On November 20, 1972, through Presidential Decree No. 58, the UP System was created, with UPLB constituted as autonomous unit. Though instruction was considered as UPLB's major function, research was also recognized as an equally important function.

Moreover, extension was viewed as a function that ensured UPLB's relevance in the development of the countryside. "All efforts in acquiring knowledge through research, imparting it through instruction, and applying it through public service are directed towards the development of the whole man".