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Big-ticket infrastructure projects in Western Visayas are seen to help sustain growth in the region, where the transport and storage sectors have been notable drivers of the economy in recent years, according PRIME Philippines
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These projects, both ongoing and in the pipeline, include Visayas Container Terminal, Iloilo–Capiz–Aklan Expressway, and the Panay-Guimaras-Negros Inter-Island Link Bridge
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Significant investments are also needed for infrastructure to improve disaster resilience and better storage solutions and practices
Big-ticket infrastructure projects in Western Visayas are seen to help sustain growth in the region, where the transport and storage sectors have been notable drivers of the economy in recent years, according to a report from PRIME Philippines.
The commercial real estate consultancy firm cited the ongoing modernization of Iloilo’s Visayas Container Terminal (VCT), and the planned Iloilo–Capiz–Aklan Expressway (ICAEx) and the Panay-Guimaras-Negros Inter-Island Link Bridge.
“These initiatives, valued in the billions, promise dramatically reduced transit times, lower logistics costs, and enhanced supply chain reliability and security,” PRIME Philippines said.
The VCT modernization is being undertaken by International Container Terminal Services, Inc., which has a 25-year concession to operate the port in Iloilo starting in 2024.
READ: BOI approves P2.35B Visayas Container Terminal project
The ICAEx, meanwhile, has been included as a priority project for Public-Private Partnership by the administration of President Ferdinand Marcos, Jr. while work on the Panay-Guimaras-Negros Inter-Island Link Bridge in expected to start by the second half of 2026.
READ: PH, SoKor seal deal for financing of 3 infra projects
However, PRIME Philippines said these major investments “only address one part of the logistical issue – connectivity.”
“Moving forward, there should also be significant investments towards infrastructure to specifically improve resilience towards natural calamities as well as more spending on better storage solutions and practices such as cold storages which can help preserve sensitive and highly perishable goods,” it added.
Western Visayas posted a P1.024 trillion gross regional domestic product (GRDP) in 2023 with a 7.2% year-on-year growth.
In the same year, the region posted P63.1 billion in total exports, a 14.55% increase from the previous year, contributing to 1.1% of the national total.
The transportation and storage sector surged by 16.9%, emphasizing the region’s growing logistics significance, according to the PRIME Philippines’ report.
“The growth of the logistics sector is primarily driven by substantial increases in domestic shipcalls at Iloilo, Bacolod, and Dumangas ports. Even during the pandemic years, shipcalls in Western Visayas continued to break records, demonstrating the industry’s resilience,” it said.
Modernization efforts, particularly at Iloilo’s VCT, including equipment upgrades and improved cargo handling, alongside supportive government policies, have encouraged more frequent and reliable regional maritime services.
Agriculture production, on the other hand, has been on a downtrend from 2022 to 2024 due mainly to weather-related calamities, climate disruptions, and diseases.
