Davao City, February 20, 2025 – Key stakeholders from the Philippines and Indonesia gathered in Davao City to advance efforts in reviving the General Santos-Bitung-Davao (DGB) sea route. Spearheaded by the Indonesian Consulate in Davao City, the discussions focused on reinforcing trade corridors and revitalizing maritime connectivity within the Brunei-Indonesia-Malaysia-Philippines East ASEAN Growth Area (BIMP-EAGA).
A Strategic Trade Corridor
The initiative traces its origins to the Japan International Cooperation Agency’s (JICA) 2012 ASEAN Roll-on/Roll-off (RoRo) Network study, which identified the DGB route as a cost-effective trade corridor. In response, a Memorandum of Cooperation was signed that same year, with private sector support from both nations. However, regulatory hurdles in Indonesia delayed its progress until 2014.
By 2017, the route finally saw its maiden voyage, offering a viable alternative to the Manila-Bitung route with shorter travel times and reduced costs. Despite these advantages, persistent issues such as low cargo volume and vessel capacity limitations hindered its long-term viability.
Overcoming Challenges and Seizing Opportunities
Undeterred by past setbacks, including disruptions caused by the COVID-19 pandemic, the Mindanao Development Authority (MinDA) has intensified efforts to revive the route. Through comprehensive market studies, trade missions, and policy enhancements, MinDA aims to tackle key challenges, particularly as Indonesia’s upcoming capital relocation to Nusantara opens new opportunities for regional trade and investment.
As the Philippine Coordinating Office for BIMP-EAGA, MinDA remains committed to supporting the DGB route’s revival, aligning with the broader objectives of BIMP-EAGA Vision 2025. In a message delivered by Deputy Executive Director Romeo Montenegro, MinDA Chairperson Secretary Leo Tereso Magno expressed optimism for the initiative’s success, citing strong backing from the Marcos administration.
“This initiative complements the goals of BIMP-EAGA Vision 2025, which seeks to enhance connectivity and seamless trade within the sub-region and the rest of ASEAN,” Magno emphasized.
Unlocking Economic Potential
The DGB route holds immense potential as a strategic link between Eastern Indonesia and Southern Philippines, fostering stronger economic ties and streamlining trade. Stakeholders are now working to resolve long-standing barriers by increasing cargo demand, optimizing vessel operations, and aligning policies to encourage private-sector participation.
Indonesian Consul General Hon. Agus Trenggono highlighted the importance of actionable strategies in ensuring the route’s viability. “Through today’s discussions, we aim to identify key policy interventions, increase cargo volume, and attract investments that will make this route a viable and competitive trade option in the region,” Trenggono stated.
With Indonesia’s capital relocation further elevating the route’s strategic importance, the renewed collaboration among governments, businesses, and regional partners is expected to unlock the full potential of the DGB shipping corridor—paving the way for sustained economic growth and regional prosperity.
