Economist says Davao is best area for industry clustering

DAVAO CITY — An economics expert from the University of the Philippines has cited Region 11 as the best region in the country for industry clustering.

“The entrepreneurial spirit is very strong in Davao and it contributes to the success of clustering selected industries,” the UP economics development specialist Jose Tabbada said.

Tabbada said this strategy is being used in many developed countries for cutting costs of doing business, sharing facilities and raw materials and enjoying better access to markets.

He said the strong entrepreneur culture in Davao has helped the region grow by leaps and bounds over the years.

Tabbada was impressed by the support given by the Department of Trade and Industry (DTI), city mayors, governors and other government agencies in the region.

The chances of industry clustering succeeding in the Philippines, is far greater in Mindanao than in Luzon, Tabbada said during the Davao Industry Cluster Capacity Enhancement Project (DICCEP) Workshop here recently.

Some of the successful industry clusters that have grown during the last few years, as mentioned by Tabbada are the vegetable clusters of Northern Luzon, the sardines industry cluster of Dipolog, the food processing industry cluster of Caraga and the furniture industry cluster in Cebu.

The UP professor said there are seven promising industry clusters considered as having the best chances to succeed in Region 11 than anywhere else in the country. These are the banana industry cluster, mango industry cluster, seaweeds industry cluster, wood industry cluster, mining industry cluster, ecotourism cluster, and the ICT industry cluster.

Meanwhile, Trade Undersecretary Merly Cruz said the business upbeat and entrepreneurial spirit of Davao can be attributed to the right business environment provided by the local governments and supported by government agencies.

On the other hand, the chief adviser of the Japan International Cooperation Agency (JICA) lauded the all-out support of the key players for the industry clustering program in the region.

Tetsuo Inooka has admired the high level of interest among the top managers of Davao industries and government agencies on the program to develop and strengthen industry clusters in the region.

JICA has joined the DTI in conducting the recent DICCEP training workshop here.

Manila Bulletin Online Sept 6, 2008
By BEN D. ARCHE  

 

http://www.mb.com.ph/issues/2008/09/06/PROV20080906134444.html

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