Agribusiness corridor to link regional agricultural industries

Ian Ocampo Flora

Reporter

City of San Fernando—The vision is simple—link up all major regional agriculture industries in
hubs that will make up the backbone of an agri-industrial business corridor (ABC) sustaining and
driving rural agricultural industrialization.
And Secretary William Dar believes that Central Luzon provinces play a crucial role in the
corridor project that aims to connect major agricultural markets in the Cordilleras, Northern
Luzon, Central Luzon and eventually Metro Manila.
“Pampanga and Tarlac, through New Clark City (NCC) has it all. There is an airport, an
expressway that connects to Subic Freeport and major roads that connect to other areas in
Luzon. Logistically, it is the perfect place to put up an agri-industrial hub,” Dar told this reporter
in an interview early this week.
Dar said that NCC has what it takes to drive the corridor’s success through its strategic location.
With Central Luzon at its doorstep, NCC has access to vast agricultural resources and provides
easy access to Northern and Southern Luzon areas.
Through Pampanga, the NCC is easily accessible through the national highway and three
expressways: Northern Luzon Expressway, Subic–Clark–Tarlac Expressway (SCTEX), and Tarlac–
Pangasinan–La Union Expressway.
The NCC’s connection to vital production areas is a perfect opportunity to jump start rural agri-
processing, according to Dar, eventually encouraging more agriculture industries and prop up
rural industrialization.
To start the program, the ABC has a funding component of P300 million.
Integrating food and product supply chain
Central Luzon provinces play a vital role in the project in terms of the vast agricultural resources
ripe for agri-industrial processing.
Dar highlighted the considerable role that Central Luzon’s various industries can contribute to
the program.
Central Luzon’s total palay production was estimated at 663,358 metric tons constituting 15.6
percent of the total palay production in the country in the first quarter of 2020.
Data from the Philippine Statistics Authority (PSA) data showed that Central Luzon still
remained as the top palay producer despite the 9.1 percent decrease in the volume of
production compared to that of the first quarter of 2019.
Central Luzon is also home to a strong poultry industry. As of January 1, 2019, Central Luzon
had the highest broiler inventory in the country accounting for 26.60 percent of the country’s
entire supply according to the PSA.
Statistics showed that Central Luzon was the top chicken producing region in the country for
the first semester of 2020.
The PSA said that Central Luzon contributed 34.7 percent to the country’s total chicken
production. In terms of duck production, Central Luzon remained the top producing region
contributing 32.8 percent to the country’s total production.
Despite being hit by swine flu, Central Luzon’s hog industry remains vibrant. Central Luzon
ranked first in terms of total volume of hog production which contributed 19.4 percent to the
country’s production.
Corn is also a strong product in Central Luzon and a little known fact is that Pampanga’s corn
industry contributes a chunk in the overall production in Central Luzon and the country.
Central Luzon’s total corn production was recorded at 141,503 metric tons for the first quarter
of 2020. The 9.0 percent increase of Central Luzon’s volume of corn production was brought
about by Pampanga’s 57.0 percent upsurge in corn production, according to the PSA.
Hub for agricultural industries
Dar said that NCC will focus on agricultural processing. Recently, a 30-hectare site at New Clark
City had been inspected by Department of Agriculture (DA) and Bases Conversion and
Development Authority (BCDA) officials where facilities for the agribusiness hub will be
constructed by the mid of 2021.
A seed technology park is also planned for the ABC. The DA said that the ABC will complement
the planned Clark Fresh Market to be constructed at the Clark Civil Aviation Complex.
The market complex will have an integrated post-harvest facility, catering niche markets for
organic produce, halal-certified and premium quality food products.
Once realized, it will be the country’s first agri-industrial business corridor and the first stage of
the national agricultural development plan under the new normal.
The ABC project is also planned for 12 new economic zones identified by the Philippine
Economic Zone Authority.
BCDA President Vince Dizon that the project aims to “provide assistance to farmers and
entrepreneurs, create more jobs and spread development in the countryside” as the project
integrates the food supply chain, as well as introducing innovative agricultural technology to
farmers.

“This hub will not only enhance the productivity of our farmers but will also boost economic
activity in the region. Improved connectivity infrastructure and the other planned
developments in New Clark City make it the best location for this project, and we plan to have
this agro-industrial hub started by next year,” Dizon said.
The project has a research and development component as its aims to integrate small-scale
farmers, and provide access to production resources such as technology, capital, and value-
enhancing facilities.
Products from the hub, in case of domestic or international markets outside Luzon, can be
shipped through the Clark International Airport and to the Subic Bay International Airport
through the SCTEX.