Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Quezon City 
NINETEENTH CONGRESS 
First Regular Session 
HOUSE BILL NO. _______ 
____________________________________________________________________ 
Introduced by HON. JOSEPH “JOJO” L. LARA 
____________________________________________________________________ 
EXPLANATORY NOTE 
Cagayan Valley is proud of the uniqueness of the cacao it produces. Although the 
current industry is not as big as compared to other regions, the region’s cacao 
producers are gearing up towards making its cacao production internationally 
competitive.  
For the past years, the global demand for cacao has continued to increase. With the 
growing awareness for its various health benefits, its usage has gone beyond chocolate 
production and in the food and beverage industry. It has expanded to cover possible 
applications in the cosmetic and pharmaceutical industries. 
This bill aims to promote, enhance, protect, and increase cacao production in the 
Cagayan Valley region by providing ample technical and financial support to the local 
farmers to further improve the production quality of its products to be at par with the 
internationally traded ones. 
In view of the foregoing, the passage of this bill is earnestly sought. 
JOSEPH “JOJO” L. LARA 
August 1, 2022
5:12 pm
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Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Quezon City 
NINETEENTH CONGRESS 
First Regular Session 
HOUSE BILL NO. _______ 
____________________________________________________________________ 
Introduced by HON. JOSEPH “JOJO” L. LARA 
____________________________________________________________________ 
AN ACT 
DEVELOPING THE CACAO INDUSTRY IN CAGAYAN VALLEY REGION, 
CREATING FOR THE PURPOSE THE CACAO SUBSIDY FUND AND THE 
CACAO RESEARCH AND DEVELOPMENT CENTER AND APPROPRIATING 
FUNDS THEREFOR 
Be it enacted by the Senate and the House of Representatives of the Philippines 
in Congress assembled: 
SECTION 1. Title. — This Act shall be known as the "Cacao Industry Research and 
Development Center in Cagayan Valley Region Act." 
SECTION 2. Declaration of Policy. – It is hereby declared the policy of the State 
to promote and support the development of the cacao industry in the Cagayan Valley 
region to strengthen the industry and make it internationally competitive, thus, 
providing livelihood and employment to hundreds of farmers in the region.  
SECTION 3. Creation of the Cacao Research and Development Center. – 
Within a year from the approval of this Act, there shall be created the Cacao Research 
and Development Center in Cagayan which shall be attached to the Cagayan State 
University. 
SECTION 4. Functions of the Cacao Research and Development Center. – The 
Cacao Research and Development Center shall perform the following functions and 
duties: 
a. Undertake and conduct research and technical studies on the development,
production, management, and marketing of cacao and its by-products;
b. Provide technical assistance and support to cacao farmers and producers and
other stakeholders in the Cagayan Valley Region;
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c. Develop appropriate technologies beneficial to the cacao industry; 
 
d. Train faculty members and other research personnel who will undertake 
research and development work on cacao; 
 
e. Publish research studies, papers, articles, and other works or writings relating 
to cacao on a regular basis with the end goal of benefitting cacao farmers and 
other stakeholders nationwide; 
 
f. Coordinate with the Department of Agriculture (DA), Department of Trade and 
Industry (DTI), Department of Science and Technology (DOST), and 
Department of Environment, Natural Resources (DENR) and Cagayan State 
University (CSU) to consolidate all policies, programs, and projects on cacao 
research and development; 
 
g. Perform such other functions and duties necessary or incidental to the 
promotion and development of the cacao industry. 
 
SECTION 5. Cacao Subsidy Fund. – There is hereby created a Cacao Subsidy 
Fund, which shall be used to financially support the Cacao industry. The fund shall be 
directly and exclusively used for: 
 
a. Cacao tree planting and cultivation;  
b. Research and technical studies; and 
c. Skills training and capital development for the cacao industry. 
 
SECTION 6. Implementing Rules and Regulations. – The DA and DENR 
in collaboration with DTI, DOST, and the Cagayan State University, shall issue and 
promulgate the necessary rules and regulations to implement the provisions of this 
Act. 
 
SECTION 7. Appropriations. – For effective implementation of this Act, 
amount of Two Hundred Million Pesos (Php200,000,000.00) is hereby appropriated 
from the current and annual budgetary allocations of the DA, fifty percent (50%) of 
which shall serve as the initial amount for the Cacao Subsidy Fund under Section 6 of 
this Act. Thereafter, such sums as may be necessary for its continued implementation 
shall be included in the annual budget of the DA and under the General Appropriations 
Act. 
 
SECTION 8. Repealing Clause. – All laws, decrees, executive issuances, rules and 
regulations or parts thereof inconsistent with the provisions of this Act are hereby 
deemed repealed, amended, or modified accordingly. 
 
SECTION 9. Effectivity Clause. – This Act shall take effect fifteen (15) days after 
its publication in the Official Gazette or at least two (2) newspapers of general 
circulation. 
 
Approved,