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today caraga Vol. XVIII, Issue 2 April - June 2015 A Publication of the Caraga Regional Development Council PAGE 20 2014 Regional Economic Situationer PAGE 30 Q1 2015 Regional Project Monitoring Report Caraga Regional Development Council to formulate regional research agenda PAGE 4

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Page 1: CARAGA TODAY APRIL-JUNE 2015

today caraga Vol. XVIII, Issue 2

April - June 2015

A Publication of the Caraga Regional Development Council

PAGE 20

2014 Regional

Economic Situationer

PAGE 30

Q1 2015 Regional

Project Monitoring

Report

Caraga Regional Development Council to formulate regional research agenda PAGE 4

Page 2: CARAGA TODAY APRIL-JUNE 2015

Published quarterly by the Caraga Regional Development Council with editorial office at the National Economic and Development Authority-Caraga, Nimfa Tiu Building I, JP Rosales Avenue, Butuan City.

For questions, comments, and suggestions email us at [email protected] or call (085) 341-4195.

caraga today Volume XVIII Issue 2 April-June 2015

PAGE 4 Caraga Regional

Development Council to formulate regional research agenda

PAGE 5

Caraga Regional Development Council endorses PhP87.39B proposed budgets for

fiscal year 2016

PAGE 6 Caraga Regional

Development Council holds teambuilding, leadership training

PAGE 7

DOST presents the road to Caraga’s development

PAGE 8

PhP128M irrigation projects of Jabonga,

Agusan del Norte gets Caraga Regional

Development Council nod

Caraga Regional

Development Council endorses procurement of

Rapidly Deployable Communications

Equipment

On this issue

FEATURE PAGE 10 On this issue, we feature the State of the Region Address of the Caraga Regional Development Council Chairperson Gov. Sol Matugas

CENTERFOLD The Race to Universal Coverage

HIGHLIGHTS PAGE 17 High Impact 5 PAGE 20 2014 Caraga Regional Economic Situationer PAGE 30 1st Quarter 2015 Regional Project Monitoring Report PAGE 32 How the local government units are rated: The 2015 Cities and Municipalities Competitiveness Index PAGE 34 What has been done: The ASEAN Economic Community Integration

PAGE 9 What is the Philippine

Rural Development Program

PAGE 36

DOST 12 invites public to its Halal Laboratory

Page 3: CARAGA TODAY APRIL-JUNE 2015

3 Vol. XVIII Issue 2

Editor-in-Chief Jazmin D. Berido

Writers Sherwin E. Verdun

Michelle P. Dela Calzada

Mirasol P. Montenegro

Shiela M. Bermoy

Ann B. Jaquilmac

Paris Raymond S. Gaballo

Ian G. Miculob

Design Editor Sherwin E. Verdun

Advisers RD Mylah Faye Aurora B. Cariño

ARD Roy B. Kantuna

Editor’s Note Jazmin D. Berido

On this issue, we highlight the

accomplishments of the

Caraga Region in 2014 in the

State of the Region Address

delivered by the Chairperson

of the Caraga Regional

Development Council (RDC)

Gov. Sol Matugas.

We report the projects

endorsed by the Caraga RDC

during the first quarter of

2015 as well as the proposed

budgets for fiscal year 2016 of

regional line agencies and

state universities and colleges.

This year, the Caraga

RDC will embark on an

important endeavor and that is

formulating the Caraga

Regional Research Agenda.

For the attainment of the

Millennium Development

Goals, we feature the

Universal Health Care High

Impact Five Strategy of the

DOH which consists of the

following: (1) Maternal care;

(2) Infant care; (3) Under five

vaccines and integrated

management of childhood

illnesses; (4) Diagnosis,

treatment, and peer

counseling for HIV-AIDS;

and (5) Profiling, mapping

and matching of recipients.

Further, at the centerfold

is the achievement of the

National Health Insurance

Program in the region for the

past twenty years.

This year is important for

all cities and municipalities

since they will be evaluated

for the 2015 Cities and

Municipalities Competitive

Index. We feature here the

Editorial Board

various indicators for rating

our local government units

primarily to encourage them

to participate and provide

guidance in gathering such

data.

Relatedly, we feature the

achievement of the ASEAN

Economic Community for

advocacy and continually

provide inspiration to

stakeholders in embracing this

direction.

As a regular input, we

feature the 2014 Caraga

Regional Economic

Situationer to provide

overview of the region‟s

economy to all stakeholders.

Finally, we feature the

projects monitored in the

region for the first quarter of

2015.

Page 4: CARAGA TODAY APRIL-JUNE 2015

The Caraga Regional Development

Council (RDC) will endeavor to

formulate a unified regional research

agenda to guide development efforts of

the region.

The Caraga RDC recognizes the crucial

role that research plays in the improvement

of plan formulation, investment

programming, budgeting, and monitoring

and evaluation in the region and in attaining

the goal of the region of becoming the

FAME (fishery, agro-forestry, mineral, eco-

tourism) Center of the country. Further, the

Caraga RDC recognizes the challenges that

will result from ASEAN integration that

may require research for

informed decision-

making.

The goal is to

generate knowledge

support needed to attain

Caraga Region‟s goal of

becoming the FAME

Center of the

Philippines.

The objectives of

the endeavor are: provide

a framework for

developing research

agenda; identify

knowledge gaps;

determine specific

research topics; identify

research institutions,

collaborators, and

4 caraga today

funding institutions.

The research agenda will be organized

as a framework of two broad streams as

follows: FAME research agenda (broad

research topics in fishery, agro-forestry,

mineral, eco-tourism); and support research

agenda (broad research topics that covers

the macro-economy, good governance,

human development, and peace and order).

To prepare the unified regional research

agenda, all regional line agencies (including

attached agencies and government owned

and controlled corporations), academe

(government and private higher education

institutions), local government units

(provincial and city), and research consortia

in the region will formulate their research

agenda. NEDA-Caraga, as Secretariat, will

then integrate all research agenda into a

publication available for consumption of all

stakeholders.

The research agenda will cover broad

scale research activities in the following

areas:

Assessment of problems

Assessment of causes

Evaluation of solutions (programs)

Program or project review

Policy Review

The research problems that will be

identified must correspond to the goals of

the RDP; can be addressed through

government intervention; should be suitable

for empirical analysis; and analysis should

lead to potential policy initiatives.

by Sherwin E. Verdun, NEDA-Caraga

Caraga Regional Development Council to formulate regional research agenda

The research process

The strength of the research agenda is attributed to the academe’s optimism; the local government units’ creativity, the research consortia’s determination, and the regional line agencies’ vigor.

Page 5: CARAGA TODAY APRIL-JUNE 2015

5 Vol. XVIII Issue 2

The Caraga Regional Development

Council (RDC) endorsed PhP87.39

billion proposed budgets for fiscal year

2016, Thursday, March 26, 2015 during

its 82nd Full Council Meeting at LJ

Mega Convention Hall, Butuan City.

The said budget represents the 2016

proposed budgets of regional line

agencies and state colleges and

universities of the region.

The endorsement came after a rigorous

process of consultations with different

stakeholders including civil society

organizations.

About 58.8% of the total endorsed

budget came from the Infrastructure Sector

amounting to PhP51.40 billion, of which

PhP47.14 billion is proposed by the

Department of Public Works and

Highways (DPWH).

The Social Sector has a proposed

budget of PhP29.36 billion with the

Department of Education (DepEd) posting

the highest proposed budget of PhP19.43

billion.

Meanwhile, the Economic Sector has a

proposed budget of PhP5.04 billion; while

the Development Administration Sector

has a budget of PhP1.59 billion.

Besides deliberations in the four

sectoral committees, the Caraga RDC has

conducted a Budget Forum and a Budget

Consultation with Civil Society

Organizations (CSOs) and the Private

Sector on March 3 and 6, 2015,

respectively.

Caraga Regional Development Council endorses PhP87.39B proposed budgets for fiscal year 2016 by Sherwin E. Verdun, NEDA-Caraga

Page 6: CARAGA TODAY APRIL-JUNE 2015

6 caraga today

The Caraga Regional Development

Council (RDC) in coordination with the

Province of Surigao Del Norte conducted

a teambuilding cum leadership training

last April 6-7, 2015 at Parklane Hotel,

Cebu City.

Caraga RDC Chairperson Gov. Sol

Matugas led the activity along with the 22

members of the RDC. Also present were

the department heads of Surigao Del Norte

and the RDC Secretariat.

The activity was aimed at further

strengthening the leadership capacities of

the Caraga RDC members as well as

fostering camaraderie between and among

the members. Further, it also served as an

avenue to learn from the good practices of

other local government units particularly,

Cebu City.

“The activity provides an opportunity

to enjoy the success journey towards

unlimited possibilities of unlocking new

ideas that would lead to knowledge

breakthroughs and insights related to the

burning issues of today that are seriously

affecting our day to day lives,” said

Governor Matugas during her inspirational

message. She also shared John Maxwell‟s

principles for personal growth encouraging

the members to reflect on these to become

better key players in the region.

Mr. Mennen Aracid, a managing

consultant of the Center for Leadership and

Change, Inc. was the resource person. He

shared insights on leadership styles,

sensory preferences, handling perceptions

and mindsets, values and personality

theories through lectures and workshops.

Mayor Michael Rama and Vice Mayor

Edgardo Labella graciously hosted a dinner

for the members of the Caraga RDC.

As coordinated by the office of Mayor

Rama, the members visited areas in Cebu

City where good practices on governance,

industry and tourism development are

showcased.

Caraga Regional Development Council holds teambuilding, leadership training by Ann B. Jaquilmac, NEDA-Caraga

Page 7: CARAGA TODAY APRIL-JUNE 2015

7 Vol. XVIII Issue 2

Science Nation: Agham na Ramdam.

The theme is coined by the Department of

Science and Technology (DOST) to highlight

the advancement of science and technology as

one of the important catalysts of inclusive

growth and development for the entire

country.

DOST together with the Caraga Regional

Development Council spearheaded the

Science and Technology Forum in Butuan

City on May 27, 2015. The forum was

attended by RDC members, the academe,

regional agencies, and private sector of

Caraga.

“This is the first Science and Technology

Forum in this region,” declared RDC

Chairperson and Surigao del Norte Gov. Sol

Matugas. Thus, Caraga Region is grateful for

the visit of DOST Sec. Mario Montejo.

Montejo delivered his keynote address

emphasizing how science and technology

could help alleviate poverty. “It is the build-

up of our know-how and developing our

capabilities to come up with innovative

solution that directly address the concerns and

problems of the community…There are many

presentations in this forum and all of them

will showcase how science and technology

can contribute to inclusive growth,” he said.

Several DOST key projects and programs

were highlighted to promote knowledge and

awareness to the public about their critical

role in Caraga‟s pursuit of inclusive and

sustainable development. Dr. Andrei Coronel

of Ateneo de Manila University showed the

usefulness of the eHealth TABLET

(Technology-Assisted Boards for LGU

Efficiency and Transparency) for Informed

Decision-making of local government units

(LGU) or eHATID for LGU, a tablet-based

electronic medical record system. Aside from

managing medical records, the eHATID

serves as decision-making tool for local

government units by allowing them to access

summarized medical data and identify their

community‟s medical situations.

Dr. Rowena Varela of Caraga State

University presented the Responsible Mining

Program in Mindanao, a research and

development initiative aimed at assessing the

mining industry and providing policy options

to ensure responsible mining. CSU Project

Leaders Engr. Meriam Santillan and Engr.

Michelle Japitana presented Phil-LiDAR

Project- Flood Modelling and Resource

Mapping.

Caraga State University is one of the few

SUCs across the country that implements

Light Detection and Ranging (LiDAR)

Programs, which means another technological

edge for Caraga.

Further, the region‟s science and

technology sector is made more innovative as

DOST launches the Eastern Mindanao

Industry, Energy, and Emerging Technologies

Research Alliance for Development

(EMIEERALD). EMIEERALD is a

partnership among regional line agencies,

academe, and private institutions in the region

which aims to provide solutions to issues and

development challenges through research and

development activities relating to industry,

energy, and emerging technologies.

The event further strengthened

partnerships and commitment among

stakeholders, specifically the Caraga Food

Safety Team Members during Commitment

Signing and the Governors and Mayors

during MOA Signing for the installation of

Early Warning Devices.

DOST presents the road to Caraga’s development by Shiela M. Bermoy , NEDA-Caraga

Page 8: CARAGA TODAY APRIL-JUNE 2015

8 caraga today

Two irrigation projects amounting to

PhP128 million in Jabonga, Agusan del

Norte were endorsed by the Caraga

Regional Development Council (RDC)

through RDC Resolution No. 11, series

of 2015 last March 26, 2015.

The Puyo Small River Irrigation

Project will irrigate 380 hectares costing

PhP120 million while the Cuyago Small

River Irrigation Project will irrigate 30

hectares and costs PhP8 million.

These irrigation projects are expected

to stimulate the agriculture sector of

Agusan del Norte by expanding the

existing irrigated area for agricultural

production.

The projects are consistent with the

goals and objectives of the Caraga

Regional Development Plan 2013-2016 to

improve rice productivity and ensure food

security in the region.

The Provincial Development Council

of Agusan del Norte through Resolution

No. 1, series of 2015 endorsed the above-

mentioned projects to the Caraga RDC-

Infrastructure Development Committee

(IDC). Likewise, the Caraga RDC-IDC

endorsed the projects to the Caraga RDC

through Caraga RDC-IDC Resolution No.

7, series of 2015 during its first quarter

meeting on March 19, 2015.

PhP128M irrigation projects of Jabonga, Agusan del Norte gets Caraga Regional Development Council nod

by Sherwin E. Verdun, NEDA-Caraga

In recent years, Caraga experienced

several disasters that resulted in deaths

and destruction of properties.

The timely sharing of information has

been identified to minimize or lessen the

adverse impact of calamities. However, the

immediate reestablishment of a fast and

reliable communications network during

disasters is a challenge.

The National Telecommunications

Commission-Caraga has identified the

establishment of a Rapidly Deployable

Communications Equipment as crucial in

providing vital information to decision-

makers, emergency service responders and

other stakeholders especially in the

aftermath of disasters.

On March 26, 2015, the Caraga

Regional Development Council endorsed

the procurement of Rapidly Deployable

Communications Equipment through

Resolution No. 12, series 2015.

The Rapidly Deployable

Communications Equipment includes

various radio communications equipment

and accessories amounting to PhP2 million.

The project aims to provide an

immediate, 24/7 reliable, stand-alone, all-

weather communications network that will

link ground zero to the rest of the world;

and to assist various emergency responders

during emergencies.

A project monitoring team will be

created to ensure the successful project

implementation.

Caraga Regional Development Council endorses procurement of Rapidly Deployable Communications Equipment

by Sherwin E. Verdun, NEDA-Caraga

Page 9: CARAGA TODAY APRIL-JUNE 2015

9 Vol. XVIII Issue 2

The Philippine Rural Development

Program (PRDP) is a six-year program

(2013-2018) designed to establish the

government platform for a modern, climate

-smart, and market-oriented agri-fishery

sector. It focuses on expanding market

access and improving competitiveness

while introducing reforms in the internal

operations of the Department of

Agriculture.

The program contributes to inclusive

growth by unleashing the economic

potential of rural producers by investing in

targeted, climate resilient agri-fishery

infrastructure and by upgrading value to

agri-based enterprises identified in ground-

validated Provincial Commodity

Investment Plans linked to national

commodity road maps.

The program‟s development objectives

include the following:

1. at least 5% increase in annual real

household incomes of farmer

beneficiaries;

2. 7% increase in value of annual

marketed output; and

3. 20% increase in number of farmers and

fishers with improved access to DA

services.

Moreover, the PRDP is designed to

complement the programs of other national

agencies, notably:

1. DAR – by seeking the participation of

agrarian reform communities in

identified priority commodity value

chains and by ensuring

complementation in the bridge program

using the DA‟s geotagging tool that

maps various rural infrastructure

facilities;

2. DPWH – by tapping its technical

assistance and by complementing its

national road network;

3. DSWD – by providing agri-fishery

enterprise opportunities for farm

families and landless rural poor

graduating from the conditional cash

transfer program; and

4. DTI – by tying up with its OTOP (one

town, one product) program in the

localities and by accessing its

enterprise training packages and value

chain studies.

The program has the following

components:

1. Investments in Agriculture and

Fisheries Modernization Program

Planning at the Local and National

Levels;

2. Intensified Building up of

Infrastructure and Logistics for

Development (I-BUILD);

3. Investments in Rural Enterprises and

Agriculture and Fisheries Productivity

(I-REAP), and

4. Implementation Support to PRDP (I-

SUPPORT).

PRDP has a total cost of PhP 27.5

billion, of which 92% is designed to deliver

goods and services directly to the people

through I-BUILD and I-REAP. It is funded

by the World Bank (75%), National

Government (13%), local government units

(11%) and a grant from Global

Environment Facility (1%).

PRDP employs geo-tagging and geo-

mapping to enhance transparency and

supervision of development projects. The

said tools are used for strategic planning

for agricultural development intervention,

informing project implementation,

effectively communicating gaps and

overlaps and engaging beneficiaries for

citizen‟s feedback.

Likewise, it employs vulnerability and

suitability analysis in ranking of

municipalities for PRDP prioritization

while mapping and spatial analysis is used

to inform and target PRDP project

allocations and funds.

What is the Philippine Rural Development Program by Sherwin E. Verdun, NEDA-Caraga

Page 10: CARAGA TODAY APRIL-JUNE 2015

10 caraga today

State of the Region Address by Gov. Sol Matugas, Caraga Regional Development Council Chairperson

Trade, Industry and Services

The Service sector contributed most to the

region‟s economic growth in 2013 with 3.3

percentage points, while the Industry sector

chipped in 2.9 percentage points. Industry

decelerated from 18.2% in 2012 to 8.5% in

2013. Mining and Quarrying, the largest

contributor of the region‟s economy, slowed

down from 20.5% in 2012 to 8.8% in 2013

due to the decrease in the value of metallic

mineral products caused by a decline in the

world market prices.

Mineral exports were valued at PhP29.84

billion in 2013, which represents a 9.98%

decline from 2012 figure. The Mines and

Geosciences Bureau (MGB) XIII recorded

618 shipments reflecting a 1.64% growth

from 2012 shipment.

Mining and quarrying generated

PhP596.88 million in excise tax and PhP1.2

billion in royalties. Both excise tax and

royalty tax decreased by 10% and 11%,

respectively compared to the previous year‟s

figures because of the decline of the gross

value of metals exported.

Macroeconomy The region exhibited strong economic

performance for the last four years because

of our unwavering commitment and

concerted efforts. Caraga‟s Gross Regional

Domestic Product (GRDP) continues to be

one of the top five fastest growing economies

in the country for four successive years.

In 2013, Caraga‟s economy amounted to

PhP83.55 billion posting a growth of 7.8% –

the 4th fastest growing region for the said

year. It is higher than the country‟s GDP

growth of only 7.2%. In 2012, the region

grew by 10.7%, which was the second

highest among all regions for that particular

year. For two consecutive years, the region‟s

growth performance was higher than the

neighboring regions of Regions X and XI.

The Service sector constituted the biggest

share in the region‟s economy at 44.8% in

2013. It was followed by the Industry sector,

which accounted for 34.4%, while

Agriculture, Hunting, Fishery, and Forestry

(AHHF) contributed 20.8%.

Twenty years ago, Republic Act 7901 created the Caraga

Region. Since then, various developments have taken place that

changed the region’s social, economic, and even political

landscapes. Today, as we celebrate its 20 years of founding, we

ask ourselves what have we attained and what have we become

as a region that deserves celebration? As your RDC

Chairperson, it is my privilege and duty to apprise you on the

region’s performance in the past year.

Page 11: CARAGA TODAY APRIL-JUNE 2015

11 Vol. XVIII Issue 2

One notable accomplishment in the

mining sector is the start of the full

production of mixed sulfides of the Taganito

High Pressure Acid Leaching (THPAL)

Nickel Corporation Mineral Processing Plant

(MPP) in Claver, Surigao del Norte in

October 2013. The plant produced 8,000 MT

of mixed sulfides, with a total gross value of

US$48,025,628.28 equivalent to PhP

2,092,324,065.04.

In 2013, the Department of Trade and

Industry (DTI) XIII recorded total domestic

sales of PhP 458.86 million, which is 8.25%

or PhP41.26 million lower than the 2012

sales of PhP500.12 million.

DTI also recorded 6,095 new business

names registered in 2013. This represents an

increase of 5.67% or 327 new business

registrations from 2012. Agusan del Norte

contributed the biggest share of 40.25%,

followed by Surigao del Norte with 26.33%.

Based on the 2014 Cities and

Municipalities Competitiveness Index,

among the 136 cities and 399 municipalities,

2 cities and 3 municipalities in Caraga

figured in the top 50. Butuan City ranks 16th

overall while seven Caraga municipalities are

among the top 25% of the 399 municipalities

covered in the index and 15 municipalities

are in the top 50%.

Tourism has sustained its growth with

861,767 tourist arrivals in 2013 or an

increase of 15.73% compared to the 2012

tourist arrivals. Among the provinces,

Surigao del Norte recorded the most number

of tourists.

Agriculture, Fishery and Forestry

The overall performance of our agriculture

sector showed a slight drop in its output

because of the decrease in the production of

the livestock and fishery sub-sectors. On the

other hand, forestry sub-sector performed

better in 2013 by the increase in private

land‟s timber production.

From a 4.13% growth in 2012, the

growth was slower the following year,

registering only a meager 3.48% increase.

The crops subsector, which contributed the

bulk of the region‟s agriculture production,

grew only by 3.99%. The growth figure was

lower than the 4.82% registered in 2012. On

the other hand, livestock, which already had

a dismal performance in the previous year,

continued to contract by 1.38%. Among the

subsectors, fisheries had the biggest drop at

6.11% although it only had about 1% share

to the production for the year. The poultry

subsector had an impressive performance. It

offset its negative growth of 7% in 2012 with

a 20.85% expansion the following year.

Total agricultural production was

estimated at about 1.976 million metric tons,

which is higher by 3.48% from the previous

year‟s production. In terms of value, the

production was pegged at about PhP31.461

billion pesos at current price. This is 5.21%

higher than the 2012 gross value of

PhP29.903 billion.

The Department of Agriculture reported

that Caraga Region is already self-sufficient

for rice. It is attributed to the production of

Page 12: CARAGA TODAY APRIL-JUNE 2015

12 caraga today

Agusan del Sur with 305,171 metric tons

which is equivalent to 52.7% of the total

palay production of Caraga.

Overall, crops posted an increase of

7.87% in terms of production value. In 2013,

the gross value was about PhP18.211 billion,

which is way better than the gross value of

PhP16.882 billion in 2012. Cereals‟ gross

value posted an increase of 27.71% because

of the combined strong growth of palay and

corn at 28.65% and 21.40%, respectively.

The performance of the fisheries

subsector continue to decline in 2013.

Volume of production contracted by 6.11%,

which is equivalent to a drop of 5,725.81

metric tons. Municipal fisheries posted the

highest decrease of 7.21% followed by

aquaculture. Commercial fisheries had a

slight drop of 0.65%. One of the factors

affecting fishery productivity was the

occurrence of typhoons/tropical cyclones in

2013 that reduced the number of fishing days

in the region‟s fishing grounds. The decline

in the seaweeds production was affected by

the „ice-ice‟ disease notably in Surigao del

Sur, which is the biggest aquaculture

contributor.

In terms of value, fisheries subsector

showed an increase of 2.26% based on the

data of the Philippine Statistical Authority. In

2012, gross value of fisheries production was

at PhP5.393 billion and grew to PhP5.515

billion in 2013. Aquaculture proved to be the

driver of growth for this sector with its

11.78% climb in 2013, the highest among the

three subsectors. In 2013, several Bottom-Up

Budgeting Projects in fisheries amounting to

PhP39.467 million were implemented.

Log production‟s growth rebounded in

2013. From its 37.19% drop in 2012, it

recorded an increase of 112.81%. On a three-

year period, the region produced an average

of 431.704 million metric tons of logs. The

growth in 2013 was due to the Private Tree

Plantation Ownership Certificates (PTPOC)

production, which increased by 115.04% or

306,306.34 m3. The PTPOC accounted for

98.06% of the 2013 total log production.

Access, Logistic and Other Infrastructure

Services Through the years, we have continuously

improved our road networks. The region‟s

national road network is 80% concrete in

surfacing or 1,183.55 km out of the total

length of 1,477.925. Among all provinces in

the region, the Province of Dinagat Islands

has only 26% of paved national road and will

require a total investment of PhP991 million

to be implemented until 2016 on road

concreting and construction of 17 bridges.

Meanwhile, the proportion of paved

roads in the Province of Agusan del Sur

stands only at 69%, which is the lowest in

mainland Caraga. DPWH commits that a

total of PhP 6.89 Billion will be invested in

Agusan del Sur until 2016 for road

preventive maintenance, concreting of east-

west lateral roads, circumferential road, and

roads leading to major tourist destinations.

Of the 790.56 kilometers national arterial

roads, only 26.29 km. remains unpaved.

Page 13: CARAGA TODAY APRIL-JUNE 2015

13 Vol. XVIII Issue 2

DPWH implemented a number of multi-

million national arterial road projects

improving the percentage of paved arterial

road from 93.71% in 2012 to 97% in 2013.

The national secondary road development

stands at 61% – an impressive

accomplishment when compared to the

51.70% secondary road development in

2012.

With regards to improving our

connectivity and accessibility through air,

our three operating airports, had a total

number of 6,484 flights in 2013. Total

incoming passengers reached 322,371,

signifying an increase of 1.93%. Total

outgoing passengers reached 333,781

indicating an increase of 4.49% from last

year‟s 319,441 passengers. Butuan airport

became the preferred airport of passengers

from some areas of Misamis Oriental due to

the relocation of the Cagayan airport to

Laguindingan, Misamis Oriental.

Good Governance

How did we fare when it comes to regional

development finance?

The Region targeted a 10% annual increase

in the collection of different types of taxes

for 2013 until 2016. Data from the Bureau of

Internal Revenue (BIR) XIII for the period

2012-2013 shows that among the types of

taxes, only value-added tax and other taxes

achieved the Region‟s target of 10% annual

increase. The percentage tax also performed

above the target but only by 2.43%. While

the aggregate collection for the Region in

2013 surpassed the collection in 2012, the

increase did not reach the Region‟s target

with an increase of only 5.35%. There is also

a large decline in the collection of excise tax

at (83.33%). This is because many of the big

taxpayers within the region‟s coverage were

transferred to the jurisdiction of the Large

Taxpayer Service hence their tax payments

were credited to the said service.

Our local government units remained to

be dependent on the Internal Revenue

Allotment (IRA). Among the provinces and

cities in the Region, Butuan City has the

lowest IRA dependency with 67% followed

by Surigao City with 74%. The most IRA

dependent among the provinces are Surigao

del Sur and Dinagat Islands, while among the

cities, it is Bayugan City with 93%.

The Region‟s annual growth target for

Real Property Tax (RPT) is 10% for the next

three years. Among the cities, Bislig City and

Cabadbaran City surpassed the target with

66.67% and 13.04% increases in collection,

respectively. It should be noted that all the

cities posted increases in their RPT collection

from 2012-2013. Among the Provinces,

Agusan del Norte and Agusan del Sur had

the biggest increases in RPT collection with

46.15% and 47.38%, respectively.

Moreover, the LGUs have been effective

in collecting business tax as the region

significantly surpassed the annual increase of

10% in 2013.

It also noteworthy that the provinces and

cities spending on health, nutrition and

population management is above the regional

target of 5% – 15% except for Tandag City

and Province of Dinagat Islands.

Page 14: CARAGA TODAY APRIL-JUNE 2015

14 caraga today

Peace and Order

Caraga‟s peace and order situation remains

relatively stable, contributing to the

achievement of high economic growth in the

region for the past years.

From 2012 to 2013, while the crime

volume surged at a rate of 103.74% it is only

due to better recording of the PNP, with the

inclusion of women and children protection

cases, traffic accidents and barangay cases

which were previously not included in the

crime volume count.

As a banner program to strengthen peace

building and development in conflict-

affected areas, the Payapa at Masaganang

Pamayanan (PAMANA) was implemented.

In 2013, PhP223.30 million worth of

PAMANA projects were implemented. This

is 41.33% more than the previous year‟s. Of

the PAMANA projects implemented in 2013,

99.87% or PhP223 million were allocated for

the construction and rehabilitation of farm-to

-market roads.

The entry of the German International

Cooperation (GIZ) in the region with the

implementation of the Conflict Sensitive

Resource and Asset Management

(COSERAM) is a significant development.

COSERAM aims at reducing the number of

violent conflicts over land/land use. The

program is indeed successful, as resource-

based violent conflicts in Butuan City and

Agusan Del Norte were reduced by 41%.

Further, there was also a 60% reduction of

violent conflicts involving Ancestral Domain

Titling in Agusan del Sur and Surigao del

Sur.

Millennium Development Goals

The attainment of the Millennium

Development Goals (MDGs) is a priority of

the region. We have made progress in our

commitment to eradicate extreme poverty as

the region‟s economic growth rate was

accompanied by a massive reduction of

poverty incidence in the region. Based on the

latest poverty statistics as of year 2012,

Caraga is no longer the poorest region in the

country. It has improved by six notches and

now ranks 11th out of 17 regions in terms of

poverty incidence. It is among the least poor

regions in Mindanao, along with Region XI.

Caraga Region dramatically reduced its

poverty incidence among families from

46.0% in 2009 to 31.9% in 2012. Likewise,

its poverty incidence among population

reduced from 54.4% in 2009 to 40.3% in

2012.

However, despite this remarkable

progress, the probability of achieving our

target of halving extreme poverty is very

low. Nevertheless, we can applaud ourselves

as we have exceeded our target of reducing

malnutrition among 0-5 years old children.

In terms of achieving universal primary

education, we have high probability of

attaining a 100% elementary participation

rate. However, the challenge is how to keep

children in school. As our elementary cohort

survival rate stood at 71.99% in 2013, there

is a medium probability of attaining our

Page 15: CARAGA TODAY APRIL-JUNE 2015

15 Vol. XVIII Issue 2

target.

Our performance in terms of reducing

child mortality is commendable. We are

positive that we will attain our under-five

mortality rate and infant mortality rate targets

as 2013 figures stood at 7 and 4.76 per 1,000

livebirths, respectively. On the other hand,

we need to double or even triple our efforts

in curbing maternal deaths, as maternal

mortality ratio in the region remains high at

1.35 per 1,000 livebirths. Making

contraceptives more accessible and

acceptable is also a challenge, as our

contraceptive prevalence rate only stood at

56.14%.

In terms of halting the incidence of

malaria and other diseases, our malaria and

TB morbidity rates have been dramatically

reduced, thus attaining our targets would be

easy. However, the rising incidence of HIV/

AIDs is a cause for alarm. As of 2013, DOH

has reported that there are 31 HIV cases in

the region with Butuan City registering the

most number of cases.

In terms of providing basic amenities, we

have already attained our target relative to

making safe drinking water accessible.

Environment and Sustainable

Development

Our efforts to ensure sustainable

development continues. Parallel to the

issuance of EO 23 series of 2010, declaring a

moratorium in the harvesting of natural

grown forest, the President issued EO No. 26

institutionalizing the National Greening

Program (NGP). From 2012 to 2013, a total

of 28,091 hectares were planted through

NGP. The region performed well in the

implementation of the said program in 2013

by exceeding its target by 43.87%.

Exemplary performances were noted in

Agusan del Sur, Agusan del Norte and

Surigao del Norte.

The declaration of Taguibo River as

Water Quality Management Area is a

milestone in our watershed management

efforts. We have established a critical habitat

for the conservation of the Philippine Eagle

in Surigao Del Sur. We also invested on

strengthening local capacities and promoting

sustainable management of natural resources

through:

Updating of CLUPs by mainstreaming

biodiversity concerns through the

Biodiversity Partnership Project (BPP);

Piloting of Caimpugan Peat in San

Francisco, Agusan del Sur under the

ASEAN Peatland Forest Project; and

Institutionalization of conflict

transformation through the Conflict

Sensitive Resource and Asset

Management (COSERAM) Program

funded by GIZ.

To comply with Republic Act No. 9003

or the “Ecological Solid Waste Management

(ESWM) Act of 2000,” waste segregation

has already started in the region with a waste

diversion rate of 35% in 2013. While this is

low considering that the ESWM Act was

enacted 13 years ago, it increased

significantly by 10 percentage points from

Page 16: CARAGA TODAY APRIL-JUNE 2015

16 caraga today

the 2012 figure of 25%. A number of LGUs

have been recognized for their ESWM best

practices including the municipalities of

Esperaza, Veruela and Trento in Agusan del

Sur; Hinatuan and Carrascal in Surigao del

Sur; Las Nieves in Agusan del Norte; and

Socorro in Surigao del Norte.

Given the region‟s exposure to different

types of hazards, we have implemented

initiatives to ensure the resiliency and

adaptability of the region‟s population

against disasters. The Regional Disaster Risk

Reduction and Management Council

(DRRM) launched on February 28, 2013 the

Caraga Regional Disaster Risk Reduction

and Management (DRRM) Plan 2013-2017.

In partnership with different stakeholders, the

RDRRMC approved the Regional Alert

Level System; facilitated the updating of the

Regional Contingency/Cluster Plan;

conducted drills and simulation exercise at

the local level; and facilitated the

formulation/updating of local DRRM plans

of some municipalities in Agusan del Norte,

Agusan del Sur and Province of Dinagat

Islands.

Our Path Forward

We achieved these milestones because we

toiled hard, we worked together, and we

were one. We conquered because we are

committed to our vision of One Caraga: One

Vision, One Mission. And I thank all of you,

public servants and servant leaders of

Caraga, for your hard work, passion and

dedication to bring Caraga to greater heights.

While the region has performed well, we

should not be contented. There is still much

to do for us to attain our goal of making the

region the Fishery Agri-forestry, Mineral and

Ecotourism (FAME) Center of the country

and in making development inclusive.

Thus, the Caraga RDC affirms its

commitment to bring a rapid and sustained

growth that benefits everyone. We stand by

our commitment to bring forth inclusive

growth. We shall continue to create

productive employment, increase our human

capital, curb poverty and ensure sustainable

development.

Our priorities and strategies to attain

these commitments have been laid out in the

Revised Caraga Regional Development Plan

2013-2016. As your RDC Chairperson, I

assure you of my unfaltering commitment to

implement the RDP, our roadmap for

development. We will implement the

programs and projects laid out in the RDIP

and deliver results.

Let us bear in mind that we are entrusted

with the mandate and responsibility of

bringing into fruition a development that is

high and sustainable, generates mass

employment that draws the majority of our

people into the economic and social

mainstream and facilitates the reduction of

poverty. To us servant leaders of this region,

let us make Caraga‟s development agenda

our personal mission and commitment.

Together let us rise up to the challenge of

surpassing our current gains and paving the

way for a greater Caraga Region.

Page 17: CARAGA TODAY APRIL-JUNE 2015

17 Vol. XVIII Issue 2

Page 18: CARAGA TODAY APRIL-JUNE 2015

2004 Pres. Gloria Macapagal-

Arroyo signed RA 9241

(amending RA 7875) on

February 10

2002 Institutionalized the Non-

Paying Program (NPM) on

February 14

2000 Introduced the Out-Patient

Benefit Package (OPB) for

indigent families enrolled

under the regular

sponsored program and the

first outpatient diagnostic

package in Laguna and

Provider Capitation

Scheme on July 19

1998 Turned-over the Medicare

Programs to PhilHealth

from SSS on April 16

The Race to Universal Coverage

1995 Pres. Fidel V. Ramos

signed RA 7875 on

February 14

1997 Implemented the Indigent

Program on October 1

Turned-over the Medicare

Programs to PhilHealth

from GSIS on October 1

1999 Established the unified

benefits for all on

December 1

Established the first

Regional Health Insurance

Office in Iloilo City

signaling the start of

decentralization of

frontline services to the

locals on March 8

Implemented the

Individually Paying

Program on October 1

2001 Opened the PhilHealth

Member‟s Assistance

Center (PMAC) on July 2

Vision Bawat Pilipino, Miyembro

Bawat Miyembro, Protektado Kalusugan Natin, Segurado

946,358 members

1,616,511 dependents

2,644,590 beneficiaries

96% coverage

RA 7875 February 14, 1995

RA 9241 February 10, 2004

RA 10606 October 6, 2014

The National Health Insurance Program was created and the Philippine Health Insurance Corporation was

established through RA 7875 on February 14, 1995 and amended by RA 9241 on February 10, 2004 and RA

10606 on October 6, 2014 to provide health insurance coverage and ensure affordable, acceptable, available,

and accessible health care services for all Filipinos.

PhilHealth-Caraga has achieved the following in 2014:

Page 19: CARAGA TODAY APRIL-JUNE 2015

2012 Launched the race to

Universal Health Care on

February 15

Covered DSWD‟s 4Ps

beneficiaries on

November 6

PhilHealth introduced

MOVES, CARES,

SHINES, Expo Express

on August 28

2014 Launched the Alaga Ka on

March 25

2010 Introduction of the HIV

Package October 1

2008 Introduction of the Malaria

Package on December 1

2004 Pres. Gloria Macapagal-

Arroyo signed RA 9241

(amending RA 7875) on

February 10

2006 Expansion of Maternity

Care Package for 3rd NSD

on October 1

Newborn Care Package on

December 1

2005 Turned-over the Medicare

Programs to PhilHealth

from OWWA on March 1

2011 Implemented the 23 case

rates and the No Balance

Billing (NBB) on

September 1

2013 Launch the first

Nationwide Simultaneous

Run on February 17

Pres. Benigno S. Aquino

III signed RA 10606

(further amending RA

7875) on June 19

Launched the all case rates

and Z morph on October

31

Introduced the Point of

Care Enrollment Program

(POC) on November 29

Enrolled 14.7 million

indigent families

Vision Bawat Pilipino, Miyembro

Bawat Miyembro, Protektado Kalusugan Natin, Segurado

Page 20: CARAGA TODAY APRIL-JUNE 2015

production declined by

1.60% due to insufficient

rain water and lesser area

planted. Increased timber

production by private

plantation contributed

significantly to the 17.99%

growth of log production.

On the other hand, livestock

declined by 1.86%; while

poultry and poultry products

increased by 14.05%and

72.25% respectively. Fish

sub-sector posed a 33%

decrease.

On trade, regional

domestic sales improved by

33.35% in 2014 with a value

of PhP611.86 million. New

business also increased by

6.19%.

Mining and quarrying

continue to be the main

source of export posting an

increase of 166.20% or

PhP79.44 billion. Gold

bullion reached a total

volume of 87,920.97 oz.

representing a 30.64%

increase from 2013‟s figure.

On the other hand, silver

production contracted by

58.10%. MGB noted a

22.82% increase in

shipment. Mining activities

remitted PhP1.59 billion

The Bangko Sentral ng

Pilipinas (BSP) noted the

continuing growth of

Butuan City. BSP

recognizes the growing

business establishments,

new malls, real-estate

companies and the

construction of many

subdivisions all over the city

and other parts of the

region.

Inflation rate is at

5.31%. Food and non-

alcoholic beverages

exhibited the biggest price

increases followed by

housing, water, electricity,

gas and other fuels.

Labor force increased by

1.47% while labor force

participation contracted by

1.02% in 2014.

Employment rate grew by

0.27%. Subsequently

unemployment decreased by

4.12%. Underemployment

rate declined by 6.82%.

In terms of outputs,

agriculture, forestry and

fishery productions

presented varied trends.

Corn, fruit and vegetable

productions increased by

16.68%, 14.77%and 3.34%

respectively; while palay

20 caraga today

2014 Caraga Regional Economic Situationer

excise tax and PhP 2.70

billion royalties. Foreign

export throughput grew by

9.29%for a total of

36,575,040.92 MT.

Moreover, manufactured

forest products dropped by

36.28%.

On services, both total

assets and total operating

income of the region

declined by 6.58% and

54.93%, respectively.

Nevertheless, tourist arrivals

increased by 41.66% for a

total of 2,440,635. Total

flights also posed an upturn

of 7.68% for a total of

6,982.

The considerable

increase in crimes

committed in Butuan City

and Agusan del Sur

contributed to the increased

crime incidence in the

region by 24.50%. Both

index and non-index crimes

were recorded highest in

Butuan City and observed to

be most rampant during the

1st quarter of 2014. Crime

clearance and crime solution

presented lower efficiencies

as well.

Overview of the Economy

Key Labor Statistics, Caraga, 2013-2014

2013 2014 Labor Force Participation Rate 66.50 65.83 Employment Rate 93.93 94.18 Unemployment Rate 6.08 5.83 Underemployment Rate 27.13 25.28

Source: PSA-NSO

Page 21: CARAGA TODAY APRIL-JUNE 2015

21 Vol. XVIII Issue 2

Page 22: CARAGA TODAY APRIL-JUNE 2015

provinces in 2014.

With the constant spike in

the prices of basic

commodities and services in

2014, the purchasing power

of peso (PPP) in all provinces

of Caraga consequently

declined, reducing money

value by 4.93%, which

indicates that goods and

services have become more

expensive.

Agriculture, Forestry, and

Fishery

Palay

Palay production decreased in

2014 by 1.60% from 583,838

MT in 2013 to 574,499

metric tons (MT) in 2014.

This is attributed to lesser

harvest area which contracted

by 1.35% (2,389 ha) from

176,559 ha in 2013 to

174,170 ha in 2014. More

areas were not harvested in

the third to fourth quarters

due to insufficient rainwater.

Lesser rains during vegetative

to reproductive stages,

Malayan Black Bug,

Stemborer and rats also

contributed to the overall

decline in productivity of

palay particularly in the

second semester of 2014.

Agusan del Sur remained

as the top producer of palay

contributing 50.83% of the

overall output in 2014 or a

total of 292,019 metric tons

Macroeconomic

Performance

Labor and Employment

The region‟s labor force

increased by 1.47% from

1,733,000 in 2013 to

1,759,000 in 2014. However,

the labor force participation

rate slightly shrunk by 1.02

% from 66.50% in 2013 to

65.83% in 2014.

Employment rate

increased by 0.27 percentage

point from 93.93% in 2013 to

94.18% in 2014. DOLE said

that this growth was

attributed to new mall

openings. Consequently,

unemployment rate decreased

by 4.12% from 6.048% in

2013 to 5.86% in 2014.

Underemployment rate

decreased in 2014 by 6.82%

from 27.13% in 2013 to

25.28% in 2014.

Inflation and Consumer Price

Indices

Inflation rate inched up by

39.08% from 3.82% in 2013

to 5.31% in 2014.

Prices of basic

commodities and services

generally increased in 2014.

The average Consumer Price

Index (CPI) grew by 5.30%

from an average of 147.86 in

2013 it increased to an

average of 155.69 in 2014.

Surigao del Sur has the

highest CPI level among the

22 caraga today

followed by Surigao del Sur

with 19.58% contribution or

112,493 metric tons. Agusan

del Norte, on the other hand,

has produced a total of

99,786 metric tons while

Surigao del Norte and

Dinagat Islands produced

63,694 metric tons and 6,507

metric tons, respectively.

Despite the damages on

crops and other agricultural

products brought about by

tropical depressions

“Agaton” in January 2014,

and “Senyang” towards the

end of December, Caraga

attained rice self-sufficiency

at 107.16% based on 2014

projected population and

2008-2009 Survey on Food

Demand and Consumption.

Although the region was

reported to have produced

enough rice for local

consumption, the National

Food Authority (NFA)

recorded 339,499 bags of

imported rice that were used

as buffer stocks in cases of

calamities and other

emergencies to ensure food

security for the year with

consideration on rice

requirement for the 1st

quarter of 2015.

About 38.45% of the

imported rice (130,534 bags)

were distributed to accredited

retailers and government

agencies such as DSWD and

LGUs with Memorandum of

Inflation Rate, 2013-2014 (%) Consumer Price Index, 2013-2014 (PhP)

Page 23: CARAGA TODAY APRIL-JUNE 2015

per bearing tree and the

decrease in coffee production

brought about by lesser

berries developed due to

prolonged hot weather. On

the other hand, an increase in

production of oil palm was

recorded due to continued

recovery from Typhoon

“Pablo.”

Although coconut

production decreased by

1.61% in 2014, it remained as

the top contributor with

83.54% share. Palm fruit,

which presented a 3.00%

increase in 2014 compared to

previous year‟s output,

followed with a 14.28%

share.

Despite production

decline, major non-food

crops, contributed the highest

with 85.36% share or

839,460.02 MT. It is

followed by priority non-food

crops contributing 14.49%.

Livestock and Poultry

Livestock production

contracted by 1.89% from

46,065 MT in 2013 to 45,196

MT in 2014.

Swine production, which

contributed 88.12% of the

total livestock production in

2014, decreased by 1.22%

compared to 2013‟s total

output.

On the other hand,

poultry production increased

by 14.05% reaching

17.014% from 208,303.19

MT in 2013 to 243,791.92

MT in 2014. This growth is

attributed to expansion of

harvested area for Cavendish

by DOLE and Sumifru.

Vegetables

Vegetable production

increased by 3.34% from

79,164.11 MT in 2013 to

81,811.85 MT in 2014

despite decreases in

production of soybeans,

jackfruit young, camote tops,

pao galiang and green

papaya. The growth is

attributed to expansion of

harvest areas for camote,

eggplant, squash, okra,

pechay and gourd.

Camote contributed

39.18% followed by cassava

with a 21.00% share. In terms

of production by groups,

major vegetables contributed

65.72% share followed by

priority vegetables with

26.45% share while other

types of vegetables had a

7.86% share.

Non-Food and Industrial

Crops

Non-food and industrial

crops declined by 0.88% with

a total production of

983,427.98 MT compared to

992,188.68 MT in 2013. This

lower yield is largely due to

the decrease in production of

coconut, lesser nuts harvested

23 Vol. XVIII Issue 2

Agreement on Credit Sales

with NFA.

Corn

Corn production increased by

16.68% from 107,476 MT in

2013 to 125,406 MT in 2014

making Caraga one of the

five regions in the country

that hit their target for the

year.

The increase is due to

increases in yield and area

harvested with 41,957

hectares in 2014 compared to

38,017 hectares in 2013 as

farmers opted to plant corn

instead of rice in anticipation

of the onset of El Niño

phenomenon. This favors

corn production under Caraga

condition and the appropriate

farming technologies and

facilities that were

established for the

commodity.

Agusan del Sur

contributed 78.04% to the

total regional yield with a

total production of 97,864

MT in 2014. Agusan del

Norte followed with 15,153

MT.

Fruits

Fruit production increased by

14.77% from 243,509.92 MT

in 2013 it increased to

279,475.29 MT in 2014.

Banana contributed

87.23% of the total fruit

production as it grew by

Page 24: CARAGA TODAY APRIL-JUNE 2015

24 caraga today

communal bodies of water.

The stock served 142 LGUs

including 67 academic

institutions. Such activity was

conducted in an effort to

guarantee sufficient supply of

fish in worn-out areas.

To augment fisher folk

income as well as boost

fisheries production in the

region, inputs such as

bangus/tilapia fingerlings,

prawn fry and lobster

juveniles were distributed to

small fishpond and fish-cage/

pen operators in 2014. A

total of 970,000 pieces of

bangus fingerlings were

dispersed in the Provinces

Dinagat Islands, Agusan del

Norte, Surigao del Norte and

Surigao del Sur benefitting

313 fish-farmers. Further,

10,000 pieces prawn fry were

distributed to 45 fishpond

operators in the Province of

Agusan del Norte. A special

request for 38,000 pieces of

tilapia fingerlings was also

provided.

In addition, 200 seaweed

growers in the Provinces of

Surigao del Norte, Surigao

del Sur and Dinagat Islands

were provided seaweed

propagules and seaweed farm

implements.

Through the formation of

the Fisheries Post-Harvest

and Marketing Division in

2014, marketing activities

were strengthened. Around

fish harvest in 2014.

In 2014, BFAR recorded

more harvest of milkfish in

brackish water fishpond and

marine cage, better yield of

tilapia in freshwater cages

and more appearances of

Skipjack and yellow fin tuna.

On the other hand, seaweed

production decreased

particularly in the 2nd quarter

of 2014 brought about by ice-

ice disease and stunted

growth in silted areas of

Barobo and Lianga. Further,

lesser area harvested for

Tiger Prawn in brackish

water fishpond and fewer

transient commercial fishing

vessels were noted during the

year.

To produce quality tilapia

and carp fingerlings and

disperse the same to fishpond

and fish cage/pen operators in

the five provinces of the

region, BFAR Caraga

continue to support the

Caraga Fisheries Research

and Development Station for

Freshwater Development at

Anibongan, Kitcharao,

Agusan del Norte. A total of

10.177 million pieces of

tilapia and carp fingerlings

were produced in 2014 and

distributed 2.579 million

pieces to 1,429 deserving fish

farmers region-wide.

There were also 3.85

million fingerlings of carp

and tilapia stocked in 30

18,221.00 MT in 2014

compared with 15,976.00 MT

in 2013.

Further, all poultry

products increased led by

chicken with a total

contribution of 72.25%.

Caraga‟s total chicken

production contributed 0.84%

to the total volume of the

country‟s production placing

the region at the bottom four.

In 2014, the inflow of

dressed chicken shipped in

Caraga increased by 58.90%

with a total of 732,424 heads

due to the increase of demand

by commercial

establishments.

The largest volume of

dressed chicken outflow was

recorded in the period of

September 2014 at 179,780.8

kg. No records of dressed

chicken outflow were

reported in the months of

April and December.

Fishery

Fish production declined by

3.33% or 2,927.83 MT less

than the recorded total of

88,040.65 MT in 2013. The

decrease was attributed to the

lesser production of

commercial and aquaculture

sub-sectors by 5.65% and

12.05% respectively.

Municipal fisheries

contributed 67.56% to toral

production while aquaculture

shared 26.58% of the total

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25 Vol. XVIII Issue 2

56 market matching activities

were conducted.

Furthermore, this division of

BFAR intensified the

promotion of developed

fishery products of the

region.

Forestry

Estimated log production in

2014 demonstrates a growth

of 16.17 % with a total of

688,904.25 cubic meters

(cu.m.) compared to 2013‟s

production of 593,031.98

cubic meters. A substantial

portion of the growth was

contributed by increased

Private Tree Plantation

Ownership Certificates

(PTPOC) production.

Pursuant to Executive

Order 26 issued by President

Benigno S. Aquino III, the

implementation of the

National Greening Program

(NGP) was declared as a

government priority program

which strategically addresses

the interrelated concerns on

food security, biodiversity

and climate change

mitigation and adaptation.

In 2014, DENR-Caraga

achieved 101% % of its NGP

annual target under the

Regional Office-Based fund

covering 16,292 hectares of

land with 8,883,839 seedlings

of various species of timber,

rubber, cacao, coffee,

mangrove and indigenous

tree species. Agusan del Sur

accounted for 80 % of the

said total area. Under its

Central Office-Based Funds,

DENR accomplished 100%

of its target with a total of

130 hectares covered.

According to DENR,

NGP aims to plant 1.5 billion

seedlings in a total of 1.5

million hectares of land all

over the country from 2011-

2016. As of 2014, the

department exceeded its

target by 11.6 %. In the entire

country, a total of 1,005,013

hectares were already

developed out of the actual

target of 900,000 hectares

from 2011 to 2014.

The implementation of

Executive Order No. 23

provided clear directives to

DENR on intensifying

campaign against illegal

logging operations to

safeguard the remaining

natural and residual forests

while encouraging the

establishment of industrial

tree plantation. To

complement the said order

and to express Caraga‟s full

commitment in protecting the

remaining forest against

illegal activities, the Regional

Multi-Sectoral Forest

Protection Committee was

institutionalized in the DENR

system pursuant to DAO No.

95-17. The initiative was

strengthened though RDC

Resolution No. 14 Series of

2012 recognizing the

committee as part of the RDC

working committees.

Per record of DENR-

Caraga, the protection of

some 391,806 has. untenured

forest resulted in the

confiscation of 3,715.73

cu.m. and 8 paraphernalia

and conveyances with an

estimated value of PhP32.05

million. This amount

compensated for the PhP15.7

million invested by the

government on forest

protection activities.

Morever, based on the

report submmited by

different ENR Offices,

Caraga Region had collected

a total of PhP 3.75 Million

for 2014 in which PhP 2.12

Million was collected from

forest charges and PhP 1.63

Million from other fees and

charges.

Trade and Industry

In 2014, Caraga‟s total

domestic sale reached 611.86

million showing a 33.35%

growth from 458.85 million

posted in 2013. Around

30.30% of the total domestic

sale in the region or

PhP185.37 million was

attributed to the sales of

Agusan del Sur. It was

followed by Agusan del

Norte with 22.62%

(PhP138.40 million); Surigao

Page 26: CARAGA TODAY APRIL-JUNE 2015

del Norte and Surigao del Sur

followed with 19.86%

(PhP121.50 million) and

19.51% (PhP119.40 million)

respectively; the Province of

Dinagat Islands covered

7.71% or PhP47.19 million.

In terms of growth,

Agusan del Sur led the

provinces with a 54.08%

increase in 2014 compared to

previous year‟s figure.

Agusan del Norte followed

with a 38.16% growth.

Surigao del Sur posted a

4.32% increase while Surigao

del Norte‟s domestic sale

contracted by 1.95%.

On registration of new

business names, DTI-Caraga

recorded an aggregate of

6,472 in 2014. This

represents a 6.19% growth or

377 new business names

registered in DTI from 6,095

in 2013. Agusan del Norte

contributed the biggest share

with 41.92%, followed by

Surigao del Norte with

23.78%. Accordingly, the

highest increase of new

business name registration in

2014 was in Agusan del

Norte with 10.60 , closely

followed by Agusan del Sur

with 10.19%.

Mining and Quarrying

Twenty-five mining

companies were involved in

mineral production in the

entire region. Twenty-two of

these firms hold Mineral

Production Sharing

Agreements (MPSA), one

with Mineral Processing

Permit (MPP) and two with

Joint Operating Agreement

(JO).

Nine of the MPSA

companies are located in the

Province of Dinagat Islands

(PDI), seven in Surigao del

Norte, three in Surigao del

Sur, two in Agusan del Norte

and one in Agusan del Sur.

On the other hand, 28

mining companies conducted

exploration activities. Twelve

of these are under MPSA

while 16 are with Exploration

Permits (EP).

Mineral exports in the

region increased by 166.20%;

from PhP29.84 billion in

2013 it increased to PhP79.44

billion in 2014. This growth

is attributed to increase in

nickel ore volume by 33.58%

representing an aggregate of

43.21M wet metric tons

(WMT). As for Gold

Bullion, 87,920.97 oz.

representing a 30.64%

increase from 2013‟s figure

was recorded. Around

99.94% of the uptick is on the

17 shipments of Philsaga

Mining Corporation to Hong

Kong; and the remaining

0.06% or 50.46 oz. to

Greenstone Resources

Corporation‟s sole shipment

to Switzerland.

26 caraga today

On the other hand, silver,

dropped by 58.10% from

55,440.83 oz. in 2013 to

23,230.61 oz. in 2014.

Subsequently, this reduced

silver‟s total value of exports

by 66.36%. Shipments of

silver were recorded to have

been dominated by Philsaga

Mining Corporation with 17

shipments to Hong Kong.

About 46,767.35 WMT

of mixed sulfides (nickel and

cobalt) worth PhP346.85

million was shipped to Japan

by Taganito HPAL Nickel

Corporation. Moreover,

Krominco, Inc. exported

5,289.56 oz. of chromite.

MGB-Caraga recorded

759 shipments reflecting a

growth of 22.82% from 2013

performance. The shipments

generated PhP1.59 billion in

excise tax and PhP2.70

billion in royalties

representing 166.39% and

125.00% growth from 2013

figures, respectively.

Mining and quarrying

industry provided 22,296

employment, a 9.49%

increase compared to 2013

figures. In addition, 94% of

those employed in 2014 are

males.

Manufacturing

Manufactured forest products

considerably dropped

compared to 2013‟s output.

Manufactured products in

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27 Vol. XVIII Issue 2

2014 (493,049.84 m3) is

36.28% lower than 2013‟s

production of 773,742.74 m3.

Major manufactured

products include veneer,

plywood, lumber and

blockboard owing 36% to

veneer production followed

by plywood at 26%.

Services

Financial Services

Total Assets of the region

decreased by 6.58% in 2014

of a total of PhP34,324.73

million compared to previous

year‟s sum of PhP36,740.72

million. Of the total assets,

Universal and Commercial

Banks comprised the biggest

share with 77.69%. It was

followed by Rural Banks and

Thrift Banks with 13.61%

and 8.70% shares

respectively. In terms of

provincial distribution,

Agusan del Norte contributed

42.32% of the total assets

followed by Surigao del

Norte with 24.73 percent

share.

Total Operating Income

decreased significantly by

54.93% from PhP2,144.93

million in 2013 to an

aggregate of PhP966.65

million in 2014. All bank

types posted a declining

operating income with

Universal/Commercial Banks

exhibiting the greatest drop

of 59.11%, followed closely

by Rural Banks with 54.38%

and Thrift Banks with a

50.43% decrease.

Tourism

Tourist arrival increased

by 19.90% in 2014. It peaked

during the fourth quarter

covering 41.66% of the total

number of tourists which

reached a total of 2,440,635.

Among the provinces, tourist

arrivals were highest in

Surigao del Norte where the

famous Surfing Capital of the

country is located, the

Siargao Islands. Both foreign

and local tourists crowded the

islands all year-round and

peaked in the summer season

and during the International

Surfing Cup and International

Game Fishing Tournament. It

was followed closely by the

Province of Agusan del Sur.

Among cities, Butuan

City had the highest tourist

arrivals contributing 25.21%

share to the region‟s total

tourist arrivals followed

closely by Surigao City with

24.76% share.

Surigao del Sur tourist

sites were most visited in

2014 including Tinuy-an

Falls (Bislig City), Enchanted

River (Hinatuan) and Britania

Islands (San Agustin).

Siargao Islands and Bucas

Grande in Socorro were

among the most visited in

Surigao del Norte.

Local tourists also

considered Lake Bababu in

the Province of Dinagat

Islands and Sarnimian Inland

Resort in Rosario Agusan del

Sur. Nature lovers and

adventurers opted for Agusan

Marsh; while tourists who

preferred history and culture

visited the Church Ruins in

Banza, Butuan National

Museum and Balanghai

Shrine in Butuan City,

Agusan del Norte.

Air Transportation

Flights reached a total of

6,982 in 2014, which is

7.68% higher than the flights

in 2013. The increase is

attributed to the reopening of

Tandag City Airport in the

third quarter of the year and

the development of additional

evening flights by Cebu

Pacific Air at Butuan City

Airport.

Total incoming

passengers reached 343,978,

which is a 6.70% increase

from 322,371 in 2013. On the

other hand, overall number of

outgoing passengers reached

357,226, which is a 7.02%

increase from the figure in

2013.

Butuan airport was the

preferred airport of

passengers from several areas

in Misamis Oriental because

Laguindingan International

Page 28: CARAGA TODAY APRIL-JUNE 2015

28 caraga today

Airport is an hour away from

Cagayan de Oro City proper.

Butuan City Airport hold

the record of most number of

flights in 2014 with a total of

4,328 with an aggregate of

550,899 passengers for both

incoming and outgoing

flights. Surigao City Airport

follows with figures two or

three folds lower than that of

Butuan. Moreover, a slight

increase of 0.15% in the 2014

total incoming cargoes of

3,739,104 kilograms was

noted; while total outgoing

cargoes of 2,547,923

kilograms registered a drop

of 2.22% from its 2013

figure.

Shipping and Cargoes

Ship calls increased by

105.89% in 2014 which

reached a total of 20,085

compared to 9,755 in 2013.

Domestic ship calls

contributed 95.97% to this

growth because it increased

from 9,059 in 2013 to 19,276

in 2014 or an increment of

112.78%. This increase was

the result of MV Seaborne

Cargo‟s and MV Super

Shuttle RoRo 8‟s entry at

Nasipit Baseport and increase

in vessels at Masao for

shipment of sand and gravel.

On the other hand,

foreign ship calls also

increased by 16.24% from

696 in 2013 to 809 ship calls

in 2014 because of the entry

of Agata Mining Ventures,

Inc. (AMVI).

AMVI is a joint venture

company with TVI Resources

Development (Phils.) Inc.

(TVIRD), the Philippine unit

of Canada‟s TVI Pacific Inc.,

holding 60% interest in

AMVI; the remaining interest

being held by Mindoro

Resources Ltd. TVI currently

has a 30.66% interest in

TVIRD as well as a 14.4%

equity interest in Mindoro,

and thereby has a 24.2%

indirect ownership interest in

AMVI.

AMVI is authorized to

develop, extract and trade

iron, nickel and other

associated minerals. With a

clearance to establish port

facility, AMVI has conducted

direct shipping ore operations

of high-iron laterite resources

at the Agata Project.

Generally, inbound

domestic cargo throughput is

higher than outbound. In

2014, inbound increased by

19.30% or 313,983.12 MT

due to an increase in

shipment of iron and steel,

general cargoes and

equipment transport.

Outbound likewise

demonstrated a 6.31%

increase or 48,187.84 MT

from the 2013 figure. This

upturn is attributed to the

increase in the shipment of

crude palm oil, sand and

gravel, grains, fruit and

vegetables, bottled goods and

other general cargoes.

Foreign import

throughput increased by

173.30% from 356,867.00

MT in 2013 to 975,313.64

MT in 2014. Foreign export

throughput reached

36,575,040.92 MT in 2014

posing a growth of 9.29%.

Land Transport

Motor vehicle increased by

2.69% from 116,735 in 2013

to 119,880 in 2014. The

increase was attributed to the

upturn of private motor

vehicles registration during

the year comprising 89% of

the total registered vehicles.

Agusan del Norte posted the

most number of motor

vehicle registration which

comprised 58.19% of the

total registration.

Development Prospects Transport Services

With the influx of 6,000

foreign and local tourists

visiting Tinuy-an falls in

2014, the city is becoming a

promising place for the

Philippine Airlines‟ (PAL‟s)

business venture. On this

note, PAL plans to establish

flights from Bislig City to

Cebu City or Manila utilizing

a 77-seater turbo prop planes.

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29 Vol. XVIII Issue 2

The planned direct flights

to Bislig City will make the

city more accessible and

would open new doors for job

creation for the residents,

boosting the economy of the

city.

Agricultural Development

Caraga Region recognizes

soybeans as one of the food

sources used by local

government units in fighting

malnutrition. To support the

endeavour, the Department of

Agriculture (DA) Caraga will

spearhead the updating of the

region‟s Soybean Roadmap

and organize soybean

producers in order to

establish an aggressive

marketing linkage to big

buyers or processors.

Furthere, DA envisions an

expansion of areas to be

planted with soybeans mostly

in San Miguel and Tago,

Surigao del Sur and in

Trento, Agusan del Sur.

On its 2nd year of

implementation, the

Philippine Cold Chain

Project (PCCP) will continue

to establish and upgrade two

ice plants with cold storage

facilities in the Provinces of

Dinagat and Surigao del Sur

as well as the establishment

of a Regional Integrated

Marketing Center in Agusan

del Norte.

Mining Industry

The Philippine unit of

Canada‟s TVI Pacific Inc.

pronounces a continued

increase in Agata Mining

Ventures Inc. (AMVI) direct

shipment of nickel ore with a

goal of 2.5 million WMT in

2015. In order to achieve this

goal, AMVI expects to

increase its shipment

schedule to four shipments of

limonite ore per month and at

least one to two shipments of

saprolite ore per month once

causeway expansion and

stockpile area development

work is completed.

In February 2015, AMVI

completed a shipment of

55,400 wet metric tons

(WMT) of nickel limonite ore

with an estimated worth of

30.6 million pesos. In

addition, AMVI plans to ship

nickel saprolite ore of higher

grade to secure higher selling

prices.

Forestry

The Department of

Environment and Natural

Resources Caraga targets to

plant 11,948,600 seedlings in

a total of 16,591 hectares of

land in the five provinces of

Caraga under the National

Greening Program for 2015.

Agusan del Norte is set to

plant 2,229,900 seedlings in a

total of 2,998 hectares of land

while Agusan del Sur aims to

plant 5,190,000 seedlings in a

total of 7,705 hectares. On

the other hand, Surigao del

Sur committed 2,809,400

seedlings to be planted in a

total of 4,274 hectares and

Surigao del Norte targets a

total of 782,200 seedlings for

1,341 hectares land area.

Dinagat Province targets to

plant 136,500 seedlings in a

total of 273 hectares of land.

Tourism

According to the Department

of Public Works and

Highways, Agusan del Norte

can expect a boost in tourism

with the newly completed

road improvement project.

The PhP133-million project

funded by 2014 Department

of Tourism-DPWH

Convergence Program

involves the upgrading of 6.8

kilometers of the NRJ

Tagcatong-Vinapor Road in

Carmen town. This allows

better access to tourists

heading to Jurassic Beach

Resort, Bollihon Beach and

the unspoiled Diwata Cave.

Page 30: CARAGA TODAY APRIL-JUNE 2015

30 caraga today

1st Quarter 2015 Regional Project Monitoring Report

The Regional Project Monitoring

Committee conducted its 1st Quarter 2015

project monitoring on March 11-13, 2015

in the four provinces of the region. A total

of 20 projects were monitored of which

ten were in Agusan del Norte, five in

Surigao del Sur, four in Agusan del Sur

and one in Surigao del Norte. These

projects include roads, irrigation, airport,

public market, wharf and school buildings.

Average slippage for these projects is -

48.54, which unduly delays the completion

of the projects. The figure indicates that

project implementation were delayed by

almost half of the period indicated for

completion which is measured in number

of calendar days. The highest slippage was

registered by the rehabilitation project of

Baleguian Communal System in Baleguian

in Agusan del Norte. Some of the causes of

slippage include contract termination,

security issues, equipment failure and onset

of typhoon.

Name of Project Location Implementing

Agency

Cost in Million (PhP)

Physical Accomplishment in % (as of February 28, 2015)

Status Planned

(%) Actual (%)

Slippage (%)

Agusan del Norte

Road Upgrading (Gravel to Concrete) of Buenavista-Bunaguit Road

Buenavista DPWH RO 128.612 100 100 -

NEDA/RDC Building Butuan City

NEDA Caraga 48.206 80 80.49 0.49 Ongoing

Rehabilitation of Baleguian Communcal System in Baleguian, Package 1 (main canal)

Jabonga DAR/NIA 10.518 38.16 76.21 38.05 Delayed due to security issues, unfavorable weather condition and financial capacity of the contractor

Butuan City Pianing-Tandag Road

Butuan City

DPWH RO 139.107 45.13 75 29.87 Ongoing and ahead of schedule

Butuan Airport Development Project

Butuan City

DOTC Central Office

33.149 100 100 - Completed

Construction of Butuan City South Market

Butuan City

Butuan City LGU

49.792 100 99.58 '(0.42) For completion

Rehabilitation of Baleguian Communcal System in Baleguian, Package 2 (Diversion Dam)

Jabonga DAR/NIA 18.679 16.32 100 (83.68) Contract terminated; continued under Force Account Work

Construction of Drainage System along Surigao Wharf Road

Surigao City

DPWH 1st DEO

16.302 100 93.75 (6.25) Project ongoing but delayed due to RROW

Improvement/Widening of Daang Maharlika

Surigao City

DPWH SDN 1st DEO

46.200 97.38 92.37 (5.01) Project ongoing but delayed due to RROW

Page 31: CARAGA TODAY APRIL-JUNE 2015

31 Vol. XVIII Issue 2

Name of Project Location Implementing

Agency

Cost in Million (PhP)

Physical Accomplishment in % (as of February 28, 2015)

Status Planned

(%) Actual (%)

Slippage (%)

Expansion of Surigao Airport Existing Passenger Terminal Building

Surigao City

DOTC Central Office

23.758 100 100 - Completed

Agusan del Sur

Umayam River Irrigation Project (URIP) - Construction of Diversion Dam and its Appurtenant Structures

La Paz & Loreto

NIA-URIP PMO

173.036 26.6 19.52 (7.08) Ongoing but delayed

Road Upgrading (Gravel to Concrete) of NRJ Bayugan-Calaitan-Tandag Road

Bayugan City

DPWH RO 66.69 100 100 - Project completed

Rehabilitation/Major Repair of Sta. Irene Bridge along NRJ Bayugan-Calaitan-Tandag Road

Bayugan City

DPWH ADS 1st DEO

11.000 Notice to Proceed just issued on March 3, 2015

Some portions need repair; PE to submit a variation order regarding proposed repair

Construction of 2-Storey, 10-Classroom Doǹa Adela Central Elementary School

La Paz ADS

DPWH ADS 2nd DEO

11.944 100 100 - Completed

Surigao del Sur

Rehab./Improv't of NRJ Dughan-Javier, FMR (PCCP) with Bridge, D'San Javier ARC

Barobo DPWH RO 41.218 75.14 65.42 (9.72) Delayed due to equipment failure

Tago-Lapaz Bridge along Surigao-Davao Coastal Road (Alternate Road)

Tago DPWH SDS 1st DEO

60 100 100 - Substantially completed

Construction of Additional one (1) Span Hubo Bridge and Bank Protection along Surigao-Davao Coastal Road

San Agustin

DPWH SDS 1st DEO

81.091 59.5 54.61 (4.89) Slightly delayed due to washed out detour staructure caused by TS Seniang

Aras-asan Port Improvement Project

Cagwait PPA Head Office

71.554 no data no data no data Ongoing; no PPA personnel was present in the project site

Road Upgrading (Gravel to Concrete) of Surigao-Davao Coastal Road (Boundary SDN-Carrascal, SDS)

Carrascal DPWH RO 100.239 100 100 - Project is completed 31.05% ahead of schedule

Surigao del Norte

Construction/Improvement of Access Roads Leading to Tourism Destination, Circumferential Road Leading to Lake Mainit

Mainit DPWH SDN 1st DEO

45.838 98.56 98.66 0.10 Ongoing for completion

Page 32: CARAGA TODAY APRIL-JUNE 2015

32 caraga today

A more competitive Philippines.

This is the vision of the National

Competitiveness Council (NCC) created in

2006 to promote and develop national

competitiveness strategies and push for the

implementation of the competitiveness agenda

and link this to the Philippine Development

Plan (PDP).

To be a competitive country, the cities and

municipalities have to be competitive as well to

attract investors and create employment. Thus,

raising regional standards.

NCC aims to improve the Philippines‟

standing in international competitiveness

rankings and move the country from the

bottom third to the top third tier by 2016.

The Cities and Municipalities

Competitiveness Index (CMCI), which is

designed by NCC will measure

competitiveness of a city or municipality using

28 indicators grouped into three equally-

weighted pillars: Economic Dynamism,

Government Efficiency, and Infrastructure.

Scores on each pillar are combined to form the

overall rating used to rank cities and

municipalities.

Economic dynamism refers to "activities

that create stable expansion of businesses and

industries and higher employment" and is

measured by the following eight indicators:

1. Size of the local economy (as

measured through business

registrations, capital, revenue, and

permits);

2. Growth of the local economy (as

measured through business

registrations, capital, revenue, and

permits);

3. Capacity to generate employment;

4. Cost of living;

5. Cost of doing business;

6. Financial deepening;

7. Productivity; and

8. Presence of business and professional

organizations

Government efficiency refers to "the

quality and reliability of government services

and support for effective and sustainable

productive expansion" and is measured by the

following ten indicators:

1. Transparency score in Local

Governance Performance Management

System;

2. Economic governance score in Local

Governance Performance Management

System;

3. Ratio of LGU-collected tax to LGU

revenues;

4. LGU competition-related awards;

5. Business registration efficiency;

6. Investment promotion;

7. Compliance to national directives for

LGUs;

8. Security;

How the local government units are rated:

The 2015 Cities and Municipalities Competitiveness Index

by Sherwin E. Verdun, NEDA-Caraga

So

urc

e: w

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.co

mp

etit

ive.

org

.ph

Page 33: CARAGA TODAY APRIL-JUNE 2015

33 Vol. XVIII Issue 2

9. Health; and

10. Education

Infrastructure refers to "the physical

building blocks that connect, expand, and

sustain a locality and its surroundings to enable

the provision of goods and services" and is

measured by the following ten indicators:

1. Existing road network;

2. Distance from city/municipality center

to major ports;

3. DOT-accredited accommodations;

4. Health infrastructure;

5. Education infrastructure;

6. Availability of basic utilities;

7. Annual investments in infrastructure;

8. Connection of ICT;

9. Number of ATMs; and

10. Number of public transportation

vehicles

For 2015, the CMCI Assessment will cover

1,000 local government units (LGUs), doubling

last year‟s coverage of 535 LGUs. This year‟s

search will have four different categories,

namely: highly urbanized cities; component

cities; 1st and 2nd class municipalities; and 3rd

to 6th class municipalities.

The CMCI will also introduce a new

ranking methodology for provinces and will

give away 39 awards to the best performing

local government units. Evaluation has started

last February and will end May 2015.

2014 Ranking

City Score Rank

Butuan City 40.34 16

Surigao City 36.05 29

Cabadbaran City 31.73 62

Bislig City 30.34 77

Bayugan City 30.30 78

Tandag City 30.20 80

Municipality Score Rank

Prosperidad 34.25 32

San Francisco 33.75 41

Buenavista 33.65 42

Sibagat 31.47 76

Claver 31.21 82

Esperanza 30.98 87

Talacogon 30.35 99

Bunawan 29.20 119

Nasipit 29.02 122

Cantilan 29.00 123

San Miguel 28.52 139

Barobo 26.84 172

San Jose 26.49 178

Loreto 25.80 196

La Paz 25.71 199

Trento 24.55 215

San Luis 12.70 366

The Philippines‟ rankings in major international competitiveness reports.

Source: www.competitive.org.ph/rankings/

Source: www.competitive.org.ph

Page 34: CARAGA TODAY APRIL-JUNE 2015

34 caraga today

foreign investors.

Pilot program for the ASEAN Self-

Certification System for exporters

launched.

Member States testing preliminary

exchange of trade data and information

through the ASEAN Single Window

Gateway.

Mutual Recognition Arrangements

(MRAs) in place on testing standards

in many areas.

Stock exchanges from ASEAN-5 and

Viet Nam have collaborated to form

ASEAN Exchanges.

MRAs concluded in eight professions

to facilitate the movement of ASEAN

professionals in these areas through

recognition of their qualifications.

Pillar 2: Competitive Economic Region

AEC seeks to foster a culture of fair

competition, including institutions and

laws that underpin the effort, including

protection for consumers and

guarantees for intellectual property

rights.

ASEAN Member States intensifying

their efforts to introduce competition

policy and law by 2015.

Outreach activities underway to

educate the public on the importance of

competition policy.

The ASEAN Highway Network is

physically connecting key roadways,

including the priority Transit

Transport Routes, a vital

infrastructure and logistics component.

Six (out of planned 16) cross-border

connections of the ASEAN Power

Grid already in operation. The Trans-

ASEAN Gas Pipeline will connect

ASEAN‟s gas pipeline infrastructure.

The agreements and protocols under

This report sourced from the ASEAN

Secretariat shows by far the

accomplishment of the ASEAN in

creating the ASEAN Economic

Community (AEC) by 2015 which is

characterized by free movement of

goods, services, investment, skilled labor,

and freer flow of capital.

By integrating ASEAN economies, the

AEC will become a single market and

production base as such, ASEAN would

become more dynamic and competitive.

There are four pillars to the AEC: 1)

Single Market and Production Base; 2)

Competitive Economic Region; 3)

Equitable Economic Development; and 4)

ASEAN‟s Integration into the Global

Economy.

ASEAN has made significant progress

in each of these pillars that opened up new

opportunities for both investors and

ASEAN nationals.

Pillar 1: Single Market and Production

Base

The first AEC pillar has five core elements,

namely, free flow of goods; free flow of

services; free flow if investment; freer flow

of capital; and free flow of skilled labor.

Tariffs already near zero.

The ASEAN Trade in Goods

Agreement created a legal framework

to realize the free flow of goods within

the AEC.

The ASEAN Framework Agreement

on Services eases restrictions on cross-

border trade in at least 80 subsectors.

The ASEAN Comprehensive

Investment Agreement liberalizes,

protects cross-border investment

activities, and embraces international

best practices in the treatment of

What has been done: The ASEAN Economic Community Integration

by Sherwin E. Verdun, NEDA-Caraga

Page 35: CARAGA TODAY APRIL-JUNE 2015

35 Vol. XVIII Issue 2

the ASEAN Open Skies Policy have

been concluded and implemented.

Telecommunication infrastructure is

also undergoing continuous

enhancement.

Pillar 3: Equitable Economic

Development

There are thirty business incubators and

innovation centers under the ASEAN

Business Incubator Network to

promote business matching and

development.

The ASEAN SME Guidebook

towards the AEC 2015 has been

developed.

The Initiative for ASEAN Integration

has developed new approaches so that

the benefits of the AEC are evenly

shared between all Member States.

The ASEAN Framework for

Equitable Economic Development was introduced in 2011.

Pillar 4: Integration into the Global

Economy

“ASEAN+1” Free Trade Agreements

(FTAs) with the People‟s Republic of

China, Japan, the Republic of Korea,

Australia, New Zealand and India

position ASEAN at the centre of global

supply chains.

ASEAN is negotiating the Regional

Comprehensive Economic Partnership

(RCEP), a regional agreement

involving ASEAN and its six FTA

partners. RCEP will represent a

combined GDP of about US$21.2

trillion, which is about 30% of global

GDP, and a market of 3.4 billion

people (48% of the world‟s

population).

A survey conducted by the US

Chamber of Commerce revealed that

54% of American companies had an

ASEAN strategy in place.

The ASEAN Business Advisory

Council (ABAC) report noted that in

the 2013 ABAC Survey on

Competitiveness, almost half of the

businesses surveyed (48% of

respondents) said they take into

account the attractiveness of the

ASEAN region as a whole when

planning investment strategies.

According to this report, business

interest in the AEC will continue to rise

and start to develop ASEAN strategies as

part of their corporate policies.

Page 36: CARAGA TODAY APRIL-JUNE 2015

36 caraga today

The Halal Industry is emerging as a

lucrative global market force with the

growing demand for Halal certified

products, both in Muslim and non-Muslim

countries.

The Department of Science and

Technology-12 (DOST-12) through the

Caraga Regional Development Council

(RDC) is inviting manufacturing firms,

food exporting entities, and Halal

accreditation and certifying bodies to

utilize its Halal Laboratory to ensure Halal

integrity in food and non-food products.

The Regional Development Council-12

supported DOST-12 in promoting its Halal

Laboratory and Science Center by issuing

Resolution No. 150, series of 2014,

“Endorsing the Institutionalization of the

Philippine National Halal Laboratory and

Science Center” during the 36th RDC-12

Regular Meeting last December 7, 2014.

Located in Koronadal City, the Halal

Laboratory and Science Center envisions to

serve as the country‟s clearing house for all

Halal products manufactured and processed

for domestic and international

consumption, as well as the country‟s

accrediting body for laboratories and as

certifying body of all Halal products in

terms of their scientific and technical

aspects.

One of DOST‟s thrusts is to achieve

innovative, cost-effective and appropriate

technologies that enable micro, small and

medium enterprises (MSMEs) to develop

and produce competitive products that

meet world-class standards.

DOST 12 invites public to its Halal Laboratory by Sherwin E. Verdun, NEDA-Caraga

The Global Forum on Research and Innovation for Health 2015 Film Festival August 24-27, 2015 Manila, Philippines Qualified Genres Short Film - minimum of 5 minutes, maximum of 20 minutes Documentary - minimum of 5 minutes, maximum of 20 minutes Animation - minimum of 5 minutes, maximum of 20 minutes Awards (Short Film, Documentary and Animation) 5 shortlisted entries in each genres will win PhP 15,000 and 1 winner of PhP 100,000. Start of Submission and Deadline of Entries Open for submission May 18, 2015 – July 15, 2015. Visit the website for details: http://filmfest.forum2015.org/