Blog
Sen. Lacson proposes bill to boost coffee industry
CEBU, Philippines — To revive the country’s once-booming coffee industry and reduce the Philippines’ heavy reliance on imports, Senate President Pro Tempore Panfilo “Ping” M. Lacson has filed Senate Bill No. 1556, also known as the “Philippine National Coffee Industry Development Act of 2025.”
Lacson said the proposed law seeks to establish a Philippine National Coffee Industry Development Program and create the Philippine Coffee Board (PCB) under the Department of Agriculture to lead the modernization of the coffee sector and implement nationwide reforms.
“(It) create a National Coffee Board, strengthen every link of the value chain, improve the country’s competitiveness, and reduce our heavy reliance on imported coffee,” Lacson said in his bill.
Lacson noted that the Philippines was one of the world’s leading coffee exporters in the 1880s but now depends on imports for as much as 81 percent of its coffee requirements.
He said farmers continue to struggle due to a lack of government support, outdated farming techniques, poor post-harvest facilities, limited access to quality seedlings and fertilizers, and weak infrastructure such as farm-to-market roads.
As a result, most beans are still sun-dried and processed by small local millers, while some processing plants remain underutilized because of low and inconsistent supply. Research and development efforts in the coffee industry also remain very limited, he added.
The proposed bill is said to set an ambitious goal for the Philippines to become a net coffee exporter by 2035 while improving the livelihoods of small farmers who operate 95 percent of the country’s coffee farms.
As indicated, among its key provisions is the establishment of regional coffee councils in the Cordillera, Southern Luzon, Mindanao, SOCCSKSARGEN, and other emerging regions. The bill also seeks to form a National Coffee Replanting and Rehabilitation Program that will expand coffee farms to 250,000 hectares in ten years.
To do this, the proposed bill provides for the free distribution of 150 million climate-resilient seedlings, technical assistance, a ?50,000 per hectare subsidy, and insurance coverage for three years.
The bill also backs a Coffee Credit and Insurance Program with ?10 billion per year for production loans at 3 percent interest; ?5 billion per year for processing and marketing loans at 4 percent interest; full crop insurance; and a ?2-billion annual calamity fund.
Aside from these, the bill also seeks to establish a Coffee Farmer Subsidy Program providing fertilizer assistance, guaranteed minimum farm-gate prices, and transport subsidies for farmers in remote areas, as well as the establishment of coffee processing hubs, market development programs, and export promotion initiatives.
The proposed measure also stipulates the creation of a National Coffee Research Institute under the Department of Science and Technology (DOST) to develop climate-resilient varieties, improve processing technology, and coordinate research efforts with international institutions.
The bill also proposes an annual budget of ?15 billion for the first five years, allocating funds for production support, research, infrastructure, marketing, institutional development, and disaster response.
Coffee tourism on the local scene
Former Tuburan Mayor Aljun Diamante, founder of homegrown brand Tuburan Coffee, welcomed the proposed measure and said it strengthens Cebu’s campaign to become the Coffee Capital of the Philippines.
Diamante revealed that during the Presidential Filipinnovation Finals, he presented a proposal that aims to transform Cebu into a major coffee-producing province by developing 11,000 hectares of coffee farms across 22 towns.
On his projections, it shows 500 hectares per town; employment for 11,000 to 22,000 workers; planting of 16.5 million coffee trees; annual production of 165 million kilos of coffee cherries; and an estimated yearly income of ?4.95 billion at ?30 per kilo.
According to Diamante, the initiative would protect the environment while creating sustainable
livelihoods and strengthening the economy.
“Two birds with one stone which is environmental protection and job generation at the same time,” Diamante said.
Diamante also pointed out that Philippine coffee consumption stands at about 130 million kilos of green coffee beans (GCB) per year, but local production is only around 30 million kilos, resulting in a shortfall of 100 million kilos.
He believes Cebu alone can contribute 33 million kilos of green coffee beans annually, representing a 20 percent yield from coffee cherries, if the province fully develops its coffee potential.
He added that Tuburan Coffee is the only Bureau of Plant Industry-accredited coffee nursery in Central Visayas, capable of producing 100,000 to 300,000 quality seedlings per month.
“We are ready. Welcome to Cebu. the Coffee Capital of the Philippines,” Diamante said. — (FREEMAN)