EDIT PNF Sept 26 2014

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PHILEXPORT News and Features

This Media Service is brought to you by the Philippine Exporters Confederation, Inc.
(PHILEXPORT). Articles from PHILEXPORT News and Features may be reproduced
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September 26, 2014


CONTENTS
1. Build and design a competitive Homestyle industry for the ASEAN
integration
While ASEAN Economic Community (AEC) integration exposes the Philippines to
intense and tougher competition, it also provides market access and diversification for
local stakeholders.

2. GDP growth forecast for Philippines highest among ASEAN-6


The Philippine economy will continue its robust expansion through next year, but its
growth outlook has been slightly lowered as reduced government spending, higher
inflation, and monetary tightening dampen activity, says a new Asian Development
Bank (ADB) report released September 25.

3. Use of modern ICT, access to finance keys in increasing SME


participation in export
Asia-Pacific developing countries such as the Philippines are urged to prioritize efforts
to provide affordable information communications technology (ICT) services and
promote development of supply chain finance to increase participation in export and
international production networks (IPNs) of their small and medium enterprises (SMEs).

4. Academy, industry linkup can prepare labor force for global


realities
A strong tripartite partnership between government, academe, and industry will create
an educational system that provides the right training to prepare Filipinos workers to
support local industrys expansion and compete in the global employment market.

5. Investors urged to locate in General Santos economic zone

Local and foreign investors are encouraged to set up businesses in the new economic
zone in General Santos City and take advantage of economic benefits.

6. PH port users receptive to draft bill allowing foreign ships to make


multiple local port calls
Stakeholders and government agencies approve of the passage of a pending bill
allowing foreign shipping lines to call at multiple Philippine ports, as long as the cargoes
they carry are for foreign trade and have been cleared by the Bureau of Customs.

7. Report offers roadmap for port development in Mega Manila


A twin-track solution of intermediate and long-term action plans to address Manilas port
congestion and provide a roadmap for port and road infrastructure development for
Mega Manila trade is the centerpiece of a paper produced by port and shipping
stakeholders.

8. Palace approves higher storage fees for overstaying containers


Philippine President Benigno Aquino III has approved the proposed increase in storage
fees for overstaying Bureau of Customs-cleared inbound cargoes with gate pass.

FULL STORIES
1. Build and design a competitive Homestyle industry for the ASEAN
integration
While ASEAN Economic Community (AEC) integration exposes the Philippines to
intense and tougher competition, it also provides market access and diversification for
local stakeholders.
Federico M. Macaranas of the Asian Institute of Management (AIM) said that the
favorable prospects for the Philippine home style industry is rooted on strong
government support and the booming construction industry.
He gave the presentation during the 1st Philippine Homestyle Congress held yesterday
at the SMX Convention Center in Pasay City.
Also projected to benefit the industry are creative workers and design and larger
"focused" markets like the Do-It-Yourself (DIY). At the same time however, he stressed
that the Philippines must be more conscious about related issues like Intellectual
Property Rights (IPR), free trade areas (FTAs) and continuous upgrading of
management skills.

Presenting an overview of the homestyle sector, he mentioned that this sector is


identified to be among those that registered high demand for skilled workers, noting that
Filipino craftsmen exhibit excellent handicrafts skills as shown in the United Nations
Comtrade Database in 2012.
"One of the weaknesses that needs to be solved is the lack of skills training and
education for Filipino craftsmen and designers," Macaranas said. "Though the
government and other non-government institutions offer courses in furniture-making,
these institutions are mostly concentrated in highly urbanized areas like Metro Manila
and Cebu. There is a need to extend their reach to areas with potentially high skilled
craftsmen and designers.
As also shown in the Comtrade Database, the Philippines has a small share in the
global trade of homestyle products. He cited volatile supply of raw materials and the
depleting natural resources as among industry weaknesses that contribute to the
performance.
He likewise warned about the exposure of the industry to intense competition through
the ASEAN Economic Integration; global economic conditions that could adversely
affect demand for Philippine homestyle products; and natural and man-made disasters.
Macaranas explained that the ASEAN integration alone will not rescue Philippine
manufacturing. This is so because the manufacturing export base lacks the following:
forward-backward linkages for it to expand to more productive activities; a clearly
articulated industrial policy; and innovation focus. He mentioned that establishing safety
nets as a consequence of ASEAN integration is bad economic policy, and this shows
we have never learned from our recent past, he said.
To build a competitive Philippine homestyle industry, he prescribed the need to
recognize and embrace a larger market; develop people and innovate products; build
marketing muscle by tapping big or global homestyle chains; employ best management
practices; prepare a strategic game plan; use alternative materials and mixed media to
respond to new furniture trends/market; adopt coopetition or cooperation and
competition by creating a bigger business pie to divide; and go global.
In closing, he stressed that a strong partnership with other ASEAN members is critical in
successfully positioning a company within the ASEAN Economic integration.

2. GDP growth forecast for Philippines highest among ASEAN-6


The Philippine economy will continue its robust expansion through next year, but its
growth outlook has been slightly lowered as reduced government spending, higher
inflation, and monetary tightening dampen activity, says a new Asian Development
Bank (ADB) report released September 25.

Gross domestic product growth (GDP) is now expected to grow by 6.2% in 2014, down
from the forecast of 6.4% in April, and by 6.4% in 2015, compared with 6.7% in April,
according to an update of ADBs Asian Development Outlook (ADO) 2014, its annual
economic publication released in April.
Still, comparative statistics show the country still has the highest GDP growth forecast
among the Association of Southeast Asian Nations-6 (ASEAN-6) members for 20142015.
The slight deceleration comes with the slowdown in Philippine government spending,
partly reflecting cautious spending by government agencies amid concerns over the
misuse of public funds. Higher inflation and associated monetary tightening are also
expected to adversely impact on growth.
In the first half of 2014, the economy grew 6% on the back of export recovery and
private consumption and investment expansion. Growth for the rest of this year and in
2015 hinge on expectations that post-typhoon reconstruction picks up, government
fiscal disbursement improves, and exports benefit from brighter prospects in the major
industrial economies.
Consumption and investment remain strong, and exports are recovering, said Richard
Bolt, ADB country director for the Philippines. Accelerating infrastructure projects,
taking measures to strengthen competition, and increasing access to finance can boost
growth and create jobs.
Exports of goods and services in the first half of the year reversed a contraction in the
first half of 2013 to rebound by 11.8% by volume. Export gains were notable in
electronics including semiconductors. Imports of goods and services also recovered, but
at a slower pace of 5.7%.
Foreign direct investment, though low compared with other countries in the region,
jumped 77% in the first half of 2014 to US$3.6 billionand almost doubled in 2013 to
$3.8 billion from an annual average of about $2 billion in 2008-2012. Central bank
surveys show business sentiment is generally positive.
But despite strong GDP growth averaging 6.3% since 2010, job generation is
insufficient, said the update.
Underemployment remains high at 18.3% of those employed because new jobs are
largely part time or informal. A stronger manufacturing sectorwhich currently
generates 8% of total employmentand further expansion of tourism and other service
industries, would create more and better-paid jobs, it added.
The Philippine economy mirrors a parallel slowdown in the main economies of
Southeast Asia.

The report noted that except for Malaysia, aggregate growth is moderating in 2014,
slowed by stabilization policy and weaker commodity export prices in Indonesia, political
disruption in Thailand, a government spending slowdown in the Philippines, and soft
domestic demand in Vietnam.
Updated aggregate growth in the ASEAN-6 is now expected to be 4.6% in 2014 from
5% forecast in April, and 5.3% in 2015 from 5.4%.
Indonesias growth has been reduced to 5.3% from 5.7% for 2014, and 5.8% from 6%
for 2015; Singapore to 3.5% from 3.9% in 2014 and to 3.9% from 4.1% in 2015;
Thailand to 1.6% from 2.9% in 2014 and to stay steady at 4.5% next year; and Vietnam
to 5.5% from 5.6% in 2014 and to 5.7% from 5.8% in 2015.
In contrast, Malaysias GDP is seen to accelerate in 2014 to 5.7% from the April
forecast of 5.1% and to 5.3% from 5% for 2015.

3. Use of modern ICT, access to finance keys in increasing SME


participation in export
Asia-Pacific developing countries such as the Philippines are urged to prioritize efforts
to provide affordable information communications technology (ICT) services and
promote development of supply chain finance to increase participation in export and
international production networks (IPNs) of their small and medium enterprises (SMEs).
These recommendations were made by the study authored by Yann Duval and Chorthip
Utoktham, chief of Trade Facilitation, Trade and Investment Division and consultant,
respectively, at the United Nations Economic and Social Commission for Asia and the
Pacific (UNESCAP).
The study underlined the importance of several trade facilitations and trade-related
factors to SME participation in export, particularly of access and use of modern ICT as
well as international quality certification.
Given the importance of ICT in enabling participation of SMEs in trade, prioritize efforts
to provide affordable access to internet and related services, including building capacity
of SMEs and individuals in using the services, it noted.
The study also found supplier credit to be an enabler of SME participation in export, at
least as important as bank financing, and that access to finance remains a key obstacle
to SME development.
Duval and and Utoktham thus suggested the need for governments of developing
countries to promote further development of supply chain finance in partnership with the
private sector, in addition to the more traditional bank and non-bank financial services.

Further, the study outlined the significance of streamlining the customs and trade
procedures which were found to benefit the SMEs.
...Actively seek to simplify and increase transparency of the business environment in
general and trade procedures in particular, including through but not limited to implementation of measures included in the WTO trade facilitation agreements, it said.
Duval and and Utoktham further noted that a reduction in customs and trade clearance
times was found to increase SMEs likelihood of participation in export or IPNs relatively
more than that of larger enterprises.

4. Academy, industry linkup can prepare labor force for global


realities
A strong tripartite partnership between government, academe, and industry will create
an educational system that provides the right training to prepare Filipinos workers to
support local industrys expansion and compete in the global employment market.
Dr. Eduardo Gutierrez-Ong, chairman for education of the Philippine Chamber of
Commerce and Industry, said gaps in human resource development have significant
economic costs as they undermine the countrys global competitiveness, productivity,
and efficiency.
He noted that without intervention, the workforce will be unprepared for the skills
requirements of local industry and the governments national development plan,
undermining economic progress.
In addition, local workers will be ill equipped to face the challengesand take
advantage of the opportunitiesof global realities including globalization, trade
liberalization, information and technology advancements, and bilateral and multilateral
employment arrangements.
Ong said a strong workforce is crucial now that statistics show the Philippines ranking
in a number of world competitiveness indices going up in 2013 compared to 2012.
The World Economic Forum (WEF)-Global Competitiveness Index moved the country to
59th place out of 148 countries, up six places from 2012. The International Finance
Corporation Ease of Doing Business lifted the Philippines by 30 spots to 108th place out
of 189 countries, and the IMD World Competitiveness Report pushed up the Philippines
five spaces to rank 38th out of 60 countries last year.
Ong added that to sustain and improve on the competitive advantages of the nation, it
needs closer collaboration between industry and academe, with support from
government, to beef up the workforce.

In a recent talk at a business conference in Manila, Ong suggested focusing human


resource development on four key areas: primary education, higher education, labor
efficiency, and innovation.
In the WEF-Global Competitiveness Index for 2013, the Philippines posted upward
movement in three out of the four categories, moving up two points to rank 96 in health
and primary education, three points to 100th spot in labor market efficiency, and an
impressive 25-point jump to rank 69 in innovation.
Higher education training, however, slipped three points to land in 67th place.
He said that among the interventions government can do to boost human resource
development include re-engineering primary education thrusts with basic infrastructure
as the foundation, reforming higher education in partnership with the private sector to
build linkages, harmonizing policies and tripartite arrangements, building on an efficient
labor force by addressing mismatch to achieve labor efficiency, and investing in
innovation.
He stressed the importance of investing particularly in innovation. Innovation fosters
economic development, improves productivity, and builds the competitive advantage of
industries, he pointed out.
To promote innovation, he called for the allocation of 1% of gross domestic product to
science and technology development, and promoting policy inter-linkages among the
three institutions. Incentives should also be given to encourage investors to
commercialize technologies, as well as to increase R&D investment and training
activities.

5. Investors urged to locate in General Santos economic zone


Local and foreign investors are encouraged to set up businesses in the new economic
zone in General Santos City and take advantage of economic benefits.
President Benigno S. Aquino III issued Proclamation No. 820 dated July 3, 2014
creating and designating Gensan Economic Zone (GEZ) as Special Economic Zone
under the Philippine Economic Zone Authority (PEZA) in a bid to contribute to achieving
inclusive growth in the countryside, especially in Mindanao.
With SOCSKSARGENs (South Cotabato, Sultan Kudarat, Sarangani, General Santos
City) strategic location in the East ASEAN Growth Area, the Gensan Economic Zone
could attract investments from the member states and the rest of the world, said a
briefer on the zone.
Investors intending to locate in the manufacturing economic zone can enjoy typical
benefits, including four years of income tax holiday (ITH) extendable up to eight years,

five-percent special tax on gross income and exemption from all national and local taxes
upon expiry of the ITH and allows 100-percent foreign ownership of enterprise.
Strategically located in the heart of Gensans industrial zone, GEZ is within five
kilometers to key ports and has two functional seaports -one of which is one of the
alternate commercial ports of the Philippine Ports Authority.
Also ongoing are the construction and upgrading of vital infrastructure support facilities
and utilities.
With these advantage and benefits, a number of foreign companies have already
expressed serious interest to locate in the zone.
One of them is an American company that has already secured the approval of the
PEZA Board to locate in the ecozone for its food and beverage processing business
using organically grown fruits as raw materials.

6. PH port users receptive to draft bill allowing foreign ships to make


multiple local port calls
Stakeholders and government agencies approve of the passage of a pending bill
allowing foreign shipping lines to call at multiple Philippine ports, as long as the cargoes
they carry are for foreign trade and have been cleared by the Bureau of Customs.
Senate Bill No. 2364 or An Act Exempting the Carriage of Container Vans from the
Provisions of Section 1009 or Presidential Decree No. 1464, Otherwise Known as the
Tariff and Customs Code of 1978, and for Other Purposes,, filed by Senator Paolo
Benigno Bam Aquino IV, drew positive reaction from groups attending a Senate
hearing held on September 17 to discuss the proposed regulation.
The stakeholders included trade organizations Philippine Interisland Shipping
Association/Philippine Liner Shipping Association, Association of International Shipping
Lines, Philippine Exporters Confederation, Inc., and Joint Foreign Chambers of
Commerce, as well as government agencies such as the Maritime Industry Authority
(MARINA), Philippine Ports Authority and Export Development Council (EDC).
I think were OK with that (bill), Doris Magsaysay-Ho, chief executive officer of the
Magsaysay Group, Inc., told PortCalls after the hearing of the Senate Committee on
Trade, Commerce and Entrepreneurship called by its chairman Sen. Aquino.
Ho described the bill as a good compromise.
Lorenzo Shipping Corp. president Roberto Umali, in a chance interview with PortCalls a
day after the hearing, said he approves of the bill as well but suggested it further define
the words Customs-cleared.

He acknowledged that while the scheme would lead to reduced paperwork,


documentation, and double-handling of foreign liners, it would also lessen the volume of
cargoes carried by domestic liners.
SB No. 2364 allows a foreign shipping line arriving from a foreign port to bring its foreign
cargo to the domestic port of final destination after the shipment has been cleared by
the BOC at the port of entry.
Aquino said the bill would allow importers and exporters to co-load on foreign ships
going in or out of the Philippine jurisdiction.
It also allows foreign cargo aboard a foreign vessel coming from a foreign port to be
carried by another foreign ship calling at the same port of entry for transportation to the
domestic port of final destination.
Cargo intended for export by a foreign vessel is also allowed to be carried from its
domestic port of origin through another Philippine port to its foreign port of final
destination. The transshipment of export cargo from its domestic port of origin through
a domestic transshipment port, and its transfer to another foreign vessel that will carry it
to the foreign port of final destination is also permitted.
In addition, the bill allows the carriage by foreign shipping lines of empty foreign
container vans going to or coming from any domestic port or going to or coming from a
foreign port.
Under the bill, foreign vessels will neither be considered common carriers, as provided
under Republic Act No. 386, or the Civil Code, nor considered to be offering a public
service. Thus, they fall outside the purview of the Domestic Shipping Development Act.
Lowering domestic lines shipping costs
Aquino admitted the draft law is only one of many steps needed to reform the shipping
industry and reduce the cost of shipping not only for foreign cargo but also for domestic
cargo.
While the bill will slash the cost of foreign cargo transportation, it will also positively
affect the prices of consumer goods which are dependent on raw material imports, said
Meneleo Carlos, private sector chairman for EDCs transport and logistics policy
networking committee.
According to Ho, other measures needed to reduce domestic shipping costs include
better port infrastructure and minimizing costs borne by domestic liners.

Ho explained that because Philippine ports lack the necessary equipment, domestic
liners are forced to buy craned ships, which are more expensive than non-craned
ships and not easily available in the market.
Foreign liners are more efficient and have bigger capacity, she added, because they
use cranes of international ports and need not maintain their own.
Michael Raeuber, president of the European Chamber of Commerce of the Philippines,
said other cost-lowering measures for domestic shipping include allowing bareboat
chartering and reviewing sulfur content requirements.
A technical working group going through the draft paper will meet again to tackle other
related matters, such as the taxes imposed on domestic liners, and how lowering or
lifting them can help cut shipping costs. www.portcalls.com

7. Report offers roadmap for port development in Mega Manila


A twin-track solution of intermediate and long-term action plans to address Manilas port
congestion and provide a roadmap for port and road infrastructure development for
Mega Manila trade is the centerpiece of a paper produced by port and shipping
stakeholders.
The Port and Road Infrastructure for Greater Luzon Trade September 2014 report
contains inputs from port operators Asian Terminals Inc., International Container
Terminal Services, Inc., and Manila North Harbour Port Inc.; and industry groups
Association of International Shipping Lines, Integrated North Harbor Truckers
Association, Philippine Liner Shipping Association, Philippine Inter-Island Shipping
Association, and Port Users Confederation Inc.
Efficient, cost-effective shipping and port systems functioning as key elements of global
supply chains play a major part in fuelling economic development and prosperity. This
view, said the report, is confirmed by international organizations such as the World
Bank, International Monetary Fund, and Organization for Economic Co-operation and
Development.
Supply chain disciplines underpin Philippine international and domestic trade,
especially those based on the use of the container system, the report stated. Any
serious disruption of cargo flow lowers efficiency, generates additional costs and
ultimately represents a cost to the economy.
Disruptions on the import side can be found along the length of the supply chain, from
the ship and port to the road, warehouse, container yard, and factory, the report said.
These include long berthing and waiting time, bad weather, crane and equipment
downtime and stoppage, overstaying containers, strikes, slow clearances, shortage of

manpower, road traffic and breakdown, truck bans, floods, security and hijacking
threats, poor inventory management, full container yards, and lack of available space.
Holdups to efficient export flows are almost the same, the report stated, with the
addition of delays in production and releasing of documents from the point of
production.
These bottlenecks were brought into focus when the Manila truck ban was imposed in
February 2014, causing much complication for the supply chain, the biggest being the
congestion at Manila ports.
The report recommended a twin-track solution of intermediate and long-term action
plans that hold major potential to alleviate congestion problems on a short and longterm basis and thereby getting trade moving again.
For intermediate action plans, the following are suggested:

A moratorium on truck bans.


Operate multiple 24-hour single lanes, especially for the North, South, and Cavite
expressways for all cargoes.
Operate a 24-hour free flow exemption policy for refrigerated, perishable, and
dangerous cargoes.
Exclude Saturdays from truck ban rules.
Eliminate arbitrary apprehension of trucks by government enforcement agencies,
and go after illegal parking of trucks on roads within the port zone.
Approve immediate construction of the North Harbor Link road and Metro Pacific
Port Connector Road system.
Implement 24/7 vehicle booking system.
Formulate necessary legislation to enable transfer of long-staying boxes to inland
container depots and the penalizing of use of terminals as warehouses.
Fast-track development of yard capacity behind Berth 7 at Manila International
Container Terminal.
Eliminate bottlenecks formed by informal settlers and illegal businesses on
Bonifacio Drive, Anda Circle, and R10.
Speed up Manila North Harbor Port modernization program covering its facilities,
cranes and manpower.
Maximize efficiency of port area by identifying and clearing underutilized areas,
including relocating informal settlers and providing housing for port workers.
Study how to improve the Manila port network.

As a long-term action plan, the following are suggested:


Identify an agency or person with authority and accountability for overall planning
of the transport system to ensure supply chain is efficient.
Formulate a master plan for the whole Port Area of Manila to accommodate longterm growth in trade.

Formulate a master plan for staged expansion of Port of Batangas to


accommodate present and future Laguna- and Batangas-based trade for both
international and domestic cargoes.
Formulate a master plan for staged expansion of Port of Subic to accommodate
present and future Subic-Clark-Tarlac-based trade for both international and
domestic cargoes.
Formulate a master plan for an access road system from Cavite to Manila Ports,
including an underground tunnel running from Vito Cruz to the port and to be
located under the Roxas Boulevard area that has a waterfront park above it.
Formulate a far-reaching strategy and master plan to encourage business
relocation to other development hubs within or outside of Luzon.
Adopt an overall vision to have five excellent ports serving international and
domestic trades to give shippers, consignees, shipping lines, and logistics
providers more choices based on efficiency levels, and develop these ports not
for present trade but with an eye on the future.

The combination of the immediate and long-term action plans promises to deliver
workable solutions that play a meaningful part in keeping Metro Manila moving while
maintaining the integrity of international and domestic supply chains, the report said.
Moreover, integration not separation between city and port is the lesson to be learnt
from global experience, it said.
Together, the two entities can deliver a larger critical mass of beneficial commercial
activityone feeds off the other.
The positive coexistence of both, however, requires hard work and coordinated
planning, the report added, citing two notable port-citiesMelbourne, Australia and
Vancouver, Canadaas examples.
Both have embraced new technology to optimize traffic management and
simultaneously are investing in new infrastructure to ensure peaceful co-existence
between port and city. In both cases, key port areas are in close proximity to high-end
residential and retail properties, the report further stated.
The template drawn up by the Philippine government back in the late 1980s to privatize
the main container terminals in the Metro Manila area has proved a highly successful
one, it added, noting that under normal operating conditions, the terminals should be
able to offer sufficient capacity to efficiently meet all market needs.
However, terminals cannot operate to their full potential when the supply chain is
hampered by inadequate road infrastructure resulting in extraordinary measures such
as truck bans in predetermined hours.
Other measures suggested for the free flow of import and export cargoes are to keep
the road network seamless and wide enough to accommodate truck traffic, and to

ensure flow is unimpeded by continuously reviewing and expanding the whole system
to ensure that growth is not compromised.
A direct port access road is also seen as essential for port efficiency, vessel berth stay
time, and optimum road transport.
The root cause of congestion is the lack of a dedicated port access road to the Manila
ports, the report said.
The North Luzon Expressway-South Luzon Expressway connector road proposed by
Metro Pacific Transport Corp. with a connection to the three ports will resolve the
current issues and concerns, it said.
The report added that Metro Manila has an urgent need to catch up with the delivery of
appropriate road infrastructure and lay solid plans for the future.
These plans as spelt out by transport stakeholders can build towards the ultimate goal
of adding new port capacity in tandem with supporting road system development and
are essential to obtain optimum use of the new port facilities and achieve efficient
supply chain operations to support growth in overall trade, the report said.

www.portcalls.com
8. Palace approves higher storage fees for overstaying containers
Philippine President Benigno Aquino III has approved the proposed increase in storage
fees for overstaying Bureau of Customs-cleared inbound cargoes with gate pass.
Executive Secretary Paquito Ochoa, Jr. informed the Philippine Ports Authority (PPA) of
the Presidents decision in a memorandum dated September 15.
The new rates take effect on October 1.
Under the approved rates, a twenty-foot container faces a fine of P5,000 per day
beginning the 11th day of storage. This is in contrast to the old rate of P481.30 per day
for the sixth to 10th day of storage, and P529.43 per day from the 11th to the 15th day.
Initially, the PPA intended to apply the new rates starting from the sixth day of storage
(free storage being for the first five days), but later decided to impose them from the
11th day, effectively providing 10 days of free storage for cargo owners.
Other new storage rates are as follows:
Rate by Oct 1
35 footer

P 8,750

Existing rate
(6th to 10 days)
P 842.20

Existing rate
(6th to 10 days)
P 926.42

40 footer
45 footer

P 10,000
P 11,250

P 962.60
P 1,082.90

P 1,058.86
P 1,191.19

One of the governments measures to decongest Manila ports, higher storage rates are
meant discourage cargo owners from using ports as virtual warehouses.
Transport stakeholders earlier expressed opposition to the proposed storage fee hike at
a PPA hearing in August. They said that while they recognized the need for the
immediate pull-out of containers from the congested Manila ports, the proposal was illtimed considering the less-than-ideal business conditions.
They pointed out that cargo owners were currently grappling with issues such as a
shortage of trucks, difficulties in returning empty boxes, and overcapacity of container
yards.
PPA recently said that despite the lifting of Manilas truck ban, it will push through with
decongestion measures earlier identified, which include transferring overstaying
containers to Subic and Laguna.
Batangas and Subic ports were also declared extensions of Manila ports in times of
congestion and other emergency situations, allowing vessels with Manila-bound
cargoes to berth at the north or south port to prevent further overcrowding in Manila.

www.portcalls.com

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