Republic of the Philippines
HOUSE OF REPRESENTATIVES
Queson City

SEVENTEENTH CONGRESS
‘Second Regular Session

6663

HOUSE BILL NO.

Introduced by HON. LUIS RAYMUND “LRAY” F. VILLAFUERTE, JR.

EXPLANATORY NOTE

The Philippine Banana Industry is the world’s fifth largest exporter of bananas while,
locally, it is the second largest contributing sector in agriculture exports’. The
Banana Industry is also one of the largest employers in the country, as well as the
second biggest dollar eamer, contributing USD 1.4 Billion to the world banana trade
in 2014?, However, despite being a highly-valued asset in the Philippine economy,
the industry lacks its own regulatory agency to address issues and concerns that
affect them.

The industry faced troubled waters earlier this year due to insurgency in Southern
Mindanao®, where the country’s biggest banana producers are. This has resulted in
huge losses of production and displaced hundreds of laborers. Suspected members
of the New People's Army torched a truck loaded with tons of bananas in Cotabato
City in April and set on fire three facilities in May°—emphasizing that one of the
threats of the industry is people apart from natural calamities.

In establishing the Banana Industry Development Council (BIDC), this bill intends to

* https:/businessmirror.com.ph/dollar-earning-banana-industry-grapples-with-numerous-challenges/

2 Ibid.

> http://www. bworldonline.com/content.php?section=Economy &title~banana-industry-troubles-seen-
‘dampening-davao-2017-growtha&id=144746

“ http//www. gmanetwork.comvnews/news/regions/605750/suspected-npa-members-torch-truck-loaded-with-
bbananas-in-cotabato/story/

5 http://www. bworldonline.convcontent php ?section=Economy &title=banana-industry-in-turmoil-amid-land-
<isputes-plaguing-lapanday-davao-penal-colony&id=145541

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ensure that importance is given to the industry and that sustainability of the crop is
prioritized. This also entails the full participation of the Local Government Units, as
well as relevant sectors, involved in the development of this valued crop. This bill
also proposes that the BIDC Secretariat be under the direct supervision of the
Department of Agriculture under the High Value Crops Development Program,
created by Republic Act No. 7900, which helps promote the production, processing,
marketing and distribution of high value crops, to give priority to this valued industry.

In support of the President's push for this legislation for be passed®, and in support

of one of the country’s biggest export product, the approval of this bill is earnestly
‘sought.

Luis JUND “PRAY” F. VILLAFUERTE, JR.

© http://www philstar.com/business/20116/10/10/163191./duterte-supports-banana-industry-development-
council &arubalp=f5b421 b4-b095-4ac7-aadd-8bcc952c70


Republic of the Philippines
HOUSE OF REPRESENTATIVES
Queson City

SEVENTEENTH CONGRESS
Second Regular Session

HOUSE BILL No. 6663

Introduced by HONORABLE LUIS RAYMUND “LRAY” F. VILLAFUERTE, JR.

AN ACT
CREATING THE BANANA INDUSTRY DEVELOPMENT COUNCIL AND
PROVIDING FUNDS THEREOF AND FOR OTHER PURPOSES

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 “Banana Industry
Development Act of 2017.”

SECTION 2. Declaration of Policy. - The State recognizes the importance of
agriculture in making available food and other products necessary to sustain and
enhance human life, and in providing livelihood to a major portion of the population.

It distinguishes the importance of food security for every Filipino family and
recognizes our farmers a one of its most important partners in reaching its goals.

It also recognizes the rights of the farmer workers to be entitled to such benefits
provided under the Labor Code. As provided in Art. Il, Sec.18 of the Constitution,
“The State affirms labor as a primary economic social force. It shall protect the rights
of the workers and promote their welfare.”

SECTION 3. Definition of Terms. - As used in this Act, the following words and
phrases shall mean as follows:


A. Cooperatives — refer to groups of individuals (either growers or workers or
both) that engage in legitimate business within the banana industry;

B. Consumers — they are the end user/buyer of bananas in the banana-importing
or producing countries/farms;

C. Secretariat Services - the officials or office entrusted with administrative
duties, maintaining records, and overseeing or performing secretarial duties;

D. Workers — All workers that are engage in activities in banana plantations.

SECTION 4. Objectives. - This Act seeks to attain the following objectives:

A. To give the people involved in banana farming a fair share of the country’s
wealth through empowered government assistance, training, and support;

B. To mandate the owners of banana plantations to comply with laws, conform to
environmental standards and use a reasonable or limited amount of
pesticides and chemical fertilizers;

C. To assist the farmers/farm owners to obtain the highest yield of return
possible; and

D. To promote the import and export of bananas.

SECTION 5. Creation of the Banana Industry Development Council (BIDC). - To
carry out the policy and program provided in this Act, a Banana Industry
Development Council (BIDC) shall be formed to organize, plan, and implement
necessary guidelines and regulation to achieve these objectives.

The BIDC shall ensure the full participation of the Local Government Units involved,
cooperatives, NGOs and the private sectors to attain its objectives.

SECTION 6. Composition of the BIDC. - The BIDC shall be composed of the
following:

A. The Secretary of Agriculture or his designated undersecretary as chairperson;
B. The Secretary of the DENR or his duly authorized representative possessing
similar skills and qualifications;


C. Fifteen (15) representatives from legitimate banana plantation/farmers’
cooperative who shall own or till not more than five (5) hectares of banana
plantation. Each island group must be at least represented by three (3). They
shall be nominated by the farmers group in their respective island group and
who shall be chosen by the chairperson from the list of five (5) nominees.

D. Three (3) representatives from the business/industry sector chosen by their
peers.

SECTION 7. Powers and Functions of the BIDC. - The BIDC shall have the
following powers, functions, and obligations:

A. Formulate policies, plans, programs and projects to better assist, train and
‘support the Banana Industry for its competitiveness and sustainability and the
establishment of an efficient and integrated supply chain;

B. Call upon private sectors, cooperatives, academe to provide information and
guidance pertaining to the banana industry farming:

C. Adequate supply and widespread use of tissue cultured planting materials to
minimize risks and stronger resistance to disease and pests/ infestation;

D. Submit annual and other periodic report to be submitted to the Department of
Agriculture of the accomplishment of the Industry;

E. Identify areas for expansion to meet foreign and local demands;

F. Address issues pertaining to new diseases, tariffs, climate change challenges,
regulations, among others;

G. Provide development framework and implementation mechanisms for the
optimum development of the banana industry in the Philippines;

H. Protect and preserve the native Philippine banana varieties;

|. Enhanced flow and quality of extension services for banana farming to
facilitate adoption of Good Agriculture Practices for improved productivity and
product quality;

J. Improved access to, availability, use, and utilization of organic fertilizer and
other inputs, while reducing environmental costs and production losses;

K. Perform such other functions as may be necessary for the continued
enhancement, growth and development of banana plantation and trade
business in the country and for export.


SECTION 8. Secretariat of the BIDC. - The BIDC Secretariat shall be constituted
and be under the direct supervision of the Department of Agriculture under the High
Value Crops Development Program (HVCDP) (RA 7900) which helps promote the
production, processing, marketing and distribution of high value crops. A position of
an Executive Director shall be created to supervise the day-to-day operations of the
Banana Industry Development Council.

SECTION 9. Implementing Rules and Regulations. - The BIDC shall be
constituted within ninety (90) days from the approval of this Act.

SECTION 10. Repealing Clause. - All laws, decrees, executive orders and rules
and regulations contrary to or inconsistent with the provisions of this Act are hereby
repealed or modified accordingly.

SECTION 11. 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 12. Effectivity Clause. - This Act shall take effect fifteen (15) days after
its publication in the Official Gazette or in two (2) newspapers of general circulation.

Approved,