THE entry of big ticket transportation project in Davao Region this year is seen to boost the region's position as a major transhipment hub, a trade official said.
Based on the data gathered by the Department of Trade and Industry (DTI) from the Board of Investments (BOI), the region registered a total of P8.4 billion of investments from two big ticket transportation projects in Davao del Norte.
These are the P5.72 billion seaport and container yard of the Hijo International Port Services Inc. (HIPSI) in Tagum City with a capacity of 858 ground slots of containerized cargo and 450,000 twenty-foot equivalent units (TEU) per year and the P2.65 billion Davao International Container Terminal (DICT) of the San Vicente Terminal and Brokerage Services Inc. in Panabo City that has a capacity of 400,000 40-foot equivalent unit (FEU) per year.
"There are really big investments in Davao del Norte especially on the logistics, particularly at the port. We have one in Panabo and the other in Tagum, then there is the modernization of the Sasa Wharf. That is part of really transforming Davao Region into a transhipment hub," Edwin O. Banquerigo, DTI-Davao City director, said during the DTI Media Interface at the Marco Polo Hotel last Friday.
Banquerigo said the shipping ports in Panabo and Tagum City are equipped with the latest equipments for shipping like the ship-to-shore crane, which allows a faster turnaround time for shipping lines.
"Sasa port does not have that kind of facility if you don’t have those facilities, the turnaround time is longer. Of the six international shipping lines [that used to be served by the Sasa Port], only one is left. The rest moved to [the new sea ports]," he said.
Banquerigo said Davao region is in a strategic position to become a transhipment hub, especially for the Brunei Darussalam, Indonesia, Malaysia, Philippines - East Asean Growth Area (BIMP-Eaga).
He said transhipment through Davao Region will offer a faster and alternate destination for shipments going to the United States, Europe, or China.
Banquerigo said with the congested situation of the ports in Manila, Davao Region ports are being seen as alternate port of calls to accomodate the cargo coming into the country.
"With the fact [that there are logistics and transportation investments], it is an indication that we are really moving towards [becoming a transhipment hub]," he said.