Marcos tells DPWH, DOTr: Improve roads to prevent El Niño supply threats
MANILA — President Ferdinand Marcos Jr. said Thursday the government was improving road networks and transport systems to address challenges in the country’s logistics sector and prevent supply disruptions as the threat of ‘Super’ El Niño loomed.
Marcos said this during the grand opening of the global logistics company United Parcel Service (UPS) Clark International Air Hub in Pampanga on Thursday, October 15, which he described as an “important milestone” in strengthening the country’s logistics network.
The chief executive noted that the country suffers from high costs of moving goods, which account for up to 27 percent against sales, one of the highest in Southeast Asia.
“We have to deal with congested ports, inadequate road networks and insufficient cold chain facilities contributing to delays, the increase in costs and ultimately, this affects the prices paid by our consumers,” he said in his speech.
To solve these issues and “better connect” agricultural production areas to ports and businesses, Marcos said the Department of Public Works and Highways and Department of Transportation were working to improve roads, bridges and transport systems.
“Sec. Banoy, please take note,” Marcos told Transportation Secretary Giovanni Lopez who was sitting in the audience.
“As we prepare for the effects of Super El Niño, our synergistic efforts become even more vital. By promoting the timely movement of food and other basic commodities, we can help prevent supply disruptions, ease pressure on prices, and ensure that necessities remain accessible to Filipino households,” he added.
The president also touted the proposed Subic-Clark-Manila-Batangas Railway that aims to link major ports of Subic, Manila, and Batangas through an integrated freight network.
“These efforts are important steps forward. But we must also recognize that progress must be measured by whether Filipino consumers gain better access to the products that they need,” Marcos said.
He also ordered the Bases Conversion and Development Authority and the trade department to “report every unfinished Clark investment with an opening date” to ensure timely opening of projects.
“Big investments like this, however, are often announced but slow to finish. But this is being changed. When an investor promises a project, it is our job to ensure it opens on schedule. This one certainly did,” he said.
Marcos encouraged investors to continue working with the Philippines to strengthen domestic and international logistics connectivity, as he assured that his administration is “creating a more conducive business environment.”
“Your investments in the Philippines help expand our productive capacity, create employment, and connect our enterprises to regional and global markets,” he noted.
The 30,000 square-meter UPS hub is more than 15 times the size of its previous hub in Clark, with the supply chain company investing over $80 million.
The new hub increases its average volume of packages processed in a day from 5,000 to 46,000 as well as maximum processing capacity from 1,250 to 15,000 packages per hour.
The facility, the UPS said, led to the creation of “nearly 600 new jobs across roles including operations, security, IT and mechanics,” noting that many were filled by people from Pampanga and the surrounding areas.