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Identify and prioritize other requirements of the industry in order to increase efficiency, production, and market share, e.g., reduce red tape, improve internal and inter-provincial transportation security, provide marketing assistance, etc. Describe overall potentials and constraints of the specific industries that dominate the sector in the province. Is it likely to expand or decline in the future? What are the main sources of competition? What are the obstacles to expanding production, increasing market share, or increasing efficiency? Map 12. Location of industries and key support infrastructure. (Separate maps for each sector/industry may be used; e.g., agriculture production map showing various types of croplands, including areas classified as Strategic Agriculture and Fisheries Development Zones (SAFDZs). In addition to sectoral government agencies, industry representatives should be consulted about the products, markets, trends, potentials and constraints of each industry. Consider also gender-related issues. (See: Harmonized Gender and Development Guidelines, 2004.) b. c. d. e. f. Mining Manufacturing Services Tourism Others

The description of the above sectors/industries should follow the format of the Agriculture, Fisheries, and Forestry sector above. As indicated earlier, other sector/ industry classifications may be used as necessary for the province. 4.1.4. If sufficient data are available to replicate Tables 13-14 at the city/municipal level, describe the distribution of production, employment, or income by sector/industry group, among the different cities and municipalities in the provinces. Describe patterns of concentration and specialization. A useful general reference for economic analysis at the provincial level is A. Bendavid-Val, Regional and Local Economic Analysis for Practitioners,1991. 4.2. Potentials for contributing to local economic growth In this section, industries that have high potentials for contributing to local economic growth are identified. The identification process involves three steps: (1) Identifying industries where
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GUIDELINES ON PROVINCIAL/LOCAL PLANNING AND EXPENDITURE MANAGEMENT

the province is efficient or has an advantage compared to other producers in other provinces, (2) Identifying industries that are generating or have a high potential to generate local employment, and (3) Identifying industries that are experiencing or have the highest potential to experience growth, by being competitive and increasing market share. 4.2.1. Economic base industries Identify the industries where the province is efficient or has an advantage compared to other producers in other provinces. These are referred to as economic base or major exporting industries (exports refer to exports outside the province and not necessarily outside the country). In addition to using industry export data, you may derive location quotients using data in Table 12, as described in Annex H, to support your analysis. Local industry representatives should be primary sources of data/information. a. Identify/reiterate the share of production, employment, or income in the province of economic base industries. Describe the significance of each industry to the provinces economic production and employment of its various population. b. Describe the main (export) products and their respective shares of total output, employment or income. How do these compare with total industry production, employment or income in the region or country?

Example of Table 15. Location Quotients, Total Family Income by Household Head Business/Industry, 2000 Province Agri/ Fish/ Mining/ Quarry 3.30 0.00 0.00 6.24 0.00 Manufacturing 0.94 0.55 0.98 1.77 1.66 Elect/ Gas/ Kind of Business/Industry Construction

Forest

Water

Wholesale/
Retail

Transp/ Stor/
Comm

Finance/ Comm/ Real Est/ Social/ 0.00 0.08 1.37 1.28 2.53

Bus Serv Pers Serv

Not defined 0.11 0.89 1.08 1.07 0.83

Batanes Cagayan Isabela Nueva

Vizcaya

0.89 1.18 0.90 0.95 1.12

0.00 0.00 1.42 1.57 1.52

2.86 1.07 0.97 0.99 0.54

0.30 0.82 1.29 0.56 0.80

0.00 1.07 0.91 1.33 0.54

2.05 0.90 1.07 0.94 0.95

Quirino

Note: This example shows location quotients by province. If data are available, compute location quotients for the province, by city/municipality.

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