LTFRB orders unbundling of trucking rates

MANILA — The Land Transportation Franchising and Regulatory Board has unbundled the trucking rates for containerized cargo bound for or coming from the Port of Manila.

“In consultation with t ruck- 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,” Winston Ginez, LTFRB chairman, said.

As contained in LTFRB's advisory to the public, trucking rates will be unbundled to base charges and port congestion- related charges.

The base charges will be the last trucking rate agreed upon by the truckers and importers/ consignees/ exporters prior to the congestion of the Port of Manila as provided for in their trucking or hauling contract.

The base charges are inclusive of 14 hours of waiting time that include delay in the warehouse due to loading/ unloading of cargo and issuance of gate pass, waiting to return empty containers at depots and detention at port to withdraw laden/ empty containers.

Port congestion- related charges, which are on top of the base charge, shall be negotiated by and agreed upon by the truck operators and importers/ consignees before the additional rates are imposed.

According to LTFRB, truck operators have incurred other port- related charges brought about by the port congestion.

These 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 type of congestion- related charge is the cycle completion adjustment charge 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 located in locations not within their route, this will also be treated as delivery and charged separately.

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 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 said.

He said high trucking fees would have a significant economic impact on consumers due to the pass- on charge imposed on commodities when t hey finally reach retail outlets.