Chap5 SA PDF
Chap5 SA PDF
Chap5 SA PDF
CHAPTER 5
This Chapter analyzes the overall situation of the essential sectoral components
of the city's economic base.
The city has a limited economic base. This constrains the economic activities
undertaken by the populace and consequently, the growth of the city. The limited
economic base is intertwined with limited employment opportunities and high
migration rate of the population.
5.1.1 Agriculture
Major agricultural crops produced in the city include palay, coconut, banana, and
calamansi. About 13,590 hectares of the city’s total land area are devoted to
palay production. Considered as the rice granary of the Southern Tagalog region,
Calapan supplies rice to several areas including Metro Manila.
There are two cropping seasons for rice, the wet season, covering May to
September, and the “palagad,” October to December, and the dry season,
January to April. A majority of the ricelands is irrigated, with free flowing surface
water and pumps. Vegetables are grown during the wet season.
Other major crops of the city include coconut, banana, lanzones, coffee, citrus,
and rambutan. Major coconut producing areas include the hills from Suqui to
Sapul, the coastal areas along Calapan Bay from Wawa to Nag-Iba, and the
upland areas in Baruyan, Canubing, Comunal, and Patas.
The average landholding for about 2,899 farmers engaged in palay production is
one hectare. As to tenurial status, about 80% of the farmers are share tenants,
lease holders, and owner-operators.
There has been a decline in the area planted to palay, from 14,356 has. in 1993
to 13,262 has. in 1994-1996, and 13,590 in 1997. The average yield, however,
remained fairly the same, from 4.02 MT in 1993 to 4.03 MT in 1997. The drastic
decline in yield that occurred in 1994 was attributed to the destruction of irrigation
systems due to a typhoon in December 1993.
5.1.2 Fishery
There are also fishponds that raise mostly bangus, shrimps, and crabs which are
shipped directly to Metro Manila. There are a total of 526.0 has. covered by
fishpond concessions.
Freshwater and brackish water fish production potentials are yet untapped fully.
Caluangan Lake and other bodies of water represent potential sources of inland
fish and freshwater species, and brackish water in swampy areas may also be
utilized for aquaculture development and may include production of banak,
sabalo, hito, dalag, tilapia, gurami, bangus, tilapia, and sugpo.
Most of the fishing vessels used are small, motorized or non-motorized, and up to
a maximum capacity of 3.0 tons. The fishing gears normally used are baklad (fish
coral), bobo and bonbon for shallow sea fishing; basnig, pusit, panti, and kitang
for deep sea fishing; and salap, basnig, and sakag for inland waters
Calapan is the business hub of the province. The central business district
features a large number of business establishments, most of which are on
wholesale and retail trade as well as services. In 1997, there were 1,646
wholesale and retail trade establishments out of a total of 2,376 establishments
registered with the city government, comprising 69.3%. The rest of the
establishments are mainly oriented towards private services and small-scale
manufacturing such as ricemills, eateries/restaurants, machine shops, and
lending investors.
The list of businesses registered with the Department of Trade and Industry
likewise shows the dominance of service and trading-oriented establishments
(Table 5.5).
The limited economic base of the city poses the challenge of enhancing the
economic vitality of the city through diversification of economic activities while at
the same time strengthening the agricultural resource base of the city. Calapan
is in a strong position of asserting its dominance in palay production in the region
and taking advantage of the presence of inter-island roll-on roll-off (Ro-Ro)
vessels. Enhancing the city’s agricultural base may also result in future value-
adding activities such as processing in the city itself, or merely increasing the
supply base for value-adding activities in areas outside Calapan, such as
Batangas.
Expanding the economic base will also imply enhancing the informal sector and
assisting their transition towards the formal sector, particularly small and medium
scale enterprises. Such enterprises will require less land requirements as well as
develop the entrepreneurial skills of the residents. This will also translate to a
broader revenue base for the city.
The slaughterhouse and public market represent two of the important public
facilities that play an important role in the economic activities of the city as well to
its revenues. In 1997, the slaughterhouse earned Php 1.110 million in 1997,
with a sizable excess income of Php 101,176. In 1997, the public market
contributed Php 1.953 million and an excess income of Php 31,404 in 1997.
Despite Calapan being the financial center of the province as evidenced by the
number of banks (10 commercial banks and 4 rural banks), the farmers and
fishermen are not able to avail of loans from these banks. This may partly be
attributed to the lack of viable farmers’ and fishermen’s associations. This
stresses the need for institutional strengthening measures.
Tourist products may include beach resort facilities, sightseeing tours that focus
on nature, culture and special interest products on scuba diving, snorkeling,
boating, trekking, and festivals.