PortCalls
The Philippines only shipping and  transport guide.
 
5th Philippine Ports and Shipping 2009

::Industry News::


Archives 2008 : Jan | Feb | Mar | Apr | May | Jun | Jul | Aug | Sep | Oct | Nov | Dec

June 2 | June 4 | June 9 | June 11 | June 16 | June 18 | June 23 | June 25 | June 30

 

* Q1 cargo throughput up 1.3%

* LTO: Added fuel subsidy not possible at this time

* InterCommerce pilot testing IFM for carriers

* EO on ship registry for endorsement to Office of the President

* P80M for building of Tawi-Tawi bridges

Q1 cargo throughput up 1.3%

CARGO throughput in Philippine ports ended the first quarter of the year on a positive note, posting a 1.29% increase due to the strong performance of the country's foreign trade (see table on page 3).
Domestic cargo volume, however, continued to decline, ending the first quarter 4.15% lower than a year earlier due to less cargoes at the ports of Manila, Batangas Cagayan de Oro and Davao.
The latest Philippine Ports Authority (PPA) records show cargo throughput increased in the first three months to 32.54 million metric tons (mmt) from 32.12 mmt in 2007 due to the 7.42% hike in foreign cargo.
According to the PPA, export and import shipments both posted positive growth rates of 6.19% and 9.62%, respectively. The rise in volume was mostly at the ports of Iloilo and San Fernando, which recorded sharp increases in foreign cargoes by 925% and 420%, respectively.
Iloilo handled significant volumes of coal and scrap metal exportation in private and government ports while the San Fernando port in La Union province recorded an extraordinary increase in the importation of coal and export of limestone, chrome ore and nickel ore.
Aside from the two ports, Legazpi, Tacloban, Pulupandan, Cagayan de Oro and General Santos posted notable increases in foreign cargoes such as rice, coco oils and marine products as well as fertilizer, copra, cement, frozen fish and vegetables.
Container traffic, meanwhile, continued its uptrend, increasing 6.64% for the period in review from 887,096 TEUs to 945,966 TEUs. Foreign containerized cargoes rose 11.13%.
Domestic boxed cargoes also increased 0.51% during the period from 375,306 TEUs to 377,224 TEUs in 2007.
Passenger traffic grew by 510,174 or 5.45%. Domestic passengers accounted for 99.95% of the total passenger volume and only the ports in Zamboanga received foreign passengers totaling to 4,776.
Overall vessel traffic likewise recorded an ascent, posting a 3.18% increase compared to last year. Domestic and foreign shipcalls rose by 2.94% and 11.20%, respectively, during the period.
For March alone, container traffic rose to 324,303 TEUs from 303,114 TEUs or 6.99% more while passenger volume grew 10.89% to 3.27 million from 2.96 million.
Shipcalls for March reached 25,348 from 24,590 in the same month last year. Cargo traffic declined 4.68% from 12.28 mmt last year to 11.71 mmt this year.

   

Cargo Traffic for Jan-Mar 2008

       
 

Jan-Mar

 

Inc/(Dec)

 

2008

2007

Volume

%

Cargo (mmt)

32.54

32.12

0.41

1.29

Domestic

16.32

17.03

(0.71)

(4.15)

Foreign

16.21

15.09

0.60

7.42

Import

10.27

9.67

0.60

6.19

Export

5.95

5.43

0.52

9.62

Container (in TEUs)

945,966

887,096

58,870

6.64

Domestic

377,224

375,306

1,918

0.51

Foreign

568,742

511,790

56,952

11.13

Import

278,536

250,854

27,682

11.04

Export

290,206

260,936

29,270

11.22

Passenger (millions)

9.863

9.353

0.510

5.45

Domestic

9.858

9.343

0.515

5.51

Foreign

0.005

0.010

(0.005)

(50.68)

Shipcalls

73,759

71,488

2,271

3.18

Domestic

71,436

69,399

2,037

2.94

Foreign

2,323

2,089

234

11.20

Source: Philippine Ports Authority

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LTO: Added fuel subsidy not possible at this time

TRUCKERS and public utility vehicles (PUVs) will have to be content with discounted toll rates after government decided to shelve the additional P1 per liter fuel subsidy it was planning on giving the sector on account of budget constraints.
Land Transpor-tation Office chief Alberto Suansing told PortCalls government does not have the estimated P3 billion needed for subsidies in the next three months.
He said the recent transport rate increase should in the meantime be enough to cushion the impact of rising fuel costs.
"Nonetheless, government will continue with the P1 per liter subsidy in effect since last year and will put up a P1-billion credit window for PUVs and truck operators to modernize their units to be more fuel efficient," Suansing said.
The LTO chief said government is, however, not fully abandoning plans to increase the fuel subsidy but noted this needed more study.
Truckers are urging government to push through with the subsidy, saying they were banking on this when they agreed on reducing their rate increases.
They threatened to hold a 'truck holiday' if they do not get their wish.
If the additional fuel subsidy is implemented, a 10% savings in fuel expenses equivalent t P200-P400 per truck per one-way trip will be realized, according to the Confederation of Truckers Association of the Philippines, the biggest trucking association in the country.
Diesel, the most common fuel used by trucks, increased more than P10 per liter since January this year and is already at the P47 per liter level. The price is still expected to go up as oil firms announced under recoveries of P13 per liter.
Prices of oil in the world market are, as of this writing, a little over $130 per barrel.

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InterCommerce pilot testing IFM for carriers

INTERCOMMERCE Network Service (INS) is set to pilot test its system for the advance inward foreign manifest (IFM) with foreign shipping lines.
INS, an accredited Bureau of Customs (BOC) value-added service provider (VASP), has already signed the non-disclosure agreements (NDA) with at least three international shipping lines last week.
INS president Francis Lopez told PortCalls more shipping lines are set to sign an agreement with his company for their IFM requirements.
"We will immediately start pilot testing our system with different shipping lines after the completion of the NDA starting with the first three lines," Lopez said.
"Hopefully, we could also start with the testing of at least six more carriers in the next two weeks," he added.
INS is not a preferred VASP of the Association of International Shipping Lines but was nonetheless approached by some lines, saying they do not want to be confined to the two VASPs - Cargo Data Exchange Center (CDEC) and E-Konek Pilipinas - preferred by the association.
CDEC and E-Konek are already conducting live data exchange for AISL members.
Under CAO 1-2007, the BOC requires shipping lines and forwarders to provide the BOC accurate information of vessels and cargoes arriving in any port 12 hours prior through electronic transfer coursed through any of its accredited VASPs.
Air carriers and forwarders are directed to submit the IFM two hours before shipment arrival.

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EO on ship registry for endorsement to Office of the President

THE Department of Transportation and Communications (DOTC) is endorsing for approval to the President an executive order crafted by the Maritime Industry Authority (Marina) relaxing the country's ship registry rules.
The Marina Board will meet later this month to formally approve the endorsement.
The proposed EO provides both foreigners and local vessel operators incentives such as tax holidays if they list with the local registry.
To promote the register, Marina will set up register offices in other countries to facilitate, control and enforce compliance of ships flying the flag.
The EO includes scrapping of the 4.5% withholding tax and the introduction of the tonnage fee and annual registration of vessels to reinforce Filipino shipowners' competitiveness in landing government's foreign trade. The current rule forces Filipino shipowners to register elsewhere to do away with the 4.5% withholding tax requirement to carry the government's foreign trade such as rice, corn and coal.
The proposal will be on top of the already relaxed bareboat chartering law, which has been extended indefinitely while waiting for the EO to be signed.
Marina is targeting 12.5% or about 1,000 vessels of the 8,000 new vessel deliveries worldwide in 2010-2012 to register under the local ship registry. This translates to $20-$25 million in annual revenues.
"Once approved, the local ship will increase significantly from 169 to more than 1,000 vessels in the initial stages of implementation," Marina administrator Vicente Suazo, Jr. said.
"It is expected to increase about 10% annually and generate approximately $25 million in revenues for the Authority aside from providing more employment opportunities for Filipino seafarers and cement our hold as the manning capital of the world," Suazo added.
"It will also bring logistics cost lower with more vessels to choose from and compete with the carriage of government and private foreign trade unlike now that it is mostly cornered by foreign-flag vessels," Suazo explained.
The Philippines has 169 vessels flying the Philippine flag. The number has been dwindling in the past 10 years.
Marina is trying to reverse the trend by issuing policies to open up opportunities for the Philippine overseas shipping to expand their fleet by allowing non-shipowning companies with a mini-mum paid-up capital of P10 million to charter as many as 10 ships. It is also now allowing shipowning companies with at least P7 million capital to charter any number of ships.
Marina is also developing financing schemes for ship acquisition through bilateral agreements to alleviate financing problems of shipowners.

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P80M for building of Tawi-Tawi bridges

THE Department of Public Works and Highways (DPWH) is earmarking P80 million to finance the construction and improvement of bridges in Bongao, Tawi-Tawi to ease the movement of goods in the area.
The center of trade in the province, Bongao is into agriculture and aquaticulture.
For now, Bongao is only accessible by motorboat.
Up for construction starting August are the Sanga-Sanga and Lapid-Lapid bridges. Completion is expected after a year.
"With the construction of these bridges, an alternative and shorter route from the mainland to the central business center can be provided without going to the hassle of sea travel giving marginal farmers, school children and villagers an easy access to main roads and on to commercial and government service centers, schools, and hospital wherein communal cooperation can be established between the government and local constituents," the DPWH said.
Construction was originally scheduled in 2004 but was delayed due to security issues and budget constraints.
DPWH Region 9 will construct the Sanga-Sanga and Lapid-Lapid Bridges and their 844.3-meter road link between the bridges as well as the approaches that will connect Bongao along Sanga-Sanga road to the mainland of Tawi-Tawi along Lapid-Lapid road.
In another development, the DPWH has started bidding procedures for the improvement of Quirino-Andaya Highway, a vital route that will connect Northern Luzon, Metro Manila and Calabarzon to Bicolandia, Visayas and Mindanao regions.

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Archives 2008 : Jan | Feb | Mar | Apr | May | Jun | Jul | Aug | Sep | Oct | Nov | Dec

June 2 | June 4 | June 9 | June 11 | June 16 | June 18 | June 23 | June 25 | June 30