Cargo Handling and Port Operations Its Effect in The Philippine Economy

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Some of the key takeaways are that ports have always been important for trade and commerce, and Philippines still relies heavily on sea trade given its archipelagic geography. However, Philippine ports face challenges like smaller container traffic and slower growth compared to ports in other Asian countries like Singapore and Hong Kong.

Some of the challenges faced by Philippine ports compared to other countries in Asia include having a relatively small container traffic of less than 5 million TEUs annually, which is growing very slowly. In comparison, ports like Singapore and Hong Kong handle over 20 million TEUs annually. Philippine ports also have relatively low quality of infrastructure according to global competitiveness reports.

Cargo handling has evolved from being a purely manual activity to utilizing modern materials handling equipment. It now involves several operations from reservation and check-in counters to cargo sorting, loading and unloading using various equipment like cranes and forklifts.

Introduction:

Looking at Philippine history, Ports have been centers of


commerce that became vital to the survival of a community dating
back to the very beginning of maritime travel. Back then, trade
between neighboring nations was much more dangerous and
lengthy; they used simple equipments and techniques in carrying
goods from one area to another. And even in the modern times
Philippines is still striving to serve shippers who are trying to get
goods to the consumer safely and quickly.

Thus it is necessary to establish, develop, regulate, manage


and operate a rationalized national port system in support of trade
and national development. One who will supervise, control,
regulates, construct, maintain, operate, and provide such facilities or
services as are necessary in the ports. And to prescribe rules and
regulation, procedures, and guidelines governing the establishment,
construction, maintenance, and operations of all other ports,
including private ports in the country.

PHILIPPINE TRADE ECONOMY

As of 21st century, the country is member in several


international trade organizations including the APEC, ASEAN and
WTO. It was since 1980s, the Philippines have opened their
economy to foreign markets, and established a network of free trade
agreements with several countries. The United States is one of the
Philippines top trading partners. In 2010, according to US
Department of Commerce, trade between the Philippines and US
amounts to US$15.4 billion. US is also the Philippines largest
foreign investor, with foreign direct investment close to US$6 billion
at the end of 2009. (content, 2010)
Comparing Philippines to other Asias major exporting
countries, the total of Philippine container traffic is less than 5

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million TEU1s and is growing very slowly. Singapore, Hong Kong,
and Kaoshung ports handle over 20 million TEUs/year; Laem
Chabang (Thailand) and Klang (Malaysia) ports each handle about
5 million TEUs/year. The terminals at Manila (MICT and South
Harbor) handle about 3 million TEUs/year. Manila is ranked 90th in
the world in tonnage volume and ranked 36th in container traffic.
(Arangkada Philippines: Move twice as fast) (World Shipping
Article).
A number of factors can explain the weaker performance of
Philippine exports relative to exports of its neighbors. The trade
competitiveness map of the Philippines reveals why growth has
been constrained.
Over the last decade, there has been significant investment in
the development of the international ports of Batangas, Cagayan de
Oro (PHIVIDEC), Davao, and Subic. Their combined capacity has
almost doubled. GRP agencies have borrowed from JBIC to
develop the new ports in Batangas,Subic, and Cagayan de Oro and
will need to generate substantial port revenues to pay these loans
and to avoid the new facilities becoming white elephants.
Historically traffic has grown around 5% annually, but volume is
projected to increase by only 2-3% until world trade has fully
recovered from the financial crisis. While the new ports have
considerable capacity for future growth, the volume share of the
main NCR ports is not spread efficiently.
It suggests undertaking reforms and large investments to modernize
as many ports as possible.

1 The twenty-foot equivalent unit (often TEU or teu) is an inexact unit of cargo capacity often
used to describe the capacity of container ships and container terminals.

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Cargo Handling
Cargo handling as an activity has evolved from being purely manually
driven to an activity that is performed using the latest materials handling
equipment money can buy.
Ports in the Philippines have a relatively small number to make a
significant contribution to international trade but the quality of port
infrastructure rank for the Philippines in the WEF Global Competitive
Report2 is the lowest among the ASEAN-63. With proper equipment and
process in cargo handling it will reduce the traffic of containers in the port
and will avoid port congestion that slowed down trade and hampers
economic growth.

AIRPORT CARGO HANDLING PROCESS


It includes several operations like:
Reservation Counter
It means a counter where a passenger can purchase his/her ticket for
travel.

Check in Counter
The check in is normally handled by an airline itself or a handling
agent working on behalf of an airline.
Passengers usually hand over any baggage that they do not wish or
are not allowed to carry on to the aircrafts cabin.

2 The Global Competitiveness Report assesses the competitiveness landscape of


144 economies, providing insight into the drivers of their productivity and
prosperity. The report remains the most comprehensive assessment of national
competitiveness worldwide, providing a platform for dialogue between government,
business and civil society about the actions required to improve economic
prosperity. Competitiveness is defined as the set of institutions, policies and factors
that determine the level of productivity of a country. The level of productivity, in
turn, sets the level of prosperity that can be earned by an economy.

3 ASEAN-6 Indonesia, Malaysia, Philippines, Singapore, Thailand and Vietnam.

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Check-in is usually the first procedure for a passenger when arriving
at an airport.
The airline check-ins main function, however, is to accept luggage
that is to go in the aircrafts cargo hold and issue boarding passes.

Baggage Make up Area ( BMA )


Is the adjacent place of terminal building where the check-
in/registered baggage are segregated as per flight detail, reconciled
by the employee, and consolidated in trolleys and dispatched to the
RAMP(Region of Aircraft Movement and Parking)

Boarding gate

Region of Aircraft movement and parking ( RAMP )


FUNCTIONS ON RAMP:
Take all details like ETA (Estimated Time of Arrival), incoming load,
baggage weight and count, transfer baggage, SSR passengers
details and etc.
Report on the RAMP beforehand for checking GSE (Ground
Support Equipment).
Aligned step ladder.
Evacuate passengers.
Ensure anti-sabotage check (interior check of cabin by airlines
security staff)
Offload baggage and cargo.
Clean cabin of the aircraft.
Load catering.
Refueling.
Start embarkation.
Load outgoing baggage.
Tally with boarding gates employee
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Arrival
Before arrival of the aircraft, the arrival of staff must check action on
the following items:
Review all inbound messages.
Check ETA and display the same on the FIDS (Flight Information
Display System).
Check out aircraft registration and parking bay.
Check out for any special handling message
VIP/CIP/WCHR/UM. (Where VIP- Very Important Person, CIP-
Commercial Important Person, WCHR- Wheel Chair Till RAMP,
UM- Unaccompanied Minor).

Cargo ( Cargo Handling Process at Airport)


The goods (or consolidations) are received at the airlines handling
agent warehouse.
The handling agent will often be a separate company contracted by
the airline, but cargo handling can also be an in-house function of the
airline, especially at a major hub.
Also the airlines often offer their in-house cargo handling as a
commercial service to other airlines.
The handling agent takes care of the air cargo handling at the airport,
to and from the aircraft.
Depending on the kind of goods, destination (flight number) and
urgency, deliveryat the handling agent has to be done within a certain
norm-time before departure (TBD) of the aircraft, also called a slot or
a slot-time.

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PORT CARGO HANDLING PROCESS

Value added activitities range from:


Cargo loading and discharging
Industrial services in ports
Combining and separating cargoes
Up-to-date information on inventory and cargo movements
Stuffing/de-stuffing containers
Loading cargoes in crates and crates on pallets
Shrink-wrapping, labelling, weighing, repacking
Operational Functions
Facilitating arrival and departure of ships
Providing navigational aids and Vessel Traffic Separation (VTS)
facilities
Pilotage, tugging and mooring activities
Use of berths, sheds, etc.
Loading, discharging, storage and distribution of cargo
Facilitating supply chain logistics and management

CARGO HANDLING EQUIPMENTS


The form of cargo-handling equipment employed is basically determined
by the nature of the actual cargo and the type of packing used. The
subject of handling facilities raises the important question of
mechanization.

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BULK CARGO HANDLING EQUIPMENT

So far as dry bulk cargoes are concerned, handling facilities may be


in the form of power-propelled conveyor belts, usually fed at the
landward end by a hopper (a very large container on legs) or grabs,
which may be magnetic for handling ores,fixed to a high capacity
travel1ing crane or travel1ing gantries. These gantries move not only
parallel to the quay, but also run back for considerable distances, and so
cover a large stacking area, and are able to plumb the ship's hold.
These two types of equipment are suitable for handling coal and ores. In
the case of bulk sugar or when the grab is also used, the sugar would be
discharged into a hopper, feeding by gravity a railway wagon or road
vehicle below.
Elevators (US) or silos are normally associated with grain. They may be
operated by pneumatic suction which sucks the grain out of the ship's
hold.

SHIP UNLOADERS

FRONT LOADER BELT CONVEYOR HOPPER

SILO/ELEVATOR

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GRAB TYPE UNLOADERS LOADING BOOM

LIQUID CARGO HANDLING EQUIPMENT

The movement of liquid bulk cargo, crude oil and derivatives, from the
tanker is undertaken by means of pipelines connected to the shore-
based storage tanks.Pumping equipment is provided in the tanker
storage plant or refinery ashore, but not on the quayside. In view of the
dangerous nature of such cargo, it is common practice to build the
special berths a small distance from the main dock system on the
seaward side. Oil cargo is discharged from the ships tanks, via the
cargo piping system to the main ships manifold usually situated
amidships, on either port or starboard side. From there by means of
shore-based loading arms oil is transferred to the shore manifold and is
then distributed to shore-based storage tanks on the oil terminal. The
loading arm hose must be flanged oil-tight to the ships manifold so that
oil spills can be avoided.

TERMINAL MANIFOLD SHIP MANIFOLD

LOADING ARMS

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GENERAL CARGO HANDLING EQUIPMENT

With regard to general cargo (goods, merchandise, commodities),


also referred to as break bulk cargo, almost 90 percent of all such cargo
in most liner cargo trades today is containerized. Meanwhile the system
of dockers handling cargo will continue, but doubtless every effort will be
made to expand the already extensive use of various types of
mechanized cargo-hand1ing equipment. General cargo is handled by
cranes on the quay, floating cranes or by the ship's own cargo gear
(deck cranes, derricks, etc.). Attached to such lifting gear is a shackle
which links the crane or derrick with the form of cargo-handling
equipment being used. For most lifts a hook is used. There are
numerous types of tools or loose gear that can be attached to the
shipboard or shore-based lifting gear. They include the sling or strop,
which is probably the most common form of loose gear. Such
equipment, generally made of rope, is ideal for hoisting strong
packages, such as wooden cases or bagged cargo, which is not likely to
sag or be damaged when raised. Similarly, snotters or canvas slings are
suitable for bagged cargo. Chain slings, however, are used for heavy
slender cargoes, such as timber or steel rails. Can or barrel hooks are
suitable for hoisting barrels or drums. Cargo nets are suitable for mail
bags and similar cargoes that are not liable to be crushed when hoisted.
Heavy lifting beams are suitable for heavy and long articles such as
locomotives, boilers or railway passenger coaches. Cargo trays and
pallets, the latter being wooden or of steel construction, are ideal for
cargo of moderate dimensions, which can be conveniently stacked, such
as cartons, bags, or small wooden crates or cases.

CHAIN SLING CORNER CASTING


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CARGO NET HOOKS

LIFTING BEAM

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Cargo Handling Equipment or Lifting Gear (loose gear & cargo
tools)

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PORT/TERMINAL CARGO HANDLING EQUIPMENT

A lot of terminal or port cargo handling equipment is provided to facilitate


movement of the cargo to and from the ship's side and the transit shed,
warehouse, barge, railway wagon or road vehicle. These include two-
wheeled hand barrows and four-wheeled trucks either manually or
mechanically propelled, and mechanically or electrica1ly propelled
tractors for hauling four wheeled trailers. Ro-ro trailers are moved by
tug-masters or ro-ro tractors. There are also belt conveyors
mechanically or electrically operated, or rollers, all perhaps extending
from the quayside to the transit shed, warehouse, railway wagon or road
vehicle. Containers are loaded and unloaded by means of the quayside
container cranes, i.e. container gantries also called shiptainers.
Transtainers or stacking cranes, straddle carriers, van carriers, front
and side loading fork-lift trucks are used for moving and stacking
containers within the terminal up to five-high, i.e. five containers one
above the other. Mechanically powered straddle carriers are designed to
distribute containers on the quay and on the terminal.
Fork lift trucks (FLT) are mechanically or electrically operated and
fitted in front with a platform in the shape of two prongs of a fork; lifting
capacity varies from 1 to 45 tons. Clamps for reels and bales are
provided on some fork lift trucks.
On the docks various types of dockside cranes, level-luffing cranes,
mobile cranes etc. are used for moving and lifting packages. All the
vertical cargo movements are conducted by the lifting gear (lift-on/lift-off
equipment).
Roll-on/roll-off cargoes, i.e. containers and heavy loads on trailers,
roll on and off the ro-ro ship via stern, bow or quarter ramps. They are
lifted to various decks on board by means of scissor-supported
platforms. (Cheatham, 2013)

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PORT OPERATIONS
Port operations are a necessary tool to enable maritime trade
between trading partners. For Philippines to ensure smooth port operations
and to avoid congestion in the harbor it is inevitable to permanently
upgrade the ports physical infrastructure, invest in human capital, fostering
connectivity of the port and upgrade the port operations to prevailing
standards. Hence, port operations can be defined as all policies, reforms
and regulations that influence the infrastructure and operations of port
facilities including shipping services.

BAY SERVICE SECTION OR EQUIVALENT OFFICE


The Bay Service Section is in charge of boarding formalities and the
entrance and clearance of foreign vessels. It supervises and implements
security measures in the discharging/loading of import/export shipments as
well as to incoming/outgoing crew, passengers and visitors on board such
vessels.

The Bay Service Section shall be headed by a Chief, who shall have
direct supervision and control over all personnel therein. He shall issue
instructions to the Customs Senior Boarding Officer, and who shall in turn
be held responsible for their proper execution of the instructions given from
time to time and to render reports. (SECTION 1 CMO 22-2010)

DUTIES AND RESPONSIBILITIES OF CUSTOMS OFFICERS:

Customs Operations Officer III (Customs Senior Boarding


Officers)

A. Customs Senior Boarding Officer shall have the following duties and
responsibilities:
1. Board incoming foreign vessels outside the breakwater or harbor,
unless prevented by stress of weather. When boarding a vessel,

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the Customs Senior Boarding Officer shall be assisted by the
Customs Inspector assigned on a vessel.
During boarding formalities, only the Customs Senior Boarding
Officer and the Customs Inspector shall be allowed to enter the
Captains cabin unless the Captain chooses to give the boarding
information to the Customs Senior Boarding Officers outside the
Captains cabin.
2. Obtain from the Master of a vessel the necessary information as
required in BOC OPM Form No. 15 (Records of Vessel Boarded).
3. Seal sea stores in the presence of ships officer and the Customs
Inspector assigned on board. Under penalty of law, the Customs
seal so affixed shall not be broken while the vessel is within the
jurisdictional limits of the Philippines except when the vessel is in
port and only upon written application to withdraw supplies signed
by the Master and approved by Collector of Customs or his duly
authorized representatives. Only the Customs Senior Boarding
Officer, in the presence of the Customs Inspector, may break the
seal and allow the withdrawal of such quantities as may be
authorized, and re-seal the sea store compartment after such
withdrawal.
Sea stores when adjusted by the Collector of Customs to be
excessive or when duties assessed thereon are not paid, such
excess sea stores shall be treated as that provided for in Section
2530 of the Tariff and Customs Code of the Philippines, as
amended.
4. See to it that all Customs Inspectors and Customs Guards on duty
are in their proper prescribed uniforms. Unless the Customs
Inspectors are properly uniformed, the Customs Senior Boarding
Officer shall not allow their embarking on the launch and shall
report them as absent. In such cases, he can assign any available
unassigned Customs Inspector or if no Customs Inspector is
available, an acting Customs Inspector to take charge of the
vessel until a regular Customs Inspector assigned reports in
proper uniform. In case of necessity, the Customs Senior Boarding
Officer can temporarily take charge of the vessel until the regular
Customs Inspector is on board. In every case, the Customs Senior
Boarding Officer, shall, without delay, report his action to the Chief,
Bay Service Section (or its equivalent office).
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5. See to it that a Customs Inspector or Customs Guard assigned to
a vessel is provided with the necessary stationary and supplies.
He shall also see to it that Customs Inspectors have a copy of the
Tariff and Customs Code of the Philippines and a Manual for Port
Operations.

B. Report of Customs Senior Boarding Officers


1. Upon his return from an official trip in the bay, the Customs Senior
Boarding Officer shall transmit to the Chief, Bay Service Section
(or its equivalent office) all reports, entries and other documents
delivered to him by the Master, Agent or the Customs Inspector
assigned on board vessels.
2. He shall prepare and submit his trip report on BOC OPM Form No.
15 (Reports of Vessel Boarded) to the Chief, Bay Service Section
(or its equivalent office) and make reports of any deviation from
the assignment order issued to the Customs Inspectors and
Customs Guards. (SECTION 3 CMO 22-2010)

Customs Operations Officer I (Customs Inspectors)

A. Customs Inspectors shall have the following duties and


responsibilities:
1. Supervise the discharge and loading of cargo and to supervise
continuous surveillance to protect the interests of the Customs
Service, pursuant to Section 2202 of the Tariff and Customs Code
of the Philippines, as amended.
2. Be responsible for the proper disposal of all cargo and stores on
board vessels under their charge. It is their duty to see that no
cargo or stores of any description are discharged from, or received
on, the vessel without authority from the Collector of Customs, or
his authorized representative.
3. Represent the Customs Service in his official relations with the
passengers, ships officers, owners, agents and consignees, and
should see to it that the dignity of the service is not impaired.
4. Stay in the vessel to which he has been assigned until he is
relieved by proper authority, except as hereinafter provided, or it

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be necessary in the interest of the service that immediate action
be taken.
5. Honor any order, request, or permit of any description only from
the following named officials:
(a)Commissioner of Customs or Deputy Commissioner of
Customs;
(b)Collector of Customs or Deputy Collector of Customs;
(c) Chief or Asst. Chief, Piers & Inspection Division;
(d)Chief, Bay Service Section;
(e)Customs Senior Boarding Officers.
6. Endeavour to work in harmony at all times with Customs
employees of other divisions and with the immigration officers on
board with respect to the enforcement of immigration laws,
rendering assistance to those officials in the performance of their
duties. In case of Philippine registered vessels returning from
abroad, conducts mustering the crew, pursuant to Section 1011 of
the Tariff and Customs Code of the Philippines, as amended.
7. Cooperate with quarantine authorities in the enforcement of port
quarantine regulations promulgated by the Bureau of Quarantine
and shall give effect to the same, in so far as they are connected
with matters of shipping and navigation, pursuant to Section 605 of
the Tariff and Customs Code of the Philippines, as amended.
8. Familiarize themselves with the provisions of the Tariff and
Customs Code of the Philippines, as amended, Customs
Administrative Orders, Customs Memorandum Orders and
Circulars issued by the Bureau of Customs pertinent to their
duties.
9. Refer the matter to the Customs Senior Boarding Officer or Chief,
Bay Service Section (or equivalent office) for decision, in case he
is in doubt as to the proper action to be taken.

B. Specific Duties upon Assuming Charge of Vessel


1. It shall be the first duty of a Customs Inspector upon assuming
charge of a vessel, especially a passenger vessel, to immediately
assign a Customs Guard at each accommodation ladder or
gangway with the instruction not to allow persons to board the

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vessel without a written pass, excepting the stevedores to attend
to the discharging or loading of cargoes.
2. The Customs Inspector shall instruct Customs Guard assigned on
the gangway to conduct body searches, if necessary, on all
persons boarding or disembarking from the vessel.
3. While the vessel is docked at the pier or wharf, the Customs
Inspectors shall make periodic inspection to ascertain that all
ropes and cables from vessel to dock are provided with rat guards
and that adequate safeguards are employed, such as the covering
of the holes through which ropes and cable pass.
4. f the vessel docks at night, the Customs Inspector shall require
proper lighting at the gangway. (SECTION 4 CMO 22-2010)

Assistant Customs Operations Officer (Wharfingers)

1. At the Pier/CY-CFS
1. There shall be one Wharfinger In-Charge of each pier, who shall
be responsible for the efficiency an discipline of Customs
personnel under him;
2. He shall exercise effective supervision over the Arrastre
Contractors service regarding receiving, handling, custody and
delivery of cargoes;
3. He shall note carefully the condition of the fender piles and draft at
the piers and submit reports thereon;
4. He shall cooperate and assist other officers of the government
performing official function at the piers;
5. He shall supervise the cleaning of the piers and see to it that
garbage and obnoxious cargoes are disposed of promptly and
properly;
6. He shall cooperate with, and assist the Enforcement and Security
Service (ESS) in maintaining peace and order at the pier,
including the exclusion of unauthorized persons inside the pier
shed/warehouse and premises;
7. He shall recommend the transfer and shifting of cargoes from pier
to pier only, to government bonded warehouses inside and outside
the Customs premises;

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8. He shall process delivery permits and other types of Customs
permits; Vis a vis the official Receipt/Statement of Settlement of
Duties and Taxes (SSDT) issued by the Formal/Informal Entry
Division, prior to the release of cargo;
9. He shall, or thru his authorized representative, accept delivery
permits and other types of Customs permits officially hand carried
by official messengers of the Bureau and shall properly distribute
the same to concerned shed/warehouse Wharfinger where the
cargoes are stored;
10. He shall submit daily, weekly, monthly, and annual reports thru
proper channels, to the Chief, Piers and Inspection Division (or its
equivalent office);
11. He shall implement all lawful orders given to him from time to
time by proper customs authorities;
12. He shall submit report of Overstaying Cargoes to the Chief,
Piers and Inspection Division (or its equivalent office).

2. Outside CY-CFS (Off-Dock)


1. There shall be one (1) Wharfinger In-Charge of Outside CY-CFS
(Off-Dock) who shall be responsible for the efficiency and
discipline of Customs personnel under him;
2. He shall receive the Transfer Note, Inbound Container and Inward
Foreign Manifest from the Customs Guard;
3. He shall supervise the stripping of the containers;
4. He shall receive the Stripping Tally Sheet from the CY-CFS
Warehouseman;
5. He shall process the delivery permits and other types of customs
permits; Vis a vis Official Receipt/Statement of Settlement of
Duties and Taxes (SSDT) issued by the Formal/Informal Entry
Division prior to the release of the cargo;
6. He shall see to it that the cargoes are released and delivered only
to the proper parties in accordance with the marks, countermarks
and registry of the number carrying vessel;
7. He shall assign a Customs Guard, prepare and sign Transfer Note
as well as supervise the transfer of cargoes to the local ports,
economic zones and bonded warehouses either inside or outside
customs zone including coastwise transit cargoes and other places
designated by customs;

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8. In all cases of transfers of packed containers covered by
Warehousing Permits or other permits where duties and taxes
have not been paid, the container shall be sealed with a Customs
seal by the Wharfinger concerned in the presence of the Customs
Examiner concerned. Said Wharfinger shall see to it that the
containers transferred be underguarded until received at the
Customs Bonded Warehouse by the Customs Warehouseman
assigned thereat. If there is no Customs Warehouseman or
anybody authorized by the Collector of Customs to receive the
same, such containers shall remain underguarded continuously by
the Customs Guard until the same is property released by the
Bureau of Customs;
9. He shall maintain a logbook to record events such as examination
made, hold/alert order, notice of Warrant of Seizure and Detention
(WSD) and samples taken;
10. He shall report to the Collector of Customs within twenty-four
(24) hours from the time the article is deemed abandoned and
submit a monthly report Abandoned/Overstaying Cargoes to the
Office of The Chief, Piers and Inspection Division (or its equivalent
office). (SECTION 6 CMO 22-2010)

Assistant Customs Operations Officer (Designated Assistant


Wharfingers)

1. Each cargo shed/warehouse shall be under the direct charge and


supervision if an Assistant Wharfinger, who shall maintain his office
inside the shed/warehouse;
2. He shall prepare, rate, and submit rating of his pier shed/warehouse
Customs Guards to the Wharfinger In-Charge of the pier;
3. He shall supervise the opening and closing if the cargo
shed/warehouse. The keys shall be secured in his office and shall be
returned in the box provided for in the office of the Officer In-charge
of the pier after the shed/warehouse has been closed;
4. He shall not allow unauthorized persons inside the cargo
shed/warehouse with or without operation;
5. He shall process all delivery permits pertaining to his
shed/warehouse before authorizing delivery of cargo therefrom;

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6. He shall surprise closely the activities of the Customs Guards
assigned in his shed /warehouse;
7. He shall clear the pier berth of lighters and other obstruction during
the berthing and/or departure of vessel;
8. He shall assist the Wharfinger In-Charge of the pier and to execute all
his orders;
9. He shall prepare and sign Transfer Notes as well as supervise the
transfer of cargoes to the local ports, economic zones and bonded
warehouses either inside or outside Customs Zone including
coastwise transit cargoes and other places designated by customs;
10. He shall see to it that no inflammable, dangerous or obnoxious
cargoes are slowed inside the shed/warehouse;
11. He shall coordinate with the arrastre shed/warehouse security
personnel and Enforcement and Security Service (ESS) in the
prevention of pilferage of cargoes and other anomalies to defraud the
customs revenue;
12. He shall perform all functions that may be assigned to him from
time to time by superior authorities. (SECTION 7 CMO 22-2010)

Assistant Customs Operations Officer (Customs Guard)

A. At the Piers/CY-CFS
1. A Customs Guard shall see to it that no inflammable, dangerous
and obnoxious cargoes are discharged on the dock without proper
permit;
2. When assigned to deliver work, he shall scrutinize the delivery
permit properly processed and signed by the processing
Wharfinger;
3. He shall check carefully the load on the truck against the gate
pass issued in accordance with the mark, countermarks, registry
number and total number of packages;
4. He shall to it that all deliveries made are duly recorded on the
Customs Guard delivery sheet;
5. He shall see to it that the Wharfingers copy of the delivery permit
is retained and the same to be forwarded to the Wharfinger
concerned upon the completion of the delivery;

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6. When assigned as conduction guard, he shall see to it that the
cargo destined for transfer reaches its destination safely and the
covering transfer note properly signed by the
Warehouseman/Storekeeper or Wharfinger or Customs Guard
concerned, as the case may be.

B. On Board Vessel
1. A Customs Guard shall see to it that no person is allowed to board
the vessel without a written pass excepting the stevedores to
attend to the discharging or loading of cargoes at each
accommodation ladder or gangway;
2. He shall conduct body searches, If necessary, on all the persons
coming in and out of the vessel;
3. He shall perform Customs surveillance on board the vessel or on
cameras containing cargo in transit that has not been released
from Customs supervision;
4. He shall check cargoes being discharged from, or loaded on, a
vessel;
5. He shall act as courier on official business;
6. He shall see to it that no empty lighters may alongside the pier
without proper permit.
C. Outside CY-CFS (Off-Dock)
1. A Customs Guard shall assist the shed/warehouse Wharfinger on
supervising the receiving, handling, custody, delivery and stowage
of cargo inside the shed/warehouse by the arrastre operators, to
include witnessing the shipping/devanning and sign the Cargo
Shipping Report;
2. He shall assist the shed/warehouse Wharfinger in attending
inventory of bad order cargo and signed the Bad Order Inspection
Certificate issued by the arrastre operator.
D. Others
A Customs Guard shall perform any other work or function that may be
assigned to him from time to time by his superiors. (SECTION 8 CMO 22-
2010)

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Assistant Customs Operations Officer (Designated Customs
Gatekeepers)

1. A Customs Gatekeeper shall report punctually at the terminal gate


assigned to him and shall remain thereat until properly relieved or
otherwise directed to perform other duties by his superiors;
2. He shall not allow merchandise to pass through the gate without a
gate pass. He shall verify the genuineness of the said pass as well as
the signatures appearing thereon. He shall check the cargo covered
by gate pass as to marks number, quantity of packages and registry
number of the carrying vessel. He may hold the truck or merchandise
if he has valid reasons to believe that the merchandise is different
from what is shown in the gate pass, reporting the matter promptly to
the Wharfinger In-Charge of the pier where the cargo came from;
3. He must verify and see to it that all gate passes (customs copy) are
countersigned by the Wharfinger of the corresponding pier, where
applicable;
4. He shall see to it that the gate passes with alternative and/or
natations shall not be honored without the signature of the Pier
Superintendent and the Wharfinger;
5. He shall collect all gate passes which shall be submitted to the office
of the Wharfinger for reportorial purposes at the end of each working
day;
6. Customs Gatekeeper In-Charge shall supervise his men properly at
Customs Zone and pier gate, assisting them on whatever problems
that may arise, and if not resolved the same should be referred to the
Wharfinger in charge of the pier where the cargo came from;
7. Customs Gatekeeper assigned at the exit gates shall be required to
open all empty containers to verify whether they are indeed empty
and shall keep records of the approved requests/permits issued and
report any discrepancy to the office of the Wharfinger In-Charge.
(SECTION 9 CMO 22-2010)

REPORTING TIME OF CUSTOMS PERSONNEL

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The reporting time for Customs Senior Boarding Officers, Customs
Inspectors and Customs Guards are as follows;
1. Customs Senior Boarding Officers, Customs Inspectors and Customs
Guards not assigned to vessel shall report at, and stay in, the office
of the Chief, Piers and Inspection Division (or its equivalent office)
and observe regular working hours. They shall perform such duties
as may be assigned to them by the Chief or Assistant Chief of the
Division and the Chief, Bay Service Section (or its equivalent office).
2. Customs Senior Boarding Officers, Customs Inspectors and Customs
Guards assigned to vessels arriving before 6:00 a.m. and after 5:00
p.m. shall report for duty at least two (2) hours before the vessels
estimated time of arrival. (SECTION 10 CMO 22-2010)

PORT UTILIZATION SECTION


The Port Utilization Section supervises the receiving, handling,
custody, monitoring, movement and release of shipments at the
Piers/Customs Zone.
The Port Utilization Section shall be headed by a chief who shall perform
the following functions:
1. Supervise all Wharfingers, Assistant Wharfingers, Cuestoms Guards
assigned at Container Yards, Outside CY-CFS and Customs
Gatekeepers;
2. Act on all written reports submitted by the personnel under his
supervision;
3. Be responsible for the conduct, vigilance, efficiency, neat and clean
appearance of all personnel under him;
4. Require all Wharfingers, Assistant Wharfingers, Customs Guards,
and Customs Gatekeepers to be in complete uniform while on duty;
5. Assign his personnel properly apportioning their overtime as
equitable and as fairly as possible;
6. Exercise direct supervision over Customs Gatekeepers;
7. Inspect piers, wharves, warehouses, container freight and the
container terminal inside the Customs Zone as frequently as possible,
submitting to the Chief, Piers and Inspection Division (or its
equivalent office) such reports as may be necessary;

26
8. See to it that cargoes are transferred properly and promptly to
bonded carriers, bonded warehouse and private warehouses,
covered by proper transfer notes;
9. Recommend to the Chief, Piers and Inspection Division (or its
equivalent office), for the interest of the service and with consultation
with the Wharfingers In-Charge of the piers, the reshuffling of
personnel under him to the different piers;
10. Supervise the Wharfingers in the preparation, rating and
submission to the chief of division the performance rating of all
personnel under them. He shall rate all Wharfingers In-Charge of the
Piers;
11. Recommend any personnel who are deserving, capable and
willing pursuant to civil service rules and regulations for any
promotion that are subject to be filled up;
12. Implement all lawful orders given to him from time to time by
proper customs authorities with regard to his section. (SECTION 5
CMO 22-2010)

CONCLUSION:
Philippines with its archipelagic character, depends on seaports more
than countries with large continuous landmass. Since a high percentage of
domestic and international commerce and travel is by sea, the efficiency of
maritime transportation has become increasingly essential to national
competitiveness. These services and capabilities are costly and time-
consuming, as other countries Philippines has also been have been
diligent in making smart investments in their seaports, identifying critical
investment needed to remain competitive in a global market both for cargo
and tourism.
Underlying the inability of Philippine exports to keep pace with global
trends is a host of domestic problems, which include: unnecessary and
trade-impeding domestic regulations and government policies; high costs
and deficient infrastructures; limited availability of export financing,
especially for micro, small and medium enterprises; unstable supply of raw

27
materials; shortage of domestic skills matching industry requirements;
weak system of innovation in products and processes; and fragmented and
poorly funded domestic institutions promoting product quality and
standards. These problems have undermined the competitiveness of
Philippine exports and capacity of local producers to link up with the global
production network.
With efforts in improving its facilities, equipment and process in cargo
handling and port operations, Philippines can be at par with other countries.
Economic growth will be certain if we are globally competitive in these
areas since ports are now the backbone of global economy.

Bibliography
Arangkada Philippines: Move twice as fast. (n.d.). Retrieved September 6, 2015,
from Arangkada Philippines: Move twice as fast:
http://www.investphilippines.info/arangkada/seven-winners/infrastructure/seaports/

Cheatham, K. E. (2013). Handling equipment of Cargo. In K. E. Cheatham, Cargo


Management (p. 9). New Delhi,India: Random Publication.

content, E. (2010, March 29). Philippines Trade, Exports and Imports. Retrieved
September 8, 2015, from Philippines Trade, Exports and Imports:
http://www.economywatch.com/world_economy/philippines/export-import.html

World Shipping Article. (n.d.). Retrieved September 6, 2015, from TOP 50 WORLD
CONTAINER PORTS: http://www.worldshipping.org/about-the-industry/global-
trade/top-50-world-container-ports

http://www.manilatimes.net/trade-facilitation-customs-modernization-drive-trade-
growth/139827/
http://www.weforum.org/reports/global-competitiveness-report-2014-2015
Customs Memorandum Order 22-2010

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