Offdock CY utilization continues downtrend

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ID-100248606Utilization at off-dock container yards in and around Metro Manila continues to go down weeks after the long holidays.

Container Depot Alliance of the Philippines (CDAP) president Carl Fontanilla, in a text message to PortCalls on February 25, said CDAP member-depots in Metro Manila have an overall utilization of 84%, while depots in Bulacan have a 20% rate. Depots in Bulacan, Cavite, and Laguna were at 8%, 40%, and 30%, respectively. These are lower than the 92% overall utilization of off-dock container yards on January 20, a few days after the five-day papal visit which started on Jan 15.

Off-docks are considered efficient at 80% to 90% capacity, according to Fontanilla.

The lower utilization, the container depot executive said, is due to shipping lines prioritizing “return of empty containers to Manila ports if there is space instead of to off-docks to save on double handling.”

The Philippine Ports Authority said that as of February 20, yard utilization of the two international terminals in the Port of Manila has dropped to 76.5%, or 3.5-percentage point lower than the 80% target set by the Cabinet Cluster on Port Congestion.

He noted that the repositioning of empty containers is a “normal trend until May.”

Asked if operations of off-dock container yards are expected to get back to pre-Manila truck ban levels anytime soon, Fontanilla said, “We really can’t tell at this time.”

However, he noted that with the ongoing decongestion of off-dock CYs and the opening of International Container Terminal Services, Inc.’s (ICTSI’s) container depot in Calamba, pre-truck ban utilization levels might be achieved within this year.

Global port operator ICTSI said its inland container terminal in Calamba, together with its Yard 7, will expand capacity of its flagship, Manila International Container Terminal (MICT). MICT was one of the international terminals to be heavily affected by the Manila truck ban implemented from February to September last year.

Meanwhile, Fontanilla said the movement or lift-on/lift-off (LoLo) of boxes now has a better turnaround. Container yards normally earn more from container handling or LoLo than storage.

The stay of empty containers has also dropped to 25 days on average to a maximum of 45 days, Fontanilla said. This is lower than the 45 days on average and 60 days maximum for the duration of the Manila truck ban.

Meanwhile, asked if container yards are already instructing depot staff to wear big identification cards as requested by truckers to discourage bribery, Fontanilla said, “We have not met again to finalize this, but we agreed to ensure that IDs of our personnel are visible to the tuckers.” – Roumina Pablo

Image courtesy of joesive47 at FreeDigitalPhotos.net