Davao port project attracts 6 firms

Six firms, led by San Miguel Corp. (SMC) and French conglomerate Bollore, have expressed interest in the Davao Sasa Port Modernization project.

In a statement, the Department of Transportation and Communications (DOTC) said these companies are Anflocor, Netherlands-based global operator APMT, AsianTerminals Inc., French conglomerate Bollore, Singapore-based Portek and San Miguel Corp.

These companies are set to submit their qualification documents for the public private partnership project today.

“This shows the enormous potential of the Davao region. The construction of a modernized port in Sasa will help meet the growing demand for world-class port services in Davao,” DOTC Secretary Joseph Abaya said.

The project involves the development of the existing Sasa Port in Davao City into a modern, international-standard container terminal.

It is expected to improve trade access to Mindanao and the Philippines by providing a dedicated containerized port in the region as well as support the growth of the agro-industrial sector.

The government is aiming to conduct the submission and opening of bids for the project in the fourth quarter this year, while the award is targeted in April next year.

Once the first phase of the project is completed in 2018, the Sasa Port will be comparable to the country’s top ports in terms of speed and quality of service.

In particular, it will reduce cargo unloading to three hours from three days at present, by using modern ship-to-shore cranes and port operating systems.

According to a study of the International Finance Corp. and the Development Bank of the Philippines, the project is also expected to help meet the projected six percent annual increase in container traffic in the Davao region over the next 25 years.

Without the added capacity of a modernized Sasa Port, there will likely be a shortage in port capacity in Davao bay which may affect small and medium banana growers.

The Philippines is the second largest banana exporter in the world, while Davao is the top banana grower in the region.