MEDCo & BIMP-EAGA: Better Integration Means Progressing Economically Across Global Arena

I. MANDATE AND FUNCTIONS OF MEDCo

II. DEVELOPMENT STRATEGIES FOR MINDANAO

III. BIMP-EAGA DEVELOPMENTS

IV. HR-RELATED DEVELOPMENTS AND RECOMMENDATIONS

PRESENTATION OUTLINE

MANDATE & FUNCTIONS OF MEDCo

(MEDCo)

Mandated by Executive Order No. 512

To promote and coordinate the effective and extensive participation of all sectors in

Mindanao

Executive Order No. 244Amendment to EO 512 (issued 15 May 2000)

MEDCo as the Philippine Coordinating Office for the Brunei Darussalam-

Indonesia-Malaysia Philippines East ASEAN Growth Area (BIMP-EAGA)

DEVELOPMENT STRATEGIES FOR MINDANAO

DEVELOPMENT STRATEGIES FOR MINDANAO

BIMP - EAGA

BRUNEI DARUSSALAM-INDONESIA-MALAYSIA-PHILIPPINES EAST ASEAN

GROWTH AREA (BIMP-EAGA)

BackgroundBackground

Increase TRADE, TOURISM and INVESTMENTS in the growth area.

OBJECTIVES

• To facilitate freer movement of people, goods and services; • To rationalize the development of vital infrastructure in the

sub-region; and • To coordinate the management of eco-systems and

common resources to ensure sustainable development.

GOAL

LabuanLabuan

SarawakSarawak

KalimantanKalimantan SulawesiSulawesi Irian JayaIrian Jaya

MindanaoMindanao

PalawanPalawan

GorontaloGorontalo

North MalukuNorth Maluku

SabahSabah

MalukuMaluku

Brunei Darussalam

Malaysia Indonesia

Philippines

LAND AREA: 1.6 million sq. kmPOPULATION : 57.5 million

COMPOSITION

EAGA SET-UP

Country Secretariats

Signing Ministers(one per country)

Signing Ministers(one per country)

Senior Officials(one per country)Senior Officials(one per country)

11 Working Groups

BIMP-EAGA Business Council (BEBC)

BIMP-EAGA Business Council (BEBC)

BEBC SecretariatBEBC Secretariat

BIMP-Facilitation Center (BIMP-FC)BIMP-Facilitation Center (BIMP-FC)

4 Clusters4 ClustersBEBC Country DirectorsBEBC Country Directors

BIMP-EAGA Leaders(Heads of State)

BIMP-EAGA Leaders(Heads of State)

TRANSPORT AND INFRASTRUCTURE

DEVELOPMENTBrunei Darussalam

NATURAL RESOURCES

DEVELOPMENTIndonesia

JOINT TOURISM DEVELOPMENT

Malaysia

SME DEVELOPMENT

Philippines

Air Linkages

Sea Linkages

HRD/PM*

Telecom/ICT

C/CM

Agro-Industry

Fisheries Cooperation

HRD/PM*

Energy

Forestry & Environment

Tourism

HRD/PM*

KF/FS

CIQS

HRD/PM*

CLUSTERING OF WORKING GROUPSCLUSTERING OF WORKING GROUPS

*Cross-cutting sector

INSTITUTIONAL ARRANGEMENT

1994-1997 1998-2000 2001-Present

Accelerate

d Econom

ic Gro

wth

Asian Fin

ancial Cris

is /

Political U

pheaval /

Security P

roblem

Revitaliz

ation E

fforts

BIMP-EAGA: Timeline

REDUCED MOMENTUM IN BIMP-

EAGA INITIATIVES

EARLY BEGINNINGS OF BIMP-EAGA

RESURGENCE IN BIMP-EAGA INITIATIVES

Sustaining the Momentum

(2001-onwards)

Sustaining the Momentum

(2001-onwards)

Highlights of the 2nd BIMP-EAGA Leaders’ Summit

December 11, 2005, Kuala Lumpur, Malaysia Identified Priority Areas; Transportation, Infrastructure, ICT, Natural Resources, Tourism,

SME Development Facilitate trade through the strengthening of CIQS mechanisms

Agreed to enhance security in the sub-region, specifically undertaking joint security patrols to address transnational crimes and terrorism;

Agreed to undertake energy cooperation to address the impending power deficit;

Encouraged the active involvement of LGUs

Tawau

Davao

Kuching

Manado

Balikpapan

KudatKK

BSB

Pontianak

Tarakan

1hr, 20 mins

ZamboangaSandakan

Brunei Darussalam-Malaysia

BSB-KK via RBA and MAS

BSB-Kuching via RBA and MAS

Malaysia-Indonesia

Kuching-Pontianak via MAS

Manado-KK via MAS

Balikpapan-BSB via RBA

Tarakan-Tawau via MAS

Existing

Discussion on-going

Philippines-Indonesia

Davao-Manado via Merpati

SingaporeSingapore

JapanJapan

Intra-EAGA Air Linkages

Malaysia-Indonesia Tawau-Ujung Pandang

Brunei Darussalam-Malaysia

Muara-Bintulu

Muara-KK

Muara-Kuching

Muara-Labuan

Muara Tawau

Ujung Pandang

Bintulu

Kuching

LabuanSandakan

Tawi-tawiKK

Davao

Lahad Datu

Zamboanga

Manado

Existing

On-going discussions

Philippines-Malaysia

Zamboanga-Sandakan • MV Mary Joy

Zamboanga-Tawi-tawi-Sandakan• MV Weesam

Intra-EAGA Sea Linkages

• Bataraza and Brooke’s Point in Palawan and Kudat, Malaysia

LGU-Based Cooperation• Formalized the Jose Abad Santos –

Glan – Sarangani Cooperation Triangle (JAGS-CT)• Assist and guide the JAGS-CT

Secretariat

DEVELOPMENT GOAL

• ULTIMATE GOAL: Narrow the development gap across and within the EAGA member countries as well as across the ASEAN-6 countries.

• IMMEDIATE GOAL: Increase trade, investments and tourism within EAGA.

BIMP-EAGA ROADMAP TO DEVELOPMENTAND ACTION PLAN (2006-2010)

Strategic Directions

Target Market: Middle East 15,400 MT per year or 1,284 MT per month

Mindanao’s Production Capacity Total Chicken Production: 212,456 MT (Annual Average)

Brunei Darussalam• Halal Certification• Marketing• Financing• Business Dev’t

Service

Philippines• Breeding • Operation of Slaughter

House and Dressing Plant

• Business Dev’t Service

Malaysia• Marketing• Business Dev’t Services

Indonesia• Integrated Feed Mill

Operation • Corn Production • Business Dev’t Services

• Halal Poultry Project

Flagship Projects

Trading

Virgin CocoOil

Gro

win

g

P

rocessin

g

Growing

Pro

cess

ing

Growing

Processing

Virgin CocoOil

Virgin CocoOil

Growing

Trading

Trading

• Virgin Coconut Oil (VCO) Project

Flagship Projects

Philippines • 4 Processing plants

(Mindanao)• 160 ha seaweed

plantation • 80% Food grade

carrageenan• 93,000 MT in 2003

Malaysia • 7 Processing plants• 4,700 MT in 2002• Imports 70% of its

supply from Philippines Indonesia

• 3 Processing plants • Pet grade carrageenan• 55,000 MT in 2005

• Seaweed Industry Project

Flagship Projects

Philippines

Malaysia Indonesia

Brunei Darussalam

Storage R

efin

ing

Sh

ipp

ing

Trading

Value Adding thru Sub-regional

Economic Integration

Gro

win

g

Consumer

Products

Processing

POTENTIAL AREAS: 304,350 Hectares TOTAL AREAS PLANTED: 21,232 Hectares

• Palm Oil Industry Project

Flagship Projects

Joint Tourism Development (JTD) Marketing and Promotion

• Come-up with Tour Packages focusing on CAN (culture, adventure, nature) plus golf and diving tourism

• Establishment of additional air linkages

Flagship Projects

• Philippine CIQS Primer• BIMP-EAGA CIQS Directory• Local CIQS Consultative Councils in P-EAGA

Ports of entry and exit• Project Brief on the Simplification and

Harmonization of Customs Clearance Procedures in the BIMP-EAGA

• AusAID Technical Assistance Project on Strengthening the BIMP-EAGA Support Team on CIQS (BEST on CIQS)

• Joint Border Patrol in the subregion

Customs-Immigration-Quarantine-Security (CIQS) Cooperation

Energy Cooperation

• Explore possible areas of cooperation in order to enhance energy cooperation among BIMP-EAGA member countries

• Appointed Gen. Efren Abu (Ret.) as Special Envoy to BIMP-EAGA

• Recently turned-over BEBC Chairmanship to the Philippines

• Recently signed and renewed Memorandum of Understanding on RP-RI Fisheries Cooperation

Other Developments

• Implementation of the BIMP-EAGA Road Map

• Push for the Uniform Port Tariff Agreement between the Philippines and Malaysia

• Extension of Travel Tax Exemption until June 2008

• Pursuance of CIQS Initiatives

• Implementation of flagship projects

• Support to LGU initiatives

• Strengthen linkage with external markets such as Japan, Australia, Korea, and China

• Strengthen institutional network among BIMP-EAGA organizations

Priority Initiatives

2006 – Third Quarter

• 3rd Joint Tourism Development Cluster Meeting18-19 July 2006, South Cotabato, Philippines

• Mindanao Trade Expo International11-12 August 2006, Philippines

• Sabah International Expo8-13 August 2006, Kota Kinabalu, Sabah, Malaysia

• Mindanao Investment Forum28 August 2006, Mindanao

• Mindanao Business Conference31 August-02 September 2006, Zamboanga City

Forthcoming Activities

2006 – Fourth Quarter

• China-ASEAN Expo19-22 October 2006, Nanning, China

• BIMP-EAGA Tourism and Promotion SeminarNovember 2006, Japan

• 14th SOM/11th MM06-11 November 2006, Malaysia

• BIMP-EAGA Leaders Summit11 December 2006, Cebu City, Philippines

• ASEAN Leaders Summit12-13 December 2006, Cebu City, Philippines

Forthcoming Activities

HRSD-RELATED DEVELOPMENTS &

RECOMMENDATIONS

• Generated the following inputs/suggestions:

1) Put more emphasis on the role of the WG on HRDPM in the BIMP-EAGA flagship projects;

2) Philippines could serve as the manpower resource base for BIMP-EAGA providing a trainings and a ready pool of qualified workers; and,

3) Harmonization of skills levels and standards among BIMP-EAGA member countries.

Highlights from the P-EAGA Coordination Meeting

• Actions to be taken: - DOLE to come up with a position paper on the previously mentioned concerns

• Recommendations: - DOLE, POEA and TESDA should closely coordinate with the lead agencies of the P-EAGA Clusters to discuss/identify issues and concerns for the WG on HRDPM to work on at the BIMP-EAGA level.

Highlights from the P-EAGA Coordination Meeting

Usbaw Mindanao …

For more information log on to:

http://www.medco.gov.phOr e-mail us at:

info@medco.gov.ph