JUST a few days after it was able to ease the looming congestion at the ports in Manila, the Philippine Ports Authority (PPA) noted that utilization rates at the international terminals have once again reached the 90-percent mark.
This, after cargo shippers and consignees fail to withdraw their containers from the ports, causing, yet again, another near-congestion incidence at the ports.
“The last time we called the attention of cargo shippers, and consignees, they pulled out their overstaying cargoes and we reached 75 percent utilization. Now, it is over 90 percent again. I am again appealing to you—be consistent in pulling out your overstaying cargoes to make much needed space in our ports,” Transportation Secretary Arthur P. Tugade said.
Shippers and consignees last week explained that the red tape at the clearing facilities of the Bureau of Customs (BOC) and the process of shipping line documents were behind the overstaying of their cargo.
After the transportation department sought their cooperation, however, the yard utilization rates at the ports went down from 98 percent to 75 percent, almost close to the 60-percent rate goal of the agency.
“We are targeting an approximate of 60-percent utilization to achieve an ideal operation. This congestion will not only limit the movement of cargoes in our ports, it will also result in delays of cargo delivery, which will affect prices of goods, and that’s not what we want right now, or ever,” Tugade said.
Jay Daniel R. Santiago, PPA general manager, said his group is coordinating with the BOC to hasten the clearing process, especially at the Manila International Container Terminal (MICT).
“We are appealing to consignees to continue withdrawing their cargo to sustain the momentum. In the meantime, PPA is coordinating with the BOC for the disposition of the over 800 overstaying reefer containers in order to make up much needed space in the reefer yard of MICT,” Santiago said.
The government, he said, has already issued a joint administrative order that spells out sanctions on overstaying cargo at the ports. Mainly, the sanctions involve confiscation of containers that have not been withdrawn by April 14.
“If we continue to ignore calls to withdraw even only those cleared, ready for delivery, and overstaying cargo, our ports are in danger of total collapse, resulting in full-blown port congestion, or worst, a shutdown, and consequently a shortage in the much-needed goods and supplies which are expected to address the demands of the market,” Santiago warned.
To complement the joint order, the PPA issued on Tuesday a new memo that allows truckers “unhampered access to and from the ports to enable them to proceed to their final destination.”
This new order was issued a few hours after Cabinet Secretary Karlo B. Nograles announced the extension to end-April of the enhanced community quarantine in Luzon due to the coronavirus disease 2019 (Covid-19) outbreak.
Image credits: AP/Bullit Marquez