Palace issues EO modifying import duty on natural gypsum, anhydrite

The Office of the President (OP) has issued an executive order (EO) modifying the rate of the import duty on national gypsum and anhydrite in support of the country’s housing and infrastructure programs.

Executive Secretary Lucas Bersamin

According to the Presidential Communications Office (PCO), Executive Secretary Lucas Bersamin signed EO No. 46 last Nov. 3 on the modified import duty on gypsum and anhydrite.

These two are main raw materials in manufacturing plasterboards and cement used for construction.

The EO will help revitalize and increase the competitiveness of the local plasterboard and cement industries, adding that it will also support the housing and infrastructure projects in the Philippines.

“At present, there are no operating mines of natural gypsum and anhydrite in the country, and there are also no local substitute for said products that are available for domestic producers of plasterboards and cement,” the executive order stated.

Under Republic Act No. 10863, or the “Customs Modernization and Tariff Act,” the President has the authority, in the interest of general welfare and national security and upon recommendation of the National Economic and Development Authority (NEDA), to increase, reduce or remove existing rates of import duty.

The NEDA Board has previously endorsed the reduction of the Most-Favored Nation (MFN) tariff rate on natural gypsum and anhydrite on Sept. 21 of this year before Malacañang issued the EO.

“The MFN tariff rate shall be subject to an annual review after 31 December 2024,” the EO read.

Under the order, the NEDA shall submit to the Chief Executive, through the Executive Secretary’s office, its “findings and recommendations on the matter, including analysis and monitoring of the gypsum and anhydrite market.”

The EO shall take effect thirty days after its complete publication in the Official Gazette or in a newspaper of general circulation.

It will also be in full force and effect for a period of five years from the date of effectivity.