SBMA posts P1.2-billion port revenue in 2017

The Subic Bay Metropolitan Authority (SBMA) has recorded P1.2 billion in seaport revenue last year, surpassing its 2016 record by three percent, with an increase of 12 percent in the port’s containerized cargo volume.

SBMA Chairman and Administrator Wilma T. Eisma said that figures from the SBMA Seaport Department indicated a total income of P1,173,720,042 in January to December 2017 last year, compared to the P1.137 billion revenue collection in 2016.

“The continuing effort of the Seaport Department to upgrade its process flow minimized transaction time and attracted more and more importers and exporters to use the Port of Subic,” Eisma noted.

She pointed out that the volume of containerized cargo grew to 139,980 twenty-foot equivalent units (TEUs) in 2017 from just 124,707 TEUs in 2016. This increase in containerized cargo had offset a six-percent decrease last year in the volume of non-containerized cargo, which fell to only 6,646,322 metric tons as against 7,071,444 metric tons in 2016.

Accordingly, the SBMA Seaport Department processed 66,172 TEUs of imported containerized products in 2017, which was nine percent higher than the 60,593 TEUs processed in 2016. Meanwhile, the department processed last year 25,007 TEUs of exported containerized products, which was six percent higher than the 23,527 TEUs in 2016.

The increase in import-export volume that passed through the Port of Subic likewise resulted in a significant increase of containerized cargoes transshipped in the Freeport: 1,462 TEUs in January to December 2017 against 368 TEUs in 2016, or an increase of 297 percent.

Jerome Martinez, head of the SBMA Seaport Department, said much of the increase in revenue was due to the growth in imported products like vehicle parts by Foton Motor Phils., Inc.; paper materials by Trust International Paper Corp.; and rubber by Yokohama Tire Phils. Inc., which were all sourced from Japan.

Likewise, the growth in export revenue was attributed to increased export of tires by Yokohama Tires Phils. to Japan; Juken Sangyo Phils. for veneer lumber also to Japan; and HLD Clark Steel Pipe Co. for steel pipes to the United States.

Martinez also said that another factor in seaport revenue growth was the implementation of Republic Act 10668, also known as the Foreign Ships Co-Loading Act, which allowed arriving or departing ships to carry a foreign cargo to its Philippine port of final destination, after being cleared at its port of entry or exit.

“This law tends to decrease, in some instances, vessel activities going to the Port of Subic, particularly in the importation and exportation of goods,” Martinez said. “However, transshipment activities increase,” he added.

The devaluation of peso against the US dollar and the unstable global price of crude oil in the world market which caused a decline of the importation of petroleum products, also buoyed Subic seaport income, said Martinez.

SBMA Chairman Eisma also expressed optimism for the Port of Subic this 2018, pointing out that one of the world’s largest cruise ships will be arriving here in June for a 12-hour tour of the Subic Bay area.

Eisma said this was confirmed after Dr. Zinan Liu and other officials of Royal Caribbean International (RCI) spent a two-day assessment of the Subic Bay area last December for the purpose of including Subic in the itinerary of RCI’s Asian cruise program.

Subic reportedly checked out as a cruise ship destination after Liu noted that it has attractions for people interested in culture, history and religion, aside from the theme parks, beach resorts, hotels and other modern amenities found in the area.

Eisma estimated that should each cruise ship passenger spend US$100 during their stay in Subic, local businesses would gain millions in income during the visit. (RAV/MPD-SBMA)

PHOTO:

Containerized cargo boxes line up the New Container Terminal in the Subic Bay Freeport (AMD/MPD-SBMA)

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Subic keen on becoming next cruise ship playground

The Subic Bay Metropolitan Authority (SBMA) is keen on positioning its port to become the next playground for Royal Caribbean cruise ships starting next year.

SBMA Chairman and Administrator Wilma T. Eisma, who met recently with Dr. Zinan Liu and other officials of Royal Caribbean International (RCI), said that the Subic community is hoping to generate more business with the growing cruise ship tourism industry in the Asian region.

“We hope that Subic would be the next cruise ship playground. And we are very excited over this prospect,” Eisma told RCI officials, as she briefed them on the potentials of the Subic Bay area as cruise ship destination.

“We can offer you the best tourism facilities and services for your passengers and crew, highly memorable and tailored tourism experiences to meet the expectations of your clients, and a safe environment that will be very conducive to your business,” Eisma added.

Liu, who is RCI’s president for China and North Asia Pacific Region, arrived in Subic on Saturday along with his assistant Anna Lian and company director Antonio Muresu, and escorted by Isabela Vice Gov. Antonio Albano.

Eisma brought the visitors to Alava Pier here, where the firm’s MS Oasis of the Seas cruise liner may dock once Subic is included in the ship’s Asian itinerary.

The RCI, which is a cruise line brand based in Miami, Florida and owned by Royal Caribbean Cruises Ltd. (RCCL), a global cruise vacation company which controls 22 percent of the cruise market worldwide, is said to be scouting for newer attractions for the growing Asian cruise ship market.

Eisma, along with the SBMA Cruise Ship Technical Working Group, stressed that her administration is positioning Subic as the new Asian destination to meet such growing demand.

The MS Oasis of the Seas is said to provide some of the most modern cruise experiences today with facilities like the Central Park, Boardwalk, Royal Promenade, Pool and Sports Zone, Vitality at Sea Spa and Fitness Center, Entertainment Place, and Youth Zone, which features a surf simulator, cantilevered whirlpools suspended 112 feet above the ocean, and zip line.

The ship can carry over 6,000 passengers and 3,900 crews and officers in its 16 passenger decks.

During the preliminary meeting with another RCI team headed by Capt. Nikolaos Antalis in November this year, it was noted that because of its gigantic size, Oasis of the Seas could only use the Port of Subic, among the many ports in the Philippines.

During their two-day stay here, Liu and the other RCI officials said they were impressed over the potential of the Subic Bay area, noting that it has attractions in culture, history and religion, aside from modern amenities.

Eisma toured the cruise ship officials around Subic Bay and brought them to see Zoobic Safari, Ocean Adventure, and Segara Villas on Saturday, and brought them as well to the famed Philippine heritage destination Las Casas Filipinas De Acuzar in Bagac, Bataan last Sunday.

Last July, RCCL Vice President for New Business Development John Tercek also visited Subic to assess its readiness as a cruise ship destination.

Eisma said Tercek similarly cited the potentials of Subic and advised the SBMA to step up efforts in developing the free port to address the demand. (RAV/MPD-SBMA)

PHOTOS:

[1] SBMA Chairman and Administrator Wilma T. Eisma briefs Royal Caribbean International officials during an ocular inspection of Alava Pier in the Subic Bay Freeport. (AMD/MPD-SBMA)

[2] Royal Caribbean International president for China and North Asia Pacific Region Zinan Liu presents a miniature cruise ship model during the end of their two-day ocular of the Subic Bay Freeport. (AMD/MPD-SBMA)

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Royal Caribbean Cruise team impressed with Subic potentials

Officials of one of the biggest cruise ship liners in the world came out visibly impressed after visiting the Subic Bay area over the weekend to gauge its potential in the international cruise tourism scene.

Dr. Zinan Liu, president for China and North Asia Pacific Region of the Royal Caribbean International (RCI), a cruise line brand based in Miami, Florida, arrived here on Saturday along with his assistant Anna Lian and company director Antonio Muresu.

Liu’s entourage was escorted by Isabela Vice Governor Antonio Albano, and was welcomed here by Subic Bay Metropolitan Authority (SBMA) Chairman and Administrator Wilma T. Eisma.

During their two-day stay here, Eisma accompanied the cruise officials on a tour of tourism sites in Subic Bay and also briefed them on local history and tourism features.

The tour included Zoobic Safari, Ocean Adventure, Segara Villas, as well as the famed Philippine heritage destination Las Casas Filipinas De Acuzar in Bagac, Bataan.

Liu said he was impressed over the potential of the area and declared that the Subic Bay Freeport should be included in the Philippine itinerary of their cruise tours.

“Three days I’ve seen some ports in the Luzon region and I think it’s very attractive to Chinese,” Liu said. “We have only been here for a few hours, and from your presentation, I can already imagine that we can develop a tour suitable and appealing to different age groups.”

Liu also noted that the Subic area also has attractions for people interested in culture, history and religion. He said that the Subic Freeport’s modern amenities give it a unique quality not found among most free port zones.

“So I think we will be very interested in making Subic Freeport a part of the Philippine tour. Thank you for your presentation and we want us to work together and make a dream come true,” he told Eisma before the group departed Subic.

The group also visited Subic’s Alava Pier where passenger, as well as military, ships usually dock during their stay in the Subic Bay Freeport.

Eisma told the visitors that the SBMA plans to rehabilitate the docking facility even before the first cruise ship from Royal Caribbean International arrives in June next year.

An estimated P2.46 billion will be needed for the rehabilitation and development of the 15 piers and wharves here, which have been described as the heart and soul of the Subic Freeport. Eisma said the agency is currently asking for the inclusion of funds in the national budget to rehabilitate the ports.

The Royal Caribbean International cruise line brand is owned by Royal Caribbean Cruises Ltd. (RCCL), a global cruise vacation company which operates 24 ships in more than 500 destinations on all the seven continents and controls 22 percent of the cruise market worldwide.

As a global cruise vacation company, RCCL owns and operates three global brands: Royal Caribbean International, Celebrity Cruises and Azamara Club Cruises. It also has interests in the German brand TUI Cruises, the Spanish brand Pullmantur, and the SkySea cruises

Last July, RCCL Vice President for New Business Development John Tercek also visited Subic to assess its readiness as a cruise ship destination.

Eisma said Tercek similarly cited the potentials of Subic and advised the SBMA to step up efforts in developing the free port to address the demand. (JRR/MPD-SBMA)

PHOTOS:

[1] Royal Caribbean International president Dr. Zinan Liu (center) poses with the Ayta tribesmen along with SBMA Chairman and Administrator Wilma T. Eisma during a visit to the Zoobic Safari theme park in the Subic Bay Freeport. Also in photo are (from left): Assistant to the president Anna Lian, Royal Caribbean director Antonio Muresu, Zoomanity CEO Robert Yupangco, and Isabela Vice Gov. Antonio Albano. (AMD/MPD-SBMA)

[2] Royal Caribbean International president Dr. Zinan Liu readies his camera-phone as a tiger munches on chicken a few inches away during his visit to the Zoobic Safari theme park in the Subic Bay Freeport on Saturday. Beside him is SBMA Chairman and Administrator Wilma Eisma, who briefed him on tourism attractions in the Subic Bay area. (AMD/MPD-SBMA)

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SBMA inks US tie-ups for Subic port expansion

Working overtime to realize further development and expansion of the Port of Subic, the Subic Bay Metropolitan Authority (SBMA) is now networking with various ports in the United States to gain strategic knowledge and best practices for local application.

In a meeting with port officials in Los Angeles and Virginia Beach during a Philippine trade mission in the United States last month, SBMA Chairman and Administrator discussed Subic’s port expansion plans and business potentials, as well as the necessary upgrades to make Subic a global maritime trade player.

“We’re definitely moving seriously now into the expansion and development mode for the Port of Subic because this is what Subic Bay is all about—global maritime business,” Eisma explained.

“We may have the most strategic location and we may have the best potential in the region, but if our assets remained underdeveloped and underutilized, we’d end up zero just the same. So this is very, very important for Subic—it must start now, and it must be completed within just a few years,” she added.

Eisma said that in partnership with sister-ports, Subic will be developing a workable plan and a realizable timetable.

“Along this line, I have signed last month a memorandum of understanding (MOU) with John Reinhart, the CEO of Virginia Port Authority, for us to share best practices both in port development and trade promotion,” the SBMA official said.

“Likewise, we would be signing in March 2018 a similar agreement with the Los Angeles Port Authority (LAPA), so that we can learn technical expertise, particularly in break-bulk operation and cruise ship terminal operation,” Eisma added.

Eisma said that Jim MacLellan, who is LAPA Trade Development Director, has recommended to maximize Subic’s potential to be the next cruise ship playground in the ASEAN region, not only by increasing cruise ship arrival and port revenues, but also by developing downstream industries like arts and crafts, culture, music and related industries to promote a sustainable cruise tourism program.

She said that a direct port-to-port service route from the Port of Los Angeles to Subic Bay Freeport has also been discussed. This is being considered to cater to container port traffic demand between the West Coast and the Philippines, as well as increase efficiency and lower the cost of shipping.

Eisma added that the consolidation of cargoes in the West Coast is being considered with the Port of Subic Bay emerging as the possible gateway and transhipment point in the Philippines.

Eisma also said that the plan by SBMA and the Bases Conversion and Development Authority (BCDA) to draft and integrate their master plans for the next phase of development of the Subic-Clark Economic Corridor “fits nicely in the overall design for Subic port.”

Other port-related developments from the November trade mission to the United States include the proposed use of the Port of Subic for the distribution of agricultural products.

According to SBMA Port Marketing Manager Ronnie Yambao, who joined Eisma in the trade mission, a Mexican company supplying avocado to Japan would like to use Subic’s proximity to Japan as a unique selling proposition.

Yambao added that there was also a proposal to use Subic for cacao farming and production and for eventual distribution worldwide, as well as for the shipment of US-bound commodities produced by manufacturers based in Palawan and Bicol.

Yambao added that the plan by Mober, the latest mobile app-enabled, on-demand cargo-delivery company, to launch its service in Subic Bay in June 2018 would further increase the attractiveness of Subic as a transhipment and distribution hub. (HEE/MPD-SBMA)

PHOTOS:

[1] SBMA Chairman and Administrator Wilma T. Eisma signs an agreement with Virginia Port Authority CEO John Reinhart to facilitate Subic’s strategic objective of expanding its global port network.

[2] SBMA Chairman and Administrator Wilma T. Eisma, along with other members of the Philippine trade delegation to the United States, observes shipping activities at the busy Los Angeles port complex.

[3] SBMA Chairman and Administrator Wilma T. Eisma joins other members of the Philippine trade delegation to the United States at the Port of Los Angeles.

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Russian, US navy ships docked in Subic Bay

Two Russian and four American naval ships are now docked in the Subic Bay Freeport Zone.

The Alligator-class landing ship Nikolay Vilkov, alongside one of Russia's most powerful tugboats and icebreakers Fotiy Krylov are now docked at the Rivera Pier.

The two are among five navy ships that have arrived in the Philippines to deliver military equipment donated by Russia, a statement from the Philippine Navy said. The Russian vessels will be staying at the port of Subic until October 25.

No details were available about the types of equipment donated, but President Rodrigo Duterte had earlier said Russia would provide 5,000 assault rifles to the Philippines.

The equipment has come ahead of a visit by Russia’s top defense official to the Philippines to sign a security deal.

Russian Defense Minister Sergei Shoigu will be joining next week’s meeting of 10 Southeast Asian defense ministers with counterparts from eight other countries, including the US, Russia and China, in the Philippines.

Four naval ships of the United States also arrived in the Freeport Saturday - Expeditionary fast transports USNS Millinocket (T-EPF-3) and USNS Fall River (T-EPF-4), as well as the USNS Salvor (T-ARS-52) are now docked at the Alava Pier, while the replenishment oiler USNS Pecos is at anchorage in Subic Bay.

Also docked at the Alava Pier is the replenishment ship HMAS Sirius of the Royal Australian Navy. (SNL)

PHOTOS:

[1] Russia's Alligator-class landing ship the Nikolay Vilkov docked at the Rivera Pier in the Subic Bay Freeport. (photo c/o Mocking_Dyey's Instagram)

[2] The USNS Fall River docked at the Alava Pier

[3] As seen along Waterfront Road: The USNS Millinocket docked just behind the USNS Fall River, with Royal Australian Navy's HMAS Sirius berthed behind it at the Alava Pier of the Subic Bay Freeport.

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SBMA waives $200 accreditation fee for container shippers

The Subic Bay Metropolitan Authority (SBMA) has waived the $200 accreditation fee for all port-related businesses for a limited period as part of its efforts to turn Subic into a major transhipment center in the country.

SBMA Chairman and Administrator Wilma T. Eisma said port users could avail of the free accreditation program if they will guarantee to bring in at least one container within one month from filing of application or renewal of accreditation certificate.

The offer is good from October 18 to December 31, 2017 only.

With the hashtag #GoSubicBay, the SBMA began offering its open-window access initiative for container port-related businesses during the 43rd Philippine Business Conference and Exposition at the Manila Hotel on Wednesday.

Eisma said the agency’s port marketing program aims to showcase and broaden industry awareness of the use of the container terminal at the Port of Subic, as well as increase container port traffic and utilization rate.

“Subic Freeport has a faster turnaround time, there’s no red tape, has reduced processing time, no congestion, no traffic and no truck ban,” she told prospective port users during the program launch.

Eisma also pointed out that vessels using the Port of Subic can immediately dock upon their arrival, and gain from Subic’s built-in advantages of lower tariff and higher efficiency with ISO quality service by the SBMA.

“The hashtag #GoSubicBay actually has two meanings: first, it is an invitation to go to Subic Bay to use our port facilities, and second, it is a clarion call to let the industry know that the Port of Subic is ready to serve their businesses,” Eisma explained.

Eisma added that the SBMA’s port marketing program would also help decongest the Port of Manila and accommodate small and medium enterprises (SMEs) in pursuance of the agency’s commitment to promote inclusive business (IB).

SBMA Seaport Promotions Manager Ronnie Yambao said that under the SBMA’s open window access program, the agency will waive the $200 accreditation fee for the first 80 new business entrants and the first 20 accredited entities due for renewal of accreditation certificate.

The promotion covers ship agents, freight forwarders, brokerage firms and trucking services related to container movement.

Yambao stressed, however, that failure by applicants to guarantee the entry of at least one container would cause the Port of Subic to require the payment of the $200 accreditation fee.

Yambao also assured port users of the quality of service at the Port of Subic, pointing out that container port here is managed by the Subic Bay International Terminal Corporation (SBITC).

The SBITC, he added, is an affiliate of International Container Terminal Services Inc. (ICTSI), which is acknowledged as one of the best port management firms in the world. (JRR/MPD-SBMA)

PHOTO:

SBMA Chairperson and Administrator Wilma T. Eisma meets with PBC Chairman Jose Leviste Jr. (left) and PCCI President George T. Barcelon at the SBMA booth during the 43rd Philippine Business Conference and Expo at the Manila Hotel on Wednesday. The SBMA launched the "#GoSubicBay" open access program for container port-related businesses at the PBC exposition. (JRR/MPD-SBMA)

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Australian navy ship HMAS Adelaide in Subic Bay Freeport

The Royal Australian Navy’s HMAS Adelaide, a Canberra-class landing helicopter dock ship, moors at the Alava Pier in the Subic Bay Freeport on Wednesday (October 11).

The vessel, which earlier docked at the Manila South Harbor, along with another Australian Navy ship, the guided missile frigate HMAS Darwin, is on a five-day tour around the Asian region as part of commitment aimed in strengthening relations with the Philippine Navy in providing maritime security and stability in the region.

The HMAS Adelaide docked at the Alava Pier in Subic Bay Freeport (AMD/MPD-SBMA)

Part of the exercise is a maritime maneuver in Subic Bay, which is focused on humanitarian aid and joint disaster relief simulated operations.

President Rodrigo Roa Duterte on Tuesday, October 10, visited the largest ship of the Royal Australian Navy and reiterated full support to the Philippines’ allies.

The President was given a tour of the landing helicopter dock ship HMAS Adelaide anchored at the Port of Manila as part of the regional deployment by the Australian Defence Force to strengthen ties within the region.

In his remarks, President Duterte welcomed the officials and crew of the navy ship that is in its maiden deployment to Southeast Asia.

“I’d like to welcome you officially to the Philippines. And we’re happy that you found time to visit us,” he said.

HMAS Adelaide, weighing 27,800 tonnes and 230 meters in length, is designed to provide medical and humanitarian assistance during regional emergencies with its 40-bed hospital that is complete with two operating theatres.

The ship’s 200-meter flight deck can carry up to 12 helicopters. It can accommodate more than 100 vehicles, 2,100 tonnes of cargo and can transport 1,000 military personnel and equipment for a rapid disaster response deployment.

More than 100 Philippine Armed Forces personnel, including the elite Philippine Marines, will participate in a sea-ride on Adelaide’s landing craft for a hands-on experience of the Australian Defence Force’s humanitarian and disaster relief capability.

The Australian Embassy noted Australia and the Philippines’ long-standing Defence Cooperation Program, which includes counter-terrorism, maritime security, and capability development assistance to the Armed Forces of the Philippines (MPD-SBMA)

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SBMA sets P2.46 billion to rehabilitate Subic seaports

The Subic Bay Metropolitan Authority (SBMA) will prioritize the rehabilitation of piers and wharves in the Subic Bay Freeport Zone in order to bring to tip-top form the so-called heart and soul of this premier maritime logistics center.

Newly-appointed SBMA Chairperson and Administrator Wilma T. Eisma said in a media briefing on Wednesday that the Subic agency has allotted a budget of P2.46 billion to repair and further develop port facilities in Subic.

“The piers and wharves are undeniably the biggest assets of Subic Bay, and our sea port generates the biggest income among all the SBMA units,” Eisma said, pointing out that her administration will pursue the completion of the repair projects.

“We need to put these assets in top condition so that we can service more vessels and also get top returns for our investments,” she added.

The Subic Bay Freeport has a total of 15 piers and wharves that can serve various purposes from transshipment of containerized and break-bulk cargoes, fuels and lubricants, grains and fertilizer, as well as servicing vessels and passengers.

Aside from this, the port of Subic also offers key services like cargo handling, pilot and tugboat services, ship chandling, bunkering and tendering, ship agents, onboard repair, cargo survey, underwater survey, and vessel lay-up and line handling.

Eisma said that while Subic has its own airport, its seaport is the most viable facility to develop and earn from. “With the money the government is pouring into Clark today, Subic cannot hope to compete with its airport, so we have to prioritize development of our seaport,” she explained.

Eisma said that, in particular, the Alava Pier, which services military and passenger vessels in Subic, needs to be dredged and its piles strengthened in order to accommodate bigger cruise ships.

“We have concluded talks with some cruise liners and the Royal Caribbean Cruises Ltd. will dock in Subic starting next May, but we can’t bring in those with passenger capacity of up to 5,000 because our piers are not yet upgraded,” Eisma said.

She said that it was while attending the 2017 Asia Cruise Forum in Jeju, South Korea last August that she realized it was really necessary to rehabilitate Alava Pier to bring it up to par with global cruise standards.

Other than the repair of piers and wharves, the SBMA also plans to undertake major projects like the construction of the Magsaysay Bridge, which leads to the Freeport main gate; upgrading of facilities at the Subic Bay International Airport; concreting and repair of roads; port dredging; and building of the proposed SBMA-Olongapo Museum.

The Subic agency is also planning to build an SBMA Corporate Center to house the various SBMA offices that are now scattered among several US Navy-era buildings.

According to the proposed SBMA budget for 2018 that has already passed the Senate’s subcommittee on finance, other than the SBMA Corporate Center project which has a price tag of P3.2 billion, the repair of Subic piers and wharves will take up the bulk of the SBMA’s P3.548-billion infrastructure budget for 2018.

The repair of piers and wharves is estimated to cost P2.45 billion, while the other projects are pegged at P489.3 million for road concreting and repair; P390.7 million for the Magsaysay bridge; P83.38 million for port dredging; P80 million for the museum; and P45.4 million for upgrading of airport facilities. (HEE/MPD-SBMA)

PHOTO:

SBMA Chairperson and Administrator Wilma T. Eisma unveils her administration’s development agenda during a briefing at Bahia Restaurant in the Subic Bay Freeport on Wednesday. (AMD/MPD-SBMA)

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Subic eyeing to be port of choice for North and Central Luzon

With lower rates, faster turnaround time, and 15 piers and wharves to choose from, the Subic Bay Freeport is angling to be the port of choice for shippers and port users in Northern and Central Luzon today.

Atty. Wilma T. Eisma, administrator and chief executive officer of the Subic Bay Metropolitan Authority (SBMA), said during the Northern Luzon Investors’ Conference at the Makati Shangri-La Hotel last Thursday that Subic provides the best solution in terms of the ease and cost of doing shipping and related maritime business.

Eisma told business leaders and prospective investors in the region during the conference that along with its strategic location, the country’s premier free port provides 10 built-in advantages that could spell the difference for players in the shipping business,” Eisma told business leaders and prospective investors in the region during the conference.

She added that Subic’s has 10 plus factors that make for successful shipping operations: faster turnaround time, absence of red tape, short processing time, absence of congestion, absence of traffic, immediate docking upon vessel arrival, no truck ban, lower port tariff, higher efficiency, and ISO quality service.

To start with, the Subic Freeport has a total of 15 piers and wharves that can support the transhipment of a wide range of cargoes. Eisma said the two wharves in Subic’s former Ship Repair Facility are ideal for passenger ships, as well as military vessels because they are located near the Central Business District, while the two other piers further inside the facility would be ideal for repair and boat services.

On the other hand, the two jetties at the former Naval Supply Depot are perfect for break-bulk cargoes and shipments bound for Subic’s industrial parks and manufacturing centers in Central and Northern Luzon, while the three docks at the Boton Logistics Center would best be suited for petroleum products.

Those at Cubi Point, meanwhile, could accommodate containerized cargo, as well as grains and fertilizer, while the single landings at Nabasan, Camayan and Grande could be used for specialized purposes, including tourism.

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Eisma also pointed out that Subic is already the port of choice for Hanjin, the fourth largest shipbuilder in the world; China’s Jovo Group, which operates the country’s first ship-to-ship transfer of liquefied petroleum gas; as well as Subic Bay Int’l Terminal Corp., an affiliate of the International Container Terminal Services Inc., which is one of the five major maritime terminal operators in the world.

“We have also attracted nine container shipping lines that now connect Subic Bay to major commercial centers in the United States, Europe, Middle East, and Southeast Asia, and this is because we have some of the lowest rates in stevedoring and arrastre, as well as export, import and transshipment fees,” Eisma said.

She cited as an example Subic’s stevedoring charges for a loaded 40-footer container that is only $94.33, while that for Manila goes for $137.87 excluding VAT, or a difference of $43.54 or 31.58%. On the other hand, Subic’s arrastre rates for the import of a 40-footer container is just P4,787.05, while that for Manila is pegged at P9,235.00 excluding VAT, or a difference of P4,447.95 (48.16%).

As a center for maritime operations, Subic also offers key port services like cargo handling, pilot and tugboat services, ship chandling, bunkering and tendering, ship agents, onboard repair, cargo survey, underwater survey, and vessel lay-up and line handling. It likewise provides facilities for fuel storage and handling, grains storage, maritime training, ship repair, warehousing, and vessel lay-up.

Eisma also said that because the Port of Subic is uniquely accessible by sea, land and air, more and more manufacturers and export producers, as well as importers in Luzon are shipping through this free port.

Among the top exporters using the Port of Subic now are Yokohama Tires Phils., which is located at the Clark Freeport; Juken Sangyo (Subic), Petron Freeport Corp. (Bataan), HLD Clark Steel (Clark), Tong Lung Phil Metal Industry (Subic), Johnson Control-Hitachi (Subic), Limech Manufacturing and Trading (Subic), Orica Phils. Inc. (Bataan and Subic), Hitachi Terminal Mechatronics (Subic), and Philip Morris Int’l (Subic).

On the other hand, the top 10 importers through the Port of Subic are: Foton Motors Phils (Subic), Yokohama Tires Phils (Clark), TIPCO (Pampanga), Nestle Phils (Bulacan), San Miguel Brewery (Pampanga), United Auctioneers Inc. (Subic), Tong Lung Phil Metal Industry (Subic), Masinloc Power Plant (Subic), HHIC-Phils Inc. (Subic), and Transam Waste and Rags (Clark).

In the same occasion, Transportation Secretary Arthur Tugade spoke on the government’s “Build, Build, Build” program for Subic and Clark, while Bases Conversion and Development Authority President Vivencio Dizon discussed the proposed Clark Green City, among other speakers.

On the other hand, Roberto Locsin, SBITC president and general manager, talked about Subic Port and how it facilitates trade for Northern Luzon shippers. (HEE/MPD-SBMA)

PHOTO:
Aerial view of the Subic Bay Freeport Zone with its container terminals, piers and warehouse facilities.

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Port of Subic posts 11% revenue growth

The Port of Subic posted an impressive 11 percent growth in revenue in the first five months of this year, despite less ship calls recorded in the same period.

According to Subic Bay Metropolitan Authority (SBMA) Administrator and CEO Wilma Eisma, total port revenue logged from January to May 2017 in Subic reached P488.82 million, which was 11 percent higher than the P440.99 million recorded in the same period last year.

A commercial vessel unloads containerized cargo at the New Container Terminal

“Considering that there were less ship calls this year than last year—we had a total of 1,164 in January to May 2017 compared to P1,414 in 2016—then that was still a remarkable achievement for Subic,” Eisma said.

Aside from this, she said that the Subic port also registered a 23 percent increase in export value, with total exports reaching US$1.06 billion in the first five months of 2017, compared to just US$865.26 million in the same period last year.

Similarly, Subic’s import value also rose by 9 percent in the same period, or from US$628.65 million last year to the current US$682.18 million, she added.

Eisma said that much of the growth in port business in Subic involved containerized cargo, which increased in volume from 51,346 TEUs (twenty-foot equivalent units) in January-May 2016 to 55,516 TEUs this year, for an eight percent increase.

However, non-containerized cargo volume suffered a five percent decrease, as only 2.96 million metric tons (MTs) passed through the Port of Subic this year, compared to 3.12 million MTs last year.

Still, the Port of Subic continues to attract more business, as 10 shipping lines now regularly call on Subic, said Ronnie Yambao, head of the SBMA port marketing office.

Ship-to-ship transfer operations in Subic Bay also contribute significantly to port revenue

The shipping lines, Yambao said, include major players like the Taiwan-based Evergreen, which is the fifth biggest shipping company in the world; the Singapore-based American President Lines (APL); Nippon Yusen Kabushiki Kaisha (NYK) of Japan; Mitsui O.S.K. Lines (MOL) also of japan; SITC Container Lines of China; and Wan Hai Lines, also of Taiwan.

The other shipping firms that call on Subic are: Bow Ship Management, Inc.; T. Madsen Shipping Philippines, Inc.; Soriamont Steamship Shipping; and Uni Ship Incorporated.

Yambao said the SBMA under Eisma’s administration seeks to increase container traffic in the Subic Bay Freeport and actively promotes Subic as an ideal shipping port for businesses in Central and North Luzon. (HEE/MPD-SBMA)

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BoC opens one-stop-shop facility at Subic

THE Bureau of Customs (BoC) said it opened on June 1 a one-stop-shop (OSS) trade facility at the Tipo, Subic Bay Metropolitan Authority (SBMA) gate, which reduces a one-day processing time of documents to only four hours.

The facility includes personnel from Customs Enforcement, Customs Clearance, and X-ray equipment to cater to clients’ needs, especially port users.

The Tipo toll plaza in Subic Bay Freeport Zone

The OSS facility bureau is seeking to replicate the current one-stop-shop at the New Container Terminal 1 in Port of Subic which was first constructed by the International Container Terminal Services, Inc. with the BoC and SBMA in 2015.

“The OSS promotes ease of doing business where BoC stakeholders can switch between counters in processing BoC requirements,” the bureau said.

Due to this, port users no longer need to travel to various government offices to secure their trade documents.

The BoC estimates that the average one-day processing time of documents will be reduced to four hours.

“With the BoC-OSS, importers and brokers can expect shorter document and cargo processing times, thereby improving the overall processing efficiency at the Port of Subic,” the statement read.

The BoC and the Department of Finance has been making moves to reduce red tape in trade facilitation.

Currently, the Department of Finance (DoF) is pilot testing the system called TradeNet, a computerized internet-based system, which will be able to connect Philippines’ single window of trade-related agencies with neighboring countries, as it rationalizes and harmonizes all of trade data for faster processing.

This is because traders, who are required to secure permits from various government agencies before importing or exporting products, may be able to lodge all the necessary documents at a single window.

The DoF expects the system to be rolled out in September. (Elijah Joseph C. Tubayan, BusinessWorld)

http://www.bworldonline.com/content.php?section=Economy&title=boc-opens-one-stop-shop-facility-at-subic&id=148054

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Royal Caribbean eyes Subic Bay for Asian cruise route

A global cruise vacation company that operates in more than 500 destinations on all the seven continents is now eyeing the Subic Bay Freeport Zone as a regular cruise itinerary for its growing Asian market.

Subic Bay Metropolitan Authority (SBMA) Administrator Wilma Eisma said the Royal Caribbean Cruises Ltd. (RCCL), which owns and operates three global brands, had sent its Vice President for New Business Development John Tercek to assess Subic’s readiness as a cruise ship destination.

“The Subic Freeport is now ready to meet the demands of the cruise tourism market, as we have been successful in this regard past when cruise ships like Clipper Odyssey, Spirit of Adventure, and the Hanseatic came to Subic,” Eisma said.

“But now we could be looking at a regular schedule by Royal Caribbean, so we’re really excited with this prospect,” she added.

Tercek, who was accompanied by officials of the Department of Tourism on his July 1-2 visit in Subic, said the RCCL is catering to 2 million Chinese cruise passengers per year and is now developing new market destinations.

“If ready, we are considering the Subic Freeport as one of the nearest stops from Southern China to help address the cruise market demand,” he added.

Tercek made an ocular inspection of Alava Wharf here and received a briefing from Eisma on the heritage and history of Subic as a former naval base and one of the most successful cases of military base conversion in the world. He was also updated on tourism business potentials in Subic, as well as neighboring communities in Central Luzon.

Tercek told Eisma during the visit that Subic has all the elements necessary for a cruise ship destination.

“I can see the potential of Subic Freeport as a conventional cruise ship destination,” he said. “But as we build bigger ships, you have to step up to address the demand.”

Tercek said if the port facilities are ready, the RCCL usually starts with five ship calls per year for a destination with 3,000 to 5,000 passengers each. In the case of Subic, where there is good weather from November to April, however, it will be possible to have from five up to 30 ship calls, he added.

Tercek, who has created shore-side infrastructure projects and ventures to support RCCL’s strategic growth objectives, likewise reminded SBMA and DOT officials that as the cruise industry starts to build bigger ships, “you have to prepare your port facilities to meet the market demand.”

He added that RCCL looks forward to supporting infrastructure development that will compliment cruise tourism development in Subic, just like what they did in Vietnam.

Tercek, who was a partner in a Wall Street real estate investment firm, now leads in the development and management of RCCL’s interests in ports and commercial facilities around the world and is in charge of determining the viability of the frim’s deployment in the region, as well as investment opportunities for cruise-related facilities and services.

As a global cruise vacation company, RCCL owns and operates three global brands: Royal Caribbean International, Celebrity Cruises and Azamara Club Cruises. It also has interests in the German brand TUI Cruises, the Spanish brand Pullmantur, and the SkySea cruises. (HEE/MPD-SBMA)

PHOTO:

Oasis of the Seas, one the cruise ships operated by Royal Caribbean Cruises Ltd., is said to have revolutionized cruising because of its ground-breaking design that includes seven distinct neighborhoods.

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President Duterte visits Japanese escort Flotilla in Subic

President Rodrigo Duterte visited on Sunday, June 4, the Japan Maritime Self-Defense Force (JMSDF) Escort Flotilla One comprised of helicopter carrier JS Izumo and guided missile destroyer JS Sazanami berthed here in Subic Bay Freeport for a four-day port visit to the Philippines.

In an interview with media, President Duterte said he was happy to board the JS Izumo, noting the state-of-the-art ship that can respond to both conflict and humanitarian missions.

Duterte added that he is the first head of state to board the JS Izumo, which was commissioned in 2015.

Japan has been a historical friend of the Philippines helping the country in different ways particularly through the Japan International Cooperation Agency (JICA).

Japan is also providing the Philippines with defense assets such as ships and trainer planes, he said.

"Our ties with Japan is historical and I know that we will be with them for all time. They can count on our gratitude for helping us and also our friendship to fight with them," he told reporters.

"We have so many problems in this world and I said we are friends, historical ones. We have a lot to say thank you to you. And I’d like Japan to know that we are a people of gratitude," he added.

Aside from visiting JS Izumo, the President also met Katsuyuki Kawai aboard the Japanese helicopter carrier. Kawai is Prime Minister Shinzo Abe's special adviser.

The Japanese contingent is headed by Rear Admiral Yoshihiro Goka, the commander of the JMSDF Escort Flotilla One. The JS Izumo together with several patrol helicopters and 800 officers and crews are here for a goodwill visit to the Philippines prior to its participation to the Malabar Naval exercise in India.

The four-day visit includes a series of confidence building activities between the Philippine Navy and the JMSDF personnel.

The Escort Flotilla One's port visit is expected to enhance the strong relationship between the Philippine Navy and the JMSDF. (PND/PNA)

PHOTOS:

[1] President Rodrigo Duterte is escorted by Subic Bay Metropolitan Authority (SBMA) Chairman Martin Diño and Administrator Atty. Wilma Eisma during the chief executive's tour aboard the biggest Japanese helicopter carrier JS Izumo docked at the Alava Port in Subic Bay Freeport Zone. (JRR/MPD-SBMA)

[2] President Duterte poses with his officials and the visiting officers and crew of the JS Izumo. (JRR/MPD-SBMA)

[3-4] The helicopter carrier JS Izumo (DDH-183) (top) and the Japanese destroyer JS Sazanami (DD-113) (bottom) of the Japan Maritime Self-Defense Force (JMSDF) Escort Flotilla One, both docked in the Subic Bay Freeport Zone for a four-day visit to the Philippines. (RBB/MPD-SBMA)

http://www.pna.gov.ph/articles/993315

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SBMA vigilant against entry of illegal drugs

The Subic Bay Metropolitan Authority (SBMA) is closely working with law enforcement agencies to strictly monitor incoming vessels here against the possible entry of illegal drugs in the country via the Port of Subic.

This is in consonance with the Duterte administration’s war on illegal drugs, said SBMA Administrator Wilma T. Eisma.

Just recently, elements from the Philippine Drug Enforcement Agency (PDEA) Region III, Intelligence Service of the Armed Forces of the Philippines (ISAFP), Philippine Coast Guard (PCG), Bureau of Immigration (BI) in Olongapo City, SBMA Seaport and SBMA Law Enforcement Department (LED) conducted a joint operation following intelligence reports that a ship arriving here was carrying illegal drugs.

According to a report from the SBMA Law Enforcement Department, the ship in question was a Panamax vessel carrying a cargo of soya from the United States. It arrived at the port of Subic early in May and anchored outside the limits of the SBMA Seaport.

Upon its arrival, government law enforcers led by PDEA, PCG and the Philippine National Police (PNP) Maritime Group boarded and search the vessel using K-9 drug sniffing dogs, with SBMA Seaport and LED representatives observing the operations.

The search turned out negative and the operation was terminated on Tuesday, authorities here said.

Administrator Eisma said the recent inter-agency operation was a clear sign that the agency will not tolerate the entry of illegal drugs through the Port of Subic.

She said there are strict procedures and safety nets in place to ensure that no contraband, especially illegal drugs, could enter the country through the port of Subic.

“The SBMA is also implementing random checks for illegal substance that might be on board any of these incoming vessels,” Eisma added.

The administrator also issued a stern warning against those who are even thinking of shipping illegal drugs into the country and using Subic Bay as the port of entry, saying they will be harshly dealt with the full force of the law. (RBB/MPD-SBMA)

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Subic Freeport eyes more cruise ships

The Subic Bay Metropolitan Authority (SBMA) is looking forward to the arrival here of more cruise ships under its “Tourism Star” development agenda to promote Subic’s tourism potentials and maximize its attractiveness as a world-class tourist destination.

SBMA Administrator and CEO Wilma Eisma made this announcement on Monday following the arrival here of MS Bremen, an expedition ship operated by the German tour giant Hapag Lloyd Cruises.

“With the recent port call of the MS Bremen, we have proven once again that the Subic Bay Freeport can easily be a preferred destination for cruise ships,” Eisma said.

“This is really fortuitous for us, because under our Tourism Star program, the SBMA seeks to promote Subic as the next cruise ship playground, alongside other objectives like creating a Subic tourism brand and expanding existing tourism programs,” she added.

The 111-meter long MS Bremen docked at the Alava Wharf last Friday, bringing more than 150 tourists, as well as a complement of ship crew that included some naturalists.

The visitors were welcomed at the dock by the SBMA brass band, as well as tourism staff waving flaglets. SBMA Administrator Wilma Eisma was also around during the reception and gladly received a ship memento from Ship Captain Roman Oprist.

“This is the first time that we had docked in Subic Bay Freeport,” Oprist told Eisma. “We have already travelled to Java and Borneo, and this is our next stop.”

Oprist said the MS Bremen is a cruise ship operated by Hapag Lloyd since 1993. He said the ship is an expedition ship of a special kind because it was designed to navigate where other cruise ships fail — on thick ice or in shallow waters.

He added that the four-star vessel carries only a maximum of 160 guests during its cruise.

During its Subic Bay visit, some passengers of MS Bremen visited the Pamulaklakin Forest Trail where they witnessed demonstrations of jungle survival techniques by the local Ayta tribe, while others went to the Zoobic Safari theme park.

Eisma said that with plans to upgrade the ports and wharves inside the Subic Bay Freeport, the Agency is working to attract more cruise ships to this premier Freeport and tourism center.

“Subic has got what it takes to be a cruise ship playground. And the arrival of Bremen is a good sign,” Eisma added. (JRR/MPD-SBMA)


PHOTOS: (Clockwise)

[1] The Bahamas-registered MS Bremen cruise ship is moored by dock hands at the Alava Pier during its arrival on Friday at the Subic Bay Freeport. (AMD/MPD-SBMA)

[2] A brass band welcomes the arrival of the MS Bremen cruise ship at the Subic Bay Freeport on Friday, signalling a warm welcome to this tourist destination that aims to become the next cruise ship playground in Southeast Asia. (AMD/MPD-SBMA)

[3] SBMA Administrator Wilma Eisma receives a ship memorabilia from MS Bremen captain Roman Oprist, following the arrival of the Bahamas-registered Hapag Lloyd Cruises vessel at the Subic Bay Freeport on Friday. (AMD/MPD-SBMA)

[4] An Ayta elder at the Pamulaklakin Ayta Village in the Subic Bay Freeport demonstrates tribal bushcraft to tourists from the MS Bremen following their arrival in Subic Bay on Friday. (AMD/MPD-SBMA)

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Port efficiency to attract more shipping lines, users to Subic

International Container Terminal Services, Inc. (ICTSI) continues to make a strong case for the Subic Bay Freeport as a key international trading gateway of the Philippines after achieving productivity levels at par with that of the Manila International Container Terminal (MICT).

Two Panamax quay cranes at the New Container Terminal (NCT) 1 recently handled close to 400 twenty foot equivalent units (TEU) with each crane averaging 40 and 33 moves per hour, respectively. The productivity levels were achieved during the inaugural call of Evergreen Marine Corp.’s 1,440-TEU boxship Cape Fulmar.

Cape Fulmar berthed at the New Container Terminal 1 in Subic Bay Freeport Zone

The call signaled the start of Evergreen’s South Korea-Taiwan-Philippines (KTP) service, a new route to facilitate improving regional trade between the three economies. The service plies the ports of Incheon and Kwang Yang, South Korea; Kaohsiung, Taiwan; and Batangas, Manila and Subic Bay, Philippines. Aside from Cape Fulmar, 1,440-TEU boxship Cape Faro is also chartered to the weekly service.

“It was a great effort and a big win for ICTSI’s Subic operations. This goes to show that Subic is at par with the productivity levels in MICT. We are continuously working on improving our services to attract more shipping lines, and for northern and central Luzon businesses to use the container terminals in Subic,” says Roberto Locsin, Subic Bay International Terminal Corp. (SBITC) President.

He adds: “As a national port operator, ICTSI ensures that each Philippine marine terminal under its helm remains competitive. Subic, in particular, was developed not only for the industrial locators of the Freeport but for the local markets in Luzon north of Metro Manila.”

MICT, ICTSI’s flagship terminal, primarily serves the Metro Manila market and its adjacent markets, where most of the economic activities of the country happen being the country’s capital. “Metro Manila as a market will continue to grow,” says Locsin.

“But, as the northern and central Luzon countryside develops driven by industrial centers like Subic, Clark, Bataan and Tarlac also continuing to grow, the Subic Bay Freeport is that gateway ready to link its products to global markets. We have the equipment and facilities. We carry ICTSI’s brand of service and efficiency,” he adds. (Manila Bulletin)

http://business.mb.com.ph/2017/05/08/port-efficiency-to-attract-more-shipping-lines-users-to-subic/

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China’s JOVO starts LNG ship-to-ship transfer in Subic Freeport

The country’s first ship-to-ship (STS) transfer operations for liquefied natural gas (LNG) by China’s Jovo Group Company Ltd. Guandong (JOVO) started operations here Thursday (April 27), the first major investment in the Freeport under the Duterte Administration.

The 105,335-ton Malaysian-flagged Seri Bakti, which arrived from Australia, is now anchored in Subic Bay and has just completed transferring an initial load of LNG to feeder vessel S/S Polar Spirit, a 72,524-ton Bahamas-flagged vessel.

S/S Seri Bakti skippered by Capt. Sydney De Silveira, is operated by MISC group, a leading provider of energy-related maritime solutions and services.

On the other hand, Polar Spirit is operated by Teekay Gas Service and is under the command of Capt. Nenad Bezic.

Subic Bay Metropolitan Authority (SBMA) Administrator Wilma Amy Eisma said Seri Bakti is among the largest gas carriers operating for maritime transport.

“Because of the depth of our port, Subic Bay could accommodate this gigantic vessel, or any other super-size ship for that matter,” Eisma explained.

The ship-to-ship transfer operations involves a large mother vessel loaded with LNG and anchored off-shore, and smaller vessels that will bring the cargo to ports of destination where bigger ships are not allowed to anchor due to maritime issues.

Eisma said Seri Bakti’s operations in Subic Bay involves an initial minimum of two transfers per month and will increase to a maximum of six transfers per month by the third quarter of the year at the earliest.

In terms of revenue, it is expected that the Port of Subic will earn from this project tens of millions of pesos from services, including tug boat services, port services and anchorage, chandlers, bunkering and food supplies.

According to SBMA Seaport general manager Jerome Martinez, Seri Bakti will discharge LNG on two separate occasions to S/S Polar Spirit.

Martinez also stressed that the STS transfer operations will be safe as LNG has less greenhouse effect and is not highly combustible like gasoline or liquefied petroleum gas.

“It burns slowly, and does not mix with water nor kill fish or any other marine life. LNG is very environmental friendly,” he said.

“And in case that it is accidentally mixed with water, LNG will immediately evaporate without affecting the chemical property of the water, which will remain safe for aquatic life or even for drinking,” he added.

Aside from JOVO, the SBMA Board of Directors has already approved three more ship-to-ship service providers to operate in Subic Bay.

“JOVO is the only privately-owned gas company in China and is one of the leading clean energy service providers in the world,”JOVO manager Chris Huang said.

Earlier, JOVO International business general manager Yuan Lu said the firm’s STS operation in Subic may lead to the establishment of an LNG regional hub here to accommodate the delivery of LNG to local market and the rest of Southeast Asia.

He added that JOVO’s long-term plan is to introduce the LNG to the Philippine market, especially those in transportation sector that use trucks, haulers and school buses that prioritize safety and clean environment.

Lu also gave the assurance that JOVO has decades of comprehensive experience in clean energy shipping, storage, processing, and sales without accident and assured that its LNG STS operation will be environmentally safe. (RAV/RBB/HEE/MPD-SBMA)

PHOTOS:

[1] The 105,335-ton Malaysian-flagged Seri Bakti (right) is flanked by S/S Polar Spirit over the waters of Subic Bay as it transfers thousands of cubic meters of liquefied natural gas (LNG) to the feeder vessel. (AMD/MPD-SBMA)

[2] Aerial of S/S/ Seri Bakti and S/S Solar Spirit over the waters of Subic Bay.

[3] Officials of the Subic Bay Metropolitan Authority (SBMA) led by Administrator Wilma Amy Eisma (center) and officers of S/S Seri Bakti on board the Malaysian LNG tanker.

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World’s 5th biggest carrier starts Kaohsiung-Subic route

Another global shipping company has made the Subic Bay Freeport its port of call of choice, bringing to five the number of major shipping lines that operate in the country’s premier free port.

Evergreen Line, which is based at Taoyuan City in Taiwan, is the world’s fifth biggest shipping firm and operates in 240 ports in 80 countries worldwide. It commenced operations here on Wednesday (April 19) with the arrival of M/V Cape Fulmar, a 1,440-TEU vessel home-ported at the Marshall Islands.

According to Evergreen boarding officer Andy Dela Cuesta, the arrival of Cape Fulmar marked the start of Evergreen’s once-a-week rotated schedule from the port city of Kaohsiung in Taiwan to Batangas and Subic in the Philippines, and back to Kaohsiung.

Cape Fulmar, which has berthed at Subic’s New Container Terminal (NCT), unloaded 200 twenty-foot equivalent unit (TEU) container vans and 70 forty-foot equivalent unit (FEU) container vans for companies in Subic and Clark like Yokohama, Lepanto Tiles, and Coam Philippines.

Before it departs, the ship will load 39 containers of products for shipment, Dela Cuesta added.

The Evergreen official also said that some of their customers in Manila are now considering putting up warehouses in Subic, noting the easy access to Subic Freeport via the Subic-Clark-Tarlac Expressway (SCTEX), North Luzon Expressway (NLEX) and Tarlac-Pangasinan-La Union Expressway (TPLEx).

The entry of Evergreen in Subic, according to Subic Bay Metropolitan Authority (SBMA) Administrator Wilma Eisma, “will definitely boost the timely transshipment of goods in Central and Northern Luzon and improve the competitiveness of these areas in terms of the delivery of raw materials and finished products.”

“Time is one major concern of investors and manufacturers in Central and Northern Luzon— their raw materials should arrive on time and their finished products must be delivered as scheduled. And this is where Subic comes in to provide ease and cost-efficiency,” Eisma added.

The SBMA administrator also said that as her administration is keen on increasing container traffic in the Subic Bay Freeport, the agency is actively promoting the Subic as an ideal shipping port, pointing out that it is the only port in the country’s Western seaboard that can accommodate a sizable quantity of cargo container.

“Along this line, the arrival of Evergreen is a major development for Subic,” Eisma added.

Taiwan is now among the Philippines’ biggest trading partners, with around $7.85 billion worth of bilateral trade in 2015. Currently, the Subic Bay Freeport Zone hosts 52 Taiwanese companies with $500 million worth of investments and over 12,000 jobs generated.

Thus far, Evergreen is the fifth major international shipping line to call on Subic and connect the free port to major economies in Asia. The others are American President Lines (APL), which is based in Singapore; Nippon Yusen Kabushiki Kaisha (NYK) of Japan; Mitsui O.S.K. Lines (MOL) of Japan; SITC Container Lines of China; and Wan Hai Lines of Taiwan.

Evergreen, which has 190 ships and some $4.6 billion in revenue, is also the fifth biggest shipping company in the world, according to MoverDB.com. NYK places No. 14 in the same list, while Wan Hai is at No. 19.

In 2015, it was named “Best Global Shipping Line” by Asia Cargo News at the Asian Freight Logistics and Supply Chain Awards for consistent excellence in customer service, innovation and quality of services provided. (RAV/HEE/MPD-SBMA)

PHOTOS:

[1] A tugboat nudges MV Cape Fulmar into position at the New Container Terminal-2 in the Subic Bay Freeport on Wednesday. The arrival of the container vessel marked the start of a Kaohsiung-Subic- Kaohsiung route for Evergreen Lines, the world's 5th biggest shipping line. (AMD/MPD-SBMA)

[2] Container trucks line up at the New Container Terminal-2 in the Subic Bay Freeport on Wednesday, as MV Cape Fulmar unloads cargo containers to mark the start of a Kaohsiung-Subic- Kaohsiung route for Evergreen Lines. (AMD/MPD-SBMA)

[3] Officials of the Taiwanese shipping giant Evergreen Lines proceed to the dockside at Subic’s New Container Terminal-2 on Wednesday to welcome the arrival of MV Cape Fulmar, which marked the start of a Kaohsiung-Subic- Kaohsiung route. (AMD/MPD-SBMA)

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Evergreen adds Subic to Korea-Taiwan-Philippines service

Taiwan’s carrier Evergreen will add Subic to its existing Korea-Taiwan-Philippines (KTP) service from next month, utilising Subic’s New Container Terminals 1 and 2 operated by Manila-based International Container Terminal Services, Inc. (ICTSI).

The addition of Subic to Evergreen’s KTP service will open the port to direct trade links with South Korea and Taiwan. The trade will also include transshipment service for overseas cargo.

Cargo unloading at the container terminal in Subic Bay Freeport

The first Evergreen container ship is scheduled to make its maiden call at Subic on 19 April. The weekly KTP service port rotation is Korea’s Incheon and Kwangyang, Taiwan’s Kaohsiung, the Philippines’ Batangas, Manila and Subic, and back to Kaohsiung.

Roberto R. Locsin, general manager of ICTSI subsidiary Subic Bay International Terminal Corp, commented: “Our inclusion in the KTP service is a clear indication that the markets of central and northern Luzon are growing, and will benefit from another large global carrier participating in this growth.”

In December 2016, the Taiwan Maritime and Port Bureau (TMPB) expressed interest to partner with the Subic Bay Metropolitan Authority (SBMA) to increase container transhipment traffic between the ports of Taiwan and Subic.

The Philippines has been able to capitalise on Taiwan’s ‘Southbound Policy’ which aims to strengthen trade and investment relationship between Taiwan and countries south of the latter’s territory.

Taiwan is the Philippines’ sixth biggest trading partner, facilitating around $7.85bn worth of bilateral trade in 2015. South Korea, on the other hand, is the Philippines’ fifth largest trading partner in 2015 with bilateral trade reaching $13.4bn in 2014.

Recently, SBMA has urged local government units around the Subic Freeport Zone to start developing industrial parks to accommodate the growing number of investors.

“We’re now seeing the results of our campaign to promote Subic. We are doubling our efforts to sustain the current momentum to ensure we don’t lose on the gains we have achieved in putting Subic at the center of economic growth in central and northern Luzon, ” said ICTSI’s Locsin. (Lee Hong Liang, Seatrade Maritime)

http://www.seatrade-maritime.com/news/asia/evergreen-adds-subic-to-korea-taiwan-philippines-service.html

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China’s JOVO prepares ship-to-ship cargo handling in Subic Bay

All is set for China’s leading clean energy service provider JOVO Group Company Ltd. Guangdong to commence its ship-to-ship (STS) operations here for liquefied natural gas (LNG).

The STS transfer operations involve mother vessels loaded with LNG which were transferred to vessels before shipping to ports of China.

A petroleum carrier that transports Liquefied Petroleum Gas (LNG) through ship-to-ship transfer

Subic Bay Metropolitan Authority (SBMA) administrator Atty. Wilma Eisma said that the SBMA Board of Directors recently approved the STS operations of JOVO in Subic Bay and preparations for the maiden voyage tentatively scheduled on the third week of April is in the progress.

“We are expecting more STS operators to use Subic Bay as their hub. Because it is more cost-effective due to its strategic location,” Eisma said.

SBMA Seaport General Manager Jerome Martinez said JOVO will bring LNG to the Philippines from Australia and Indonesia using a 94,000-ton mother vessel. While anchored, it will be transferred to smaller 47,000-tonnage feeder vessels and bring them to China.

In terms of revenue, it is expected that the Port of Subic will earn $500,000 from services, including tug boat services, port services and anchorage, chandlers, bunkering and food supplies.

Aside from JOVO, Martinez said that three more ship-to-ship service providers have expressed keen interest to operate in Subic Bay.

“There are actually four proponents of ship-to-ship operations that submitted letters of intent to operate here in Subic Bay,” Martinez said.

“They already presented their proposals to a committee, headed by SBMA director Cecille Bitare, which evaluates STS proposals prior to approval of the board,” Martinez added. (RAV/MPD-SBMA)


Read also: China’s Jovo to start ship-to-ship cargo handling in Subic

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