The Board of Investments (BoI) has approved a P700-million shipping investment in Surigao province, in line with the Aquino administration’s efforts to improve the movement of goods in the country.
Trade and Industry Undersecretary and BoI head Adrian Cristobal said the project of local shipping firm Aviva Shipping Corp. would provide a much-needed boost in transportation infrastructure in the Northern Mindanao region.
He noted the “need to improve logistics facilities to make the country more competitive and the domestic supply chain activities more efficient and seamless.”
The Aviva project involves domestic shipping operations for landing craft transport (LCT) vessels. Under the plan, the company will acquire six LCT vessels that will be used for shallow waters and roll-on roll-off cargo operations. The vessels will have combined cargo capacity of 14,645 deadweight tons and 9,552 gross tons.
“Aviva will also help facilitate the transport of mineral products from mining companies operating in Surigao,” the BoI said.
Latest available data from the Philippine Ports Authority showed that the cargo capacity of ports in the country was 166 million metric tons as of the end of 2010, up 11 percent from 150 million tons in 2009.
The Philippines was ranked 52nd out of 155 nations as among the world’s best in trade logistics, according to 2011 World Bank’s Logistics Performance Indicators study. The Philippines was among the top performers in the lower middle-income category, together with India and Mexico.