Manila: Senate President Pro Tempore Panfilo Lacson has introduced a legislative measure to rejuvenate the Philippine coffee industry, which has been overshadowed by imported coffee since the late 19th century. The bill, known as the "Philippine National Coffee Industry Development Act of 2025," seeks to transform the country into a globally competitive coffee producer by 2035.
According to Philippines News Agency, the proposed legislation intends to establish the Philippine Coffee Board, which will spearhead comprehensive support mechanisms for the sector. The initiative aims to develop a national framework to enhance the competitiveness of local coffee, reduce the heavy reliance on imports, and strengthen every aspect of the coffee supply chain. Currently, a staggering 81 percent of the nation's coffee needs are met through imports.
Lacson highlighted the industry's struggles, including inadequate government support, lack of essential equipment, and poor access to planting materials and fertilizers. He emphasized the need for improved farm-to-market roads and better post-harvest facilities, as farmers often rely on sun-drying methods and small local millers due to inconsistent supply.
The bill outlines several ambitious goals, including improving the livelihoods of small coffee farmers, preserving unique coffee varieties like Barako and Arabica, and ensuring sustainable and climate-resilient production. The Department of Agriculture has recommended initiatives to support private sector processors and promote local coffee and cacao products. This includes developing an online industry information database and fostering partnerships between local farmers and coffee shops.
The proposed legislation covers all coffee farmers, including smallholders who account for 95 percent of farms under five hectares. The National Coffee Board, to be established under the Department of Agriculture, will take over the functions of the private-sector-led Philippine Coffee Board Inc. Regional councils will be set up in major coffee-producing regions such as Cordillera, Southern Luzon, and Mindanao.
A National Coffee Replanting and Rehabilitation Program aims to expand coffee cultivation to 250,000 hectares over a decade, providing free distribution of climate-resilient seedlings and technical assistance. Additionally, a Coffee Credit and Insurance Program will offer production loans, processing and marketing loans, crop insurance, and calamity assistance.
The bill also proposes the creation of a National Coffee Research Institute under the Department of Science and Technology to advance processing technologies and coordinate with international research institutions. An initial budget of PHP15 billion per year for the first five years is earmarked for these initiatives, with funds allocated for production support, research and development, processing and infrastructure, marketing, and emergency funds.
Lacson expressed confidence that these reforms will enable the Philippines to reclaim its position in the global coffee market, emphasizing the importance of increasing yields, improving farmer incomes, and ensuring long-term stability in the coffee sector.
