rfvIV
EIGHTEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
Second Regular Session
)
SENATE
s.No. 1741
20 JUL 27 All :15
R:C..
Introduced by SENATOR CYNTHIA A. VILLAR
AN ACT DECLARING THE CITY OF DAVAO AS THE CACAO AND 
CHOCOLATE CAPITAL OF THE PHILIPPINES
EXPLANATORY NOTE
Section 1, Article XII of the 1987 Constitution provides that the Senate 
shall promote the industrialization and full employment based on sound 
agricultural development and agrarian reform, through initiatives that make full 
and efficient use human and natural resources, which are competitive in both 
domestic and foreign markets. Pursuant to such pronouncement, the State 
recognizes that one of the means by which socio-economic advancement can be 
attained Is through agricultural development.
The Philippines, Davao City in particular, has been put on the map for 
producing world class cocoa beans, which is the main ingredient In chocolate 
production. It is the main ingredient in chocolate production and there is no 
other crop or product that can substitute it in as far as chocolate production is 
concerned. There are six (6) intermediate products that can be derived from 
cacao beans: cocoa nibs, cocoa liquor (tablea), cocoa cake, cocoa butter, cocoa 
powder and chocolate confectionary blocks. Its diversified use, both for food 
and non-food, provides broader market opportunities. As a health food, cacao is 
packed with vitamins and antioxidants that make it almost a super food or a 
natural multivitamin. Cocoa-based Cocoa-based products traded in the local and 
International market Include: (1) Wet cacao beans, (2) Ready to sow cacao 
seeds (seedling purposes), (3) Cocoa nibs (beans, whoie/broken, raw/roast, (4) 
Tablea (Cocoa paste or liquor, not defatted), (5) Cocoa powder (not containing


added sugar / other sweetening matter), (6) Cocoa butter, fat/oll, (7) 
Chocolates, and (8) Chocolate Confectionery.
Davao City-based Malagas Chocolate won the country the prestige of 
placing third in the 2017 Academy of Chocolate in London for Its sweetened 
dark chocolates, only two weeks after It won second place In the same 
competition for Its 100% unsweetened dark chocolate under drinking category. 
To date, Malagos's major International award total seven. This just shows that 
the Philippines Is among the countries In Asia seen to have a competitive 
advantage on cacao production given Its strategic location and climatic 
condition.
Furthermore, the province of Davao supplies at least 81% of the country's 
total cacao production and home to world-class dark chocolates. As of 2016, 
the Philippine Statistics Authority recorded 6,262.77 metric tons (MT) of cacao 
produced in the Philippines that has an annual demand of 50,000MT. Of this 
volume, 5,073 MT was produced In the region - Davao del Sur (1,702.54MT), 
Davao City (1,606.80), Davao del Norte (945.31MT), Davao Oriental 
(507.26MT), and Compostela Valley (311.92MT).
The US Department of Agriculture expects that global demand to reach 
between "4.7 million to 5 million metric tons by the year 2020," with an 
estimate of "1 million MT" deficit. This deficit "has given rise to the Philippine 
Cacao Challenge, which commits the Philippines to producing 100,O00MT by the 
year 2020 and onward.
In view of the foregoing, the Immediate passage of this bill Is earnestly 
sought.
lA A. VILLAIT
Senator


EIGHTEENTH CONGRESS 
)
REPUBLIC OF THE PHILIPPINES ) 
Second Regular Session 
)
SENATE
1^ Sswitte
c( tijf
20 JUL 27 All :15
Introduced by Sen. Cynthia A. Villar
1 
AN ACT
2 
DECLARING THE CITY DAVAO AS THE CACAO AND CHOCOLATE CAPITAL OF
3 
THE PHILIPPINES
4 
Be it enacted by the Senateand the House of Representatives of the Phiiippinesin
5 
Congress assembied:
6
7
8 
9
10
11
12
13
14
15
16
17
18
19
20 
21 
22
23
24
25
SECTION 1. Deciaration of Poiicy. - Section 1, Article XII of the 1987 Constitution 
provides that the Senate shall promote the industrialization and full employment based 
on sound agricultural development and agrarian reform, through initiatives that make 
full and efficient use human and natural resources, which are competitive in both 
domestic and foreign markets.
Towards this end, the State hereby recognized the importance of cacao as a 
driver of rural development not only because of its singular potential as a raw material 
that can increase the country's export earnings tremendously, and put the name of the 
country in the map for producing the finest chocolate beans, but for having provided 
livelihood to many small farmers in the countryside.
SEC. 2. Cacao and Chocoiate Capitai of the Phiiippines. - In recognition of the status as 
the country's biggest producer of cacao and its vital contribution in making the 
Philippines world renowned and sought after by chocolate makers from the U.S., Japan, 
and Europe, the City of Davao is hereby declared the Cacao and Chocolate Capital of 
the Philippines.
Sec. 3. Effectivity. This Act shall take effect fifteen (15) days after its publication in the 
Official Gazette or in a newspaper of general circulation.


2 Approved,
CYNTHIA A. VILLAR 
Senator