SCMAP sees shipment delays at the North Harbor

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SUPPLY Chain Management Association of the Philippines (SCMAP) members are complaining of shipment delays at the North Harbor which have led to higher overheads.

SCMAP said its 100-plus member companies have expressed grave concern over the slow service they are getting at the North Harbor due to the recent takeover of new operator, the Manila North Harbour Port, Inc. (MNHPI).

In a letter to the Philippine Ports Authority (PPA) Board, SCMAP president Dennis Llovido said the shipment delays are affecting the distribution and availability of products, particularly in the Visayas and Mindanao (see related story [SCMAP column] page 5).

“Out of stock situations for our members’ products will lead to lost sales and are bad for the economy as a whole,” Llovido said in his letter.

“We feel that the readiness of MNHPI to take over North Harbor is the root cause of the problem,” Llovido added. “We urge the PPA to order MNHPI to correct the situation immediately by providing the appropriate equipment immediately.”

SCMAP members include San Miguel Corp, Johnson & Johnson, CDO-Foodsphere, Unilever, PLDT and Smart.

The required cargo-handling equipment will supposedly be installed at month’s end, although stakeholders are wary this will happen. They pointed out equipment delivery and installation usually take time. Stakeholders say the current situation could last at least six months.