Business groups in Cebu urge caution on proposed cargo fee increase

CEBU CITY, Philippines. – Business groups in Cebu urged port officials to defer a proposal to increase domestic cargo fees, warning that a steep hike could raise logistics costs and eventually push up prices of goods.

The Cebu Chamber of Commerce and Industry (CCCI) and the Mandaue Chamber of Commerce and Industry (MCCI) recognized the need to keep port operations financially sustainable.

But both questioned whether the proposed increase is justified and timely.

READ ALSO: Cebu port mulls hiking cargo handling fees

“A 25 percent increase is significant and could add to logistics and distribution costs, with potential implications for the cost of doing business and, ultimately, consumer prices,” the Cebu chamber said.

Defer increase, Cebu business groups ask

CCCI recommended that the CPA defer implementation while conducting a fuller review of the proposal.

Should an adjustment proceed, the chamber said it should be “reasonable, proportionate, transparent, and preferably calibrated or phased.”

MCCI President Barbara Gothong-Tan echoed the concern, noting that domestic cargo handling is a critical part of an economy that relies heavily on inter-island freight and roll-on/roll-off shipping.

“Logistics is an essential component of the supply chain, and higher logistics costs ultimately have implications for the prices of goods, and consequently consumer purchasing power,” Tan said.

Cargo fee increase may not be timely

Tan said that businesses are already dealing with weaker demand, higher operating costs, rising wages and elevated fuel prices, while the anticipated El Niño adds another layer of uncertainty.

MCCI also cited the Philippine economy’s 2.3 percent growth in the second quarter of 2026 as a reason for caution and called on the CPA to determine whether the proposed adjustment is “truly timely and necessary.”

The chamber said it would continue engaging with stakeholders to push for a “balanced approach” that would keep port operations sustainable without placing an undue burden on businesses and consumers.

Cargo operators’ request

The Cebu Port Authority (CPA) is considering the across-the-board tariff adjustment following a formal request from the Port of Cebu Association of Cargo Handling Operators, Inc. (PCACHOI).

Cargo operators cited rising operating costs, inflation, higher wages and fuel price volatility as reasons for seeking the increase.

The CPA held a public consultation on the proposal last Friday, Aug. 14, at its Social Hall A and via Facebook livestream.

In the meantime, port authorities stressed that no decision has been made on the proposed increase.

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