ICTSI allots $65 M for new MICT yard facilities

MANILA, Philippines - The International Container Terminal Services, Inc. (ICTSI) is alloting $65 million for the construction of new yard facilities at the Manila International Container Terminal (MICT) and a new inland container depot (ICD) in Laguna, amid an expected surge in trade.

“ICTSI’s Board of Directors has approved the $35 million capital expenditures for MICT,” the firm said in a disclosure to the Philippine Stock Exchange yesterday.

Apart from the investment for the MICT, the firm said the board has also approved a budget amounting to $30 million for the remaining 15 out of a total of 21 hectares of the ICD.

The total approved amount forms part of the $310 million estimated capital expenditures for the entire ICTSI Group.

The investments are being made as ICTSI anticipates a surge in trade and a sustained growth of the Philippine economy following approval from the government to develop more yard and road infrastructure.

Earlier, ICTSI head for Asia, Pacific and the Sub Continent Christian Gonzalez said the ICTSI is fast-tracking the MICT expansion and ICD to add more than 20 percent to the existing static yard capacity.

The additional capacity is intended for the expected 40 percent increase in cargo movements following the lifting of the truck ban in the City of Manila and greater trade.

The completion of the new yard is expected to raise the overall capacity of the MICT to three million twenty foot equivalent units (TEUs) and Asian Terminal Inc.’s South Harbor to 1.2 million TEUs.

Furthermore, the expansion at the MICT and the ICD would be complemented by ICTSI’s plan to raise the capacity of its Subic terminals to make Subic as Northern and Central Luzon’s next gateway port.

ICTSI and partner lines are connecting Subic to Japan, Singapore, China, and even to Europe and the Middle East.

The ICTSI said earlier it is also has plans of building a new berth.

A new berth is seen vital in addressing the expected economic expansion in the coming years and the firm is hopeful the government would revisit the plan.