5 groups qualify to bid for Davao port project

MANILA, Philippines - The Department of Transportation and Communications (DOTC) announced yesterday that five groups are eligible to bid for the P18.99 billion Davao-Sasa Port Modernization Project under the public-private partnership (PPP) program.

In a bid bulletin, Transport Undersecretary Jose Perpetuo Lotilla said groups that are qualified to bid for the project are Asian Terminals Inc. – DP World FZE Consortium; Bollore Africa Logistics; International Container Terminal Services Inc.; Portek International Pte. Ltd. – National Marine Corp. Consortium with contractor Toyo Construction Co. Ltd.; and San Miguel Holdings Corp. – APM Terminals Management (Singapore) Pte Ltd. Consortium with contractors Hyundai Development Co. and Hanjin Heavy Industries & Construction Co. Ltd.

The project involves the development of the existing Davao-Sasa Port into a modern international-standard container terminal that will improve trade access to Mindanao and the Philippines.

The winning bidder of the project will finance the construction and modernization of the existing port. It will likewise be responsible for the operations and maintenance of the facility.

Earlier, the DOTC said it is looking to conduct the submission and opening of bids for the project in the fourth quarter following the qualification stage.

The issuance of the notice of award for the project is targeted in April next year.

The project is expected to address the estimated six percent annual increase in container traffic in the Davao region over the next 25 years.

The upgraded port is expected to reduce cargo unloading to three hours from three days by using modern ship-to-shore cranes and port operating systems.

The modernized facility is also seen to benefit exporters, particularly banana growers in Davao by saving at least P8,000 in trucking costs per delivery.