NINETEENTH CONGRESS OF THE 
)
REPUBLIC OF THE PHILIPPINES 
)
First Regular Session 
)
SENATE
s. No. 165
of I Ik
q>
72 JUL-7 P4 ’07
RUCEiVhD B/:
INTRODUCED BY SENATOR JOSEPH VICTOR "JV" G. EJERCITO
AN ACT
MANDATING THE ESTABLISHMENT OF AGRI-FOOD TERMINALS AND 
TRADING CENTERS IN EVERY PROVINCE PROVIDING FUNDS THEREFOR 
AND FOR OTHER PURPOSES
EXPLANATORY NOTE
The 1987 Philippine Constitution, Article XIII, Section 5, thereof, specifically 
provides that:
The State shall recognize the right of farmers, farmworkers, and 
landowners, as well as cooperatives, and other independent farmers' 
organizations to participate in the planning, organization, and 
management of the program, and shall provide support to agriculture 
through appropriate technology and research, and adequate financial, 
production, marketing, and other support services.
The Philippines is largely an agricultural country. Many of our kababayans re\y 
on farming and fishing as their source of income - they are our most fundamental 
producers to ensure the food security in the country. The agriculture sector 
contributed a gross value added (GVA) of about PI.76 trillion in 2021. Moreover, the 
sector also contributed 9.6 percent to the country's GDP.1 Nevertheless, the 
government support to our farmers is still Insufficient. The problems on smuggling and 
importation of agricultural products adversely affected the agricultural sector.
https://www.statista.com/statistics/1265745/philippines-gva-of-agriculture-forestry-and-fishing-sector/


In this proposed legislation aims to foster and promote growth of the local 
agricultural markets, by establishing agri-food terminals and trading centers in every 
province in the country. This agri-food terminals and centers will serve as place where 
local farmers can sell their produced and goods directly to the wholesalers. These will 
be located in areas near train stations, bus terminals, ports or any transport hub In 
the province. With the establishment of these agri-food terminals, there will be proper 
management of the supply and distribution of local agriculture products; our farmers 
will be supported and their products will be promoted.
With the current state of the agriculture sector, it is our Constitutional duty to 
support our local farmers and other agricultural workers as they contribute to the 
country's inclusive growth and sustainability. It is the opportune time that the sector 
be given the priority that it deserves.
In view of the foregoing, the passage of this bill is earnestly sought.
JOSEPH VICTOR "JV"G. EJERCITO


NINETEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
First Regular Session
)
)
SENATE
s. No. 165
72 JUL-7 P4:07
RiCEiVri) B>J:
INTRODUCED BY SENATOR JOSEPH VICTOR "JV" G. EJERCITO
AN ACT
MANDATING THE ESTABLISHMENT OF AGRI-FOOD TERMINALS AND 
TRADING CENTERS IN EVERY PROVINCE PROVIDING FUNDS THEREFOR 
AND FOR OTHER PURPOSES
Be it enacted by the Senate and the House of Representatives of the Philippines in 
Congress assembled:
SECTION 1. Short Title. - This act shall be known as the "Agri-Food Terminal 
and Trading Centers Act”
Sec. 2. Declaration of Policies. - It Is hereby declared the policy of the State 
to give aid to farnners by providing venue to promote and market their produce and 
giving them access to buyers who can offer competitive prices. Toward this end, a 
comprehensive program for the creation of a nationwide system of agricultural food 
terminals & trading centers Is hereby established.
The goal of these centers is to provide an avenue where farmers and livestock 
raisers can directly sell their products to institutional buyers and gain higher profit; 
moreover, this endeavor for a higher mobility for locally produced agricultural products 
to the whole country for cheaper cost of transportation.
Sec. 3. Definition of Terms. -For purposes of this Act:
a. Agri-food Terminals and Trading Center or Terminal and Center xeiexs to an 
establishment where farmers can offer their products for sale directly to 
wholesalers and direct consumers thus eliminating middleman in the sale of 
agricultural products
b. Secretary to the Secretary of Department of Agriculture.
c. Department xeiexs to the Department of Agriculture.


Sec. 4. Establishment of Agri-food Terminals mid Trading Centers. -The 
Department of Agriculture shall establish and manage an Agri-food Terminals and 
Trading Center in every province. Cities and Municipalities are hereby encouraged to 
establish their own Agri-food Terminals and Trading Centers.
Agri-food Terminal and Trading Centers shall have the following standards for 
their creation and operation:
a. It shall be mandatory for the province to setup at least one Agri-food 
Terminal and Trading Center adjacent to a train stations located within the 
jurisdiction of the province concerned.
b. In provinces where there is no train station, Agri-food Terminal and Trading 
Center shall be set up strategically near ports, bus terminals or any transport 
hub within the jurisdiction of the province concerned.
c. For the first two (2) years from the date of operation, terminals/centers 
shall concentrate on the top three (3) agricultural products of the province. 
The list shall be expanded to five after this period.
d. Each center shall be equipped with a warehousing center, cold storage and 
any similar facilities necessary to accommodate and store agriculture 
product.
Sec. 5. Work Rian. - In line with this act, the Department shall develop the 
following:
a. A plan of bringing the program down to the grassroots, utilizing available 
personnel and facilities on the local level and those of LGUs;
b. A pattern of cooperation and mutual assistance with LGUs, Peoples 
Organizations and Non-Governmental Organizations, which will maximize 
people empowerment and participatory approaches to program formulation, 
implementation and monitoring; and
c. A schedule of short-term, medium-term and long-term targets on research 
and development, marketing, trade promotion/initiatives, capacity building, 
among others.
Sec. 6. Funding. - The amount of Twenty-Five billion pesos (P25,000,000,000) 
is hereby appropriated for the Initial year of implementation of this act, thereafter, the
2


amount of Ten billion pesos (PIO,000,000,000) shall be included in the budget of the 
Department for implementation and continued expansion of this program. In addition, 
the establishment and operation of terminals and centers will be made with the 
available participatory funding from the national government with adequate equity 
from the Local Government Units.
Sec. 7. Implementing Rules and Regulations - Within thirty (30) days from the 
effectivity of this Act, the Secretary of Agriculture and the Secretary of Interior and 
Local Government, in consultation with appropriate government agencies and other 
stakeholders, shall promulgate the necessary rules and regulations to implement this 
Act. The implementing rules and regulations shall include a template to guide the cities 
and municipalities in the establishment of their own Agri-food Terminals and Trading 
Centers.
Sec. 8 Separability Clause. - If any provision of this Act Is held invalid or 
unconstitutional, the same shall not affect the validity and effectivity of the other 
provisions hereof
Sec. 9. Repealing Clause. - All laws, decrees, executive orders, rules and 
regulations, which are Inconsistent with the provisions of this Act are hereby repealed, 
amended or modified accordingly.
Sec. 10. Effectivity Clause. - This Act shall take effect fifteen (15) days after its 
publication in the Official Gazette or In a newspaper of general circulation.
Approved,