The Philippine Ports Authority (PPA) has granted International Container Terminal Services Inc. (ICTSI) a 25-year concession contract for the development and operation of the Iloilo Commercial Port Complex (ICPC) in Western Visayas.
This represents a significant stride in the transformation of ICPC into a modern, efficient, and premier gateway for the region, according to a statement.
ICTSI was awarded the contract as the sole bidder under PPA Administrative Order (AO) No. 03-2016, also known as the Port Terminal Management Regulatory Framework (PTMRF).
Furthermore, the commencement of ICTSI’s operations at the facility will occur following the signing of the contract and the issuance of the Notice to Proceed by PPA.
“We are elated and grateful to be entrusted with the redevelopment of the Iloilo Port.  We recognize the port’s pivotal role in driving Iloilo’s economic and social growth. Our comprehensive proposal outlines significant investments in infrastructure upgrades, cargo-handling equipment, and operational efficiency measures, all aimed at transforming the Iloilo Port into a premier gateway,” stated Christian R. Gonzalez, ICTSI executive vice president.
Situated at the heart of Iloilo City, the Iloilo Commercial Port Complex (ICPC) serves both the province of Iloilo and the entirety of Panay Island within the Western Visayas region of the Philippines. Unlike the older port facilities located on the Southern coast of Panay Island in Panay Gulf, ICPC boasts a strategic location that benefits from the protection provided by Guimaras Island against storms, making it an ideal harbour for ships and vessels.
Following the handover to International Container Terminal Services Inc. (ICTSI), the facility will be renamed Visayas Container Terminal (VCT) and is considered a crucial trade gateway for the Western Visayas region. Despite its strategic importance, the full potential of VCT has been hindered by capacity efficiency constraints. ICTSI’s involvement is aimed at addressing these challenges directly, unlocking the economic potential of the port.
According to a statement, VCT currently features 627 meters of operational quay length and 200,000 m2 of land designed for container and general cargo storage, warehousing, and various cargo-handling activities. With the contract signing, ICTSI plans to focus on enhancing terminal productivity and service quality. This involves substantial investments in the development and rehabilitation of terminal infrastructure, as well as the deployment of advanced cargo-handling equipment.
“With its impressive track record, ICTSI is well-positioned to efficiently manage the ports and address the longstanding congestion issues plaguing our ports, which have deterred potential investors. Â The decision to partner with ICTSI is a significant step forward in transforming VCT into a modern, world-class port facility and accommodating more domestic and international shipments. This will position Iloilo as a key driver of economic progress in the Philippines,” explained Franklin Drilon, former senate president.