PPA sets fees for handling foreign empties at Manila and Batangas ports

The Philippine Ports Authority (PPA) has prescribed fees for the handling of foreign empty containers at the Manila South Harbor, Manila International Container Terminal (MICT), and Batangas port.

Under PPA Administrative Order (AO) 12-2020 dated December 15, the fees for handling foreign empty containers (both import and export) at the three terminals are as follows:
20-footer – P1,400
40-footer – P2,800
45-footer – P3,150

AO 12-2020 is in keeping with AO 11-2020 dated December 15 and provides guidelines for the handling of foreign empty containers at the three ports.

Both AOs take effect 15 calendar days following publication in a newspaper of general circulation and submission of copies to the University of the Philippines Law Center.

The handling of empty containers in the terminal includes the receiving, handling, and stowing of empty containers from container yards outside the terminal or a direct return from the consignee warehouse and moving empty containers from storage areas within the terminal.

The prescription of new rates compensates “services rendered by the terminal/cargo-handling operators in handling foreign empty containers at the three terminals.”

In a presentation during an online public hearing for invited stakeholders on October 1, PPA said the existing schedule of cargo-handling rates for import and export cargoes handled by Manila South Harbor and MICT does not contain any rate for arrastre services on empty container.

The authority said it saw the need to adopt a policy prescribing arrastre on for empty containers at Manila South Harbor, MICT, and Batangas Port “to ensure that policies on the handling of empty containers in PPA ports are uniform and updated.”

The rates prescribed in AO 12-2020 are lower than the proposed rates presented during the October 1 public hearing.

Last January 24, PPA held a public hearing on Asian Terminal Inc.’s (ATI) proposal to apply arrastre tariff for handling empty containers, volumes of which have increased over the past years.

ATI said historical records showed that 40% to 45% of volumes handled at Manila South Harbor since 2016 were empty containers, which meant “there’s a lot of resources dedicated to handling, storing, and securing empty containers.”

International Container Terminal Services, Inc. (ICTSI) also submitted a letter last year to PPA requesting for an arrastre rate for empty containers.

ICTSI operates MICT while ATI operates Manila South Harbor and Batangas Port.

(For the full article, please visit PORTCALLS).

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