MORE PRIVATE SECTOR INITIATIVES NEEDED TO REVITALIZE BIMP-EAGA TRADE

Last week two of my old friends , Ms. Shelley Sondakh, Executive Director of the BIMP-EAGA (Brunei- Indonesia-Malaysia- Brunei , East Asean Growth Area) and Ms. Hannah Mandagi , Director of Manado-Bitung Integrated Development Zone visited Davao and met with me to renew old ties . Over a cup of coffee with Davao based Indonesian Consul General Lalu Malik Partawana, we reminisced the “good old exciting days “ of the BIMP –EAGA during the time of Pres. Assistant Paul Dominguez where the private sector of the four (4) countries were at its best in promoting and initiating educational, cultural, tourism and business exchanges. Pres. Arroyo will be the speaker of a BIMP EAGA Meeting on February 26, 2008 in Thailand and she is expected to re-affirm the Phil government’s commitment to the EAGA initiatives. It would need much more than government support more so during these hard times to make the businessmen excited again about the prospects of these cooperation.

First, there is a need to bring back to the arena the real business players who can ensure that there is support on the ground . The Philippine Chambers of Commerce –Mindanao together with the thirty (36) Chambers of Commerce in all cities and provinces of the island had lost touched with the BIMP-EAGA since the Mindanao Economic Development Council (MEDCO) had never consulted or invited them to be part of the regional cooperation since 2004. I am glad that because of the intervention of the PCCI leaders through Pres. GMA; the Vice President-PCCI Mindanao, Elena Haw will be part of the official delegation of the President next week. I hope that this will be a start of the active participation of the chambers of commerce of Mindanao to the BIMP EAGA.


Just recently, Davao inaugurated its new P420-million port expansion of the Sasa Wharf. The Philippine Ports Authority (PPA) in Davao City is all set for the entry of more cargo vessels from the South East Asia, Middle East, United States (US) and the BIMP EAGA. In 2007 alone, the port facilitated a total of 3.2 million metric tons of cargo shipments for both domestic and foreign markets. Southern Mindanao Port District manager Abdussador Sawadjaan is very optimistic that this development will result to an additional of P30 Million in revenue. The expanded port now can serve eight (8) cargo vessels at one given time. Sasa Wharf, holds the distinction as the premier export and import hub in Mindanao. It ranks fourth nationwide in terms of container cargo traffic and container volume performance.


Tuna exports may had declined in Gen. Santos but the exports of livestock and frozen meat had not been badly hit. Some P3.3 billion worth of livestock and assorted frozen meat products have been shipped out from General Santos City . In his annual state of the city address, Mayor Pedro Acharon pointed out the city sent out P1.4 billion worth of livestock and P1.9 billion worth of assorted frozen meat products. For live animals, there were 199,659 heads of swine shipped out in 2008 with a value of P1.1 billion; 6,765 heads of cattle for P175.9 million and 4,907 heads of carabaos for P98.1 million. For frozen meat products, pork reached 13 million kilograms (kg) with a value of P1.4 billion; beef generated P385.7 million at a volume of 962,564 kilograms; and poultry (chicken) products was valued at P99.3 million at a volume of 1.1 million kilograms. General Santos City has several swine farms accredited to export cut pork meat products to Singapore. This city was the second largest swine producer last year in the country, next only to Bulacan.



The Mindanao Rural Development Program 2 (MRDP2) of the World Bank is now being implemented in Mindanao and I am glad that they had installed safety nets so as to avoid corruption in this P 8 billion project. The Department of Agriculture and the Local Government Units (LGU’s) who were part of the project formulated an anti-corruption plan which is “embedded” in every phase of the project.
The first phase which had a funding of P 400 million involved 5 provinces and 32 municipalities and the 2nd phase had 27 provinces and 225 municipalities. The LGU’s themselves were responsible for bidding out the projects to local contractors.
The special allocation for MRDP for 2009 is P1.3 Billion; with 50-50 sharing agreement / counter-part funding from the LGU’s. It is projected that there should be a 20% increase in income of the participating households in the first 5 years of implementation.

The Cocoa farmers of Malagos and Calinan in Davao City were jumping with joy when Askinosie Chocolate in the United States used the Davao 77% dark chocolate for its newest premium chocolate line. The chocolate from Davao was described as “ dark and deep with a touch of toastiness; its dry like a full bloodied, well-aged red wine”. One single Davao dark chocolate bar was sold at $ 7.50 while a pack of 5 at $ 35.00. For the first time in 25 years, the cocoa beans found its way to the USA and this will create new markets for the farmers. But the farmers’ happiness with this new found market was short lived. According to the organizers of the Mindanao Farmers Community Development, it is the middlemen or the traders that is reaping all the benefits. Cocoa beans that were bought from the farmers at a measly sum of P 25.00-P91.00 per kilo are being passed on by the traders at P 141.00.
It would be good for the farmers and the traders , together with LGU and the agriculture department to sit down and develop a sustainable marketing plan ensuring that the farmers will also get an equitable share from this transactions. These problem is nothing new – corn and crop farmers always complain about the presence of middlemen and traders who “exploit” them since most of the time, farmers do not have the capital to plant, process , store or even transport their produce to the market. And the middlemen/traders will always be around to fill in that gap – and of course the there will always be a price to pay for that intervention.


Congratulations to my lawyer Mary Ann Arnado , a Mindanawon peace advocate who is this year’s Ninoy Aquino Fellow for Public Service. Mary Ann is secretary-general of the Mindanao Peoples’ Caucus (MPC) wand was awarded the fellowship last February 5 at the Peninsula Manila Hotel. She said that
she owed this distinction to the selfless, tireless and passionate grassroots leaders who have always inspired her to take bolder steps and be more creative in finding ways to resolve the armed conflict in Mindanao. Together with the hundreds of Bantay Ceasefire volunteers who are in the war zones risking their lives to protect women and children who are caught in the armed conflict , Mary Ann, is indeed one of the many “peace heroes” of Mindanao.


(Joji Ilagan Bian is a strong and respected advocate for the development of the region. She is Chair of Joji Ilagan Foundation ( www.jojiilagancareercenter.com) ; President , Phil. Call Centers Alliance and Mindanao Tech Voc Schools Association; Mindanao Rep, Export Development Council. Email comments jojibian2@yahoo.com)