PHILIPPINE cargo carriers will impose a 31.91% hike in their bunker surcharge starting March 16 due to persistently high fuel costs.

This will translate to a P924 per twenty-foot equivalent unit (TEU) additional surcharge for Manila cargoes bound for Cebu or any Visayan port and back; and a P1,400 per TEU additional hike for cargoes shipped from Manila to any Mindanao port and back.

Members of the Philippine Liner Shipping Association (PLSA) said they are also compelled to adopt a higher surcharge due to low cargo volume and excess capacity in the local market.

Fuel expenses comprise a third of shipping lines’ operating cost.

The carriers had already announced their intention to impose a higher surcharge last month but informed the Maritime Industry Authority (Marina) only last week. Under Republic Act 9295 or the Domestic Shipping Development Act of 2004, shipping lines can only impose any upward adjustment in rates two weeks after informing Marina.

PLSA members include Negros Navigation, Solid Shipping Lines, NMC Container Lines, Oceanic Shipping Lines, Lorenzo Shipping Corp and Philippine Span Asia Carriers Corp.

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