Two of the biggest business organizations in the country expressed relief that the proposed container monitoring policy of the Philippine Ports Authority remains on hold due to the many issues that it will bring to stakeholders.
The heads of the Philippine Chamber of Commerce and Industry (PCCI) and Philippine Exporters Confederation Inc. (PHILEXPORT) PHILEXPORT were among the resource persons during the Senate hearing on Resolution 484 Calling for an Inquiry in Aid of Legislation into Increased Logistics Costs in the Philippines. The hearing was called by the Committee on Public Services led by Sen. Grace Poe.
Filed by Sen. Riza Hontiveros, SRN 484 or Resolution Calling for an Inquiry in aid of Legislation into Increased Logistics Costs in the Philippines Caused by Rising Port Fees and Charges cited, among other provisions, that the “direct costs associated with TOP-CRMS…, including additional insurance, transaction, and trucking fees, will result in an almost 50% increase in the cost of importing goods;…”.
TOP-CRMS or the Trusted Operator Program-Container Registry and Monitoring System (TOP-CRMS) was developed by the Philippine Ports Authority to solve high and unregulated charges in container deposits and ensure the smooth traffic flow within the ports it manages.
In his online participation in this hearing, Transport Secretary Jaime Bautista announced that the Board of the Philippine Ports Authority (PPA) has deferred the implementation of AO 04-2021 which contains the details of the implementation of the TOP-CRMS.
He explained that the Board is still reviewing complaints of extra cost and processes involved as raised by most stakeholders. Oppositors, he said, also include the Bureau of Customs which is also implementing a container monitoring system under its ETRACC or Electronic Tracking of Containerized Cargo.
PCCI president George T. Barcelon cited that this policy “will not provide any value added” and is inconsistent with our efforts to ease the flow and cost of doing business in the country. Along with high energy and logistics costs, he added that the country is challenged in attracting more investors because of the difficult regulatory processes that private sector has to deal with.
Meanwhile, PHILEXPORT chief Sergio R. Ortiz-Luis Jr. noted that exporters are very concerned because the extra costs will be passed on to them and eventually to consumers, adding to the country’s inflation and competitiveness issues.
They again called for the revocation of this policy as proposed in the Open Letter to President Marcos they signed in January this year along with 14 other heads of business organizations that include the Supply Chain Management Association of the Philippines (SCMAP), Philippine Association of Meat Processors In. (PAMPI), Philippine Multimodal Transport and Logistics Association Inc. (PMTLAI), Alliance of Truck Owners and Organizations (ACTOO), Alliance of Container Yard Operators of the Philippines (ACYOP), Association of International Shipping Lines In. (AISL), Association of Off-Dock CFS Operators of the Philippines (ACOP), Custom Brokers Federation of the Philippines (CBFP), Federation of Filipino-Chinese Chamber of Commerce and Industry Inc. (FFCCCII), Pasig Port Users United, Philippine Liner Shipping Association (PLSA), Philippine Ship Agents’ Association (PSAA), Port Users Confederation of the Philippines (PUCP), Practicing Customs Brokers Association of the Philippines (PCBAP), and the United Port Users Confederation of the Philippines (UPC).
