Pursuant to the authority conferred upon me as President of the Republic of the Philippines by Act No. 39 of the National Assembly, and in order to readjust and rehabilitate the Philippine sugar industry, it is hereby ordered that:

SECTION 1. The Philippine Sugar Association is hereby created.

SECTION 2. Objectives – The objectives of the Philippine Sugar Association shall be to rehabilitate the sugar industry in the Philippines from the effects of war and to place the industry on a rational basis (looking to its survival in an unprotected export market).

SECTION 3. Membership – Membership of the Association shall consist of all planters of sugar cane and processors or manufacturers of products derived from sugar canes as follows:

(a) Membership of planters shall be planters’ associations of each milling district;

(b) Centrifugal sugar mills, whether manufacturing centrifugal, washed, bleached and other sugars;

(c) Sugar refineries, whether operated as part of a centrifugal sugar mill or independent thereof, and

(d) Distilleries of alcohol and all other spirits from sugar cane.

SECTION 4. Management – The affairs of the Association shall be managed by a Board of Directors which the Minister of Agriculture and Natural Resources shall be the ex-officio President. Members of the Board of Directors will be appointed by the President of the Republic of the Philippines who shall also designate one or more Vice-Presidents and one or more Executive Directors. The President of the Association may delegate any of his powers to a Vice-President or Executive Director.

SECTION 5. Powers and Duties of the Association – The Philippine Sugar Association shall have the following powers and duties:

(a) Designate districts wherein sugar cane may be grown, fixing quotas therefor, and the sugar mills and distilleries that are to be operated, likewise fixing quotas for each sugar mill and distillery;

(b) Fix sugar quotas for domestic consumption and for exports;

(c) Fix the price per ton of sugar cane to be paid by manufacturers to planters and the time for such payment or otherwise determine the compensation to be received by planters and by processors;

(d) Fix the price of sugar, alcohol and all other products derived from sugar cane to be pain to all manufacturer and, when necessary, proration the revenues derived from the sale of said products among manufacturers under such conditions as the Association may prescribe;

(e) Fix the retail prices of all such products to be paid by consumers;

(f) Control the procurement, distribution and consumption of all products derived from sugar cane;

(g) Fix the assessments to be paid members of the Association and the manner and time of such payments;

(h) Prescribe a uniform system of accounting and reports for planters of sugar cane and manufacturers of products derived therefrom;

(i) Require and obtain sworn statements from any and all parties on any information required by it for the purposes of attaining the objectives of the Association; subpoena and examine witnesses under oath in respect to matters related to any investigation, and in general, to take all other action as in its opinion may be necessary and proper;

(j) Assist producers, both planters and manufacturers to acquire the materials and equipment necessary in their production, as well as to obtain under reasonable conditions, the necessary financial assistance for this purpose and for their production in general;

(k) Assist liquidating centrals favorably to dispose of all their salvaged machinery, equipment and materials giving preference, however, to those centrals which are to continue, equipment and materials they may need for such continued operation, and

(l) Prescribe such rules and regulations as may be considered necessary to carry out properly and expediently the purposes of the Association, including penalties to be imposed upon violations of said rules and regulations.

SECTION 6. Effectivity – This Order shall take effect on June 8, 1944.

Done in the City of Manila, this 8th day of June, in the year of Our Lord, nineteen hundred and forty-four, and of the Republic of the Philippines, the first.

President of the Republic of the Philippines

By the President:
Executive Secretary