Wednesday, October 15, 2008 Davao econ performs well in 1st half By Joy Romares-Sevilla
AMID soaring prices of oil and the impact of the sharp rise in inflation rate, the National Economic Development Authority (Neda) in Davao Region reported that the region's economy performed well during the first six months of the year.
In his report, Nicasio Angelo Agustin, Neda-Southern Mindanao regional director, said the region's major agricultural crops, fisheries production, tourism industry and employment rate continued to increase during the period.
"Major agricultural crops such as banana and coconut registered improved production levels by 15 percent and three percent, respectively, despite a series of oil price hikes and the regression of peso against the US dollar," Agustin said.
He said export income of banana reached P263 million, while that of coconut was pegged at P31 million during the first semester of the year.
"The production increase was mainly due to the expansion of planting areas and increased technical assistance by the Department of Agriculture (DA)," Agustin said.
However, Agustin claimed that some of the region's industrial crops, such as coffee and cacao, posted lower production levels as many old trees were cut down to ready some croplands for rehabilitation.
The region's grains output remain flat as the increase in corn production was offset by drop in palay production.
"The profitability of banana production has lead many farmers to shift to banana cultivation, thus reducing the planting areas of other crops," he said.
As to fish production of the region, it increased by three percent as lower municipal fishing production was compensated by a huge jump in aquaculture output.
The region's tourism industry, on the other hand, also enjoyed another profitable semester as visitor arrivals rose by eight percent and tourist receipts reached P5 million.
The region's employment rate also continued to improve posting 93.4 percent during the period.
Agustin also said that upward inflationary pressures did not prevent the launching of posh mid-rise condominiums and subdivisions in Davao City and the Island Garden City of Samal.
"Despite decline in capital infusion in the region, investments in the region remain high and this is highlighted by the ongoing construction of the Robinson's Gateway and the forthcoming establishment of another huge commercial establishment by the Ayala group in Davao City," he said.
Meanwhile, Agustin highlighted the completion of 315 government infrastructure projects in the region costing P802 million.
Agustin said he is hopeful that the economy of the region will continue to improve in the second half of the year although some of the internal and external deterring factors, including a rising crime rate, continue to hound the region.
"I understand the initiatives and support of the national government, local leaders, NGOs, and the private sector will continue for the region's development," Agustin said.
Agustin, who is also the vice-chair of the Regional Development Council (RDC)-Southern Mindanao, delivered his regional economic performance report to the RDC-Southern Mindanao during its thrid regular quarterly meeting held in Nabunturan, Compostela Valley Province last week.
The meeting was hosted by Governor Arturo T. Uy of Compostela Valley.
Also present during the meeting were RDC-Southern Mindanao chair Vicente T. Lao; Governor Douglas Ra. Cagas of Davao del Sur, who is also the Regional Peace and Order Chair; Governor Corazon N. Malanyaon of Davao Oriental; Mayor Rey T. Uy of Tagum City; Mayor Macario Humol of Nabunturan; other local chief executives; regional directors of line agencies; and representatives of region's private sector. (With Noel Quiratman of Neda-11)
