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September 23, 1986

PHILIPPINES designates the Ministry of Agriculture and Food/Bureau of Fisheries and Aquatic Resources (MAF/BFAR) with the Ministry of Agriculture and Food Regional Office No. 7 (MAF RO #7) Cebu City, as the implement or of its obligations under this Memorandum of Understanding.

ARTICLE III
  THE PROJECT

SECTION 3.01

CANADA and PHILIPPINES shall participate in a project to continue to assist PHILIPPINES in the improvement of real incomes and the socio-economic well-being of small-scale fishermen in the coastal barrios in and around the municipality of Bayawan in the Province of Negros Oriental in the Philippines through rational development of their fisheries (hereinafter called the "Project").

SECTION 3.02

The objective of the Project is to introduce new fishing techniques such as fish fry collection coupled with fishponds and seed banks, fish processing technology, and improved distribution and marketing systems and to sustain the socio-economic gains achieved over the longer term and ensure the Bayawan Fishermen's Marketing Cooperation Inc. (hereinafter called "BFMCI") is a viable, self-sufficient organization which increases the fishermen's financial returns from their catch and provides supplies and services at a reduced cost to its members.

SECTION 3.03

A brief description of the activities to be implemented by the Project is set out in Annex "A".

ARTICLE IV
  PLAN OF OPERATION

SECTION 4.01

For implementation of the Project, CANADA and PHILIPPINES will develop a Plan of Operation which will constitute an operational document between MAF/BFAR and CIDA. The Plan of Operation will be agreed upon by CIDA and MAF/BFAR within ninety (90) days from the date of this Memorandum of Understanding and may be revised as agreed between CIDA and MAF/BFAR, The Plan of Operation will contain, inter alia, the following:

(a) a detailed description of the Project;

(b) an outline of the methods and means to be used to carry out the Project;

(c) a schedule for the implementation of the Project activities;

(d) the reporting requirements for the Project;

(e) the resources required for the Project;

(f) the nature, timing and responsibilities for Project evaluations and the means by which they shall be made; and

(g) a statement of additional obligations, duties and responsibilities of CANADA and PHILIPPINES together with their contributions,

ARTICLE V
  CONTRIBUTION OF CANADA

SECTION 5.01

The contribution of CANADA shall consist of the provision of training, equipment, materials and supplies, technical assistance and the professional services of a Canadian Executing Agency, all as more particularly set forth in the Plan of Operation. The total value of CANADA'S contribution shall not exceed nine hundred and thirteen thousand Canadian dollars (cdn. $913,000).

ARTICLE VI
  CONTRIBUTION OF PHILIPPINES

SECTION 6.01

The contribution of PHILIPPINES, through MAF RO # 7 shall, consists of the provision of qualified staff to operate the Fish Seed and Fish Farm, BFAR extension officers, travel costs of such officials, the costs of constructing a jetty or dredging the river at the BFMCI site and other costs associated with BFAR coordination and monitoring, all as more particularly set forth in the Plan of Operation. The total value of PHILIPPINES contribution shall be at minimum seven hundred and eighteen thousand six hundred and fifty Philippine pesos (P718,650.00). The general responsibilities of PHILIPPINES are set out in Annex "B".

SECTION 6.02

CANADA and PHILIPPINES agree that MAF RO #7 will be tasked with executing the Canadian financed local cost activities such as the operation of the Project Monitoring Team, local training, Philippines Consultants, and evaluation, all as more particularly set out in Annex "B".

ARTICLE VII
  DEFINITIONS OF CANADIAN FIRMS AND PERSONNEL

SECTION 7.01

For the purpose of this Memorandum of Understanding:

(a) "Canadian firm" means Canadian or other non-Philippine firms or institutions engaged in the Project;

(b) "Canadian personnel: means Canadian or non-Philippine or other non-permanent residents of the Philippines, who are working in the Philippines on the Project;

(c) "Dependant" means:

(i) the spouse of a member of the Canadian personnel, including a person of the opposite sex with whom the member of the Canadian personnel has lived and publicly represented as his/her spouse for a period of not less than one year before the commencement of his/her period of service in the Philippines;

(ii) a child of the member of the Canadian personnel, or his/her spouse who is:

1. under twenty-one years of age and dependent on the member of the Canadian personnel or his/her spouse for support, or

2. twenty-one years of age or older and dependent on the member of the Canadian personnel or his/her spouse for support by reason of mental or physical incapacity.

ARTICLE VIII
  INDEMNITY

SECTION 8.01

PHILIPPINES shall indemnify and save harmless CANADA, Canadian firms and Canadian personnel from civil liability, for acts or omissions occurring in the course of the performance of their duties in the execution of the Project except for acts arising from gross negligence or willful misconduct of Canadian firms or Canadian personnel.

ARTICLE IX
  TAX AND OTHER EXEMPTIONS

SECTION 9.01

PHILIPPINES shall exempt Canadian firms and Canadian personnel and their dependants from taxes imposed on income, provided such income arises outside of the Philippines or from Canadian aid funds as provided in this Memorandum of Understanding. In addition, PHILIPPINES shall exempt Canadian firms and Canadian personnel, including their dependants, from any obligations to present written declarations in relation to these exemptions.

SECTION 9.02

PHILIPPINES shall exempt Canadian firms and Canadian personnel from import duties, customs tariffs and all other duties, charges or levies on technical and professional equipment for use in the Project by Canadian personnel, or persons designated by PHILIPPINES provided that exemption from such duties, tariffs, charges or levies shall only apply to goods or equipment procured from outside the Philippines.

SECTION 9.03

PHILIPPINES shall exempt Canadian personnel and their dependants upon their first arrival in the Philippines and for a period of six (6) months thereafter, from customs duties, other duties, taxes, levies and other charges of similar nature, on personal effects and household appliances and vehicles, subject to the re-exportation or to the termination of the useful life of such effects or to the disposal of said effects to persons enjoying similar exemptions. In the event of fire or theft, this exemption may be re-exercised at any time during the assignment of each Canadian personnel and their dependants.

SECTION 9.04

Funds, equipment, products, materials and any other goods imported into the Philippines for, or related to the execution of the Project shall not be subject to any taxes, import duties, customs tariffs, inspection fees or storage charges or any other levies, duties, fees or charges.

SECTION 9.05

PHILIPPINES shall grant Canadian firms and Canadian personnel freedom from currency exchange restrictions in respect of the re-exportation of their salaries or remunerations transferred from abroad through authorized banking institutions in the Philippines.

SECTION 9.06

Upon request, PHILIPPINES shall inform Canadian firms and Canadian personnel and their dependants of local laws and regulations which may concern them in the performance of their duties.

SECTION 9.07

PHILIPPINES shall facilitate the repatriation of Canadian personnel and their dependants in cases where, in the opinion of CANADA or PHILIPPINES, the life or safety of the said Canadian personnel or their dependants is endangered.

SECTION 9.08

PHILIPPINES shall provide all Canadian personnel and their dependants multiple entry and exit visas for travel to and from the Philippines and will be responsible for providing security clearances, permits and other similar documentation.

SECTION 9.09

PHILIPPINES shall afford all accredited representatives of CIDA and Canadian personnel all necessary opportunity to visit any part of the Philippines for official activities related to the Project.

ARTICLE X
  INFORMATION

SECTION 10.01

PHILIPPINES and CANADA shall ensure that this Memorandum of Understanding is carried out with due diligence and efficiency and each shall furnish to the other all such information relating to the Project as shall reasonably be requested.

ARTICLE XI
  COMMUNICATIONS

SECTION 11.01

Any communications or documents given, made or sent by either PHILIPPINES or CANADA pursuant to this Memorandum of Understanding, shall be in writing and shall be deemed to have been duly given, made or sent to the party to which it is addressed at the time of its delivery by hand, mail, telegram, cable or telex at its respective address, namely 

For PHILIPPINES:

                       

Mail Address :	The Minister   Ministry of Agriculture and Food   Elliptical Read, Diliman, Quezon City
Cable Address :	"Minagri"
Telex :	(722) - 27726 MAF-PH

For CANADA:

                       

Mail Address :	President   Canadian International Development Agency   200, Promenade du Portage   Hull, Quebec, CANADA   KIA 0G4
Cable Address :	CIDAHULL/BSG
Telex :	053-4140

 

SECTION 11.02

Any one of the parties hereto may, by written notice to the other party thereto, change the address to which any notice or request intended for the party so giving such notice shall be addressed.

SECTION 11.03

All communications and documents submitted to CANADA shall be in either the English or the French language, and those submitted to Philippines shall be in the English language.

ARTICLE XII
  INTERPRETATION

SECTION 12.01

Differences which may arise in the application of the provisions of this Memorandum of Understanding shall be settled by means of negotiations between CANADA and PHILIPPINES or by any other manner mutually agreed upon by their respective Governments.

ARTICLE XIII
  ENTIRE UNDERSTANDING

SECTION 15.01

This Memorandum of Understanding together with Annexes "A" and "B" which form an integral part hereof constitutes the entire understanding between the Parties with respect to the Project.

ARTICLE XIV
  CONSULTATION

SECTION 14.01

CANADA and PHILIPPINES will endeavour to consult each other in respect of any matter that may from time to time arise in connection with this Memorandum of Understanding.

ARTICLE XV
  GENERAL PROVISIONS 

SECTION 15.01

This Memorandum of Understanding shall come into force and effect on the date of signature for a period of two [2] years. This Memorandum of Understanding may be amended by the Parties from time to time, as deemed necessary, by mutual agreement by an exchange of letters.

IN WITNESS WHEREOF, the undersigned have signed this Memorandum of Understanding in duplicate in Manila on the 23rd day of September, 1986.

                                           

ON BEHALF OF THE GOVERNMENT OF THE REPUBLIC OF THE PHILIPPINES		ON BEHALF OF THE GOVERNEMENT CANADA
(Sgd.)		(Sgd.)
Name:	SALVADOR H. LAUREL	RUSSELL DAVIDSON
Title:	Minister, Ministry of Foreign   Affairs	Ambassador