Trade and Industry Secretary Alfredo E. Pascual is pushing for the revival of direct flights between Davao and Manado of Indonesia and the roll-on roll-off (Ro-Ro) operations in the area, which had been suspended during the pandemic.

Pascual raised this during a meeting with ASEAN-Business Advisory Council (BAC) Chair Arsjad Rasjid on Saturday, Aug. 19, in Semarang, Indonesia. Together with Philippines delegation to the ASEAN-BAC George Barcelon and Josephine Romero, Pascual held a closed-door meeting with the ASEAN-BAC to discuss the priorities of the private sector in the region.

The meeting was also in time for the upcoming ASEAN Business Investment Summit (ABIS) on Sept. 4, which will be held at the sidelines of the 43rd ASEAN Summit next month in Indonesia.

During the meeting, Pascual said he was looking forward to more collaboration between the Philippines and Indonesia. The DTI chief particularly mentioned green financing and technology, the possible revival of direct flights between Davao and Manado, and the feasibility of resuming the RoRo operations in the area.

In June last year, local Davao officials and Indonesian envoys declared interest to revive once more the direct flights from Davao International Airport to the Indonesian destinations of Manado and Bitung.

This was also followed by statement that the Bureau of Customs Port of Davao (BOC-Davao) and the Indonesian consulate office already started discussions on the air and sea connectivity of BIMP-EAGA (Brunei Darussalam–Indonesia–Malaysia–Philippines East ASEAN Growth Area), a sub-regional grouping in ASEAN.

It could be recalled that the Davao City-Manado air travel was first revived in 2019 to increase trade, tourism, and investment between the two countries. But flights were suspended during the pandemic period.

The “Air Transport Agreement” was signed between the Philippines and Indonesia on March 24, 1972 to enhance the mutually beneficial economic relations and people-to-people contact stemming from centuries-old ties of both nations.

A subsequent memorandum of understanding (MOU) on the expansion of air linkages between the BIMP neighbors was also signed in 2007 where Davao and Manado had been identified as designated points. 

In addition, Pascual also welcomed the views of the business sector on the importance of public-private sector collaboration and assured them of the current Marcos’ administration’s commitment to strengthen supply chains in the region and foster digital transformation and sustainable development.

Both sides also recognized the significant role of the private sector in intensifying the utilization of ASEAN trade agreements, including the Regional Comprehensive Economic Partnership to increase intra-trade in the region. “This will empower local businesses, especially MSMEs, and encourage their greater participation in the global value chain,” said Pascual.