Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Quezon City 
20th Congress 
First Regular Session 
HOUSE BILL NO. 2728
Introduced by REP. DIBU S. TUAN 
EXPLANATORY NOTE 
Agriculture plays a very significant role in the Philippine economy.  It is a well-known fact that the 
Philippines is primarily an agricultural country with a large number of Filipinos supporting themselves 
through agricultural activities.  At present, about a quarter of our employed kababayans work on the 
agricultural sector.  Thus, the impact that it has       to the country’s development cannot be understated.  
Reports suggest that the contribution of the agriculture sector to the GDP of the country was at 9.6 
percent in 2021. 
Relatedly, Article XIII, Section 5, of the 1987 Constitution 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.’’ 
In consonance with the said Constitutional mandate, there is a need to ensure that legislative measures 
are passed that would provide adequate support and assistance to Filipino farmers.  It is therefore the 
intention of this bill to augment any or all support currently being received by them and improve the 
management of the supply and distribution of local agricultural products. 
The bill aims to establish agri-food terminals and trading centers in every province where the local farmers 
can showcase their produce and sell the same directly to interested buyers and wholesalers.  To realize 
the bill’s objectives, these terminals will be established near areas where foot traffic  is high.  In doing so, 
the farmers will have ample opportunity to increase their revenue while the government will be able to 
prevent the smuggling of goods. 
In view of the foregoing, the passage of this bill is earnestly sought. 
 REP. DIBU S. TUAN 
July 30, 2025
5:56 pm


Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Quezon City 
20th Congress 
First Regular Session 
HOUSE BILL NO. 2728
Introduced by REP. DIBU S. TUAN 
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 in Congress assembled: 
     SECTION 1.  Short Title.  This Act shall be known as the ‘’Agri-Food Terminal and Trading Centers Act.’’ 
     SECTION 2.  Declaration of Policies.  It is hereby declared the policy of the State to give aid to farmers 
by providing venues to promote and market their produce and give 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 and 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. 
     SECTION 3.  Definition of Terms.  For purposes of this Act: 
a.
Agri-food Terminals and Trading Center or Terminal and Center refers to an establishment
where farmers can offer their products for sale directly to wholesalers and direct consumers
thus eliminating any middleman in the sale of agricultural products.
b.
Secretary  refers to the Secretary of the Department of Agriculture.
c.
Department refers to the Department of Agriculture.
     SECTION 4.  Establishment of Agri-food Terminals and Trading Centers.  The Department of Agriculture 
shall establish and manage Agri-Food Terminals and Trading Centers in every province.  Cities and 
municipalities are hereby encouraged to establish their own Agri-food Terminals and Trading Centers. 
     Agri-food Terminals and Trading Centers shall have the following standards for their creation and 
operation: 
a.
It shall be mandatory for the province to set up at least one Agri-food Terminal and Trading
Center adjacent to train stations located within the jurisdiction of the province concerned.
b.
In provinces where there are no train stations, the 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, terminal/center 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 products. 
 
     SECTION 5. Work plan.  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. 
 
     SECTION 6.  Funding.  The amount of Twenty Five Billion (Php25,000,000,000.00) Pesos   is hereby 
appropriated for the initial year of implementation of this Act.  Thereafter, the amount  of Ten Billion 
(Php10,000,000,000.00) Pesos shall be included in the budget of the Department for the 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 LGUs. 
 
     SECTION 7.  Implementing Rules and Regulations.  Within thirty (30) days from the effectivity of this 
Act, the Secretary of Agriculture and the Secretary of the 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 o 
guide the cities and municipalities in the  establishment of their own Agri-food Terminals and Trading 
Centers and the availment thereof. 
 
     SECTION 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. 
 
     SECTION 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. 
 
     SECTION 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.