OFW flights revive Subic as global gateway

The frequent arrival here of Philippine Airlines (PAL) flights to bring home overseas Filipino workers (OFWs) stranded abroad because of the Covid-19 pandemic has given the Subic Bay International Airport (SBIA) a new lease of life as a global gateway.

Subic Bay Metropolitan Authority (SBMA) Chairman and Administrator Wilma T. Eisma said the use of Subic as an alternate port of entry for the government’s OFW Repatriation Program since July this year has resulted in increased international aircraft and passenger movements, as well as improved income for the airport.

“In the third quarter of 2021 alone, the OFW flights had provided the Subic airport P1.6 million in direct income, as well as P218.7 million in income for Subic hotels. But aside from the impact on revenue, we’re proving here that Subic can be a global gateway and that’s what’s more important from a strategic point of view,” Eisma said.

“We are continuing with the airport rehabilitation program that we started three years ago, and the successful OFW flights now are an indication that we have made substantial progress in upgrading SBIA facilities and equipment,” she added.

Among the completed upgrades were a new Doppler very high frequency omnidirectional range distance measuring equipment (DVOR/DME), an automated weather observation system (AWOS), an area navigation approach (RNAV), and new air-ground communication system for air traffic control.

Eisma said the increase in aircraft and passenger movements, as well as airport income here, defied the odds at a time when international air passenger traffic was down by 60 percent and airport revenues by 66 percent because of the Covid-19 pandemic.

According to a report from the SBMA Port Operations Group, aircraft movement at the Subic airport in the third quarter of 2021 increased to 17,756, or by as much as 25 percent compared to the 14,220 recorded in the third quarter of last year.

While most of the movement were those of domestic aircraft, a total of 55 international flights landed in the months of July, August and September. These also resulted in increased movement of international passengers, from just 137 in the second quarter of 2021 to 5,800 in the third quarter.

“The increase in international passenger movement by 4,134% was attributed to the repatriation of overseas Filipino workers (OFWs) and retuning overseas Filipinos (ROFs),” said Ronnie Yambao, SBMA senior deputy administrator for operations group.

Yambao added that in the same period, the Subic airport posted an actual revenue of P62.15 million, thus surpassing its revenue target of P49.52 million by 126 percent. The third quarter income was also 32 percent higher than that recorded in the same period last year.

The airport income was broken down into P40.48 million for leases, P21.62 million for airport fees, and P48,672 in royalty income.

Since July this year, when Subic became an alternate port for OFW repatriation, a total of 27 OFW flights had been flown to Subic by the Philippine Airlines, aside from nine that were diverted to Clark Airport during bad weather.

SBMA airport manager Zharrex Santos said that under the OFW program, the SBIA had handled a total of 9,159 international passengers consisting of 8,455 land-based and 421 sea-based OFWs, as well as 274 Filipino and nine foreign non-OFW passengers.

Santos said the latest PAL flight that brought in OFWs landed here in Subic on Tuesday, with 299 passengers from Abu Dhabi, the capital of the United Arab Emirates. (MPD-SBMA)

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PAL lands 2nd OFW flight at Subic airport

A Philippine Airlines (PAL) plane bringing home 299 returning Overseas Filipino Workers (OFWs) landed at the Subic Bay International Airport (SBIA) on Wednesday, marking the first time that a passenger flight again arrived here since 2011. 

Subic Bay Metropolitan Authority (SBMA) Chairman and Administrator Wilma T. Eisma, who welcomed the arriving workers at the Subic tarmac, said PAL’s OFW flight was “a momentous occasion, as it marked the first time that the Subic airport served as an alternate entry point for OFWs wanting to return to the Philippines.”

“This is also the first time that a commercial flight arrived here in Subic after a decade of drought, the last one being the Astro Air flight that arrived here in 2011,” Eisma recalled.

Eisma said that it was more than a year ago when Senator Richard Gordon asked the government’s COVID-19 task force to open up Subic, Clark and Mactan airports to allow more passenger flights for Filipino migrant workers who were displaced by the Covid-19 pandemic and stranded in their host countries for months.

“After one year, here we are,” Eisma said. “And we hope that, aside from being able to help out in the repatriation of OFWs, this would be the start of regular passenger flights here in Subic,” the SBMA chief added.

PAL’s Flight PR5683 from Dammam, Saudi Arabia arrived here on Wednesday at 11:02 a.m. and was met with an inaugural water salute at the tarmac by a fire truck from the SBMA Fire Department.

The plane carried 293 OFWs, as well as four seamen and two returning overseas Filipinos (ROFs).

Eisma said the 299 passengers will be quarantined for from seven to 10 days in hotels and other accommodation facilities inside the Subic Bay Freeport that are duly accredited by the Department of Tourism (DOT) and certified by the Bureau of Quarantine (BOQ).

The flight on Wednesday was the second of six arrivals scheduled by PAL for Subic this month under the government’s program to facilitate the return of overseas Filipinos during the Covid-19 pandemic.

The first PAL flight that was supposed to arrive in Subic on Monday was rerouted to the Diosdado Macapagal International Airport (DMIA) at the Clark Freeport Zone due to strong tailwinds. The plane, also originated from Dammam and carried 309 OFWs, two seamen, and one ROF.

The next flight schedules to Subic will be on July 15, 17, 25, and 27 with an average of 230 passengers in each of the PAL Airbus A330 flights.

Eisma said OFW flights to Subic is in line with the policy of the Civil Aeronautics Board (CAB) to impose a limit for all international airports in the country to accommodate just 1,500 passengers per day. Because of this, PAL has distributed its flights to various airports to accommodate the market, she added.

The SBMA chief said earlier that the OFW arrivals would create “positive impact on local tourism that would also redound to the benefit of workers, business establishments, and service operators in our communities.”

She also said that accommodation facilities outside the Subic Bay Freeport may also benefit from any overflow that may ensue from the arrival of returning overseas workers via Subic. (MPD-SBMA)

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Subic port eyes container freight station

The Subic Bay Metropolitan Authority (SBMA) is pushing for the establishment of a container freight station (CFS) to make shipping a breeze at the Port of Subic.

SBMA Chairman Roberto Garcia said in a news briefing here on Monday that the planned facility will be put up by the International Container Terminal Services Inc. (ICTSI), operator of Subic’s New Container Terminal (NCT).

Garcia said the CFS will be another innovation on top of other SBMA initiatives, like one-stop-shop processing and an aggressive marketing program that were designed to further cement Subic’s stature as a competitive shipping port.

“This way, there’ll be no more warehousing as the goods could be loaded directly into delivery trucks,” Garcia added. “That means there will be no downtime, too.”

A CFS is basically a facility where goods are prepared for transport to their next destination. In the case of exports, the goods are packed and consolidated into containers, while in the case of imports, these are “devanned” or deconsolidated from containers.

Garcia announced the planned CFS project as he reported on Subic’s continuing growth as a seaport.

He said that early this month, Subic marked the unloading of the 100,000th cargo container for this year, which came from Kaohsiung, Taiwan.

“Last year we recorded just 77,000 TEUs (twenty-foot equivalent units),” Garcia recalled. “But having reached the 100,000th mark in November, we are well on our way to hit 120,000 TEUs this year,” Garcia said.

The SBMA official added that the China South International Barter Center (SIBC), one of the biggest online sellers in the world, is also proposing to make Subic a transhipment hub for its Asian shipping operations.

Garcia said earlier that the SBMA has been successful so far in marketing Subic as an alternative port to Manila because it is the only port in Luzon with a one-stop shop for cargo processing.

He pointed out that Subic now has seven shipping lines unloading and taking in cargo on a regular basis after President Aquino signed Executive Order 172 that designated Subic as an alternative port to Manila. (Henry Empeño. BusinessMirror)

PHOTO:
Cargo unloading at the New Container Terminal in the Subic Bay Freeport.

http://www.businessmirror.com.ph/subic-port-eyes-container-freight-station/

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6-star cruise ship diverted to Subic port

The six-starred cruise ship “M/V Silver Shadow” dropped anchor here yesterday for a two-day visit as a “no sail zone” was declared at the Port of Manila due to the Asia Pacific Economic Cooperation (APEC) Economic Leaders’ Meeting.

Captain Ildefonso Gonzales, Port Captain and General Manager of the Sharp Port Services, Inc., the port of Subic was considered as its priority alternative port call since Manila South Harbor declared “no sail zone” on November 17-20.

The Silver Shadow is a cruise ship built in Italy that entered into service in year 2000, which can carry up to 382 passengers.

Being operated by Silversea Cruises along with seven other cruise ships, the Silver Shadow was brought to the Philippines through SHARP Travel Services Inc.

Silver Shadow, a cruise ship rated with six stars for its exceptional services, amenities, cuisine and accommodations, docked at the Alava Pier in Subic Bay Freeport straight from Coron, Palawan.

It has been in Philippine waters since November 16 and has toured Tagbilaran, Bohol; Boracay Island, and Coron, Palawan.

It will set sail toward Hong Kong when it leaves the Subic port on November 21. (Jonas Reyes, Manila Bulletin)

PHOTOS:
MV SILVER SHADOW IN SUBIC BAY

[1] Dock workers wait for the MV Silver Shadow cruise ship as it prepares to dock at the Subic Bay Freeport Thursday (Nov. 19) morning for a port call. The cruise ship, which carries around 700 crew and passengers, who are mostly European tourists, has been in various Philippine tourist destinations since Nov. 16 and will be sailing to Hong Kong today. (AMD/MPD-SBMA)

[2] School children perform a native dance to welcome the arrival of MV Silver Shadow, which docked at the Subic Bay Freeport Thursday (Nov. 19) morning. The cruise ship, which carries around 700 crew and passengers, who are mostly European tourists, has been in various Philippine tourist destinations since Nov. 16 and will be sailing to Hong Kong today. (AMD/MPD-SBMA)

http://www.mb.com.ph/6-star-cruise-ship-diverted-to-subic-port/

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P10B expansion for Subic Port

The Subic Bay Metropolitan Authority (SBMA) is readying the P10-billion expansion of the minimally used container terminal at Subic Bay Freeport in anticipation of increased trade.

The ambitious expansion plan will double the present capacity of 600,000 TEUs to 1.2 million TEUs.

At present the Subic port cargo volume averages at 75,000 TEUs or 15 percent of port capacity.

SBMA is now finalizing the terms of reference for the bidding of consultants which will undertake a detailed engineering to expand the container termina.

SBMA said it plans to award the consultancy before the end of the year.

The National Economic and Development Authority is now consolidating comments from various government agencies on the plan.

The new container terminals 1 and 2 in Subic, each with capacity of 300,000 TEUs, are currently operated by International Container Terminal Services Inc. through unit Subic Bay International Terminal Corp. (SBITC), which operates four quay cranes.

SBMA anticipates increased volume of trade in Subic where some of the goods are now being handled to help ease the port congestion felt in Manila.

In two to three years, trade volume in Manila is expected to double to 6 million TEUs from 3 million TEUs at present, the SBMA said.

Of the 3 million TEUs, 15 percent comes from the northern and central Luzon areas, which could otherwise be handled by Subic port.

The ports of Subic and Batangas have been designated by the government as alternative Manila ports due to the port congestion experienced in Manila last year.

SBMA has so far identified another 15-hectare lot for the new port.

In keeping with its strategy of future-proofing its ports, SBITC has recognized the need to expand the port in coordination with SBMA. (Irma Isip, Malaya Business Insight)

PHOTO:
The ports in Subic are currently operating at 15 percent of capacity but SBMA aims to double capacity of the terminals to 1.2 million TEUs.

http://www.malaya.com.ph/business-news/business/p10b-expansion-subic-port

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Subic ready to serve as major port

SUBIC BAY FREEPORT—A Cabinet member said this free port is ready to serve as an alternative facility for international shipping companies to help decongest the Port of Manila.

“Subic Bay has so much potential because of its existing port, infrastructure, roads and electricity,” said Secretary Jose Rene Almendras, who heads the Cabinet cluster on port congestion.

He said the free port was ready to become a transshipment hub for foreign cargo.

“Subic will become more accessible with the exciting new developments in Central and northern Luzon,” Almendras told the Second Subic Bay Maritime Conference and Exhibit here on Friday.

He said the North Luzon Expressway, the Tarlac-Pangasinan-La Union Expressway and the Subic-Clark-Tarlac Expressway hastened travel time for trucks carrying cargo to and from this free port.

“Congestion is a reality in mega cities all over the world. The solution is to decongest the cities and this will open an opportunity for Subic,” Almendras said.

He said the government had to add port capacity elsewhere outside Metro Manila.

In a position paper presented during the conference, business groups in Central Luzon endorsed a co-loading bill, which would open interisland shipping to foreign vessels.

“The passage of the bill into law will broaden the market of the Subic free port outside Luzon,” they said.

The position paper was signed by the presidents of various chambers of commerce, exporters and investors in Pampanga and this port. (Allan Macatuno, Philippine Daily Inquirer)

Read more: http://newsinfo.inquirer.net/687749/subic-ready-to-serve-as-major-port#ixzz3YT9udLql

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Subic Freeport now San Miguel Brewery’s alternative gateway

San Miguel Brewery, Inc. (SMB), a subsidiary of conglomerate San Miguel Corp., recently shifted a substantial volume of shipments from the port of Manila to Subic, a move that has meant less shipping fees and greater availability of stocks.

Due to the adverse effects of port congestion triggered by the Manila truck ban, Subic port provided a “new gateway” for SMB shipments, according to the company’s procurement manager, Gary Algodon, during a presentation at the Northern Luzon Shipping Summit in Fontana Clark on September 29.

Starting in June, Algodon said “Subic Port provided a new gateway for our shipments to the City of San Fernando, Pampanga, which accounts for 70% of container volumes (of SMB) in Luzon.” The shift was designed to “rectify delays” due to the Manila port congestion; as a result the company experienced availability of stocks for the next three months, he said.

The brewery in Pampanga is also nearer Subic port at 66.2 kilometers away compared with Manila International Container Port’s distance of 76.3 kms.

Further explaining the shift, Algodon said vessels calling Subic port are “basically on time, thus providing us the necessary stocks security.”

He added, “Through Subic Port, SMB was able to increase the inventory level of our raw materials to manage the uncertainties of the Manila port.”

Servicing of trucks is also faster through the Northern Luzon facility, he said.

It was only relatively recently that SMB shipped out of Subic port because “Manila port then was viable in terms of total landed cost”, Algodon said.

Since the implementation of the Manila truck ban in February and before the shipping shift to Subic, SMB encountered a lot of fees they were “not used to paying”, including demurrage and storage, which had reached P600,000, Algodon said.

It must be noted though that Manila mayor Joseph Estrada has lifted indefinitely the truck ban on Sept 13 although its effects, according to transport stakeholders, are expected to linger until early next year.

Since June, SMB has transported 447 containers out of Subic port. The company likewise plans to ship from Southeast Asia and Europe through the Northern Luzon gateway.

Algodon said Subic port has also become SMB’s “alternative port” for shipments bound to its Polo, Valenzuela brewery. Subic port and its Valenzuela brewery are 124 kms apart or a two- to three-hour trip.

Algodon said that with the lifting of the Manila truck ban and government’s efforts to decongest Manila ports, Algodon said they hope this would lessen costs incurred by its Valenzuela brewery.

“I think Subic port is becoming a new gateway,” Algodon noted, adding that SMB shipping through Subic means “there is no more danger in the stock out of beer.” (Roumina Pablo, PortCalls)

http://www.portcalls.com/subic-port-now-san-miguel-brewerys-alternative-gateway/

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