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)
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The IUU policy of the EU has a good intention, to rid the supply tuna chain of illegal, undocumented and unregulated fish. Only those that undertake IUU fishing, those that fish in other countries illegally, those that operate in the high seas not registered with the RFMO and those that do not submit catch reports to BFAR.
Had the government been strict to impelement its rules, we will have no problem at all with this new policy. In fact, to those operating legally, this is a good time because their competitors (the illegal ones) will be eliminated for good.
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