TRANSPORT SUMMIT 2014

Helping Relieve the Port and Traffic Congestion in Manila

04.23.2014

Presented by:

Mr. Roberto V. Garcia

Chairman and Administrator
Subic Bay Metropolitan Authority

HISTORY OF SUBIC BAY FREEPORT ZONE

1951

1898

Spain discovered Subic Bay's natural deep harbor and soon built a naval fortress.

After the SpanishAmerican war, US Forces took control of the Spanish naval facility.

Subic during WWII

The famous Seabees started construction of the Naval Base Station.

1800 1942 1947 1800s 1909

Spanish Naval Station

1992 1992
The RP-US Military Bases Agreement
H O R I

The US Navy selected Subic Bay as a repair and supply depot.

The Japanese occupied Subic.

Turnover of Subic to the Phil. after the Senate rejected the extension of the Treaty and Mount Pinatubo erupted.

The Spanish Gate was the main entrance from the harbor to the inner Spanish Naval Station.
S U B I C B A Y M E T R O P O L I T A N A U T T Y

SUBIC BAY: 94 Years as a U.S. Naval Base

SBMA Charter
Since its inception in 1992, the Subic Bay Freeport has become one of the countrys premier showcases for economic development, a symbol of pride for every Filipino, and one of the most successful models of military base conversion in the world. SBMA Charter (RA 7227)
The SBMA shall promote the Subic Special

Economic Zone into a self-sustaining,

industrial, commercial, financial and investment center to generate employment opportunities in and around the zone and to attract and promote productive foreign

investments.

SUBIC BAY FREEPORT ZONE TODAY

The countrys first free port today is a thriving maritime, industrial and tourism zone.

1,800
90,092 5.23

Locators with US$9.3 billion total investments

Active free port zone workforce Million visitor arrivals in 2012

PORT OF SUBIC BAY

ISO 9001:2008 CERTIFIED

IMO ISPS CODE

PORT OF SUBIC BAY IS A SECURITY ASSESSMENTS AND PLANS COMPLIANT PORT
S U B I C B A Y M E T R O P O L I T A N A U T H O R I T Y

Subic is a complete port with 15 piers & wharves capable of handling all types of sea vessels
Redondo Peninsula

South China Sea

Camayan Wharf Nabasan Wharf

Subic Bay International Airport

Hanjin Heavy Industries Shipyard (240 ha) New Container Terminal Cubi Point

Naval Magazine Ecotourism Zone

Leyte Pier

Cubi
Rivera Wharf Boton Wharf POL Pier Sattler Pier Marine Terminal

Passenger Terminal

Central Area Ship Repair Facility

Bravo Wharf Yacht Club

Subic Bay Techno-Park

Boton Logistics Center

Naval Supply Depot (General Cargo)

Subic Bay Gateway Park (Phase 1)

Subic Bay Gateway Park (Phase 2)

Subic Bay Golf Course

PORT INFRASTRUCTURE
The Port of Subic Bay is complemented with port facilities and infrastructure that can support a wide range of businesses.
PIER / WHARF
Alava Wharf

USE
Foreign naval vessels, passenger ships, ferry boats and general cargo vessels (rice, corn, etc.) Tug boats and cargo ships Ferry boats, Philippine naval ships and landing of small watercrafts / general cargo (lumber, heavy lifts, livestocks etc.) and naval ships, cable ships, cargo ships and for ship lay-ups Ship repair facility Transshipment vessels, fishing boats and bulk cargoes, fertilizers terminal General cargo (rice, corn, etc.), RoRo, cargo ships and tug boats, tankers, fishing boats

PIER / WHARF
POL Pier Leyte Pier Fishermans Wharf Oil tankers Grain terminals

USE

Bravo Wharf Rivera Wharf

Yacht repair & refurbishing

Pure Petroleum Jetty used for discharging of diesel fuel Corporation

Nabasan Wharf Maritime training facility Camayan Wharf Eco-tourism area Grande Island Pier New Container Terminal Recreational area Containerized cargoes

Access Pier Boton Pier Marine Terminal

FACILITIES
S U B I C B A Y M E T R O P O L I T

Terminal Area: 26.32 hectares Berth Length of quay: 560 meters Number of berthing positions: 4 Controlling depth: 13 meters Container Yard Storage areas: 11.14 hectares Reefer stations: 84 units at 440 volts Gates Truck lanes: 6 Weigh bridge: 2 (60-ton capacity) Truck Holding Area: 0.7 hectares

New Container Terminal 1 & 2

NCT 1 & 2 HISTORICAL VOLUME

Shipment Import Export Transshipment Empty In Empty Out Total 2009 14,809 6,814 283 68 7,278 29,252 2010 17,496 7,772 393 115 8,543 34,318 2011 17,466 9,890 315 936 4,966 33,573 2012 19,147 8,166 759 815 7,417 36,304 2013 20,277 8,359 684 311 7,840 37,469

Thousands

40 35

30
25 20 15 10 5 0 2009 2010
M E T R O

2011
P O L I T

2012
A N A

2013
U T H O R I T Y

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WHY SUBIC CONTAINER PORT IS NOT FULLY UTILIZED

A chicken-and-egg situation prevails, limiting present capacity utilization to 6% only.
Only 2 shipping lines call regularly due to low cargo volume.
Central Luzon shippers do not come due to limited shipping calls.

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WHAT SBMA HAS DONE TO RESOLVE THE PROBLEM

Called the First Subic Maritime Summit in September 2012 Formed a Technical Working Group composed of various

stakeholders to carry out recommendations of the Summit

Worked closely with JICA on studies on how to increase capacity

utilization
Identified exporters and importers for Central Luzon
Marketed Subic Port aggressively Enacted domestic tariff for local shipping lines for companies that

ship from Subic to other domestic ports

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MANILA TRUCK BAN OR BANE?

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No need for Central and Northern Luzon cargoes to pass through Manila
JICA study shows that out of the 2.8 million containers passing

through the Port of Manila, 450,000 containers originate from or are destined for Central and Northern Luzon.
The increased cost of congestion by passing through Manila

results in higher prices of commodities.

Subic is the perfect gateway for Central and Northern Luzon.

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STRONG POINTS FOR PORT OF SUBIC

Strategic location ISPS compliant port Natural deep harbor Capable of handling all types of sea
vessels

World class and reliable infrastructure Skilled and service-oriented workforce

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ACCESSIBILITY

NORTH LUZON EXPRESSWAY (NLEX) A 84-km., 4 to 8-lane access toll expressway from Metro Manila to Central Luzon provinces and one the most modern infrastructure projects undertaken in the country over the past ten years.
S U B I C B A Y

SUBIC-CLARK-TARLAC EXPRESSWAY (SCTEX)

A modern four-lane, 94-km. highway from Clark to Subic up to Tarlac, linking three growth centers in the area: Subic Bay Freeport Zone, Clark Freeport Zone and Tarlac Industrial Park.

NCT 1 & 2 ACCESS ROAD A 3.6-km. access road, connecting New Container Terminals 1 and 2 to the Freeport s Argonaut Highway all the way to the Tipo Expressway, Subics nearest entry-exit point to and from Manila

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OPENING OF TARLAC-PANGASINAN-LA UNION EXPRESSWAY

TARLAC-PANGASINAN-LA UNION EXPRESSWAY (TPLEX)

An 88.5-km. four-lane expressway to serve as the extension of North Luzon Expressway (NLEX) and SCTEX from Tarlac to Rosario, La, Union
S U B I C B A Y M E T R O P O L I T A N A U T H O R I T Y

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ITS CHEAPER TO IMPORT INTO SUBIC

CHARGES Shipping Lines Ocean Freight (Kaoshiung) Terminal Handling Charge Cargo Handling-SBITC Stevedoring Arrastre Stripping/Stuffing Wharfage Fee Trucking Clark - Subic Clark - Manila TFCD- Processing Fee Per SAD Total Cost in US$ 12.50 US$1,001.79 US$1,142.26 Rate: $1 = Php44.00 US$140.47 12.3% 227.27 295.45 68.18 23% 60.78 39.76 69.18 12.75 91.26 84.70 179.50 11.80 30.48 44.94 110.32 -0.95 33% 53% 61% -8% US$450.00 129.55 US$350.00 129.55 (US$100.00) 0 -28% SUBIC RATE per 20-footer container MICT (Manila) per 20-footer container + VAT DIFFERENCE PERCENTAGE

NOTE: Ocean freight and trucking rates are negotiable.

S U B I C B A Y M E T R O P O L I T A N A U T H O R I T Y

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ITS CHEAPER TO EXPORT FROM SUBIC

CHARGES Shipping Lines Ocean Freight (Kaoshiung) Terminal Handling Charge US$320.00 129.55 60.78 US$220.00 129.55 91.26 (US$100.00) 0 30.48 33 -28 SUBIC RATE per 20-footer container MICT (Manila) per 20-footer container + VAT DIFFERENCE PERCENT VARIANCE

Cargo Handling-SBITC
Stevedoring

Arrastre
Stripping/Stuffing Wharfage Fee Trucking Clark - Subic Clark - Manila AEDS charge TOTAL COST IN US$

32.47
69.18 6.38 227.27

69.15
179.50 5.90

36.68
110.32 0.48

53
61 -8

295.45 1.70 US$847.33 US$990.81

68.18 US$143.48

23% 14%

Rate: $1 = Php44.00

FREE STORAGE: SUBIC - Import & Export: 10 DAYS MANILA - Import: 5 Days / Export - 4 Days
S U B I C B A Y M E T R O P O L I T A N A U T H O R I T Y

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ITS FASTER TO SHIP TO & FROM SUBIC

SHORTER DISTANCE
ROUTE Subic - Bataan Subic - Clark Subic - Pampanga Subic - Tarlac Distance ROUTE (Km) 20 Manila - Bataan 60 50 60 Manila - Clark Manila - Pampanga Manila - Tarlac Distance (Km) 123 85 65 125

SHORTER DELIVERY TIME

TO/FROM MANILA TARLAC

SUBIC Estimated Travel Distance (Km) Time (Hrs) 138 4

60 2.5

MANILA Estimated Travel Distance (Km) Time (Hrs)

125 4

BATAAN PAMPANGA ZAMBALES (IBA) CLARK

S U B I C B A Y

20 50 80 60
M E T R O

1.75 2.5 3 2.5

P O L I T A

123 57 210 85
N A U T H O

4 3 5 3
R I T Y

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SAY YES TO SUBIC

1) Lower cost 2) Faster turnaround time

3) Improved convenience / ease of doing business

One-day, one-stop-shop accreditation for cargo trucks Green lane for trucks at Tipo Sentry Gate 8-hour processing time by Bureau of Customs 6-hour processing time for issuance of gate pass by

SBMA Seaport Dept.

Subic Shuttle

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The SBMA is ready, willing and able to help relieve port and traffic congestion in Manila.

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END OF PRESENTATION THANK YOU