Tuesday, September 22, 2009

WILL THERE BE A POWER CRISIS IN MINDANAO?

Each and every businessman who recently attended the 18th Mindanao Business Conference in Koronadal City last week expressed serious concern over the truthfulness as to whether there will be a power crisis in Mindanao. The Department of Energy (DOE) confirmed this in a statement and further revealed that if the government and companies concerned will not provide a solution by the end of the year, the problem might get worst.

Certainly, there is a shortage and the critical period has been known to the government especially from the DOE’s point of view as early as 2007. The critical period had already started this year and we are facing an uncertain situation. The officials of the Davao Light and Power Company (DLPC) admitted that Mindanao is inevitably headed towards a crisis of very serious proportions. Mindanao’s major cities—Davao, Cagayan de Oro, General Santos, Butuan and Zamboanga will experience darkness, if no concrete actions to avert the power crisis will be done.

You can just image what will happen to cities like Davao, Cagayan and Zamboanga who have been heavily selling their cities as the future “ICT (information Communication Technology) Hubs for BPO’s (Business Process Outsourcing). BPO businesses thrive best in areas where there is assurance and permanence of sufficient power supply. What will happen to the tuna canneries in Gen. Santos and to the sardine plants in Dipolog without continuous supply of power?


The entire Mindanao will expect to have long hours of brownout if the power crisis cannot be averted on time. Power supply is crucial to the existence of businesses and investments in the island. We will all suffer tremendous losses; more so with the small and medium sized businessmen who may not be able to afford the cost of expensive generators. This scenario may further result to scaling down of enterprise activities which can lead to unemployment and eventually an increase in poverty


Power Demand of Mindanao
The present demand of Mindanao’s five key cities is put at 484MW while the peak demand of power users is expected to hit an average of 5.76 percent in the next five years. A strategic approach as proposed by the DLPC presented a 13.1 percent reserve capacity in order to enable the Mindanao grid to supply the total power demand of the island. This approach is based on the theory that the grid must maintain a reserve capacity equivalent to the capacity of the biggest generating plant so that in the event that a single plant fails, there would still be enough to supply 100 percent of the requirement of the power users.

Moreover, the DLPC projects that the gap between the requirement and the reserve capacity of 13.1 percent will gradually deteriorate over the next five years. Mindanao is now feeling the crisis since the 13.1 percent power reserve during off peak to ensure continuous supply of power has already dropped to one percent.

Contradicting Statements

On the contrary, the Freedom from Debt Coalition (FDC) said that research shows there is no power crisis in Mindanao. In fact, the Philippine Energy Plan 2004-2014 report of the DOE indicated a total surplus power of about 373 megawatts for the Mindanao grid. The report also indicated that there is enough power supply for the deficits of both Western Mindanao (62MW) and Southern Mindanao (233MW) which comes from the surplus power of 670MW in Northern Mindanao. FDC also found out on its own research that there is, in fact, a low demand for energy because of the current economic turmoil that is being experienced on a global scale. Most industries are slowing down operations due to the slowing down economy, thereby reducing demand for power.

Action Agenda to Avert the Crisis

However, the government identified an immediate solution by putting up three new power plants but it would take about three years to get all of them done. Among the three projects are the Sibulan Hydro, which is currently being completed, the Mindanao 3 located at the peak of Mt. Apo which is almost done and the Kabulig Hydro which is experiencing some problems. Even if these guaranteed power plants are completed, they will still project a shortage of around 400 megawatts (MW). In addition to these three plants, the Conal Holdings Corporation, owned by the Alcantaras, has unveiled a $450 million coal-fired power plant in Sarangani Province to be up by 2013. This plant is expected to generate up to 200MW of power which would be enough to sustain the requirement.

There’s another theory that this looming power crisis is caused by “transmission constraints” which is already being addressed by the National Grid Corporation of the Philippines. And that, as of April 2008, there is a 382.1MW reserve which is enough to supply whatever imbalance that may occur in power supply and demand. We are being supplied with 1,933.4MW as total installed capacity of power generating plants in Mindanao while 1,682.1MW is the dependable capacity. Plus Hedcor Sibulan and Conol Holdings in Sarangani Province supply an additional capacity of 242MW. We actually have more than enough, if this is the case.

Clearly, power shortage is a looming threat. This is the time that business, government and the various groups of the civil society should work together to avert this crisis NOW before it is too late!

(Joji Ilagan Bian is a strong and respected advocate for the development of the region. She is Chair of Joji Ilagan Foundation ( www.jojiilagancareercenter.com) ; President , Phil. Call Centers Alliance and Mindanao Tech Voc Schools Association; Mindanao Rep, Export Development Council. Email comments jojibian2@yahoo.com)

Tuesday, September 08, 2009

NEW AND VIABLE AGRI-BUSINESS VENTURES IN MINDANAO

If you can notice, in almost all of my articles I always present the vastness and the great growth potential of the Agriculture& Fishery industry in Mindanao. If I remember it right, on my last article I presented the resolutions established by the Mindanao Technical Vocational Education and Training; and one of them is giving more emphasis and focus on developing the Agricultural Tech-Voc.

One of the main reasons why I am fond of sharing with you the agricultural prowess of the Mindanao region is obvious great potential of the industry to pull up our economic status. Mindanao’s climate is better than any other region in our country. We, in Mindanao do not experience typhoons. Another fact is that Mindanao is 474% percent larger than Central Luzon which is has the largest plain in the country and produces most of the country's rice supply, earning itself the nickname "Rice Bowl of the Philippines". If Mindanao’s Agriculture Industry is well developed, the scarcity of food in our country will be eliminated.

GOAT CAPITAL OF THE PHILIPPINES
Business opportunities continue to grow in Southern Mindanao amid the spillover of the global financial crisis as businessmen continue to diversify and search for new investments. The Department of Trade and Industry (DTI) in Southern Mindanao slated a new investment opportunity in Davao del Sur -- goat rising.

Goat raising is now become a niche for enterprising entrepreneurs who want to try a relatively new but viable business ventur. And Davao City, our largest city and home to the majestic Mt. Apo, will soon become the goat capital of Southern Philippines and probably in the whole country.

Goats are very popular among Filipinos because they require low initial capital investment, fit the small hold farm conditions, and multiply fast. About 10 native goats can be fed on the feedstuffs sufficient for one cattle. And about 6-7 purebred dairy goats can be fed on the feedstuffs adequate for one dairy cow. Although a goat is small, it can produce as much as four liters of milk a day if it is purebred and is given a ration to meet all of her nutritional requirements.

Our neighboring countries in the East Asean Growth Area like Brunei also requires a high volume of goat meat for daily consumption.

If an investor is to engage in sale of breeders, investments include pure or upgraded Nubian, Toggenburg or Boer buck which costs P7,500 – P12,000/head plus native or upgraded does which cost P1,500 – P4,000/head. An investor could sell his produced upgraded breeders at P3,000 – P12,500/head.

For investors who desire to engage in the sale of goat meat, there is a need to invest in one upgrade Boer for every 25 does. Live goat for sale commands a price ranging from P120 – P180/kilo or minimum of P4,500/head.

To raise goat for commercial milk production, pure or upgraded goats of the Anglo Nubian or Saanen breed is recommended as breeder buck. Goat of this breed could produce 0.7 – 2 liters daily in 215 – 250 days of milking.

Goat-raising is highly profitable. With minimal capital investment of P67,250 for 25-doe level; P174,500 for 50-doe level; or P349,000 for 100-doe level, positive net income and return on investment (ROI) are realized, even as early as the first year. The ROI for five year is 67 percent from a 25-doe level operation under semi-confinement scheme and 60 percent from 50-doe and 100-doe level operations under pure confinement system. Payback period is two years.

As goat production requires low initial investment and small risks compared to other livestock, it is therefore an attractive undertaking among resource-poor families.


SEAWEEDS GALORE

Mindanao’s seaweed exports have almost doubled in 2008. From January to October 2008, exports of processed seaweeds reached 5,085 metric tons (MT) valued at US$12.6 million. This is a 92 percent increase in volume and 114 percent increase in value over exports for the same period in 2007

Eucheuma and kappaphycus seaweed varieties, which are grown in the Philippines, are used for the production of carrageenan, a thickening and stabilizing agent used worldwide in many processed foods and in products such as toothpaste, shampoo, paints, and pharmaceuticals.

Marine products of the many species of seaweed, the most commonly developed and cultured species in Zamboanga city is the EucheumaCottonii seaweed because of its numerous uses. It enjoys the heaviest demand in the market, both here and abroad. In addition, Eucheuma can be farmed commercially almost anywhere in the city’s coastal areas. Eucheuma seaweed has been commercially introduced in various method of propagation, after extensive experimentation. It was disclosed that eucheuma seaweeds grow faster on reefs than other areas which prove that seaweed farming is viable in this city. When the study of Eucheuma seaweeds propagation was initiated, its technical advancement was transferred to the private sectors, thus making the seaweed industry one of the leading ventures in the country today

The country produces most of the world’s carrageenan in 14 processing plants located in Cebu, Southern Luzon, and Zamboanga. And the top regional supplier of raw materials for these plants is Mindanao, which produces 75 percent of the country’s eucheuma and kappaphycus seaweeds, which mostly come from Zamboanga peninsula and Sulu archipelago.

The country’s processing plants alone need a minimum of 134,000 MT of dried seaweed annually, yet the total Philippine seaweed output decreased from 95,600 MT in 2004 to 74,650 MT in 2007 due to weather conditions. rising energy and transport costs, and other factors.


(JojiIlagan Bian is a strong and respected advocate for the development of the region. She is Chair of JojiIlaganFoundation ( www.jojiilagancareercenter.com) ; President , Phil. Call Centers Alliance and Mindanao Tech Voc Schools Association; Mindanao Rep, Export Development Council. Email comments jojibian2@yahoo.com)

NEW AND VIABLE AGRI-BUSINESS VENTURES IN MINDANAO

If you can notice, in almost all of my articles I always present the vastness and the great growth potential of the Agriculture& Fishery industry in Mindanao. If I remember it right, on my last article I presented the resolutions established by the Mindanao Technical Vocational Education and Training; and one of them is giving more emphasis and focus on developing the Agricultural Tech-Voc.

One of the main reasons why I am fond of sharing with you the agricultural prowess of the Mindanao region is obvious great potential of the industry to pull up our economic status. Mindanao’s climate is better than any other region in our country. We, in Mindanao do not experience typhoons. Another fact is that Mindanao is 474% percent larger than Central Luzon which is has the largest plain in the country and produces most of the country's rice supply, earning itself the nickname "Rice Bowl of the Philippines". If Mindanao’s Agriculture Industry is well developed, the scarcity of food in our country will be eliminated.

GOAT CAPITAL OF THE PHILIPPINES
Business opportunities continue to grow in Southern Mindanao amid the spillover of the global financial crisis as businessmen continue to diversify and search for new investments. The Department of Trade and Industry (DTI) in Southern Mindanao slated a new investment opportunity in Davao del Sur -- goat rising.

Goat raising is now become a niche for enterprising entrepreneurs who want to try a relatively new but viable business ventur. And Davao City, our largest city and home to the majestic Mt. Apo, will soon become the goat capital of Southern Philippines and probably in the whole country.

Goats are very popular among Filipinos because they require low initial capital investment, fit the small hold farm conditions, and multiply fast. About 10 native goats can be fed on the feedstuffs sufficient for one cattle. And about 6-7 purebred dairy goats can be fed on the feedstuffs adequate for one dairy cow. Although a goat is small, it can produce as much as four liters of milk a day if it is purebred and is given a ration to meet all of her nutritional requirements.

Our neighboring countries in the East Asean Growth Area like Brunei also requires a high volume of goat meat for daily consumption.

If an investor is to engage in sale of breeders, investments include pure or upgraded Nubian, Toggenburg or Boer buck which costs P7,500 – P12,000/head plus native or upgraded does which cost P1,500 – P4,000/head. An investor could sell his produced upgraded breeders at P3,000 – P12,500/head.

For investors who desire to engage in the sale of goat meat, there is a need to invest in one upgrade Boer for every 25 does. Live goat for sale commands a price ranging from P120 – P180/kilo or minimum of P4,500/head.

To raise goat for commercial milk production, pure or upgraded goats of the Anglo Nubian or Saanen breed is recommended as breeder buck. Goat of this breed could produce 0.7 – 2 liters daily in 215 – 250 days of milking.

Goat-raising is highly profitable. With minimal capital investment of P67,250 for 25-doe level; P174,500 for 50-doe level; or P349,000 for 100-doe level, positive net income and return on investment (ROI) are realized, even as early as the first year. The ROI for five year is 67 percent from a 25-doe level operation under semi-confinement scheme and 60 percent from 50-doe and 100-doe level operations under pure confinement system. Payback period is two years.

As goat production requires low initial investment and small risks compared to other livestock, it is therefore an attractive undertaking among resource-poor families.


SEAWEEDS GALORE

Mindanao’s seaweed exports have almost doubled in 2008. From January to October 2008, exports of processed seaweeds reached 5,085 metric tons (MT) valued at US$12.6 million. This is a 92 percent increase in volume and 114 percent increase in value over exports for the same period in 2007

Eucheuma and kappaphycus seaweed varieties, which are grown in the Philippines, are used for the production of carrageenan, a thickening and stabilizing agent used worldwide in many processed foods and in products such as toothpaste, shampoo, paints, and pharmaceuticals.

Marine products of the many species of seaweed, the most commonly developed and cultured species in Zamboanga city is the EucheumaCottonii seaweed because of its numerous uses. It enjoys the heaviest demand in the market, both here and abroad. In addition, Eucheuma can be farmed commercially almost anywhere in the city’s coastal areas. Eucheuma seaweed has been commercially introduced in various method of propagation, after extensive experimentation. It was disclosed that eucheuma seaweeds grow faster on reefs than other areas which prove that seaweed farming is viable in this city. When the study of Eucheuma seaweeds propagation was initiated, its technical advancement was transferred to the private sectors, thus making the seaweed industry one of the leading ventures in the country today

The country produces most of the world’s carrageenan in 14 processing plants located in Cebu, Southern Luzon, and Zamboanga. And the top regional supplier of raw materials for these plants is Mindanao, which produces 75 percent of the country’s eucheuma and kappaphycus seaweeds, which mostly come from Zamboanga peninsula and Sulu archipelago.

The country’s processing plants alone need a minimum of 134,000 MT of dried seaweed annually, yet the total Philippine seaweed output decreased from 95,600 MT in 2004 to 74,650 MT in 2007 due to weather conditions. rising energy and transport costs, and other factors.


(JojiIlagan Bian is a strong and respected advocate for the development of the region. She is Chair of JojiIlaganFoundation ( www.jojiilagancareercenter.com) ; President , Phil. Call Centers Alliance and Mindanao Tech Voc Schools Association; Mindanao Rep, Export Development Council. Email comments jojibian2@yahoo.com)

Friday, July 03, 2009

WHILE YOU WERE SLEEPING…

On July 06, 2009, United States Agency for International Development through their Growth with Equity in Mindanao Program will launch two of its projects that legitimize Mindanao in the Cyber-world Map. They would be launching WiMax and JEEP program which aims to help boost the BPO industry in Mindanao.

The BPO industry has been making its great leap and now being considered as one of the top economy-pushers just within the last few years which started around 2009.

Last week, my call center was invited to take part in a public hearing regarding an ordinance that would require all call centers in Davao City to provide special quarters for the use of their employees. The idea sounded generally nice but not generally wise.

Most of the call centers in Manila spare a room or two for ther employees comfort. The idea is for the employees’ use to rest and probably sleep since that they are working in wee hours of the day. Wonderful isn’t it? The companies try to find ways to holistically take good care of their employees.

But then, that is Manila. The quarters for them are more of a necessity rather than of a luxury. Call center agents based in Manila can come as far as Rizal, Laguna or Batagas. Going home right away after a long and tiring shift and sleeping at the comfort of your own room does sound very enticing but it won’t be that easy.

Let see how 24 hours spent is being used up. Working for a call center means that you have to be in the office for 9 hours, that 8 hours work plus 1 hour for your meal break. Consider someone who works in a call center in Ortigas who happens to live in Laguna. It would take them at least (note the word AT LEAST) 3 hours just to get to or from your work site. It would take roughly another 3 hours for the other two meals that you’ll have for the day. And about 2 hours max for you to dress up and get ready for to work. And since call centers are very strict with time you have to be on site at least 30 minutes before work.

Doing the math, 8 hours work plus 1 hour meal break plus 6 hours travel time plus 3 hours for lunch and dinner plus 2 hours personal care plus 30 mins. before shift is equal to 20.5 hours. This leaves you with 3.5 hours at most for your sleep every day.

So really, it is a necessity for them. However, here in Davao City the farthest can go up to Toril or Sasa or Tibungco which is at most, would take an hour. But most of the call center agents live within a 15 min travel radius from their work place. If I am the agent, I would think twice or thrice staying in the special quarters and sharing it with 3 or more strangers to sleep when I could go home within a matter of minutes.



Allocating special quarters may not also be cost-effective and wise. If the ordinance is enacted, I being an entrepreneur would allocate funds to build and maintain these special quarters. Building them and maintaining them can’t be covered up by petty cash funds. A special funding would really be needed.

My 200-seat call center is currently on the development stage. We are currently expanding our capacity to cater to more foreign clients needs. Allocating another room would be means losing at least 50 seats and consuming about a chunk for expenses on maintenance. And about only 2-3% of my employees would avail of this privilege. So if I spent Php 500,000 for the construction and maintenance of the special quarters for a year, only about 20 of my employees would be able to enjoy the quarters. But if I spent that amount and equally divide them to the number of employees we have and allocate it as salary raise, all of my employees would benefit and all of them would really appreciate what they received.

The ordinance would force the call centers particularly those operated by small entrepreneurs like me in Davao City to divert funds from much need employee benefits or facility/equipment upgrade to building and maintaining these special quarters.

I applaud the law makers of Davao City for such initiative to take care of the welfare of the BPO professionals within the city. But there is no necessity to regulate them .

To make matter worst, the proposed ordinance says that if there is no “napping quarters” found in the call centers, our business permit may be cancelled. These will just be an added cost to doing business and may even be another layer of bureaucracy that may just result to petty corruption.

We as entrepreneurs are always in a look out of better benefits that our employees would really appreciate. Dictating us what to give would not do any good for us or even for the employees.

It is always nice to benchmark things as we could see our pros and cons of every institution. Comparison also gives us the ideas and facts to check projects if it would be feasible or not. But then again, let us always remember everything is unique and what may be best for them may not be the best for us.


(Joji Ilagan Bian is a strong and respected advocate for the development of the region. She is Chair of Joji Ilagan Foundation ( www.jojiilagancareercenter.com) ; President , Phil. Call Centers Alliance and Mindanao Tech Voc Schools Association; Mindanao Rep, Export Development Council. Email comments jojibian2@yahoo.com)

Wednesday, May 27, 2009

RO-RO YOUR BOAT TO MINDANAO

Agricultural products is Mindanao’s top export top export commodity. In 4th quarter of 2008 the food export amounted to P 956,114,443.00 and growing at a rate of 22.28%.
In the recent meeting of the Export Development Council, where I sit representing Mindanao and the National Competitiveness Council with President Arroyo, the report of the council showed a slowdown or a decline in the export of agricultural commodities. The agriculture and food sector of Mindanao view this as an opportunity to re- focus their marketing strength to the local or domestic market. And this is where transportation and logistics will be very critical for us.
RORO(Roll On/Roll Off)ships are vessels designed to carry wheeled cargo such as automobiles, trucks, semi-trailer trucks, trailers or railroad cars that are driven on and off the ship on their own wheels. RORO vessels have built-in ramps which allow the cargo to be efficiently "rolled on" and "rolled off" the vessel when in port. The RORO project was launched around 2003 aiming to help entrepreneurs for a faster transport of goods domestically.
I was one of those who strongly supported the RORO program because I believed that these system of routes calledthe Strong Republic Nautical Highway(SRNH) offers an efficient and shorter way to travel to Luzon ,Visayas and Mindanao regions plying the western seaboard.
In her 2007 State of the Nation Address (SONA), President Arroyo identified the Ports of Balbagon and Guinsiliban of Camiguin for inclusion in the Central Nautical Highway, as these ports connect the SRNH to Mindanao.
Iloilo via Ivisan town is about 4-hour drive from Caticlan. One may drop by Roxas City (about 10 minute drive from Ivisan) to buy some fresh seafoods. When in Iloilo, one can drop by Guimaras Island to have a taste of Philippine's finest mangos before going further south to Bacolod, then to Dumaguete then finally board the RORO to the eastern part of Mindanao , Dapitan, Zamboanga del Norte

Mambajao Port is the nearest RoRo point linking the Visayas to Mindanao via the port of Jagna in Bohol, while Guinsiliban Port connects Camiguin to Balingoan, Misamis Oriental to the mainland of Mindanao. The Benoni Port in Mahinog, also a RORO point and connects the province toMisamis Oriental via Balingoan Port.

The Central Nautical Highway of the SRNH includes Cagayan de Oro City to Balingaon, Misamis Oriental to Camiguin, Bohol to Cebu, Masbate and Camarines Sur towards Luzon.

Fish dealers from Zamboanga Cityprefer RO-RO ships over big conventional cargo ships due to faster ship turn-around time and more trips are available. RO-RO trips start as early as 5:00 am. In the afternoon, fish carriers can go back to Dapitan for thc next trip.

The port development in Dapitan is another great example of the cost efficiency of the RORO system. The grains bulk handling terminal within the port is poised to support the grains production (particularly corn) in the western part of Mindanao - mainly Lanao del Sur, Lanao del Norte and Zamboanga del Sur. Together, these provinces produce about 500,000 metric tons of corn a year.

With this project, entrepreneurs can reduce their product price as much as 50% of the current export prices since the shipping is easier and much cheaper than the conventional shipping practices. Spoilage of perishable goods is also reduced due to their faster transportation.

A cargo truck drives off the ferry from Zamboanga City onto the roll-on, roll-off (RORO) landing at Lamitan Port in Basilan. After USAID’s Growth with Equity in Mindanao (GEM) Program upgraded the port and outfitted it with the RORO ramp, vessels calling at the port experienced faster turn-around rates, transport costs were reduced by about a third, and RORO traffic in the province more than tripled.
The southwestern Mindanao RO-RO connections consist of the following routes:
Zamboanga City - Isabel (Basilan)
; Lamitan (Basilan)
Z ; Siasi (Sulu)
; Bongao (Tawi-Tawi). Agricultural produce such as sugar, rice, bananas, marine products, and seaweeds, are shipped from TawiTawi, Sulu and Basilan to Zamboanga City. Majority of these cargoes go all the way to Visayan and Luzon markets via western nautical highway.

From a tourism perspective and for some one like me who loves to travel, the route allows you to hop from one island to another and enjoy the scenery in the comfort of your car. These can also promote domestic tourism.
Tourism professionals especially those from Mindanao should design better routes that would showcase breath-taking tourist spots without the hassle of worrying how to get to their destinations.
The project clearly gives entrepreneurs earn more and lose less. And maybe one day we can sing just like an old nursery rhyme with a twist “RO-RO-RO your boat, Gently down the Mindanaostream. Merrily, merrily, merrily, merrily, Good Life is not just a dream.”


(JojiIlagan Bian is a strong and respected advocate for the development of the region. She is Chair of JojiIlaganFoundation ( www.jojiilagancareercenter.com) ; President , Phil. Call Centers Alliance and Mindanao Tech Voc Schools Association; Mindanao Rep, Export Development Council. Email comments jojibian2@yahoo.com)

Friday, May 15, 2009

FISH TALES FROM MINDANAO

The Indonesian Consular Office here in Davao City invited me and other school owners to the Indonesia-Philippines Education Workshop which was held last May 12-14, 2009 . I was so glad that projects like this are held in the spirit of the Brunei-Indonesia-Malaysia-Philippines East ASEAN Growth Area (BIMP-EAGA)

As of today, the Small & Medium Enterprise Development (SMED) cluster of the BIMP-EAGA plans to conduct a market research on agriculture and fishery-based products in response to current mandates from the leaders of BIMP-EAGA.

As the Mindanao Representative for the Export Development Council, I welcome this research and study that is being done. Mindanao accounts for 49% share of the total fish production of the country at 2,155,000 metric tons and with an average annual growth rate of 6%- 7%.

The conduct of the market studies has been identified as one of the priority actions during the 9th BIMP-EAGA SMED Cluster meeting held in Puerto Princesa recently.

The cluster has also considered facilitating business matching and market linking activities and other business development services to support project proponents of EAGA agriculture/fishery-based food products.

This initiative forms part of the overall plan to make the BIMP-EAGA the food basket of ASEAN. The SMED Cluster and the industry players are expected to formulate more specific objectives, which are based on the existing challenges or deliverables of a specific food product or project, while the value chain analysis will be used as a tool to effectively draw out potential projects.

The plan of having BIMP-EAGA as the food basket of ASEAN is very possible. Mindanao, specifically Gen. Santos – Tuna Capital of the Philippines, sets a very tangible proof of its realization. The abundant plains at the foot of Mount Apo in Davao, also stands as an example of the blessed natural resources found within the BIMP-EAGA region.

The study however might be costly due to the intensive research the cluster is tasked to do. We are eyeing the assistance of the Japan External Trade Organization (JETRO), the Japan International Cooperation Agency (JICA) or the Economic Research Institute for ASEAN and East Asia (ERIA) for the said study.

Meanwhile, the Palawan Economic Development Council (PEDCo) said here recently that they will look into trade opportunities for cashew nuts from Palawan. PEDCo has also requested the assistance of the SMED Cluster to assist in linking Palawan live fish traders with buyers from other parts of Malaysia and Brunei. It should be noted that Palawan’s role towards the development of EAGA is also very important because it is one of the BIMP-EAGA focus areas, along with Mindanao.

On the other hand the Socsksargen Federation of Fishing and Allied Industries Inc., said at least two sectors of the local tuna industry -- fishing and cannery businesses -- stand to bear the brunt of Europe's regulation slated to take effect January 1, 2010, which will also apply to other countries.

The Bureau of Fisheries and Aquatic Resources (BFAR) has started consulting tuna industry players regarding Europe’s regulation aimed to stem illegal, unreported, and unregulated (IUU) fishing around the globe.

Under Europe's fisheries product policy, tuna fish producers are required to provide a catch certificate that details where the stocks were caught and the volume, or in other words the traceability of the supplies. The Tuna Businesses noted that it may become a non-tariff barrier on the Philippine side. Canned tuna producers, under the same policy, should also not accept stocks that have no catch certificate; otherwise the goods will not be accepted in Europe. Six of the country's seven tuna canneries are based in this city, dubbed the "Tuna Capital of the Philippines."

He also said that Europe's policy will also burden Filipino fishing vessel operators as they need to infuse more capital to upgrade their fleet to comply with the handling requirements imposed by the foreign market. Small players that won’t be to afford to upgrade their vessels may be forced to shut down their business permanently. EU’s policy is actually beneficial for all in a greater sense. However, in the view of small players in the fish catch industry, it may be too early to implement such policy.

This is a tough challenge for the Tuna sector of Mindanao and requires swift decisions and actions.

(Joji Ilagan Bian is a strong and respected advocate for the development of the region. She is Chair of Joji Ilagan Foundation ( www.jojiilagancareercenter.com) ; President , Phil. Call Centers Alliance and Mindanao Tech Voc Schools Association; Mindanao Rep, Export Development Council. Email comments jojibian2@yahoo.com)

Monday, March 23, 2009

WOMEN OF MINDANAO – MOVERS OF THE ECONOMY

March is a celebration of women’s power and so I would want to give honor and recognition to the women of Mindanao who continue to be its greatest resource and treasure. These women play a very important role whether as guardians of peace or movers of business and investments in the region.

There are many women that I had met in my advocacy work for Mindanao. These women are so successful in running their own businesses but more significantly these are the women who went out of the comforts of their air-conditioned offices and the luxury of their homes ; and contributed their talents and skills in the community that they do business in and helped improved the investments in Mindanao.

In the business and the chambers of commerce arena, there is Elena U. Haw who is the current Vice President for Mindanao of the Philippince Chamber of Commerce and Industry and recently was considered as the point person for Brunei, Indonesia, Malaysia, Philippines - East ASEAN Growth Area (BIMP-EAGA). Haw was part of the Philippine delegation who joined President Gloria Macapagal-Arroyo in the 5th BIMP-EAGA Leaders Summit late last month in Thailand. Elena had made it her passion to work for the development of small businesses particularly those in agriculture, corn and hog raising in South Cotabato where she is from.

Ann Pamintuan and Leny Castillo are outstanding business women in the furniture and handicraft sector. Both women spend all their energies honing their craft, looking for new markets, joining foreign trade exhibits and always manage to bring home the big orders assuring jobs for all of their workers and their families. Anne is also the only Asian featured in the International Design Yearbook 2002.

There is Davao hotelier, Mary Ann “Baby” Montemayor who steers the private sector in the promotion of tourism in Davao City. While Chair of the BIMP EAGA Tourism Council, Baby had inspired many women in the travel sector from all over Mindanao to think “ out of the box “ and not to be discouraged every time there are negative events that seems to hamper the growth of the sector. She continuously brings in innovative ideas as she tirelessly moves around ensuring that tourism is at its best anywhere in our island.

Ten Outstanding Women of the Nations (TOWNS) Awardee, Evelyn Abellera Magno is the first woman Rotary governor from Mindanao. Evelyn is the Chair of their family owned university in the city of Davao and as an educator, I personally had seen how she had touched the lives of many of her students, particularly those coming from the poorer communities. This woman is everywhere – from medical and dental missions, giving out assistance during disaster and calamities and to helping others find better opportunities in life.

Charita Puentespina, Sally Luenberger and Fanny Yuhico had transformed their love for orchids into a very lucrative business and in so doing had employed and also trained hundred of men and women to put up their own livelihood in flora and fauna.

Women are always trend-setters and we can easily spot them in the restaurants and food businesses in Davao City. I really admire the vision of Charito Lizada who set the trend in the “barbecue” business thirty (30) years ago. Following her footstep was her eldest daughter, Amylou Lizada Aarts who started the “ tapsilog” concept in the city and made it into a chain of eateries. The “lechon manok” was introduced to the city by another woman who seems to be always on the go and that is Lena Benedicto. The coffee shop business in the city was started by Larcy Gatchalian who made famous the “durian coffee” The businesses of these women were copied and imitated by many, but despite all the competitions they found fulfillment knowing that they had motivated many to follow the trend that they had set. At the end, what is important is that jobs were given to multitudes of people.

In the small town of Tandag, Surigao is where you will find Annie Ty, a businesswoman in construction and housing and who also happens to be the President of the Tandag Chamber of Commerce and the prime mover of the Red Cross. She plays a very important role in the development of investments and generation of jobs in such a far flung area.

Zamboanga del Norte is home to Rosa Lim who is the president of a rural bank and owns a sardines production plant and she plans to increase her production by 100% and export volume by 20% next year, thus giving more jobs to her workers, mostly women and their families. Lawyer and educator Marycel Engracia owns and operates a school in Zamboanga City and generously shares her expertise to many other technical schools in their region for them to improve their training delivery.

Mindanao’s top jeweler mother and daughter, Emilia and Eileen Sitjar established their own foundation that grants educational scholarships; likewise Emilia also is the head of the Divine Mercy Apostolate in Davao and has her hands full going around the different parishes doing works of mercy and propagating the devotion to the Divine Mercy.

These women had worked in partnership with many of the business organizations in Mindanao seeking ways and means to accelerate the economic momentum through the programs that they are implementing . Both Milalin Javellana of Philippine Australian Human Resource Development Facility (PAHRDF) and Myrna Lim of the Women in Education and Development of Cotabato City ensures that their development programs have a social component and responsibility to ease poverty in the area where they implement their projects in partnership with business groups.

There are many more of these kind of women who do business with a heart . They realize that more than making profits in their businesses; it is also their responsibility to nurture the community where they do their business.

These women are to be admired for their outmost creativity and their ability to make very quick decisions amidst an economic turmoil. Their capacity to survive is being constantly tested, more so when you do business in Mindanao. All of them will never allow anything to break their spirits and their will to succeed; and that is what makes Mindanao women different!


(Joji Ilagan Bian is a strong and respected advocate for the development of the region. She is Chair of Joji Ilagan Foundation ( www.jojiilagancareercenter.com) ; President , Phil. Call Centers Alliance and Mindanao Tech Voc Schools Association; Mindanao Rep, Export Development Council .Email comments jojibian2@yahoo.com)

Monday, March 09, 2009

WOMEN OF MINDANAO- GUARDIANS OF PEACE (1ST OF 2 Parts)

I recently attended the book launch of Joey Concepcion’s 55 inspiring stories of Women Entrepreneurs. I am very honored to be included in that book and I hope that our stories will motivate women to go into their own business. This is very timely because March is International Women’s Month.

It’s always great to see that women now are taking charge of their lives and successes. The saying “Behind every man’s success there is a woman” had now evolved to “Behind every success there is the woman”.

Mindanao women are active initiators and movers of peace and development in the island. Even as mothers who have to balance work and maintaining a harmonious family amidst an environment of sporadic conflict; these women have made their dent in Philippine history whether as politicians, pioneers, business persons or peace negotiators.

The Mindanao Commission on Women is composed of formidable and strong women exemplified by Chair Irene “Inday” Santiago, Co Chair, Margie Moran Floirendo and Comm. Patricia Sarenas . These women had consistently rallied for sustainable peace and had proven that women, most often, are better implementors and negotiators than men. They spearheaded movements on the ground such as the Peace Circles in barangays where each circle is composed of 12-25 women. These peace circles will provide avenues for sharing talents, blessings and works so that our communities may be places of healing and peace. Inday and the other Women Commissioners also initiated the LIGHT A CEASEFIRE CAMPAIGN and RETURN TO THE NEGOTIATING TABLE. Working together to guard our peace are other women groups such as the uslim Women Peace Advocates, indanao Young Women Leaders Forum and the Political Caucus of Women Leaders in Mindanao.
There is the first lady Mindanawan senator Santanina “Nina” Rasul, 75, who dreamt that Sulu would one day rise above the ashes left by the “burning of Jolo” in 1968, when military and the newly formed MNLF clashed. She surrounded herself in the world of ideas and books of her superintendent father to escape the bitter bangs of bullets around her. Many of the Tausugs had stopped schooling. But Rasul wanted learning for everyone so she taught the older people to write and read, later founding the Magbasa Kita (Let us Read) Foundation. In 1987, Cory Aquino urged her to run for Senator. As a politician, Rasul pushed for historic laws such as the Women in Nation-Building Act and women being allowed enrolment at the Philippine Military Academy (PMA).
One of the country’s Ten Outstanding Women in the Nation’s Service (TOWNS), Nurhaylah “Emily” Marohombsar, 70, who rose above the ranks of the largest island campus in the country , the Mindanao State University, to become its first lady president. Under her stint, Emily promoted MSU as a global university grounded on multi-culturalism. She then served her country by being the lone lady peace panel member in the GRP-MILF Peace Talks for government and the Constitutional Commission, created by government to study charter change.
Daughter of Senator Alauya Alonto and married to a pioneering revolutionary, Rashid Lucman of the Bangsamoro Liberation Organization (BMLO), the fiery Princess Tarhata Alonto-Lucman, now in her 80s, of Lanao is the first lady governor in Mindanao during the traumatic martial law period.
Amina Rasul, now in her 50s, was the first Chair of the National Youth Commission (NYC) in the 80s. Under her leadership, the NYC grew as an institution from a small agency with a budget pf P18 million to a highly regarded national policy oriented body with a budget of P140 million. After serving government, she is busily advancing a global view of Islam by promoting its democratic ideals, reaping recognition by being awarded MUSLIM DEMOCRAT OF THE YEAR by a Washington-based think-tank. She is editor of the Moro Times, the lone national news supplement on Muslims.
Civil society advocate Yasmin Busran-Lao, in her 40s, seeks gender justice for Muslim women by founding the lone institutional Muslim women NGO in the country, the Al-Mujadillah Development Foundation (AMDF) in Marawi City. For her work in uplifting the plight of the marginalized, she was recognized by the US Government by conferring on her the Ninoy Aquino Public Service Award.
These Mindanao Women are indeed a WOnderful MANifestation of God’s creation.

(Joji Ilagan Bian is a strong and respected advocate for the development of the region. She is Chair of Joji Ilagan Foundation ( www.jojiilagancareercenter.com) ; President , Phil. Call Centers Alliance and Mindanao Tech Voc Schools Association; Mindanao Rep, Export Development Council. Email comments jojibian2@yahoo.com)

Tuesday, January 27, 2009

THE MEDCO STORY

The Mindanao Economic Development Council (MEDCo) was established on 19 March 1992 through Executive Order No. 512 signed by then President Corazon C. Aquino. The aim is to promote and coordinate the active participation of all sectors to effect the socio-economic development of Mindanao through a holistic and integrated approach. The council was placed under the supervision of the Office of the Presidential Adviser on Peace Process.

It was also created to address the need to promote and strengthen interregional linkages, ensure the integrated viability of the programs and projects in Mindanao.

Medco was designated to work with the local government units, which will serve as frontline entities, to help realize the development of specific geographical areas.

The agency was likewise created to address the need to promote and strengthen interregional linkages to ensure the integrated viability of the programs and projects in Mindanao, with the local government units as frontline entities that will realize the development of specific geographical areas.

The Business Chambers of Commerce of Mindanao partnered with MEDCO in promoting investments and economic activities. I had also the opportunity to work closely with the first MEDCO Chair, Paul Dominguez and later on with Jess Dureza, who is now the legal Counsel of Malacanang in my economic advocacy work for Mindanao

The agency became a source of pride for Mindanawans. When ever I am invited to talk about investments and businesses; I would never fail to mention MEDCO and its role in enhancing trade and commerce; but more significantly is that it is only in Mindanao that you can find such a body whose mandate is to focus only in our islands’ economic development and poverty reduction.

On May 15, 2000, then President Joseph Estrada signed EO No. 244 mandating MEDCo to act as the official and permanent Philippine Coordinating Office (PCO) for Brunei Darussalam Indonesia the Philippines - East ASEAN Growth Area (BIMP-EAGA). It maintained the close ties among the members of BIMP-EAGA. And it did serve the purpose of its creation; the development of Mindanao.

President Gloria Macapagal-Arroyo signed EO 757 on 13 October 2008, placing MEDCo under the oversight of the National Economic Development Authority as it aims to be aggressive with a more focused approach for the continuing economic growth of Mindanao.

Today, NEDA will now have general supervision over the agency in formulation of continuing and integrated socio-economic development plans, policies and programs as well as the exercise and implementation of its regular functions.

The transfer of MEDCo to the oversight of NEDA resulted to different reactions from Mindanao. Many were surprised about it and questioned the motive behind the change of set-up. Business sector claims that MEDCo would be more effective and relevant if they would not be placed under NEDA. History would show that MEDCO really served Mindanao very well.

MEDCo on the other hand, had been very successful on handling gigantic tasks which is not limited to project development and management. It also was able to source fund not only for its agency but its projects. Their staff is known to reach even the smallest and most remote town in Mindanao. Close consultations with people from the different regions of the island had been MEDCO’ s strength.

Over the years MEDCo maintained its credibility to the foreign funding agencies mainly due to the integrity of its staff and the projects it had launched. MEDCo certainly knew how to walk their talk.

They had maintained a valuable database of statistics vital to making critical decisions for economic development. Its database became the only source of information to gauge Mindanao’s growth. Anything about Mindanao can be responded to by this agency.

It is very hard to compare the projects of NEDA and MEDCo. But as it seems MEDCo had far out-run NEDA for a mile. MEDCo became a clearing house for Mindanao projects for development. It is effective and efficient in representing the country in the BIMP-EAGA and in other international bodies.

Currently, a house bill is pushed proposing to create the convert MEDCo into Mindanao Economic Development Agency. The bill aims for the consistency and continuity of policy support. "Historically, there’s no consistency of policy support. The consequences of that are the loss of time, energy... and continuity in terms of programs and projects," USEC. Leyretana, the current MEDCO Chair said.


(Joji Ilagan Bian is a strong and respected advocate for the development of the region. She is Chair of Joji Ilagan Foundation ( www.jojiilagancareercenter.com) ; President , Phil. Call Centers Alliance and Mindanao Tech Voc Schools Association; Mindanao Rep, Export Development Council. Email comments jojibian2@yahoo.com)