106% rise in port congestion seen

MANILA, Philippines - A multi-sector group yesterday warned that congestion at the Port of Manila could reach as high as 106 percent by Jan. 5 unless preemptive measures are taken.

Ernesto Ordoñez, chairman of the Port Congestion Multi-Sectoral Group (PC-MSG) said consumers should worry about having enough products to buy in stores by January since congestion can balloon to at least 106 percent, or levels which actually exceed port congestion records set during the Manila truck ban, over the holidays.

“If we do not take preemptive action, we will see congested ports again,” Ordoñez said.

Last weekend, Ordoñez said the private sector took the expected path of moving cargo at a slower rate than during weekdays.

Consequently, port congestion worsened from 80 to 86 percent at the Manila International Container Terminal (MICT) and from 74 percent to 91 percent at the South Harbor Terminal, far from the ideal port utilization level of 70 percent, he said.

This has prompted calls from the Philippine Ports Authority (PPA) for importers to expedite the movement of their cargoes.

Ordoñez warned if measures are not taken by both private organizations and government, port congestion will be worse than during the Manila truck ban.

According to Ordoñez, a study commissioned by the joint House committees on transportation and Metro Manila development estimated that the economy lost P2.5 billion a day during the Manila truck ban.

“The PC-MWG’s estimates are derived from the data provided by the MICT where port congestion increased by 3 percent a day during the last weekend. Assuming the same slow movement of goods during the holidays, port congestion will likely reach 107 percent by the end of the holidays,” Ordoñez said.

“Excluding Christmas Eve and Christmas, as well as New Year’s Eve and New Year, there are nine days during this season when the private sector will move the cargo as slow as they do during the weekends. If this happens, there will be a 27 percent increase in port congestion from 80 percent to 107 percent,” he added.

As possible solution, Ordonez proposed the streamlining of the Bureau of Internal Revenue (BIR) accreditation process for importers; finding alternate space for empty container vans now parked at the Port of Manila; keep government offices that can help ease congestion problems at the port open except during Christmas Eve and Christmas Day, and New Year’s Eve and New Year’s Day; and for importers and cargo owners to continue operations and stop only on Christmas Eve and Christmas Day, and New Year’s Eve and New Year’s Day.

Earlier, the PC-MWG called on government to keep Roxas Blvd. open to trucks during the holiday period in a bid to decongest the Port of Manila and keep trucks and goods moving.

According to the group, any gains made in the bid to decongest the Manila Port have been “erased” by the truck ban on Roxas Blvd.

“More than 30 percent of commercial vehicles that use the ports ply Roxas Blvd. And shutting down the highway to trucks during the holidays dramatically lowers the efficiency of trade to and from the ports. A single day’s worth of truck ban along Roxas can actually erase many days of gains in terms of reducing port congestion,” the group said.

Ordoñez said that of the 6,000 trucks that use the Port of Manila daily, 2,000 pass through Roxas Blvd.

On Dec. 3, the Metropolitan Manila Development Authority (MMDA) reimposed the ban on trucks in Roxas Blvd. in preparation for the holiday season and the visit next month of Pope Francis to Manila.

MMDA chairman Francis Tolentino junked the group’s plea, saying the lane allotted for trucks going to Port Area in Manila will be used instead as an alternative route for vehicles going to the Ninoy Aquino International Airport.

Tolentino said the truck ban aims to ease traffic congestion in the metropolis during the Christmas season, the visit of Pope Francis to the country in January, as well as the hosting of the Asia-Pacific Economic Cooperation summit in November.

The truck ban should have been implemented last August but the agency deferred it to alleviate port congestion, Tolentino said.