By Kenneth Marcos 
In the hills of Bicol and the farms of Mindanao, abacaleros harvest fibers that once proudly lined our peso bills. Now, there’s a growing call to bring them back.
The Philippine Fiber Industry Development Authority (PhilFIDA) is backing a new initiative to restore abaca fiber in the production of Philippine banknotes, aiming to honor Filipino heritage while supporting local farmers.
PhilFIDA Executive Director Ali Atienza, along with Department of Agriculture Region V Director Rodel Tornilla, recently met with TGP Partylist Representative Bong Joson Teves Jr. to discuss the proposal with the Bangko Sentral ng Pilipinas (BSP). The meeting focused on how to sustainably reintroduce abaca into the country’s currency-making process — a practice once unique to the Philippines.
Abaca, also known as Manila hemp, is a natural fiber derived from a type of banana plant native to the Philippines. Strong, durable, and resistant to saltwater damage, it is one of the world’s most sought-after natural fibers. It has long been used in specialty papers, ropes, textiles, and even security-grade paper for currency.
For decades, Philippine peso bills contained abaca fiber — a symbol of national pride and economic strength. But over the years, synthetic materials and imported pulp have gradually replaced it in banknote production.
Reintroducing abaca to banknotes not only promotes a sustainable and locally sourced material but also provides a reliable source of income for abaca farmers or “abacaleros” — many of whom live in rural and underdeveloped areas of Bicol, Eastern Visayas, Northern Mindanao, and CARAGA regions.
According to PhilFIDA, the Philippines remains the world’s top exporter of abaca fiber, accounting for about 85% of global supply. However, the industry has faced challenges in recent years, including climate-related losses, fiber diseases, low farmgate prices, and lack of processing infrastructure.
By restoring demand through BSP’s adoption of abaca for currency printing, government officials hope to boost farmer income, promote local industries, and reduce dependence on imported raw materials.
Representative Teves emphasized the cultural and economic value of the move, calling it “a step towards a more self-reliant and proud Filipino economy.”
Atienza added that this aligns with the goals of Bagong Pilipinas, the administration’s push for an inclusive and prosperous future, especially in agriculture.
If the proposal is approved, it would mark a renewed partnership between heritage and innovation, merging traditional Filipino resources with modern financial systems — all while creating meaningful opportunities for thousands of Filipino fiber farmers.
With growing global interest in sustainable materials, abaca stands as a natural advantage for the Philippines — one that, if fully embraced, can help weave a better future for rural communities and the economy as a whole.
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