CAGAYAN DE ORO CITY (February 24) — Business leaders are urging the Cagayan de Oro government to establish its own economic zone, saying the fast-growing city risks missing out on manufacturing investments without a clearly designated industrial hub.
Ray Talamio Jr., former president of the Cagayan de Oro Chamber of Commerce and Industry (Oro Chamber), called on Mayor Rolando Uy to prioritize the creation of a city-backed ecozone to attract locators and sustain economic momentum.
“We can easily invite locators, especially those in the manufacturing industry, if we properly identify and establish an economic zone,” Talamio said in an interview Monday.
Call for stronger city direction
Talamio suggested the initiative could be delegated to the Oro Trade and Investment Promotion Center headed by John Asuncion but stressed that clear direction from city leadership is crucial.
He said discussions are ongoing on identifying potential growth corridors with large tracts of land suitable for development or government expropriation. Areas mentioned include Barangays Tablon, Indahag, Bulua, and Lumbia — locations seen as viable for industrial expansion.
The proposal comes as CDO positions itself as Northern Mindanao’s commercial hub, yet lacks a city-managed ecozone comparable to those in other regional growth centers.
PHIVIDEC factor
Talamio also pointed to the nearby PHIVIDEC Industrial Authority, which manages the 3,000-hectare PHIVIDEC Industrial Estate. Operating for 51 years under its own charter, the estate has long been the region’s main industrial anchor.
However, Talamio observed that PHIVIDEC has yet to fully maximize its investment potential, citing limited promotion and international outreach.
“For 51 years, it has largely remained the same. Growth has been very slow,” he said.
The push for a city-led ecozone signals a desire among local business leaders for more aggressive economic positioning — one that could complement, rather than compete with, PHIVIDEC.
Governance and investment climate
The proposal also raises governance questions: Should CDO rely primarily on a national government-managed estate, or carve out its own investment ecosystem with localized incentives and streamlined processes?
Business groups argue that a city-driven ecozone would allow quicker policy adjustments, targeted industry clustering, and stronger marketing tailored to CDO’s logistics advantage — including its seaport, airport access, and strategic location in Mindanao.
Mayor Uy has yet to publicly respond to the proposal, as he attended the launch of “Bayan Makinabang,” an initiative of the Office of the President at Malacañang on Monday.
Meanwhile, the City Tourism and Cultural Affairs Office began its first inspection cycle for 2026, focusing on hotels and accommodation establishments to ensure compliance with operational standards — a move seen as part of broader efforts to improve the city’s overall business climate.
As investment competition intensifies among regional cities, business leaders say the question is no longer whether CDO can grow — but whether it can move fast enough to capture the next wave of industrial expansion.
