Philippine Daily Inquirer
5:50 pm | Wednesday, March 12th, 2014
AFP FILE PHOTO
MANILA, Philippines — German firms operating in the country have joined repeated calls for Manila Mayor Joseph Estrada to lift the truck ban in key routes in Manila, stressing that this “regretful” policy will only cripple the country’s booming economy.
The German-Philippine Chamber of Commerce and Industry (GPCCI) explained in a statement that while the truck ban could provide immediate relief to motorists and residents, it would eventually result to job losses not only to truck drivers but to employees of companies adversely affected by the ban.
GPCCI general manager Nadine Fund quoted one of their member companies as saying that the truck ban would only “impact negatively for the commerce and industry of Metro Manila, nearby cities, provinces and the country as a whole due to regulated movement of goods and services.”
The truck ban policy, which was implemented starting last month, has reportedly been causing delays in deliveries, resulting in losses for manufacturers and retailers. Delivery of goods intended for the international market has likewise been delayed thus affecting the country’s export revenues.
GPCCI further warned that such a scenario could result in companies having to slow down as a result of lost hours in delivery time as well as unmet business commitments and activities, then leading to a shutdown of the shops and job losses.
Fund added that security costs would increase due to the additional safety measures required in delivery and in the process of checking for possible pilferage.
Such a situation, the group added, would put the Philippines at a disadvantage in competition with other business locations in the region, especially at a time of an impending economic integration of the Asean economies, set to happen by the end of 2015.
According to Fund, the new policy of the City of Manila is regretful especially at a time when German businessmen have increasing interest in the Philippine market.
Majority of the German investments are in trading, air and sea freight, cargo forwarding, pharmaceuticals, automotive, engineering and manufacturing equipment as well as textiles and clothing, thus making German firms one of the most affected groups by the truck ban.
“The city government should conduct a thorough study on how to ease the traffic in the city without disrupting businesses,” she pointed out.
Fund said they have already written letters of appeal to the city government of Manila, to reconsider the truck ban and to put forward proposals to help ease the traffic situation without causing much injury to local businesses.
One of the short term solutions, according to the GPCCI, would be the removal of illegally parked vehicles along major routes of delivery trucks and implementing efficient rules on parking.
A mid-term solution to the problem meanwhile is the use of Subic and Batangas ports for international cargoes, provided however that all the necessary infrastructures in and around those areas are in place.
The new policy in Manila bans eight wheelers and vehicles with a gross weight of above 4,500 kilos from plying Manila’s streets between 5 a.m. and 9 p.m. A temporary concession was offered by the city government, thus allowing trucks to ply streets between 10 a.m. and 3 p.m. during the next six to eight months.
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Tags: Air Freight , Automotive , Business , Cargo Forwarding , Engineering Equipment , foreign investments , german-philippine chamber of commerce and industry , GPCCI , Joseph Estrada , local government , Manila , Manufacturing Equipment , Nadine Fund , pharmaceuticals , Sea Freight , Trading , traffic , traffic management , truck ban
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