinery in small-scale industries.

ARTICLE II

1. In accordance with laws and regulations in force in Japan, the Govern- ment of Japan will provide at their own expense the services of Japanese ex- perts as listed in Annex I. The services of Japanese experts shall be provided through the normal procedures under the Colombo Plan Technical Cooperation Scheme.

2. The Japanese experts and their families shall be granted the same privileges, exemptions, benefits and allowances as admissible to the experts as- signed to the Philippines under the Colombo Plan.

ARTICLE III

1. In accordance with laws and regulations in force in Japan, the Govern- ment of Japan will provide at their own expense suitable teaching aids, machinery, equipment, tools, spare parts and other materials required for the establishment and efficient operation of the Centre as outlined in Annex II.

2. The Government of Japan will deliver the aforementioned articles, c. i. f., Manila, and such articles shall be consigned to, and shall become the property of the Government of the Philippines upon acceptance by the Filipino authorities concerned at the port of Manila.

3. The aforementioned articles shall be utilized exclusively for the purpose of the Centre with the advice of the Japanese Chief Adviser referred to Annex I.

ARTICLE IV

1. In accordance with laws and regulations in force in the Philippines, the Government of the Philippines will provide at their own expense:

a. the services of a Filipino Director and requisite Filipino counterpart technicians and other staff as listed in Annex III;

b. requisite land and suitable buildings and facilities required for the efficient operation of the Centre as listed in Annex IV;

c. raw materials and any additional machinery, equipment and tools necessary for the operation of the Centre.

2. In accordance with laws and regulations in force in the Philippines the

Government of the Philippines will undertake necessary measures to meet:

a. customs duties, internal taxes and other charges, if any, imposed in the Philippines in respect of the articles referred to in Article III;

b. expenses necessary for the transportation of the articles referred to in Article III within the Philippines as well as for the installation, operation and maintenance thereof;

c. any other expenses necessary for the operation of the Centre.

ARTICLE V

The Filipino Director shall be responsible for overall administration in- cluding technical matters of the Centre, while the Japanese Chief Adviser shall guide the training and research activities of the Centre in consultation with the Director. The Chief Adviser may give advice on the development of the cottage and small-scale industries in the Philippines to the Administrator of the National Cottage Industries Development Authority in coordination with the Director of the Centre.

ARTICLE VI

There shall be consultation between the two Governments for the purpose of advancing the objectives of the Centre and of successfully promoting the Filipino-Japanese cooperation in operating the Centre.

ARTICLE VII

1. The operation of the Centre shall be commenced within one year from the date of the entry into force of this Agreement.

2. The services of the Japanese experts for the operation of the Centre will be provided for a period of three years during the validity of this Agreement

ARTICLE VIII

1. This Agreement shall come into force on the date of its signature.

2. This Agreement shall remain in force for a period of four years from the date of its signature.

3. This Agreement may be extended by mutual agreement for a further specified period.

DONE in duplicate in English at Tokyo, the twenty-ninth day of September, 1966.

ANNEX I

LIST OF THE JAPANESE EXPERTS AT THE CENTRE

1. Chief Advisor

2. Expert in ceramics

3. Expert in textile, fibercraft and weaving

4. Expert in forging and small machine parts manufacture

5. Expert in bamboocraft and rattancraft

6. Expert in woodworking, including furniture and construction materials

7. Expert in consultation and management

8. Co-ordinator

ANNEX II

TEACHING AIDS, MACHINERY, EQUIPMENT, TOOLS AND OTHER MATERIALS TO BE PROVIDED FOR THE CENTRE

1. Ceramic machines and equipment

2. Forging and small parts manufacturing machines and equipment

3. Woodworking machines and equipment

4. Rattancraft and bamboocraft machines and equipment

5, Textile, fibercraft and weaving machines and equipment

6. Tools and implements

7. Teaching aids, including audio-visual equipment

8. Mini-bus

ANNEX III

LIST OF FILIPINO STAFF AT THE CENTRE

1. Director

2. Technical staff: Assistants working with the Japanese experts in each training course

3. Administrative staff:

Drivers

Typists

Clerks

Accountants

Messengers

Watchmen

etc.

ANNEX IV

BUILDINGS TO BE PROVIDED FOR THE CENTRE

1. Main building

2. Director and Chief Advisor's rooms

3. Staff rooms

4. Offices

5. Training rooms and classrooms

6. Workshops

7. Dormitory

8. Canteen

9. Garages

10. Servants' quarters