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Makati City, Philippines - On 19 May 2026, the European Chamber of Commerce of the Philippines (ECCP) convened a high-level dialogue with NDA Administrator and CEO, Atty. Marcus T. Andaya at the Makati Shangri-La, bringing together key stakeholders from the dairy and food industries to discuss the implementation of Republic Act No. 12308, or the Animal Industry Development and Competitiveness Act.

As the first foreign chamber to hold a briefing on the aforementioned law and the transition of dairy regulatory oversight from the Food and Drug Administration (FDA) to the National Dairy Authority (NDA), the session provided an important platform for regulators and industry stakeholders to exchange insights, clarify implementation expectations, and discuss pathways toward a smooth and efficient regulatory transition.

In her opening remarks, ECCP Food & Beverage Chairperson Helen Grace Baisa underscored the importance of gaining a deeper understanding of the NDA’s direction and priorities, while openly discussing the practical realities faced by industry players during this transition period. Describing the current situation as “a pivotal period in the Philippine dairy industry,” Baisa emphasized the importance of creating “a productive platform for stakeholders.”

She also underscored the Chamber’s position amidst these ongoing transitions. “The ECCP remains committed to supporting policies and regulatory frameworks that promote transparency, predictability, food safety, regulation, and ease of doing business—all of which are essential in fostering a stable and competitive environment for the food and labor sectors,” she added.

The Philippine dairy sector and the NDA’s growing role

During his keynote speech, NDA Administrator and CEO Atty. Andaya presented the current state of the Philippine dairy sector and highlighted the urgency of the agency’s work. Through an anecdote, he resonated with the audience, highlighting the importance of communication and understanding between the NDA and the stakeholders.

He also noted that for the past 30 years, the Philippines has produced only 1% of its total dairy requirements locally. This means that 99% of the country’s dairy supply is imported, making the Philippines one of the most import-dependent dairy markets in the region.

Despite this challenge, Andaya shared that the country’s milk production increased to 43 million litres in 2025, translating to a 2.2% milk sufficiency rate. This marked a significant improvement from the 27 million litres of milk produced in 2023.

“These numbers tell us two things: First, our domestic dairy industry remains underdeveloped. Second, the room for growth is enormous. The challenge is significant, but so is the opportunity,” said Andaya.

Quoting Sec. Francisco Tiu Laurel Jr., Atty. Andaya shared that “the dairy industry in the Philippines is a sunrise industry.”

Furthermore, the NDA Administrator and CEO highlighted that 2026 marks a major transition for the sector with the implementation of Republic Act No. 12308, also known as the Animal Industry Development and Competitiveness Act.

“For the NDA, RA 12308 expands and strengthens our role not only as a developmental agency, but also as a regulatory and food safety certifying institution for the local dairy industry chain,” Andaya said.

This means the NDA’s responsibilities now include licensing and product registration, food safety monitoring, testing and laboratory accreditation, post-market surveillance, and enforcement of dairy regulations.

“Under the expanded functions of NDA, we are therefore authorized to issue Licenses to Operate (LTO) for both primary production and processing plants, Certificates of Product Registration (CPR), Sales Promotion Permits (SPP), and other related authorizations,” he mapped out.

On one hand, and as part of the transition of regulatory oversight from the FDA to the NDA, Andaya also announced that all CPRs and LTOs with validity periods from 29 October 2025 to 29 October 2026 will be automatically extended for one year upon approval.

Atty. Andaya likewise mentioned that under RA 12308, funding support for the dairy industry includes: an authorized capital of one billion pesos (1B); an allocation and disbursement of the AnCEF or Animal Competitiveness and Enhancement Fund to NDA of 1.5B every year for the next 10 years; ₱500 million for food safety and regulatory functions; and ₱840 million through the Philippine Center for Postharvest Development and Mechanization or Philmech for dairy farm mechanization, among others.

What Stakeholders Can Expect

The National Dairy Authority Administrator and CEO outlined several major shifts that stakeholders can look forward to. These include stronger sector specialization—with the NDA focusing on dairy products and establishments—as well as greater integration between development and regulation.

The agency also highlighted ongoing efforts toward increased digitalization and streamlining, particularly through the rollout of the eRELICS platform. Through this system, stakeholders can expect improved electronic submissions, more transparent application tracking, and more efficient monitoring processes.

Finally, stronger science-based regulation is expected with the establishment of the NDA National Reference Laboratory. Continuous refinement during the transition period was also assured by Atty. Andaya.

“The objective of RA 12308 is clear: to create a more responsive, science-based, transparent, and industry-supportive regulatory environment,” stated Atty. Andaya.

The Future of the Dairy Industry in the Philippines

The meeting’s panel discussion reinforced the key themes of implementation and operationalization of RA 12308. Participants shared their support for the independent jurisdiction of the NDA as prescribed by the Act, while expressing their concerns regarding the ambiguous interpretation of regulatory functions and how they may impact the flow of goods, as well as investor satisfaction and assurance.

“Good public affairs and having an external bridge are important in navigating any regulatory shift,” said Atty. Sheryl Lagrosas, Vice President and Head of Government and Industry Affairs of Nestle Philippines.

After the discussion, the floor was opened to the audience and there was great enthusiasm from the stakeholders. An intriguing dialogue took place among the participants of the event, tackling topics such as Bureau of Customs compliances, compliance monitoring, and transparency amongst various sectors. The main goal of this meeting was thus achieved through mutual understanding and effective communication among participants.

Through engagements such as this, the European Chamber of Commerce of the Philippines continues to strengthen public-private dialogue while promoting transparency and regulatory predictability in the evolving Philippine dairy sector.

The event was attended by ECCP leaders, including Executive Director Florian Gottein and Member of the Board of Directors and Managing Director of Alaska Milk Corporation, Mr. Tarang Gupta.

The success of the ECCP’s Luncheon Meeting with the NDA was made possible through the valuable partnership and involvement of Event Supporter Nestlé Philippines and Table Top Partners Alaska Milk Corporation and Mr. Moo’s Dairy Products Inc.