PortCalls
The Philippines only shipping and  transport guide.
 

::Industry News::

Archives 2005 : Jan | Feb | Mar | Apr | May | Jun | Jul | Aug | Sep | Oct | Nov | Dec

June 1 | June 6 | June 9 | June 13 | June 15 |

June 20 | June 22 | June 27 | June 29



*CTAP members to jack up rates by 20% this month

*ATI, ICTSI, PPA commit to paperless data transfer

*US still RP's largest air traffic partner

*MARINA: More effort should be placed on shipbuilding

*NAIA Terminal 3 June opening facing delays

*Development of 15 sea routes to BIMP-EAGA eyed

 


CTAP members to jack up rates by 20% this month

MEMBERS of the Confederation of Truckers Association of the Philippines (CTAP) are eyeing a 20% increase in trucking rates this month, CTAP president Rodolfo T. De Ocampo told PortCalls in a telephone interview.

"Our issues are still the same: the escalating prices of diesel/fuel and spare parts. We cannot keep up anymore," he said, adding the 20% proposal came out of the CTAP board's preliminary meeting last week.

CTAP members account for about a third of the country's total trucking population. The 20% increase supersedes the group's 25% rate hike proposed in February specifically to cover North Luzon Expressway toll fee adjustments. The new rate hike petition is mainly due to the fuel price hike. De Ocampo said fuel comprises 40% of a trucker's overhead. In less than a year, the price of fuel per liter has gone up 46%, he noted.

The Alliance of Concerned Truck Owners and Organization (ACTOO), on the other hand, said it will not jack up rates for now, saying the time is not right. ACTOO chairman and president Ricardo Papa said rates in the trucking business are dictated by the market.

"We cannot just increase rates because everybody else does. This is not the time," he stressed, noting truckers have been experiencing low volume of deliveries in the last few years.

According to him, since the time of then President Joseph Estrada, the trucking business has been in decline, with deliveries now 40% lower. "Given this situation, it is inappropriate to impose higher rates," he said.

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ATI, ICTSI, PPA commit to paperless data transfer

DATA transfer between the Philippine Ports Authority (PPA) and terminal operators Asian Terminals, Inc. (ATI) and International Container Terminal Services, Inc. (ICTSI) will soon be done electronically.

The port agency and both operators will sign tomorrow a memorandum of agreement (MOA) regarding the Cargo Handling Operator (CHO)-Data Transfer requiring all data of ATI and ICTSI be trans-ferred to the PPA system electronically. This is part of PPA's Ma-nagement and Information System (MIS) Computerization project, said PPA assistant general manager for Special Projects and Corporate Affairs Raul T. Santos. "The goal is to create a common platform for users to access information," he said.

Among the information which will be transferred on a daily basis are manifests, vessel movement, invoices, cargo and port charges data. "PPA will have a daily report of wharfage dues collec-ted and be updated of vessel move-ment. In turn, port users can be assured of on-time port statistics and financial reports," a source noted. - MR Mesias

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US still RP's largest air traffic partner

THE United States was the country's largest airfreight partner last year, accounting for 57.94 million kilograms (kg) or 23.93% of total international cargo traffic flow, according to the Civil Aeronautics Board (CAB). In 2004, the country's international cargo traffic flow totaled 242.08 million kg, 15.1% of which were direct shipments, 58% consolidated shipments and 26.9%, breakbulk cargoes.

Preliminary data released by the agency showed countries from the Association of South East Asian Nations (ASEAN) followed the US with 53.17 million kg, accounting for 21.97% of the total international air traffic market. The country's third-largest partner was Japan with 32.23 million kg or 13.32% of air traffic to and from the Philippines. Hong Kong and the rest of Europe were in fourth and fifth places with 23 million kg (9.51%) and 14.63 million kg (6.04%), respectively.

The top six and seven destinations for Philippine air shipments were the rest of Asia and Germany with 13.32 million kg (5.50%) and 10.50 million kg (4.34%), respectively.

Also last year's top Philippine air traffic import/export destinations were: Korea (7.24 million kg or 2.99%); Taiwan (6.22 million kg or 2.57%); United Kingdom (3.17 million kg or 1.31%); Middle East (2.39 million kg or 0.99%); Australia (2.24 million kg or 0.93%); Italy (1.57 million kg or 0.65%); France (1.50 million kg or 0.62%); Canada (1.15 million kg or 0.48%); South America (222,952 million kg or 0.09%); and Africa (153,883 million kg or 0.06%).

In terms of consolidated shipments, CAB reported the US emerged as the country's biggest import/export partner, accounting for 32.74% of the entire market, followed by ASEAN countries (28.83%) and Japan (11.73%). Hong Kong was the country's largest direct air import/export shipment partner with 13.63 million kg or 37.19% market share, while Japan had the highest breakbulk imports and exports with 11.98 million kg or 18.42% of the total air breakbulk market. .

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MARINA: More effort should be placed on shipbuilding

THE Maritime Industry Authority (MARINA) is keen on developing the Philippines as a maritime hub through the development of the shipbreaking, shipbuilding, and drydocking industries, and the acquisition of vessels and transshipment of cargoes rather than through regulation. While being blessed with abundant resources perfect for a lucrative shipping industry, the Philippines failed to focus on developing its potentials, said MARINA administrator Vicente T. Suazo, Jr. "The recognized tiger economies of Asia have prospered over the years because they have rightfully focused on these maritime potentials," Suazo said. Taiwan is synonymous with shipbreaking; Japan, the world's top shipbuilder, which was eventually displaced by South Korea; and Singapore and Hong Kong, the present maritime hubs of Asia in view of their booming cargo transshipments. "The Philippines could have joined the bandwagon and caught the boom, had we properly developed our shipbuilding industry," Suazo pointed out. He said that in the past, many foreign vessels used to come to the Philippines for drydocking but were shunned by substantial duties and bureaucratic red tape at the Bureau of Customs.

Empowered by its vision to turn the Philippines into Asia's next maritime hub, MARINA has laid down plans for the country's maritime industry according to specific mandates, which include promotional, developmental and regulatory/supervisory activities.

Under its promotional mandate, the maritime agency is focusing on the promotion of Philippine-flag ships, development of new financing windows for shipping and proposing maritime attaches in strategic international ports.

The developmental mandate covers the establishment of MARINA training centers, development of certification process for competency of maritime manpower, development of new routes/areas of operation, conduct of a pre-feasibility study to identify potential routes, development of mandatory ship retirement/replacement program, improvement of shipyard capability to build 500 gross-registered tonnage ships and below and adoption of electronic commerce.

Suazo said the regulatory/supervisory activities would pave the way for the adjustment/rationalization of safety standards according to ship type or size; preparation of guidebook for enhanced enforcement and monitoring procedures; codification of MARINA circulars, maritime-related laws, rules and regulations; ratification of maritime conventions; domestic shipping database update; and enhancement of an overall maritime industry database.

Suazo noted one viable strategy for sea transport is cargo consolidation vis-à-vis designation of suitable hub centers and ports. "As you know, carriers look into moving cargoes as one economy in or out of the ASEAN or the APEC Region through cargo consolidation," he said.

In the case of bulk grain shipments, Suazo pointed out Mindanao is a potential hub, especially ports in the northern part. The Asian Development Bank of the Philippines is currently conducting a study on the prioritization of strategic directions on the shipment of corn to Borneo and fertilizer from Bintulu as backload.

Meanwhile, an ideal container transshipment hub would be the port of Makar in General Santos, especially with the opening of the direct containerized services to and from Bintung. "Exports from East Asia will utilize this route instead of going down to Surabaya via Jakarta to Singapore then Kaoshioung for the US West Coast," Suazo said.

He noted shipping costs may be reduced by as much as 50% using the same route for imports from the US West Coast destined for Sulawesi, Maluku, Irian Jaya and up to the Lesser Sundra Islands. .

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NAIA Terminal 3 June opening facing delays

THE June opening of the Ninoy Aquino International Airport (NAIA) Terminal 3 may not materialize due to unresolved technical issues.

According to Manila International Airport Authority (MIAA) general manager Alfonso Cusi, there are still some 42 outstanding items that need to be addressed before the terminal commences operations.

He, however, assured that the opening of the 182,5000-square meter international terminal facility will not be later than this year. In an interview, Cusi said MIAA is still negotiating with NAIA Terminal 3's private contractor Takenaka Corp. for the final blueprint of the terminal. "We have given them up to the end of this month to submit to us the final findings," he said.

He added they are also working to identify all the defects and technical issues, particularly those pertaining to structural integrity and security of the terminal. At present, 90% of all infrastructure projects outside the terminal are complete, including access roads and water system. A number of airlines have already expressed interest to move to the new terminal.

"As long as we have the blueprint, we can start issuing the lease agreement," Cusi explained.

International Air Transport Association (IATA) country manager Evelyn Del Rosario said most airlines want to transfer to the new terminal as soon as possible. IATA is also closely working with MIAA to keep the commercial opening of the terminal close to the original target.

NAIA Terminal 3 has been closed for two years since December 2002 and was not inspected by the government until its expropriation December 21, 2004. Cusi said the opening of the world-class terminal will relieve the congested NAIA Terminals 1 and 2. Terminal 3 was designed to accommodate up to 13 million travelers annually. Terminals 1 and 2 can only handle each year 4.5 million and 2.5 million passengers, respectively.

NAIA Terminal 3 also boasts of 20 contact and eight remote stands, 140 check-in counters on five islands, nine baggage carousels, 120 immigration counters (68 departure, 52 arrival) and 40 arrival customs counters.

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Development of 15 sea routes to BIMP-EAGA eyed

THE Maritime Industry Authority (MARINA) is pushing for the development of 15 sea routes linking the Philippines to the BIMP-EAGA (Brunei Darussalam-Indonesia-Malaysia-Philippines East Asian Growth Area).

According to MARINA administrator Vicente T. Suazo, Jr., there are substantial trade and tourism opportunities for the country through these links, which directly connects Mindanao and Palawan to the rest of the region. These links, including the Zamboanga-Sandakan route, are being served by Indonesian and Philippine-flagged vessels.

The General Santos-Bintung link has a direct containerized service offered by Indonesian-flagged vessel M/V Rimba Tujuh. "The frequency of shipcall is every ten days and is expected to increase in the near future," Suazo said. Data from MARINA shows that from 1995 to 2000, there was an average growth of 18.6% for inbound passenger and 24.6% for outbound passengers; and 28.75% for inbound cargoes for 2002 and 2003.

Suazo said the maritime agency is active in discussions of key maritime issues in multilateral regional organizations to sustain the Philippine's active stance. Incentives are also being extended through bilateral arrangements, the most recent of which is the adoption of a uniform port tariff by the Philippines and Indonesia.

BIMP-EAGA covers 16 focus areas such as the entire Sultanate of Brunei Darussalam and the less developed regions of Irian, Jaya, Maluku and all provinces of Kalimantan and Sulawesi in Indonesia, the states of Sabah and Sarawak and the Federal Territory of Lubuan in Malaysia and Minadanao and Palawan in the Philippines.

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Archives 2005 : Jan | Feb | Mar | Apr | May | Jun | Jul | Aug | Sep | Oct | Nov | Dec

June 1 | June 6 | June 9 | June 13 | June 15 |

June 20 | June 22 | June 27 | June 29

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