Section 6October 10, 1991, Sec./Art. 6

There shall be added a new section after Section 72 of Presidential Decree No. 705, to be known as Section 73, as to read as follows:

"Sec. 73. Effectivity and Application of Forest Charges and Determination of Market Price of Forest Products.-The rates of forest charges provided for in Sections 70,71 and 72 hereof shall be effective upon approval of this Act. The new rates shall be published in the Official Gazette or in two (2) newspapers of national circulation and shall also be posted in conspicuous places in the different Department of Environment and Natural Resources field offices.

"The actual FOB market price of forest products shall be justly determined once a year by the Secretary of Environment and Natural Resources: Provided, That he shall cause the creation of a committee to be composed of representatives of the Department of Environment and Natural Resources, the National Economic and Development Authority, the Department of Trade and Industry, the Bureau of Internal Revenue and the wood and furniture industry and consumers sectors which shall formulate the criteria and/or guidelines in the determination of the actual FOB market price to be used as the basis for the assessment of the ad valorem tax. taking into consideration production cost (developing cost, contingencies and miscellaneous cost), species and grade of timber and forest products gathered within public forestlands, alienable and disposable lands and private lands.

Forest charges collected shall be in lieu of the administrative charge on environment and other fees and charges imposed thereon: Provided, That planted trees and other forest products harvested from industrial tree plantations and private lands covered by existing tiller or by approved land application are exempted from payment of forest charges."