regional development agenda zamboanga peninsula (region ix)

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1 Regional Development Agenda Zamboanga Peninsula (Region IX) With cautious optimism, Zamboanga Peninsula treads toward its most logical destination, that of evolving into a major player in the national economic arena. The region is eyeing at making a more significant contribution to the country’s GNP, having a bigger participation in the export market, and firming up stronger trade links with other regions and with the economies of Southeast Asia. Under the Strong Republic Nautical Highway, Dapitan City in Region IX is Mindanao’s closest gateway to Visayas and Luzon – 2 hours by fastcraft to Dumaguete City in Visayas, or 4 hours by roll-on-roll-off (RORO) ship. The region’s strategic location and its rich natural resources are indicative of its potentials in assuming a pivotal role in further strengthening Mindanao’s trade link with BIMP-EAGA, and other countries in the East and South, particularly the Muslim countries in the Middle East, the New Zealand and Australian Bloc, respectively. It is therefore the country’s Southern Gateway to the rest of the world. Its vast coastline of 1,330 kilometers and access to five (5) of the richest fishing grounds in the country – the Sulu Sea, Moro Gulf, Sindangan Bay, Pilas Channel, and Celebes Sea – and its diverse marine life and ecosystem, home to exotic and export- oriented marine resources, makes the region Mindanao’s Coastal Fishery Center. Over the next decade, the overall development agenda for the region entails a more serious investment on physical infrastructures and human capital, the first being aimed at forging greater physical and economic integration of the region’s cities and provinces with the rest of the country; the second, being geared at building people’s competencies and capabilities to face new market challenges, adapt to changes in technology, and contend with higher technical manpower demands of a growing economy. The ensuing Regional Development Agenda, therefore, shall focus on the region’s highest priorities, as they relate to the overall development vision of the region. A. ECONOMIC DEVELOPMENT AGENDA The region is the largest rubber producer, the biggest manufacturer of canned sardines, and the capital of bottled sardines in the Philippines. Its major agribusiness activities include coconut oil milling, wood processing, and seaweed processing, rubber and fish processing. It is important to note that Fishing Sub Sector accounts for about half of the total Agricultural output in the region. To help realize Mindanao’s agribusiness and aquaculture/mariculture potentials, emphasis will focus on the strengthening and establishment of agri-processing centers – the Provincial Industrial Centers in Roxas, Zamboanga del Norte; Pagadian City; Ipil,

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Regional Development Agenda Zamboanga Peninsula (Region IX)

With cautious optimism, Zamboanga Peninsula treads toward its most logical destination, that of evolving into a major player in the national economic arena. The region is eyeing at making a more significant contribution to the country’s GNP, having a bigger participation in the export market, and firming up stronger trade links with other regions and with the economies of Southeast Asia.

Under the Strong Republic Nautical Highway, Dapitan City in Region IX is Mindanao’s closest gateway to Visayas and Luzon – 2 hours by fastcraft to Dumaguete City in Visayas, or 4 hours by roll-on-roll-off (RORO) ship.

The region’s strategic location and its rich natural resources are indicative of its

potentials in assuming a pivotal role in further strengthening Mindanao’s trade link with BIMP-EAGA, and other countries in the East and South, particularly the Muslim countries in the Middle East, the New Zealand and Australian Bloc, respectively. It is therefore the country’s Southern Gateway to the rest of the world.

Its vast coastline of 1,330 kilometers and access to five (5) of the richest fishing

grounds in the country – the Sulu Sea, Moro Gulf, Sindangan Bay, Pilas Channel, and Celebes Sea – and its diverse marine life and ecosystem, home to exotic and export-oriented marine resources, makes the region Mindanao’s Coastal Fishery Center. Over the next decade, the overall development agenda for the region entails a more serious investment on physical infrastructures and human capital, the first being aimed at forging greater physical and economic integration of the region’s cities and provinces with the rest of the country; the second, being geared at building people’s competencies and capabilities to face new market challenges, adapt to changes in technology, and contend with higher technical manpower demands of a growing economy. The ensuing Regional Development Agenda, therefore, shall focus on the region’s highest priorities, as they relate to the overall development vision of the region. A. ECONOMIC DEVELOPMENT AGENDA The region is the largest rubber producer, the biggest manufacturer of canned sardines, and the capital of bottled sardines in the Philippines. Its major agribusiness activities include coconut oil milling, wood processing, and seaweed processing, rubber and fish processing. It is important to note that Fishing Sub Sector accounts for about half of the total Agricultural output in the region.

To help realize Mindanao’s agribusiness and aquaculture/mariculture potentials, emphasis will focus on the strengthening and establishment of agri-processing centers – the Provincial Industrial Centers in Roxas, Zamboanga del Norte; Pagadian City; Ipil,

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Zamboanga Sibugay; Isabela City and the Dapitan-Dipolog-Polanco-Katipunan-Roxas-Manukan Growth Corridor.

Specific action agenda to address these priorities may include the following: a. Promoting greater processing of agricultural raw products, such as coconut,

processed fish, mango, rubber, seaweeds, abaca, banana, cassava and calamansi, shift to higher value crops, and development of agri-based industries thru the network of agri-processing centers and growth corridors in the region.

b. Expanding agri-fishing output through diffused modern production

technologies, more public investment in industrial infrastructure, technical assistance and agricultural research. This will address productive potential of small agricultural and industrial producers.

c. Shifting land use and development of its 89,000 hectares of idle grasslands

into the production of high value commercial crops for agri-processing and exports.

d. Judicious exploitation of mineral resources guided by Minahang Bayan,

Mineral Action Plan, and Philippine Mining Act.

e. Irrigation of remaining irrigable area of about 28,000 hectares to propel the region into rice self-sufficiency and exporter within the decade.

f. Supporting SMEs to diversify economic activities in the rural areas,

particularly in the processing of agricultural products, and in producing a variety of consumer goods.

g. Serious investment in trade and tourism promotion thru trade fairs, business-

market matching, and trade missions, as well as, technical assistance and upgrading programs for SMEs.

h. Promoting more vigorously the Zambo Ecozone in Zamboanga City, the

Provincial Agri-Industrial Centers in the three provinces, and strengthening the 17 Integrated Development Areas or IDAs across the region.

i. Distributing and developing the remaining CARP lands to tenant farmers

estimated at about 3,400 hectares or 90.0 percent of undistributed lands to free productivity constraints in agriculture and enhance poverty reduction efforts in the countryside.

B. INFRASTRUCTURE AND SUPPORT FACILITIES AGENDA There will be more investments on physical infrastructures in order to achieve greater physical integration and better functional linkages between and among the agriculture, industry and services sectors in the region and with the rest of the economy.

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Most SONA-funded projects in the region are nearing completion – the Zamboanga West Coast Road Project and the Dapitan – Dakak Road Project, as well as, the rehabilitation and improvement of the Zamboanga International Airport, Pagadian City and Dipolog City Airports. All other major arteries are open, functional and at varying stages of paving works – 1,146.23 kilometers of national roads and 252 bridges. Under the DA, 87 farm-to-market road segments covering 347.53 kilometers were approved in 2008 and at different stages of construction.

Zamboanga Base port is the only free port in Mindanao. It is far cheaper to travel from Malaysia to Zamboanga by boat than from Zamboanga to Manila by plane. Dapitan City’s Pulauan port, refurbished and much improved, is the region’s nearest link to the Visayas and Luzon regions. Pagadian City port is the closest take-off point of the region by sea to the rest of Mindanao. Roughly 80.0 percent of households have access to potable water, and almost 90.0 percent of the region is fully energized. More than 50.0 percent of the region’s irrigable areas are developed, while 21 flood control facilities already in place with 17 more to be constructed or undergoing construction. Except for only three municipalities in Zamboanga del Norte, the entire region has access to Cellular Mobile Technology. Infrastructure development will focus on the following areas:

1. Completing a fully integrated regional transport network.

2. Full energization and access to water supply. 3. Flood Control and Drainage systems in all flood-prone

areas; 4. More irrigation systems for rice self-sufficiency.

Specifically, the action agenda for the above are as follows:

a. Continuing public investments into a fully integrated transport network (land, air and sea).

b. Establishment of a new international quality standard airport in Zamboanga City

to increase absorptive capacity of the region.

c. Explore and develop renewable energy sources, upgrade of present distribution lines and full energization of remaining unserved barangays.

d. Expanding level I and II water supply systems in the rural areas with greater

private sector participation in the rehabilitation and expansion of water supply systems in the urban areas.

e. Bigger funding for the construction of more flood control, drainage, sewerage,

and shore protection projects in all flood prone areas of Region IX.

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C. HUMAN DEVELOPMENT AGENDA Poverty incidence among families continue to decline indicating that the growth in the economy benefited, albeit slowly, the lower income groups. Food-poor households decreased by 4 percentage points over the last three years.

While still lower than the national average, simple and functional literacy rates

continue to go up. The number of teachers in both the elementary and secondary levels has increased, placing the region well within the government standard of one teacher per 40 students. Most provinces and cities recorded above 50.0 percent survival and completion rates. There are 49 HEIs and six SUCs with seven satellite campuses in the region.

As to health, the prevalence of malnutrition among pre-school and school aged

children is going down. Life expectancy is rising, maternal and infant mortality rates are decelerating. The number of health units and manpower is rising in step with population growth. Most LGUs have poverty reduction initiatives already being implemented. While there are modest gains already attained, the region remains focused in pursuing human development concerns keeping in pace with the demands and pressure of economic development. The decelerating population growth rate augurs well for the region as it will afford the region with sufficient elbow room to provide better health services, quality education, and substantive poverty reduction programs for its population. The priorities are:

1. Strengthening institutions and sustaining provision of safety nets for the poor.

2. Fast-tracking the delivery of education services.

3. Improving the quality of basic education and the relevance

of higher education;

4. Sufficient health care financing, and improving access and availability of low cost medicines;

5. Provision of shelter interventions.

Critical to achieving agri-industrialization is keeping a manageable population up

at par with the demands of the industry and competition in the global market. The region should embark more vigorously on the following interventions:

a. Fast-track localization of poverty reduction efforts and strengthen local

institutions/structures for better coordination of anti-poverty programs. More importantly, the enhancement of productivity and employability of workers through skills training and retraining, and expansion of microfinance to provide livelihood and develop entrepreneurship opportunities for the poor are among the major interventions for poverty reduction.

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b. Upgrading the quality of science, math and English teachers through trainings and scholarships. Address classroom gap through alternative delivery modes. Repair, construction of more schools in the elementary and secondary levels.

c. Strengthen ladderized education program; expansion of scholarship and training

opportunities; improvement in the quality and standards of TVET; strengthen competencies of graduates and curriculum upgrading; improve linkages of HEIs with industry for career orientation and labor market information; development of research and development of SUCs.

d. Strengthening of local health system thru organization of inter-local health zones;

deployment programs for health personnel to address manpower needs in underserved areas; expand coverage of major health programs; mandate enrolment of more indigents in the sponsored sector by LGUs.

e. Expansion of Botika sa Barangay, encourage use of generic products,

partnership of LGU with pharmaceutical industry; institute improvement in procurement and distribution of drugs.

f. Fast-track localization of shelter provision and organization of local housing

boards; advocacy of new housing technologies; ensure and sustain cost recovering mechanism in housing programs; streamlining costs and processes in housing .

D. ENVIRONMENT AGENDA From 2000 to 2007, a total of 8,810 hectares of denuded forestlands were planted to forest trees, 19,147 hectares were proclaimed as watershed areas, with eleven (11) sites declared as protected areas under the NIPAS Act. LGUs of coastal municipalities have their own Coastal Resource Management plans or CRMs where their respective communities are actively involved in its implementation. Zamboanga City has air quality monitoring at its urban core and environs.

Delineation and establishment of permanent forest boundaries in two provinces are completed; mangrove plantation and reforestation are continuing activities in coastal areas; biodiversity conservation measures are maintained; marine sanctuaries are established; NGOs, civil society and the private sector are active players in building up sustainability of the region’s natural resources. Embedded at the core of all development endeavors in the region is the primary challenge of environmental protection and conservation. Overexploitation of natural land and sea resources in blind pursuit of profit and development will ultimately threaten and strike back at the very progress being pursued. Sustaining our environment and natural resources entails close collaboration among national agency service providers, LGUs and the communities concerned. The following key interventions will spell the difference in environmental protection and conservation in Zamboanga Peninsula:

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a. Rehabilitation of depleted coastal and inland resources.

b. Rehabilitation, development, maintenance and protection of its critical watershed areas.

c. Promotion of responsible mining and monitoring of environmental compliance of

such operations.

d. Promotion and implementation of air and water quality management, particularly in urban areas.

e. Strengthening of toxic, hazardous and solid waste management efforts.

f. Sustaining all environmental programs already in place and undertaking massive

and enduring information dissemination across the region. E. PEACE AND SECURITY AGENDA Development thrives in an environment of peace and security. While Region IX enjoys a comparatively low crime rate, internal security threats from secessionists and terrorist groups are still very much real. It is also in constant risk of breaches from known bandits and Kidnap for Ransom or KFR groups. On-going peace negotiations offer a temporary respite, but it is the promise of a lasting peace it offers that gives hope and optimism to Mindanao. The PNP and AFP handle the region’s overall peace and security, but the vigilance of local communities is equally essential. Peace building initiatives from all stakeholders will be pursued, conflict transformation will be strengthened, and the culture of peace will be institutionalized. Partnerships for peace and development among agencies, local government units and social structures will also be firmed up and pursued, and at the same time, international defense and security cooperation with other countries will be continued. F. ROLES OF PROVINCES AND CITIES ZamPen’s provinces and cities hold key positions and major roles in the region’s development scenario. As such, they should be accorded with proper attention and relevant interventions to deepen their contribution to regional and national development. Zamboanga City, as “Asia’s Latin City”, will have to accelerate its growth as the commercial, industrial, financial and educational center of the region. As host to the only free port in Mindanao, and a new international quality standard airport, it will serve as the region’s main gateway to Southeast Asia and the rest of the world. It should also maintain its reputation as the biggest manufacturer and exporter of canned sardines in the country. It hosts the 16,000-hectare Zamboanga Economic Zone. Pagadian City, also known as the “Little Hong Kong of the South” because of its hilly landscape, should assert itself as the regional administrative seat of government.

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With an upgraded airport and refurbished seaport, it will be the region’s closest link to the rest of Mindanao. It is the westernmost tip of the Zamboanga-Ipil-Pagadian Development Corridor. Dipolog and Dapitan Cities comprise the tourist belt of the region; thus with the Dipolog City Airport and Pulauan Port in Dapitan City, they will serve as main entry points of tourists to in the region, as well as, its nearest link to Visayas and Luzon. Both cities are major banana producers of the Peninsula. Dipolog, otherwise known as the “Orchid City”, will remain as the Bottled Sardines Capital of the country. Dapitan City, being host to Jose Rizal’s home of exile is also known as the “Shrine City”, and will flourish as a major tourist city of the region. Isabela City should strengthen its role as a major producer of commercial crops such as rubber and coconut, in addition to commercial and municipal fishing. Zamboanga del Norte will remain as a major coco oil milling center, major exporter of coco-oil, and key producer and processor of seaweeds and mango. It is host to the Dapitan-Dipolog-Polanco-Katipunan-Roxas-Manukan Industrial Growth Center, and the Provincial Agri-Industrial Center. Zamboanga del Sur is the major food production center and leading supplier of fishery products in the region. It should build up its role as a major producer of seaweeds and aquaculture products in the country. Zamboanga Sibugay/Ipil is a major producer and exporter of raw rubber, rice, marine and aqua-culture products. Ipil, as its major growth center, will serve as the central conduit of the different provinces and cities within the region. In addition, it will establish itself as the largest calamansi producer of the region. DEVELOPMENT OUTLOOK If any or all of the foregoing agenda will be adopted or translated into action, we see Zamboanga Peninsula truly evolving into the country’s agri-fisheries southern corridor and gateway to Southeast Asia. Consequently, it will rise above its unfair and decades-long reputation as a conflict-torn region with a mediocre economy and metamorphose into one dynamic economic force to contend with in the national economic arena. This calls for a strong united front – from the leaders down to the ordinary man on the street – of one common platform of development in order for Zamboanga Peninsula to take its rightful claim as the pride of Southern Philippines - Orgullo de Mindanao, beyond doubt.

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Technical Notes

A. ANALYSIS OF THE PLANNING ENVIRONMENT

1. Population Census counts from 1990 to 2007 show that the population of Region IX grew at a decelerating rate. From a high 2.26 percent in 1990–1995, it went down to 1.83 percent in 2000-2007, lower than the national average of 2.04 percent. As of August 1, 2007, Zamboanga Peninsula has 3.230 million inhabitants representing 15 percent of Mindanao’s population of 21.6 M, and 3.6 percent of the national population of 88.6 M. Zamboanga del Sur has 914 thousand and Zamboanga del Norte has 907 thousand, each accounting for about 28.0 percent of regional population, while Zamboanga Sibugay’s 546 thousand accounts for about 23.0 percent.

Of its 5 cities, Zamboanga City has the biggest and fastest growing population at 774,407 due mainly to in-migration, registering an average growth rate of 3.6 percent over the last 3 census years. Its population is almost twice as large as the combined population of the four other cities of Pagadian, Dipolog, Isabela, and Dapitan. Population density also increased from 197 persons per sq/km in 2000 to 225 persons per sq/km in 2007, with the cities posting higher densities than the provinces. Average population density for the cities is 608 persons per sq/km, while that of the three provinces is 213 persons per sq/km.

With a 1.83 percent growth rate, Region IX’s population is estimated to expand to

3.5 M in 2010 and 4.2 M by 2020. The growing population will exact pressure on the limited resources of the

Region and will have a direct impact on the delivery of basic needs and services such as food, shelter, health and education. Nevertheless, the decelerating growth rate augurs well for the region in terms of having a manageable population to take care of. This translates to gaining greater capability and efficiency in building up and developing the region’s human resources vis-à-vis access to education, better health services, and more human development and poverty alleviation measures geared towards improving the quality of life of its inhabitants.

2. Economic Activity 2.1 Agriculture Sector

The economy of Zamboanga Peninsula is basically agriculture-driven. For the past decade, the agriculture sector contributed about half of Gross Regional Domestic Product or GRDP. More than half of those employed are dependent on agriculture for their livelihood, as well – 47.0 percent are farmers and 6.0 percent are fishermen. Significantly, fishing which accounts for only 6.0 percent of employment, contributed about 50.0 percent of the total output (GVA) in agriculture.

Key crops are palay and corn which continue to register production increases

over the years. Coconut, banana, rubber, and mango are also consistent major contributors to agricultural output. In fisheries, the produce from aquaculture and

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seaweed farming posted significant increases over the past five years, edging out municipal fishing from its place next to commercial fishing in production output.

Overall percentage share of this sector to GRDP, however, is on a downtrend, from 53.3 percent in 2001 to 48.9 percent in 2008. The expected shift to agri-processing of key high value crops, while boosting agro-fisheries production, will also set off robust economic activities in the Industry and Service Sectors. Its percentage share to regional output is seen to drop from 48.0 percent in 2010 to 40.0 percent by 2020.

Region IX’s agriculture/fishery/forestry output accounts for 1.8 percent of national GDP for this sector.

A structural shift to agri-processing of raw products like rubber and coconut into allied products is the most logical step for sustained sectoral growth. Labor productivity can be enhanced by shifting to the production of high value crops. With government channeling vast amounts to agriculture development thru its FIELDS program, and the continued increase in palay production, the region can achieve rice self-sufficiency within the decade.

Its long stretch of coastline and access to five of the richest fishing grounds in the country serve as a treasure trove for the fisheries sub-sector. With judicious exploitation of this resource, fisheries can be further developed with available technology and additional investments. These mean environmental regulation to sustain marine resources, coupled with vigorous introduction of investment and technology into high value processing of fishery products. 2.2 Industry Sector

While the Industry Sector accounts for only about 14.0 percent of the regional output in 2001, it posted the highest growth rate among all other sectors with a 16.9 percent share of GRDP in 2008. Manufacturing, with a 10.3 percent contribution to the sector’s total output, is way ahead of Construction, Electricity, Gas & Water, and Mining & Quarrying sub-sectors which put in 4.8 percent, 1.1 percent and 0.7 percent, respectively.

By 2020, this sector is seen to jump to 22.0 percent of GRDP, with the

Manufacturing sub-sector contributing the bulk of production value. An agricultural shift to more agri-processing of the region’s key and emerging products to allied products will fuel the manufacturing industry for the next decade. The output of Region IX’s industry sector accounts for 1.2 percent of national GDP for this sector.

With the expected shift to agri-industrialization, the Industry Sector will become

its largest beneficiary with the manufacture and processing of more high value agricultural and fishery products. The region is the biggest manufacturer of canned sardines and capital of bottled sardines in the Philippines. Aside from fish canning, its major agribusiness activities include coconut oil milling, rubber production and processing, and seaweed processing.

Zamboanga Peninsula is also a rich reservoir of mineral resources. The advent

of the new Mining Act is foreseen to pave the way for the judicious and responsible exploitation of this resource, and hasten economic growth with the mining industry taking on a more significant role.

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2.3 Service Sector

A third of total regional output comes from the Service Sector, which grew from a 32.5 percent share in 2001 to 34.4 percent in 2008. Trade remains the biggest contributor to this sector with an 11.5 percent share of GRDP in 2001 to a 12.4 percent share in 2008, followed by Transportation, Communication and Storage or TCS with 7.5 percent in 2008.

Continuing this steady uptrend, the sector is projected to contribute 38.0 percent

of GRDP by 2020, where Trade and Transportation, Communication and Storage (TCS) sub-sectors serve as the main engines of growth. The output of Region IX’s service sector accounts for 1.8 percent of national GDP for this sector.

With the completion of all major road networks, including the SONA-funded road

projects and airport rehabilitation and improvement projects, the Trade and TCS sub-sectors will experience robust growth from heightened trade activities within the region and with the rest of the country, as well. This will mean an expanded role of the service sector in economic development, vis-à-vis, employment generation, labor productivity and poverty reduction.

Table 1. Gross Regional Domestic Product, Region IX Percentage Distribution (2001-2020, at Constant Prices)

INDUSTRY 2001 2002 2003 2004 2005 2006 2007 2008 2010 2020

AGRICULTURE, FISHERY AND FORESTRY

53.3

51.4

51.0

50.3

50.9

49.2

49.3

48.7

48.0

40.0

Agri & Fisheries

53.01

51.23

50.99

50.11

50.92

49.15

49.09

48.58

Forestry 0.29 0.20 0.15 0.19 0.06 0.12 0.16 0.16

INDUSTRY SECTOR

14.2

15.3

15.0

15.2

15.1

16.0

16.7

16.9

17.0

22.0

Mining & Quarrying

0.77 0.84 0.97 1.00 1.05 1.14 1.07 0.72

Manufacturing 8.66 8.98 9.05 9.22 9.41 9.91 10.06 10.28 Construction 3.85 4.46 4.02 3.99 3.56 3.82 4.55 4.83 Elect., Gas, Water

0.95 0.99 0.99 1.03 1.05 1.09 1.05 1.06

SERVICE SECTOR

32.5

33.3

33.9

34.5

34.0

34.8

34.0

34.4

35.0

38.0

TCS 6.18 6.16 6.65 7.01 6.96 7.09 7.18 7.53 Trade 11.49 11.7 11.98 12.34 12.28 12.67 12.53 12.40 Finance 0.77 0.78 0.79 0.81 0.81 0.85 0.85 0.82 Real Estate 5.25 5.30 5.20 5.19 4.97 5.10 4.79 4.79 Private Services 3.91 3.98 4.03 4.11 4.03 4.14 3.92 3.87 Government Services

4.87 5.30 5.23 4.99 4.89 4.89 4.74 4.97

GDP (%) 100 100 100 100 100 100 100 100

Source of Basic Data: National Statistical Coordination Board (NSCB)

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2.4 Trade and Investments

Direct impact investments in 2008 reached P7.119 B, or an 18.0 percent increase from that of 2007, with all the provinces and cities recording positive gains. Almost half of the investments were generated in Zamboanga City which contributed 48 percent; followed by Zamboanga del Sur at 26 percent; Zamboanga del Norte at 17 percent; Zamboanga Sibugay at 8 percent; and Isabela City, with only one percent.

Consequently, employment went up by 14.0 percent with Zamboanga Sibugay registering the biggest percentage increase at 71.0 percent. Zamboanga City contributed 41 percent of the total employment; Zamboanga del Sur, 23 percent; Zamboanga del Norte, 15 percent, Zamboanga Sibugay, 20 percent; and Isabela City, at only one percent. For the past years, trade and investments showed an upward trend indicating that certain issues are slowly being addressed, such as, infrastructure support facilities, market information and linkages, peace and order situation, and vigorous promotion of SMEs, among others.

Pursuing a structural shift to agro-industrialization means the establishment and

strengthening of the network of agri-processing centers in the region – the Provincial Industrial Centers in Roxas of Zamboanga del Norte, Pagadian City, Ipil, Isabela, and complemented by the Dapitan-Dipolog-Polanco-Katipunan-Roxas-Manukan Industrial Growth Center, as well as, the Zamboanga-Ipil-Pagadian Development Corridor. This will further build up the region as a major producer and exporter of marine and aquaculture products including high value crops with the Zambo Ecozone remaining to serve as the only free port in Mindanao and gateway to the rest of the world. This will bring about an accelerated and sustained development that will raise productivity in the industry and service sectors and ensure broad-based employment, increased food supply in agriculture and better delivery of poverty reduction measures. 2.5 Exports

Exports amounted to US$287 M in 2008, down by 3.6 percent from US$298 M in 2007. Zamboanga del Norte logged in the highest export rise while Zamboanga del Sur recorded the biggest decrease in export sales. Over the years, the value of the region’s exports moved in a slightly irregular fashion. Roughly 40.0 percent of exports came from traditional items such as coco-oil, which is the biggest contributor, and rubber. The rest came from non-traditional items such as marine products and seaweeds. The top export earners of Region IX are: coconut oil, frozen marine products, seaweeds and canned sardines/tuna.

The continued growth of the trade and industry sector is evidenced by the growth

in direct-impact investments and in the value of exports. It is significant to note that the downturns in exports were caused by upsurges in production costs, i.e. oil prices and wage hikes that affected both traditional and non-traditional exports of the region. Non-compliance to some international standards for export products such as the HACCP of the European Union is another factor. Upturns on the other hand were supported by the entry of mineral products, intensification of export and investment promotion programs, and wider access of entrepreneurs to modern production technologies.

2.6 Tourism

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In 2008, overall tourist arrivals declined by only 0.64 percent. The decline in International tourist arrivals is bigger than that of domestic tourists due mainly to the global economic crisis. From 2000 to 2008, however, tourist arrivals persisted on an uptrend, and is seen to further rise as set against a more peaceful environment and international quality destinations. Foreign tourists account for 7.0 percent of total, while domestic arrivals constitute 93.0 percent.

Tourism nationwide is a five billion peso industry. Region IX, with its various tourist attractions, both tapped and untapped, has the potential of increasing its share of the tourism pie. Impeding its faster growth is primarily the perceived volatile peace and order situation within the region and neighboring areas. Every now and then, negative advisories are issued by foreign countries at the heels of even the slightest or isolated disturbance to our peace and security. Clearly, peace and order pose the main challenge to efforts in boosting tourism in the Region. Furthermore, a more vigorous public spending and stronger partnerships with the private sector will be forged to promote existing tourist destinations, cultural and historical events, and in developing untapped tourism potentials to international quality standards.

3. Physical Resources 3.1 Land and Water Resources The Zamboanga Peninsula has a land area of 1,413,754 hectares, 54.0 percent of which is classified forest land. This portion is retained as part of public domain mainly for ecological reasons. On the other hand, 46.0 percent have been released as alienable and disposable to accommodate needs for food production, settlement, infrastructure and other purposes. Of the total forest cover in the region, almost 19.0 percent can be found in Zamboanga City, 16.0 percent in Zamboanga del Norte, 15.0 percent in Isabela City, 9.0 percent in Zamboanga del Sur, and 7.0 percent in Zamboanga Sibugay. Land use cover consists of 8.8 percent forest, 4.8 percent brushland, and 86.5 percent consists of open areas, natural open areas, cultivated areas, built up areas and inland waters. With its long coastline stretching to 1,330 kilometers, the peninsula has access to five of the richest fishing grounds in the country, namely, Sulu sea, Moro Gulf, Pilas Channel, Sindangan Bay, and Celebes Sea. The region’s coastal and marine resources provide livelihood to thousands of artisan fishermen. Irrigated land totaled 40,314 hectares as of December 2008, which is 60 percent of the 67,757 hectares of potential irrigable areas in the region. Zamboanga del Sur developed the most areas at 69.15 percent. There are about 89,000 hectares of grasslands/shrub lands which can be utilized for agricultural and other agri-related activities. An estimated 29,000 hectares of land have the potential for irrigation and thus, can open the way to self-sufficiency in rice. The region is also a vast reservoir of mineral resources which remain largely untapped. With the advent of the new Mining Act, the mining industry is seen to take a more significant role in economic growth.

Table 2. Status of Land Classification by Province, Region IX, 2006

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(In hectares)

Source of Basic Data: Department of Environment and Natural Resources (DENR) 3.2 Mineral Resources All provinces in the region possess a treasure trove of metallic and non-metallic mineral deposits which still remain largely untapped. Precious metals of gold and silver are naturally occurring in about nine (9) identified areas in Zamboanga Sibugay, seven (7) in Zamboanga del Norte, four (4) in Zamboanga del Sur and two (2) in Zamboanga City. Compared to its neighbors, Zamboanga del Norte is far richer in non-ferrous metals of copper, zinc and lead, iron and ferrous alloys, manganese ore and chromium ore. Non-metallic and industrial minerals can also be mined in all provinces of the region – asbestos, kaolin, bentonite, red clay, limestone, marble, gabbro and schist. Quartz mineral can only be found in Zamboanga del Norte, while sand and gravel is plentiful in Zamboanga Sibugay and Zamboanga del Sur. 3.3 Topography and Slope The region is generally hilly and mountainous. In Zamboanga del Norte alone, 66 percent of its land area have slopes ranging from 18 percent to 50 percent. Both Zamboanga del Sur and Zamboanga Sibugay have their mountainous regions running along their northern boundaries with Zamboanga del Norte, then level out into wide flat lands extending to the coastal plains of Baganian Peninsula in Zamboanga del Sur in the southeast and the Sibugay Bay Area in Zamboanga Sibugay in the southwest. 3.4 Weather and Climate Zamboanga Peninsula enjoys an almost typhoon-free weather throughout the year since storms from the Pacific that cross the country move in a northwesterly direction sparing the region from a direct hit. This makes the peninsula conducive to agriculture and industrial development. From November to April, the region experiences a relatively dry season, and wet for the rest of the year. Temperature is warm and constant throughout the year that ranges from 22 degrees to 35 degrees Celsius. Mostly surrounded by water, the region has a high relative humidity compared to other regions. It has a high mean annual rainfall that varies from a low 1,600 millimeters to a high 3,500 millimeters, well within the average annual rainfall nationwide. 3.5 Environmental Protection & Conservation

Alienable and Disposable Land

Forest Land Total Land Area

Region IX 655,670 758,084 1,413,754 Zamboanga del Norte 265,795 358,649 624,444 Zamboanga del Sur 215,648 157,380 373,028 Zamboanga Sibugay 95,755 155,704 251,459 Zamboanga City 64,474 76,996 141,470 Isabela City 13,998 9,376 23,373

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Over the last five decades, the region’s natural resources have been subjected to

exploitative pressure where there was excessive dependence on the forest as a source of foreign exchange, subsistence farming that convert logged-over areas into farmlands, destructive fishing methods like dynamiting and cyanide fishing, and the environmental cost of urban development.

Several reforms were introduced in the ‘80s to arrest forest degradation. As source

of livelihood to thousands of artisan fishermen, the region’s coastal and marine resources are being rejuvenated through mangrove reforestation, marine sanctuaries and Fisheries Resource Management Program, among others. Solid waste management system, water and sanitation programs were introduced in cities with fast growing populations. To date, a total of 931 hectares of denuded forestlands were planted to forest trees. Proclaimed as watershed areas in Zamboanga del Norte reached 1,156 hectares, in Zamboanga Sibugay 577 hectares, and in Zamboanga City 17,414 hectares. Eleven (11) sites have been declared as protected areas under the NIPAS Act. The cities of Zamboanga and Dapitan lead other areas in terms of proportion of land area declared as protected at 14.0 percent and 13.0 percent, respectively. Air quality monitoring has been confined to Zamboanga City as its urban core and environs are more exposed to emissions compared to other areas of the region. Mangrove reforestation and marine sanctuaries are being established to help rejuvenate fishery resources. Alternative livelihoods in seaweed farming and aquaculture are gaining momentum among coastal communities. 3.6 Transportation, Access, and Circulation

Land vehicles remain as the major mode of transportation, recording an average increase of 9.18 percent from 2006 to 2008. Buses posted the highest average increase at 162.53 percent. This can be attributed to the completion of most road networks in the Peninsula, as well as, to the increased passenger traffic between the cities of Pagadian and Zamboanga due to the transfer of the regional seat to Pagadian City. Region IX has taken major strides in developing national roads that stretch to 1,146.23 kilometers as of June 2007, and 252 bridges as of the same year. Under the DA, a total of 81 farm-to-market road segments covering 347.53 kilometers were approved in 2008 and are now at different stages of construction and rehabilitation.

The region is fast-tracking completion of an efficient and reliable road system network not only between provinces and cities within Zamboanga Peninsula, but between the region and rest of the country, as well. The SONA-funded Zamboanga West Coast Road Project and the Dapitan – Dakak Road Project, on top of the Pagadian – Buug Road Project in Zamboanga del Sur, and Licomo – Quiniput Road Project in Zamboanga City will finally complete the major road network of the peninsula triggering a more robust trade within the region and with the rest of the country.

As to sea transport, Zamboanga City Baseport remains to be the largest handler of shipcalls, cargoes and passenger traffic in the region. As the region’s commercial center, Zamboanga City serves as the region’s trade link to Southeast Asian nations, and to the rest of world, as well. Dipolog City airport and Pulauan port in Dapitan City are the region’s closest links to Visayas and Luzon, as well as, key entry points of tourism in

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the region. Pagadian City airport and seaport will serve as the nearest link of the region to the rest of Mindanao. The Zamboanga City International Airport continues to lead in both air passenger (78.3 percent) and cargo handlings (82.2 percent) in the Region. Dipolog City Airport followed with 21.52 percent of air passenger handled and 21.73 percent cargo handled. With no flight operations since 2007, the Ipil, Liloy and Siocon Airports’ combined share is insignificant. Pagadian City Airport is still undergoing rehabilitation since the early part of 2008. Nevertheless, over-all passenger traffic increased by 7.23 percent and air cargo handling by 2.8 percent in 2008. It is expected that the volume of cargoes and passenger traffic in the present Zamboanga International Airport will continuously increase being the sole international point of entry in the region. A new site will be developed to ensure that efficient delivery of international and domestic flights will be adequately served. Meantime, the current airport will still be maintained pending the completion of the new airport preferably located outside of the central business district. With the continued growth and expansion of more advanced communication systems in the region, postal services continue to suffer a downturn in 2008, recording a 30.14 percent decrease in the volume of incoming and outgoing mails in the region. Telecommunications, on the other hand, grew by leaps and bounds, now covering the entire region except for only three municipalities in Zamboanga del Norte.

4. Income, Employment, Service Access, Poverty 4.1 Family Income The drop in regional growth slightly weakened per capita income in 2008 to P9,863, which is lower than both the 2007 and 2006 figures of P10,679 and P10,147, respectively. Labor productivity, on the other hand, improved by 2.9 percent, or from P27,300 in 2007 to 28,100 in 2008. Latest data also suggest an improvement in the region’s average Annual Family Income, from P76,000 in 2003 to P93,000 in 2006. It is significant to note that agricultural labor productivity in the region is higher than the national average. 4.2 Employment The regional employment rate in 2008 was 96.4 percent staying higher than the national average of 92.0 percent. Agriculture accounts for about 50.0 percent of total employment. Unemployment rate is at 3.6 percent in 2008 which is better than the national average of 7.7 percent and reflects that the region still fared better than expected in the face of the global economic crisis. Underemployment decreased from 23.8 percent in 2007 to 21.2 percent in 2008. At 65.0 percent Labor Force Participation Rate (LFPR), in 2008 Region IX placed 4th among the regions – a slight decrease from 65.25 percent in 2007. This reduction is partly attributed to the increase of Overseas Filipino Workers (OFWs) which offset the number of new entrants to the job market. It is significant to note that about 46.0 percent of the labor market are unskilled and have reached or completed only elementary education; 29.0 percent are high school level, and only 19.0 percent reached or completed college level. The industry and service sectors, which employ 47.0 percent of total workforce, are characterized by the

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lack of skilled and technologically trained workers. Farmers account for 62.0 percent of the underemployed in the agriculture sector. Improving the skills and competency of the workforce that are needed by emerging industries would provide employment opportunities, as well as enhance labor productivity in the industry sector. Increasing access to additional capital and livelihood alternatives are measures that may address underemployment among the workforce in the agriculture sector.

Table 3. Labor Force Participation, Employment, Unemployment and Underemployment Rate, By Region1,CY 2008 (In percent)

Region LFPR2 ER3 UR4 UER5 PHILIPPINES 63.3 92.3 7.7 18.2 NCR 60.9 86.0 14.0 12.4 CAR 66.9 95.7 4.3 18.3 Region I 62.3 91.5 8.5 20.9 Region II 66.1 97.1 2.9 14.1 Region III 60.2 90.3 9.7 4.9 Region IV-A 63.0 89.1 10.9 14.6 Region IV-B 69.4 95.5 4.5 26.3 Region V 63.8 93.9 6.1 38.0 Region VI 63.7 94.0 6.0 23.0 Region VII 63.2 92.2 7.8 14.0 Region VIII 63.9 94.4 5.6 25.1 Region IX 65.8 96.4 3.6 21.2 Region X 68.3 95.7 4.3 27.2 Region XI 64.6 94.2 5.8 19.1 Region XII 65.3 96.5 3.5 17.8 CARAGA 66.9 93.7 6.3 28.9 ARMM 55.9 97.6 2.4 12.0 Source of Basic Data: National Statistics Office (NSO) 4.3 Social Services Health. Nutrition programs appear to pay off as can be gleaned from 2007 to 2008 data where the prevalence rates of underweight children of both pre-school and school age went slightly down by 0.20 and 0.38 percentage points, respectively. Life expectancy at 68.6 years while remaining to be lower than national average, is an increase over the years Basic health services are functions already devolved to the LGUs, and over the years, the average total LGU allocation for Social Services steadily increased. In 2008, the average is 13.2 percent of total expenditures - 13.8 percent for cities, and 12.2 percent for provinces. Out of this allocation, health and nutrition get the biggest slice, but it goes mainly to the operation and maintenance of district hospitals.

Education. Data show an increase in enrolment for both elementary and secondary education for School Year 2008-2009. However, the number of enrollees in

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private elementary schools declined. Zamboanga del Norte had the most number of elementary pupils in public schools accounting for about 27 percent of the reported total, while Zamboanga City had the highest number of pupils enrolled in private elementary schools accounting for almost 59 percent of the regional total.

The number of public elementary schools increased, while that of private

elementary schools decreased. Zamboanga del Sur had the most number of elementary schools while Zamboanga del Norte registered the most number of secondary schools. The number of teachers in the public and private elementary and secondary schools in the region for SY 2008-2009 reached 23,095, an increase of 471 teachers or about 2.08 percent as against the registered number in SY 2007-2008 of 22,624. Zamboanga del Sur had the most number of teachers, while Isabela City had the least. The number of students per teacher in government elementary and secondary schools for almost all the provinces and cities of the region were within the government standard of 1 teacher per 40 students (1:40). Isabela City reported a very ideal ratio of 1:21, while the cities of Pagadian and Zamboanga recorded a little above the standard ratio.

The educational systems’ performance at the elementary level fared well as

shown by several key indicators in most provinces and cities with the exception of Isabela City which showed a below 50.0 percent survival and completion rates. This implies the need for more support from both the families of the children and the government. The secondary level’s key performance indicators fared a little above 50.0 percent. Some indicators, like the completion rate for Zamboanga City were below 50.0 percent for both school years. Pagadian City recorded a high completion rate in SY 2008-2009.

Promotion and sustainability of quality instructions, research and extension in

higher education institutions (HEIs) continue to be the challenge of the Commission on Higher Education (CHED) IX. Data showed a drop in enrolment for 2008 attributed to financial difficulties.

The 2003 Simple Literacy Rate in the region increased to 88.9 percent, while its

Functional Literacy Rate also went up to 74.8 percent. In the 2004 National Achievement Tests, Region IX ranked 7th with a 57.9 mean percentage score. In the National Secondary Achievement Tests, the region went from 10th up to 7th place with a mean percentage score of 47.0 percent.

At the tertiary level, the trend in enrolment has shifted to medical and allied

courses which are geared for overseas employment. The passing rates in licensure examinations, while still lower than national average, continue to go up. There is a large pool of educated unemployed prepared to meet the needs of the job market.

Housing. Approximately 50.0 percent of the region’s housing backlog is found in the relatively urbanized cities of Zamboanga and Pagadian. About 57.0 percent of total backlog represents displaced households dwelling in hazardous places such as river buffer zones, road right-of-ways, areas earmarked for government infrastructure, or in areas with court orders for eviction and demolition. Because of the inability of most families to access formal housing market, most prefer to construct their houses with cheap indigenous materials. This explains why almost 24.0 percent of backlog consists of units made of unacceptable materials. About 19.0 percent are dwelling units with more than one household, and 0.48 percent is actually homeless, oftentimes found living on parks, sidewalks, makeshift pushcarts and the like. With an estimated housing

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backlog of 7,281 units annually, the housing need is estimated to reach 135,717 units in 2010. Housing is generally more a problem of the urban poor. Rapid urban population growth and decreasing availability of land for housing contribute to the rising backlog which stands at 135,717 units counting from 2005 to 2007. This number includes new households projected yearly. Socialized Housing, the Community Mortgage Program, and Gawad Kalinga could only make a small dent in housing for the urban poor. About 80.0 percent of those with dwelling units say that their houses were constructed, either on their own account, or from interest-free loans from relatives and friends. Only about 5.0 percent actually availed of housing loans from government financing institutions. The combined outputs of Pag-IBIG and GSIS from their respective housing loan programs reached only 18.0 percent of the targeted number of economic housing units in 2005. The regional performance in shelter is not encouraging, made more difficult by limited participation of the private sector, affordability of financing, and rising costs of housing materials. Security. For the past five years, crime incidence in the region is on the downtrend. From 2007 to 2008, the volume of crime decreased by 13.50 percent. Approximately 70.0 percent of crimes committed are index crimes or crimes of serious nature and frequently occurring, i.e. crimes against person and property. The rest are non-index crimes or crimes punishable under special laws, i.e. gambling, illegal drugs, etc. From January to June of 2009, Zamboanga City registered the biggest crime volume with 560 cases, followed by Zamboanga del Norte with 443, Zamboanga del Sur with 296, and Zamboanga Sibugay with 259.00. From 2006 to June 2009, reported kidnap-for-ransom (KFR) cases totaled ten with seven of it occurring in Zamboanga City. There were 23 explosive related incidents (ERI) reported from 2007 to 2009, nine of which happened in Zamboanga City, and eight cases in Zamboanga Sibugay. Internal and external security is in constant risk of breaches from known terrorist groups, bandits, and dissident groups. The PNP and AFP handle the region’s overall peace and security, but the vigilance of local communities is equally essential. Peace building initiatives from all stakeholders must take hold; conflict transformation must be strengthened; the culture of peace must be institutionalized; partnerships for peace and development among agencies, local government units and social structures must be firmed up; international defense and security cooperation with other countries must be continued. 4.4 Utility/Infrastructure Services Water and Sanitation. Zamboanga City Water District (ZCWD) holds the most number of water service connections with 46,777 in 2008, while Isabela City Water District (ISAWAD) reported the biggest increase in connections at 7.8 percent. From all five existing water districts in the region, total household connections went up from 76,020 in 2007 to 79,791 in 2008, or an overall average increase of 4.96 percent. This brought the total population served to 650,582 as of December 2008 regionwide, with Zamboanga City at the top accounting for 70 percent, and Dapitan City at the bottom with 23 percent. In 2008, the water districts made major infrastructure proposals for expansion, improvement and rehabilitation of various water systems and facilities in their respective

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areas. These were met, however, by various challenges like inadequate funding support, land use conflicts, security threats, and unresolved environmental issues. Roughly 19.0 percent of total households in the region still have no access to potable water since LGUs lack funds to put up Level I and II water supply systems, specifically in far-flung barangays. Power. Increased demand pushed energy sales throughout the region up by 3.22 percent, bringing the total sales to 827,031,430 KWH in 2008. ZAMCELCO gained the biggest share at 56.54 percent, while PNOC-EC recorded the lowest. Electrification efforts resulted to a high energization rate of 97.66 percent for barangays and 55.19 percent for households. Only ZAMCELCO reached 100 percent energization of all barangays under its coverage, and led the rest of the ECs in the number of households energized in 2008 at 86.95 percent. It is noted that majority of the electric cooperatives connections are residential consumers. Hence, the perceived negative effects of open access and retail competition may not be felt soon. There is also the possibility of ECs’ big loads (industrial, large-commercial customers), which are the major sources of sales, acquiring electric service directly from NPC and other aggregators. ECs should consider embedded generation facilities within their franchise areas such as mini-hydro, wind power, solar, and the like. Flood Control and Drainage. In 2007, the DPWH-IX completed 21 flood control projects costing P78.5 M spread throughout the cities of the region including the Municipalities of Guipos in Zamboanga del Sur and Ipil in Zamboanga Sibugay. In 2008, DPWH-IX allocated P46.1 M for another 17 flood control projects in the cities of Zamboanga, Dipolog, Dapitan and Pagadian, and in the Municipality of Labason in Zamboanga del Norte. These projects are reportedly on-going and at different stages of completion. Flood control and Drainage are still getting less priority due to limited government funds which are poured more into other infra projects such as roads and bridges. Sibugay and Salug Valleys have recurring flood problems causing destruction to property, crops and infrastructure. 4.5 Other Services and Facilities Center-based assistance, mostly to disadvantaged children and youth, people with disabilities and deportees were provided to 11,931 clients in 2008. As for DSWD’s Retained Programs and Services, there was a lesser number of Youth Offenders and Children in Need of Special Protection that were served, while the number of children provided with Alternative Family Care increased. Several community-based services geared towards poverty alleviation at the community level continue to be implemented during the period 2007-2008. Kapit Bisig Laban sa Kahirapan- Comprehensive and Integrated Delivery of Social Services: KALAHI Para sa Kalayaan Program (KALAHI-CIDSS:KKP) funded community projects in five municipalities of Zamboanga del Sur, and four municipalities in Zamboanga Sibugay; SEA-K provided seed money to 23 associations and 640 members up from only 13 associations in 2007; Tindahan Natin Program (TNP) funded 758 sari-sari store outlets in 2008, up from 445 in 2007 and Resource Augmentation to LGUs Program

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provided P1.7 M additional funds to four barangays, three municipalities/cities and one province affected by disasters and calamities. The most vulnerable and marginalized sectors of society need the most from our laws, from our resources, and from our collective sense of responsibility. The overriding challenge is not only the care, protection and rehabilitation of the disadvantaged and special sectors, but transforming them into productive citizens leading life with dignity and fully integrated into the mainstream of society. 4.6 Poverty While poverty remains as a major development issue in the region, 2006 data show modest gains in poverty alleviation. Food-poor population went down from 32.7 percent in 2003 to 29.2 percent in 2006, suggesting that a lesser number of the population earn income at a level below the minimum income required by a person for food, which is estimated at P 9,406.00 in 2006. The percentage of the region’s population that lives below the poverty threshold, or has insufficient income for food and non-food requirements set at P 13,219.00 in 2006, went down from 49.2 percent in 2003 to 45.3 percent in 2006. Zamboanga del Norte recorded the highest poverty incidence among the provinces at 63.0 percent in 2006. In terms of percentage progress, the region registered an annual average poverty reduction rate of 0.91 percent for the period 2003-2006. This is an improvement over the 0.43 percent average annual rate of progress recorded from 1991-2003. Modest strides were achieved in nutrition among pre-school and school children, health indicators continue at a decelerating rate, survival and completion rates remain fairly high in elementary schools, and literacy rates are rising. For the next decade, a 1.8 percent annual rate of progress in poverty reduction will be achieved as a result of a more vibrant economy and vigorous human development measures in health and education.

Table 4. Poverty Data, Region IX, 2000, 2003 & 2006 Particulars 2006 2003 2000

Annual Per Capita Poverty Threshold P13,129.00 P10,407.00 P 9,128.00 Annual Per Capita Food Threshold P 9,406.00 P 7,224.00 P 6,574.00 Magnitude of Poor Families 250,696 258,497 209,824 Magnitude of Poor Population 1,404,098 1,427,722 1,257,722 Poverty Incidence Among Families 40.2% 44.0% 48.6% Poverty Incidence Among the Population 45.3% 49.2% 44.8% Subsistence Incidence Among Families 24.3% 27.8% 21.0% Subsistence Incidence Among Population 29.2% 32.7% 25.8% Source of Basic Data: NSO

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Table 5. Poverty Data, By Province, 2000, 2003 & 2006 Particulars Z. del Norte Z. del Sur Z. Sibugay

Annual Per Capita Poverty Threshold 2006 P 13,947.00 P 12,741.00 P 12,188.00 2003 10,871.00 10,310.00 9,580.00 2000 9,417.00 8,975.00 0.00

Poverty Incidence Among Families 2006 63.0% 29.0% 34.0% 2003 64.6% 34.4% 40.7% 2000 47.0% 34.9% -

Magnitude of Poor Families 2006 115,560 91,164 36,868 2003 110,831 101,323 40,712 2000 78,059 131,783 -

Source of Basic Data: NSO Weighing in on major socio-economic and political decisions by our leaders and policy-makers is poverty which remains to be the dominant problem for this country exacting constant pressure to limited government resources. While economic growth is imperative, it is not a bandwagon solution to poverty. Health and education, for instance, are essential components to poverty alleviation. These are not only symptoms, but root causes of poverty, as well. It is equally crucial for the region to take on a more serious public investment in health, education, and other access to services, as much as it needs to invest in agriculture, infrastructure, or trade. B. DESIRED DEVELOPMENT SCENARIO A decade hence, Zamboanga Peninsula shall have fortified its role as Mindanao’s agri-fisheries center and key entry point for strong trade ties with Southeast Asia, if not the rest of the world. Towards this end, the region shall continue to pursue agri-industrial development by strengthening backward and forward linkages. This will require critical investments on physical infrastructure and human capital. Such investments will forge greater physical and economic integration of the region, as well as, increase people’s capacity to face new market challenges and adapt to changes in technology. The balanced agri-industrial development will be anchored on key factors, such as, establishment and strengthening of the network of agri-processing centers and industrial growth corridors; completion of the integrated transport network and other support infrastructure; enhancement of social and human development efforts with direct poverty reduction measures; and judicious utilization of natural resources coupled by unequivocal protection of the environment. These conditions shall transform the peninsula into a major actor in national development, contributing significantly more to the Philippine economy, particularly through its exports of agri-fisheries and mineral products.

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C. STRATEGIC INTERVENTIONS

Health Improve and sustain the delivery and quality of health services, particularly to vulnerable groups of society. Improve Health Care and Financing. Strengthen the local health system through the organization of inter-local health zones fully supported by the LGUs; initiate deployment programs of health personnel to address inadequacies in health manpower in underserved areas; expand coverage of major health programs; strengthen preventive health promotion; intensify integrated community-based program for nutrition; mandate and expand the enrolment of indigents in the sponsored sector by LGU. Improve Access and Availability of Low Cost Medicines. Expand Botika sa Barangay; encourage wider use of generic products; advocate local government partnership with pharmaceutical industry for provision of low cost medicines; institute improvement in procurement and distribution of drugs, particularly to rural areas.

Education Fast-track and sustain delivery of basic education services, and improve quality and relevance of higher education. Improve the Standard and Access in Basic Education. Utilization of Special Education Fund for construction and repair of school buildings and hiring of teachers through their local school boards, expansion of educational assistance through scholarships and direct support for school materials, upgrade the quality of science, math and English teachers through trainings and provision of more scholarship slots, enhance school learning environment by providing adequate textbooks, science equipment and computers. Enhance the Quality and Relevance of HEIs. Strengthen ladderized education program, expand scholarship and training opportunities, improve the quality and standards of TVET, strengthen competencies of graduates and curriculum upgrading to enhance employability of graduates, improve linkages of HEIs with industry through career orientations and labor market information, establish more centers of excellence and development, and strengthen research and development of state universities and colleges (SUCs).

Agri-industrialization and Environmental Protection Gearing up for a structural shift to agri-industrialization with full environmental responsibility and judiciousness. Increase agricultural productivity. Expand and utilize irrigated areas to be taken from rainfed areas, Promote farm diversification, intensify multiple cropping, develop breeder-base of existing livestock resources, increase volume of production for the following HVCC: coconut, mango, rubber and banana, intensify knowledge technology and market information through local colleges, universities and research institutions, provision of infrastructure support and facilities, i.e. farm-to-market roads, rock

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causeways, pre and post harvest facilities and irrigation projects, intensify assistance to Agrarian Reform Communities (ARCs) to hasten level of maturity Harness marine/fishery and mineral resources. Tap the region’s extensive coastline for agri-fishery production, strengthen fishery support services for increased productivity through the establishment of tech-demo projects, fish cage/pen, seaweed nurseries, among others, increase volume of production for commercial fishery, municipal fishery, aquaculture and seaweeds, increase income of fisherfolk families through alternative livelihood, trainings and technical assistance, embark on the declaration and delineation of Minahang Bayan to support small-scale mining, advocate partnership between small and large-scale mining through the provision of mining service contracts, conduct of sustained campaign for the adoption of the proposed Mineral Action Plan. Pave the road to agri-industrialization with environmental responsibility. Judicious utilization or exploitation of mineral resources, mitigate environmental impacts of any activity through reforestation, coastal resource management, and rehabilitation, development, maintenance and protection of critical watershed areas to protect and conserve environmental condition of the region.

Roads, Bridges, Railroads, and Support Infrastructure Opening up Zamboanga Peninsula to the rest of the country thru an integrated transport system and stronger support infrastructure. Development of an integrated linkage. Completion of all major road networks in Zamboanga Peninsula - Zamboanga West Coast Road Project, Dapitan-Dakak Road Project, Dipolog – Pagadian Road Project, and Zamboanga By-pass Road Project, among others; upgrading of major seaports and modernization of port handling facilities; construction of a new international standard Zamboanga International Airport, upgrading of current Zamboanga International Airport facilities, Dipolog and Pagadian City Airports; construction of feeder airports in Zamboanga Peninsula such as in Ipil and Liloy; support for the construction of a Mindanao Railway System; provide roll-on/roll-off in major seaports, and modernization of port handling facilities. Building up stronger support infrastructure facilities/utilities. Maximize existence of Telepono sa Barangay for telecommunications needs of the people in rural areas; prioritize implementation of water supply projects to provide potable water to the remaining unserved barangays; encourage greater private sector participation or support in the expansion and rehabilitation of water supply services in the urban areas; construct and rehabilitate drainage, sewerage and flood control and shore protection projects; electrification of the remaining unenergized barangays in the region and reduce system loss; explore and develop renewable energy resources in the region; continuous upgrade of existing power delivery systems.

Trade, Investments, Exports Priming for a major role in hitting trade, investment and export targets of the country. Embarking on a more vigorous investment promotion. Operationalization of local investment codes; streamlining of loan and processing requirements; promote entrepreneurial and managerial development; help establish more SMEs and provide

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technical assistance to existing ones in the areas of financing, training, technology and marketing; promote industry cluster; full support for the Small and Micro Enterprises Technology Upgrading Program (SET-UP); provide and upgrade infra support facilities and utilities; conduct investment and tourism promotion thru trade fairs, business/market matching and trade missions involving newly created and existing SMEs; establish business center in strategic areas; encourage the Zamboanga Freeport Authority and the Provincial Government of Zamboanga del Norte to secure programmatic ECC for the Zambo Ecozone first industrial park in Zamboanga City and the Provincial Agri-Industrial Center (PAIC) in Roxas, Zamboanga del Norte; operationalize the Dapitan-Dipolog-Polanco-Katipunan-Roxas-Manukan Industrial Growth Center, as well as, the Zamboanga-Ipil-Pagadian Development Corridor. Increase exports. Intensify training on product quality and packaging; facilitate access to existing and would be entrepreneurs to modern production technologies; trade expositions; market fairs, assistance to HACCP compliance and fast track issuance of halal certificates; full implementation of programs geared towards strengthening production of both traditional and non-traditional export items. Upgrade standards and testing facilities and establishment of satellite laboratories to help SMEs improve productivity, hence boost industrial development in the region, improve policy reforms affecting producers, investors and industry, provide assistance to producers on credit, product development and marketing, harness and promote region’s champion and emerging products. More crucial is the need to pave the way for the entry of the mining industry as a major contributor to the region’s export targets.

Security Protecting gains on peace initiatives and working for a sustainable peace and security for a healthier and more robust economic development in the region. Major strategic interventions. Intensify anti-crime and anti-terrorism initiatives; institutionalizing peace building and conflict transformation capacities of actors and institutions; promote advocacy of a culture of peace; improve responsiveness of LGUs to peace and development concerns; transform conflict-affected areas into Peace and Development Communities; firm up partnership among agencies, LGUs and social structures sustaining an environment of collaboration for peace and development.