Friday, July 21, 2006

The Mindanao Promise Can Be Delivered

I am a Mindanawon. In my opinion, the phrase “Mindanao: Land of Promise” is not a cliché. It is a fact. Let me tell you about Mindanao.

Mindanao is a beautiful island. Situated in the southernmost section of the Philippine archipelago, Mindanao is the second largest island in the Philippines. With a land area of 102,043 square kilometers, it occupies one-third of the Philippines' total land area and is larger than a number of Asian countries like Taiwan or Singapore.

Mindanao is strategically located within the East ASEAN region, almost equidistant to the eastern sections of Indonesia, Malaysia and Brunei Darussalam. This key geographic location underscores its potential to be a major transshipment point and center of trade in the region.


Natural Richness

Mindanao is rich in natural resources. A third of our land is planted with the country’s major crops – 100% of national production of cacao, 91%of pineapples, 90% of cacao and over 50% of coconut, coffee and corn. And of course – the pomelos, mangosteen , rambutans , lanzones plus our own salad bar of lettuce, tomatoes, carrots, cauliflowers, cabbages,etc. Our fruit basket of bananas account to US79.5 million of our exports; fresh pineapples at US 33.5 million and the tuna that we eat as sashimi at US 22.3 million.

So its no wonder that we contribute over 40 percent of the Philippines' food requirements and more than 30 percent to the national food trade

Mindanao is likewise endowed with rich mineral resources. Mindanao reportedly accounts for 80% of the national total deposits of copper, nickel, and gold. Currently, of the twenty-three major metallic projects operating in the Philippines, nine are in Mindanao (primarily in Surigao and Davao Oriental).Its metallic deposits include lead, zinc, ore, iron, copper, chromite, magnetite and gold. Gold mined in Mindanao accounts for nearly half of the national gold reserves. Its non-metallic mineral resources include marble, salt, sand, gravel, silica, clay, and limestone.

Cultural diversity and the island's natural beauty make Mindanao one of Asia's favored tourist destinations. White sand beaches, scenic volcanoes, vast orchid gardens, and various ethnic festivals are only some of its unique tourist attractions. Our tourism arrival was at 2 million from January-July 2005; hovering from 25%-25% increase in arrivals


Economy

Agriculture is the driving force behind Mindanao's economy. Close to a third of its land area is devoted to agriculture. More than one-third of the island's labor force is employed in the agriculture, fishery and forestry sectors. Mindanao accounts for over 40 percent of the Philippines' food requirements and contributes more than 30 percent to the national food trade. Mindanao's evenly distributed tropical climate makes it ideal for year-round crop production. If wisely harnessed, Mindanao's rich agricultural resources can serve as the Philippines' foundation for sustainable growth.

In the first quarter of 2005, Mindanao’s overall economic performance remained upbeat. Despite the uncontrollable hikes in oil and consumer prices, which brought down sectoral production from the rest of the country this period, Mindanao’s economy proved to withstand these pressures as exhibited by its key economic indicators. Notably significant indicators in trade and investments, and exports, among others, backed up the said performance.

The BOI and Phividec-registered investments reached P1.07 billion in 2005 posting a growth of 142% compared to its previous year’s performance; Exports sector in Mindanao exhibited a 13% growth rate; Cargo traffic growth reached 5.73% as well as a 1.99% increase in vessel traffic among the major ports in Mindanao; A stable labor force as employment rates reached 94.7% while keeping unemployment rate at 5.3%; and, Value of private building construction increased by 5.1% from P1.96 Billion in 1st Qtr. 2004 to P2.06Billion in 1st Qtr. 2005.

The banking sector likewise plays an important role in mobilizing the economic development of Mindanao. It has contributed in the development of many small and medium scale entrepreneurs, and serves as one of the safe places for deposits for the burgeoning income base of Mindanaons.

Over the last three years, the Mindanao banking sector has displayed modest increase in the number of banking offices. From the report generated by the Mindanao Economic Development Council (MEDCO) there was a 2% increase in the number of banks operating Mindanao, from 877 in 2003 to 896 in 2004.


People

The primary asset of Mindanao is its people. Based on the year 2000 census, 18.1 million people or a quarter of the Philippines' total population reside in Mindanao. The island is home to some 27 indigenous cultural communities, as well as migrants from Luzon and the Visayas. Rather than an impediment, the pluralism of cultures in Mindanao is a major source of strength, particularly in trading with its multi-cultural neighbor countries in East ASEAN.

Mindanao has a relatively young albeit highly literate population. One-third of its population is aged 15 to 19 with a literacy rate of 90%. The island also boasts a versatile, adaptive and English-speaking work force. Generally, Mindanaoans are known for their positive outlook, pleasant disposition and warm hospitality.


Opportunities and Development Imperatives

Due to its rich natural resources which surpass those of Luzon and the Visayas, economic opportunities in Mindanao abound. With the recent revitalization of BIMP-EAGA of which Mindanao is an organic part, economic activities in the island are seen to further expand. However, Mindanao's resources must be judiciously managed to ensure their sustainability.
In its drive towards economic development through global trade competitiveness, Mindanao's leaders must not lose sight of social issues such as poverty and peace and security. These likewise need to be urgently addressed to ensure the island's sustainable development. Economic development programs should be undertaken hand in hand with programs targeted at alleviating poverty and installing conditions that would lead to long-term peace.


Jobs and Employment

We have a total labor force of 8.2 million; 95% are working or gainfully employed while the remaining 5% or 430,000 are unemployed. These are the seasonal workers in the farms and the plantations. Due to our robust agriculture based economy, our employment rate is higher by two (2) percentage points compared to the country’s 92.7%. Majority of our workers are in the agriculture sector; followed by services and manufacturing. This is mainly due to the bright and upbeat economic performance of the economy despite the hikes in oil and energy. As to be expected, the resiliency of Mindanao withstood the pressures of the environment


Mindanao, the troubled island

Amidst its beauty, Mindanao is a complex island with its own peculiarities and intricacies. To understand Mindanao is to go back to history and look at the facets that contributed to what it is today. Over the years, Mindanao has seen the light of day and the dark of night, with hostilities stalking its shadows, and region-wide poverty incidence scarring its beauty.
For many years now, Mindanao is beset by numerous problems on peace, infrastructure development and poverty. It is actually an irony that an island that holds so much promise of prosperity is home to millions of poor families, especially in the provinces of ARMM, CARAGA and Northern Mindanao.

The National Statistical Coordination Board (NSCB), in its 2000 poverty incidence report, showed all regions in Mindanao had over 30 percent of poverty incidence. At the provincial level, Sulu (ARMM) was described as the poorest province in the Philippines, with the highest poverty incidence level of 63.2 percent. Tawi-Tawi had 56.5 percent. Maguindanao; 55.1 percent; Lanao del Sur, 55 percent; Sultan Kudarat, 54.3 percent; and Camiguin, 53.1 percent.

In the 2003 poverty report, CARAGA with 47.3 percent, the Autonomous Region of Muslim Mindanao (ARMM) with 45.7 percent, and Western Mindanao (Region IX) with 44.1 percent, were still among the top 10 poorest provinces in the Philippines.


Hope Lives

Precisely because of this scenario that Mindanao has attracted numerous international development projects, to aid it in economic, social and political development. Majority of the country’s multi-lateral donor agency-projects are based in Mindanao.

Among these are Growth with Equity in Mindanao (GEM), Microenterprise Access to Banking Services (MABS), Livelihood Enhancement and Peace (LEAP) Program, GOP-UNDP-EC Programme on Rehabilitating Internally Displaced Persons and Communities in Southern Philippines, ACT for Peace Programme, United Nations Industrial Development Organization (UNIDO) - Industrial Development Programme, to name a few.

The hope for a progressive and peaceful Mindanao is not lost. Many Mindanawon leaders and stakeholders are now working towards making that hope a reality. We have been promoting Mindanao’s economy through the BIMP EAGA, an economic cooperation scheme involving the four countries of Brunei Darussalam, Indonesia, Malaysia and the Philippines. We have been pushing for a Federalism form of Government, as the effective approach to address to Mindanao’s peculiar social set up.

The GRP-MILF peace process is still underway, but negotiation is getting better. The green-leaf bearing dove, the most common symbol for peace, continues to hover around, with no solid branch or agreement to rest on. Yet the fact that the negotiation continues is a proof that a peaceful Mindanao will not remain a dream, and federalism may yet be that hope.

It’s simply a matter of time before Mindanao delivers its promise in full.

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