Slow docs processing worsens port problems

CEBU, Philippines - The Philippine International Seafreight Forwarders Association is calling on the government to fast track the processing of compliance requirements because delays have contributed to the port congestion problems.

PISFA-Cebu president Carmel Salvador said that unlike in Manila, the port congestion problem in Cebu is still manageable but the process have been slowed down by the deluge of compliance requirements imposed by different government agencies such as the Department of Trade and Industry and the Food and Drugs Administration, among others, on the traders.

“We don’t have problems on compliance because businesses/importers are willing to comply, but we just need a fast and efficient processing because this is business,” said Salvador.

For every food item for instance, it would take at least 88 days to get a registration from FDA and this is considered “absurd.”

Already, because of the initial persuasions made by PISFA-Cebu, along with the Cebu Chamber of Commerce and Industry, Mandaue Chamber of Commerce and Industry, Brokers Association, the FDA office in Cebu led by director general Kenneth Go opened a registration window for Cebu importers, that way they no longer have to transact with the head office in Manila.

Although this has given relief to importers, Salvador said that industry players are pleading for faster processing of documents for a faster flow of imported goods to the market, especially that “ber” months are expected to hike up the demand and cargoes arriving will eventually double in number.

Earlier, wine importer and business leader Gordon Alan “Dondi” Joseph echoed the sentiments of other businessmen stressing that the country’s port congestion problems have already hurt the country’s industry players.

With the onset of the “ber” months, the threat of product shortage, price increases in most consumer goods are expected, while port congestion problem worsens, he said.

Some companies have already put in additional charges to products and services with the rise of business costs. With more products stuck at the port resulting to shortage, prices of consumer goods are seen to rise.

Importation of food – like fruits, poultry and other meat products – is unlikely to increase in volume in the “ber” months due to the continuing port congestion, a group of truckers, importers and brokers said in a recent pronouncement.

A drop in the number of imported goods is expected since many shipments from Singapore, China, and Hong Kong have yet to reach Manila ports.

Starting this September, importers intend to get hold of their cargoes ahead of the Christmas holidays. The latter part of the year is one of the busiest periods for businesses, in which the collection shortfall is expected to be offset.

According to Joseph importers like him have to pay at least $220 per container because of the delay. This does not include other bureaucratic red tape fees. (FREEMAN)