The entry of more shipping lines to Subic port and the growing Philippine economy will continue to strengthen operations at the Northern Luzon hub, which is already making a robust showing in the first quarter of the year, according to the Subic Bay Metropolitan Authority (SBMA).
SBMA, in a statement, said Subic Port’s year-on-year performance for the first quarter of 2015 shows the same uptrend it has enjoyed in the past three years.
“Our port revenue has increased by 20%, GRT by 12%, non-containerized cargo by 15%, containerized cargo by 28%, and ship calls by 18%,” SBMA chairman and administrator Roberto Garcia said at the recent 2nd Subic Bay Maritime Conference and Exhibit.
The SBMA chief said the entry of more foreign carriers calling Subic port regularly has vastly improved the port’s connectivity to the world. Shipping lines started their calls last year when Manila ports experienced congestion.
“We now have NYK Line, SITC, Maersk Line, APL, and Wan Hai vessels plying to and from major Asian ports like Kaohsiung, Singapore, Busan, Xiamen, Jakarta, Ho Chi Minh, Shanghai, and Surabaya, among others; as well as to and from Japanese ports such as Tokyo, Nagoya, Osaka, Chiba, and Kobe,” Garcia said.
Previously, Wan Hai and APL were the only carriers with weekly calls at Subic port, while Swire Shipping had monthly calls.
“This year we aspire to hit a target volume of 120,000 TEUs, or 20% of the 600,000-TEU combined annual capacity of the port’s New Container Terminals 1 and 2, in line with our vision to make this Freeport the premier logistics hub north of Metro Manila,” Garcia revealed.
Roberto Locsin, general manager of Subic port operator Subic Bay International Terminal Corp. (SBITC), said that to achieve this target, they are counting on marketing activities and educating stakeholders to increase awareness of the Northern Luzon hub.
Besides the increased number of shipping lines, the new equipment, and “innovative thinking that goes into promoting Subic like the One-Stop Shop,” Locsin said SBITC is also working with the Bureau of Customs (BOC) on clarifying regulations.
The One-Stop Shop houses under one roof the combined agencies of SBMA and BOC Subic within the SBITC premises. It promotes seamless transaction flow where customers can toggle between counters to address BOC and SBMA requirements. A business lounge is equipped with wi-fi for last-minute corrections or adjustments prior to payment; billing is also within the One-Stop-Shop. A free SBMA shuttle to the terminal is provided to ensure getting around is easy.
“When customers get comfortable about doing business here, the volume will follow,” Locsin told PortCalls on the sidelines of the conference.
Asked if the volume Subic port is handling now is its intended market, Locsin said, “I think that the volume we’re looking at for the region is healthy,” and that a lot of the volume that went to Manila in the past was because Subic wasn’t up to the compliance most people needed.
However, “much of that volume is going to see its way back,” Locsin noted.
This year, SBITC has ordered two Kalmar rubber-tired gantries to be delivered by November, 16 terminal tractors due for delivery between July and August, six reach stackers, and three empty handlers.
SBITC is also working closely with stakeholders regarding ancillary services such as container freight stations and a new x-ray area.
Subic port’s monthly volume for the first quarter averaged 10,000 twenty-foot equivalent units (TEUs) per month, exceeding expectations, Locsin said. He added that they see an uptick in volume by the second half of this year.
Subic port has been enjoying growth for the past three years in port revenue, gross registered tonnage (GRT), number of ship calls, and volume of non-containerized and containerized cargos.
In 2011, annual port revenues were recorded at P371 million, which by 2014 had ballooned to P908 million, or a 126% increase. Moreover, ship calls increased 15% from 1,803 in 2011 to 2,591 in 2014.
SBMA’s Garcia said the GRT was only 14 million in 2011, but expanded to 40 million last year, growing by 186% during the three-year period.
“Our port also enjoyed similar growth in terms of containerized cargo, which grew from 27,671 twenty-foot equivalent units in 2011 to 77,177 TEUs by 2014, reflecting a 60% growth,” the SBMA chief noted.
Non-containerized cargo volume likewise sustained the positive trend with a 136% hike to 6.1 million metric tons in 2014 from 2.6 million metric tons in 2011. – Roumina Pablo
