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)
Wednesday, May 27, 2009
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)
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)
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