Northern Mindanao’s Exports Presented by Confederation of Philippine Exporters Foundation Region 10 Chapter, Inc. PhilExport-CDO (10A) (An affiliate of the Philippine Exporters Confederation, Inc.)

Northern Mindanao Export Performance (in USD billion) Sources: DTI, BOC, NSO

Northern Mindanao’s export growth (in USD billion) PeriodNMPHShare % % % % % % % % % % % % Sources: DTI, BOC, NSO

Northern Mindanao Major Export Markets Existing MarketsEmerging Markets ChinaAustralia EuropeKorea JapanMalaysia TaiwanSingapore USAVietnam

Northern Mindanao’s Food Exports Cane Sugar Molasses Frozen Shrimps Fresh Banana Fresh Pineapple Frozen Mango Halves Fruit Puree Fruit Concentrate Banana Chips Dried Fruit Moringa Tea Fruit Cocktail Fruit Juice Glucose Syrup

Northern Mindanao’s Coconut-based Food Exports Coconut Water Coconut Vinegar Coconut Cooking Oil Corn Oil Organic Virgin Coco Oil Coconut Sugar Desiccated Coconut, Reduced Fat Coconut, Coconut Cream

Northern Mindanao’s Exports of Gifts, Toys, Housewares & Fashion Accessories Baskets Handmade Paper Pottery Office Novelties

Northern Mindanao’s Coconut-based Industrial Exports CNO RBD Copra Meal Oleochemicals Coconut Charcoal Coconut Fiber

Northern Mindanao’s Industrial Exports Sintered Ore Fiber Reinforced Plastic Septic Tanks (from recycled plastic) Rubber Boots Jika-tabi shoes Billets Metal Scrap

Northern Mindanao’s Resource-based Exports Cut flowers Leatherleaf Ferns Raw & finished tree plantation products Abaca Fiber Pineapple Pulp Shark Liver Oil Rubber Cup Lumps

Northern Mindanao’s Mineral Ore Exports Manganese Copper Iron Chromite

Features and Characteristics Largely agri-based: Provides direct income to farmers Volume intensive: Provides additional opportunities for service providers. Annual traffic average is 500,000 TEUs and about 6 million MT of bulk. Mostly operated by home-grown investors Growing volume of SME exporters* compared to that of large exporters: From less than 10% share in 2006 to about 27% in 2012 Major imported raw materials: farm inputs, packaging materials and ingredients * Companies with up to US$ 1M capitalization

Current Challenges Uncertainties on Power: Committed plants to be online after 2016 with no assured availability in the next 2 years. Additional costs on imported raw materials o Additional fees at the Designated Evaluation Area (DEA) o Green Lane imports still pass through DEA, BOC invokes “High Risk Countries” all the time even for countries with Free Trade Agreements (Japan included) o Unfair practice as not all ports have DEA

Current Challenges 3 years after EO 23 was implemented o DENR has yet to simplify regulations in manufacturing tree plantation species and even imposed more policies which declined the number from almost 100 companies exporting tree plantation products, to less than 30 today. o This Tree Plantation sector of the wood industry provides wooden crates for all exports requiring such. o Confirmed reports of smuggled plywood since 4 th quarter Local plywood manufacturers also having a hard time complying with DENR guidelines for tree plantations.

Thank you

Northern Mindanao is STILL the fastest growing economy in Mindanao, averaging at 4.7% annually GRDP Growth Rates: Source: NSCB