FOURTEENTH CONGRESS OF THE 
First Regular Session 
REPUBLIC OF THE PHILIPPINES 
SENATE 
Introduced by SENATOR EDGARDO J. ANGARA 
EXPLANATORY NOTE 
It is estimated that as much as five million Filipinos in the rural sector 
are either unemployed or underemployed. Although the employment in the 
rural sector is largely seasonal, much of the unemployment and 
underemployment can be attributed to underutilization of agricultural lands 
throughout the country. 
With the Rural Employment Generation Act of 2007, one million 
hectares if idle and underutilized lands will be converted into modern 
productive agricultural resources. In the process, it is expected that one 
million rural jobs will be created, with annual farm incomes of at least 
Twenty Five Thousand Pesos per hectare being generated. 
Corn, cassava and high value commercial crops shall be planted 
throughout the country under this Act, with the Department of Agriculture 
serving as lead agency. Tie-ups between the private sector and government 
will be necessary, including collaborations between agribusiness companies 
and farmer-beneficiaries. 
As catalyst, the Program will generate rural employment valued at 
10.354 Billion Pesos and private sector investments of 10.605 Billion Pesos. 
More importantly, with an improvement in our country's rural employment 
level, it is anticipated that rural poverty will drastically be reduced. 
For the above-mentioned reasons, approval of this bill is earnestly 
urged. 
EDG + 
RDO /Bzl. 
J. ANGARA 
Senator 


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FOURTEENTH CONGRESS OF THE 
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REPUBLIC OF THE PHILIPPINES 
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First Regular Session 
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SENATE 
S.B.NO: 883 
Introduced by SENATOR EDGARDO J. ANGARA 
AN ACT TO ACCELERATE THE DEVELOPMENT OF IDLE AND 
UNDERUTILIZED AGRICULTURAL LANDS AS A MEANS TO 
GENERATE EMPLOYMENT 
Be it enacted by the Senate and the House of Representatives of the 
Philippines in Congress assembled: 
SECTION 1. Title of Act. This Act shall be known as the “Rural 
Employment Generation Act of 2007.” 
SECTION 2. Purpose of the Act. There is a need to accelerate the 
development of idle and underutilized agricultural land throughout the 
country as a means of generating rural economic activity, especially since the 
majority of our country’s poor population belongs to the rural sector. In 
generating rural employment, it is anticipated that at least one person will 
find employment for every hectare developed, with an increase in income of 
Twenty Five Thousand Pesos (P25,OOO.OO) per farmer. 
SECTION 3. Lead Agency. The Department of Agriculture C‘DA”) 
shall undertake the implementation of the Rural Employment Generation 
Program (the “Program”) and shall ensure implementation of this Act and its 
purposes, including the determination of areas to be planted. 
SECTION 4. Activities to be Undertaken. DA shall undertake the 
development of a total of 845,000 hectares of idle or underutilized 
agricultural land, to be planted hybrid corn, cassava and high value 
commercial crops (“HVCC”) over a period of two years, as follows: 
Yr 1 Hectares Planted 
Yr 2 Hectares Planted 
Corn 
404,000 
61 3,000 
Cassava 
20,000 
88,000 
HVCC 
185,000 
194,000 
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SECTION 5. Features of the Program. The Program shall have the 
following features: 
(a) Modern Technology Systems. The Program will consolidate existing 
crop areas as well as idle prime lands into farm cluster modules for 
mechanized and/or irrigated production of hybrid corn, cassava and 
HVCC; 
(b) Production Credit Support. To ensure the adoption of modern crop 
production technologies, the Program will enhance farmers’ access 
to credit for the purchase of production inputs through innovative 
credit schemes through the establishment of a seed/guarantee fund 
for production loans to be extended by input suppliers, end-users, 
traders, service providers and the formal banking sector; 
(c) Human Resource Development. The Program shall train farmers on 
hybrid technologies, farm mechanization, post harvest and 
processing technologies and promote local capacity-building in 
areas of participatory program management and implementation, 
research 
and extension 
and agribusiness marketing and 
management. 
SECTION 6. Farmer-Agribusiness Tie-ups. The DA shall facilitate 
arrangements between farmers and agribusiness groups in the development 
of agricultural lands. Different business partnership modalities shall be 
established between farmer cooperatives and the private sector to provide 
ready markets, management and technical support, in whichever form most 
suitable for rural development, including but not limited to purchase orders, 
service or management contracts, contract growing 
or processing 
arrangements, lease agreements and joint venture agreements. 
SECTION 7. Quality Standards and Classification Systems. 
Quality standards and classification systems shall be developed by the DA 
and implemented for feedgrains, vegetables, fibers, fruits and industrial 
crops in order to ensure better prices and competitiveness of domestic 
produce. 
SECTION 8. Joint Government-Private Sector Committee. A 
committee is hereby created, consisting of the Secretary of Agriculture as 
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Chairman, a representative of the private sector involved in agriculture as 
Vice Chairman, two representatives of the farmer-beneficiaries, two 
representatives of agribusiness companies involved in the Program, and two 
officials of the DA as members, all of which shall be appointed by the 
President of the Republic of the Philippines upon recommendation of the 
Secretary of Agriculture. The committee shall facilitate the assistance of the 
private sector in the identification of farmer beneficiaries, credit channels 
and market and service providers and shall oversee the administration, 
management and implementation of the Program. 
SECTION 9. Establishment of the Agricultural Development 
Fund. The Agricultural Development Fund (the “Fund) is hereby 
established, in the amount of Pesos Five Billion Five Hundred Fifty One 
Million (PhP5,551,000,000.00) for the first year and Pesos Four Billion 
Seventy Eight Million (P4,078,000,000.00) in the second year of the Program. 
The Fund shall be taken from the budget allocation of the DA, and will be 
utilized for the provision of a seed/loan guarantee fund for the production 
loans and direct government intervention in the provision of, among others, 
farm machinery, post harvest facilities. Farm-to-market roads and human 
resource development activities. 
SECTION 10. Injunctions, Restraining Orders and Other 
Interlocutory Orders. - The development of the Camarines Sur Special 
Economic Zone and Free port is a national government priority and therefore, 
no injunctions, restraining orders and other interlocutory orders which seek 
to stop or interrupt any contract entered into or project undertaken by the 
CSSEZA may be issued by any court of law or quasi-judicial body except by 
the Supreme Court of the Philippines. 
SECTION 11. Separability Clause. - If any provision of this Act 
shall be declared unconstitutional or invalid, the other provisions not 
otherwise affected, shall remain in full force and effect. 
SECTION 12. Repealing Clause. - All laws, executive orders or 
issuances, or any parts, thereof which are inconsistent herewith are hereby 
repealed or amended accordingly. 
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Approved, 
SECTION 13. Effectivity Clause. - This Act shall take effect upon its 
publication in at least two (2) newspapers of general circulation. 
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