THE government is allocating P2.04 billion to acquire 24 vessels for lease or sale to roll on-roll off (ro-ro) vessel operators.
The amount is 200% higher than what was set aside last year. It will be released through the NDC-Maritime Leasing Corp (NMLC).
Under the program, ro-ro operators availing of vessels 15 years or younger which will serve missionary routes will receive a five-year exclusive right to such routes.
Last year, NMLC had difficulty marketing its program due to limited funds until the Development Bank of the Philippines, which also offers ro-ro loans under its Sustainable Logistics Development Program, acquired NMLC.
At present, there are 92 ro-ro-capable ports, with more expected within the year.
A total of 68 ro-ro routes are being served by 49 shipping companies operating more than 250 ships.
In a presentation during the recent Strong Republic Nautical Highway conference in Cagayan de Oro City attended by President Gloria Macapagal-Arroyo, NMLC president Agustin Bengzon said the ro-ro sector offered big investment opportunities.
NMLC offers a 5% fixed interest rate for loans covering vessels plying missionary routes and 10% for commercial routes.
