-
The Philippine Economic Zone Authority is proposing the increased usage of offdock depots inside economic zones and the utilization of barges to transport shipments as part of measures to help mitigate the impact of rising fuel and electricity prices to ecozone locators
-
PEZA director general Tereso Panga said with barges, more containers can be transported, thus, there will be economies of scale and in turn, reduced costs
-
To support the “long time appeal” of locators, PEZA is also proposing the Bureau of Customs to render 24/7 service during weekends “so that we can facilitate round-the-clock movement of our cargoes”
The Philippine Economic Zone Authority (PEZA) is proposing the increased usage of offdock depots inside economic zones and the utilization of barges to transport shipments as part of measures to help mitigate the impact of rising fuel and electricity prices to ecozone locators.
PEZA director general Tereso Panga, during a Pandesal Forum on March 23, noted the rising fuel prices due to the Middle East conflict “would definitely impact on the viability, especially of our export-oriented locator/investors and also on the economy.”
He acknowledged the “presence of global and local headwinds that may impact investment flows and business confidence”, including evolving geopolitical dynamics, inflationary pressures, and shifts in global supply chains.
“And so in PEZA, from within our domain and sphere of influence, we’re undertaking some measures so we can mitigate the impact of the rising oil and electricity prices,” Panga said.
For one, PEZA is proposing the increased usage of offdock container yards located inside ecozones for laden containers of ecozone locators. He explained that with this, locators effectively “only pay for one way…so once the laden containers are delivered to the [offdock] facilities, the empties can be returned right inside the zone and the same can be used for repositioning or what they call re-export.”
“So in this way, we’re able to contribute to…reducing their cost of fuel, cost of doing business, and immediately there is a container exchange right inside the economic zone,” Panga added.
He said PEZA also proposes the use of barges, instead of trucks, to deliver shipments of ecozone locators. He said with barges, more containers can be transported, thus, there will be economies of scale and in turn, reduced costs.
He noted there are two barge terminals in Cavite, where a lot of ecozones are located. There is the Cavite Gateway Terminal, which connects to Manila International Container Terminal, and Tanza Barge Terminal, which connects to Manila South Harbor.
To support the “long time appeal” of locators, PEZA is also proposing the Bureau of Customs to render 24/7 service during weekends “so that we can facilitate round-the-clock movement of our cargoes”, Panga said.
Aside from these proposals, Panga said PEZA, for its part, is actively supporting locators in the implementation of their business continuity plans and in ensuring operational resilience amidst external uncertainties.
