Seaports revenue up 29%

CNMI seaport revenues went up to $8.4 million during the first 11 months of Fiscal Year 2006, or 29 percent more than the same period last year. This includes operations revenue of $5.7 million and a one-time fuel wharfage payment of $2.7 million.

Overall expenses during the period totaled $4.6 million. This includes operating expenses of $2.3 million and bond payments of $2.3 million. Balance after bond payments totaled $3.8 million, which is nearly 50 percent higher than the prior year.

CPA said, though, that the “balance [is] reserved for Commonwealth Development Authority loans and capital improvement projects.”

In his report to the CPA board Thursday, CPA comptroller George Palican cited a net income of $3.4 million during the period, which is a 22-percent decline compared to 2005.

Palican said the net income during the first 11 months of FY 2005 totaled $4.4 million.

Palican also listed in his report an “other income” of $1.3 million from typhoon Chaba insurance settlement funds “that is reserved for harbor CIP damage repair.”

Meantime, Palican said that inbound cargo during the first 11 months of FY 2006 declined by 13 percent or 61,969 revenue tons due to reduced garment shipments. Outbound cargo also decreased by 8 percent or 7,324 revenue tons.

On Saipan, the seaport received 315,147 tons of inbound cargo, an 18 percent decline compared to last year’s 386,291 tons. Outbound cargo totaled 97,260 tons compared to 115,614 tons during the same period last year.

The garment industry has reported a 24-percent decline in its sales in FY 2006. From over $700 million total sales in FY 2005, the industry’s sales in FY 2006 went down to over $500 million.

This decline is due to the ongoing downsizing within the industry as a result of the 2005 worldwide lifting of trade quotas. Ten garment factories have so far shut down operations on Saipan.

The industry reported a peak annual sales of some $1 billion in 1999.

Meantime, CPA said that seaport revenues from operations totaled $5.7 million from October 2005 to September 2006, down from prior year’s $6.2 million.

This year’s operations revenues came mostly from harbor activities amounting to $4.4 million, a 4 percent down from prior year.

Concession fees this year totaled $139,622, down by 2 percent from last year. Rental and non-harbor revenues totaled $1.2 million, which is 27 percent up compared to 2005. This increase came mostly from security services fee of $200,315, which was zero in FY 2005.

On harbor revenues, the biggest decline was recorded in passenger fees at 42 percent and wharfage non-fuel shipments at 17 percent.

The seaports generated $3.5 million from non-fuel and fuel shipments during the first 11-month period; $224959 from passenger fees; $220,532 from dockage fees; $241,120 from entry fees; and over $117,000 from other harbor revenues.

Of the $5.6 million operations revenues, $5.3 million came from Saipan seaport. The remaining revenues came from Tinian and Rota seaports.