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| ZamboPen Economy in 2010: Uhmm, Ahh, Well. . . |
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| Written by Darwin Wally T. Wee |
| Thursday, 04 February 2010 09:14 |
 ZAMBOANGA CITY – BUSINESS leaders and economic planners in this regional capital are all one in projecting that 2010 is a test of time if the local economy will improve or not. Nazrullah B. Manzur, regional director of the Department of Trade and Industry (DTI), said this year faces a great challenge to strike a positive change in terms of economic activity, particularly for Zamboanga Peninsula. According to him, the upcoming national election will also play an important role that will determine the future course of the region, not to mention the entire country. Among the challenges for this year are climate, change which has been taking its toll in the agribusiness sector, the looming power crisis, the unstable security condition for this region, and unraveling process between the government and the MILF. Zamboanga Peninsula, which is composed of the provinces of Zamboanga del Norte, Zamboanga del Sur, Zamboanga Sibugay, and the chartered cities of Zamboanga and Isabela, is known for its sardines, seaweed, coconut, and rubber products. But with its proximity to the conflict-prone provinces of Basilan and Sulu, a negative image problem has been affecting the inflow of investment. Manzur said investment for the first six months of this year is not expected to bes bright, saying that business leaders and investors will rather wait for the results of the elections. “There will be not much movement but we expect a change after the election,” he said. Jaime J. A. Rivera, secretary general and executive director of the Basilan Chamber of Commerce and Industry, Inc., warned that the election also poses violence among politicians. “On a positive note, the possibility of the fastest election vote count ever in our country's history; possibility of early elections for autonomous Muslim region; but election-related violence and the possibility of massive cheating, vote-rigging or system-wide failures in COMELEC's (Commission on Elections) new automated elections. The more we change...somehow, the more we stay the same,” he said. Edgar B. Lim, president of the Industrial Group of Zamboanga, said that exporters in this region particularly in the marine industry will expect a rebound from the losses they incurred during the global financial crisis that started on the later months of 2008. “We expect the start of economic recovery this year in the United States and European Union, our biggest markets in terms of marine products,” he said. He said there has been a steady increase of demand for this product abroad. However, Lin fears the threat of a power crisis to local processors and manufacturers. “We are lagging behind in the investment in power plants to generate electricity,” he said. Amid the challenges, business sector in Southwestern Mindanao remain positive in their outlook, particularly when the government and the Moro Islamic Liberation Front (MILF) could strike a deal this year. “The prospect of better economic development is highly anticipated particularly in agro-fishery, oil, and other land resources hopefully under the regime of peace,” Lim said, referring to the positive development of the ongoing peace negotiation between the government and the Moro rebels. These factors, according to Undersecretary Virgilio Leyretana, chair of Mindanao Economic Development Council (MEDCO) will be crucial not only to Zamboanga Peninsula but the whole Mindanao island as well. According to him, the agriculture sector that includes fishery and forestry, which accounts almost 50% of the region’s economy, is expect to grow by 5% this 2010, citing the expansion of farm lands and robust fishery productions. He said although the drought brought by an El Nino is expect to adversely affect the agriculture sector, the sardines industry will likely improve saying that “fish catches are good during this phenomenon.” Canning and bottled sardine, which plays a significant factor in the local economy, are expected to improve its performance by 5.5%, MEDCO said. Leyretana said the investment performance in Zamboanga Peninsula could be determined if “there is a strong and sustained support from the local government units, private sector, and national line agencies in promoting investment in the region.” “More importantly, the stability and security of the region must be ensured to attract new players from pouring in fresh funds for a long term growth of the region,” he added. |