Cagayan de Oro urbanization rate may outpace Davao region’s — NEDA
CAGAYAN DE ORO CITY — Cagayan de Oro City, the regional center of Northern Mindanao, may overtake Davao in terms of urbanization over the medium term, as it seeks to revive steel manufacturing and become the southern Philippines’ gateway for goods, the government’s development planning agency said.
The National Economic and Development Authority (NEDA) launched the Regional Development Plan (RDP) for Region 10, Northern Mindanao here yesterday, Socioeconomic Planning Secretary Ernesto M. Pernia said in a keynote speech that the city may overhaul Davao’s urban expansion rate — which is currently the fastest clip in Mindanao.
“National Spatial Strategy foresees Metro Cagayan de Oro to become the fourth metropolitan center by 2025. Cagayan de Oro is going to be the fourth and maybe overtake Davao,” said Mr. Pernia.
If realized, it would stand together with Metro Manila, Metro Cebu, and Metro Davao, as the country’s most highly urbanized areas.
“This is based on its projected population growth and functional role as a principal gateway and trans-shipment hub in Northern Mindanao,” he said.
Philippine Statistics Authority ( PSA) data show that Northern Mindanao posted 7.6% gross regional domestic product (GRDP) in 2016, the second-fastest in Mindanao just after Davao’s 9.4%.
In terms of contribution to the country’s overall GRDP last year, northern Mindanao accounted for 3.8%, just behind Davao’s 4.1%.
According to Mr. Pernia, with the region’s development framework centered on being the gateway and leading industrial and trade center in the southern island, a boost is expected in production of high-value crops — for which the region is already the top region in Mindanao, representing 29% of overall agricultural output.
“From the list of projects, there are several paying attention to high-value products that can be in development here,” he said later in a news conference. “Manufacturing has also been very good here, social enterprise are also thriving in northern Mindanao, as well as science and technology.”
The RDP for Region 10 highlighted four of the region’s strategic development areas ( SDAs), which includes the expanded CagayanIligan Industrial and Trade Corridor that will be the site for manufacturing and processing of high-value products; the Agri- Fishery and Eco-Cultural Tourism initiatives in Misamis Occidental; the land-locked Agribusiness processing area in Bukidnon, and the Camiguin Tourism Adventure Loop.
With the expansion of agriculture, NEDA Northern Mindanao Regional Director Leon M. Dacanay, Jr. meanwhile said that the agency is moving to revive steel production to boost the manufacturing sector.
He said that the agency is conducting talks with stakeholders to revive steelmaking, and is awaiting the release of funds from NEDA to start feasibility studies within the year.
“Manufacturing is also a dominant player, and we’re looking at it as a major driver. For now, we’re studying the possibility of reviving the steel industry. If we are successful in that, then we can attract upstream and downstream industries that can site in specific places in the SDAs,” said Mr. Dacanay.
“[ It is] now ongoing, and we’re trying to look at the steel roadmap. It’s still a proposal, but the R&D (research and development funds coming from NEDA) is already approved, and we’re just about to resubmit the terms of reference so we can start the study. But we’ll conduct it this year,” he said.
In the RDP, growth is targeted at 6.1-8.2%, from an average of 6.3% for the 2010-2015 period, with poverty incidence targeted for reduction to 22- 24% from 30.3% in 2016, while reducing unemployment to below 20% from 24.9% in 2015. —