THE Philippine Ports Authority (PPA) has downgraded its 2010 cargo volume forecast to an increase of less than 5% for most ports under its jurisdiction.

PPA said the downgrade reflects the continuing adjustments being made as a result of the global economic storm. International analysts have suggested the crisis will continue to bite into the shipping industry next year.

“While we finished 2009 on target, we are not sure we can duplicate that this year since international cargo volume is still volatile even if domestic volume is steady,” said PPA assistant general manager for corporate and special project and concurrent Visayas Port District manager Raul Santos.

“The continued decline in the country’s import and export cargo has (affected) cargo volume performance since last year,” Santos said, adding that PPA does not expect volumes to return to pre-crisis levels anytime soon.

Poor cargo volumes have resulted in shipowners cutting capacity. Global port traffic volumes are expected to drop by another 10% this year, according to Drewry Shipping Consultants.

Singapore, the world’s largest container port, witnessed a fall in container volumes of about 19% this year, Shanghai 13%; Hong Kong, 23%; Kaohsiung, 23%; Antwerp, 16%; and Rotterdam, 18%.

Drewry Shipping Consultants said global container port operators will have to wait until 2012 for annual throughputs to exceed the 525-million TEU mark registered in 2008.

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