CONTAINER traffic at
the port of Cebu registered a 2.58% increase to 465,034
twenty-foot equivalent unit (TEU) in 2003 from 453,325
TEU in 2002 (see table below), the Cebu Port Authority
(CPA) reported.
Laden and empty containers
for the local market totaled 349,754 TEUs, lower by
0.12% from 2002's 350,187 TEUs. Foreign container
shipments, on the other hand, grew 11.77% to 115,280
TEUs from 103,139 TEUs handled in the previous year.
Cargo throughput registered a 1.89% dip to 18,660,745
metric tons (MT) from 19,020,440 MT in 2002. CPA said
the decline resulted from the 3.53% drop in locally
shipped cargoes to 15,219,779 MT in 2003 from 15,776,309
MT in 2002. "The outbound contributed mainly to the
drop in domestic cargoes. From 8,441,452 MT, it fell
9.95% to 7,601,464 MT," the port agency said. Inbound
increased 3.86% to 7,618,315 MT from 7,334,857 MT
in 2002.
Foreign cargoes went
up 6.07% to 3,440,966 MT from 3,244,131 MT. This time,
outbound shipments exhibited positive growth at 27.40%
while inbound slid 8.42%. Vessels calling at the port
of Cebu totaled 75,664, up 15.09% compared with 65,745
shipcalls in 2002. Domestic shipcalls also grew 15.29%
while foreign dropped 1.51%.
The number of passengers
passing through the Cebu port went up 1.27%. Commuters
going to Cebu were registered at 6,741,456, up 3.31%
while those leaving the province fell 0.76% to 6,472,129
from 6,521,971. CPA said it is contemplating the use
of the Japan International Cooperation Agency feasibility
study on the construction of a new international port
in Tayud, Consolacion, Cebu to accommodate bigger
vessels and growing cargo traffic. The study includes
the application and detailed engineering of the port
facility, infrastructure and development of berthing
areas and cargo handling equipment.
The new port will compete
with the ports of Cagayan de Oro and General Santos
City.
Cebu Port
Authority Performance Indicators
2003 vs. 2002
Indicators
Year
Year
Variance
2003
2002
%
Container Traffic
(in TEUs)( fulls and empties)
Domestic
Foreign
WITH spring freight bookings
on the rise and positive economic signals coming from
both Asia and the US for the first time in many months,
transpacific container lines say they are gearing
up for another year of strong Asia-US trade growth
in 2004-05.
Carriers in the Transpacific
Stabilization Agreement (TSA) discussion forum are
forecasting that a combination of continuing trends
-increased manufacturing investment in China; gradual
but steady signs of economic growth in Japan; record
low business inventories in the US; and sustained
consumer spending in the US fueled by lower-cost imports
- will likely result in higher than average cargo
demand growth for 2004 and 2005.
Drewry Shipping Consultants
predicts total world container traffic of 87.1 million
20-foot containers (TEU) for all of 2003, growing
8.4% in 2004 to 94.4 million TEU, and then another
10.2% in 2005 to 104 million TEU. Those averages suggest
stronger growth in the Asia-US market, where China
GDP growth is forecast at nearly 8% in 2004, and where
economies throughout Asia (except Japan) are expected
to grow by 6%. Japan, which has seen consistent economic
growth of 1% or less in recent years, is expected
to see 2% GDP growth in the coming year.
Removal of apparel quotas
at the end of 2004 is expected to produce a high volume
of shipments early in 2004 under the current system,
and a shift in sourcing to Asia from other countries
as quotas are lifted. As a result, TSA carriers now
forecast 10-12% average eastbound transpacific cargo
growth during 2004-05. From a supply standpoint, TSA
lines cited a recent BRS Alphaliner forecast for worldwide
containership capacity growth of 9.5% in 2004 and
11% in 2005, from the current base of 6.6 million
TEU. Here, transpacific averages appear comparable,
since new ships of 7,000-TEU capacity or greater will
be more evenly deployed among the transpacific and
other markets.
Several key operating
factors indicate that actual supply numbers may be
lower than those forecast. Among them growth in all-water
U.S. East Coast service via the Panama Canal, using
smaller ships; increased time at sea and expanded
port calls for larger ships; harbor channel depth
at each port; cargo weight limitations; stowage considerations
relating to hazardous and heavy cargo or loading and
unloading priority; and changes in stowage configuration
for high-cube or 45-foot containers, and odd-size
cargoes. The likely result: Cargo demand will keep
pace with "effective" capacity and produce continued
tight space in the coming year, particularly on peak
season sailings. Given that scenario, along with dramatically
rising operating costs and rate levels still recovering
from steep declines in 2001-02, TSA carriers reaffirmed
their support for planned May 1, 2004 eastbound transpacific
rate increases of US$450 per 40-foot container (FEU)
to US West Coast destinations and $600 per FEU to
US East Coast and inland point locations.
Also scheduled is a
$400 per FEU peak season surcharge on shipments moving
during the period from June 15 through October 31,
2004. "The market is bearing out our earlier predictions,"
said TSA Executive Director Albert A. Pierce. "From
all indications, the coming year will see a robust
trade for US importers and retailers and for the carriers
handling their transportation and logistics. The announced
rate program reflects that environment, after a difficult
period for much of the last four years." Containerisation
International's freight rate index suggests that while
third quarter 2003 eastbound transpacific rates were
up from the third quarter 2002, they were still no
higher than in third quarter 2000. At the same time,
a number of key transport costs in the trade have
increased sharply. All-water US East Coast services,
for example, require a nine-ship rotation, compared
to a five-ship intermodal service via the West Coast.
Charter rates and purchase prices for most smaller
container ships have doubled in the past year. Feeder
ship, intermodal rail and truck, information system,
staffing and other administrative costs have also
risen steadily.
TSA is a voluntary discussion
of 14 major container shipping lines serving the trade
from Asia to ports and inland points in the US. Members
are APL, CMA-CGM, COSCO, Evergreen, Hanjin, Hapag
Lloyd, Hyundai Merchant Marine, K Line, Maersk Sealand,
MOL, NYK Line, OOCL, P&O Nedlloyd, and Yangming.
APL has appointed a new
Managing Director for its Philippine operations. From
February 2004, Maurice McKeating will oversee all
aspects of APL's business in the Philippines from
the company's regional headquarters in Manila.
McKeating was most recently
Country Manager for APL in Sri Lanka. Since joining
APL's parent company, Singapore-based Neptune Orient
Lines (NOL) as a graduate trainee in 1990, McKeating
has filled various positions, including two years
with APL's Intra-Asia services team. He also spent
three years in senior sales and marketing roles in
Bangladesh, before his promotion to lead APL's Sri
Lankan operation. APL President for Asia and the Middle
East, Brian Lutt, said, "Maurice's excellent track
record of managing our operations in important emerging
markets is good news for our Philippine operations
and our customers here.
With the support of his
talented and capable team, I'm certain Maurice will
take our business in the Philippines to the next level."
Maurice McKeating
Managing Director - APL (Philippines Operations)
OOCL Rotterdam, the third
SX-class post-Panamax container vessel (8,063 TEUs)
ordered by OOCL with Samsung Heavy Industries, was
christened at the PSA Pasir Pajang Terminals in Singapore
last week. It is the first of four vessels scheduled
for delivery to OOCL in 2004.
OOCL Rotterdam, like
her sister vessels, OOCL Shenzhen and OOCL Long Beach,
is the largest liner ever built by Samsung. Besides
being renowned for their size and container capacity
(maximum stowage on deck is 17 rows of eight tiers
high, and in the holds 15 rows of nine tiers), the
SX-class vessels are also celebrated for their advanced
design features.
OOCL Rotterdam is fitted
with the largest main engine currently available for
marine use. It is designed environmentally friendly
with full compliance with the emission control requirement
of Nox. SX-class vesssels can also travel at the same
speed as similarly designed ships with less fuel oil
consumption. By adopting the latest IT technology
into the engine control system, the ship's marine
engine and other auxiliary machineries can be fully
controlled and manoeuvred at various points on board
the vessel.
In his address at the
christening ceremony, C.C. Tung, chairman of OOCL
parent company OOIL Group, said, "OOCL experienced
a satisfactory year in 2003 due to OOCL's strategy
of organic growth and our persistence in embracing
our newbuilding programs as part of our long-term
business plan to provide a competitive quality service
to our customers. We also have
much top be optimistic about in 2004. Consumer confidence
and demand in the major import economies of Europe
and North America appear to be gathering strength.
Meanwhile, we have seen a large growth in manufacturing
in Asia, creating new sources of cargo. We at OOCL
are well prepared to serve our customers' demand in
all these areas with our added tonnage."
The OOCL Rotterdam will
be deployed in the same trade lane of OOCL Shenzhen
under China Europe Express Loop of the Asia Europe
Service of the Grand Alliance as follows: Shanghai/
Xiamen/Yantian/Hong Kong/Singapore/Suez/Southampton/Hamburg/Rotterdam/Gioia
Tauro/Port Said/Port Kelang/ Singapore/Hong Kong/
and back to Shanghai, a round trip of 56 days.
CUSTOMS Commissioner Antonio M. Bernardo
relieved recently nine Port of Batangas officials
following the shipment of 19 smuggled refrigerated
forty-foot containers carrying chicken leg quarters.
The nine are being reassigned to
less-sensitive positions pending clearance from the
Commission on Elections for an exemption to the ban
on transfer or reassignment of civil-service employees
during the election period. Of the nine, five are
to face administrative charges and the rest, criminal.
The P50-million worth of shipment was unloaded at
the Batangas port early last week despite a hold order
from the National Meat Inspection Commission for quarantine
inspection.
Bernardo said the shipment was declared
dry goods but came in refrigerated container vans.
It also did not carry the necessary documents such
as importation permit and veterinary clearance from
the Department of Agriculture and the Bureau of Animal
Industry. Only five of the 19 container vans have
been recovered by the BOC, while the rest were found
empty at the consignee's premises in Novaliches, Quezon
City.
The BOC will also file charges against
three private individuals including Ronaldo Laderas,
the proprietor of the shipment, his wife Racquel Laderas,
who signed the papers and Ivy Sarad, a customs broker.
THE private sector is
organizing a caravan across the country to further
promote the use of the Road Roll-on/Roll-off (ro-ro)
Terminal System (RRTS). Philippine Ports Authority
(PPA) assistant general manager for Special Projects
Raul Santos said the Wow Pinoy Caravan will roll off
in March and will last for five to six weeks.
The trip, he said, will
be divided into three legs. The first or the Northern
Luzon leg, will start in Manila, then go to Clark,
Subic, Vigan, Laoag, Banawe, Cordillera, Nueva Vizcaya
then back to Manila. The second leg will start in
Quezon City all the way to General Santos City or
Davao. "It will traverse the Western Seaboard passing
Mindoro, Batangas, Abra de Ilog, going to San Jose
by land and ending in Caticlan."
The final leg will start
in the South, from Davao via the eastern Bicol area.
It will pass through Leyte, going to Cebu and Bohol.
Santos said the private sector is tapping PPA for
assistance in the ports, including the settlement
of fees and pre-arrangements to expedite the activity.
THE Civil Aeronautics
Board (CAB) reported P59.45 million income for 2003,
9% or P4.94 million more than the P54.51 million generated
in 2002 (see table). Last year's income also overshot
by 6.48% the target of P55.84 million.
"Our revenues are mostly
from filing fees including new registration and renewal,
penalties and a large part of it from the government,"
the agency said. The growth came despite a significant
decline in income for the months of February, April,
May and November (36%, 34%, 43% and 33%, respectively)
due to the effects of the Severe Acute Respiratory
Syndrome. "A number of airlines have either cut or
ceased their operations around that time. So there
were very few renewals and new registrations," the
agency said.
In August, CAB recorded
the biggest increase in income at P8.28 million, 105%
more than 2002's P4.03 million. September, November
and December also registered positive growth at 52%,
49% and 48%. "This is an indication that the aviation
industry is really starting to regain its momentum,"
CAB noted.
This year, CAB has the
following priorities: strengthening the agency economic
aspect of air transportation function; revision of
economic regulations; preparation for e-commerce environment;
liberalization of the aviation industry; improvement
of working facilities and premises; and human resource
training and development.
CIVIL
AERONAUTICS BOARD
TOTAL INCOME COLLECTED
(In Philippine Peso)
Month
CY
2003*
CY
2002*
Inc
/ Dec
January
February
March
April
May
June
July
August
September
October
November
December
THE Philippine Ports
Authority (PPA) is looking at extending beyond 2013
the contract of International Container Terminal Services,
Inc. (ICTSI) to operate the country's largest port,
the Manila International Container Terminal (MICT),
provided ICTSI makes good on all its commitments to
further develop the port.
According to PPA, the
Office of the Government Corporate Counsel has said
there is no need to go through a public bidding once
the 25-year concession expires, even as it suggested
the creation of a committee that will discuss the
renewal process and structure of a new contract. ICTSI
is allotting $125 million for the further development
of MICT, including the acquisition of new equipment,
systems enhancement and infrastructure developments
to increase capacity and accommodate bigger vessels.
ICTSI senior vice president and MICT general manager
Francis M. Andrews said the company is planning to
dredge further the existing berthing area to comply
with the PPA's requirement of 7.5 meters.
"The dredging will start
in April and is expected to be completed in one month,"
he said.
THE National Statistics
Office's (NSO) review of November exports data is
pointing to a flat growth instead of an earlier reported
decline, according to an official from the National
Economic and Development Authority.
The error stemmed from
the non-inclusion of export figures submitted by both
Bureau of Customs (BOC) and the Philippine Economic
Zone Authority (PEZA) via the automated export documentation
system.
NSO earlier reported
merchandise exports for November fell 4.9% to $2.95
billion from $3.103 billion.
