The pre-qualification process for the Department of Transportation and Communications’ (DOTC) Davao Sasa Port Modernization Project begins Wednesday, July 29, with six local and foreign firms having expressed their interest in the project.
The Sasa Port modernization project is the first Public-Private-Partnership (PPP) project in Mindanao.
“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 Emilio Abaya said.
DOTC said on Tuesday that six firms have purchased bid documents for the project, namely Anflocor, Netherlands-based global operator APMT, Asian Terminals Inc., French conglomerate Bollore, Singapore-based Portek and San Miguel Corp.
The submission and opening of bids is targeted in the fourth quarter this year while awarding is targeted in April next year.
Once the initial phases of the project are completed in 2018, the Sasa Port will reportedly be comparable to the country’s top ports in terms of speed and quality of service, cutting down cargo unloading from three days to three hours by using modern ship-to-shore cranes and port operating systems.
The Davao Region thrives in banana exports, being the second largest banana exporter in the world. A study conducted by the International Finance Corporation (IFC) and the Development Bank of the Philippines (DBP) shows that container traffic in the Davao Region is projected to increase by at least six percent annually over the next 25 years.
Without the added capacity of a modernized Sasa Port, there will be a strong chance of shortage in port capacity in Davao which may affect small to medium banana growers who may not be able to export their bananas.
Besides added capacity, the proximity of the Sasa Port to banana plantations will help growers save at least P8,000 in trucking costs per delivery, the DOTC said.
