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Saturday, May 28, 2005
Integrated approach needed to improve seaport system
ZAMBOANGA CITY -- For an archipelago like the Philippines, seaports play a crucial role in economic development. In fact, the country's predominantly agricultural economy relies on water transport as the primary means of inter-island shipping.
The country's seaports, however, have remained underdeveloped, underutilized, and are in need of major rehabilitation work. Moreover, Philippine ports still confront age-old problems such as high tariff rates, poor passenger service, and inefficient cargo handling facilities, among others.
But development planners point out that addressing these pressing issues cannot be done on a piecemeal basis. Rather, there is need for a paradigm shift emphasizing a holistic and more integrated approach to port planning and development.
"Ports should be viewed as basic public infrastructure critical for regional and national socio-economic development," said Jun Urbano, port engineer of the USAID-funded Growth with Equity in Mindanao (GEM) Program, during the recently concluded Conference on Sustainability of GEM-assisted Port Upgrading Projects.
Urbano further explained: "It is not practical to always equate the benefits of port operations vis-à-vis their financial returns. Rather, port planning should be done on a long-term, comprehensive basis in line with municipal, regional and national development objectives."
The sustainability conference, attended by port management officials of the Autonomous Region in Muslim Mindanao (Armm) and key local government officials, provided participants the opportunity to discuss in depth crucial issues affecting the performance of local ports and to formulate corresponding strategies to address these concerns.
Vicente Gambito, port institutional specialist of the University of Asia and the Pacific (UAP), stressed during the conference that the impact of port operations is always on the local economy. As such, he argues that local government units (LGU) and the private sector should have a greater say in port development.
He said that ports should be viewed not only as a critical entry point for investments, but more importantly, as catalysts for growth that will enhance the economic competitiveness of rural communities as envisioned by Executive Order (EO) No. 170.
RoRo, catalyst for dev't
EO 170 establishes the policy framework for the Roll-On/ Roll-Off (RoRo) System which allows the loading and unloading of self-powered vehicles, such as cars and trucks, from the cargo vessel directly to the shore using ramps and vice versa.
Moreover, it encourages greater local government and private sector participation and investment in the development of the national government's Roll-On, Roll-Off Transport System (RRTS).
The RRTS dovetails with the administration's agri-fisheries modernization and food programs, which aim to boost the income of farmers and fishermen and raise productivity levels in the countryside.
A major goal of the RRTS is to eliminate or significantly reduce cargo handling and wharfage fees that are imposed by cargo handling operators and port agencies.
Latest shipping data show that the country's inefficient logistics system has resulted in the waste of at least 30 percent of rice harvest from Mindanao, 13 percent of corn, 32 percent of fruits and, 42 percent of vegetables.
The RRTS therefore could play a major role in Armm's overall economic growth considering the region's archipelagic make-up and vast potential for trade and investment. This is because a majority of ARMM traders already rely on water transport as the primary means of moving their goods to markets. In fact, a large chunk of the region's gross domestic product output is shipped by sea.
If efficiently utilized by Armm shippers and the rest of the region's business community, the RRTS can significantly reduce freight and cargo handling costs, minimize pilferage and damage of goods, and ensure the timely delivery of cargo.
For Bisaya stories from Davao. Click here. (May 28, 2005 issue)
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