Note; The Agreement entered into force, July 29, 1971.The Government of the Republic of the Philippines and the Government of the Republic of Indonesia,
Reference: This Agreement is also published in X DFA TS No. 1, p. 65,
a) As respects Indonesia: Tangir-Talaud Island and District of Nunukan
b) As respects the Philippines: Balut Island Group and Tawi-Tawi Island Group
c) Such other areas as may be agreed upon by the Parties hereto from time to time.
a. A valid national passport or special travel document to be agreed upon by the parties hereto, and
b. A border trade permit issued by each of the Contracting Parties.
FOR THE GOVERNMENT OF THE REPUBLIC OF THE PHILIPPINES: | FOR THE GOVERNMENT OF THE REPUBLIC OF INDONESIA: |
(Sgd.) Hon. ELISEO V. VILLAMOR | (Sgd.) Mr. MOHAMMAD SISMAN |
Undersecretary of Commerce and Chairman, Phil. Panel to the RP-RI Joint Commission on Economic and Technical Cooperation | Secretary General, Department of Trade and Chairman, Indonesian Panel to the RI-RP Joint Commis-sion on Economic and Technical Cooperation |
| |
(Sgd.) Hon. MODESTO FAROLAN | (Sgd.) Lt. Gen. KUSNO UTOMO |
Philippine Ambassador to Indone-sia and Co-Chairman, Philippine Panel to the RP-RI Joint Com-mission on Economic and Techni-cal Cooperation | Indonesian Ambassador to the Philippines and Co-Chairman, In-donesian Panel to the RI-RP Joint Commission on Economic and Technical Cooperation. |
a. Filipino nationals residing in the border area specified under Article II of the Agreement, who wish to engage in trade under the Agreement must register with the appropriate local authorities which will issue, after proper screening, a border trade permit valid for a period of one (1) year, unless sooner revoked for cause.
b. Indonesian nationals residing in the border area specified under Article II of the Agreement who wish to engage in trade under the Agreement must register with the appropriate local authorities which will issue, after proper screening, a border trade permit valid for a period of one (1) year, unless sooner revoked for cause.
a. Ports in the Philippines through which border trade can be conducted are the following:3. Conduct of Trade
Balut Island: Mabila Tawi-Tawi Bongao
b. Ports in Indonesia through which border trade can be conducted are the following:c. Each Contracting Party may designate from time to time other ports for the purpose of trade between the border areas of the two countries under the Agreement.
Sangir-Talaud: Tahuna, Marore, Miangas Nunukan District: Nunukan
d. The foregoing ports shall serve as checking points for the purpose of the Agreement.
a. Trade between the two countries in areas where no banking facilities are available shall be subject to the following conditions:4. Carriers
(i) The value of goods which may be carried by any person as authorized in Article III of the Agreement, shall not exceed FOUR HUNDRED (P400.00) Pesos or its equivalent in Rupiahs per single trip. In case of sea vessel, the value of goods carried by one kumpit or boat shall not exceed the total amount of FOUR THOUSAND (P4,000.00) Pesos or its equivalent in Rupiahs per single trip.
(ii) The whole proceeds due to the registered trader shall be utilized to purchase goods domestically produced in the two countries which are not restricted or prohibited in accordance with the Agreement.
b. Trade between the two countries in areas where banking facilities are available shall be conducted in accordance with the respective regulations shall be effected in convertible currencies acceptable to both parties,
a. As respects Indonesia, agricultural and other products which are originally produced within the Indonesian border area, except mineral oil and ores.
b. As respects the Philippines, goods required for daily use or for consumption including appliances, tools and equipment needed within the Indonesian border area.
a. The Master of an authorized carrier under the Agreement shall give written notice to the customs authorities of the two countries at the port of loading of his intention to clear shipment of cargo at least twenty- four (24) hours before actual loading, and shall submit the necessary shipping documents. Failure to comply with this requirement shall be a cause for the non-clearance of such carrier or the revocation of the permits for which such carrier was utilized.7. Customs Formalities
b. A trader under the Agreement must submit at the port of discharge a certificate declaring the kind, quality, quantity and value of the goods to be traded, issued by the appropriate customs authorities at the port of loading.
a. The boarding, supervision and security of loading and unloading of cargoes under this trade privilege will be the responsibility of the Customs authorities of the Contracting Parties which should also certify to the correctness of the value, quantity, weight and proper declaration of goods exported and imported.
b. Any excess over the allowable amounts specified in the above Section 3. Item a (i) shall be withheld and disposed of by the Customs authorities of the two countries in accordance with the laws of the Contracting Parties.
c. The release of any cargo from the Customs areas shall be made only after full payment of taxes and duties due thereon has been made.
d. No vessels owned or controlled by a citizen of the other Contracting Party of whatever tonnage, shall be allowed entry into the ports and harbors of the other unless the following documents are presented:
1. A valid certificate of registry of such vessel;e. The Customs authorities of both Contracting Parties shall not permit any vessel owned or controlled by citizens of the other Contracting Party to take out from the border area of the other any goods or merchandise which are not authorized or are in excess of the quantities and/or values stated in the Customs clearance.
2. A valid port clearance; and
3. Such other documents as maybe required under the laws of either Contracting Party.
f. The Customs authorities of each of the two Contracting Parties will inform without delay the Customs representatives of the other party as stated in item h of this section about the arrival and departure of vessels owned or controlled by citizens of both the other party. Such information may include the name, tonnage, type and owner of vessel, inward and outward cargo loaded or unloaded, crew members, passengers and other persons disembarked or on board, and any other relevant data which may be requested by said Customs representatives.
g. There will be an exchange of information and intelligence between the Customs authorities of the two Contracting Parties including the values of merchandise, relating to illegal traffic of goods into each other's territory.
h. In order to more effectively achieve the objectives of the Agreement, both Contracting Parties may maintain a Customs complement in every designated station with representatives of other Contracting Party in each station as may be necessary.