Lower transport, logistics cost to strengthen exports, DTI says

“Logistics is the backbone of export. By optimizing the movements of goods, business can ensure that their products reach their destinations on time and in good condition,” Jonathan Cabaltera, division chief of DTI’s Office of the Supply Chain and Logistics, said during Usapang Exports 2024 recently.

Cabaltera cited the implementation of Executive Order No. 41 prohibiting the collection of pass-through fees on national roads, identifying truck routes, the adoption of the e-airway bill, and a bill to reduce international shipping changes. He said the truck routes mapping project has been finalized with the United States Agency for International Development’s (USAID) Strengthening Private Enterprise for the Digital Economy (SPEED) program.

Cabaltera said House Bill (HB) 4933, or the International Maritime Trade Competitiveness Act, ensures that government agencies have better control over shipping charges imposed by international carriers.

HB 4933 requires carriers to publish and submit their shipping charges and fees to the Maritime Industry Authority, and prohibits international carriers from imposing unclear local charges or surcharges, he added.

Cabaltera further said the DTI and Bureau of Customs facilitate the implementation of the e-Airway Bill, a digital alternative to the traditional paper-based air waybill to enhance the speed, transparency, and security of air cargo processes.

To ensure an efficient logistics system, Cabaltera highlighted other initiatives including digitalizing the supply chain, increasing investments in logistics and infrastructure, and accelerating upskilling and reskilling. The DTI has awarded real estate advisory firm PRIME Philippines the contract to develop a national registry for warehousing. Its establishment includes their capacities, facilities and services.

“The availability of warehouses enables businesses to track their inventory in real-time, reducing the risk of stockouts and overstocking,” Cabaltera said. “(These also) ensure resilience of export operations in the face of disasters.”