International Container Terminal Services, Inc (ICTSI) welcomed the small steps taken from the Philippine government to clear Manila ports of overstaying cargo. Almost one month after the Philippine Ports Authority (PPA) issued an ultimatum for overstaying containers, Manila International Container Terminal’s utilization decreased by about 20%, from 90% in January 2019, to 70% in early April.
The right utilization of the yard began mostly after Asian Terminals Inc. (ATI) and six major shipping lines agreed to partner and find a solution to mitigate container congestion.
Christian R. Gonzalez, ICTSI Global Corporate head, commented
We thank the Philippine government for taking a hard stand in fast-tracking the disposal and reduction of overstaying and empty containers at Manila ports. The results have been immediate.
The terminal managed to almost double the number of empty containers it was receiving. In the meantime, shipping lines are able to bridge the gap in achieving their weekly empty container evacuation targets.
Also, an advantage is that import dwell time has been decreased from 11 days in January to 6.6 days at the beginning of April, resulting to no ship queues in comparison to December’s peak.
Additionally, ICTSI continues transmitting more overstaying laden containers to Laguna Gateway Inland Container Terminal (LGICT) in Calamba.
We are optimistic that most have understood the need for containers to move regularly and in a timely fashion, but the proof will come after Easter which historically has seen overstaying boxes surge.
… Gonzalez highlighted.
Many stakeholders, such as ICTSI, Asian Terminals and international shipping lines, were driven by the government to sign a Manifesto of Support, last March 15, for the efficient utilization of Manila ports, encouraging the immediate retrieval of overstaying and empty cargo to designated ports and off-dock depots.
The Manifesto aimed to prevent the imbalance of inbound and outbound containers caused by the practice of using the ports for prolonged storage.
A joint administrative order (JAO) will soon be issued by the Trade Department, the Bureau of Customs (BOC) and PPA to address concerns on unreturned empties and overstaying imports, according to ICTSI.
