The Philippine Ship Agents Association (PSAA) urges the national government to review the Joint Venture Agreement (JVA) between the Subic Bay Metropolitan Authority and Harbour Centre Port Terminal, Inc.

In a statement, the PSAA said the agreement "will only lead to a monopoly of cargo handling services in the Alava, Bravo, Riviera, Boton, and NSD Compound piers/wharves in the Subic Freeport Zone."

“We, Philippine Ship Agents Association, is opposing the implementation of a joint venture agreement between the Subic Bay Metropolitan Authority and Harbour Centre Port Terminal, Inc. The PSAA is imploring the government to review and reconsider the implementation of the JVA,” the statement read. 

“There are numerous reasons why the monopoly that would result from the JVA would violate existing laws – from the Philippine Constitution that prohibits monopolies and restraint in trade, to national laws that seek to eliminate red tape, promote competition and competitiveness, to international best practices ensuring fair prices, quality service, and continuous sectoral improvement,” it added.

But more than what the PSAA describes as legal violations, the group said the agreement would result in other consequences that would be "detrimental to the national and local economy, the shipping and logistics industry, the people of Subic, and the general public."

The PSAA argued that monopolies disregard public interest because they reward inefficiency, stifle innovation, drive up the cost of business, and harm consumers by limiting their choices and consigning them to bad options.

It also said that the JVA was in fact, “been struck down years ago for being infirm.”

“We urge authorities to heed the PSAA’s plea and reconsider the implementation of the JVA. Ultimately, it will be the people who will suffer the profound and long-term consequences of the impending monopoly in what is otherwise a thriving economic center,” the statement read.