The long-term solution to persistent port congestion and the problems faced by truckers returning empty containers is for foreign shipping lines to establish additional empty container yards, Philippine Ports Authority (PPA) General Manager Jay Santiago said Thursday.

Santiago said the facilities would allow shipping lines to accommodate empty containers when their own yards cannot accept them, helping prevent delays and penalties imposed on truckers.

“Ang talaga pong solusyon po diyan sa problemang yan ay ang pagtatayo po ng mga karagdagang empty container yards po ng mga foreign shipping lines para ma-accommodate po yung pagbalik po ng mga empty containers na kani-kanila pong pasilidad at ng hindi po kumbaga hindi to natatanggihan yung pagsosoli po nung ating mga truckers diyan,” Santiago said in an interview with DZRH’s Dos Por Dos.

He also noted that this would help accommodate the return of empty containers to their respective facilities, ensuring that truckers’ returns are not refused.

Santiago said the PPA’s previous proposed solution, the TOP-CRMS (Trusted Operator Program–Container Registry and Monitoring System) project, was canceled and is no longer being pursued. The project had been intended to address recurring issues involving empty container returns.

He said a joint administrative order involving the Department of Finance, Department of Transportation, Department of Trade and Industry, Bureau of Customs and PPA is now pending with the Finance Department.

The proposed order would give Customs authority to relocate import containers that remain unclaimed at ports and require foreign shipping lines to relocate empty containers and open additional yards.

Santiago said empty containers are generally allowed to remain in the country for 90 days without tariffs or taxes because they are considered part of the vessels. After 90 days, Customs may impose taxes, tariffs or penalties, or seize the containers.

He said the problem is aggravated by the country’s trade imbalance, with more import containers entering the Philippines than export containers leaving the country.

Santiago said potential sites for additional empty container yards are available in areas such as Valenzuela, Bulacan, Cavite and Laguna. However, stakeholders must still determine who will shoulder the additional logistics costs.

Watch the full exclusive interview below: