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Republic of the Philippines Y

HOUSE OF REPRESENTATIVES
Quezon City, Metro Manila

TWENTIETH CONGRESS
First Regular Session

House Bill No. 2708

BY REPRESENTATIVE REBECCA MARIA “MIA” A. YNARES

EXPLANATORY NOTE

The 1987 Constitution, Article 1, Section 21 provides: “The State shall promote comprehensive
rural development and agrarian reform.” Further, the Constitution mandates in Article XII, Section 1,
paragraph 2 that the State shall promote industrialization and full employment based on sound
agricultural development and agrarian reform, through industries that make full and efficient use of
human and natural resources which are competitive in both domestic and foreign markets.

The Philippines is predominantly an agricultural country. The Philippine Statistics Authority
reported that in 2024 the Philippines’ value of production in agriculture and fisheries at constant 2018
prices contracted by 2.2% to 1.73 trillion, a reversal of the growth in 2023. The agricultural sector grew
in the 1950s and its steady growth pace started in the 1960s and 1970s as new technologies such as the
Green Revolution seeds were introduced. Bananas, pineapples, coconut and sugarcane were the
country’s export crops. But the growth in agriculture retracted in the 1980s and the 1990s. Although it
recovered slightly in the 2000s, since 2010 its growth is around two percent (2%). According to the
2018 Family Income and Expenditure Survey, farmers, fisherfolk, and individuals residing in rural areas
registered the highest poverty incidences among the basic sectors at 31.6, 26.2, and 24.5 percent,

respectively.

‘The average age of a Filipino farmer is 57-59 years old. The total number of people employed in
the agriculture industry went down from 2014 to 2018. In 2019, around 9.7 million people were
recorded as employed in agriculture. Young farmers or those who are 39 years and below comprise
12.3% of the 12 million farmers in the Philippines. The number of farmers diminish at an average of
1.5% per year. (Bureau of Agricultural Statistics, 2015) From 12.47 million farmers in 2015, the Bureau
of Agricultural Statistics reported that the number of farmers decreased to 11.84 million in 2016. Also,
children of farmers more often choose to leave their parents’ farms and tum their back from agriculture-
related activities to pursue higher paying jobs in the urban areas.

As of July 2022, almost 46 million individuals belong to country’s youth sector (15 to 40 years old),
and according to the Labor Force Survey, the overall youth unemployment rate is 12.3%, which is
higher than the national unemployment rate of 5.7%.

By challenging the youth to become farmers and/or fisherfolks, it is hoped that more jobs and
opportunities will be created for Filipinos particularly for the youth which will reduce the
unemployment of the youth sector and at the same time boost agricultural production and reduce the
average age of Filipino farmers. In doing this, food security will be achieved. Hence, this bill.

aay
REB§CCAMARIA “MIA” A. YNARES
Representative
1* District, Rizal



Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City, Metro Manil

TWENTIETH CONGRESS
First Regular Session

House Bill No. 2708

BY REPRESENTATIVE REBECCA MARIA “MIA” A. YNARES

AN ACT
ESTABLISHING THE YOUNG FARMERS AND FISHERFOLK CHALLENGE
PROGRAM, CREATING FOR THE PURPOSE THE YOUNG FARMERS AND
FISHERFOLK CHALLENGE COUNCIL, AND APPROPRIATING FUNDS
THEREFOR

Be it enacted by the Senate and House of Representatives of the Philippines in
Congress assembled:

SECTION 1. Short Title. — This Act shall be known as the “Young Farmers and
Fisherfolk Challenge Act”.

SEC. 2. Declaration of Policy. — It is hereby declared the policy of the State to ensure
that the rights of young farmers and fisherfolk are recognized, protected and promoted. Pursuant
to this, the State shall involve the youth in nation building and rural development, providing for
this purpose access to knowledge, information and education, land, new sources of financial
services and capital, green jobs, new and niche markets, and participation in policy dialogue.

SEC. 3. Young Farmers and Fisherfolk Challenge Program. - There is hereby established
a Young Farmers and Fisherfolk Challenge Program, hereinafter referred to as the Program, that
shall support and empower the young farmers and fisherfolk to be active partners in food
security and agricultural development and modernization. The Program shall encourage the
youth to pursue a career or engage in activities related to agriculture, ensure young farmers and
fisherfolk participation in policy formulation and program implementation, and provide


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institutional support for agri-business and agri-entrepreneurship initiatives to fully realize the
role of the youth as agents and partners for development.

SEC. 4. Beneficiaries of the Program. — The Program is intended to support young
farmers and fisherfolks between 15 years old to 40 years old, who are engaged in
farming and fisheries activities, and are included in the Registry System for Basic Sectors in
Agriculture. The Department of Agriculture (DA) shall update its existing database to reflect
these indicators.

SEC. 5. Creation of a Special Lane for the Processing of Licenses and Permits. — The
Department of Trade and Industry, Food and Drug Administration, and the Intellectual
Property Office are hereby mandated to establish a special lane to facilitate the registration
and application of the projects/business enterprise of the Young Farmers and Fisherfolk
Challenge Program beneficiaries/awardees, to include the following: license to operate,
certificate of product registration, business name, and intellectual property rights.

SEC. 6. Creation of a Young Farmers and Fisherfolk Challenge Council. — There

hereby created the Young Farmers and Fisherfolk Challenge Council, hereinafter referred to as

the Council, to provide the overall policy and direction of concerned agencies to ensure the
effective implementation of the Program.
The Council shall be administratively attached to the DA and shall be composed of
the following:
(@) Secretary of the DA, as Chairperson;
(b) Secretary of the Department of Trade and Industry, as Vice-Chairperson;
(©) Secretary of the Department of Education (DepEd), as member;
(@)_ Secretary of the Department of Science and Technology (DOST), as member;
(©) Secretary of the Department of Agrarian Reform (DAR), as member;
(f) Secretary of the Department of the Interior and Local Government, as member;
(2) Commissioner of the Commission on Higher Education (CHED), as member,
(h) Director-General of the Technical Education and Skills Development Authority
(TESDA), as member;
(Representative of a national organization of young farmers’ cooperative or
association, as member;
(@__ Representative of a national organization of fisherfolks’ cooperative or association,
as member,
(k) Representative of a women farmers’ organization or cooperative, as member;
()_ Representative of a national organization for agritourism, as member; and
of a national organization for food, restaurant, and business sectors,

(m) Represent

as member.


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Provided, however, That the members of the Council under subsections (i), (j) and (k) shall
be between fifteen (15) to forty (40) years of age.

The government sector representatives in the Council may appoint an official alternate with a
rank of an Undersecretary or its equivalent. The official alternate shall possess the same powers as
the heads of the above-named government agencies and whose acts shall be considered as acts of
the heads of office being represented.

Representatives from the private sector shall be appointed by the DA Secretary from among
the officers and members of their existing national organizations and associations. They shall
serve for a period of two (2) years. When a vacancy arises due to the resignation, removal for
cause, death or incapacity of a member, a replacement shall be appointed who shall serve for the
remainder of the representative's term of office.

Government sector representatives shall not be entitled to compensation in the discharge of
their functions in the Council but shall be entitled to reimbursement of any reasonable expenses
incurred in the performance of their functions. Private sector representatives shall be entitled to
honoraria or allowances for the expenses incurred in the discharge of their functions as members
of the Council.

‘The Philippine Council for Agriculture and Fisheries shall serve as its Secretariat.

SEC. 7. Powers and Functions of the Council. ‘The Council shall have the following

powers and functions:

(a) Formulate the Program, in consultation with research institutions such as the Southeast
Asian Regional Center for Graduate Study and Research in Agriculture, Philippine
Council for Agriculture, Aquatic and Natural Resources Research and Development,
University of the Philippines - Los Bafios and other relevant state universi
colleges (SUCs);

(b) Identify and streamline access to relevant capacity-building and livelihood programs

and

across the different departments and agencies of government, including on-the-job
trainings, job fairs, employment in farm tourism and agro-industrial zones, and other

(©) Identify and streamline access to possible sources of credit across the different

departments, agencies, and instrumentalities, including access to start-up capital
(4) Monitor initiatives in emerging best practices in agriculture such as smart farming, farm
tourism in compliance with Republic Act No. 10816 or the “Farm Tourism Development
‘Act of 2016,” agroponics, aquaponics, hydroponics, and organic and boutique vegetables;
's such as product packaging, promotions

(c) Improve and facilitate access to marketing serv
including branding and advertising, networking events, provision of subsidies to enable
in trade fairs and exhibits, and linkage with media;

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(f) Coordinate with local government units (LGUs) in providing subsidized rental rates for
public retail areas and public markets to farmers and fisherfolk;

(g) Serve as a conduit between stakeholders and national and international leaders including
Congress and the private sector in formulating policies directly addressing the concerns
of young farmers and fisherfolk;

(h) Propose subjects related to agriculture and agribusiness such as gardening,
backyard farming, urban farming, reforestation, agricultural appreciation, agricultural
entrepreneurship, smart farming, farm tourism, and coastal management in all pertinent
levels of the DepEid’s K-12 with the end goal of increasing enrollment in courses related to
agriculture in the technical-vocational track in Senior High School, CHED, the National
Service Training Program and TESDA;

(i) Ensure scholarships and subsidized tuition fees for young farmers and fisherfolk
in SUCs;

(i) Provide on-the-job training programs for young farmers and fisherfolk in areas such as
“green jobs”, reforestation, coastal management, fisheries, and other rural-based jobs,
through Department of Labor and Employment’s (DOLE) Special Program for
Employment of Students and other livelihood and training programs;

(k) Explore and facilitate the extension of short-term leases for public land to young farmers
and fisherfolk, providing free or subsidized land for cultivation and for aquaculture, and
developing other packages such as, lease-to-buy schemes that would allow young farmers
and fisherfolk to use available or unutilized agricultural land or fisheries management
areas for the purposes of said Program;

() Expedite the leasing, distribution, and award of agrarian reform land to qualified
beneficiaries;

(m) Facilitate the use of excess land holdings of SUCs and private education institutions for
agricultural training and developmental processes;

(n) Foster the formation of new ideas and technologies by assisting agricultural enterprises of
qualified young farmers and fisherfolk entrepreneurs, pursuant to Republic Act No.
11337, otherwise known as the “Innovative Startup Act”;

(0) Initiate social partnerships and rural development initiatives in partnership with the
private sector,

(p) Optimize existing loan guarantee funds administered by various government entities to
increase the credit worthiness of young farmers and fisherfolk experiencing difficulty in
obtaining loans from banks due to lack of acceptable collaterals, credit knowledge and

credit track record; and


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(q) Accept donations, contributions, grants, bequests or gifts, in cash or in kind, from various
sources, domestic or foreign, for purposes relevant to the functions of the Council. Said
donations shall be deemed automatically appropriated for purposes specified by the donor
or in the absence thereof, for the programs and projects as may be approved by the Council
subject to the usual accounting and auditing rules and regulations: Provided, That cash

donations shall not be used to fund the personal services requirements of the Counc’

SEC. 8 Tax Exemption on Donations. — All grants, bequests, endowments, donations,
contributions made to and used actually, directly and exclusively by the Council shall be exempt
from donor’s tax and the same shall be considered as allowable deduction from gross income for
purposes of computing the taxable income of the donor, in accordance with the provisions of the
‘National Internal Revenue Code of 1997, as amended.

SEC. 9. Waiver of Government Fees and Charges. — Subject to the exceptions provided in
Section 8 of Republic Act No. 11261, otherwise known as the “First Time Jobseekers Assistance
Act”, all government agencies and instrumentalities, including government-owned and
-controlled corporations, LGUs, and goverment hospitals shail not collect fees or charges from
young farmers and fisherfolks who are first-time job seekers: Provided, That such fee or charge
is in connection with the application for and the granting of licenses, proofs of identification,
clearances, certificates, or other documents usually required in the course of employment locally
or abroad: Provided, further, That the benefit provided shall only be availed of once.

SEC. 10. Annual Report. ~ The Council shall submit to the President and to both Houses of
Congress, not later than the 30! of March of every year following the effectivity of this Act, a
report giving a detailed account on the effective implementation of this Act, and recommended
legislation where applicable and necessary.

SEC. 11. Implementing Rules and Regulations. — Within ninety (90) days from the
effectivity of this Act, the DA and DAR shall, in coordination with the DOST, DOLE,
Department of Environment and Natural Resources, DepEd, CHED, Land Bank of the
Philippines, and National Youth Commission, issue the necessary rules and regulations for the
implementation of this Act.

SEC. 12. Appropriations. — The amount necessary for the implementation of this Act shall
be included in the budgets of the departments and agencies concerned in the annual General
Appropriations Act.

SEC. 13. Separability Clause. — \f any provision of this Act is declared invalid or
unconstitutional, the other provisions not affected by such declaration shall remain in full force
and effect.

SEC. 14. Repealing Clause. — All laws, executive orders, administrative orders, and rules
and regulations inconsistent with this Act are hereby repealed or amended accordingly.

5


1 SEC. 15. Effectivity. — This Act shall take effect fifteen (15) days after its publication in
2 the Official Gazette or in a newspaper of general circulation.

Approved,