As an archipelagic country, growth is concentrated in highly-urbanized regions like Metro Manila, leaving far-flung areas hungry for economic development.
Enter the Philippine Ports Authority—the agency tasked to make sure that ports effectively respond to economic times. PPA, since it was created in 1974, has evolved from mere port administration to a self-sustaining agency.
Among PPA’s major accomplishments are as follows:
-Modernization and Privatization of the Manila International Container Terminal (MICT)
Since the Razon-led company International Container Terminal Services, Inc. (ICTSI) took over the MICT, it has become the country’s major international gateway. It now has the capability to handle post-panamax vessels while port capacity has already reached at least 2.9 million TEUs. It now handles the bulk of the country’s foreign trade. The total investment poured in by ICTSI has already totaled P20 billion.
-Modernization and Privatization of the Manila South Harbor
The evolution of the Manila South Harbor is somewhat similar to that of the MICT. The South Harbor is the second gateway of the Philippines to the rest of the world. The Manila South Harbor also has the capability to handle post-panamax vessels and its capacity has already reached more than 1 million TEUs. Total investment to be poured in by operator Asian Terminals, Inc. is pegged at about $500 million until the late 2030s.
-Modernization and Privatization of the Manila North Harbor
Considered as the premier domestic port, the Manila North Harbor waited too long before it received its much-needed facelift. After two or more failed bids to privatize the terminal, PPA was finally able to find a taker for the North Harbor, the Manila North Harbour Port, Inc. (MNHPI)”•a joint venture between the Harbour Centre Port Terminals, Inc. and San Miguel Corp. MNHPI was awarded the contract in 2009. As of the moment, the North Harbor”•now known as the North Port”•now boasts of a world-class passenger terminal building while its cargo terminal is likewise being upgraded. Total investment committed to modernize the port in 25 years is P14 billion.
-Construction and Privatization of the Batangas Port
This port is considered as the alternative port outside of Manila. Government has poured close to P5 billion to construct this port. It is groomed to handle the spillover cargo of Asia’s cargo hubs like Singapore, Hong Kong, Malaysia, among others, for its 400,000-TEU capacity. Built in 2005, private operator Asian Terminals, Inc.-Batangas is slowly putting into place all the needed cargo-handling equipment as well as aggressively marketing the port to the international market to form its base cargo to lure more foreign direct callers at the port.
-Upgrade to world standards six (6) more ports to make sure that the Philippines is able to accommodate the increasing demands in the international markets. These include the ports of Iloilo, Cagayan de Oro, Zamboanga, General Santos, Ozamiz and Davao.