Governor Lray Villafuerte of the Provincial Government of Camarines Sur announced the launching of the Vetiver Filipina Project—the largest integrated vetiver plantation and vetiver oil distillery facility in the world—in the municipality of Del Gallego, marking a major step in the province’s bid to become a key player in the US$35 billion global flavor and fragrance (F&F) industry.
The project, which was initiated three years ago under Governor Luigi Villafuerte, features a 1,000-hectare vetiver plantation managed by the Provincial Government and a steam distillation facility operated by Iba Botanicals.
Iba Botanicals guarantees 100% offtake by purchasing all oil produced at agreed prices and assuming all export and marketing risks, ensuring long-term market stability for the province and its farming partners. Philippine vetiver oil possesses a unique quality profile that faces no direct import competition from other producing countries. To date, over ₱300 million has been invested in the project, with more than ₱200 million allocated to plantation development and over ₱100 million invested in the distillation facility.
The facility operates entirely on agricultural biomass—coconut husk and agricultural waste—with zero fossil fuel dependency. This circular economy model significantly reduces the carbon footprint of every kilogram of oil produced and directly supports the net-zero supply chain requirements of major multinational F&F companies.
“This is more than just a plantation. This is about jobs, investments, exports, environmental rehabilitation, countryside development, and global competitiveness. Most importantly, this project showcases what can happen when government and the private sector work together with a shared vision,” Governor Lray asserted.
The project is projected to generate more than 800 jobs for residents of Del Gallego and surrounding communities, spanning plantation operations, harvesting, logistics, and distillery work, generating significant economic benefits for one of Camarines Sur’s most underserved communities. Governor Lray described the initiative as one of the most significant rural economic development efforts in the province’s history, connecting local agricultural workers directly to global high-value supply chains. The project also contributes to peace and development efforts in Del Gallego by providing sustainable economic opportunities in an area previously affected by insurgency, directly supporting the objectives of the National Task Force to End Local Communist Armed Conflict (NTF-ELCAC).
Vetiver, known worldwide as the “miracle grass” for its exceptionally dense and deep root system, was introduced by the Provincial Government in the Del Gallego plateau as part of its El Verde Program and its strategy to enter the global F&F industry. The plant’s roots are harvested and processed through steam distillation to produce vetiver essential oil, a critical raw material used in perfumes, aromatic oils, soaps, creams, cosmetics, and other personal care products. The facility will supply this strategic raw material to international markets and will not manufacture finished consumer goods.
Beyond its economic value, vetiver cultivation offers significant environmental benefits. Its root system, which can extend several meters underground, acts as a natural barrier that stabilizes soil, prevents erosion, and reduces the risk of flooding and landslides, hazards that have affected upland communities in Bicol. Denuded lands covered by DENR concessions are likewise being restored to productive use through the Community-Based Forest Management Agreement (CBFMA) framework. The cultivation of vetiver in the Del Gallego highlands thus serves both productive and protective purposes.
The project enters the global market at a strategically advantageous moment. Haiti, the world’s premier producer of vetiver oil, has faced persistent disruptions stemming from political instability, security concerns, and natural disasters, prompting major international buyers to seek more reliable alternative sources. With demand for natural essential oils continuing to grow, Vetiver Filipina has demonstrated the ability to match the quality standards associated with Haitian vetiver while offering improved supply-chain dependability, positioning Camarines Sur as an emerging global leader in vetiver oil production and establishing the Philippines as a recognized premium source in the international F&F industry.
“We’d like to thank Governor Lray Villafuerte for his vision and his leadership and his partnership in bringing this project to fruition. Extremely exciting, and so much more to come,” said Ben Mead, Founder and Chief Executive Officer of Iba Botanicals.
Looking ahead, Governor Lray also plans to pursue Geographical Indication (GI) status for Camarines Sur’s vetiver oil and to brand the product as “Vetiver de CamSur” — an initiative aimed at establishing a globally recognized identity for the province’s essential oil industry, enhancing its premium market positioning, and cementing Camarines Sur’s reputation as a world-class source of sustainably produced agricultural specialty products.
