The Role of Direct and Indirect Channels with a Focus on the Labor Market


The National Capital Region still holds the largest share of the sector. As seen in Table 2, about 36% of the sector’s GVA is in NCR though this has gone down compared to its 44% share in 1991. The neighboring region of Southern Luzon holds about 11% followed by Western Visayas with 10% and Eastern Mindanao with 9%. Most of the manufacturing firms, food in particular, are concentrated in NCR and Southern Luzon while the relatively high share in Western Visayas is expected as most of the sugar mills and refineries are in this region (i.e., Iloilo and Negros Occidental). The booming production of banana and pineapple in Eastern Mindanao (Davao provinces) is driving the agribusiness sector in the region.

Looking at regional economies, the 2009 data shows that agribusiness in Western Visayas, Eastern Mindanao, Nor thern Mindanao and Central Mindanao is relatively higher compared to the other regions. Measured as the ratio of the agribusiness output over the region’s GDP, the proportion in these regions is at least 19%. In contrast, Cagayan Valley and CAR have the lo west shares. Note though the expansion of the sector in Ilocos Region as well as in Central Luzon and Northern Mindanao where the increase in share to RGDP is at least 6 percentage points. NCR, Cagayan and, to a small extent, Central and Eastern Visayas an d Western Mindanao saw a decrease in their respective shares. Maps of these estimates are seen in Annex B

Source InstitutionWorld Bank
Source URL
Page Count97
Place of PublicationPasig City
Original Publication DateSeptember 30, 2011