Initial implementation of advance inward foreign manifest starts
THE Bureau of Customs (BOC) will start parallel
run of the advance submission of inward foreign manifests
(IFM) this week after receiving applications from at least
four IT providers to handle the system.
The parallel run requires only shipping lines for now to submit
hard copies of the IFM prior to cargo arrival aside from submitting
electronic copies of the same while the BOC gateway is still
being developed. The process is meant to pinpoint possible
flaws when the scheme is fully implemented.
Under Customs Administrative Order 1-2007, the BOC will require
shipping lines, non-vessel operating common carriers, cargo
consolidators, co-loaders and breakbulk agents to provide
accurate information on vessels and cargoes arriving in any
port 12 hours prior to their arrival through electronic transfer
coursed either straight to the BOC or any of its accredited
value-added service providers. Hard copies are required for
submission immediately upon arrival.
Violators face fines. Failure to comply will also mean that
the cargo is unmanifested and will be subject to seizure proceedings.
The requirement will be imposed on non-vessel operating common
carriers, cargo consolidators, co-loaders and breakbulk agents
before May.
Customs deputy commissioner Alexander Arevalo, at the sidelines
of a BOC conference last week, told PortCalls that for now,
the bureau will allow the IT providers to run the system while
the bureau is evaluating applications of value-added service
providers that will eventually permanently handle the electronic
submission.
ÒThe parallel run of the submission of advance copy
of the IFM will start today or Wednesday. The four IT providers,
who applied for accreditation with the BOC, will handle the
information,Ó Arevalo explained.
The requirement will first be implemented at the Port of Manila,
then rolled out after two weeks at the Manila International
Container Port, Ninoy Aquino International Airport, Batangas,
Subic, Cebu, Davao, and Cagayan de Oro.
The parallel run is almost two months ahead of schedule. The
BOC earlier set the advance IFM implementation starting May
1 to allow for the full development of AsycudaWorld operating
system, and accreditation of value-added service providers.
Arevalo said the BOC will also test the new procedure with
the Association of International Shipping Lines (AISL). The
43-member lines of the AISL have asked the BOC to allow them
to course all the information through the association to assure
data confidentiality.
The AISL and BOC agreed that advance copies of the IFM will
first pass through the AISL before going to the BOC, Arevalo
said. A system for handling information to be managed by the
AISL will also be developed.
Non-AISL members may submit their data directly to the BOC
or to any of the accredited value-added service providers
2GO expands some more, now in search of another supply chain facility
2GO, the logistics arm of Aboitiz Transport
System, is on the lookout for another facility to complement
its supply chain operations which it started just two months
ago.
2GO currently operates a supply chain hub in Pasig, which
it developed for $2 million.
ÒWe are now looking for a place to expand our supply
chain hub to house other possible users as our current facility
can no longer accommodate (more clients),Ó 2GO president
and general manager Sabin Aboitiz said.
ÒThis earlyÉcompanies that expressed intention
to use the facility exceeded the expected number before (the
facility) even started full commercial operations at the start
of the year,Ó Aboitiz added.
The Pasig hub counts as its clients chewing gum manufacturer
Wrigley’s, Nestle, baby food manufacturer Gerber, and
infant products manufacturer Mead Johnson. The facility is
also set to house the products of J&J Vision Care.
The companies use the facility as a distribution point to
at least 400 Mercury Drug stores nationwide.
ÒOur main focus now is to further develop our supply
chain management nationwide,Ó Aboitiz stressed.
2GO claims the use of its hub helps clients reduce their supply
chain cost by 10%.
The Pasig facility can handle 6,500 pallets, 1,200 of which
are for airconditioned storage. It is equipped with the SAP-warehouse
management system that operates radio frequency and barcode
pallet management as well as provides for sales order entry,
credit check, product discount management, inventory management,
inventory management forecasting, procurement, financial trade
management, transport route planning, returns management and
document tracking. — Christopher Paringit
THE Philippine Ports Authority (PPA) reported
a decline in cargo throughput for 2006 as more cargoes were
shipped via roll on-roll off vessels.
The drop represents the fourth consecutive year of flat to
negative growth.
Latest data from the PPA showed that as of December, total
cargo throughput declined 1.39% or 2.153 million metric tons
(mmt) (see table)
due to the 9% or 7.183 mmt decrease in domestic cargo traffic
brought about by the implementation of the Road Ro-Ro Terminal
System (RRTS).
Among the ports affected were South Harbor, Limay, Batangas,
Calapan, Legazpi, Dumaguete, Iloilo, Ormoc, Tacloban, Tagbilaran,
Iligan, Ozamiz and Zamboanga.
The PPA explained the decline was, however, tempered by the
strong showing of foreign cargo which increased 6.63%. Favorable
performance was noted at the ports of Limay, Legazpi, Puerto
Princesa, Dumaguete, Ormoc, Cagayan de Oro, Iligan and Surigao.
Container traffic increased 1.75% compared to the figure posted
a year earlier. The PPA said this was due to the active movement
of foreign goods mostly at the ports of South Harbor, Limay
and Davao.
Domestic containerized traffic decreased 1.76% due to the
underperformance of almost all major ports except North Harbor,
Limay, Pulupandan, Cagayan de Oro and Iligan.
Passenger traffic continued its decline, heading south 14.34%
or 6.98 million compared to the 2005 figure due to higher
passenger fare and the preference of travelers to use other
modes of transportation or make use of the cheaper RRTS.
Only the ports of Batangas and Dumaguete registered favorable
passenger performance for 2006.
Shipcalls were also lower, according to PPA, retreating 5.01%
due to the negative performance of both domestic and foreign
shipcalls in almost all major ports except in the North Harbor,
Dumaguete and Ormoc.
Despite the not-so-favorable cargo and passenger traffic for
2006, the PPA is optimistic it can post a high single-digit
growth in 2007 due to the expected surge in cargo traffic
this year.
THE Bureau of Customs (BOC) and the Phividec
Industrial Authority (PIA) agreed to strengthen their coordination
in handling and clearance of import-export cargoes at the
Mindanao Container Terminal (MCT).
Customs commissioner Napoleon Morales and PIA administrator
Nimfa Along-Albania recently signed the memorandum of agreement
for the treatment of cargoes at MCT, which was declared as
sub port, placing it directly under the bureau with Cagayan
de Oro district port as the principal port of entry.
Morales said they also agreed to establish a one-stop shop
facility for the processing of all pertinent documentary requirements
from the point of entry to the point of release.
Based on the MOA, the BOC personnel will have full access
to the port, facilities, sheds and warehouses.
The entrance and clearance of vessels engaged in foreign trade
and their boarding or departing passengers as well as all
import, export and transshipped cargoes and mail matters passing
through the MCT-SP shall be subject to the usual customs formalities
and procedures under existing laws, rules and regulations.
A designated area for security and convenience and pursuant
to customs laws, rules and regulations shall segregate import
cargoes, either bulk or containerized, from local cargoes.
PIA will also provide Customs ample and contiguous spaces
to conduct examination and customs clearance, x-ray machine
operation and a place for abandoned, forfeited or seized cargoes.
The PIA will remain responsible for the maintenance of the
BOC building inside MCT.
The storage charges or cargoes seized or deemed abandoned
by the BOC for violation of customs laws, rules and regulations,
meanwhile, shall accrue only from the termination of the free
storage period up to the issuance of the warrant of seizure
and detention or notice of abandonment.
Batangas Port privatization terms face another revision
THE Philippine Ports Authority (PPA) will
likely amend the Terms of Reference (TOR) for the privatization
of Batangas Port to address problems related to wharfage fees.
ÒThe current TOR does not have the exact amount on
how much the winning bidder should regularly remit to the
government as its share in the operations of the port,Ó
a PortCalls source explained.
The PPA official said the current terms allow the winning
cargo handler to collect wharfage and the port dues, but this
may cause problems in the future since the port agency has
a pending case against a Manila North Harbor firm which collects
the same.
The cargo handling contract of the Manila International Container
Terminal (MICT) approved in the late 1980’s has the
following provision: ÒThe contractor shall not collect
taxes and duties except that in the case of wharfage or tonnage
dues and harbor and berthing fees, payment to the government
may be made through the contractor who shall issue provisional
receipts and turn over the payments to the government which
will issue the official receipts.Ó
The Port-Calls source, however, said there have been contentions
that a cargo-handling contractor has no right to collect wharfage
dues, only the PPA.
This is the second time within three months that the PPA will
fine tune terms of the privatization.
Early this year, the agency discovered the terms ran in conflict
with the contract of Asian Terminals, Inc., which presently
operates the domestic terminal of Batangas Port.
At that time, the terms allowed for container handling at
the port. ATI, however, already operates the port’s
international terminal, or phase 2, on a temporary basis.
Phase two of the Batangas Port consists of dredging and reclamation,
construction of two foreign container cargo berths, reconstruction
of the general cargo berth at the Phase 1 area with provision
for stacking yard, container freight station, terminal building,
utilities, access road, and other support facilities. It was
mainly funded through official development assistance from
the Japan Bank for International Cooperation.
Last week, the PPA released the new schedule of bidding moving
the deadline for the submission of the letters of intent from
March 14 to March 23, and the submission of accomplished eligibility
documents from March 15 to March 26.
THE National Maritime Leasing Corp. (NMLC)
has set aside all of its funds for the development of the
Road Ro-Ro Terminal System (RRTS) project of the government
in a bid to kick start operations of missionary routes to
increase business activity in the countryside.
At a recent Philippine Interisland Shipping Association general
membership meeting, NMLC president and chief executive Agustin
Bengzon said the company has earmarked at least P1.2 billion
to finance the acquisition of ro-ro vessels for use in priority
missionary routes this year.
He said NMLC will not accommodate applications aside from
ro-ros to comply with the direct orders of President Gloria-Macapagal
Arroyo to jump start operations of most of the more than 120
missionary routes this year.
ÒWe encourage ro-ro operators to replace their old
ships with newly constructed once and to redeploy their old
ships in missionary routes or just scrap them,Ó Bengzon
said.
NMLC will finance the acquisition of ro-ro ships to be leased
to operators, prioritizing the provision of services in Maasin,
Leyte–Ubay, Bohol; Santander, Cebu–Siquijor Island;
Camiguin–Jagna, Bohol; and Lucena, Quezon–Boac,
Marinduque.
NMLC has a P200-million paid-up capitalization for ro-ros,
which it hopes to increase to P400 million by next quarter
and to P1.2 billion by the third quarter.
The Japan Bank for International Cooperation has committed
to providing the company with a $1-billion loan. NMLC is also
looking at floating P1 billion worth of bonds through the
National Development Co. (NDC), which owns the NMLC, and securing
another P1-billion loan from the Asian Development Bank.
Second priority will be given to ro-ro routes in the Central
Nautical Highway, which has now 21 applicants. Five of these
routes are considered vital: Tabuelan, Cebu–Esacalante,
Negros Occidental; Danao City, Cebu–Isabel, Leyte; Liloan
Santander, Cebu–Sibulan, Negros Occidental; Mandaue
City–Jetafe, Bohol; and Dalahican, Lucena-Masbate.
Third priority will be given to ro-ro ship applications in
the following routes: Dumaguete City–Dipolog; Lucena,
Quezon–Sta. Cruz, Marinduque; Roxas, Mindoro–Caticlan,
Aklan; Atimonan, Quezon–Alabat Island, Quezon; Batangas–Calapan,
Mindoro; Iloilo City–Bacolod City; Matnog, Sorsogon–Allen,
Northern Samar; Lipata, Surigao–Liloan, Southern Leyte;
Batangas–Romblon; Lucena–Odiongan, Romblon–Caticlan.
NMLC and the Maritime Industry Authority (Marina) will give
a five-year investment security to all vessel operators entering
missionary routes as well as other incentives.
NMLC and Marina are expecting the bulk of missionary routes
to duplicate the success of the Roxas-Caticlan route where
cargo traffic increased more than 500% in the first two years
of operations while passenger traffic grew 200%.
