LTFRB sets computation of rates for trucks at Port of Manila

LTFRB Chair Winston Ginez.

MANILA, Philippines—The Land Transportation Franchising and Regulatory Board (LTFRB) released on Tuesday the computation for rates of trucks-for-hire using the Port of Manila.

LTFRB said in its advisory to the public that trucking rates would be unbundled to so-called base charges and port congestion-related charges.

The base charges would be the last trucking rate agreed upon by the truckers and importers/consignees/exporters prior to the congestion of the Port of Manila as evidenced by their trucking or hauling contract, LTFRB said.

This includes 14 hours of waiting time that include delay in the warehouse due to loading/unloading of cargoes and issuance of gate pass, waiting to return empty containers at depots and detention at port to withdraw laden/empty containers.

On the other hand, the port congestion-related charges, which is on top of the base charges, shall be negotiated by and agreed upon by the truck operators and importers/consignees before they are imposed.

The LTFRB recognizes that due to the congestion of the Port of Manila (Manila International Container Port and South Harbor), truck operators have incurred other port-related charges due to the disruption of the completion of their period of engagement, the statement added.

“In consultation with truck-for-hire operators, importers, exporters, various chambers of commerce and trade associations and other stakeholders using the Port of Manila, we have decided to unbundle the trucking rates to make them fair and transparent,” LTFRB chair Winston Ginez said.

LTFRB noted that port congestion-related charges include truck detention charges where cargo trucks whether at warehouses or empty depots experience anticipated/expected delays in the return of empty containers.

Another is the cycle completion adjustment charges pertaining to adjustments in transaction flow and completion due to port congestion, restricted movements and limited time of operation.

When a truck returns or withdraws empty containers in depots in locations not within their route such as vicinities for example in Laguna, Cavite, and Bulacan, this will be treated as delivery and charged separately, according to the LTFRB.

Other conditions that would entail added costs to the trucking operations, such as the use of special equipment, alternative routes, irregular/erratic schedules, and other special arrangements as needs arise will also fall under other port congestion-related charges.

“We want to be fair with both the cargo operators and importers/consignees, hence we have come up with the advisory that can serve as a deterrent to truckers who are abusing the traders by imposing unreasonably high trucking fees,” Ginez added.

Ginez added that the high trucking fees had significant economic impact on consumers due to the pass-on charges imposed on commodities when they finally reached retail outlets.

RELATED STORIES

SBMA to send 16 containers back to Manila port

Subic-bound vessel helps decongest Manila ports