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Philippine air cargo and logistics industry leaders unloaded their sector wishlist during the recent Philippines Air Cargo Day 2025
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The list includes comprehensive digitalization, customs policy changes, and an airport master plan
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Philippine Airlines vice president for Cargo Business Jason Siy said “the ask” is greater digitalization, including for customs processes, to achieve seamless transactions
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International Air Transport Association Philippines country manager Samuel David pushed for digitalization, particularly on the use of electronic airway bill over paper AWB
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Philippine Multimodal Transport and Logistics Association, Inc. president Erich Lingad sought the permanent lowering of Bureau of Customs penalties for late submission of advance manifest
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Lingad also called for guidelines on transshipment of cargo between Manila airports and Clark Freeport Zone
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An airports master plan for the country is also in order, said David
Philippine air cargo and logistics industry leaders called for comprehensive digitalization, customs policy changes, and an airports master plan at the recent Philippines Air Cargo Day 2025 conference and exhibit.
During the conference panel discussion, Philippine Airlines (PAL) vice president for Cargo Business Jason Siy said “the ask” is greater digitalization, from booking to releasing, including for customs processes, as this would provide seamless transactions and attract more business.
International Air Transport Association (IATA) Philippines country manager Samuel David pushed for digitalization, particularly on the use of electronic airway bill (e-AWB) over paper AWB.
“Most of the countries in Asia Pacific have moved over to recognizing the electronic air way bill, and we invite the Bureau of Customs (BOC) to recognize the electronic air way bill together with all of the other countries in Asia Pacific,” David said.
David noted that agents, freight forwarders, and airlines are ready for the adoption of e-AWB.
IATA has been pushing for the adoption of e-AWB in the Philippines for years and worked with officials of the BOC-Ninoy Aquino International Airport (NAIA), which handles the bulk of air cargo shipments, and the private sector to push the initiative.
The Philippines has the legal framework in place to adopt electronic documentation for shipments following the 2015 ratification of the Montreal Convention of 1999, or the Convention for the Unification of Certain Rules for International Carriage by Air.
READ: BOC-NAIA official to push for e-AWB adoption
IATA introduced e-AWB in 2010 to initiate digitalization of the air cargo supply chain. On January 1, 2019, e-AWB became the default contract of carriage for all air cargo shipments on enabled trade lanes.
Currently, airlines and forwarders in the Philippines are still required to submit both paper master AWB and e-AWB to fulfill both local and global regulatory requirements.
READ: PH air cargo industry needs a unified digital system
Implementation of the use of e-AWB requires a Customs ruling, which when adopted can pave the way for an immediate pilot test of the system, according to BOC Assessment and Operations Coordinating Group deputy commissioner Agaton Teodoro Uvero, also a panelist at the conference.
Making the air cargo industry “very digitalized” is also seen as a step toward making it “a little more attractive” to younger professionals, David said. “They’re very… digital savvy. If we can make our industry very digitalized to the extent that it will be sufficient enough for them to actually want to join this industry, maybe they’ll come,” he added.
Panel moderator Allan Nepomuceno, Airline Operators Council chairman and also Emirates Philippines station manager, said the aviation industry is challenged presently in terms of human capital, with personnel leaving after getting a bit of experience to secure a higher paying job or a different career abroad.
Erich Lingad, president of the Philippine Multimodal Transport and Logistics Association, Inc. (PMTLAI), and Joseph Madrigal, president and CEO of airport cargo handler Paircargo, said their respective organizations are partnering with schools to introduce careers in aviation, air cargo and logistics, as a career option.
Meantime, one of the biggest challenges for the industry has recently addressed, Lingad said, referring to BOC’s hefty penalties for late submission of advance manifest.
Last October, BOC ordered the temporary suspension of the imposition of penalties on freight forwarders and deconsolidators for the late submission of electronic consolidated cargo manifests. The suspension is in effect until BOC’s system, also known as Electronic-to-Mobile (E2M) System, is able to handle the volume of submissions without error or slowdown, store data in advance and merge them with carrier’s data.
Lingad, however, said they still wish for the permanent lowering of penalties to ensure certainty, noting that policies sometimes get revised along with changes in leadership. Penalties range from P100,000 to P300,00 per bill of lading.
Moreover, Lingad said they hope BOC can establish guidelines on transshipment of cargoes between NAIA and Clark International Airport.
“We all know that Manila is already, in terms of capacity, full. There are more flights now coming out of Clark. Maybe… Customs can assist in coming out with guidelines on how to transship cargo between the two airports,” Lingad said.
READ: Clark International Airport reports 100% jump in cargo shipments for Jan-May
Uvero, in response, said the agency is working on the issue, noting there have already been discussions with stakeholders.
Only one foreign airline (Emirates) is so far allowed to transship overflow cargo from Manila to Clark, based on Customs Memorandum Order No. 15-2022 (Rules and Regulations Implementing Customs Administrative Order No. 12-2019 on the Transshipment of Goods).
Relatedly, David said it is high time for a comprehensive airports master plan, one that’s integrated and “includes all regulatory agencies into the conversation.” It should help stakeholders plan ahead on such matters as fleet expansion and budgets, he said.
Nepomuceno said that even with the change in administration, such a plan shouldn’t change.
PAL executive vice president and chief operating officer Carlos Luis Fernandez earlier advocated for a single master plan for all airports for the Philippines to remain competitive and take advantage of the aviation boom in the Asian region. – Roumina Pablo
