Economy

The economy of Misamis Occidental is primarily an agri-based with 118,933

hectares or 61.33 percent of its total land b e i n g d e v e l o p e d a s croplands.
Food crops occupied an area equivalent to 13,861 hectares or 11.65 percent of
the total cropland, while 105,072 hectares or 88.35 percent are devoted to
commercial crops.
Agriculture and Rural Development Sector
Agriculture, fishery and forestry being the key drivers of the economic
development of the province have shown many major issues and concerns. Despite
decade of support from the various local and foreign assistance growth in the
agricultural sector is affected by many issues like land conversion to non-production
uses that resulted to shrinking of agricultural areas, soil degradation due to soil
erosion, declining of forests due to continuous timber cutting in the upland, among
others. These have resulted negative impact in the environment and slower
economic growth.
The industrial and manufacturing activities in the province still rely heavily on
the development of the agricultural sector. The limited employment opportunity in
the province has resulted migration of skilled workers. Local agriculture is
characterized by small farm units relying almost solely on land and labor as main
production inputs.. With high cost of inputs coupled with high interest rates of
capital, farmers could not earn much therefore could not save and would resort to
additional credit for the next cropping activity. As a consequence, farmers remained
impoverished. Relatively, the fishermen are also affected by the adverse effects of
the upland activities resulting to declining fish catch due to degradation of marine
habitat, climate change and encroachment of commercial fishing vessels in the
municipal waters.
Crop Production
Rice
Rice is considered as the secondary crop and the staple food of the populace
of Misamis Occidental most especially for the lowland dwellers. For the two cropping
seasons, 16,680 hectares were planted in irrigated paddies areas and 1,333
hectares in non-irrigated paddies areas and 100 for upland areas. The average
yields of rice for 2010 were 4.33 MT/hectare irrigated, 3.51 MT/hectare for rainfed
and 1.38 MT per hectare for upland.
Corn
Corn is the staple food of the populace in the rural areas of the province
covering an effective area of 18,915.10 hectares in CY 2010. It is mostly grown on
high land areas which are usually planted under coconut trees and has total
production of 33,922.48 metric tons in 2010 or having an average of 1.79 metric ton
per hectare. Open pollinated variety of white corn was introduced replacing the
tinigib which has low yield performance. However, the farmers prefer the latter due

to its high milling recovery. The hybrid varieties are mostly used in the cities of
Ozamiz and Tangub generally for feeds purposes.
Banana
Banana accounted for 7,686 hectares in the province with a total volume of
production of 92,685 metric tons or an average of .02 metric ton per hill. This kind
of crop is mostly planted on well-drained areas usually under coconut trees.
Although most of these are grown in backyard and small scale with less attention,
still it contributes to the supply for the high demand for chips and snacks, like
turons, cues, crackers and the likes in our local market.
Other Major Crops
Cassava is one of the major crops in the province. As a food crop, its demand
dramatically increases. Indeed, there has been a significant increase of the area
planted and correspondingly in its production from 33,641 metric tons in 2008 to
40,337 in 2009.
Moreover, in recent years, farmers are attracted to planting high value crops
with mango and banana as the leading fruits. Many High Yielding Variety (HYV)
mango started to bear fruits giving increase income to mango growers. Other
commercial fruits include durian, lanzones and rambutan.
Agricultural Support Services/Facilities
The province has 32 communal irrigation systems (CIS). The whole system
has a service area of 3,027 hectares. These irrigation systems are trapezoidal,
shutter and corewall, intake, ogee or teruvian which are located and distributed
throughout the province. There are 113 rice mills and 52 corn mills in the province.
The province as an agricultural economy, the planning body of provincial
government under the GO HERMIE program of Governor Ramiro launched a mobile
soil laboratory so that the right crop could be grown in the right soil. This initiative
is in addition with the existing farm equipment that the province has provided to
enhance agricultural productivity.
Commodity Profile of the Province (per Commodity)
COMMODITY 1: CARDAVA BANANA
COMMODITY PROFILE
The Province of Misamis Occidental is the third producer of Banana in
Northern Mindanao with a production of 46,727.91 MT in 2013. Bananas are
produced in all cities and municipalities of the province. Most of the producers are
smallholder farmers who grow the crop for either home consumption or for local
market. In 2013, the province has a total area of 2,245 hectares planted with
banana cardava a 4% increased over 2009 which is only 2,149 hectares with an

average yield of 20.81 MT per hectare making it one of the top 10 provinces
producing banana in Mindanao.
The Philippines is the only producer of cardava banana and it has accounted
for about 6% of the estimated 47,208,190 MT cooking banana world production in
2010. In 2013, Philippine cardava banana production was at 2,556,986.05 MT with
Mindanao accounting for 60%.
Of the 1,525,332.65 MT of cardava banana
produced in Mindanao, 32% came from Davao Region. Soccksargen contributed
23% of the total cup lump production. Northern Mindanao had the third highest
production volume at 295,655.65 MT, comprising 19% of the Mindanao production.
(VCA-Banana).
Mindanao accounted for 41% of the 183,479.00 hectares of land planted to
cardava in 2013. Northern Mindanao has the second largest area planted with
cardava at 13,076 hectares. In 2013 average yield per hectare in Mindanao was
20.26 MT, which is 45% higher than the national average. Based on BAS statistics,
average yield in Mindanao in 2013 increased only by 1% over 2009 performance. It
is possible for farm yields to be from 50 to 80 kilos/bunch with the combination of
improved pest control management, use of clean planting materials (tissue,
cultured) and appropriate fertilizer application.
COMMODITY 2: CACAO
COMMODITY PROFILE
The tree from which chocolate is derived is the cacao tree otherwise known
by its species name Theobroma Cacao. After the cacao seeds are properly
fermented and dried, they are called as cocoa.
The world market demand for quality fermented beans has been consistently high
and has always maintained premium buying price. There is a projected supply
deficit of 1M MT by 2020. The price of cacao is constantly increasing due to its
deficit supply here in the Philippines. Processing plants depend on the supply of
cacao beans as raw materials used for manufacturing chocolates. Cacao is also
processed into liquor, candy, pastels, soap and other foods varieties. It is also used
for making shampoo, cosmetics and pharmaceutical products. Cacao health benefits
include: 1) antioxidants; 2) cancer prevention; 3) theobromine content fights heart
disease; and 4) a good source of beta-carotene and amino acid (protein).
Mindanao has the climate and land resource suitable for cacao cultivation. In
the Province of
Misamis Occidental, 50 hectares is being developed for cacao
production out of its of 124,922 hectares agricultural land area; 586 hectares of
which has been utilized for industrial purposes. There are 14 municipalities plus
three (3) cities suitable for cacao plantation. There are currently 180 cacao farmers.
COMMODITY 3: SEAWEEDS
COMMODITY PROFILE
Seaweeds farming is one of the alternative livelihoods of the fisherfolk in
potential areas spread throughout the country. In 2013, Northern Mindanao had the
3rd highest production volume at 42,261.32 MT, comprising 4.73% of the Mindanao
production or 3% of the countrys seaweeds produce. In Region X, Lanao del Norte
and Misamis Occidental are the key seaweed producing provinces.
Misamis
Occidental contributed 8,785.98 MT for 2013.

Kappaphycusalvarezii locally known as guzo is the most common species

cultivated by local fisherfolks along Ozamiz City coastal waters.
COMMODITY 4: RUBBER
COMMODITY PROFILE
Next to oil palm, the natural rubber industry which is a US$33B per annum
business is the second largest tropical crop. Rubber trees grow best in tropical
places with temperatures ranging from 20-28 0 C and with well disributed annual
rainfall. The raw material used for natural rubber processing is a white milky fluid
called latex. It is mainly tapped from rubber tree (HeveaBrasillensis).
There are two categories of natural rubber products, viz: a) dry or solid
rubber and b)latex concentrate of liquid rubber. Dry rubber is marketed in the
form of rubber sheet, crepe rubber or crumd rubber. Dry rubber products is used in
making the following: a) automotive products like fan belt, radiator hose, etc;
b)industrial products like conveyor belt, rubber roller, etc; c)consumer products like
footwear, matresse, etc. Latex concentrate is made from fresh, uncoagulated filed
latex and is used in the manufacture of rubber-based high-end products like surgical
gloves,cathethers, condoms, balloons and garments.
In 2013, Thilippine cup lump production was at 444,817.70 MT with
Mindanao accounting for 99.97%. To this, Northern Mindanao contributed 11,261
MT or 3% of the total production.
The province of Misamis Occidental has an area of 11 hectares (based on BAS
survey) with a cup lump production volume of 158.6 MT from 2009-2013 at an
average yield of 3.25 MT/hectare. However, the Municipal/City Agricultural Offices
have reported a total of 451.77 hectares as of 2014 by 466 farmers. Compared to
BAS data, there is an increase of 440.77 hectares planted with rubber trees as of
2014.
COMMODITY 5: CASSAVA
COMMODITY PROFILE
A Food and Agriculture Organization (FAO) report published last May 2013
stated cassava can potentially turn from a poor peoples food into a 21 st century
crop if grown according to a new-environment-friendly farming model. Cassava
(ManihotesculentaCrantz) is also known as manioc, yucca, balanghoy, mogo,
mandioca, kamotengkahoy. It is a n important food source in many developing
countries. The roots of a 1-1.5 year-old cassava plant have a starch content
between 20%-32%, which is high compared to other starch food crops.
The cassava plant contains root and leaves, which can be processed to make
various products. Key cassava products produced and traded in Mindanao are fresh
tubers, chips-granules, delicacies, starch and the grates. Grates are also used as
substitute for fresh cassava in preparing local delicacies.
Cassava is also now gaining and increased role in rural development as raw
material for many industrial applications, viz: 1)source of energy in animal diets in
feed industry;2) starch industry and 3) for the production of ethanol.

Total cassava production from 103 countries in 2012 was about

262,585,741.00 MT. Philippines ranked 25 th. In 2013, production volume of the
country is 2,361,527.54 MT, 77% came from Mindanao.
In 2013, total land area planted with cassava was 217,142.62 hectares and
63% of which is in Mindanao. Next to ARMM (97,486 hectares), Northern Mindanao
is the second largest area planted with 25,268 hectares. Between 2009-13, total
land area planted with cassava in the Philippines increased only by 1% while
production volume grew by 16%. This implies that increase in production was a
result of yield intensification rather than area expansion which is by far a better
strategy.
Cassava is relatively tolerant of poor soil and seasonal drought. It has an
unrivalled ability to recover from damage by pests and diseases. Any development
in cassava will have an implication on food security, poverty alleviation, protection
and utilization of marginal lands in the Philippines that at present contribute very
little to agriculture.
COMMODITY 6: ABACA
COMMODITY PROFILE
Abaca plant belongs to the banana family native to the Philippines. Its
scientific name is Musa textilis. The stalk, which is the most significant part of the
abaca, is the source of the fiber. The abaca fiber, also known as the Manila Hemp,
is considered as the strongest among the natural fibers, which is three times
stronger than cotton. The worlds leading producer of abaca is the Philippines.
Indeed, the country had the biggest chunk to the world production with a significant
record of 85% in 2012.
Grown as a commercial crop in this country, abaca is prevalent in 56 out of its
81 provinces. In 2013, the country produced 64,951.60 metric tons (MTs) of abaca
fiber, of which, 34% was from the Mindanao cluster, 37% was supplied by Luzon and
29% from Visayas.
In 2013,Northern Mindanao produced 2,243.88 metric tons of abaca fiber
which accounted for 3% of the countrys total production. Northern Mindanao
encompasses five provinces namely, Bukidnon, Caminguin, Lanao del Norte,
Misamis Occidental and Misamis Oriental. Of the total Northern Mindanao abaca
production in 2013, 76.88 metric tons or 3.43% derived from the province of
Misamis Occidental.
In Misamis Occidental, 5 municipalities have grown the abaca plant with a
total area of 644 hectares in 2013. These municipalities are Concepcion, Calamba,
Sinacaban, Tudela and Don Victoriano with 764 identified farmers. The biggest area
planted to abaca is in the municipality of Concepcion while the municipality of
Tudela is the smallest. From 2009 to 2013, there had been no changes so far in
terms of the number of areas planted to abaca in this province.
Sources: PDPFP 2013-2018 and PCIP 2015-2021