Careers
3 Jun, 2024 by Camille Bello
The freight industry is experiencing significant relief this month as all the services previously affected by Panama Canal transit limits have resumed regular operations. The improvements in the Panama Canal’s water levels and the increased number of ships allowed to transit should reduce the freight rate. As more ships pass through the canal, the congestion and delays that previously contributed to higher shipping costs will be alleviated.
Experts warn that the canal is still operating at less than full capacity due to restrictions, and its recovery depends on unpredictable factors such as rainfall.
Royal Cargo’s IRIS LINES, a leading total logistics provider in the Philippines, has directed its 1100 TEU vessel, the IRIS Miko, to travel through the Panama Canal route. This makes it the first vessel owned by a Filipino company to navigate through the Panama Canal successfully.
According to Capt. Igal Dafni, the Managing Director of IRIS Lines, when sanctions against Russia began, the vessel was reassigned to trade between Northeast Asia and Southeast Asia until November 2022. Subsequently, it was routed by Zim Lines via the Cape of Good Hope to the Caribbean, where it traded between Jamaica, Venezuela, Colombia, and Panama. As the charter party with Zim Lines will end in June 2024, the vessel has just crossed Panama and is now crossing the Pacific Ocean on the way to South China, where it will be redelivered back to Iris and returned to the Philippines.
Crossing the Panama Canal involves numerous risks and challenges. Initially, the vessel did not have the required “Panama Canal Tonnage Certificates,” which had to be obtained from the canal authorities. This involved an exchange of certificates and a survey by the canal authorities. In addition, all international certificates had to be verified, and a bond had to be deposited by the charterers. Finally, on May 26, 2024, at 13:40, the vessel entered the Panama Canal through the Atlantic side. The canal pilot boarded at 15:00, and the vessel entered the first lock (Gatun Locks) at 23:15. On the 27th, the canal pilot disembarked at 00:00, and the vessel anchored at Balboa on the Pacific side.
The Miko is scheduled to arrive in Manila around June 29th. The ship will join the IRIS Paoay to begin a new fixed-day weekly service, stopping at Manila, Cebu, Cagayan de Oro, Davao, and General Santos. This service is expected to be a collaboration with an international carrier, which is now permitted to operate domestically through a 100% foreign-owned Philippine company.
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