CV accounts for 23.5% of Phl Q1 trade volume
Central Visayas saw a robust trade activity in the first quarter of 2018, reflecting the continued growth of its economy.
Latest Philippine Statistics Authority (PSA) data showed that Central Visayas – composed of Cebu, Bohol, Negros Oriental and Siquijor – accounted for 23.5 percent of the total quantity of traded commodities in the country.
Among the regions, Region 7 posted the highest quantity of traded commodities through the region's seaports and airports with 1.20 million tons during the first three months of 2018.
Cebu, being the region's trading center, contributed significantly to this growth.
Central Visayas also ranked second in terms of outflow trade value at P35.15 billion.
Outflow refers to the total value of commodities, which goes out of the region while inflow refers to the total value of goods coming in the region.
In terms of inflow value, Central Visayas had the highest value amounting to P30.93 billion or 17.7 percent share to the total inflow nationwide.
Region 7 also posted a favorable trade balance of P4.25 billion, showing it was trading more goods out of the region than taking in.
Earlier, Mandaue Chamber of Commerce and Industry vice president Steven Yu expressed optimism that Cebu, the region's trading hub, will see more growth in terms of trade once the new Cebu International Container Port will be completed.
"I believe that this project is long overdue. Cebu badly needs this project to ease congestion, increase efficiency and reduce total logistics costs," he earlier said.
The port project is seen to further bolster Cebu as a trading hub in southern Philippines, having long been the trading center in Visayas and Mindanao.
The Philippines and South Korea earlier signed a $172.64 million loan agreement for the construction of the new international container port in Cebu that aims to free up the existing seaport in the province and provide a more efficient and reliable transport infrastructure for the unimpeded flow of goods and services in the Visayas.
The Cebu port project has a total estimated project cost of P10.1 billion (approximately $199.25 million) and will be built on a 25-hectare reclaimed land in the town of Consolacion in Cebu.
It will include a berthing facility with a 500-meter quay wall length that can simultaneously accommodate two 2,000 TEU (Twenty-foot Equivalent Unit) vessels; operating facilities and structures for containers such as a freight station and inspection shed; an access road and bridge; and a dredged waterway and turning basin.
Aside from the construction of physical structures, the loan also covers the procurement of cargo handling equipment and consulting services.
KEXIM-EDCF will extend the amount of $172.641 million (approximately P8.8 billion or 186.97 billion Korean Won) for the Port project with a preferential interest rate of 0.15 percent per annum for nonconsulting services and zero percent for consulting services.
The loan has a maturity period of 40 years inclusive of a 10-year grace period. The Philippines, for its part, will provide a counterpart fund of $26.09 million (about P1.4 billion or 28.9 billion Korean Won) for the project.
Meanwhile, domestic trade nationwide rose in total value by 6.1 percent to P174.88 billion. In volume terms, domestic trade grew 5.4 percent to 5.11 million tons.