From the Executive Summary
The Industry Clustering Strategy (ICS) was adopted by the Regional Development Council XI as one of its major development strategies, particularly for the generation of investments, development of exports and creation of job opportunities.
It was first embodied in the Davao Region Development Plan, 2004-2010 where eight (8) industry clusters have been initially supported by the government and private sectors, namely: banana, mango, coconut, seaweed, wood, mining, tourism and information and communications technology (ICT). Three (3) more industry clusters were added to the roster in 2007, namely: livestock and poultry, machinery and equipment parts and biofuel industries. These clusters were adopted by the RDC XI through RDC XI Resolutions No. 2, series of 2006 and No. 47, series of 2007, respectively.
Industry Cluster Teams, composed of the Private Sector, National Government Agencies (NGAs), Local Government Units (LGUs), academe and other key industry stakeholders have likewise been organized to support the operationalization of the Region’s industry clustering strategy. After eight years of implementation, the RDC XI Executive Committee directed the conduct of an assessment of the aforesaid priority industry clusters to determine the progress/performance of the industries fared in terms of its objectives; identify factors that facilitate or hinder the development of aforecited industries; and, determine gaps in the value chain. The said assessment was participated in by the Region’s Lead Agencies, the Department of Trade and Industry, the Bureau of Investments and the Local Government Units. The Assessment resulted in the adoption of 17 industry clusters as the Region’s priority in the last three years of the current planning period, and beyond. These are: 1) banana, 2) mango, 3) coconut, 4) seaweeds, 5) wood, 6) mining, 7) ICT, 8) tourism, 9) livestock and poultry, 10) durian, 11) bangus, 12) rubber, 13) rice, 14) abaca, 15) cacao, 16) oil palm, 17) renewable energy; adopted by the RDC XI through its Resolution No. 34, series of 2013. The selection was based on the following parameters:
- Contribution to Regional and National Output
- Growth potential
- Poverty reduction potential
- Active Private Sector Participation
- Support of LGUs
Seventeen Industry Clusters were originally selected as priorities by the RDC XI Executive Committee in May 2013. However, for lack of more data and information, 2 industries, namely: Oil Palm and Rubber were dropped from the list. It does not mean these industries are no longer the region’s priorities, it only means, they have not been included in this Roadmap. Hence, The RDC XI shall continually track the performance of these industries.
The updating of the Davao Region IC Roadmap complements the Davao Regional Development Plan (RDP), 2014-2016. It contains detailed action plans and strategies to implement the Industry Clustering Strategy of the Region which is the RDP’s platform for promoting exports, generating jobs and accelerating agro-industrialization towards more value-adding activities. The Roadmap complements the Region’s strategies towards seizing the opportunities presented by the impending ASEAN Economic Community Integration in 2015.
The Davao Region Industry Cluster Roadmap, 2014-2030 comes in four (4) Parts. The first Part provides the General Framework of Davao Region’s Industry Clustering Strategy which takes off from the Regional Development Plan, 2014-2016 Update.
The Second Part contains the Roadmaps of each of the fifteen (15) priority Industry Clusters consisting of the following:
a) Description of the state of the Industry in terms of product, logistics and infrastructure support, research and development/science and technology, human resource development, pricing trends, policies and governance support;
b) Mapping of the Industries’ Value Chain involving all key players;
c) Identification and description of the Key Challenges and Threats that should be addressed and opportunities that should be harnessed to further strengthen the industry;
d) Statement of the Industry Clusters’ Vision, Goals and Targets for the short-term (2014-2016), medium-term (2017-2022), and long-term (2022-2030) which are outcome-impact oriented;
e) Identification of Strategies, plan of action to achieve the vision for the industry within the specific timeframe. This also includes the identification of the available resources/funding and duties and responsibilities of stakeholders; and
f) Identification and description of the roles of the key stakeholders in the Industry Cluster Governance Network who shall act as champions for the Cluster. This includes the Lead National Government Agencies, Anchor LGUs, Support Academe, and the Private Sectors.
Part Three (3) of the Roadmap discusses the Cross-Cutting Strategies that shall support the development of all industries such as the improvement of infrastructure and logistics support, programs and projects, incentives, marketing, financing, research and development and other government support available to the business/industry and policy directions that shall have significant impact on the development of the Industry Clusters.
Part Four (4) discusses the overall implementing mechanism, and the system of monitoring and evaluation of the Roadmap. It shall be implemented through a 20-year rolling investment program that indicate the value-adding activities, programs and projects towards the implementation of each specific industry’s value chain map. The delivery of expected outputs and outcomes from the Roadmap shall be tracked through the monitoring of the results chain and the Results Matrices of the Updated RDP. The financing of the Roadmap shall be sourced from the National Government Agencies, Official Development Assistance, Government Financing Institutions and other private sector sources.
Generally, the fifteen Industry Clusters envision to become globally competitive, especially towards the ASEAN Economic Community Integration, as well as to improve the quality and well-being of its key players and stakeholders. One of the major thrusts of the RDC XI is for the Industry Clusters to push for the transformation of the economy from consumption-driven to one that is increasingly investment-led and employment-oriented by way of developing the Region’s manufacturing subsector
The manufacturing subsector’s potential for innovation, value adding and linkages with the agriculture sector and services, is expected to drive the economy to a higher growth trajectory, creating high-quality employment opportunities, and substantially reduce poverty.
Read the full Davao Region Industry Clusters Roadmap 2014-2030.