DAVAO Region had reached a double-digit Gross Domestic Regional Product (GRDP) for the first time at 10.9 percent but with the Agriculture industry having the lowest percentage contribution.
"For the first time, Davao Region has achieved a milestone having a double digit growth rate of 10.9 percent in 2017. This is indeed the strong economic performance of the region," Maria Lourdes Lim, National Economic and Development Authority (Neda)-Davao Regional Director, said on Thursday, April 26, at the Apo View Hotel.
She also said that the growth rate record of the region's economy is higher compared to the national growth rate of 6.7 percent and that the region's economic performance in 2017 surpassed the target growth set at 8.6 to 9.6 percent.
Philippine Statistics Authority (PSA)-Davao Chief Statistical Specialist Rosendo Aya-ay said that the region contributed 4.6 percent to the national Gross Domestic Product (GDP) in 2017 which increased compared to the percent share recorded in 2016. The region ranked fifth among all the regions in the country in terms of regional shares.
The region is also the second fastest growing economy in the country after the Cordillera Administrative Region (CAR) with 12.1 percent.
The biggest contributing sector is the services sector at 49.6 percent or about P358.15 million. Under the services sector, the biggest contributor is the Trade and Repair of vehicles and personal and household goods contributing to about 37.8 percent of the entre services sector (P144.51 million). This is followed by the services categorized under the Others category with 17.9 percent (P61.13 million). The Real Estate, Renting, and Business Activities (P54.58 million) and the Transportation, Storage, and Communication (P41.24 million) followed after this. The Financial Intermediation sector reached P40.89 million contributing 10 percent to the services sector. Finally, the Public Administration and Defense sector contributes 4.6 percent or roughly P15.80 million.
Following the Services sector is the Industry sector at 39.2 percent of the overall GRDP of Davao Region. This translates to a total of P250.18 million for the industry sector. Manufacturing contributed more than half of the industry sector at 59.5 percent or about P129.88 million. Construction followed after manufacturing contributing 34 percent of the industry sector (P101.60 million), Electricity, Gas, Water Supply contributed 3.8 percent (P11.16 million), and Mining and Quarrying 2.7 percent (P7.54 million).
The agriculture sector of Davao Region, on the other hand, falls short against these two other sectors with only 11.2 percent (P120.47 million) contribution to the overall GRDP of the region. Agriculture and Forestry makes up 95 percent of the sector while fishing with 5 percent.
“We have to recognize as well that despite this status of our agriculture sector, it has already rebounded from its 2016 percentage which was negative. We are concerned of the agriculture sector but it is still recovering from the El Niño in 2016. Some agriculture plantations in Davao Region are currently expanding. Currently, different industries are leveling up their roadmaps such as the cacao, coconut, and mango,” said National Economic and Development Authority (Neda) Davao Regional Director Maria Lourdes Lim. (With Jamille Galido Monforte, FSUU Intern)