Region XIII- CARAGA

Caraga is an administrative region of the Philippines, on the northeastern portion of the island of Mindanao. It is the newest region in the Philippines, and is also called Region XIII. The Caraga Region was created through Republic Act No. 7901 on February 25, 1995. The region is composed of four (4) provinces: Agusan del Norte, Agusan del Sur, Surigao del Norte and Surigao del Sur; three (3) cities: Butuan, Surigao, Bislig; seventy (74) municipalities and 1,346 barangays. Butuan City is the regional center.

History
The history of Caraga can be traced back to the 15th century when explorers discovered the existence of "Kalagans", believed to be of Visayan Origin in one of the three districts in Mindanao. The word Caraga originated from the Visayan word Kalagan: kalag meaning soul or people, and a meaning land. The Kalagans have a long history of being brave and fearless. Thus, the region was called by early chroniclers as the "Land of the Brave and Fierce People".
The "Kalagans", called "Caragans" by the Spaniards, occupied the district composed of the two provinces of Surigao, the northern part of Davao Oriental and eastern Misamis Oriental. The two Agusan Provinces were later organized under the administrative jurisdiction of Surigao and became the independent Agusan province in 1914. In 1960, Surigao was divided into Norte and Sur, and in June 1967, Agusan followed suit. While Butuan then was just a town of Agusan, the logging boom in the 1950s drew business to the area. On August 2, 1950, by virtue of Republic Act 523, the City Charter of Butuan was approved.
It is reported that during the early years of the Caraga region, its inhabitants came from mainland Asia, followed by Malayans, Arabs, Chinese, Japanese, Spanish and Americans. Migrants from the Visayan and Luzon provinces later settled in the area. Most of its inhabitants speak Cebuano and reside in the rural areas.

Location and size
Caraga Region, situated in the northeast section of Mindanao, is located between 8 00’ to 10 30’ N. latitude and 125 15’ to 126 30’ E. longitude. It is bounded on the north by the Bohol Sea; on the south by the provinces of Davao, Compostela Valley and Davao Oriental of Region XI; on the west by Bukidnon and Misamis Oriental of Region X; and on the east by the Philippine Sea and the Pacific Ocean.
The region has a total land area of 18,846.97 km². This represents 6.3% of the country’s total land area and 18.5% of the island of Mindanao. 47.6% of the total land area of the region belongs to the province of Agusan del Sur.
Topography The region is characterized by mountainous areas, flat and rolling lands. Mountain ranges divide Agusan and Surigao Provinces and sub-ranges separate most of the lowlands along the Pacific Coast. The most productive agricultural area of the region lies along the Agusan River Basin. The famous Agusan Marsh also sits in the middle of Agusan del Sur. Among the lakes in the region, Lake Mainit is the widest. It traverses eight (8) municipalities: Alegria, Tubod, Mainit and Sison in the Province of Surigao del Norte and Tubay, Santiago, Jabango and Kitcharao in Agusan del Norte.

 Climate

Caraga Region has Type II kind of climate, with no pronounced wet and dry season. It has been observed that during the months of November to February, occurrence of heavy rains is usually experienced in the region.

 Land classification and major land uses

Of the total land area, 71.22% is forestland and 28.78% is alienable and disposable land. Major land uses include forestland comprising 31.36% and 23.98% of agricultural and open spaces.

 Gross regional domestic product (GRDP)

The region performed fairly well in terms of regional output contributing 8.01% in 1998, 8.25% in 1999 and 8.29% in 2000 to the Mindanao GRDP. The region contributed 1.44% in 1998, 1.48% in 1999 and 1.50% in 2000, to the Philippine economy. In terms of growth rate, the region accelerated faster and outpaced the other regions in Mindanao from 1998 to 2000, except for the Southern Mindanao Region which posted a 6.06% increase in 1999-2000. Caraga Region recorded a 5.42% increase during the same period.
GRDP in 2000 amounted to P14.336 Billion as against the 1999 performance of P13.599 Billion. The deceleration of the region’s economy from 6.03% in 1999 to 5.42% in 2000 was attributed to the slowdown of the Agriculture, Fishery and Forestry (AFF) and Services sectors. The improved performance of the Industry sector, from 5.69% in 1999 to 6.69% in 2000, cushioned the effects of what could have been a slowdown of the region’s economy.

 Population

Based on the final results of the 2000 census, the total population of the region was 2,095,367 which was 7.86% higher than the 1995 population of 1,942,687. The annual population growth rate over the last five years was pegged at a manageable 1.63%, one of the lowest in the country.
Among the four (4) provinces, Agusan del Sur registered the largest population at 559,294, and Surigao del Norte the smallest at 481,416. In terms of growth rate, Surigao del Norte was the fastest growing province with an annual average growth rate of 1.84% over the last five (5) years, while Surigao del Sur was the slowest at 1.35% over the same period.
Butuan and Surigao Cities which were included in the census tabulation have total population of 267,279 and 118,534, respectively. Butuan City registered an annual growth rate of 1.70% in the last five (5) years, while Surigao City posted 2.65%.

Language

Cebuano was spoken by 43.79% of the household population in the region. Other dialects spoken were Surigaonon, spoken by 25.21%; Kamayo, by 7.06% ; Boholanon, by 5.87%; Manobo, by 4.73%; Butuanon, by 31.9%; Hiligayon, by 2.87%; and other dialects by 7.20%.

 Religion

The 1995 census revealed that the dominant religion in the region was Roman Catholic, with the population of 1,397,343 or 79% of the total household population in Caraga. Most numerous in this census were the manobos with 294,284 or 43.55% of the total population of cultural communities. Most of them reside in the province of Agusan del Sur. Other cultural communities in the region with significant population were the Kamayo, Higa-onon, Banwaon, Umayamnon, and Mamanwa. Surigaonon is a local Philippine language spoken in the province of Surigao del Norte, and some portion of Agusan del Norte especially in towns near Mainit Lake. It is related to the Butuanon and Tausug languages.

 Cultural Groups

The majority of the inhabitants of the region are of Visayan heritage. The province is also home to several minority groups, totaling 675,722 in 1995, representing 34.7% of the region's population. Most numerous were the Manobos with 294,284 or 43.55% of the total population of ethnic minorities. Other cultural groups in the region with significant population were the Kamayo, Higa-onon, Banwaon, Umayamnon, and Mamanwa. Most members of these cultural groups reside in the province of Agusan del Sur.
It is reported that during the early years of the Caraga region, its inhabitants came from mainland Asia, followed by Malayans, Arabs, Chinese, Japanese, Spanish and Americans. Migrants from the Visayan and Luzon provinces later settled in the area. Most of its inhabitants speak the Cebuano dialect and reside in the rural areas.

 Poverty

Poverty incidence in the region decreased by 1.7% from 44.7% in 1997 to 42.9% in 2000. Another positive development is the increase in the regional annual family income based on the 1997 and 2000 Family Income and Expenditure Survey, which increased by 13.65% from PhP 71,7126.00 in 1997 to PhP 81,519.00 in 2000. Regional annual family expenditures also posted a 16.65% increase, from PhP 61,815.00 in 1997 to PhP 72,108.00 in 2000. The average annual savings slipped by 5% from PhP 9,911.00 to PhP 9,411.00. Poverty incidence data for 2003 is not yet available.^[2]
On a national and Mindanao-wide perspective, Caraga Region is one of the most impoverished regions in the country. The region has the fourth highest poverty incidence level of families among all the regions in the country for years 1997 and 2000 while among Mindanao regions, Caraga has the third highest poverty incidence (in terms of incidence of families).^[2]

 Regional economy

From 2001-2003, Caraga Region consistently maintained its performance vis-à-vis other regions in Mindanao, Philippines. Caraga posted a 0.9% growth rate compared to the 9.5% growth rate of Region 12 and the 2.6% growth rate of the Autonomous Region for Muslim Mindanao (ARMM). Caraga’s growth rate in 2001-2002 and the 2002-2003 period was the same (0.9%). This was much less than the growth of the population. This performance was better however than the region’s performance in 2000-2001 period, where the region’s economy declined by 1.4%.
The region’s contribution to Mindanao’s domestic product is 7.58% in 2003. In terms of per capita income, Caraga has the second lowest per capital income among Mindanao regions and nationwide. In 2003, the region accounted for 1.35% of the country’s GNP.

 Caraga’s GRDP: 2001-2003

Caraga’s economic performance, in terms of the GVA and the GRDP, was not as robust as expected. Nevertheless, some bright spots in the region’s economic sector emerged from 2001-2003 which the region can capitalize to further increase economic growth and maximize social welfare.
From the 1.4% decrease in the GRDP in 2000-2001, the GRDP bounced back in 2001-2002 by a 0.9% growth. The positive trend was maintained in 2002-2003, with the region’s GRDP growing by 0.9%, the same growth rate from the previous year.
The agriculture, fishery and forestry (AFF) sector is Caraga’s banner economic sector, exhibiting an increasing growth trend of 3.8% and 6.8% growth rates in 2001 and 2003 respectively. Despite the decreasing growth trend of the agriculture and fishery subsectors, the sizeable growth rate of the forestry subsector more than compensated for the decrease. The forestry subsector grew by 36.3% in 2003, the highest growth rate for any subsector in the region. It is also important to note that Caraga region has the highest GVA in the forestry subsector among all regions in the Philippines.
The services sector is also one of the bright spots in the region’s economy. After experiencing a decelerated growth rate in 2002 compared to the previous year’s 6.1% growth rate, the sector bounced back in 2003 with a 5.6% growth rate. Moreover, the trade subsector continued to be the dominant subsector posting a 5.6%, 6.6% and 6.3% growth rate in 2001 to 2003 respectively. It is significant to note that all the subsectors posted positive growth rates in 2001 and 2003. The transportation, communication and storage sub-sector posted the highest growth rate of 8.4% among the sub-sectors in the services sector.
The industry sector was the worst performing sector of the regional economy with a continuous decline from 2001-2003. Although the sector’s slide slightly decelerated in 2002 (-6.7% in 2002 from -13.3% decline in 2001), it contracted by -12.1% in 2003. The construction subsector had the largest decline of 16.6%, 11.3% and 33.5% in 2001, 2002 and 2003 respectively. The mining subsector also posted negative growth rates but the decreasing trend in this subsector decelerated. The manufacturing offset the decrease in the two sub-sectors by growing at 8.9% in 2003, making it the biggest contributor to this sector. It should be noted that even with the negative performance of the mining and quarrying sector, Caraga was the second highest producer of metallic minerals, with metallic mineral productions valued at PhP 1.25 billion in 2001 (Philippine Yearbook, 2003).

 Exports and investments

The amount of exports from the region and investments pouring in the region are concrete indicators of a region’s economic dynamism, progress and development. It also serves as an indirect indicator of the business climate in the region and a barometer of investor confidence in the region.
Investments in the region fell by 25.4% from PhP 6.3 billion in 2002 to PhP 4.6 billion in 2003. All provinces in the region posted a negative growth rate in investments, with Agusan del Sur posting the biggest year-on-year decline of 62.6% for the 2002-2003 period. Agusan del Norte’s percentage share on investments increased from 64.8% to 79.5% despite an 8.5% decline. Per DTI Caraga’s advise, the data on investments are partial at best and is not reflective of the whole investment level in the region. DTI Caraga’s data does not include public investment figures.
Exports decreased by 19.08% in the 2000-2001 period and 57.52% in 2001-2002. Agusan Norte, Surigao Norte and Surigao Sur posted negative growth rates in the 2000-2001 period, with Surigao Sur posting the biggest decrease in exports (81.31%). In 2002, Agusan Norte posted an impressive 741.04% increase in exports, a harbinger of increased economic activity in the province. Surigao Norte posted the biggest decrease in exports for 2002 (63.17%).
It is of interest to note that Caraga’s percentage contribution to Mindanao’s exports has been erratic. In 2000, the region contributed 1.87% to Mindanao’s exports; this expanded to 2.68% in 2001 only to decrease to 0.77% in 2002.^[2]

 Natural resources

Rich in natural resources, the region has large tracts of land available for development. The region is noted for its wood based economy, its extensive water resources and its rich mineral deposits such as iron, gold, silver, nickel, chromite, manganese and copper. Its leading crops are palay, banana and coconut. It has excellent tourism potentials because of its unspoiled and beautiful beaches, abundant and fresh seafood, ancient and historical landmarks, hot and cold springs, evergreen forests and balmy weather.

 Major products

Its long stretch of shoreline promises abundance in production of fisheries and aquatic products. With its large tract of fertile lands, the region has a great capacity in producing varied commercial crops as well as livestock and poultry. Major agricultural products of the region are palay, corn, coconut, gold, banana, rubber, oil palm, calamansi, prawns, milkfish, crabs, seaweeds and mango. Caraga's proximity to Cebu and Manila makes it a favorable shipping point for products to and from these markets. Nasipit Port can serve as a secondary shipping hub to Cagayan de Oro when traffic volume from other points in Mindanao increases. With a roll-on, roll-off (RORO) ferry service now in place, Surigao City serves as a vital transportation link for trucks and buses bound for Luzon.