EIGHTEENTH CONGRESS OF THE ) 
SENATE OF THE PHILIPPINES 
)
First Regular Session 
)
SENATE
o( l’1.' -i'
‘19 JUL 11 All :06
RECEIl'LU JV
S. No.
337
Introduced by SENATOR CYNTHIA A. VILLAR
AN ACT
INSTITUTIONALIZING THE BAMBOO INDUSTRY DEVELOPMENT IN  THE 
PHILIPPINES, 
CREATING 
THE 
BAMBOO 
INDUSTRY 
RESEARCH 
AND 
DEVELOPMENT CENTER (BIRDC), APPROPRIATING FUNDS THEREFOR, AND
FOR OTHER PURPOSES
EXPLANATORY NOTE
The Philippine government has been supporting the production and development 
of bamboo in the country in recent years. In May 2010, Executive Order (EO) No. 879, 
series of 2010 was issued creating the Philippine Bamboo Industry Development (PBID) 
Council and directed the use of bamboo for at least twenty five percent (25%) of desk 
and other furniture requirements of public elementary and secondary schools and 
prioritizing the use of bamboo in furniture, fixtures and other construction requirements 
of government facilities. Thus, bamboo was tapped as the main material to substitute 
for the reduced supply of wood government facilities. 
E.O. 879 was reinforced by 
Memorandum Circular No. 30 s. 2012, which directed the full implementation of the 
Philippine Bamboo Industry Program.
In February 2011, Executive Order No. 26, series of 2011, which declaring an 
interdepartmental convergence initiative for a National Greening Program to plant 1.5


billion trees covering 1.5 million hectares for a period of six (6) years from 2011 to 2016 
in lands of the public domain, was issued by then President Aquino. This is in response 
to worldwide concern on global warming as the country intended to contribute to the 
Asean commitment of 20 million hectares of new forest by 2020 through reforesting 
over 500,000 hectares with bamboo. The administration's environmental initiative, has 
a total budget of P28.8 billion ($59.37million) from 2011 to 2016.
On November 12, 2015, EO No. 193, series of 2015 was issued expanding the 
coverage of the National Greening Program since there is still an estimated 7.1 million 
hectares of unproductive, denuded and degraded forestlands needing reforestation and 
rehabilitation in order to arrest the environment-related risks such as soil erosion, 
landslides, and flooding. The EO specified that the government shall involve the 
participation and investment of the private sector with a view towards enabling private 
companies to achieve carbon neutrality; and consistent with the updated Master Plan 
for Forestry Development (2016 -  2028), there is a need to harmonize all forest 
development activities that will encourage and enhance development of forest 
plantations and parks, with greater participation from the private sector, local 
government units and organized upland communities.
The Forest Products Research & Development Institute (FPRDI) of the 
Department of Science and Technology (DOST) said that bamboo is one of the most 
economically-important non-timber forest products in the Philippines. Its fast growth 
and excellent properties make it an ideal substitute to wood for furniture, handicrafts, 
construction material, and chemical products. Bamboo utilization is geared to exploit its 
use as substitute to wood. 
The DOST- PCAARRD boosted the value of bamboo by 
completing a study on mainstreaming engineered-bamboo products as raw materials 
for construction and furniture, through appropriate S8iT interventions in processing, 
machine engineering and design, capacity building and marketing.
The Department of Trade and Industry through the years has been providing 
MSMEs across the country access to better technology and more sophisticated
2


equipment through shared services facility (SSF) that could boost productivity and 
improve efficiency. The SSF program addresses both the gaps and bottle necks in the 
value chain of priority industry clusters, while increasing agriculture and rural based 
MSMEs' reach and profit.
Through concerted efforts from relevant stakeholders, the Philippines was able 
to increase its share in the global market for bamboo. Based on figures from the 
Philippine Bamboo Industry Cluster Report, the global market for bamboo rose to 
US$17 billion in 2015 from US$7 billion in 2009. Of this market growth, the Philippines 
generated P306.3 million in investments, P261.8 million worth of sales, and created 
13,103 jobs from 2012-2014.1 The country was ranked as the 5th largest bamboo 
exporter in the world in 2010, next to China, EU, Indonesia, and Vietnam. Its total 
exports of bamboo reaches about $30 million annually, which represents a mere 10 
percent of what the US, the world's leading bamboo importer, buys annually from 
China, which amounts to about $300 million.
The Philippines has an edge in design and craftsmanship and the local bamboo 
sector can be further developed. The honing of the Filipino capacities and skills and 
providing them with global perspective will definitely help our bamboo industry become 
a major revenue and employment generator.
Still the main challenges in developing the Bamboo Industry is the lack of land 
planted with it. There are about 8,500 hectares devoted to Bamboo cultivation, with 
four economically viable species -  the Kawayan Tinik, Giant Bamboo, Buho, and Bolo. 
According to the DTI, while 8,500 hectares is a significant number, the huge demand 
for bamboo requires more coverage. The bamboo industry could also use incentives 
and develop a comprehensive database of the industry to encourage more investors in 
plantation development and processing plants.
1 DTI Comer. MSMEs to advance local bamboo industry. The Freeman. 23 February 2016
3


stronger convergence programs and cooperation among 
the government, 
private sector and other stakeholders are needed.
A bamboo industry development program should be institutionalized to bring it to 
a more efficient, transparent, and effective service delivery set-up. The task is not yet 
completed. The Philippines still has more international markets to reach to showcase 
its fine crafted furniture and products, it needs to still create more jobs for the rural 
folks, and it has to protect the environment still for the harsher climatic conditions to 
come.
I therefore recommend the early approval of the bill.
CYNTHIA A. VILLAR


EIGHTEENTH CONGRESS OF THE ) 
SENATE OF THE PHILIPPINES 
)
First Regular Session 
)
SENATE
(.■•4; 5 
IV
tO ffitr cl :l!t* «SK'*<Iarr
'19 
JUL11 
All -06
S. No.
Introduced by SENATOR CYNTHIA A. VILLAR
AN ACT
IN STITU TIO N ALIZIN G  THE BAMBOO INDUSTRY DEVELOPMENT IN  THE 
PHILIPPINES, 
CREATING 
THE 
BAMBOO 
INDUSTRY 
RESEARCH 
AND 
DEVELOPMENT CENTER (BIRDC), APPROPRIATING FUNDS THEREFOR, AND
FOR OTHER PURPOSES
Be it  enacted by the Senate and House o f Representatives o f the Philippines in 
Congress assembled:
1 
Section 1. Title. -  This Act shall be known as the "Philippine Bamboo Industry
2 
Development Act of 2019."
3
4
5
6
7
8 
9
Sec. 2. Declaration o f Policy. -  The State shall provide for a self-reliant and 
independent economy to its people. It shall support indigenous, scientific and 
technological cap>abilities, and skills. It shall establish a program for a sustainable 
utilization, propagation and promotion of bamboo as furniture, food, construction and 
design materials, focxJ and other uses. It shall promote the bamboo industry for poverty 
reduction, inclusive growth, environmental conservation and protection, agricultural 
productivity enhancement and climate change mitigation and adaptation.
10
Sec. 3. Definition o f Terms. -  As used in this Act:


1 
a) Bamboo refers to a plant belonging to the subfamily Bambusoideae of grass
2 
family Gramineae (Poaceae) whose culms (stems) are woody;
3 
b) Bamboo stand - for plantation, an aggregate of clumps occupying a specific
4 
area and sufficiently uniform in composition (species), age, spacing, and condition as to
5 
be distinguished from the natural and or existing bamboo stands (with unknown clump
6 
age). The latter stands have irregular spacing and species composition not necessarily
7 
uniform and the clumps are randomly and widely distributed;
8 
c) Bamboo Industry -  a sector with very high potential contribution in the
9 
socio-economic development and environmental protection of the country. The sector
10 
may still be classified as essentially agricultural considering that majority of its market
11 
and supply is essentially for agricultural requirements such as fish pens, banana props
12 
and other low value applications like scaffoldings, and fences;
13 
d) Bamboo Backyard Farming -  those whose plantation and operations are
14 
basically in the house backyard, with the household members as workers. The majority
15 
of bamboo processing enterprises in the Philippines belong to this category; and
16 
e) Bamboo Processing -  conversion of bamboo poles for various products and
17 
applications including walls, panels, trusses, handicraft, and novelty products (furniture,
18 
handicraft, and decors) focused on the possible use of bamboo as substitutes for wood
19 
for various applications (plywood, composites, pulp and paper, bamboo arts, and other
20 
architectural applications).
21 
Sec. 4. Objectives. 
-  This Act aims to make the Philippine bamboo industry
22 
competitive in the local and international markets while providing opportunities for local
23 
employment and establishing bamboo-based community enterprises by:
24 
a) Ensuring that the bamboo industry has sufficient supply of quality raw
25 
materials through the establishment and management ofbamboo nurseries and
26 
plantations;


1 
b) Ensuring that the bamboo industry continuously receives from the research
2 
and development sector relevant technologies and new products;
3 
c) Ensuring that the industry receives pertinent and accurate data from the
4 
Center created under Sec. 9 of this Act, and other relevant sources upon which the
5 
industry can make business decisions;
6 
d) Promoting investments in the bamboo industry by providing substantial and
7 
attractive incentives to investors;
8 
e) Providing skilled labor and manpower through continuous relevant capacity
9 
building;
10 
f) 
Ensuring provision of locally manufactured machines of improved capacity,
11 
efficiency, and quality at competitive costs;
12 
g) Ensuring continuing and new material and design research and development
13 
to advance market access for Philippine bamboo and bamboo products locally and
14 
internationally;
15 
h) Providing access to markets of bamboo products locally and internationally
16 
through aggressive trade promotions; and
17 
i) 
Ensuring sustainable resources in the implementation of the bamboo industry
18 
development program.
19 
Sec. 5. The Philippine Bamboo Industry Development Roadmap (PBIDR). -  To
20 
be able to attain the policy and objectives set forth in this Act, there shall be
21 
established a Philippine Bamboo Industry Development Roadmap, hereinafter referred
22 
to as the Roadmap, which shall include but not be limited to programs and projects for
23 
the scientific propagation, development and management, processing, utilization,
24 
business development, and commercialization of Philippine bamboo and bamboo
25 
products. The Roadmap shall include the following objectives, among others:


1 
a) Expand the number of bamboo nurseries with quality planting materials;
2 
b) Ensure the propagation, breeding, site species matching and plant nutrition;
3 
c) Observe sustainable planting, management and harvesting, and soil and
4 
water conservation practices;
5 
d) Encourage bamboo backyard farming;
6 
e) Ensure the sustainability and viability of the bamboo industry;
7 
f) Promote investments in the bamboo industry development programs;
8 
g) Advance market access for Philippine bamboo and bamboo products locally
9 
and internationally;
10 
h) Extend technical and financial assistance for the development, processing,
11 
commercialization and marketing of various bamboo products;
12 
i) 
Require bamboo to be at least twenty percent (20%) of the annual planting
13 
materials needed in the national greening program or in reforestation of open,
14 
denuded, and degraded forest lands;
15 
j) 
Use bamboo in the manufacture of at least twenty five percent (25%) of
16 
desks and chairs, as an alternative to wood, in public primary and secondary schools in
17 
the country;
18 
k) Make available to the bamboo industry relevant and current research and
19 
technological information and new product lines;
20 
I) 
Provide continuous training and capacity building in the bamboo industry
21 
development; and
22 
m) Provide technical and financial assistance in the locai design and fabrication
23 
of high capacity processing equipment and machineries for the bamboo industry.


1 
Sec. 6. 
Philippine Bamboo Industry Development Council. 
-  There is hereby
2 
created a Philippine Bamboo Industry Development Council (PBIDC), herein referred to
3 
as the Council, which shall provide the overall policy and program directions and
4 
coordinate the activities of various agencies and instrumentalities to ensure the
5 
implementation, accomplishment, and periodic review and enhancement of the
6 
Roadmap.
7 
The Council shall be administratively attached to the Department of Trade and Industry
8 
(DTI).
9 
Sec. 7. Powers and Functions o f the Council. 
-  The Council shall have the 
10 
following powers and functions:
11
a) Formulate the Philippine Bamboo Industry Development Roadmap;
12 
b) Identify specific programs and projects in support and in line with the
13 
Philippine Bamboo Industry Development Roadmap;
14
c) Identify sources of financing to expand bamboo industry development;
15 
d) Identify programs, projects and activities to be funded by the Philippine
16 
Bamboo Industry Development Trust Fund through a resolution;
17 
e) Submit annual reports to the Office of the President, the Senate Committee
18 
on Trade, Commerce and Entrepreneurship, and the Flouse of Representatives
19 
Committee on Trade and Industry on the status of the implementation of the Roadmap
20 
and the bamboo industry development in the country; and
21 
f) 
Promulgate such rules and regulations and exercise such other powers and
22 
functions as may be necessary to carry out effectively the attainment of the purposes
23 
and objectives of this Act.


1 
Sec. 8. Composition o f the Council. -  The Council shall be composed of the
2 
following:
3
4
5
6
7
8
9
10
11
12
13
14
a) Secretat7 of the Department of Trade and Industry (DTI) as the Chairperson;
b) Secretary of the Department of Environment and Natural Resources (DENR);
c) Secretary of the Department of Agriculture (DA);
d) Secretary of the Department of Science and Technology (DOST);
e) Secretary of the Department of Labor and Employment (DOLE);
f) 
Secretary of the Department of Interior and Local Government (DILG);
g) Three (3) representatives from state universities and colleges, one each from 
the island group of Luzon, Visayas and Mindanao;
h) 
One (1) representative each from bamboo farmers, bamboo manufacturers, 
and bamboo processors associations; and
i) 
One (1) representative from non-government organization promoting 
bamboo.
15 
The DTI Secretary may designate the Undersecretary for Regional Operations
16 
Group (DTI-ROG) as his/her alternate and shall have the same powers as his/her
17 
principal and his/her acts shall be considered the acts of his/her principal.
18 
The Council members from the different Departments may designate their
19 
respective alternates who shall be at least Assistant Secretary in rank and whose
20 
designation shall be on a permanent capacity and their acts shall be considered the acts
21 
of their principals.


1 
The representatives from the state universities and colleges, private industry
2 
associations, bamboo farmers/producers/processors association, and non-government
3 
organizations shall be appointed by the President of the Republic of the Philippines from
4 
the list of nominees submitted by the DTI Secretary. The DTI Secretary shall choose the
5 
nominees from the respective lists submitted by the different organizations and
6 
associations.
7 
The representatives must be citizens and residents of the Philippines and must
8 
be knowledgeable in bamboo industry development and committed to the policies and
9 
programs provided under this Act. They shall serve for a term of three (3) years, and
10 
may be reappointed once.
11 
The Council shall meet quarterly and may hold special meetings whenever the
12 
need arises to consider urgent matters upon the call of the Chairman or any seven (7)
13 
Council members.
14 
Sec. 9. Bamboo Industry Research and Development Center (BIRDC). 
-  The
15 
Bamboo Industry Research and Development Center, hereinafter referred to as the
16 
Center, shall be created to serve as the secretariat of the Council to be headed by an
17 
executive director. The Center shall consist of divisions for the following purposes:
18 
research and development; trade promotion and education; networking and linkages;
19 
internal administration; and such other purposes as necessary. The composition of the
20 
divisions shall be prepared by the executive director and approved by the Council.
21 
The organizational structure, staffing pattern and compensation schedule of the
22 
Center shall be drawn up in accordance with existing laws, rules and regulations. Other
23 
member agencies of the Council shall provide additional administrative and technical
24 
staff support upon the determination of the necessity by the Council.
25
The Center shall have the following powers and functions:


1 
a) Promote and encourage the establishment and management of bamboo
2 
nurseries, plantations and processing facilities that would accelerate the production and
3 
commercialization of bamboo and various bamboo products;
4 
b) Promote the commercialization and market access of appropriate, innovative
5 
and viable bamboo industry development technologies and products;
6 
c) 
Monitor and evaluate the performance of bamboo industry development
7 
programs and projects;
8 
d) Coordinate 
and 
partner 
with 
other 
government 
agencies 
in 
the
9 
implementation of bamboo industry development programs and projects;
10 
e) Coordinate and partner with the private sector, people's organizations and
11 
non- governmental organizations, and the academe in providing assistance on matters
12 
pertaining to bamboo industry development;
13 
f) Accept grants, donations and contributions from local and international
14 
donors and such similar sources of funds for the implementation of this Act, subject to
15 
the usual budget, accounting and auditing rules and regulations;
16 
g) Conduct, 
in cooperation or partnership with appropriate government
17 
agencies, a periodic review of the Philippine Bamboo Industry Development Roadmap;
18 
h) Conduct capability-building initiatives for farmers, processors, designers, and
19 
other stakeholders in the bamboo industry;
20 
i) Conduct 
research 
and 
development in 
partnership with 
appropriate
21 
government agencies to advance sustainable bamboo industry development practices;
22 
j) Supervise the implementation of the plans and programs of the Council;
23 
k) Manage and administer the projects identified by the Council under Section
24 
7(d) of this Act; and
25 
I) Submit periodic reports to the Council on the progress and accomplishment
26 
of programs and projects.


1 
Sec. 10. The Executive Director o f the Center. 
-  The Executive Director shall be
2 
appointed on a permanent capacity by the President of the Republic Philippines from
3 
the list of nominees submitted by the DTI Secretary. 
He/she shall be a citizen and
4 
resident of the Philippines and must possess executive and management experience of
5 
at least three (3) years and with considerable knowledge in bamboo industry
6 
development.
7 
The Executive Director, in addition to his/her duties in the Center, shall have the
8 
following powers and functions:
9 
a) Assist the Council in the performance of its tasks;
10
11
b) Provide technical and administrative support to the Council;
c) Oversee the day-to-day operations of the Center; and
12 
d) Perform such other functions, duties and responsibilities as may be necessary
13 
to implement this Act.
14 
Sec. 11. Estabiishment o f Local Bamboo Industry Development Councils. -
15 
Regions, provinces, cities and municipalities, when applicable, shall establish their
16 
respective local Bamboo Industry Development Councils. Local government units shall
17 
regularly conduct a survey of existing bamboo stands, nurseries and plantations and
18 
bamboo enterprises in their respective localities.
19 
Sec. 12. Provision o f Incentives to Investors in Nursery and Plantation
20 
Development and Bamboo Enterprises. 
-  The following incentives shall be provided to
21 
investors in plantation development and bamboo processing factories:
22 
a) The Board of Investments (BOI) shall classify bamboo nurseries and
23 
plantations as pioneer and bamboo processing as preferred areas of investment under
24 
its Investment Priorities Plan (IPP) subject to pertinent rules and regulations;


1 
b) Nursery and plantation owners shall be exempt from the payment of rent for
2 
the use of public lands for commercial bamboo plantation for the first 10-years or when
3 
the plantation owner starts to harvest his/her nursery/plantation subject to existing
4 
tenurial agreement with concerned government agencies.
5 
c) 
Plantation owners in pubiic iands shaii be exempt from the payment of forest
6 
charges imposed by nationai government and other fees or taxes imposed by iocal
7 
government units;
8 
d) Piantation owners, inciuding nursery facilities, bamboo processing, and other
9 
related businesses shaii be exempt from the payment of import duties for imported
10 
machines and equipment subject to pertinent rules and regulations;
11 
e) Expenses incurred shall be allowed as deductible expenses for income tax
12 
purposes, subject to the provisions of the National Internal Revenue Code of 1997, as
13 
amended. Provided, that the deduction shall only apply to the taxable period, when
14 
expenses were incurred;
15 
f) 
Expenses incurred in the development and operation of a bamboo plantation
16 
prior to the commercial harvest shall be regarded as ordinary and necessary expenses
17 
or as capital expenditures for purposes of tax treatment;
18 
g) Bamboo plantations shall not require a cutting permit for harvesting nor shall
19 
it need a transport permit. Provided, that such plantation is registered with the
20 
Community Environment and Natural Resources Office (CENRO) of the Department of
21 
Environment and Natural Resources (DENR).
22 
h) Bamboo plantations and plantation development equipment shall be covered
23 
by the Philippine Crop Insurance Corporation;
24 
i) 
Bamboo plantations shall be accepted as among the collateral for loans in
25 
government-owned or controlled banks;
10


1 
j) 
The bamboo plantation developer and bamboo processors shall be given
2 
priority to access credit assistance and guarantee schemes being granted by
3 
government-owned, controlled and/ or -supported financial institutions;
4 
k) For tenured developer, upon the premature termination of the tenurial
5 
agreement at no fault of the holder, all capital improvements, depreciable permanent
6 
and semi-permanent improvements such as roads, buildings, nurseries including the
7 
planted and standing bamboo and other intercrops, introduced and to be retained in the
8 
area, shall be evaluated and the holder shall be entitled to a fair compensation thereof,
9 
the amount of which shall be mutually agreed upon by both the DENR and the tenure-
10 
holder and in case of disagreement between them, by arbitration through a mutually
11 
acceptable and impartial third party adjudicator through the DENR; and
12 
I) 
The export of bamboo poles shall be regulated by the Council while other
13 
bamboo products, may be exported without restrictions in volume.
14 
Sec. 13. The Philippine Bamboo Industry Development Trust Fund. -  There is
15 
hereby established a Special Account in the General Fund with the National Treasury to
16 
be called the Philippine Bamboo Industry Development Trust Fund herein referred to as
17 
the Trust Fund. The purpose of the fund is for research and development, trade
18 
promotion, credit, human resource development in the bamboo industry and for the
19 
welfare of farmers, workers, processors and other stakeholders. The Trust Fund shall be
20 
capitalized, managed, utilized and accounted for in the manner provided under this Act.
21 
Upon approval of this law, the Office of the President through Philippine
22 
Amusement and Gaming Corporation (PAGCOR) shall allocate One Flundred Million
23 
Pesos (PFIP100,000,000.00) as initial funding for the Trust Fund for the implementation
24 
of this Act. Thereafter, the amount of not less than Two Flundred Million Pesos
25 
(PFIP200,000,000.00) shall be allocated every year for the next twenty (20) years for
26 
the Trust Fund lodged in the Center.
11


1 
The program of expenditures for the programs, projects and activities to be
2 
funded by the Trust Fund shall be itemized on a project-to-project basis and submitted
3 
annually to Congress. In the identification and prioritization of specific programs,
4 
projects and activities, the Council shall conduct prior consultation with representatives
5 
of farmers, manufacturers, processors associations and the academe.
6 
Sec. 14. Appropriations. 
-  The sum of One Hundred Million Pesos (PHP
7 
100,000,000.00) to be sourced from the unexpended contingency fund of the Office of
8 
the President and the existing budget for bamboo industry development under the DTI
9 
is hereby appropriated for the initial budgetary requirements of the Center. Thereafter,
10 
such amount as may be necessary for the continuous operation of the Center shall be
11 
included in the annual GAA. The budgetary requirements of cooperating agencies shall
12 
be incorporated in their respective annual budgets. Sec. 15. Implementing Rules and
13 
Regulations. -  Within six (6) months fi-om the effectivity of this Act, the DTI, in
14 
consultation with other concerned government agencies, the academe, the private
15 
sector, 
and 
non-government 
organizations, 
shall 
promulgate 
the 
necessary
16 
implementing rules and regulations for the effective implementation of this Act.
17 
Sec. 15. Separability Clause. -  If any portion or provision of this Act is declared
18 
unconstitutional or invalid, the remainder of this Act or any provisions hereof not
19 
affected thereby shall continue to be in force and effect.
20 
Sec. 16. Repealing Clause. -  Any law, presidential decree or issuance, executive
21 
order, letter of instruction, rule or regulation inconsistent or contrary to the provisions
22 
of this Act is hereby repealed or modified accordingly.
23 
Sec. 17. Effectivity. -This Act shall take effect after fifteen (15) days following its
24 
complete publication in the Official Gazette or a newspaper of general circulation.
25
Approved,
12