Monday, July 21, 2025

Business sector hopes PBBM’s SONA to include logistics bills in his priority legislative agenda

The business sector is hoping that President Marcos Jr’s State of the Nation Address (SONA) will include in his priority legislative agenda the passage of three pending bills —International Maritime Trade Competitiveness Act, CAAP Charter amendment, and PhilPorts Act – to address long standing inefficiencies in Philippine logistics.

The Philippine Chamber of Commerce and Industry (PCCI) and Philippine Exporters Confederation (PhilExport) are two of the country’s business groups strongly pushing for the passage of the three bills into law. President Marcos will deliver his fourth SONA on July 28, 2025.

PCCI Eunina “Nina” Mangio said the enactment of the three bills would mean cheaper, faster shipping, and more competitive prices of Philippine products abroad. For importers, she said, this means reduced delays, resulting in lower inventory costs.

For investors, they can invest through public private partnership (PPP) arrangements for airport and seaport modernization projects, thereby attracting more foreign direct investments into the country for manufacturing operations with improved logistics.

For instance, Mangio said that the bill on International Maritime Trade Competitiveness Act will address the high shipping costs to and from the Philippines by ensuring that charges are reasonable and based on international best practices.

“This bill will provide competitive tariff rates to match other countries in the region like Singapore and Malaysia; streamlines customs procedures by implementing 24/7 electronic processing to reduce cargo clearance times,” said Mangio.

In addition, once passed, the law will allow foreign vessels to transport domestic cargo between Philippine ports (currently restricted to local ships) lowering shipping costs, and encourage PPP to upgrade ports.

On the  CAAP Act amendment, Mangio said the bill mandates for continuous upgrade and modernization of airports to meet international standards and encourages PPP in regional airports.

Meantime, the PPA Act amendment or PhilPorts Act decouples the regulatory and developmental functions of the Philippine Ports Authority (PPA) by allowing local government units and private operators to manage regional ports (currently PPA-controlled) and standardizes charges to prevent arbitrary fees.

Sergio Ortiz-Luis, Jr.
President
Philippine Exporters Confederation

PhilExport President Sergio Ortiz-Luis, Jr. said that PPA should focus on port development while the Maritime Industry Authority takes over its regulatory functions.

“For now, it’s a dual role for PPA. Let the regulatory powers remain with PPA, but not the rate setting function because it is conflict of interest,” he said.

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