potentials-and-challenges-in-the-region_luis-banua_neda-iv-a_8.6.2015.pdf

Local Convergence Convergence and Industry Industr y Roadmaps: Potentials and Challenges in the Region

Dir. Luis G. Banua National Economic and Development Authority Region IV-A 1

Outline of Presentation •

•

Calab Calabarzon arzon Region egional al Econom Economy y Cala Calab bazon azon Regio egiona nall Development Plan 2011-2016

Regional Economy

Population and Land Area REGION Philippines NCR C AR I II III IV-A IV-B V VI VII VIII IX X XI XII CARAGA ARMM

Population as of May 2010 92,335,113 11,855,975 1,616,867 4,748,372 3,229,163 10,137,737 12,609,803 2,744,671 5,420,411 7,102,438 6,800,180 4,101,322 3,407,353 4,297,323 4,468,563 4,109,571 2,429,224 3,256,140

2000-2010 1.90 1.78 1.70 1.23 1.39 2.14 3.07 1.79 1.46 1.35 1.77 1.28 1.87 2.06 1.97 2.46 1.51 1.49



Calabarzo Calabarzon n - largest largest population among regions in 2010, surpassing surpassing NCR.



It is second densely populated among regions - 753 people people sqm. sqm.



Land area - 1,622,861 1,622,861 ha.

The Calabarzon Region’s share to the GDP is 17.2%, which is second highest next to NCR  1.2 Trillion 

GRDP Growth Rates by Industry GRDP Growth Rates, 2010-2014

Calabarzon Sectoral Shares to GRDP, 2014 (percent)

Strong industry/manufacturing/ commercial sector Total No. of Ecozones in Calabarzon, May 31, 2015 Cavite

Laguna Batangas

Rizal

Quezon

Total

Manufacturing

9

9

14

-

-

32

Agroindustrial

1

-

-

-

1

2

IT Center

1

1

3

2

-

7

IT Park

-

4

-

-

-

4

Medical Tourism

-

-

1

-

-

1

Tourism

-

-

1

1

-

2

11

14

19

3

1

48

Total

Export Sales of all PEZA Enterprises vs. Calabarzon (Jan-Jun 2014)

Impressive growth of service sector



Emergence of services required by ecozone locators such as machine calibration, water testing, financial, telecommunications, transportations, logistics & storages services

Major contributors to the agriculture sector Commodity

Rank in the National Production

Chicken eggs Chicken Hogs Tilapia Roundscad

Source: http://countrystat.bas.gov.ph/ 

1st 2nd 2nd 2nd 3rd

Calabarzon Employment, 2010 to 2014 Indicator

2010

2011

2012

2013

2014

Labor Force Participation Rate (%)

63.6

64.7

64.40

64.5

65.5

Employment Rate (%)

90.5

90.3

91.1

90.8

91.8

Unemployment Rate (%)

9.5

9.7

8.9

9.2

8.3

Underemployment Rate (%)

17.4

17.9

17.9

17.9

18.7

Source: DOLE

Inflation Rate, 2011-2014  6.0  5.0  4.0 Philippines

 3.0

NCR

 2.0

Calabrazon

 1.0  2011 Source: PSA

2012

2013

2014

Poverty Incidence and Subsistence Incidence 2006, 2009, 2012

Source: PSA

INDICATOR

2006

2009

2012

Poverty incidence among families

10.1

10.8

8.3

Poverty incidence among population

13.1

14.3

10.9

Subsistence incidence among families

2.9

3.2

2.3

 Annual Per Capita Poverty Threshold, Poverty Incidence: 1991, 2006, 2009 and 2012

Region/  Province

Annual Per Capita Poverty Poverty Incidence among Threshold Population (%) (in Pesos) 1991 2006 2009 2012 1991 2006 2009 2012

PHILIPPINES 5,949 13,357 16,871 18,935 NCR Region IV-A Batangas Caviteb/  Laguna Quezon Rizal Source: PSA

7,373 15,699 19,227 20,344 6,409 13,241 13,735 13,343 13,637 12,784 14,525

17,033 17,360 16,677 17,412 16,181 18,397

19,137 19,437 19,948 19,857 18,081 20,306

34.4

26.6

26.3

25.2

7.1

4.7

3.6

3.9

22.7

10.3 14.4 1.8 5.5 33.5 3.3

11.9 17.1 3.2 8.4 29.8 8.6

10.9 19.0 3.4 6.4 27.5 6.1

Probability of Attainment

High probability: >0.9

Poverty incidence among population Subsistence incidence among population Elementary cohort survival rate Elementary completion rate Under five mortality rate Percentage og HH with safe drinking sources

Medium Probability: 0.5 to 0.9

Underweight children below 5 years Infant mortality rate TB cure rate

Low Probability < 0.4

Elementary net enrollment rate Gender parity index in elementary education Gender parity index in secondary education Percentage fully immunized children Maternal mortality ratio Contraceptive prevalence ratio TB detection

Calabarzon Regional Development Plan (RDP) 2011-2016

Vision Be the leading global economic hub of the country Be a model, livable industrial region, highly urbanized with wellplanned own clusters ideal for sustainable living Have a vibrant countryside offering an excellent alternative place to live, work and seek creation Have a modern intermodal transportation system and digital infrastructure integrating the region within, to the country, and to the global community Be complemented by high quality social service amenities accessible region-wide Have a citizenry whose high creativity and competitive spirit, genuine concern for the environment and fellowmen, and love of country is inspired by their affinity to the region’s heroes and unwavering faith in God

Calabarzon Development Agenda 2010 to 2020 Harmonization of regional development objectives and environmental protection Enhancing Calabarzon’s competitiveness as a global business hub Adoption of knowledge-based industries and information exchange Reduction of socio-economic disparity Tying up human resource development, industry, research and development priorities & concerns Sustaining capacities in local governance 18

Spatial Development Strategy

CCW Planning Approach CENTERS

CENTERS are the nucleus of economic activities with high population densities connected by built infrastructures and multimodal transportation system

CORRIDORS

CORRIDORS are primarily transportation arteries linking centers to centers serving as transit stations, interchange, established neighborhood or general corridor areas

WEDGES

WEDGES are tracts of land between corridors are the with less dense population and limited housing and supporting facilities and services. Includes green corridor, protection and production areas

Spatial Development Strategy Center/Cluster-Corridor-Wedge Planning Approach • Directs & stimulates development & growth from W-E & strengthens N-S development & access corridors • Reflects polycentric urban character of the region • Provides opportunities to facilitate development in the different areas of the region by improving the RPFP 2004-2030

Calabarzon Map CCW Approach

Centers/ clusters Corridors Wedges 21

Calabarzon RDP Major Strategic Policy Enhance regional competitveness

Bridge labor supply-demand gaps

Narrow down socio-economic disparity in the region

Continuously enhance regional competitiveness as a global business hub Enhance skills and human resource capabilities in the region thru tying up human resource development to industry, R&D priorities and concerns Build up adoption of knowledge-based industries and information exchange to spur innovation and research and development efforts Ensure equitable access to basic social services while pursuing Millennium Development Goals Preserve ecological integrity

Sustain local governance

Multi-stakeholder partnership 22

Midterm Development Goals and Outcomes 2013 to 2016 Maintain high, sustained and inclusive economic growth

• GRDP growth targets within 5.5 to 7.6 percent from 2013 to 2016

Improve provision of equal access to development opportunities

• Maintain unemployment rate within 8.6 to 9.4 percent • Underemployment kept below 17.5 percent until the end of the plan

Advance delivery of social safety nets

• Intensify efforts to achieve MDG targets focused among lagging provinces and indicators with low probability of achievement

Challenges

Industry Sector •

•

Volatility in foreign exchange rates and financial markets continue to pose challenges to the region’s economy, particularly the export-oriented manufacturing industry Low capability of local producers and suppliers for positioning in the global value chain

Challenges

Services Sector •

•

Dependence of the IT/BPM industry to the performance of foreign markets and its susceptibility to market shocks and uncertainties Low level of preparedness of industries to the impact of AEC 2015 and inter-regional trade

Challenges

 Agriculture Sector •

•

Uncompetitive agri-based products due to weak agriindustry linkages and lack of value-adding Vulnerability to climatic changes, disaster and infestations

Prospects and Opportunities Services Sector Sources of Growth: Private services, Trade, Finance, Real Estate ,Government Services, Communications, Increase demand for various ICT services, finance and trade activities  Largest number of OFs, comprising 18.4% of the total OFWs. 

Prospects and Opportunities Industry Sector Sources of Growth: Manufacturing, IT/BPM, Ecozones locator firms; High population demand, OFs and families  Sustained

demand in international market for electronics and semiconductor products

 Sustained

aggressive outbound investment promotion thru trade fairs and product-promotion activities

Prospects and Opportunities Agriculture and Fishery Sector Sources of Growth: High value vegetable and commercial crops, Poultry and livestock, Aquaculture industries, Agri-SMEs  Sustained

high value commercial crop production especially among the upland areas

 Sustained

growth in poultry, egg and hog food consumption in the region's urban centers and NCR food market

Calabarzon Major Strategies

Industry and Services Strategies 





Enhance capability of local producers & suppliers in the global value chain positioning for AEC 2015 Enhance economic competitiveness & improve access for financing opportunities for MSME Improve responsiveness & relevance of current education curricula to labor market demands & industry requirements

Industry and Services Strategies (cont’n)   



Efficiently mobilize financial resources Improve financial inclusion mechanism Strengthen/improve enabling environment for the financial system Mobilization of OFs remittances

Industry and Services Strategies (cont’n) 

 

Scale up maintenance of industrial labor relations & compliance with labor standards. Global promotional strategy for Calabarzon Tourism. Improve capacities of LGUs, investors, stakeholders & institutions on IT/BPM

Philippines 2015 CMCI Ranking, Overall Most Competitive Municipalities Rank

1st-2nd Class Category

3rd-6th Class Category

1

General Trias, Cavite

Mambajao, Camiguin

2

Santa Maria, Bulacan

Baler, Aurora

3

Taytay, Rizal

Infanta, Quezon

4

Kabacan, North Cotabato

Nasipit, Agusan del Norte

5

Kalibo, Aklan

Abucay, Bataan

6

Angono, Rizal

Jimenez, Misamis Occidental

7

Daan Bantayan, Cebu

Pagsanjan, Laguna

8

Santa Barbara, Iloilo

Taal, Batangas

9

Midsayap, North Cotabato

Jordan, Guimaras

10

Polomolok, South Cotabato

Tigaon, Camarines Sur

Philippines 2015 CMCI Ranking, Top Component Cities Rank

Cities

1

Naga City

2

San Fernando City, Pampanga

3

Imus City, Cavite

4

Cotabato City, Cotabato

5

Bacoor City, Cavite

6

Antipolo City, Rizal

7

Dasmariñas City, Cavite

8

Tagum City, Davao Del Norte

9

San Fernando City, La Union

10

Batangas City, Batangas

Philippines 2015 CMCI Ranking, By Category Rank

Economic Dynamism

Government Efficiency

Infrastructure

1

General Trias, Cavite

Santa Barbara, Iloilo

Angono, Rizal

2

Lupon, Davao Oriental

Midsayap, N. Cotabato

Malay, Aklan

3

Santa Maria, Bulacan

Maramag, Bukidnon

Taytay, Rizal

4

Cainta, Rizal

Agoo, La Union

Cainta, Rizal

5

Polangui, Albay

Kalibo, Aklan

Silang, Cavite

6

Daan Bantayan, Cebu

San Francisco, Agusan del Sur

General Trias, Cavite

7

Taytay, Rizal

Sablayan, Occ. Mindoro

Kabacan, N. Cotabato

8

Kabacan, North Cotabato

San Jose, Antique

Daet, Camarines Norte

9

Polomolok, South Cotabato

Suralla, South Cotabato

Balayan, Batangas

10

Malay, Aklan

Limay, Bataan

Matungon, Saranggani

 Agriculture and Fisheries Strategies (cont’n) 



 

Focus interventions on priority commodities i.e. HVCC, aquaculture, poultry & livestock Maximize available agricultural lands for agro-forestry & agro-tourism & production of HVCC thru intensified, diversified & integrated farming systems. Improve access to effective farming technologies. Increase adoptive capacity to climate change.

Infrastructure Project - Completed Daang

Hari –SLEX Link or

Muntinlupa-Cavite Expressway (MCX) San

Juan Port

Infrastructure Project - Ongoing LRT

Line 2 East Extension Project

LRT

Line 1 Cavite Extension Project

Southern STAR

Luzon Expressway Toll Road 4

Tollway Stage II

Quezon

Eco-Tourism Road Phase 3

Calatagan

Port

Infrastructure Project - Pipeline Laguna

Lake Expressway Dike Project

Cavite-Laguna North-South

Expressway Project

Rail Project (South Line) Laguna Lake Expressway Dike Project 

Infrastructure in Energy Supply   

Pililla (Rizal) Wind Farm Power Project - 67.5 MW Pagbilao Energy Corp. 420-MW Pagbilao 3 coal-fired power project in Quezon province South Luzon Thermal Energy Corp., 135-MW coal-fired unit Calaca, Batangas Pililla (Rizal) Wind Farm

Infrastructure in Water Supply Ongoing  Maragondon Buk Water Supply Project Pipeline New Centennial Water Source / Kaliwa Dam Project 

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