Breakbulk Magazine Issue 4 2024

Agustin Harriague: The Project Cargo

Enabler

Ditch the Sales Pitch, Shipper Urges

Would-be Logistics Partners

LATIN AMERICA SPECIAL

Breakbulk Boom in Brazil

Dominican Republic: Caribbean Powerhouse

THLG Heavy Haulers Cross Borders

Plus News and Features from Our Writers Around the World

Driving Decarbonization in Breakbulk Shipping

Agustin Harriague: The Project Cargo Enabler

Ditch the Sales Pitch, Shipper Urges Would-be Logistics Partners

Mark Your Calendars for Upcoming Breakbulk Events

Breakbulk Americas 15-17 October 2024

George R. Brown Convention Center, USA

Breakbulk Middle East 10-11 February 2025

Dubai World Trade Centre, UAE

Breakbulk Europe 13-15 May 2025

Rotterdam Ahoy, Netherlands

26 Global

3D Printing: From Hype to Reality What’s Next for Disruptive Technology Making Inroads in the Maritime Space?

29 Global Driving Decarbonization in Breakbulk Shipping

Industry Comes Together to Harmonize Emissions Reporting

36 Americas

THLG Heavy Haulers Cross Borders

Barnhart and Tradelossa Join Forces to Move Huge Turbines

38 Americas

Breakbulk Business Booming in Brazil

Market Boosted by Clean Energy Push and Closer Portugal Ties

42 Americas

Dominican Republic Emerges as Caribbean Powerhouse

DP World, MPL Among Companies Active in Region’s Leading Logistics Hub

45 Americas

Decarbonization and Energy Transition

How to Unlock the Highway of Development in Latin America

46 Americas

Barge Revival on the US West Coast Pilot Project Linking Ports of San Diego and Bellingham Slated for Start-up This Year

50 Americas Combating Human Trafficking

How the Transport Industry Is Making a Difference

52 India

India’s Legislative Turnaround

New Policies Are Accelerating Development in the World’s Largest Democracy

56 Middle East

Almajdouie Mega Move Unveiled at Breakbulk Europe

Cargo Bound for One of Aramco’s ‘Most Ambitious Projects’

58 Africa

Uganda: Land of Projects

Crude Oil Pipeline to Tanzania Is Catalyst for Development in East African State

Cover Story

HELLO SUMMER!

Summer has taken hold as temperatures rise and we daydream about being near any body of water – for me, it’s Lake Tahoe and the sandy beaches of Southern California.

While the work never stops here at Breakbulk or anywhere in the industry, summer is a time to add an extra bit of relaxation. I hope this issue will provide you with a pleasant and informative diversion. Welcome to our Latin America edition where the focus is on Mexico, Central America, South America and the Caribbean. Dive into a look at the project opportunities in the Dominican Republic written by Simon West, with commentary from DP World and Maersk Project Logistics. Move onto a case study from Barnhart and Tradelossa detailing a complex cross-border transport that included a novel engineering solution. Our cover story by Luke King profiles Agustin Harriague, vice president of logistics at Mitsubishi Power Americas, who made the move from Argentina to the U.S., albeit by an unusual route. His advice? “I believe that life will find its way to accommodate you if you take the risk.”

I am constantly amazed by the stories and anecdotes that rise to the surface in Breakbulk stories, event sessions and interviews. This issue kicks off a new initiative of bringing magazine stories to life on the main stage of the upcoming Breakbulk event. From Harriague’s comments about what shippers need to see from forwarders in the proposal process, a shipper’s panel for Breakbulk Americas emerged that is sure to be an eye opener.

We’re also currently working on stories that involve chips manufacturing plant construction and an analysis of what really works to close the talent gap – both of which will be on the main stage in Houston.

In this issue, like always, our editorial covers the world. As armchair travelers, you can visit Uganda to learn how the East African Crude Oil Pipeline will transform the nation, make a stop in Japan to hear assessments from maritime heavyweights BBC Chartering, JSI Alliance, Swire Shipping and AAL Shipping on the rising opportunities for heavy-lift shipping to and from this island nation, and travel along coastal waters of Europe to answer the question, can green shipping corridors be a viable alternative to trucking? It seems that there’s a chicken and egg situation with proponents on both sides.

Back in the U.S., West tackles the same subject focusing on the M-5 project, a partnership between the Port of San Diego and the Port of Bellingham. This West Coast sea route parallels Interstate 5 and will connect the two ports. First cargoes are scheduled to start at the end of the year.

Don’t miss our new series, “Extreme Transports” from Goldhofer in the UpFront section. Each month we’ll read about an extreme transportation condition – high altitudes, very hot and very cold temperatures, heavily populated areas and remote locations, and unexpected weather – and look at what type of equipment and safety measures are needed for safe completion.

Our thoughts are with all those affected by Hurricane Beryl, and we wish everyone a speedy recovery from the damage.

Best,

Leslie Meredith Marketing and Editorial Director Breakbulk Events & Media

Marketing and Editorial Director

Leslie Meredith Leslie.Meredith@breakbulk.com

Managing Editor

Luke King luke.king@breakbulk.com

Senior Reporter

Simon West simon.west@breakbulk.com

Designer Mark Clubb

Reporters

John Bensalhia

Emma Dailey

Felicity Landon

Amy McLellan

Malcolm Ramsay

Thomas Timlen

Liesl Venter

Breakbulk Magazine Editorial Board

John Amos Amos Logistics

Tina Benjamin-Lea Air Products

Dea Chincuanco dship Carriers

Elisabeth Cosmatos Cosmatos Group of Companies

Dennis Devlin Maersk Project Logistics

Dharmendra Gangrade Larsen & Toubro

Margaret Kidd University of Houston

Stephen “Spo” Spoljaric Bechtel Corporation

Jake Swanson DHL Global Forwarding

Grant Wattman Combi Lift Americas

Portfolio Director

Jessica Dawnay Jessica.Dawnay@breakbulk.com

To advertise in Breakbulk Media products, visit: http://breakbulk.com/page/advertise

Subscriptions

To subscribe, go to https://breakbulk.com/page/ breakbulk-magazine

A publication of Hyve Group plc. The Studios, 2 Kingdom Street Paddington, London W2 6JG, UK

Leslie Meredith

Speakers, Exhibitors and Breakbulk Global Shipper Network Members in this issue:

Movers & Shakers, page 10

Aker Solutions, DP World, CEVA Logistics, CMA CGM Group, DFDS, Ørsted, Total, Fracht Group, Allelys, Nordex Group.

Extreme Transport, page 12

Goldhofer

Throwback, page 14

Bechtel

Cargo Drones Take on the Middle Mile, page 23

DB Schenker, Port of Rotterdam

3D Printing: From Hype to Reality, page 26

Wallenius Wilhelmsen, Vestas

Driving Decarbonization in Breakbulk Shipping, page 29

Bechtel, AAL Shipping, BBC Chartering, dship Carriers, DHL Global Forwarding, Kiewit, Fracht Group, Spliethoff

Agustin Harriague Profile, page 32

Mitsubishi Power Americas, Siemens

THLG Heavy Haulers Case Study, page 36

The Heavy Lift Group, Barnhart, Tradelossa

Brazil’s Breakbulk Boom, page 38

The Heavy Lift Group, Trans Global Projects, Port of Sines, Port of Antwerp

Dominican Republic: Caribbean Powerhouse, page 42

DP World, Maersk Project Logistics

DHL Thought Leader, page 45

DHL Global Forwarding

U.S. Barge Revival, page 46

Port of San Diego, Ceres Barge Line

India’s Legislative Turnaround, page 52

The Heavy Lift Group, Larsen & Toubro Limited

Almajdouie Mega Move, page 56

Almajdouie, Aramco

Uganda: Land of Projects, page 58

Fracht Group

Japan: Poised for Growth, page 61

Swire Shipping, BBC Chartering, JSI Alliance, AAL Shipping

Balkans: A Region Undergoing Transformation, page 64

Modpack, Holleman Bulgaria, The Heavy Lift Group

Europe Short Sea Shipping Surge, page 68

Port of Bilbao, Port of Amsterdam

Europe Project Outlook, page 72

Chevron

Key:

* Breakbulk Exhibitor

Breakbulk Global Shipper Network Member

Movers & Shakers

Extreme Transports: High Altitude

Throwback: Oil Sands Near-calamity

Meet Americas New Exhibitors

Team Spotlight on Gisset Capriles

Drones at Work & Play

MOVERS AND SHAKERS

Highlighting Recent Industry Hires, Promotions and Departures

Aker Solutions

Aker Solutions is welcoming back former employee Guro Rausand as new executive vice president of safeguarding. Rausand will rejoin the energy services firm from her current role of heading up major projects for OneSubsea, a venture backed by Aker Solutions, SLB and Subsea7. Before joining OneSubsea in October 2023, the executive spent more than 15 years with Aker Solutions, leading subsea projects across the globe. In her new role, the EVP will oversee HSSE, legal, compliance, governance and project controls.

Aker Solutions is a member of the Breakbulk Global Shipper Network (BGSN), an extensive networking platform for executives operating at the top end of the project supply chain. Visit: https://americas.breakbulk.com/page/ breakbulk-global-shipper-network

DP World

DP World has named Manuel Martinez as the new CEO for DP World Dominicana in the Dominican Republic, one of the Dubai-based global port operator’s key strategic locations in the Americas. Martinez, who boasts more than 20 years of experience in global logistics and port management, joined DP World in 2010. The executive most recently served as general manager of the DP World-operated Terminales Portuarias Euroandinos in Peru, where he oversaw operational and commercial strategy.

DP World has been active in the Dominican Republic since 2003. Its facilities include a port terminal, a worldscale logistics center and a new air cargo logistics hub that began operations in late-2023. “I am deeply honored to assume the role of CEO for DP World Dominicana, particularly during this time of growth and expansion,” Martinez said. “I am eager to leverage DP World’s global expertise to enhance our portfolio of supply chain solutions and contribute to the region’s economic development.”

Martinez speaks about the Dominican Republic’s emergence as a Caribbean powerhouse in our feature story on page 42.

Bolloré Logistics

Emmanuel Bloch-Fisch is embarking on a new journey after accepting the role of chief information officer for Asia Pacific at Bolloré Logistics. The executive had previously spent 18 years at France-based LVMH Group working in the luxury travel and retail sectors.

“The excitement for my new challenge is overwhelming, moving from luxury and retail to logistics and shipping, especially with the recent acquisition of Bolloré Logistics by CEVA Logistics, a part of the CMA CGM Group,” Bloch-Fisch said on LinkedIn. “I look forward to contributing and being part of this exciting next phase of the Bolloré Logistics story and executing a seamless transformation that embodies our commitment to teamwork, transparency and responsibility.”

DFDS

Copenhagen-headquartered DFDS has appointed Karen Dyrskjøt Boesen as the company’s new CFO, replacing Karina Deacon, who stepped down from the role in November 2023. Prior to DFDS, Boesen enjoyed executive stints at DONG Energy (now Ørsted), Maersk Oil, Total and, most recently, renewable energy producer Sonnedix.

In her new role, Boesen will focus on driving financial performance through process standardization and helping achieve DFDS’ financial goals set for 2026. Sustainability will also be a “high priority” for the CFO, according to the company. Boesen said: “DFDS has embarked on the green transition and coming from a renewable energy producer, this is a journey I’m very passionate about and I look forward to putting my insights and experience to work.”

Guro Rausand

Emmanuel Bloch-Fisch

Manuel Martinez

Karen Dyrskjøt Boesen

SPARK Logistics

King Salman Energy Park, or SPARK, an energy and logistics freezone hub located in Saudi Arabia’s oil and gas-producing Eastern Province has named Dave Lee as new CEO of SPARK Logistics, a joint venture set up by SPARK and Hutchison Ports to operate a bonded logistics zone and dedicated private dry port.

Lee, who holds an MBA in Finance from The Wharton School of the University of Pennsylvania, boasts more than two decades of experience in logistics and port management, and has held several executive positions at Hutchison Ports. “Lee’s appointment is a significant step towards establishing SPARK as a global hub for trade, transport and logistics,” the company said.

JAS Brasil

Karin Schöner has been appointed new managing director and president of JAS Brazil. Schöner, a native Brazilian, has previously held key roles in sales, management and strategic leadership for companies including Maersk, GEODIS, Panalpina and KLM Cargo. The executive will be based in São Paulo, the region’s leading industrial powerhouse.

“Karin’s unparalleled expertise, strategic acumen, and commitment to excellence make her the ideal leader to propel JAS Brazil forward. We look forward to her transformative leadership and contributions to our continued growth and success in the region,” said Adrian Emmenegger, EVP of JAS Americas.

Fracht Group

Mark Huesler has started his new position of CFO for North America at Fracht Group, managing financial operations, guiding strategy and ensuring fiscal stability. The executive arrives from Maersk, where he served for two years as CFO for Africa overseeing 40 countries. Prior to that, he enjoyed a two-decade stint with Kuehne + Nagel holding various positions including senior vice president for finance and administration.

“With over 20 years of experience and a proven track record in financial leadership, Mark is set to steer our financial strategy and drive us towards even greater success,” Fracht said in a statement.

Allelys

UK-based heavy hauler Allelys has stuck with a familiar face after promoting Richard Beardmore to chief commercial officer. Beardmore joined Allelys in May 2021, serving three years as the group’s senior commercial manager. Prior to that, he enjoyed various commercial and sales stints with Mammoet, deugro and ALE.

“When I joined the business, one of the main aspects that excited me was the potential for growth,” said Beardmore, who began his career in the British Army’s Corps of Royal Engineers. “Since then, the whole sales team has worked tirelessly to establish Allelys as the number one provider of heavy-lift and specialist transport within the UK and I’m proud to now lead this team as we continue to drive the business forward and explore new opportunities.”

Nordex Group

Nordex Group has chosen Manav Sharma as its new CEO for North America, as the Germany-based wind turbine maker gears up for expansion in the U.S. Sharma joined Nordex in January 2020 and has held various executive positions including chief transformation officer. In his new role, Sharma will oversee the launch of a new turbine tailored to meet the requirements of the American market.

“The appointment of Manav Sharma, a highly experienced and valued colleague of our global executive management team, reflects the strategic importance of North America for us,” said José Luis Blanco, CEO of Nordex Group. “With he and his team leading the launch of our US-turbine and accelerating the on-going supply chain transformation, we will be well-positioned to benefit from expected growth in both the US and Canadian markets.” Nordex is a member of the Breakbulk Global Shipper Network. Visit: https://americas.breakbulk.com/page/ breakbulk-global-shipper-network

* Breakbulk Exhibitor

*Breakbulk Global Shipper Network member

Dave Lee

Karin Schöner

Mark Huesler

Richard Beardmore

Manav Sharma

Extreme Transports

- A new series of case studies from Goldhofer focusing on conditons that make a move extremely challenging. In this issue, Goldhofer takes us up and down the mountains of Peru.

HIGH ALTITUDE TRANSPORTATION

Hairpin Turns on Steep Grades Demand Special Equipment

Goldhofer solutions for the transportation of wind power components sometimes involve moves at high altitudes over mountain passes with twists and turns. Specialized equipment is a must for these transports.

In mid-2023, the Peruvian heavy haulage specialist TRANSPORTES ACOINSA S.A.C. transported wind turbine components for the Wayra II wind farm in Peru’s Ica region. Two Goldhofer FTV 850s were used to transport the 77-meter rotor blades for 31 wind turbines to their destination, making a total of 93 blades.

To handle this challenging assignment, the team of heavy-duty specialists at ACOINSA opted for the FTV 850, the third generation of Goldhofer’s blade hauler. Depending on the job, a wide range of options is available with adapters for various parallel combinations. This makes the FTV 850 ideally suited for transporting extralong rotor blades used for turbines on sites with low wind speeds. Even the latest generation of rotor blades requiring a lifting torque of up to 850 tonnes can be picked up and transported with full flexibility in the towed or self-propelled mode. With the split-combination option and mounting behind the loading area, the FTV 850 offers extremely high stability combined with low ballast weight.

The two FTV 850s were mounted on twelve-axle Goldhofer THP/SL modules. On the demanding 129-kilometer route from the port to the Wayra II wind farm, narrow passages and

built-up areas, power lines, roundabouts, trees and sections with hairpin bends meant that the rotor blades had to be raised for 50% of the journey.

That was no problem for the experienced ACOINSA team and the Goldhofer FTV 850s. With a lift angle of up to 60 degrees, the obstacles were mastered with ease. With the FTV you do not need to cut trees, widen roads/ roundabouts, etc. because you can simply lift and lower the blade, which significantly lowers transport costs.

High-altitude transports also demand equipment that provides extra safety measures for the heavy haul team. With such long wind blades, the load’s center of gravity is often decisive, as this is far in front of the combination depending on the lift angle, which means that enormous tipping stability is required. High gradients intensify this effect, which is why careful transport and route planning is required. Goldhofer impresses with optimized load and center of gravity distribution by positioning the FTV behind the chassis and thus with the lowest possible center of gravity.

Goldhofer FTV-850. Credit: Goldhofer

ACOINSA uses Goldhofer FTV 850s for this high-altitude move in Peru.

Credit: Goldhofer

THROWBACK: NEAR-CALAMITY ON THE WAY TO ALBERTA OIL SANDS PROJECT

This story was written by Breakbulk veteran John Amos who spent most of his career as the head of logistics for global EPC Bechtel Corporation. His experience is vast, and this story is a cautionary tale for logistics professionals today.

In the 1980s during the construction of a major oil sands project in Northern Alberta, Canada, there was a railroad accident involving a 365-tonne refinery reactor that could potentially cost US$1 million to replace (big bucks in that era) and delay the project’s completion. Planning and procedures can materially minimize accidents and delays but an unforeseen one—one that should never have happened —can test the managerial skills of the project managers of construction, engineering and the logistics manager.

There were four 365-tonne refinery reactors fabricated in Italy and shipped two at a time by heavy-lift vessel to Saint John, New Brunswick, then by rail on 12-axle railcars across Canada to Edmonton, Alberta and north to Fort McMurray, Alberta, and finally across the frozen Athabasca River on SPMTs to the jobsite. This had to be completed during a December-throughMarch winter window when the frozen ground and river’s ice thickness could support the gross weight of reactors and transporters. Transit time for each voyage and railroad move was 33 days. The heavy-lift ship returned to Italy in ballast to move the last two reactors. After the last two reactors were delivered the 12-axle railcars were taken to Victoria, BC, to load two out-of-gauge heavy boilers and take them to Fort McMurray. The winter window closed with only 15 days to spare.

When the Unexpected Happens

As Canada was having an extremely cold winter, extra caution was taken with discharging the reactors and securing them to the railcars. The rail portion across Canada was by special train restricted to 25 mph, along with train running orders that opposing trains must be stopped when the special train passed and there could be no passing on a curve. The accident occurred in western Quebec when both orders were ignored and a nozzle

on one of the reactors struck the cupola on the caboose of the other train tearing off the nozzle’s cover and causing the nitrogen purge in the reactor to explode and flame. Luckily the train crew in the caboose was not injured, but they were badly frightened.

Since it was not possible to determine if the heavy-wall, stress-relieved reactor was damaged, the train continued to Edmonton, where it was examined and tested by project and owner engineers who determined that there was no damage, so the reactors could proceed to Fort McMurray. It was then unloaded so the 12-axle railcars could return to Saint John and load the other two reactors arriving from Italy and return to Fort McMurray within the winter window.

Lessons Learned

Accidents such as this require immediate action in order to minimize delay. The logistics manager must take control of all information during the transportation and provide a daily progress report to everyone who could be affected by an accident or other event. This allows for tentative planning that might be needed, such as availability of heavy-lift cranes, sufficient craft workers and delay of installation of other project materials. In this instance if the reactor was damaged it could not be used, and it could take up to a year to fabricate a replacement and transport it to the jobsite. The contractor would be subject to a sizeable delay claim.

The big lesson learned in this instance is that mega-projects on a tight schedule often do not provide for delays. It is imperative, with the movement of hundreds of thousands of tons of construction material that must arrive on time at the jobsite in all kinds of weather, that all procurement activity – expediting, inspection, transportation and field procurement – must provide up-to-date information to support the project’s critical path to completion.

*Breakbulk Global Shipper Network member

MEET GISSET CAPRILES, BREAKBULK AMERICAS’ NEWEST SALES TEAM MEMBER

What’s the first thing you do every morning to kickstart your day in Houston?

I always try to make my bed before doing anything else. I believe it helps me start my day feeling organized and sets a ritual that sets the tone for the rest of my day. After that, I drink an alternative coffee supplement, take care of personal hygiene and then proceed with my favorite activities.

Coming from the Dominican Republic, how has your cultural background influenced your approach to sales?

I’ve been living in the United States since I graduated from high school. It’s been quite some time since then! My approach to sales is rooted in the knowledge and experiences I’ve accumulated over the years. Latinos, especially those from the Caribbean, tend to be very outspoken and spontaneous. As a result, I am confident when approaching new prospects and building relationships. I strive to be genuine in my approach and set expectations early in the communication process.

If you could describe your job in three words, what would they be?

Networking, promoting, and most importantly, connecting with others are key aspects of my approach. I offer opportunities for businesses to connect and promote themselves to other companies within a focused and relevant network. I provide my customers with the same opportunities.

What’s one thing about the breakbulk industry that you wish more people knew?

I would like to reinforce the importance of the breakbulk and project cargo sector. The breakbulk industry is crucial because it handles oversized, heavy and uniquely shaped cargo that standard shipping containers cannot accommodate. This includes essential goods for major infrastructure projects like machinery, equipment and large components. Its flexibility, specialized handling expertise and ability to reach remote areas make it indispensable for supporting global trade, connecting economies, and ensuring the efficient delivery of critical materials worldwide.

How do you balance your professional life in Houston with staying connected to your roots in the Dominican Republic?

It’s challenging to stay connected, but I am grateful for the various platforms available nowadays, such as WhatsApp, Facebook and Instagram, that help us stay connected. I visit my country once a year or as often as I can to maintain these connections and see my mom and other relatives.

What advice would you give to someone looking to break into the sales industry for an event like Breakbulk Americas?

To break into the sales industry for an event like Breakbulk Americas, start by thoroughly researching the breakbulk cargo market and understanding the event’s scope. Acquire industryspecific knowledge. Network strategically by joining relevant associations and attending industry events. Seek mentorship, stay persistent and commit to continuous learning to adapt to the evolving industry.

Gisset Capriles at home in the Dominican Republic

New Exhibitors

2024

Countries Represented Bangladesh, Brazil, Canada, China, France, India, Mexico, Netherlands, Pakistan, Singapore, Spain, UAE, USA

NEW EXHIBITORS AT BREAKBULK AMERICAS 2024

Company name Stand number Country Sector

Cornerstone

DCL

D’elogistics

Double

Eliteone

Feepower

Greenfield

Harris

Hc

Kaleido

NDS

Parker Towing Co.

Pinnacle

Freight Forwarder

Freight Forwarder

Tamaulipas

Tefco

Tidal

TMS

Tpl

Transmaster Trailers/Master Solutions

Tri Star Freight System, Inc.

Varamar Dmcc

Xilin

Freight Forwarder

MEET NEW COMPANIES AT BREAKBULK AMERICAS 2024

Get to know some of these first-time exhibitors. And, if you’re coming to Breakbulk Americas, make a point to stop by and say hello!

3D Barrier Bags Inc

Stand Q01

United States

Industry-related Service

Oliver Lewis, Vice President of Sales

1. What is the most interesting thing about your business?

The most interesting thing about our business is our specialized expertise in manufacturing and converting Mil-PRF-131 barrier foils, which are crucial for protecting sensitive equipment and materials in some of the most demanding environments. Our Mil-PRF-131 barrier foil is designed to meet strict military specifications, ensuring the lowest moisture vapor and oxygen transmission rates in any flexible material. This makes our materials indispensable in safeguarding your valuable and sensitive assets, such as electronics, medical equipment, military supplies and other items against corrosion and degradation.

2. What made your company want to exhibit at Breakbulk Americas?

Our decision was driven by the strong presence of our customers and partners at this event. Seeing so many of them actively participating in the event, we recognized the opportunity to showcase our packaging solutions. Our barrier foils, essential for protecting sensitive equipment and materials during storage and transportation, are highly relevant to this audience and exhibition.

3. What is your company’s outlook on project opportunities in the Americas at the moment?

Our outlook on project opportunities is very positive. We continuously experience significant growth, and this year has proved no different, proving the increasing demand for our specialized packaging and materials. This growth has allowed us the opportunity to expand, and we are opening a second location in Phoenix, Arizona. This expansion will enable us to reduce lead times dramatically for our West Coast customers and tap into new opportunities within the region.

Double Ace Cargo Stand S08

United

States

Freight

Forwarder

Rolgues Rodriguez, CEO

1. What is the most interesting thing about your business?

At Double Ace Cargo, we specialize in comprehensive maritime, air and land logistics solutions. Our versatility and adaptability in handling various cargo types, including containers, dry bulk, breakbulk, oversized, heav- lift and project cargoes set us apart. Established 25 years ago, we’ve built a strong reputation for reliability and expertise, continually innovating to meet our customers’ needs.

2. What made your company want to exhibit at Breakbulk Americas?

We chose to exhibit at Breakbulk Americas because it is a premier event for networking, showcasing our expertise and exploring new business opportunities. Our headquarters in Miami and a branch in the Panama Free Zone strategically position us to serve the Americas. We look forward to building relationships, sharing knowledge and staying updated on industry trends.

3. What is your company’s outlook on project opportunities in the Americas at the moment?

Very positive! We see a growing demand for reliable and efficient logistics solutions, especially for large-scale projects and specialized cargo. Our strong presence in Latin America and the Caribbean positions us to capitalize on these opportunities and provide tailored solutions.

Moran Shipping Agencies

Stand T12

United States

Maritime Transport

Jessica Di Giulio, Vice President

1. What is the most interesting thing about your business?

As the largest independent steamship agency in North America, Moran Shipping Agencies is a family-owned business that brings a personalized touch to every port call we manage. Our dedicated and experienced employees provide quality service for our clients in over 100 ports in America every day. Our port managers average over twenty years of experience, and our agents are practiced with problem-solving for our clients in an ever-evolving industry. Our employees are the heart and soul of our business, and we continue to invest in them to provide the best possible service to all principals, charterers, and owners alike.

2. What made your company want to exhibit at Breakbulk Americas?

We are looking to diversify our market, and Breakbulk Americas is the perfect venue for that. We have a great deal of experience with dry bulk and project cargoes, specializing in renewables in the Northeast and Atlantic corridors – but we are always looking to expand our agency services. Over the last two years, we have had an influential role in assisting the construction and development of several wind farms. We are also hoping to take this opportunity to strengthen our relationships with partners and clients face-to-face.

3. What is your company’s outlook on project opportunities in the Americas at the moment?

We’ve seen an increase in project cargo and expect that to continue for the next several years. We look forward to supporting the industry as it continues to grow and to collaborating with Breakbulk, vessel owners, operators, and freight forwarders. We understand how dynamic and invaluable these relationships are and look forward to future partnerships.

NDS National Drayage Services

Stand T02

United States

Road Transport

Stephen Witten, VP of Sales

1. What is the most interesting thing about your business? Relationships - but, if I must talk business, at NDS there is nothing we can’t move! I love the fact that we can provide a full suite of services to our customers. From dray to transload/warehouse to the final mile, we can handle it all. There must be trust, hence the relationship!

2. What made your company want to exhibit at Breakbulk Americas?

This is the leading breakbulk conference in the Americas and in our home city, Houston. Breakbulk is one of our specialties so showcasing NDS this year just made sense. To connect with folks from all over the States is vitally important.

3. What is your company’s outlook on project opportunities in the Americas at the moment?

With freight where it is today, project cargo seems to be becoming more prevalent. It can be challenging at times with many moving pieces but with our over 30 years of experience moving project cargo, we do it with excellence. Project cargo makes it fun – we love difficult!

Nexen Logistics Stand E51

Mexico

Freight Forwarder

MDE Carlos Cristino Sarabia Diaz, Chairman

1. What is the most interesting thing about your business?

The most interesting thing is that customs users have direct solutions in our company, since we combine the legal tools, authorized by the Mexican authorities, such as the Bonded Warehouse, Strategic Bonded Warehouse, Inspection Point, Maneuver Company in Customs, Courier and Parcel Companies, Electronic Locks, Customs Brokers, Certification of Standards along the Mexican law, among others, and most importantly, the support of the legal firm Xtrategas, with the most experience in Mexico in matters of foreign trade, customs and effectiveness in business.

2. What made your company want to exhibit at Breakbulk Americas?

We decided to participate in Breakbulk Americas to expand our horizons and get closer to our customers. We are offering services for global companies, which require coexisting in forums allowing us to present our success stories.

Previously we were participating in important trade fairs specialized in logistics within the Mexican territory, however, due to our recent expansion and globalization as a company, we decided to start our journey through international events.

3. What is your company’s outlook on project opportunities in the Americas at the moment?

Nexen participates in the global market, as a result of Mexico having positioned itself as a logistics hub, thanks to the trade agreements, treaties and other legal instruments that our country has. With our help, we give that push to companies to increase their competitiveness, whether in the sale of goods or services.

Tamaulipas

State Government

Stand S16

Mexico

Ports & Terminals - Port of Altamira, Port of Matamoros, Port of Tampico

C.

Ninfa Cantú

Deándar,

Secretary of Economy

1. What is the most interesting thing about your business?

Under the leadership of Governor Américo Villarreal Anaya, Tamaulipas stands as an example of how cooperation between the government and the private sector can lead to development. The state of Tamaulipas has the greatest strategic location for international trade in Mexico. This is thanks to its connectivity and infrastructure for foreign trade. Tamaulipas features a logistics platform with 18 international crossings, three seaports (one under development), railway operators (Ferromex and CPKC), and over 14,075 km of roads, positioning our state as a strategic location for investment projects.

Tamaulipas’ proximity to the United States makes it a key hub for manufacturing, logistics and trade activities. This geographical advantage has led to the development of a robust logistics sector within Tamaulipas, supporting industries such as automotive manufacturing, electronics and agribusiness. The infrastructure in Tamaulipas includes several important ports and border crossings that facilitate the movement of goods between Mexico and the United States.

2. What made your company want to exhibit at Breakbulk Americas?

Breakbulk is a high-level event that offers a unique opportunity to establish and strengthen ties within the logistics industry and support global projects. It is of great interest to us to present the competitive advantages, characteristics and potential that our state and companies have to offer.

3. What is your company’s outlook on project opportunities in the Americas at the moment? Tamaulipas’ participation in Breakbulk Americas will have a significant impact on economic development, trade relations and attracting investments in the state. It will also strengthen Tamaulipas’ position in the international logistics scene and foster collaboration between our state and the world.

TransMaster Trailers/Master Solutions

Stand R01

United States Equipment

Ray Diemer, Sales

1. What is the most interesting thing about your business?

Our skilled engineering and production teams make our heavy haul trailer ideas come to life. It doesn’t stop at the creation – our team is constantly making improvements to our products, always trying to achieve the most reliable, quality-built trailer in the market.

2. What made your company want to exhibit at Breakbulk Americas?

We’ve walked the show for the last few years and many of our customers exhibit. Many of the heavy haul companies also attend so it made sense to us that we should exhibit.

3. What is your company’s outlook on project opportunities in the Americas at the moment?

Our outlook is very positive and we feel that business should be strong for the next few years. We are basing this on the amount of current and new customer inquiries. We are currently very busy right now and do not see things slowing up for a while.

XILIN MATERIAL HANDLING LLC

Stand S36

United States Equipment

Feng Chu, President

1. What is the most interesting thing about your business?

As China’s first pallet truck producer with 39 years of experience, we’re proud to prioritize environmental sustainability by exclusively manufacturing electric forklifts. Additionally, we lead in innovation, planning to introduce hydrogen-powered forklifts soon, furthering our commitment to sustainability. More importantly, we have forged unbreakable bonds with our partners, becoming reliable and steadfast friends. We support each other wholeheartedly, providing mutual assistance for our collective growth and success.

2. What made your company want to exhibit at Breakbulk Americas?

Breakbulk Americas is the leading trade event in North America for the project cargo and breakbulk industry. It provides an excellent platform for us to showcase our products and establish dependable relationships with both current and prospective customers.

3. What is your company’s outlook on project opportunities in the Americas at the moment?

Our customers are always our high priority, as we always stand on high standards of product quality and provide good service through our three offices in Chicago, Los Angeles and Atlanta. We are looking forward to providing more efficient, timely, and high-quality service across the nation.

CARGO DRONES TAKE ON THE MIDDLE MILE

Improving Tech Gives Drones Important Role in Supply Chain. By

John Bensalhia

While the development of large-cargo drone technology remains a work-in-progress, so-called unmanned aerial vehicles (UAVs) are already helping logisticians save time and money, as well as opening up new air routes that had previously been too expensive or inaccessible.

Drones are proving particularly valuable for the “middle mile” stage of the supply chain. As a means of moving high volume cargo closer to its ultimate destination, the middle mile comprises the space between the distribution center and the local fulfillment center.

Having spotted the potential, logistics and supply chain company DB Schenker is working with German “urban air mobility” firm Volocopter, whose all-electric VoloDrone has a payload of up to 200 kilograms and a range of 40 kilometers.

With a test flight under its belt, the VoloDrone is designed to not only make middle mile deliveries more affordable, but also more environmentally sound, using zero emissions and quiet motors to ensure a clean, sustainable operation.

A partnership between The Port Authority of New York and New Jersey and Skyports Drone Services is another example of how inroads are being made in using drone technology to transport cargo between destinations. Skyports will assist the port with BVLOS (Beyond Visual Line Of Sight) operations and to reach previously inaccessible locations.

With respect to breakbulk operations, drone technology is still in its infancy. A more common use of drones today is to monitor the different stages of breakbulk handling, from loading through transportation to unloading. The drone can capture images and footage for the client, whether it be for administration, security or promotional purposes.

Severina Grozeva-Patrone, director of global communications & PR at Dronamics, which describes itself as the world’s first cargo drone airline, agrees that capability is much greater today with respect to breakbulk cargo. “Until recently, freight

drones were mostly associated with courier, last-mile services. Drones with substantial payloads, while still a novelty, are a fast-growing segment with multiple use cases across cargo operations.”

Malta-based Dronamics has developed drone tech capable of carrying payloads of up to 350 kilograms or 3.5 cubic meters at a time, at a range of up to 2,500 kilometers. The goal is to serve middle-mile logistics and provide an air freight solution to remote and underserved locations.

The Port of Rotterdam has also assessed the benefits of drone technology, having received a demonstration from Israeli drone company Airwayz in March 2024. As well as cost savings, higher efficiency levels and improved sustainability, the Port observed that drone technology can help to streamline dayto-day operations and make it possible to deliver to ships at anchorage – something that had previously been considered impractical.

Looking ahead, Lia Popaz, digital media manager at FlyingBasket, an Italian-based commercial drone operator. says the potential of cargo drones for breakbulk is notable in small deliveries of cargo of up to 100 kilograms from ports to ship. “The industries of oil and gas, energy and others can benefit from the flexible method of transportation via FlyingBasket cargo drones, which can deliver on sling and fixed cargo even beyond visual line of sight.”

Adds Severina Grozeva-Patrone: “Dronamics is setting up operations at drone ports near strategic ports in Europe, such as Greece, and the Middle East, and it won’t be long before we can offer faster, cheaper, greener services.”

* Breakbulk Exhibitor

Dronamics describes itself as the world’s first cargo drone airline. Credit: Dronamics.

GIFT GUIDE - DRONES FOR AMATEUR FLYERS

While commercial drones are being used in a variety of ways on jobsites, along transport routes and at loading sites, you can become your own drone pilot for a better understanding of these flying machines. Before you take

DJI Air 3 ($879)

Versatile mid-range drone with dual cameras (wide-angle and telephoto), 4K video, and advanced autonomous features. Must register with the FAA due to weight. PCMag top pick for 2024.

Emax Tinyhawk 2 ($230)

A racing drone for beginners that’s relatively simple to learn how to fly compared with other racers. Comes with goggles and controller, shoots HD footage and can fly at speeds up to around 30 mph. It’s best for large open spaces. Named “Best Racing Drone for Beginners” by CNET.

flight, note that in the U.S. if your drone weighs 8.8 ounces (250g) or more, you need to register it with the FAA and pass a basic knowledge test online at dronetrust.com

See Drone story on page 23.

DJI Mini 3 ($349)

Compact drone with 4K camera and good autonomous features. Lacks obstacle avoidance but offers great value. Nearly 40 hours of battery life. PCMag top pick for 2024; TechRadar’s Best Budget Drone for 2024. Plus, it’s the only highly-rated beginner drone that can film in portrait mode if you or your kids are creating TikTok videos or Instagram reels.

DJI Mini 2 ($599)

With a max battery life of 31 minutes, this lightweight and foldable drone grants more than enough time to compose the perfect shot. It can resist level 5 winds and take off at a maximum altitude of 4,000 meters. Shoots 4K video and has a 4x zoom. Built-in GPS allows one-touch “fly home.” Named “Best Overall Drone for 2024” by Popular Mechanics

DJI Avata 2 ($999)

First-person view (FPV) drone designed for immersive flight and filming experiences. Ideal for those interested in FPV flying and racing. Includes DJI Goggles 2 and Motion Controller. Named “Best Drone for Adrenaline Junkies” by PCMag

3D PRINTING: FROM HYPE TO REALITY

What’s Next for Disruptive Technology Making Inroads in the Maritime Space?

The concept of the hype curve exists because innovation is rarely predictable, while human behavior almost always is. New technologies always come with a tail of unforeseen complications – ranging from the technical to the commercial, the regulatory to the ethical – and it is the human responses to these setbacks that are so predictable they can be plotted on a hype chart.

Digital technologies have put these responses on a fast forward loop. New advances come at us at hyper-speed: the Internet of Things, Blockchain and, more recently, Generative AI and the metaverse have all been heralded as revolutionary technologies set to unleash game-changing disruption.

The predictions are not necessarily wrong, they’re just early, with these breakthrough technologies just not

By Amy McLellan

changing the game as quickly, nor at a scale that matches the initial hype. And so it is with 3D printing, which ten years ago was hailed as the beginning of the end for traditional supply chains.

Fast forward to 2024, however, and supply chain disruption has come not from futuristic ondemand manufacturing, but from far more traditional forces: disease, war and inflation. So where are we now on the hype curve?

The Post-Hype Reset

First, let’s clear up the terminology. Additive manufacturing is the industrial term, and it is slightly different from 3D printing. 3D printing involves the creation of objects by adding layers of material while additive manufacturing

involves the creation of objects that might or might not be in layers.

Additive manufacturing encompasses a broader range of techniques, including industrialscale processes like laser sintering and electron beam melting, while 3D printing is commonly used for rapid prototyping and hobbyist projects. Indeed, 3D printers can be bought for any home for around £200 from Amazon, with amateur tech enthusiasts machining pieces for role play games or DIY projects.

Dr. Eva Junghans, a senior principal engineer at classification society DNV, agrees that additive manufacturing is a better description for the process as compared to subtractive manufacturing such as machining.

“When coming to metals, the term “printing” may also be misleading,”

Danish wind turbine manufacturer Vestas is investigating the potential to incorporate additive manufacturing in its production processes. Image courtesy of Vestas Wind Systems

she said. “The involved processes are not that quick and easy and a component cannot simply be printed.”

After a slow start, additive manufacturing is making inroads in certain sectors, particularly in aerospace and healthcare. The maritime and offshore industries, however, are taking a more cautious approach.

“It is definitely picking up in the maritime industry with more end users coming onboard and adopting additive manufacturing technologies for the procurement of spare parts,” said Elaine Toh, marketing and communications manager at Pelagus 3D, a joint venture between thyssenkruppWilhelmsen, which aims to make better custom, standard, and obsolete spare parts available on-demand.

“We believe that with the everchanging supply chain landscape and the need for quicker turnover of spare parts, better part performance and the increase in obsolete/legacy parts, the usage of additive manufacturing will become more mainstream in the maritime and offshore industry.”

First, however, the technology will need to overcome the inherent inertia, born of caution, that is the hallmark of the maritime and offshore sectors. This means building knowhow, standards and, with that, trust.

“The maritime industry is pretty traditional and many are uncertain about using new manufacturing methods as well as the consistency and the quality of the additive manufactured products,” acknowledged Toh. “This can hinder adoption. However, with the increasing success stories, certification supports and standardization for part manufacturing, we believe that many more maritime and offshore end users will understand the benefits of ondemand manufactured spare parts.”

Safety First

The safety and quality of AM components are underscored by the technology’s penetration in aerospace and healthcare, both

highly regulated industries. Maritime and offshore sectors are proving slower but classification societies are working hand-in-hand with operators to grow the knowledge base.

“For the verification of a component’s integrity, a thorough qualification of the AM workshop is essential and quality control on the component through destructive and non-destructive testing is required,” said Ramesh Babu Govindaraj, senior principal specialist, material, welding and additive manufacturing at DNV.

“There are suitable industrial standards already in place, but in practice designers or end-users can be overwhelmed by the amount of proposed tests and may struggle to determine which tests actually need to be performed for the intended application. Therefore, DNV has established its own rules and qualifications programs which are more suitable for the certification services that DNV is providing.”

A further challenge is that – except for the aerospace and automotive industries – long-term experience for

components manufactured by AM in comparison to casting or forging is lacking. “This means the standards currently in place do not have the statistical database as exists for traditional manufacturing routes and the fatigue and corrosion behavior of AM materials can differ,” Govindaraj added.

Having an independent third party certifier is key, particularly if the AM component involves optimized design. “AM can unlock components that combine different materials which cannot, or only with huge effort, be combined using conventional processes, such as valves with a body made from low-cost materials and coated with an expensive corrosion resistant material using AM,” he said.

There are also cost considerations, with AM typically costing more at this stage in its maturity. Proponents are hopeful this will come down as the technology becomes more mainstream. “With the increasing adoption and usage of additive manufacturing in various industries, there is a growing increase in suppliers which can help reduce the overall costing,” said Toh of Pelagus 3D.

Pelagus 3D, a JV between thyssenkrupp and Wilhelmsen, produces a propeller blade via additive printing.

Credit: Pelagus 3D

“Moreover, with the ability for additive manufacturing to print parts without MOQ [minimum order quantity], it can reduce the overall cost for vessels when only a specific component is changed instead of a whole equipment.”

These higher upfront costs can be offset by lower costs elsewhere, of course. One of the big attractions of AM is its potential to deliver parts that are lighter weight or which use less raw material and energy consumption. This is key for companies across the supply chain looking to lower their carbon footprint.

Indeed, in future, ships may not even need to head to port for their AM spare part. In May 2024, ABS and HD Hyundai Heavy Industries (HHI) signed a “first of its kind” agreement to pave the way for the onboard manufacture of spare parts at sea, with the aim of manufacturing marine parts by 2025.

A Learning Curve

As a first mover, Pelagus 3D is learning these lessons first hand. “When we started off in 2019, we were making small polymer parts and trying to get end users to understand the benefits of ondemand manufacturing and how additive manufacturing can benefit their spare parts supply chain,” said Toh. “However, fast forward to 2024, we are currently making big metal parts and end users are currently more open to adopting additive manufacturing in their business model.”

She said lessons learned include improving awareness, getting suppliers that are certified and qualified to produce spare parts and also working with OEMs to produce their parts with the relevant certifications and standards.

There’s no doubt the technology can deliver impressive results, not just in delivering a lighter, quicker spare part but also enhancing its performance in the process. In October 2023, Pelagus 3D used AM for a return oil stand pipe on the TYLSA RoRo vessel owned by Wallenius Wilhelmsen. Working with Kawasaki Heavy Industries, Pelagus 3D was able to

determine the optimal component shape for the return oil standpipe, a crucial part on diesel engines, with the new design combining 10 traditionally manufactured parts into one additively manufactured part.

This redesign enhanced the part’s performance by improving flow efficiency by delivering smoother channels, with no sharp edges. The part was fabricated in stainless steel using an AM technology called Selective Laser Sintering (SLS), which uses lasers to fuse powdered materials into a solid structure.

Through AM, the weight of the spare part was reduced by more than 90%, from 75 kilograms to 8 kilograms, which eliminated the need for a crane during installation. The lead time for fabrication was reduced to 15 days as compared to 135 days using traditional manufacturing, vastly reducing vessel downtime.

Cutting Out the Breakbulk Middle Man?

For standardized parts, such as simple bolts, AM is unlikely to ever out-compete conventional manufacturing methods because of the higher costs. It’s the complex, the specialist and the hardto-access parts that are best suited to AM – and sometimes that means the parts that are the bread-andbutter of the breakbulk business.

Take wind turbines, for example, which involve many bits of specialist hardware that involve long and complex supply chains to reach remote sites and have created busy order books for many breakbulk carriers. These are big bits of highly specialized hardware, which need constant maintenance to optimize uptime – and given remote locations and protracted supply chains, it makes sense for manufacturers like Vestas to investigate the potential of AM.

The Danish renewable energy giant has been working with Berlinheadquartered BigRep, which has developed a large-format additive manufacturing system. Vestas tasked BigRep to produce jigs and fixtures to

position the vital lightning protection system within the wind turbine’s blades, a job that requires precision accuracy given the blades are highly susceptible to lightning strikes.

Conventional steel jigs and fixturing tools face challenges with deformation and damage can be hard to detect, but AM-produced advanced polymerbased tooling proved to be resistant to deformation while also fracturing under duress so that faults could be detected early on during turbine assembly. The result was a three-week reduction in lead time and an impressive 72% cost reduction in manufacturing these crucial components whilst surpassing the accuracy standards of traditional tooling.

It remains, however, a small piece of the wind turbine supply chain. Indeed, if the initial idea of “printing onsite” thrilled industry, in practice it is still traditional manufacturing and the heavy-lift cranes, deck carriers and barges that install these turbines that are doing the heavy lifting of the energy transition.

There’s no doubt that AM is an impressive and disruptive technology but its hype curve still has some way to go before it reaches the slope of enlightenment, much less the plateau of productivity.

Award-winning freelance journalist Amy McLellan has been reporting on the highs and lows of the upstream oil and gas and maritime industries for 20 years.

* Breakbulk Exhibitor

*Breakbulk Global Shipper Network member

Pelagus 3D uses additive manufacturing to streamline the maritime and offshore industries’ supply chain. Credit: Pelagus 3D

DRIVING DECARBONIZATION IN BREAKBULK SHIPPING

Industry Comes Together to Harmonize Emissions Reporting

In an era where environmental sustainability dominates global agendas, the breakbulk shipping industry faces unique challenges, as a lack of standards and difficulty in comparing like-for-like between projects often hamper progress.

To tackle these issues, a group of industry experts recently collaborated to publish the first-ever methodology that harmonizes emissions accounting and reporting for the breakbulk sector.

The new framework, published by global non-profit organization Smart Freight Centre (SFC), has not only helped to identify key issues in emissions monitoring but also put in place some much-needed mechanisms for the industry to develop the next generation of reporting tools.

“Creating the report relied on interaction from across the breakbulk

community,” Marcus Lomax, technical manager at SFC, tells Breakbulk, adding that “the report relied on interaction with actors along the physical supply chain, namely cargo owners, freight forwarders and carriers.”

The resulting ‘Breakbulk GHG Emissions Accounting and Reporting

Marcus Lomax

By Malcolm Ramsay

Guidance’ report was published in March and was designed to provide a framework that reflects the breakbulk industry’s specificities while also aligning with ISO 14083 and the GLEC Framework.

Developing a New Methodology

To ensure a comprehensive approach, SFC worked with experts from Bechtel, AAL Shipping, BBC Chartering , dship Carriers, DHL Global Forwarding, Kiewit , Fracht Group, Spliethoff and others. Lomax explains: “A lot of time was spent discussing the methodological principles for the accounting of transport-activity. It was important to come to an agreement on what unit should be used for the ‘quantity of freight’.”

The AAL Limassol carries a full weather deck of project cargo on its maiden voyage from China to Europe. Credit: AAL Shipping

In the container shipping segment, emissions reporting is typically directly related to cargo tonnes, where tonnage is tied to the quantity of freight or TEUs (Twenty Foot Equivalent Units) carried. However, this approach quickly breaks down when applied to the heavy-lift sector, since the specificity of cargoes and projects means that valuable information is lost in this approximation.

Stephen Spoljaric from Bechtel highlights the key difference between measuring emissions in the container sector versus breakbulk: “Containers are, by definition, unitized. Understanding the amount of fuel used between point A and B is the numerator, and the number of loaded containers on that leg is the denominator, so the emission is equally distributed across all of the containers.

“But for breakbulk, we have the complexity of weight and volume… so unless you charter the entire ship, the ability to define the denominator is debatable.”

A Metric for Fair Allocation

This discrepancy led the collaborators to focus instead on revenue freight tonnes, a unit that takes whatever value is higher between a cubic meter or metric tonne calculation for the cargo in question.

“One challenge with standardizing reporting and monitoring across the breakbulk industry is the huge variation in ships and cargoes carried,” Felix Schoeller from AAL Shipping (AAL) tells Breakbulk “Often the broad vessel classes do not expose the true

emissions profiles of individual ships or the cargoes that they are carrying, and it is easy to make false comparisons.”

Lomax of SFC echoes this view, noting the “heterogeneous nature of the cargo” being transported in the breakbulk sector. “Neither a pure mass-based, or volume-based approach would be appropriate if we want to allocate emissions fairly,“ he said. “Revenue freight tonnes allows for a more even distribution of emissions between dense but heavy cargo and light but bulky cargo.”

This approach isn’t without problems, however, as there is no standard conversion between revenue freight tonnes and metric tonnes. This meant it was important that the emissions allocated using revenue freight tonnes were also reallocated to the metric tonnes of the cargo, allowing shippers and freight forwarders the ability to harmonize their multimodal emission and activity reports which is often based on tonnes.

“For breakbulk and projects, the spread of attributability per transported tonne is even more complex due to factors such as inducement ports and/ or vessel configuration allowing for more or less loading capacity to share (or not) the emission,” said Mario Hess, global head of customer solutions for deugro visiotrack “We are already seeing different emissions values attributed to deugro-controlled shipments, although they are comparable in tonnage, distance and vessel type.”

Complexities in Emissions Attribution

As breakbulk ocean traffic typically has less predefined routes and port calls than container fleets, it can be a challenge to capture the specific attributable emissions. The various different ship types used in the breakbulk sector then adds further complexity for distribution of emissions responsibility.

Spoljaric explains: “At the time of fixing a charter, there may be a proposed vessel type, but the actual nominated vessel that is suitable for the transport could be very different from an emissions perspective. Because the allocation of emissions factors is typically distributed across an entire fleet, decision making based on surety of emissions outcomes is an area without precedent in the industry.”

To compound this issue, there is also a risk if a carrier is unable to find completion cargo. In that case, the carrier may reserve their contractual right to apply a higher emissions responsibility to the shipper who made the initial booking, adding another layer of complexity.

At present, emissions accounting in the breakbulk sector is entirely reliant on the use of primary fuel consumption data and this means that shippers and freight forwarders are reliant on their carriers to report activity and emission data for their scope 3 reporting.

“Primary data is the gold standard when it comes to emission reporting and in particular detailed scope 3

Stephen Spoljaric

Mario Hess

Felix Schoeller

reporting,” Lomax states. ”This should remain the way in which emission data is reported. However, it would be good to develop a standard list of non-carrier specific emission intensity values for general Scope 3 reporting for shippers and LSPs who do not have privileged access to primary data.”

The Path Forward: Innovation and Integration

While the new guidance acts as a template for comparison of emissions, all the stakeholders involved see decarbonization as a long journey that will require more fine-tuning and further harmonization of standards.

Hess of deugro notes: “The breakbulk sector would benefit from a universally-accepted emissions standard that is ratified by shippers, terminal operators and forwarders alike but different countries and regions currently have varying regulations and standards, leading to a fragmented approach that can be difficult for international operators to navigate.”

Despite these challenges, the industry is undoubtedly making progress, as Schoeller from AAL points out: “Looking back on the last 15 years, we can see that the industry has come a long way already. First-generation vessels from around the year 2000 were real gas guzzlers, but when you look at the new Super B-Class that we are currently launching, they are designed with efficiency and carbon footprint in mind from the outset and that makes monitoring and reporting so much easier.”

In many ways, decarbonization today is similar to how the industry approached safety many decades ago. Across the industry there is an expectation that breakbulk firms now approach safety as an absolute priority and that this is part of every evaluation process when making decisions.

“As the ability increases for companies to provide emissions information and promote targets to achieve in their path to decarbonization, minimum levels of expectations will start to be established,”

Spoljaric from Bechtel states.

“Today, when we look at lost time incident recordable rates, we can compare between multiple companies. I believe that as other industries start to establish what “good” looks like, companies like Bechtel will collaborate and benchmark to help our clients determine their timelines and goals…and then implement plans to achieve this.”

This integration across industries and supply chains is already starting to be seen today, with Schoeller of AAL noting that blue chip OEMs are already “very focused” on decarbonization throughout their supply chain and that this pressure translates into demand for greater transparency and emissions reporting on every project.

Towards a Cleaner, Greener Future

Technology is expected to play a big part in improving transparency with a huge growth in the amount of data that the industry collects from operations forecast in the coming years. From fuel usage and efficiency versus idle time to weather impacts and routing information, the availability of data is booming, as new tools of analysis such as advanced Artificial Intelligence blossom.

“Most importantly, capturing this data will ensure emissions disclosures are fully auditable,” Spoljaric adds. “This allows companies like Bechtel to better support our customer’s initiatives and targets through valid, deliberate decisions in the supply chain.”

Mario Hess from deugro visiotrack

adds that this data-rich approach extends not only to the vessels but to the cargo as well, through technology such as smart labels and real-time monitoring systems: “The deployment of smart cargo labels, such as RFID and real-time condition recording tags, can drive more accurate and timely emission capturing. Utilizing big data analytics can help in processing large volumes of emissions data, identifying trends, and providing actionable insights for better decision-making.”

As the industry prepares for a cleaner, greener future, the development of a standardized methodology for emissions accounting and reporting represents an ongoing challenge, but one that the stakeholders are rising to.

As shippers, forwarders, and carriers continue to innovate and collaborate, the sector is well-set for the task and Lomax from SFC suggests that developing new pathways will play a crucial role: “The maritime sector in general is a hard transport sector to decarbonize. I think that the mediumterm solution lies in the adoption of low-emission fuels. The emission profile of emission fuels can be democratized through a book and claim – mass balance or chain of custody approach.”

Based in the UK, Malcolm Ramsay has a background in business analysis and technology writing, with an emphasis on transportation and ports.

* Breakbulk Exhibitor

*Breakbulk Global Shipper Network member

deugro visiotrack shipment tracker showing carbon emissions. Credit: deugro visiotrack

By Luke King

AGUSTIN HARRIAGUE: THE PROJECT CARGO ENABLER

Ditch the Sales Pitch, Shipper Urges Would-be Logistics Partners

“People told me I was crazy,” says Agustin Harriague, recalling how in 2015 he gave up a secure job in logistics management in order to go backpacking around the world with his future wife. “In the end, it was the best decision I ever made.”

Harriague’s spontaneous sabbatical certainly doesn’t appear to have hindered his career progression. Now vice president, logistics at Mitsubishi Power Americas, the 40-year-old oversees a team of logistics specialists at the power solutions arm of Japan’s Mitsubishi Heavy Industries.

Charged with ensuring the safe and efficient transportation of complex project cargo shipments around the world, a “typical day is a difficult day,” says Florida-based Harriague. His remit includes managing the logistics operation for Savannah Machinery Works, the gas turbine manufacturing base of Mitsubishi Heavy Industries in

the U.S., as well as external oversized equipment purchased by Mitsubishi.

“Project cargo drives a significant part of our spend; I would say around 60% of our overall spend is project logistics,” he says. “We have turbines up to 300 or 400 metric tons, generators that are over 560 metric tons.

“Gas turbines for the most part are shipped out of our factory in Savannah by rail or barge. We move them within the U.S., and to other countries in Latin America. We have been very active in Mexico just recently, as well as Brazil. My team will manage all those moves, globally, for projects that are booked by Mitsubishi Power Americas in our region.”

‘Sucked Into Logistics’

After attending a German school in his native Argentina, Harriague began his career in 2004, initially working as an assistant at a major food and beverage company in Buenos Aires, aged 20. “Part of my job was working with third party entities, government entities, all related to export activities. So that kind of sucked me into the sphere of logistics and foreign trade,” he says.

Two years later, he moved to Siemens SA as a logistics analyst, coordinating heavy haul and project cargo shipments and being exposed to the power generation business for the first time. “At the same time that I was finalizing my bachelor’s degree in political science, I also started a second bachelor’s degree in supply chain management. I was doing both in parallel, working

nine hours a day with two degrees in progress. It was very demanding.”

Harriague would stay with Siemens in Argentina for more than seven years, but admits the high-pressure project logistics business left him feeling “burnout.” He recalls: “So at the beginning of 2015, I quit my role at Siemens, took a sabbatical and went backpacking around the world for a year with my now wife.

“That was one of the most stressful moments of my life. You are living in Buenos Aires city at the early stage of your managerial career and things are going well, but then you decide to do something different. All we had was a flight to Madrid and a return flight from London to Buenos Aires 11 months later.

“I was totally out of my comfort zone but it was fantastic. We spent six months in Europe, then six months in Asia, and finally Australia. It was a great decision and a life-changing one, because on the last leg of my trip, I got a job offer from Siemens to go to the U.S. as a regional manager.

“I was looking for an opportunity abroad, to expand my horizons, so it was perfect timing.”

Reflecting on the experience, Harriague says: “My advice is to embrace these opportunities. I believe that life will find its way to accommodate you if you take the

risk, and that there’s a high reward for people that take risk. That applies both to your life and to your career.”

Off to Orlando

Harriague was in “the middle of nowhere in Thailand” when he received his dream calling to the States. “I got this job offer over the phone and two months later I was going back to Argentina, with all the paperwork waiting for me. I went to the embassy, did the paperwork and organized the visa. Less than a month later, I was in my new home in Orlando.”

Beginning in February 2016, he spent four years with Siemens in Florida, rising to the role of head of supply chain management and responsible for logistics management and execution for projects throughout the Americas. He subsequently completed a year as head of project logistics, Latin America region, for Siemens Energy.

Before making his way to Mitsubishi, where he marked his first year anniversary in June, Harriague was director of global logistics for Fluence, an energy storage company created by Siemens and AES.

He describes his transfer to Mitsubishi Power Americas, which develops power generation technology to support the decarbonization of the energy industry, as a “move into the future.”

“WE CERTAINLY HAVE STRONG TIES TO OCEAN CARRIERS, AND WE WORK A LOT WITH FORWARDERS. I KNOW PARTNERSHIP IS A BUZZWORD BUT OUR SUPPLIERS ARE VERY EMBEDDED AND ENGAGED IN THE WAY WE WANT TO WORK.”

Americas

He says: “My role is to ensure our team is focusing on the right thing, which in this context is never just about the next shipment. It’s about orchestrating the entire logistics plan, understanding how all these pieces work together.

“Often there are complexities, cargo coming from all over the world for our projects, so when we ship a turbine, or a generator, all eyes are on that piece of equipment. It is a very engineered solution and all hands are on deck to make sure that the move

happens safely, on budget and on time.

“Other times, shipments that seem more simple from a volume perspective are the ones that demand more planning, coordination and visibility. So I think it’s all part of my effort to make sure that the orchestration is in place.

I like to see my role as an enabler.

“Risk management is probably the hardest part of the job these days, making sure our people are safe and healthy because there’s a lot of burden on their shoulders when it comes to project logistics.”

Hybrid Approach to Partners

In the search for shipping solutions, Harriague says Mitsubishi Power Americas adopts what he calls a “hybrid approach” to engaging logistics partners.

“We certainly have strong ties to ocean carriers, and we work a lot with forwarders. I know partnership is a buzzword but our suppliers are very embedded and engaged in the way we want to work – what our expectations are, what our processes are – so that we can repeatedly gain synergies around the way we work together.

“We focus on those and we strengthen those partnerships. Other times we decide to go direct. We have the talent in the group that allows us to go direct and do chartering, heavy haul, barging ourselves.”

Asked how would-be project logistics partners might win business from large industrial clients such as Mitsubishi Power Americas, Harriague offers: “I will say it’s being solutionsoriented and really knowing what your value proposition is, where you can add value. You will certainly hear from me and my team what our strategy is.

“I think project cargo owners are less interested in commoditized sales pitches. I want to understand what you as a carrier or a forwarder can offer, how we can help each other and find those value points. So, move away from a scripted sales pitch and talking about the different verticals within your own company. Instead, let’s sit together and let’s brainstorm a tailored proposition.

“Mitsubishi Power has a three-year plan when it comes to logistics, so we need to know which partners are part of that plan and can fit into the vision that we have for our function.”

Project Logistics Playbook

Looking forward, Harriague is cognizant of “very aggressive targets, especially here in the U.S.” to support the energy transition.

Harriague, an Argentinian, and his family are based in Orlando, Florida. Credit: Agustin Harriague

“That brings changes for us in terms of how we source equipment, the locations where we ship, the type of equipment. In saying that, I haven’t seen too many differences when it comes to how we apply the project logistics playbook, whether it’s hydrogen equipment or a gas turbine or steam turbine equipment. I think the hard skills and the capabilities of the team allow us to do both. Even if the cargo changes, project cargo, oversized freight is still going to be there because we have a tendency to engineer bigger and heavier, with more modular components.”

He adds: “In the future, I see more hard targets when it comes to ESG (environmental, social and governance), especially in relation to emissions tracking as part of our deliverables for our projects.

“So if our customers demand more in that respect, we are going to have to demand more of the logistics providers, the shipping lines, the freight forwarders, everybody we work with. We are going to have to pass on those demands so that we can meet the client’s requirements.

“In the end, I think it comes down to data and the biggest challenge, especially on the project logistics side, is whether we really are at the forefront with our efforts to collect better data.

“What type of data, what type of emissions tracking data visibility, real time visibility, do we have on the breakbulk multipurpose vessels? I won’t say that visibility is lacking at the moment, but I think it’s fragmented.”

‘Huge Soccer Fan’

Despite the inevitable lack of sleep that comes with being a dad of two young kids (aged one and four) Harriague tries to find time to pursue his hobbies. “Like every Argentinian, I’m a huge soccer fan and weekends are sometimes planned around watching my team, River

Plate from Buenos Aires. And I play soccer with the Mitsubishi team.”

The logistician also has a musical side and has a passion for punk rock. “I’ve played bass since I was a teenager and I enjoyed being in the punk rock scene in Argentina. I go to shows from time to time in Orlando, but I’m not that embedded in the underground scene anymore, although I certainly listen to music all the time. I play guitar here and I have lessons on Friday evenings.”

Asked where he sees his future, he says: “We initially came to the U.S.

with a plan to stay for three years but, eight years later, we are still here. I would love to go back to my country at some point and be close to my family and friends, but now I have two American boys – so let’s see how it goes. In the beginning it’s always difficult, but we’ve settled down and Orlando feels like home.”

Involved in the project cargo industry since 2007, Luke King is managing editor of Breakbulk

How to Win Project Cargo Contracts – Agustin’s Advice

“Prospective suppliers should take a deep dive into understanding the client’s business objectives, overall strategy and pain points. Value proposition should be crafted around our specific needs and where the supplier can add to our plan.

“I believe that gone are the days when features such as having a chartering desk, a control tower setup, or tracking platforms are seen as ground-breaking. Rather, they have become the industry standards – almost commoditized, in my opinion.

“To break in, go beyond the expected and don’t just offer what everyone else is doing. Back up your claims with compelling case studies and references that demonstrate your ability to execute. Prove that you’re not just here for a quick win, but rather to continuously evolve alongside us.”

Managing project cargo logistics is a significant part of Harriague’s role at Mitsubishi Power Americas. Credit: Mitsubishi Power Americas

*Breakbulk Global Shipper Network member

Heavy haulers Barnhart and Tradelossa worked closely with customs authorities from both Mexico and the U.S. to ensure the project’s success.

Credit:Barnhart

TGroup (THLG) joined forces to carry out what they describe as the largest land movement ever to cross the U.S.-Mexico border.

Barnhart was contracted to transport two steam turbine generators, four gas turbine generators and four gas turbines from a rail spur in Yuma, Arizona to two separate locations in Mexico – a complicated project that required

officials in both countries.

“Barnhart, with support from Tradelossa, successfully transported two turbines of similar dimensions for the energy sector from Yuma, to two different locations – the city of San Luis Rio Colorado and the Delegation of González Ortega, Mexicali, both within the border state of Baja California, Mexico,” the companies told Breakbulk

and complex because it required two transportation operations and border crossings of two oversized loads weighing over 200 tons each, through two different routes and connecting two nations.

“Coordinating with customs authorities from both Mexico and the U.S. was a key aspect of the success of these operations. The goal was not only to ensure that all components

reached their respective destinations in less than 24 hours, but also to ensure the integrity of both turbines, following the highest standards of quality and safety established by both companies.”

The first turbine, destined for the San Luis Rio Colorado Combined Cycle Power Plant, took a comparatively simple route from Yuma before heading south to the Mexican border.

The delivery of the second turbine was significantly more complex, however, since its final destination, the González Ortega Combined Cycle Power Plant, necessitated making the international crossing at the Calexico border post in California.

Reaching Gonzales Ortega would not be a simple task: extensive route analysis uncovered a deficient bridge on the route that could not be avoided. Responding to the challenge, Barnhart engineered and implemented a jump of the entire bridge structure using Barnhart’s 65-foot-long bridge jumper system, while the Tradelossa team provided the cranes and rigging crew to install and remove the bridge jump multiple times.

The adaptations were carefully designed to mitigate the impact of the heavy cargo, reducing the pressure of more than 200 tons on the bridge’s structure.

The project was awarded to Barnhart on April 7, 2023. Hauling operations began in August 2023 and the last load delivered on January 31, 2024.

Planning and Preparation

During the planning and preparation phase of the project, Barnhart’s engineering and operations team determined it would be necessary to use equipment with the technical capabilities to overcome the obstacles and the physical conditions along the two routes.

“The response was the cutting-edge girder bridge equipment designed, engineered and manufactured by Barnhart, known as the GS800,

Barnhart and Tradelossa devised a strategy to pass a deficient bridge on the route that could not be avoided. Credit:

originally deployed by Barnhart’s operational team in the North American city of Yuma,” the companies said.

“On the part of Tradelossa, movement was carried out with a prime mover – a specialized tractor to provide the necessary starting and pushing and pulling force to transport the colossal girder bridge structure and turbines throughout the Mexican side. Barnhart’s operators steered the transporter through tight turns and maneuvers, while Barnhart’s field supervisor was the primary point of contact for the transport.

“Each movement had to be planned; a schedule was made months in advance and, during this timeframe, key points such as the transport schedule, staff assignment and the request and processing of all permits and documentation necessary for the cargo’s crossing through the border, as well as entry into the plants, were defined.

“Similarly, Tradelossa’s expertise was required, with two key members acting as supervisors for all transfers, maneuvers and rigging operations carried out in the field.”

THLG Collaboration

This international project is an example of the close cooperation that has become a hallmark of THLG membership. The network was founded in 1987 by a number of West European heavy-lift operators in anticipation of the European single market. THLG has subsequently expanded internationally

and now boasts members all around the world, including Barnhart (U.S.) and Tradelossa (Mexico).

“To achieve such a feat on the field, Barnhart contracted Tradelossa to provide pull truck/prime mover and operators and developed a high level of communication and operational symbiosis with Tradelossa,” the THLG members reflected.

“Tradelossa provided their motor carrier IDs for the Mexican authority, thereby providing an avenue to secure permits with the Mexico government. Additionally, Tradelossa provided expertise in coordinating and liaising with Mexican authorities during the permit application and review process.”

The companies added: “Before the start of operations, it was necessary not only to strengthen communication channels between each department involved, but also to consider different measures and solutions for possible setbacks and challenges that could have arisen when transporting each turbine –from its point of origin in American territory, crossing the border, and to the two destination power plants located within Mexican territory.

“The result was that each party fulfilled their commitments, maintaining a flow of communication between both teams, achieving an ideal execution and respecting all timeframes requested by our clients.”

*Breakbulk exhibitors

Barnhart

By Luke King

BREAKBULK BUSINESS

Trans Global Projects (TGP) has been active in Brazil since 2005 and specializes in project cargo, heavy-lift and out-of-gauge shipments.

Credit: TGP Brazil

BUSINESS BOOMING IN BRAZIL

Market Boosted by Clean Energy Push and Closer Portugal Ties

Breakbulk specialists are, for now, shrugging off fears about Brazil’s fiscal fragility - interest rates and public debt remain stubbornly high –and enjoying brisk business in Latin America’s largest economy.

The country is making progress towards its goal of regaining its investment grade status, with Moody upgrading its credit outlook for Brazil from “stable” to “positive” in May – the first revision since 2018.

Another encouraging indicator is an uptick in trade between Brazil and the former colonial power, Portugal. Brazilian president Lula da Silva is reportedly keen to revive ties with Portugal after several years of cool relations – a shift that could boost business for project forwarders in both Lusophone countries.

In 2023, EDP produced the first molecule of green hydrogen in the whole of Latin America (in the Brazilian state of Ceará) and aims to carve a role for Portugal as a gateway of hydrogen

into Europe, via the Port of Sines.

In addition to EDP Brasil’s pilot project, the Government of Ceará has signed 24 Memorandums of Understandings (MOUs) to implement green hydrogen projects and, in the coming years, Portuguese energy companies EDP and GALP plan to invest €5.7 billion to develop major energy projects in Brazil.

In an interview conducted at Breakbulk Europe in Rotterdam, João Braz, chief commercial officer at the Port of Açu on Brazil’s east coast, said the port was in discussion with a number of Portuguese companies regarding energy transition projects.

He pointed to the signing of an MOU by Ocean Winds, a 50-50 joint venture between EDP and Brazilian utility company Engie, to make Açu a primary hub for the installation, commissioning, operation and maintenance of offshore wind farms in Brazil’s Southeast region.

“There is a lot of potential for

partnership between Brazil and Portugal and the Port of Açu has a unique opportunity,” Braz said. “There is no other port in the country with availability and potential connectivity to the national gas network, which is a facilitator for attracting industries and will enable the production of nitrogen and urea. We would also highlight wind and solar, and that the coast off Port of Açu is one of the windiest parts of the country.”

Unaffected by the space constraints that are putting a squeeze on Northern Europe’s ports, Açu boasts an area of 1 million square meters that has been licensed for the installation of a low-carbon hydrogen hub.

“Granted by the Government of Rio, the license facilitates companies that want to build and operate green hydrogen plants in the Port of Açu, which in the future will become a hydrogen hub that can house several plants simultaneously.

For the final phase of the hub’s installation, production in Port of Açu is expected to be 561.8 kton per year of green hydrogen and 43,000 tons of blue hydrogen,” added Braz.

Diversifying for the Future

The port executive echoed the sentiment expressed by panelists at the Breakbulk Europe event who told the audience that fossil fuels would remain a key source of business for many years to come.

“40% of Brazil’s oil is exported via our port, so oil and gas will continue to be one of the main activities in the port. But like the rest of the world, we are also diversifying,” Braz said.

Port of Açu – in which the Port

of Antwerp has invested US$ 10 million – made the most of their visit to Breakbulk Europe by holding meetings with one of their major customers, the Navigator Company, Portugal’s main producer of green energy from biomass.

Açu is already handling Navigator logs and wood chips – at first glance a rather routine cargo, but an essential one that makes its way across Europe and goes on to power all manner of green projects.

Brazil’s only privately-owned port, Açu now hopes to increase its volumes by consolidating the shipments of wood products that currently are exported by other Brazilian ports, and eventually opening a processing facility for the products in Açu.

“One of the Port of Açu’s other big bets now is on the market for sustainable decommissioning of oil platforms,” concluded Braz, pointing out that in its strategic plan for 20242028, state owned energy company Petrobras expects to spend US$ 11 billion on decommissioning activity.

Positive Sentiment

Breakbulk Europe exhibitor Trans Global Projects (TGP) has a long-established presence

in Brazil dating back to 2005, including offices in São Paulo, Rio de Janeiro and Belo Horizonte.

Renato Mello, managing director of Trans Global Projects in Brazil, attended the Rotterdam event and said the improved economic outlook for his home country, as noted by the OECD, has contributed to a more positive business sentiment.

“The project cargo market in Brazil is currently experiencing steady growth, driven by infrastructure development and investment in the energy sector,” he said.

“Compared to its neighbors, Brazil shows significant potential for future breakbulk activity due to its large-scale projects and extensive natural resources. While countries like Argentina and Colombia also present opportunities, Brazil’s market size and project pipeline position it favorably for future growth.

“This optimism is reflected in increased investments and project initiations across various sectors, including construction and energy. As a result, the project cargo sector is experiencing heightened activity, with more projects coming online and an increased demand for specialized logistics services.”

João Braz

Port of Açu is Brazil’s only privately-owned port and has received US$ 10 million investment from the Port of Antwerp.

Credit: Port Publicity

Looking ahead, Mello said: “We agree with the panelists at Breakbulk Europe that oil and gas will remain a dominant market for project cargo activity in the near future. TGP Brazil is heavily involved in energy projects, with a significant portion of our activity dedicated to the oil and gas sector. However, we are also seeing a growing demand for renewable energy projects, and our operations are increasingly focusing on this segment, balancing our portfolio between fossil fuels and renewables.”

Mello cautioned that the breakbulk business wasn’t all smooth sailing, however. “Moving project cargo in Brazil presents several challenges, including regulatory complexities, infrastructure bottlenecks and logistical hurdles in remote areas.

“To facilitate the movement of oversized freight, significant investments are needed in road and rail infrastructure, streamlined regulatory processes and advanced logistics technology. These improvements would enhance efficiency and reduce transit times for project cargo.”

‘Opportunities Everywhere’

Exhibiting at Breakbulk Europe as part of the The Heavy Lift Group, Murilo Caldana, project director at Sao Paulobased forwarder FOX Brasil, also noted an increase in joint Portuguese-Brazil investments and pointed to projects FOX has carried out in partnership with L.Branco - Navegação e Trânsitos, the network’s member for Portugal.

Joint cooperation was especially visible in the infrastructure and the energy sectors, Caldana said, though he noted this did not materially affect the exchange of goods between the two countries, since Brazil already produces much of the heavy equipment needed for projects, such as turbines, transformers and generators.

He added: “Aside from renewables, there are still many oil and gas projects in Brazil, a few thermal power

plants, refineries and FPSO units – there are plenty of opportunities in the energy segment. I always look positively to the project cargo market in Brazil, simply because we are a country in development.”

His otherwise positive outlook was tempered only by Brazil’s perennial issues related to “infrastructure in remote areas, the distances involved in transporting cargo in such a huge country, regulations and bureaucracy.”

Asked how Brazil’s project cargo pipeline compared to that of other Latin American countries, Caldana concluded: “I don’t like to draw

comparisons with our neighbors because you have opportunities everywhere – just check what is happening now in Guyana,” he said, referring to an oil boom in that country which is generating GDP growth rates as high as 30%.

“It’s not only the size of the economy, but the overall opportunities for growth that really generate project cargo.”

Involved in the project cargo industry since 2007, Luke King is managing editor of Breakbulk.

*Breakbulk Exhibitor

The Heavy Lift Group members FOX Brasil and L.Branco - Navegação e Trânsitos teamed up with LASO to coordinate the shipment of a biomass power plant from Brazil to Portugal. Credit: THLG

Credit: TGP Brazil

By Simon West

DOMINICAN REPUBLIC EMERGES AS CARIBBEAN POWERHOUSE

DP World, MPL Among Companies Active in Region’s Leading Logistics Hub

While tourists to the Dominican Republic may be seduced by powdery white beaches and crystal-clear Caribbean waters, breakbulk professionals are more likely to be enthused by the country’s emergence as a world-class logistics hub.

Sharing the island of Hispaniola with Haiti, the Dominican Republic’s auspicious geographical location offers easy access to major markets throughout the Americas and Europe – one of the reasons Dubaibased DP World chose to establish a foothold in the country more than two decades ago. Speaking to Breakbulk, Manuel Martinez, CEO for DP World

Dominicana, described the country as the Caribbean’s “premier trade and logistics center” and a “critical juncture” for cargo redistribution across the U.S. and Central and South America.

“The Dominican Republic’s strategic location is just one of its many strengths,” Martinez said. “The country has also upheld a stable political and social environment and a robust economy that serves as a benchmark for the region. With a legal framework that fosters foreign investment, over 800 international companies have set up operations in the country’s free zones aiming to diversify their operations.”

DP World’s facilities are centered

Top: DP World’s Caucedo Port, Dominican Republic. Credit: DP World

around the Punta Caucedo peninsula, about 25 kilometers from capital city Santo Domingo, and include a deepwater port, a world-scale logistics center and the recently launched Punta Cana Air Cargo Hub (PCACH), a joint venture between DP World and the Punta Cana Free Trade Zone.

Caucedo Port is the country’s newest port and one of several in the country capable of processing breakbulk and project cargo – others include Santo Domingo, Boca Chica and Rio Haina in southeast Santo Domingo province and Puerto Plata in northern Puerto Plata province. Caucedo can handle some 2.5 million twenty-foot equivalent units (TEUs)

and boasts the deepest draft in the Caribbean, allowing it to accommodate larger vessels than neighboring facilities. An adjacent economic zone offers three million square meters of land to companies seeking to relocate their logistics operations.

The port also features a dock dedicated to feeder ships, project ships and general cargo vessels that provide weekly connections throughout the Caribbean. In the last two years, DP World Dominicana has handled more than 250,000 tons of breakbulk, much of it arriving from Asia, Brazil and Turkey as it moves through the Caribbean.

“In July, we’re receiving a new Super Post Panamax crane, which will add greater capacity and flexibility to our operations, and a new fleet of electric trucks that will reduce emissions. We also plan to develop 102,000 square meters of warehouses and 500,000 square meters of land for loose cargo and RoRo within the next 18 months,” Martinez said.

The PCACH, meanwhile, which began operations in late-2023, is located at the Punta Cana International Airport and houses an air cargo terminal, logistics center, warehouses, manufacturing facilities, a fuel supply terminal, a maintenance and repair workshop for aircraft and a general service building. The hub has just welcomed the arrival of its first freighter aircraft, which is transporting bulk cargo on a weekly Toronto - Mexico - Ecuador - Punta Cana route.

The nation’s ports and air cargo hubs are connected to major commercial and industrial centers by an extensive highway network, but, as is common throughout the region, roads between coastal regions and inland areas often pose challenges for the movement of heavy cargo.

“The road infrastructure is not that bad,” said Alvaro Muñoz, business manager at Comodality Dominicana, the local division of Denmark-based forwarder Comodality Group. “Road maintenance is not so good, but the network covers the whole country and potholes do get fixed. We have police assistance for any car or truck with problems on the roads, which is much better than many other countries in Latin America and the Caribbean.”

“It’s All About Energy”

Solid infrastructure is vital for the Dominican Republic’s flourishing project market – the largest in the Caribbean, according to Robert Fernaine, regional head of Latin America and the Caribbean at Maersk Project Logistics (MPL)

While many Caribbean countries focus on tourism and agriculture, the Dominican government has opted to diversify its economy and support the buildout of industrial sectors including manufacturing, mining and energy. Investment in infrastructure such as public transport, roads and ports has further boosted the need for heavy transport logistics, Martinez said.

In the power sector, the country has embarked on a clean energy drive in a bid to generate 25% of its electricity from renewables by 2025 and 30% by the end of the decade, a target the government believes will call for private sector investments of US$5.4 billion. Spending this year on green energy projects is expected to reach US$1.3 billion, according to the government’s national energy commission, the CNE. Some 26 large-scale

renewable projects are currently being built; eight of those are slated for start-up in the coming months, the CNE said in a June update.

While solar photovoltaic (PV) projects dominate the mix, wind farms are also being built, such as the 50-megawatt (MW) Cacaos project in northern María Trinidad Sánchez province and the 49MW Vientos del Jovero project in eastern El Seibo province.

The Dominican government also wants to expand natural gas capacity in a bid to reduce costly imports. Construction is already underway on the Manzanillo gas project , set to be the largest in the country and among the biggest in the region. The 1.2-GW project in northwest Monte Cristi province will comprise three gas-fired power plants as well as a liquified natural gas (LNG) storage facility and pipelines.

“It’s all about energy,” Fernaine said. “If you look at the Caribbean region then the Dominican Republic is the strongest breakbulk and project-related country. It’s an energy, project-based destination country. Wind farms, thermoelectric, solar projects – that is where the country is growing. We’re quoting for a few things that are happening. We have transformers that are under quotation, and we are participating in thermoelectric expansion.”

Since its launch in May 2023 following the integration of Danish project logistics specialist Martin Bencher, MPL has sought to gain a toehold throughout Latin America and the Caribbean, offering special cargo transport and project management services to both new and existing customers.

The forwarder has also been transporting humanitarian aid to Haiti, often using the Dominican Republic’s better-equipped ports and air cargo facilities as a launchpad for urgent deliveries. Haiti – the poorest country in the Western Hemisphere

Manuel Martinez

– has struggled to recover from a devastating earthquake in 2010 that killed tens of thousands of Haitians, with widespread poverty, political instability and gang violence exacerbating the crisis.

“We have a very strong relationship with a number of agencies from the United Nations that we are supplying a lot of equipment to,” Fernaine said. “The Dominican Republic is sometimes used as a support base for the flow of goods into Haiti, but our first option is to go directly to avoid any transhipment or additional cost. We have done a few air charters as well from the U.S. into Haiti delivering humanitarian cargo directly. That had been stopped but we are now resuming again.”

While continuing to support its neighbor with the relief efforts, the Dominican Republic remains steadfast in its bid to expand its logistics infrastructure and lure more foreign investment. FDI inflows to the country last year jumped 7.1% to US$4.4 billion, the largest recipient country in the Caribbean, according to a June report from the U.N.’s trade and development agency UNCTAD.

Challenges remain though, with Martinez pointing to the ongoing crisis in the Red Sea and the severe drought in Central America that has forced the Panama Canal to slash daily transits. “As with any significant logistics hub, any disruption that occurs in the regional or global supply chain represents a challenge,” the CEO said. “But we are actively collaborating with our key partners – particularly the maritime lines that traverse the Panama Canal – to manage these disruptions and mitigate these challenges.”

Colombia-based Simon West is senior reporter for Breakbulk.

*Breakbulk Exhibitor

Maersk Project Logistics supports projects across Latin America and the Caribbean. Credit: Maersk Project Logistics

DECARBONIZATION AND ENERGY TRANSITION

How to Unlock the Highway of Development in Latin America

Latin America is moving towards the future with new energy. The global trend towards decarbonizing the economy and transitioning to an energy matrix with a greater abundance of renewables places the region at center stage. The world will demand the natural resources that abound in this part of the world, such as wind, solar, hydro energy and key metals like copper, nickel and lithium.

Opportunities are multiplying. In a survey conducted by BNamericas, 57% of the executives consulted indicated that they will increase their spending on decarbonization. Solar energy (59%) and wind energy (18%) are the two that will grow the fastest in the next five years. Additionally, it identified 322 solar and wind projects scheduled to enter the construction stage during 2024, which will add 43GW to the region’s power generation capacity.

Latin American countries will benefit from a diversification of their export matrix, the development of innovative technologies, and some will become more independent of the hydrocarbons that are currently imported. The environmental impact of most of these projects is under evaluation and everything indicates that the green light will be given gradually as legal frameworks are defined. Green hydrogen, a field in which

Latin America is at the forefront, is another pillar of decarbonization. The region has access to both oceans, allowing direct maritime routes to European and Asian markets, where demand is expected to grow exponentially. Additionally, almost 60% of the installed capacity in Latin America comes from renewable energies, which is an advantage both in availability and costs for producing green hydrogen.

Historical Deficits and New Challenges

A historical deficit remains unresolved: infrastructure, including the transmission capacity of electrical systems. The solution seems to lie in new battery storage technologies, however the topic, with the exception of Chile, is still very new in the region.

On the other hand, the future scarcity of key minerals for the

By Pablo Hanacek

energy transition, such as copper and lithium, is the starting point for the multiplication of mining projects. According to the International Energy Agency (IEA), revenues from critical minerals in Latin America reached US$100 billion in 2022 and will rise to US$150 billion in 2030. By 2050, they could surpass revenues from fossil fuels. To capitalize on this, it is necessary to break down another classic barrier: the slowness of regulatory frameworks to adapt to new needs.

There is an additional challenge: the commitment of the value chain, including logistics, to maintain efficiency, compliance and sustainability from end to end. DHL Group, for example, is committed to achieving zero emissions by 2050. A transition aimed at benefiting the planet must be carried out by a set of actors capable of ensuring the health of the people involved in these projects, environmental safety and risk mitigation.

The path to decarbonization and the energy transition is not without obstacles, but the volume of opportunities for the development of Latin America is so significant that it is worth— paradoxically—putting all our energy into reaching the destination.

* Breakbulk Exhibitor

Pablo Hanacek is Industrial Projects Head at DHL Global Forwarding Argentina

Pablo Hanacek

BARGE REVIVAL

THE US WEST COAST

Pilot Project Linking Ports of San Diego and Bellingham Slated for Start-up This Year

By Simon West

Port of Bellingham barge dock.

Credit: Port of Bellingham

ON COAST

After decades of being undercut by cheap fuel prices and a deregulated trucking market, the use of barges to carry breakbulk and other cargoes up and down the U.S. West Coast could be on the verge of a comeback, with a new intracoastal pilot project slated for start-up by the end of the year.

The Marine Highway 5, or M-5 project, is seeking to replicate U.S. maritime administration Marad’s success of developing ocean-going links between ports on the East Coast and in the Gulf, and would be the first genuine effort to connect the western states of California, Oregon and Washington with a regular domestic cabotage barge system.

The corridor would run parallel to Interstate-5, or I-5, the main northsouth freeway on the West Coast, opening up a direct ocean link from the Port of San Diego in southern California to Washington state’s Port of Bellingham a few kilometers south of the U.S.-Canadian border.

“There has yet to be a successful U.S. West Coast barge service on the ocean. But we think the time is right,” said Greg Borossay, principal of maritime business development at the Port of San Diego, one of the sponsors of the M-5 project.

“After Covid, the supply chain crisis really hit the larger ports. Here in San Diego, for instance, we were asked to take two to four additional loaders per month, primarily from LA Long Beach because they couldn’t handle the cargo. And the same went for other medium-

sized ports up and down the West Coast. Coming out of that situation, we saw there was a need for better connectivity for North American goods that flow up and down that corridor.”

Emissions Rules Put Pressure on Trucking

The use of barges in the region is hardly a new concept – in the 1970s there was barging “all the time” between certain points along the West Coast, Borossay said. But the deregulation of the trucking and railroad industries starting in the 1980s, cheaper fuels and the buildout of the U.S. road network made trucks a more costeffective and convenient option.

But the tide is turning again, as stricter emissions rules in California are curtailing the availability of heavyduty trucks to carry cargo, with the Advanced Clean Trucks (ACT) and Advanced Clean Fleets (ACF) regulations aiming to create a fully zero-emissionvehicle (ZEV) fleet by the mid-2040s.

“ACT is about sales of new trucks, which will be transitioning to electric vehicles (EVs) much like California’s light-duty vehicle sales, though on a slower ramp,” said Mark Jacobsen, an economics professor at the University of California San Diego. “ACF meanwhile includes both new and used trucks and affects companies with over 50 trucks and all drayage trucks, which are required to be zero-emissions by 2035.”

The extent to which these new rules will boost demand for barges and other transport modes depends on “aggregate elasticity of demand,” the professor said. “We would expect switching away from trucks and into other forms of freight transport like rail or ocean barge. The direction is clear, but the magnitude is much less certain. It may be that the switching effects will turn out to be pretty small, or they could be much more significant.”

Borossay estimated that new emissions regulations could result in a third of all trucks in California ceasing to operate or being transferred to

Greg Borossay

CAPACITY CRUNCH ON US WATERWAYS

Barges and tugs play a crucial role transporting project cargo on the roughly 12,000 commercially navigable miles of inland and intracoastal waterways in the U.S., much of which is comprised by the Mississippi River and its channels. But an infrastructure drive fueled by federal stimulus programs and investment in energy sectors such as offshore wind and natural gas are putting pressure on marine transport companies to meet rising demand for these specialized vessels.

“The U.S. has a finite number of barges and there are long lead times to build new ones. So right now we have a very tight market for all barge classes, which we haven’t seen for a long time,” said Benjamin Smith, vice president of operations at Stevens Towing, a freight transport company based on Yonges Island, South Carolina. “Expansion is going to happen, but it’s not going to happen rapidly.”

Steve Frank, sales manager for heavy-lift at Ceres Barge Line, an

asset-based marine transportation firm based in St. Louis, Missouri, pointed to the growing use of waterways to deliver heavy components for capital improvement projects and power grid upgrades.

“This type of cargo seems to keep getting larger, eliminating road and rail as an option and creating at least one barge leg to get closer to the final destination,” Frank told Breakbulk.

“At the moment, equipment availability is a challenge for project cargoes and construction as there are multiple large projects going on simultaneously that are sucking up a lot of barge equipment. Clients are even holding barges long term, sometimes sitting idle just so they have them on standby and ready at their beckon call. With steel prices being on the high side, not as many newbuilds are coming out to either increase capacity or replace existing equipment. All of this is driving rate increases to compensate capacity and for future builds.”

other states. The spike in diesel prices, meanwhile, has also knocked the competitiveness of road transport. “A truck move from northern Washington down to San Diego has at least doubled in price, making the barge option much more viable,” he said.

Barge Pilot Takes Shape

According to Borossay, the M-5 line would begin by shipping lumber from Oregon and Washington down to key markets in California. A pilot project carrying raw timber products is slated to start up in late 2024, with a goal of making it a monthly service as soon as feasible. The transport of heavy project cargo could follow in “two to three years,” the executive said.

Building materials suppliers

Dixieline Lumber and Boise Cascade would initially be the primary southbound users of the barge, while two large European ocean carriers – unnamed at this stage – are reportedly interested in using the service to ship empty containers back up to the Pacific Northwest.

Matthew Cress, business development manager at the Port of Bellingham, another of the project’s sponsors, told Breakbulk that the project had received request for proposals (RFPs) from five companies interested in running the service. The operator’s duties would include managing bookings, overseeing stowage and working the tugs and barges.

Ceres Barge Line transports out-of-gauge cargo, New Orleans.

Credit:Ceres Barge Line

Matthew Cress

“We know that to make this really viable, we need to fill the barges –we can’t just have partial cargoes otherwise it will be too expensive for shippers to move, and nobody will want to do the business if they’re not getting a certain return. At the end of the day it’s the operator that needs to make a profit,” Cress said.

“So we’re going to start with raw lumber and then continue with cold storage products and any other types of breakbulk or project cargo – steel beams or coils or whatever. Essentially, this is a start-up and we’re looking forward to it succeeding.”

Ports Benefit From Federal Funds

Marad has already approved the project and begun funding infrastructure upgrades at the sponsor ports: San Diego was awarded US$5 million to expand the fendering, laydown area and berthing location for the barges while Bellingham received US$1.7 million to

purchase a new portable barge ramp for its Bellingham Shipping Terminal (BST), one of its two facilities – the other being C-Street Terminal –equipped to accommodate barges.

“The barge ramp is being designed and should be constructed by 2025. In the meantime, the port is able to begin this (M-5) service using existing mooring options and our Liebherr LHM 420 mobile harbor crane,” Cress said. “The port’s objective is to increase activity at BST with a multipurpose terminal working barges and cargo vessels.”

One potential drawback to using barges along the West Coast is speed – a trip from San Diego to Bellingham would take eight days, whereas a truck can cover the same ground in about a quarter of the time. But, as lumber often sits in yards for weeks before it is moved on, and empty containers are not carrying cargo, the just-in-time requirements – initially at least –would not be an issue, Borossay said.

“Project cargo would probably be much more time sensitive, but again, projects move very slowly. If you’re talking about offshore wind and those projects that are coming in the next decade or two, I would say yes, there would be tighter timeframes. But hopefully by that time we’ve developed enough of the network so that there are choices and flexibility for customers.

“What we’re hoping is that we’ll be positioned with the barge already functioning for lumber and for containers when the project cargo starts to come along. If we have an established milk run with barges, then it’s not so difficult for an operator to inject a larger barge or a barge that is modified to handle breakbulk. That’s the intent longer term.”

Colombia-based Simon West is senior reporter for Breakbulk.

* Breakbulk Exhibitor

RoRo operations at the Port of San Diego’s National City Marine Terminal.

Credit:Port of San Diego

COMBATING HUMAN TRAFFICKING

How the Transport Industry Is Making a Difference

Pulling into a truck stop to take a break, professional truck driver

Kevin Kimmel noticed suspicious activity around an RV in the lot. After seeing a young woman try to stick her head out the window only to have it violently pulled back, he called 911.

When officers arrived on the scene, a state trooper took the young woman aside and discovered the two people she was traveling with had been torturing her, threatening to kill her family and forcing her to perform sex acts for money with unknown men in the RV. As a result of Kevin Kimmel’s 911 call, the victim received medical attention and was reunited with her family. The perpetrators were arrested and sentenced to 40 and 41 years in prison for sex trafficking and related charges.

Human trafficking—or modernday slavery—is a global problem in which people are illegally bought and sold for forced labor or commercial sex. Traffickers use violence, manipulation and false promises of work opportunities or romance to lure, control and exploit their victims, generating billions of dollars per year in illicit profit around the world. It is paradoxically both a hidden crime and one that regularly occurs in plain sight, as traffickers are relying on the public to be ignorant and apathetic as they exploit their victims for profit.

As the eyes and ears of the highways, roadways and communities, professional truck drivers are uniquely positioned

to recognize and report human trafficking. As traffickers keep their victims on the move, they are traveling on the same highways and visiting the same truck stops and gas stations as everyone else, creating multiple opportunities for victim identification.

TAT (Truckers Against Trafficking) is a non-profit organization that exists to educate, equip, empower and mobilize members of key industries and agencies to combat human trafficking. TAT is raising a mobile army of transportation and energy professionals to make a difference in the lives of victims of human trafficking and help law enforcement investigate and prosecute traffickers. Since its founding in 2009, TAT has trained over 1.8 million people on how to recognize and report this crime, leading them to help in the recovery of hundreds of victims.

With the goal of reaching every professional driver with human

By Annie Sovcik

trafficking awareness training, TAT partners with trucking companies, truck stops, manufacturers, energy companies, bus companies, dealerships and more to educate their workforce with TAT’s free, niche-specific training resources.

TAT also works with companies to identify ways they can leverage their spheres of influence to create greater awareness throughout their communities and networks to both interrupt and prevent his crime.

To learn more about TAT and explore partnership opportunities, visit https://tatnonprofit.org/

Annie Sovcik is TAT’s senior director of Programs & Strategic Initiatives, managing TAT’s energy program and working to build public-private partnerships between key industries and law enforcement in order to combat human trafficking.

Can You Identify Human Trafficking?

Signs that someone may be a victim include:

• Having their communication restricted or controlled

• Lacking knowledge of their whereabouts

• Not being in control of their own identification documents

• Showing signs of physical or psychological abuse

• Exchanging sex for anything of value

Annie Sovcik

INDIA’S LEGISLATIVE TURNAROUND

By Sanjna Vardhan

New Policies Are Accelerating Development in the World’s Largest Democracy

In the dynamic landscape of Indian infrastructure and logistics, the role of legislative change is an often understated, yet crucial, factor in project development. The logistics sector, a backbone of the Indian economy, is currently experiencing fundamental

change as a result of the legislative reforms.

These measures are not just reshaping the logistics industry, but also contributing significantly to the acceleration of projects across India. The recent legislative changes and new

INDIA’S LEGISLATIVE DEVELOPMENT – THE KEY INITIATIVES:

Legislation/Initiative Description

GST Implementation

National Logistics Policy (NLP)

“PM Gati Shakti” Master Plan

Unified Logistics Interface

Unified tax system for goods and services

processes designed to aid the ease of doing business in India have included removing bottlenecks in the logistics sector – this, in turn, has had a ripple effect on overall project acceleration.

Some of the country’s recent initiatives are detailed in the table below.

Impact on Projects

Resulted in a simplified tax across India. structure, reducing logistics costs and transit times for projects.

Aims to decrease the logistics cost and improve Streamlined supply chains, leading the efficiency of logistics services. to faster project execution and reduced costs.

National master plan for infrastructure

Enhanced coordination and faster development, integrating various ministries. clearances, accelerating infrastructure project timelines.

A digital platform for data sharing across Improved operational efficiency in Platform (ULIP) logistics stakeholders. logistics, supporting timely project completion.

E-Way Bill System

Online Permissions for

Electronic billing system for goods movement

Reduced paperwork and delays in under GST. interstate transportation of materials.

Streamlined process for permissions for Quicker and more efficient ODC/OWC Cargo by Mo oversized cargo. transport of large components for The Ministry of Road infrastructure projects.

Transport and Highways

Simplified customs procedures for import

Reduced delays in cross-border Cross-Border Customs and export. trade, aiding in timely project Clearance Reforms material availability.

Infrastructure Investment Framework to finance infrastructure projects.

Increased funding availability for Trusts (InvITs) large-scale infrastructure projects.

Source: Procam Group

Benefits From a Project Perspective

With these measures, the Government of India has been steering the logistics and infrastructure sectors towards greater efficiency and international competitiveness. The new legislation and policy amendments have yielded concrete benefits, notably in expediting transit times and refining the tax framework, while also leading to infrastructure enhancements.

The measures have succeeded in significantly enhancing logistics efficiency. Tax law amendments have refined the tax structure for the logistics sector, while investments in the road network have smoothed cargo transportation, reducing costs and minimizing delays.

THE DATA TRACKING THE CHANGES

Enhanced supply chain management has improved predictability and reliability. Digitalization has increased budget allocations and ensured timely project completion while policy advancements, such as the National Logistics

Policy and PM Gati Shakti plan, have promoted cost reductions. These changes have boosted India’s ranking in the Logistics Performance Index, improving its global logistics profile.

Comparative data further highlights the impacts of these changes.

Project Cost Overrun is falling due to more predictable and due to Logistics efficient logistics services. Source:

“BY ADDRESSING THE ROOT CHALLENGES OF LOGISTICS EFFICIENCY, THESE INTERVENTIONS HAVE SET A FOUNDATION FOR FASTER, COST-EFFECTIVE AND MORE RELIABLE PROJECT EXECUTION.”

Catalyst for Infrastructure Development

India’s recent legislative changes have had a profound impact on numerous infrastructure and logistics projects and it is evident that reforms in the logistics sector can act as a catalyst for project acceleration in India.

By addressing the root challenges of logistics efficiency, these interventions have set a foundation for faster, cost-effective and more reliable project execution.

The Indian experience serves as a model, demonstrating how strategic legislative changes in logistics can propel an entire nation’s infrastructure development towards greater efficiency and effectiveness.

Some of the major Indian infrastructure and logistics projects that have benefited from these initiatives include the Delhi-Mumbai Industrial Corridor (DMIC), the modernization of Mundra Port, the Mumbai Trans Harbour Link and the Chennai-Bangalore Industrial Corridor.

Another huge project, Bharatmala Pariyojana is an umbrella initiative for the highways sector, which envisages 50 new national corridors connecting 550 districts in the country. India has also developed Eastern and Western Peripheral Expressways and built the Chenab Rail Bridge - a steel and concrete arch bridge carrying a single-track railway line in the Jammu Division of Jammu and Kashmir.

The Sagarmala program, meanwhile, has been launched by the government to enhance the performance of the country’s logistics sector. In particular, it aims to unlock the potential of waterways and the coastline in order to minimize the infrastructural investments required to meet these targets.

In addition, there have been numerous Dedicated Freight Corridors (DFC), metro rail projects and logistics parks – all signs of a healthy economy benefiting from these much-needed reforms.

Sanjna Vardhan is General Manager at Procam Group, a member of The Heavy Lift Group.Vardhan is a passionate heavy-lift professional with an engineering background.

INDIA’S PROJECT LOGISTICS OUTLOOK - THE SHIPPER’S VIEWPOINT

By Dharmendra Gangrade

Following the 2024 elections, which will see Narendra Modi continuing to lead India as prime minister for a third consecutive term, the country is destined for accelerated economic growth on the back of ongoing and upcoming transformative infrastructure projects.

In recent times, India’s faster economic expansion has put the project logistics industry on a higher growth trajectory, supported by the government’s investment focus in large-scale infrastructure development, which includes roads, rail, waterways, ports and airports.

The “Make in India” initiative is attracting huge investment in the domestic manufacturing sector and, in many ways, India is in a sweet spot as a global manufacturing hub, since many companies are increasingly opting for a “CHINDIA” (“China and India”) sourcing strategy in order to secure their supplies in an ever disrupted global supply chain.

In this growing landscape of Indian infrastructure and logistics, it is true that the role of legislative change is often understated yet crucial. In the last eight years, the government has introduced a number of transformative legislations and initiatives which have benefited the logistics sector.

The impact is evident in various indexes and parameters. India’s global standings have improved India’s ranking in the Logistics Performance Index from #54 in 2015 to #35 in 2023, indicating a better global logistics profile, and, during the same period, the Ease of Doing Business Rank improved exponentially from #132 in 2015 to #63 in 2023.

Given the significant development in road and rail infrastructure, simplified tax structure, world

class logistics parks and digital transformation of many regulatory processes over the last decade, it is highly unlikely that India’s logistics cost will remain at the historic levels of 13-14% of GDP.

The government has awakened to this, and rightly so. The Department for Promotion of Industry and Internal Trade (DPIIT) plans to engage the National Council of Applied Economic Research (NCAER) to conduct a primary survey to assess cargo movement patterns and the cost of logistics for each component

involved. This proposed survey will help shed light on logistics cost per tonne per kilometer on each of the routes under consideration, and the differential in logistics costs across routes, modes, products, types of cargo and service operations.

Additionally, on a comparative note during the period between 2015 and 2023, many other performance parameters have shown significant improvement in their index or ranking, such as Average Project Completion Time (Months) reduced to 36 months from 48, Customs Clearance Time (Days) reduced to 3 days from 5.5, Project Cost Overrun due to Logistics from 20% to 12%, and so on.

With so much simultaneous development covering all aspects of the economy, India is poised to be the world’s third largest economy by 2027. Needless to say, India will also strengthen its position for manufacturing via the “Make in India” strategy in the years to come.

Dharmendra Gangrade is head of the logistics management center for Larsen & Toubro Limited (known as L&T). Gangrade is a member of the Breakbulk editorial advisory board.

Dharmendra Gangrade

Larsen & Toubro Limited columns seen at Adani Port, Hazira. Credit: Larsen & Toubro

ALMAJDOUIE MEGA

MOVE UNVEILED AT

UGANDA: LAND OF PROJECTS

Crude Oil Pipeline to Tanzania Is Catalyst for Development in East African State

By Liesl Venter

The East African Crude Oil Pipeline (EACOP), spanning 1,443 kilometers from Kabaale in Uganda’s Hoima district to the Chongoleani Peninsula near Tanzania’s Tanga Port, is set to be one of Africa’s most transformative projects.

With an investment of around US$4 billion, the massive infrastructure endeavor promises significant economic benefits for both Uganda and neighboring Tanzania. However, like many large-scale projects on the continent, it has not been without its share of controversy.

Climate activists in East Africa and abroad have been fighting to stop what will ultimately be the world’s longestheated crude oil pipeline, arguing that it could have disastrous environmental and social consequences. They claim the megaproject will displace local communities, pollute water resources, destroy wetland ecosystems and endanger animal species. Additionally, critics argue the pipeline will exacerbate the global climate crisis by promoting further fossil fuel extraction.

Nevertheless, Uganda intends to become a leading hub in East Africa and has committed to the project. Global research firm BMI projects Uganda’s construction sector will grow at an average pace of 5.6% year-onyear between 2024 and 2033. In the first half of its forecast period, oil investments will support construction activity, with a relatively muted public expenditure outlook weighing on transport infrastructure growth. In the long term, oil revenues are set to benefit state-led infrastructure investments.

Duncan Bonnett, a leading African project expert and partner at Africa House, a research consultancy, says that oil is leading the charge, with activity in Uganda’s project sector at an all-time high. ”It is important to note that many of these projects have been on the agenda for years and have not always been progressing at a breakneck pace,” he told Breakbulk

“Oil was discovered in the country about 20 years ago, but progress has been slow. Despite resistance to projects like EACOP, there is no sign of slowing down in the oil and gas sector. The number of projects

is rising, and existing projects are seeing more activity than ever.”

Bonnett says that while the world might be transitioning away from fossil fuels, African countries like Uganda, which are new players in the oil and gas sector, are recognizing the opportunity it holds for transforming their economies.

He adds that a project like EACOP is a “major game changer” for countries like Uganda and Tanzania, in particular. “It’s important to recognize that Uganda is not aiming to become a major oil producer, with a target of only around 216,000 barrels a day. However, a project like EACOP immediately introduces another export revenue stream for the country, making a massive difference to the economy.”

Furthermore, the project has catalyzed other developments, spurring ongoing investment in transport and infrastructure. One significant project is a Hoima district refinery capable of processing 60,000 barrels of oil per day. Additionally, the construction of a nearby airport has been critical. Being landlocked and dependent on neighboring countries’ ports, with limited rail access and poor road infrastructure,

Uganda faces significant logistical challenges. The remote location of the oil fields, which requires traversing the Great Rift Valley, made building an airport in Hoima essential to support the growing oil sector and improve project logistics.

Infrastructure ‘Lagging Behind’

As in much of Africa, projects in Uganda are challenging. Rural and remote locations, difficult access and complex logistics create an environment that requires resilience and determination. The quality of roads in the country remains a significant hindrance, says Philip van Tilburg, managing director of Fracht Uganda. “Many roads are unpaved, which makes them inaccessible during the rainy season and poses difficulties for transportation. Additionally, Uganda’s rail network is underdeveloped and still relies on the outdated meter gauge system, lagging behind more advanced rail infrastructures in other countries.”

He explains that the poor infrastructure contributes to higher fuel prices and increased costs for logistics operations, ultimately impacting the end user. Limited technological infrastructure further elevates costs and hampers efficient logistics. Additionally, volatile currency rates in the region add another layer of uncertainty and financial strain on logistics services.

Gerald Kadapawo, portfolio project manager for Hydropower Development at East African Power (EAP), a renewable energy company, says that over the

past decade, Uganda has witnessed significant industrialization, with new factories producing smaller components essential for project development. “This has reduced the need for imports and the transport of components over long distances from the Kenyan and Tanzanian ports. Additionally, cement and steel are now more readily available in the country.”

However, more significant components like turbines and generators require cumbersome transportation over extended road distances. “The logistics challenges underscore the importance of local expertise in Ugandan projects. A deep understanding of local dynamics is critical for success,” he says.

Project Surge

Speak to just about anyone, and they will tell you that most of the challenges can be overcome, and there is far more to be excited about. Overall, positivity surrounds Uganda’s project sector. Van Tilburg says Fracht is currently involved in several projects, including two largescale road rehabilitation projects and several aimed at improving water and sanitation in various areas of the country. “We are also working on a power project reinforcing the power transmission grid in the Kampala metropolitan area for reliable future electricity supply.”

According to Bonnett, while EACOP has garnered significant attention in the country for developments in the oil and gas industry, the power sector is also increasingly gaining prominence.

“The lack of electricity hampers economic growth across African countries, and Uganda is no different. Ugandan authorities are hard at work addressing this, and we are seeing a definite increase in power projects.”

Kadapawo agrees, saying there has been a definite uptick, particularly in the renewable energy sector. EAC is working on two advanced hydro projects in Uganda, with several more in the pipeline. Construction is set to start within the next few months at Latoro, a project in Northern Uganda that will generate 4.82 megawatts (MW) of power upon completion.

Meanwhile, feasibility studies at the Rubabo hydropower project in Western Uganda are 90% complete. This power plant will generate 3,7 MW. “We anticipate construction to start in the second quarter of 2025, as we will have completed all of the requirements, including the power purchase agreement, by then.”

According to Kadapawo, regulation in the project sector is highly strenuous. “Authorities have consecutively been selected as the best by the African Development Bank for the past five years. While this is positive, it can be challenging regarding the pace at which projects move.”

He says red tape is a significant issue in many African jurisdictions. “In Uganda, regulations are stringent and highly project-specific. Not every rule applies uniformly across all projects, and adherence to correct procedures is crucial to avoid delays.”

Promising Pipeline

Bonnett advises companies across the project sector to keep a close watch on Uganda. The country is making significant strides in infrastructure development that bode well for the sector as a whole.

“With EACOP well underway and the oil and gas projects gaining momentum, extensive exploration is ongoing around Lake Albert both onshore and offshore. The pressing demand for electricity in

Gerald Kadapawo

Philip van Tilburg

“THE REGION IS EXPERIENCING SOLID ECONOMIC GROWTH, DRIVING UP TRADE VOLUMES.”

JEAN BIWAGA

the country and the region indicates a rise in energy-related projects, especially in renewables like hydro and solar.”

Bonnett says the railway is also gaining traction, with Uganda’s intent to overhaul the country’s metergauge railway to improve trade competitiveness, reduce cost, and improve efficiency. The government is also part of the Standard Gauge Railway (SGR) project with other East African countries to strengthen regional railways. ”And this project is a big deal,” he says. “While each country is primarily involved through their domestic connections, once completed, it will integrate the entire region via rail, with railway lines linking Kenya to Uganda, South Sudan, the Democratic Republic of the Congo, Rwanda and Burundi.”

Jean Biwaga, CCO and assistant Branch Manager of Fracht Uganda, adds that various road construction projects are in the pipeline to enhance internal connectivity, making transporting goods within the country and to neighboring regions easier. “There’s also a plan to revamp water transport routes, connecting Tanzania via Mwanza to Port Bell. This will provide a costeffective alternative for goods arriving through the Dar-es-Salaam port.”

In May this year Uganda was recognized at the Annual Investment Meeting (AIM) as the top investment destination in Africa. With the government implementing several strategies to attract more Foreign Direct investment (FDI), the country is poised to increase its project portfolio significantly.

Kadapawo says that with infrastructure improvements and increased interest leading to more

investment, project developers like EAP are expanding their presence in Uganda and undertaking more significant projects. “Our focus, in the future, will be on slightly larger projects, and we are considering several hydropower projects of 40 MW and larger. We are also looking into investing in grid networks, which remains a challenge in Uganda, and we anticipate an increase in these projects.”

He says the opportunities in Uganda are only increasing. “For the longest time, infrastructure projects received little attention, but we have turned a corner. There is now a clearer understanding of the importance of these developments, and the government is making efforts not only to increase the number of projects in the country but also to expedite project delivery.”

Kadapawo says it’s a snowball effect. “If the development of the oil and gas sector continues on its current trajectory, the country will need approximately 300 MW of power solely to support that industry.” Bonnett adds that being landlocked and far from ports, the Uganda government will have no option but to bolster its rail and road projects in response to further energy developments.

Promising Economic Outlook

“The region is experiencing solid economic growth, driving up trade volumes. As a result, there’s a need for better logistics infrastructure and services. Attracting foreign investment into the logistics sector is crucial for sustaining development and taking advantage of advanced technologies,” says Biwaga.

Initiatives to address some of the concerns and challenges are already underway. Reducing red tape has been a particular priority for the government, and there have been positive developments in terms of regulations. “Implementing the Single Customs Territory (SCT) has streamlined the customs clearance processes. This means fewer delays and a smoother flow of goods within the region. Efforts to harmonize regulations across East African countries are ongoing as well. The goal is simplifying crossborder logistics and making trade more efficient,” says Van Tilburg.

Bonnett says that East Africa continues to thrive as a region.

“COVID had a significant impact and indeed set projects back several years. Despite this, the area did not experience negative GDP, although it was slightly lower. This resilience is crucial, especially when contrasted with the global negative GDP experienced globally. It underscores the potential of countries like Uganda.

“Oil will play a pivotal role moving forward, but alongside these major projects, we will also witness numerous smaller projects and developments, particularly around Kampala.”

Concludes Van Tilburg: “EACOP will significantly impact the energy sector in Uganda, marking a substantial leap toward the country’s goal of becoming an oil exporter. The success of this project, alongside initiatives like the railways and roads, will drive extensive infrastructure modernization, foster improved regional cooperation and economic ties, and contribute to broader economic integration and development across East Africa.

“Importantly, it will enhance trade efficiency, lower costs and transit times for goods, and enhance Uganda’s competitiveness in the global market.”

Liesl Venter is a transportation journalist based in South Africa.

*Breakbulk Exhibitor

By Thomas Timlen

JAPAN: A MARKET POISED FOR GROWTH

Offshore Wind and LNG Projects Driving Demand for Heavy-Lift Shipping

Factors including wage growth, consumer spending and a weak yen are, in the second half of 2024, expected to deliver GDP growth for Japan - an increasingly attractive market for those providing heavylift and project cargo transportation services.

In February, Swire Shipping returned to Japan - a market Swire first served as long ago as 1867 - with a new branch office in Tokyo. The carrier cited the “vast potential of the Japanese market” and said it was integrating its Westwood brand to create “a unified front for its services in Japan, North America, South Korea and China.” Swire provides specialist shipping services to the global project logistics market under its Swire Projects banner, providing customer solutions

for project, heavy-lift, refrigerated, breakbulk and mini bulk cargoes.

“In Japan, there is significant demand for heavy-lift and project cargo transportation services in various sectors,” Peter Roland, BBC Chartering’s managing director in Japan, told Breakbulk. “One notable area is the renewable energy sector, particularly with the construction of wind farms and solar power plants. These projects often require the transportation of large wind turbine components, such as blades, towers, and nacelles, as well as solar panels and related equipment.

“Additionally, infrastructure projects such as bridge construction, building renovations, and industrial plant expansions also require the movement of heavy machinery, steel structures, and oversized components.”

Roland is not alone in pointing towards renewables. “In order to ensure energy security, reduce greenhouse gas emissions and combat climate change, onshore and small-scale offshore wind power projects are being

Peter Roland

developed, and there is a growing demand for heavy-lift and project cargo transportation services to import equipment such as turbines, blades, and towers for these projects,” said Masahiko Uchiyama, JSI Alliance’s managing director for Japan.

“Due to the demand for wind powerrelated equipment, the number of our ships calling at Japanese ports for imports has exceeded the number of exports in recent years. This trend is likely to continue for the time being as the Japanese government strives to achieve its greenhouse gas reduction target of a 46% reduction by fiscal year 2030 compared to fiscal year 2013.”

Existing government programs appear to be buttressing the demand generated by the energy sector, as Marc Willim, AAL Shipping’s global head of chartering, explained to Breakbulk. “While the Japanese market has been quiet on the export side, import projects have been steady. Almost all import projects have been wind energy-related.

“As part of the Japanese government’s 6th Strategic Energy Plan, approved in October 2021, it aims to increase the share of renewables in its energy mix to 36 to 38% by 2030, up from 20% in 2021. Wind power currently accounts for around 1% of the energy mix and will therefore need to be scaled up, both onshore and offshore, providing significant opportunity for related cargoes.”

Government’s Ambitious Target

Uchiyama pointed to the Japanese government’s ambitious target of introducing 45GW of offshore wind power by 2040. “This will create a huge demand for heavy-lift and project cargo services to transport the foundations, turbines, etc. for Japan’s offshore wind power projects.”

Another driver for project cargo transportation demand is further expansion in the LNG sector, which has been impacted by conflicts far from Japan. “We also see high demand from LNG projects,” says Uchiyama. “There was already steady demand but further demand has been generated by strengthening energy security and managing geopolitical risks in the wake of the Russia-Ukraine conflict.

“Although there are uncertainties such as the U.S. presidential election, demand for energy remains strong and, as a result, demand for heavy-lift and project cargo transportation services for new projects is also expected to remain high for coming years.”

In turn, related regional developments can draw in Japanese know-how as Yuko Kimura, AAL Shipping Japan’s managing director, explains. “There are several projects in the pipeline that will call on Japan’s expertise, including power plants in Southeast and North Asia, as well as LNG plant and hydrogen projects in Oceania. These types of projects will

require heavy modules, gas turbines, stators, and pipe racks, which will all require expert premium heavylift handling and transportation.”

There are pros and cons regarding the strength of a national currency.

A Deloitte report pointed out that the silver lining of a weak yen is the strength it provides to Japan’s international trade position. This has helped with some exports, with related growth seen across several goods categories. Transportation equipment has been the largest source of export strength, with exports up 20.1% from a year ago in February. Yet, as Willim pointed out, for the heavylift and project cargo sector, there is still more business with imports.

Roland shares these sentiments.

“The nature of Japanese exports in transportation equipment often includes large-scale machinery, automotive components, and electrical machinery. While some of these exports may require heavy-lift and project cargo transportation services, the majority are likely transported using standard shipping methods.

“However, as Japan continues to innovate in technology and manufacturing, there may be an increase in the export of specialized equipment that necessitates the use of heavy-lift and project cargo transportation.”

Uchiyama notes similar imbalances. “Unfortunately, the recent number of heavy units which are exporting from Japan are much less compared to the past. I sincerely hope that the weak yen and unchanging technical capabilities bring manufacturing back to Japan, as this will contribute towards to the transmission of technology by the manufacturer as well as maintaining high technical capabilities of port workers.”

Unique Inventory

He recognizes that Japan has its own unique inventory of heavy-lift and project cargo transportation assets,

Marc Willim Yuko Kimura

and remains hopeful. “With over sixty versatile heavy-lift vessels and semisubmersible deck carriers as well as advanced engineering capabilities, at JSI we are confident that we can contribute towards further boosting project transportation in Japan.”

Meanwhile, Willim sees some potential for opportunities with imports. “In general, the Japanese market has been quite slow for project and heavy-lift cargoes in recent years. Exports have been down and instead we see Japan buying and shipping from markets like South Korea, China and Vietnam. Under this guise, we have seen some involvement in projects in the U.S., shipping from other locations also in Southeast Asia for instance.”

Beyond the energy sector, Japan continues to pursue a variety of infrastructure projects. According to GlobalData’s construction projects database, the five largest construction projects initiated in Japan during Q1 2024 were the Toranomon 1-Chome East District Urban Redevelopment; the Kikuchi Power Semiconductor Manufacturing Facility; the ACC-1 Cable System; the AirTrunk OSK1 Data Center; and the Dogenzaka 2-Chome South District Type One Urban Redevelopment. But how much demand is generated by these initiatives?

“Typically, these kinds of infrastructure projects are served domestically,” says Willim. “Japan has the capability of manufacturing and supplying a large portion of materials and equipment for these projects with almost no import cargo requirements, and so the need for premium heavy transport vessels to support those developments is somewhat limited.”

Adds Kimura: “Within that limited import scope, these construction projects may require steel from China to be shipped to Japan. However, to date, most of these cargoes have been carried by smaller Chinese or Japanese vessels.”

BBC’s Roland holds a similar view. “The construction projects listed will

likely generate an increase in demand for project cargo transportation services. However, they are not specifically on our watch list. For instance, the Kikuchi Power Semiconductor Manufacturing Facility project would involve transporting large machinery and equipment for semiconductor production. Our company has been involved in such projects, providing logistics support for the transportation of oversized equipment and components using specialized trailers, cranes and handling equipment.”

Deloitte’s analysts expect that the yen will likely strengthen later this year if the U.S. central bank fully adopts a softer approach as expected, but it is unlikely to snap back to its pre-pandemic value any time soon. This should prevent international trade from turning into much of a headwind this year.

Forward-looking optimism is shared by Roland. “As the country transitions towards cleaner energy sources, there will be a growing need to transport oversized components for wind, solar, and hydrogen energy projects. Additionally, advancements in technology and manufacturing may lead to the export of more specialized

equipment, further driving demand for project cargo transportation services.”

“Looking ahead, upcoming infrastructure projects such as high-speed rail expansions, port developments, and urban redevelopment initiatives are expected to sustain or enhance demand for heavy-lift and project cargo transportation services in Japan,” he adds. “Additionally, projects related to the decommissioning of nuclear power plants and the construction of new energy facilities, such as hydrogen production plants, are also likely to require specialized transportation solutions.”

In view of Japan’s expansion of offshore wind generation, LNG projects and cautious optimism expressed by industry stakeholders, it appears that there will be a sustained demand for heavy-lift and project cargo transportation services for the remainder of 2024 and well into next year.

Thomas Timlen is a Singapore-based analyst, researcher, writer and spokesperson with 31 years of experience addressing the regulatory and operational issues that impact all sectors of the maritime industry.

AAL Brisbane loading a transformer in Yokohama. Credit: AAL Shipping * Breakbulk Exhibitor

Amid the ongoing war in Ukraine, the European Union (EU) is bolstering its ties with the Balkan countries, many of which are currently outside the bloc, by funding significant infrastructure and energy initiatives. A growing trend in the region is investment in renewable energy projects, including wind, solar and biogas - all of which mean business for local project forwarders.

The Ukraine war is another factor that has significantly impacted the logistics, project cargo and breakbulk industries in the Balkans over the last two years. Military convoys are “straining the transport infrastructure in Romania,” says Adrian Slavu, project manager at Modpack. In Bulgaria, military exercises have increased military machinery movement leading to “extra costs” and “big delays,” notes Mladen Ganchev, manager of Holleman Bulgaria

Sanctions against Russia further complicate the situation, affecting the volume of goods transported. Transit volumes through Bulgaria, particularly to Kazakhstan, increased last year but are now decreasing. “These will directly depend on the sanctions against Russia and the need

BALKANS: A REGION UNDERGOING TRANSFORMATION

Renewable Energy Boom Spells Opportunity for the Breakbulk Community

By Emma Dailey

to find new routes,” Ganchev says. Changes in cargo types are also evident. “We are now dealing with a large volume of grains,” attests Karolina Cigula Božičević, managing director of Samer International. Meanwhile, the Bulgarian agricultural sector has suffered due to decreased wheat prices and export volumes, and higher costs for last year’s crop. This downturn has reduced the sale of agricultural machinery - “another blow to the transport companies in the region,” adds Ganchev, who foresees another significant drop in this area in 2024.

An end to the conflict remains a distant prospect at the present time, however geopolitical concerns have

highlighted the strategic importance of bringing the Balkans closer to the EU. “The Balkans and Romania (already an EU member) have the potential to emerge stronger through increased regional cooperation and integration with Europe,” Slavu says.

An Ever-Closer Union

After a period of enlargement fatigue, the conflict has renewed EU expansion efforts, reviving the aspirations of several Western Balkan nations to join the bloc (of the nine countries granted EU candidate status, six are Balkan states). Integration with the EU’s single market has historically driven economic growth and increased freedom of movement, benefiting the transport sector.

EU member Croatia joined both the European Economic Area (EEA) and the free movement ”Schengen” area, last year, while fellow members Bulgaria and Romania joined Schengen on March 31, 2024, achieving Bulgaria’s “most important goal,” said Ganchev.

EU accession requires would-be members to satisfy the Copenhagen criteria, which demand stable institutions, democracy and a competitive market economy. Based

Karolina Cigula Božičević

on historical trends, this involves improving the ease of doing business and clamping down on corruption.

“Transparency in choosing subcontractors and high levels of corruption are well recognized as one of the negative drivers of further development,” says Maja Sudjicki, managing director and partner at Samer & Co. In Romania, “many investors expect the business environment to improve in the coming years as key reforms are implemented,” adds Slavu.

New Growth Plan for the Western Balkans

Recognizing both the geostrategic importance of rapprochement and that the reforms needed for EU accession are costly, the EU Commission aims to facilitate the process in Albania, Bosnia and Herzegovina, Montenegro, North Macedonia, Serbia and Kosovo through the New Growth Plan for the Western Balkans, announced in November 2023.

It aims to bring Western Balkan partners closer to the EU by offering pre-accession benefits and boosting economic growth. Implementation accelerated this spring with regional summits in Albania and Montenegro, addressing topics such as membership of the Single Euro Payments Area, a payment integration initiative which Albania applied to join in June, and customs cooperation.

The New Growth Plan for the Western Balkans is supported by a financial instrument, the Reform and Growth Facility, worth 6 billion euros between 2024 and 2027. “The region should be able to double its economy in the next 10 years,” claimed Olivér Várhelyi, an EU commissioner, at a press conference in March. “It will be very difficult for the region to argue after 2027 that they are not ready to join the EU,” he added.

Sustainable transport and clean energy are receiving the lion’s share of EU investment in the Balkans. The benefits to the project cargo

and transportation sectors are twofold: on one hand, demand for special transport will increase for renewable projects, and on the other, improved infrastructure will lead to better conditions in the region.

Balkan Renewable Energy Boom

In 2022, the EU proposed an Energy Support Package for the Western Balkans, where the energy mix is still dominated by coal, to tackle the energy crisis and promote clean energy. The 1.8 billion euros EIP package encompasses 21 flagship projects, with the final 50 million euros to be made available this year upon successful implementation of the action plans in the package.

Balkan EU member states are also bound by EU Green Deal 2030 sustainability goals. Bosnia and Herzegovina targets a 43.6% share of renewables in gross final domestic energy consumption by 2030, while Serbia is aiming for 45.2%.

For Ganchev, “the positive news for the region is the restart of the windmill projects in 2025. There are many surveys running and plenty of inquiries as well. It seems the sector will be busy in the coming years with such transports.”

In Serbia, “As a new trend, many private investors are getting behind

renewable energy — wind, solar and biogas projects. The most challenging projects that will come to Serbia in the next few years would be wind parks in the mountains and some 100 sites are already in planning,” says Sudjicki.

Bozicevic adds that Samer International is “engaged in significant discussions in Serbia” surrounding this “logistically very demanding project.” In Croatia, she notes that solar power plants are also planned.

During the Balkan Energy Forum in May, the Greek government announced that public investment will reach 12.2 billion euros for 2024, “the highest ever reached for the last 14 years,” underscores Elisabeth Cosmatos, president of The Heavy Lift Group and CEO of the network’s member for Greece, Cosmatos Group. Greece has approved 20 solar parks with a total capacity of 1,117.14 MW. A hydropower plant is planned in western Greece, along with further development of onshore and offshore wind parks.

Balkan renewable energy projects are thus expected to stimulate the transport industry in the region as states aim for 2030 goals. This uptick in projects will add stress on local infrastructure, presenting new challenges and opportunities.

CROATIA

BULGARIA

GREECE

TURKIYE TURKIYE

BOSNIA AND HERZEGOVINA

MONTENEGRO KOSOVO

ALBANIA

MACEDONIA

SERBIA

The term, Balkans, encompasses Albania, Bosnia and Herzegovina, Bulgaria, Croatia, Greece, Kosovo, Macedonia, Montenegro, Serbia and European Turkey.

Infrastructure Challenges and Opportunities

The EU aims to boost transport connections and logistics through infrastructure funding. Through European Innovation Partnerships, the EU has invested 5.2 billion euros in 21 flagship projects. Sudjicki notes increased business opportunities in Serbia due to extensive infrastructure investment.

Bulgarian Defense Minister Todor Tagarev announced plans for Bulgaria and Greece to seek EU funding for a new highway between Thessaloniki, Kavala, Alexandroupolis, Burgas, and Varna in January. Last year, Greece also proposed a new rail corridor connecting Bulgaria,

Moldova and Romania with Ukraine, starting with a pilot link between Alexandroupolis, Thessaloniki, Ruse, and Constanta. Increased regional collaboration will play a key role in handling the influx of projects.

This opens new routes and opportunities for Greek ports to serve as hubs for breakbulk services to neighboring countries. “Solar and wind projects in North Macedonia will use Thessaloniki port as a key hub,” Cosmatos says. Thessaloniki, Burgas, and Varna ports are also essential for Bulgaria’s logistics, she notes.

To address the lack of port space, Greek ports are implementing capacity-expanding measures such as draft deepening in the Ports of Stylis and Volos. Greece’s port management has inaugurated weekly rail services between Thessaloniki and Sofia, Bulgaria, and Niš, Serbia.

These dry ports, extensions of the Thessaloniki port free zone, offer final delivery to Sofia and Niš. However, “urgent investment in infrastructure, cranes, and cargohandling equipment” is still needed in Thessaloniki, says Cosmatos. “Due to severe traffic and infrastructure limitations, we are often forced to divert our trains to Koper or

Italian ports,” adds Bozicevic.

To cope with such limitations, Bozicevic sees “potential for growth in smaller ports, which could alleviate congestion at Rijeka,” adding that “this decentralization could provide more options for handling cargo and stimulate economic growth in surrounding areas, marking a positive change for the future.”

Despite concerns over supply chain integrity and energy security, the future of project cargo in the Balkans is promising. Regionally, “There are a lot of prospects for project cargo; we are optimistic,” Cosmatos asserts.

Slavu concludes: “Intermodal transport, combining multiple modes such as rail and road, is expected to witness rapid growth. This optimism is fueled by substantial investments in renewable energy and infrastructure projects, creating significant business opportunities for the project cargo and breakbulk sectors.”

Emma Dailey is a French- and Englishspeaking journalist based in the Netherlands, with experience covering the project cargo and rail industries.

Elisabeth Cosmatos Caption.

Credit: Samer

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EUROPE’S SHORTSEA SHIPPING SURGE

Bumper Profits Drive Fleet Renewal Investment, Though Doubts Remain Over Alternative Fuels

Shortsea shipping is getting more attention in Europe, with factors ranging from the shortage of truck drivers to road congestion and the push for low-emission supply chains. The European Corporate Sustainability Reporting Directive (CSRD), which comes into force next year, will also focus the minds of shippers, as this new EU regulation integrates sustainability reporting with financial reporting as part of a move to a green and sustainable economy.

Speaking at the Coastlink 2024 conference, Johan Paul Verschuure, director of Rebel Ports and Logistics, noted that shortsea shipping is gaining a larger share in overall trade in Europe. When comparing total logistics end-to-end, including trucking, port, shipping and inventory costs, and adding in possible emissions charges, the balance changes, he said: “Hinterlands will contract, cargo will come from closer to ports, and you will have smaller ports.”

By Felicity Landon

Johan Paul Verschuure

However, even as demand for shortsea shipping goes up, it is not easy to find more space, he warned. The transition to new fuels that require more storage space will create even more of a squeeze on port space, with shortsea also competing with offshore renewables for working areas.

First, ships are required. With an average age of nearly 25 years, the European shortsea fleet is reaching the end of its lifecycle, said Sabine Kilper, senior research analyst at Toepfer Transport. “However, the good news is that the order book has been increasing – 193 ships, or 7.69% of the trading fleet. Shortsea is getting more attention.”

Many older ships are still in shape but not very fuel efficient, she said, and the green transition is the big driver for the orderbook. “People want a modern, fuel-efficient, low-emission fleet. Also, in the last two to three years, the market has become much more profitable and we now have the power to invest these profits into new ships.”

Kilper said many innovative ship designs had emerged in the past two years, including ‘traditional’

designs enhanced to deliver lower fuel consumption and emissions. “You can combine many features to improve fuel efficiency and reduce emissions – for example, optimize the hull shape, hybrid diesel electric propulsion, wind-assisted propulsion, improved cargo capacity. And other ships are being designed to burn ammonia or methanol.”

She emphasized, however, that earnings remain the vital point –sustainability depends on a sustainable company: “We need a business case; we cannot dream of a green world without earning money.”

Chicken and Egg Situation

Yorck Niclas Prehm, head of research at Toepfer, said: “Shippers are highly interested in greener shipping because they all have to present sustainability reports. However, they are interested up to the point when they are told the extra cost. Nobody is out there saying “I want to be low carbon and I am paying extra for this goal’. Some are willing to pay a bit more for greener fuels such as biofuels, but only for dedicated projects.”

Ship owners are looking into the various alternative fuel options for decarbonization, “but we call it the chicken and egg situation – as long as you don’t have enough ships burning a certain fuel, nobody will invest in the infrastructure, especially in the niche ports,” said Prehm.

“Who would take the risk of spending millions more dollars for a new ship without being certain that somehow the fuels will be available? Also, someone has to pay for it. You won’t get your money back – nobody will pay you extra for the possibility to burn methanol.”

Green corridors are being developed and/or proposed as a solution to provide certainty, but these are most relevant for regular container or ro-ro services serving fixed routes and ports, he said. While project and breakbulk cargo are sometimes moved

on liner services, “for breakbulk and project cargo, green corridors are close to impossible. You go to niche ports, you are tramping all the time on a non-regular basis, so even if a green corridor is existing and there is the availability of special fuels, ships first of all have to be fitted for this.”

A green corridor could be a solution for regular shipments of equipment from one factory to another – Prehm gave the example of a terminal in the U.S. where regular shipments of wind turbine blades produced in Brazil were shipped and consolidated. “Then you have a clear revolving point-to-point sailing. But usually, a large-scale project involves cargo coming from everywhere in the world and it is all about scheduling and reliability.”

Ports have long been expected to make the investment leap of faith to meet customers’ demands, often with little guarantee of customer loyalty or ROI – whether it is larger ship-to-shore cranes to handle mega container ships or earmarking space and investing to handle major offshore wind developments.

As Verschuure pointed out, ports have to take the gamble on investments in supporting the construction and operation of offshore wind farms; wind farm operators might present a business case for the next five years, “but traditional port concessions are ten or 20 years.”

Leading the Way

Will ports invest in storage and bunkering for a whole range of alternative fuels without any certainty that a shipping line will buy them?

The Port of Bilbao is “putting the egg before the chicken,” according to Andima Ormaetxe, the port’s director for operations, commercial, logistics and strategy. Bilbao is leading the way on a green corridors project for the Atlantic Corridor, aiming to attract increasing volumes between Spain and the North of Europe. This is not only about logistics volumes, said

Transport of windmill parts at Port of Amsterdam. Credit: Port of Amsterdam

Ormaetxe, but also energy volumes based on Bilbao’s Strategic Energy Hub, evolving from fossil fuels to renewable sources, including the creation and supply of green hydrogen.

“We are taking the risk, investing in these processes and inviting shipping lines and shippers to start this trip of decarbonization,” he said. “So we are really putting the egg before the chicken. If we just put pressure on the rest of the community, we are not going to succeed.”

The Port of Amsterdam has set an “ambitious” target of importing at least 1 million tonnes of green hydrogen annually by 2030 said Maurice Delattre, area manager, but it’s all about anticipating the demand from industry and transport in the coming years.

The ports of Bilbao, Amsterdam and Duisport have signed an MoU to develop an intra-European corridor

for renewable hydrogen and hydrogen derivatives connecting Spain, the Netherlands and Germany.

The Port of Amsterdam is committed to contributing to the decarbonization of industries within Europe, said Dorine Bosman, the port’s chief investment officer. At Coastlink, she talked about transforming the “coalition of the willing” to the “coalition of the doing,” emphasizing the need for collaboration across ports and shipping.

“We try to aggregate the demand that we perceive and also estimate to be high. If you talk to individual companies, we have a lot of manufacturers in our ports, they give us an estimate but they are really looking at their own supply chain. They need to understand that the hydrogen will be there when they need it and then they will make the decision,” she said.

Dover is pursuing a green corridor

project with the ports of Calais and Dunkirk but here the issue is electricity. The proposal is to operate electric ferries but, as DFDS operations director Jesper Christensen points out, while an electric vessel can be built in a couple of years if the plan and design is ready, one of the key difficulties is electrification of the ports.

While electricity is available at the French ports, Doug Bannister, chief executive at the Port of Dover, highlighted the obstacles on the UK side: “There is an option here that all the ferries are electric. The problem is, we don’t have much power,” he said. “Predicted demand would be160MW. Right now, we have access to 8MW.”

Ferry operators will not invest in electric ferries unless there is power in the port, “and we are not going to invest in electricity in the port unless there are electric ferries.”

dship Carriers heavy-lift vessel MV Alanis carries a full deck of project cargo.

Credit: dship Carriers

“WHO WOULD TAKE THE RISK OF SPENDING MILLIONS MORE DOLLARS FOR A NEW SHIP WITHOUT BEING CERTAIN THAT SOMEHOW THE FUELS WILL BE AVAILABLE?”

YORCK NICLAS PREHM, HEAD OF RESEARCH AT TOEPFER

Green Corridor Plan

In May, NatPower Marine and Peel Ports Group announced plans for the first ‘green shipping corridor’ between the UK and Ireland. The proposals are for NatPower Marine to invest more than £100m at Peel’s eight ports to establish charging infrastructure for e-ships and onshore power, and electric cars, vans and HGVs. The first green corridor routes would be Belfast-Heysham and Dublin-Birkenhead and would support plans for Heysham Port to become the UK’s first net zero port.

The proposals, described by Peel’s CEO, Claudio Veritiero, as “potentially game-changing”, form form part of a £3 billion global network of 120 “clean ports” planned by NatPower Marine by 2030.

Many shipping lines are reluctant to place orders even though they have money in their accounts, said Prehm. “What if they make a decision and order methanol-ready and then, in five years’ time, it emerges that ammonia will be the fuel of the future?”

Some owners are opting for

diesel electric ships as a sort of halfway house, with the power initially generated by ‘more or less the motors you find on any kind of lorry’ – the idea being that eventually this can be swapped to hydrogen or another option, with no need to change the engine itself.

“Propulsion is by electrical engine, which is very reliable and requires less maintenance than the combustion engine. The option gives flexibility for the future. However, the disadvantage is that if you use these lorry engines, consumption of conventional fuel is up to 5% higher because you lose power not going directly to the propeller with the energy you create. However, at a later stage you have better options and you don’t have to change the main engine. These are being built and a few have already been delivered on the shortsea market.”

Ultimately, said Prehm, the decarbonization of short sea shipping is “totally money driven. How does this business work? You need a pen, piece of paper and pocket calculator. Everything is possible as long as

the numbers are good. Looking at sentiment, everyone is open to it but wants to be clear it works out and there is a business case. So you have to enforce it a bit, either by incentives or regulations or both.”

However, Verschuure said that it takes a lot of courage for companies to engage in the route of EU subsidies, given the legal complexities. Also, since EU subsidy rules limit support to the capex side, such support won’t be enough when taking into account the price of hydrogen or alternative fuels.

Finally, he said, CSRD will have an impact on trade links, with entire supply chains under the magnifying glass. “If you get your production from China or India, in CO2 terms the CSRD requirements will make it much more transparent. Companies will become much more aware of their supply chains.”

Felicity Landon is an award-winning freelance journalist specializing in the ports, shipping, transport and logistics sectors.

*Breakbulk Exhibitor

London Medway handles a 200 tonne drum pulper.

Credit: Peel Ports Group

By Amy McLellan

OUTLOOK: GOING BACK TO BASICS WITH OIL AND GAS

Fossil Fuels in Favor as Investors Seek Returns in a Turbulent World

Jittery is perhaps the best word to describe energy markets right now.

At the mid-year point, the hopes of a return to more normal times are being tested by a world that remains in flux. Extreme weather events, political turmoil, economic sanctions and escalating conflict zones continue to cast shadows over global trade and add to inflationary pressures.

Interest rates in key economies remain high – in June, the Bank of England held interest rates at a 16-yearhigh of 5.25% for the seventh time in a row while, across the Atlantic, the Federal Reserve likewise voted to hold interest rates at their current 23-year high even as inflation ticked lower. As a result, leading analysts are warning that energy developers can expect financing and development costs to remain challenging.

“Some of the optimism many held of a better 2024 compared to 2023 is fading,” noted Audun Martinsen, head of supply chain research at Rystad

Energy in June. “Procurement arms should increase their budget escalation factors, while suppliers should worry about their sub-suppliers and freight.”

This was the backdrop to Breakbulk Europe 2024, where Dr. Pablo RodasMartini, vice president and director of market intelligence at Emerging & Frontier LLC, took a deep dive into economic forecasts for 2024 and 2025, and what current trends mean for breakbulk and project cargo shippers.

His first point was something of a

health warning: forecasts are often wrong. He pointed out that in 2022 many analysts, including the World Bank, Deutsche Bank and Nomura, were predicting a global recession that did not come to pass. This is worth remembering when taking into account the GDP growth forecasts for major economies around the world for the coming 12 months.

“Why has the U.S. outperformed Europe? Why did the U.S. grow by 2.5% last year, while Europe barely grew by 0.4%?” asked Rodas-Martini, before

GROWTH FORECASTS FOR MAJOR ECONOMIES AROUND THE WORLD

Source: IMF

Top: Jumbo Offshore handles suction piles for Energean’s Karish gas field in the eastern Mediterranean Sea. Credit:

Jumbo Maritime

finding some answers in globalization (sanctions on Russia have increased exports of U.S. fossil fuels) and more flexible labor markets of North America.

He then turned to China, which has disproved 20 years of “dire predictions” and been “very resilient”’ he said.

Europe, by contrast, has not, with average economic growth of 0.4% – a number dragged down by some under-performing nations. In part this is because the energy crisis, and geopolitical threats, have hit some European nations harder.

Beyond this, there are areas rich with opportunity for the breakbulk and project cargo sectors, mining for the materials to support green energy technology key among them. “I think it has an amazing future,” said Rodas-Martini, highlighting how renewable energies such as solar (copper and silicon) and wind (copper and zinc) will underpin demand for key metals and minerals. And the predicted surge in electric vehicles, from 30 million in 2022 to 240 million by 2050, will require huge amounts of graphite, copper, nickel, cobalt, manganese and lithium.

Rodas-Martini was less enthusiastic about the prospects for mega infrastructure projects, saying he was “very skeptical” about those “supposed to take place in the Middle East.”

Energy Investors: Fossil Fuels Are Back

The energy transition may be driving new opportunities in mining and offshore wind but for many energy investors looking to lock-in returns, it’s back to basics with oil and gas.

As Sharanya Kumaramurthy, market intelligence manager at the Energy Industries Council (EIC), pointed out at Breakbulk Europe, the first six months of this year have seen a number of major projects announced, and while the bulk are in the renewables and clean energy space, it’s clear the real value lies in old-school fossil fuels.

“Contractors are retrenching into oil and gas due to higher profit margins,” she said, noting that operators continue

to re-strategize towards renewables and clean tech, but are now openly supporting spend on their oil and gas assets.

The wider economic outlook continues to weigh on the sector, with delays on some EPC work due to cost increases. Supply chain bottlenecks and disruption are also impacting projects and, as noted above, with interest rates being held at high levels and impacting financing, it remains to be seen what this will mean for project economics and timings going forward.

In the upstream world, there are a number of big offshore projects still awaiting Final Investment Decision (FID), perhaps none being more closely watched right now than Chevron’s 3.5 TCF ultra-deepwater Aphrodite gas field in Block 12 offshore Cyprus. Already much delayed, the project hit the buffers again in May when the Cypriot government rejected Chevron’s revised development plan for the field, which was discovered back in 2011.

The government has called for further improvements and wants the operator to take “specific targeted actions” in the next six months. Indeed, the ministry letter wants the project partners, led by Chevron, which took on the legacy asset when it acquired Noble Energy in 2020, to give “unconditional consent” to start Front End Engineering and Design (FEED) within six months, with a view to first gas by 2027.

Other upstream FIDs anticipated in the

next 24 months include OMV’s Berling gas field offshore Norway, ready for start-up in 2028, and Equinor’s Wisting oilfield, with FID due 2026/7 for start-up in 2030.

Another key sector that’s generating opportunities for breakbulk contractors is offshore wind, but, increasingly, this is a market that is distorted by planning and permitting bottlenecks.

“Strong manufacturing capabilities now don’t match the scale of the nearfuture market,” said Kumaramurthy, pointing out that the current permitting process is too slow to match pipeline delivery and renewable power targets. There are more than 468 GW of capacity in the pipeline, of which an astonishing 35% involves largely unproven floating wind, but there remain some serious question marks over the capacity of the grid to integrate this new generation.

This is an industry where it’s important to recognize not just the scale of the market opportunity but also the shifting sands of the regulatory landscape, the economic context and, perhaps most importantly, the quality of the management team behind a project, since that’s the key to securing the investment that will push a project over the finishing line.

Award-winning freelance journalist Amy McLellan has been reporting on the highs and lows of the upstream oil and gas and maritime industries for 20 years.

*Breakbulk Global Shipper Network member

Watch Sharanya Kumaramurthy’s project outlook from Breakbulk Europe 2024

WHERE THE WORLD CAME TOGETHER FOR NEW BUSINESS

BREAKBULK EUROPE BY THE NUMBERS

Attendees 4,967

(all-time Breakbulk events record)

Companies Exhibitors

Global Shippers in attendance

Rebooked for 2025

47 % accounted for of attendees Top

Countries in attendance

Breakbulk Global Shipper Network members hosted

In total, shippers attended Breakbulk Europe

Air Liquide, Air Products, ALCOA, Alstom, Andritz, Aramco, Baker Hughes, Bechtel Corp., BMW, Bouygues Construction, BP, British Steel, Caterpillar, Chevron, Enel, Enercon, Enerkem, Europipe, FLSmidth, Fluor, GE, Glencore, Halliburton, Hitachi Energy, Jacobs Engineering, Kiewit, Linde Engineering, McDermott, Mercedes-Benz, NOV, NEOM, Nordex, Repsol, Saipem, Samsung Engineering, Shell, Siemens, Sumitomo, Tata Steel, Technip Energies, Técnicas Reunidas, Tecnimont, thyssenkrupp, TotalEnergies, Vallourec, Vestas, Volvo, Wärtsilä, Westinghouse Electric Company

(Engineering, Procurement & Construction)

of Project Cargo Project Owner (includes Aerospace, Chemical, Construction, Metals & Heavy Industries, Military & Defense, Mining, Oil & Gas, Power, Renewables)

A

recap of the stories that broke at Breakbulk Europe

BREAKBULK MENTORING EVENT EMPOWERS WOMEN

Female professionals working across the industry came together in Rotterdam for a packed Women in Breakbulk brunch at Breakbulk Europe 2024.

The topic for this year’s gettogether was effective mentoring, and included a networking brunch, lively panel discussion, an in-depth training session and an interactive ‘speed-mentoring’ activity. The goal? Highlighting the role that mentoring can play in the breakbulk industry, and “to help ensure there is always more than one woman in the room,” said Leslie Meredith, marketing and media director at Breakbulk Events & Media.

During the panel discussion, four female speakers shared their experiences of mentoring and the dynamics of the mentormentee relationship.

Eli Gjesdal, managing director of the Empower Leadership Institute and

founder and chairperson of the Women’s International Shipping & Trading Association (WISTA) Norway, kicked off the discussion by sharing the story of her mentee, Lisa. Gjesdal presented a blueprint for successful mentorship: one that involves understanding and exchange between the two parties.

“As her mentor, I listened to her and helped her see her strengths as well as areas where she needed to develop,” Gjesdal said. Together, they planned to overcome her professional challenges with objectives and steps for action based on “active listening and empathetic questioning to gain insight into her challenges and aspirations.”

In the end, “by identifying her unique talent, we crafted a roadmap for personal and professional growth.”

Gjesdal’s testimony showcased the positivity that can arise from mentorship, as she empowered

Lisa to grow into the “true valuebased leader that she is today.”

Elisabeth Cosmatos, president of The Heavy Lift Group (THLG), spoke about her earliest experience with mentorship: her father mentoring her to take on the family business when she was a child. She was inspired by her mentor and followed in his footsteps, but “being a woman in a male-dominated industry, I did face a lot of challenges,” she said. As her mentor, her father was there not to solve her problems, but to listen to her. To her, “sometimes, mentorship is just knowing there is someone next to you that you know you can speak to when times are difficult.”

Miriam Nagel, general sales manager at MOL Döhle Worldwide Logistics, and Marianne Blechingberg, managing director at Oy Hacklin Logistics, shared the two most valuable lessons they learned through being mentored.

Blechingberg accepted a managerial role on condition of being mentored. Like many, she was afraid of “not being enough”, but took the leap anyway. Her key message for delegates: “take the opportunity when it is presented to you.”

Nagel’s key message focused on authenticity. She was shown a manner of working that never felt right for her, and so did things her own way. “I read a room before I read a rate sheet. I like to make a personal connection with the people I engage with,” she cited as an example. By carving her own path, she came to the conclusion that success and authenticity go hand in hand. “Stay unique, and do what you have to do, what feels right,” she said.

Following the panel discussion, Gjesdal’s presentation, “Mentoring from All Angles,” further emphasized the profound impact and multifaceted nature of mentorship. In her words, “mentorship is a voyage,” which begins with the two parties establishing trust. Different types of mentoring – such as traditional, peer, reverse, skill-based and cross-cultural – all offer diverse perspectives and learning opportunities.

While mentors can facilitate introductions, provide industry insights and provide guidance and opportunity, mentees can also strive to maximize the benefits of the relationship through active engagement, openness to feedback and taking initiative. She highlighted the importance of effective communication through clarified expectations, active listening, trust, constructive feedback, regular checkins and celebration of successes.

Gjesdal concluded by underscoring the dual impact of mentorship: it empowers both mentors and mentees, driving personal and professional success. The panel discussion was followed by an interactive exercise where delegates were able to put into practice the skills mentioned in Gjesdal’s presentation.

“I liked the exercise a lot because for a few minutes, I had a mentor with 50 years of experience,” said Mariona Gras

Llop, international account manager at ProMedia Group. “The main message I will be taking home is trusting in my instinct and my capabilities. I think all women know we are capable, but sometimes we need to embrace each other to remember that.”

The message was echoed by Luz Marina Espiau Moreno, commercial and marketing manager at the Ports of Tenerife. “For me, this event was the most important of the entire conference. Supporting other women is key,” she said. Looking forward, Espiau added that “it is important to work together as women, as together we are stronger. As the sector continues to evolve, it is important to empower women, and have them be involved at all levels and all departments. In my view, the new generation also needs a new kind of mentor.”

Cynthia Worley, VP of Strategic Accounts at Sedna, pointed to the positive energy in the room. “I think that often, people question themselves,

thinking: ‘Why would I be a mentor? What do I have to offer? At what point am I educated and enriched enough to provide guidance to a young person?’ And yet, you do not just mentor to teach someone else, you are mentoring also to learn from them. It is a two-way enrichment, and we saw everyone around the table really gaining from that. There was excitement on both sides, both mentors and mentees coming away more fulfilled.

“Miriam Nagel’s statement, ‘This is not a group, it’s a revolution’ really struck me. Year on year, my favorite event at Breakbulk is this one, and it never ceases to delight, because of the energy, the power that all of these women drive through each other,” Worley added. Find out how to join our Women in Breakbulk networking platform. www.breakbulk.com/page/ women-in-breakbulk-form

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BREAKBULK HOSTS INAUGURAL ROUND TABLES EVENT

In a groundbreaking addition to Breakbulk’s business program, the first-ever Round Tables event debuted this week in Rotterdam, drawing praise from participants and setting the stage for future success.

The event, which took place ahead of Breakbulk Europe 2024’s welcome reception, saw participation from project professionals representing companies from across the entire supply chain, including shippers, carriers, forwarders and tech firms.

Attendees had the opportunity to engage in intimate, focused discussions with their peers, addressing critical topics such as decarbonization, rates and capacities, industry inclusion, the talent gap and energy transition.

“Amazing – a really good initiative,”

said Thomas Skellingsted, president of 4D Supply Chain Consulting. “Our table was talking about how we retain young people in the business and how we get more people into the industry – a very important topic.”

Louis Latournerie, head of hydrogen projects at renewable energy firm Qair, said he took part in the event to discuss with colleagues how the industry could reduce its carbon emissions. “It was a very interesting session, especially as the profile of panelists was diverse, including two port representatives. I look forward to taking part in more such discussions.”

The structured format was designed to encourage active participation, allowing attendees to delve into complex issues and generate actionable insights.

Feedback was overwhelmingly positive, with many expressing a desire to see the initiative become a permanent fixture at Breakbulk exhibitions. Plans are already underway to host an expanded Round Tables event at Breakbulk Americas 2024 in Houston in October.

“This is a calm format where you have a lot of time to speak clearly without hurrying,” said Victoria Lunga, sales manager for Georgiabased S&D Logistics and first-time visitor to Breakbulk Europe. “This was such a positive experience, really. I would definitely come to another Round Tables event.”

If you are interested in participating in future Round Tables at Breakbulk events, contact Ben Law at ben.law@hyve.group

OFFSHORE WIND BOOM PUTS SQUEEZE ON EUROPE’S PORTS

Northern European ports are having to explore “every possibility” to maximize capacity, as bumper cargo volumes, buoyed by offshore wind, put a strain on terminal facilities.

Creative solutions to managing growing trade were a feature of the Thinking Outside the Box: Port Innovations to Overcome Issues of Space and Congestion main stage panel session at Breakbulk Europe 2024 in Rotterdam.

“Demand for space is a huge challenge,” said Danny Levenswaard, director of breakbulk, Port of Rotterdam. “We try to utilize every possibility,” he said, citing a port project to redesignate a former container yard to add capacity. Land reclamation is also underway at Princess Alexiahaven, part of Port of Rotterdam, to accommodate new clients. Just under 10 million cubic meters of sand will be used to reclaim 85 hectares of land.

Levenswaard’s sentiments were echoed by Theis Gisselbæk, CCO at the Port of Grenaa in Demark, which

also focusses on offshore wind. “The volume is tremendous, and the project pipeline is not visible enough to support investment. We need earlier engagement from project partners.”

A quayside squeeze was not a universal problem among the panelists, however. “Space is definitely not an issue for us,” asserted Lars Greiner, managing director –multipurpose business at Red Sea Gateway Terminal, an international terminal operator located at the Port of Jeddah. He said port facilities in the region with “huge potential” but utilization rates as low as 15 percent, pointing to RSGT’s ambition to develop new international maritime hubs.

Greiner urged his peers to adopt a collaborative mindset, suggesting companies in Europe could make use of facilities in the Middle East as a “back stop,” or holding facility. “We have the luxury of space, so let’s not see each other as competitors – let’s work together.”

Ralph Mertens, marketing and business development manager

at Deufol, a packing, distribution management and warehousing company, told the audience not to overlook the importance of adequate cargo packing, which he said had three major benefits.

“By packing it, you can make project cargo more stable, and it can then be stacked. If you pack it, you can also move the cargo outside to free up space in the warehouse. Finally, smaller volumes can be consolidated and packed together to gain space.”

As the session drew to a close, Greiner echoed Mertens’ sentiment. “Packaging has come so far – you don’t need to worry so much about multi-handling cargo like you did in the old days. You can pack the cargo and store it safely for long periods of time.”

The session was moderated by Susan Oatway, senior research analyst at S&P Global, and sponsored by AD Ports Group

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RATES TO CLIMB IN RESPONSE TO STRONG PROJECT CARGO DEMAND

Strong demand for project carriers will push up rates throughout 2024 and into 2025, delegates at Breakbulk Europe were told on Wednesday.

Ahead of the MPP Fleet Outlook: Business & Market Opportunities session, the audience heard a presentation from Peter Molloy, senior analyst – multipurpose shipping (associate) at Drewry Maritime Research.

Despite positive signals from the demand side of the business, Molloy said that conflicts, low consumer confidence and global tensions remained a cause for concern.

“77% of the order book is in China, based on deadweight tonnage,” he cautioned. “If you actually focus on how many of them are project carriers, the majority of the project carriers are being built in China.”

As the panel session got underway, moderator Kyriacos Panayides, CEO of AAL Shipping , said there were still “many reasons to be cautious,” adding that the whole sector was “coping with unpredicted events.” He also questioned whether “investors will come back” to provide the financial muscle required to support expansion in the heavy-lift shipping industry.

Fellow shipping line CEO Ulrich Ulrichs of BBC Chartering agreed, declaring the “silly money is gone”.

He added: “You have to be creative to get finance for your ships. We are private, family-owned companies, and we are rather cautious. We can’t repeat mistakes made by the industry in 2009, 2010.”

While BBC will receive a number of vessels in the coming years, including a series of fifteen 13,000 DWT multipurpose triple deckers, the net effect will be that “BBC will not grow, since some others will be sold or scrapped,” Ulrichs said.

Alex Azparrent, global director supply chain – mining and metals, Fluor , reported “positive indicators” for demand in the next five years and addressed the subject of fleet age. “We hear about a 15-year age requirement, but that’s a recent scenario – it used to be older. However, we don’t determine that, it’s typically insurance companies.

“From a Fluor perspective, all predictions are healthy – but the challenge is knowing how long it takes for projects to get off the ground.”

Tim Killen, head of growth – project sector, Fracht Group , brought a different perspective to the panel, reminding the audience that it was a forwarder’s job “to put options on the table.”

Outlining the promising sectors that were driving the universally

accepted premise that the outlook looks positive, he said: “We speak a lot about renewables, about sustainability and energy transition but, by far, the biggest potential investment is in traditional oil and gas. Potential investment capex in the oil and gas industry is approximately US$5 trillion in the next ten years.

“Second on the list is renewable energy, solar, hydro, wind, etc, with a potential investment of around US$4 trillion. I think there’s a lot of question marks around that as there are challenges with regards to subsidies, price points, energy strike prices and the hugely increasing cost of manufacturing wind.”

Ulrichs corroborated that view. “Oil and gas is underestimated – it’s still the bread and butter. Demand for energy will not slow down so I also see oil and gas as number one. Renewables is there, of course, but inflation has run away, environmental regulations get tougher. Some of these projects will never happen.”

Leaving the audience with something to think over, Drewry’s Molloy returned to the thorny subject of ship financing. “We’ve said that the silly money is ‘gone’, but I think the silly money will again come from a place we don’t expect, and people (investors) will get involved.”

He also called on the industry to adopt a more proactive approach to public relations, saying: “We are still sometimes considered a dirty industry – because we don’t communicate what we do. It’s down to us as an industry to tell our story properly.”

The session was sponsored by AAL Shipping

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CALLING BREAKBULK LEADERS OF TOMORROW

- INDUSTRY OFFERS CHANCE TO ‘CREATE YOUR OWN OPPORTUNITIES’

A career in breakbulk and project forwarding offers the opportunity to “work with all kinds of people, all over the world, everyday,” young people heard at Breakbulk Europe 2024.

Speaking directly to students in the audience, industry executives gathered to discuss what could be done to promote logistics as an attractive industry during a panel session entitled “Shaping the Future of Logistics Starts with the Next Generation of Young Leaders.”

Martyn Lawns, regional vice president European operations –Industrial Projects at DHL Global Forwarding, said DHL placed great importance on providing international placements for its “next generation of industrial projects talent.”

He explained: “The intent of our program, because of the diversity of the business of DHL, is to integrate them and expose them to different geographies. So, they will spend on rotation three months in Singapore, three months in Dubai, three months in Hamburg and come back to the U.S., and then we’ll put those young graduates out into the business.”

Lars Feller, CEO, dship Carriers , reflected on the value of his own global travels. “You can learn shipping in the office, but if you want to succeed in shipping and logistics, you have to travel, possibly live abroad for a while. I was lucky that I could live in Japan for almost 13 years.

“And to be very honest, without that assignment in Japan, I wouldn’t be sitting here today. We are dealing with all kinds of nations every day, and we cannot expect that they follow our way. It’s important to understand where they’re coming from, and that is the key to success. Cross cultural training is important for anyone working in global trade.”

Ongoing training was another feature of a career with dship Carriers, said Feller. “The coaching and the development of young people has to be always based on what they’re actually looking for, where they want to reach, where they want to be in five or 10 years. So it’s a broad mix of things, but it’s important that you do it on the individual needs and you do it continuously.”

At Port of Rotterdam , harnessing social media is key to attracting the leaders of tomorrow. “Social media can help us to tell our story and a positive story of the port,” said panelist Renée Rotmans, program manager, social innovation at Port of Rotterdam. “There are many possibilities to work for the port, and youngsters don’t always know about the training opportunities available. Our vision is that everyone can work in our port.”

Oliver Jochims, head of HR at AXXUM Group , told how apprenticeships pay an important role at AXXUM, a provider of packaging, assembly and transport of industrial goods. “Some of our apprentices have been with us for 25 years and we’ve had a really good experience with this model.

At some companies, experienced managers sometimes hold onto their knowledge, but our managers are really sharing their knowledge. Our youngsters are very ambitious.”

As the session drew to a close, Lawns from DHL had some parting thoughts for the youngsters in attendance, urging them to take control of their own destiny. “The last thing I would say is that you guys are in charge of your careers – not the management. Understand what opportunities might be out there, and really express what it is that you want out of your career.

“If you don’t tell us what you want to do, then we can’t match your aspirations. Let us know what that is and we’ll try and match it. And if there’s a good business fit, it works for everyone. When you put yourself in situations, you create your own opportunities.”

The session was moderated by Margaret Kidd, program director and instructional associate professor, University of Houston, and sponsored by South Jersey Port Corporation

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Breakbulk Events & Media’s biweekly BreakbulkONE newsletter keeps the industry connected between Breakbulk events in Rotterdam, Houston and Dubai. Here’s a selection of recent subscriber favorites. Subscribe at https://breakbulk.com/page/one

TRADELOSSA TRANSPORTS CARRIAGES FOR MAYA TRAIN PROJECT

Tradelossa has successfully transported 44 fully assembled train carriages weighing 50 tons a piece for the 1,554-kilometer Maya Train (El Tren Maya) railroad project in southern Mexico.

The Mexico-based heavy-lift specialist began delivering the carriages last November from Ciudad Sahagun in central Hidalgo state to Train Maya’s operational base in Cancún, southern Quintana Roo state. The final shipment arrived in early July. Prior to delivery, Tradelossa had orchestrated the shipment of the carriages from China to the Port of Manzanillo in western Colima state. The company had then hauled the units to Ciudad Sahagun where they underwent a period of remodeling ahead of deployment.

The 994-mile route from Ciudad Sahagun to Cancún took seven days to complete, passing through the states of Puebla, Veracruz, Tabasco, Campeche and Yucatan. Four Faymonville platforms and trucks with six axle and seven axle configurations were deployed for the project, with Tradelossa’s engineers modifying the platforms by installing four short rail structures to facilitate loading and unloading.

Government authorities, local police and the Mexican National Guard were on hand to ensure the cargo’s safe passage. Upon arrival in Cancún, each carriage was unloaded directly onto the railway tracks ready to begin operations.

“Covering such a distance on this route in a record time of seven days wasn’t an easy task nor an ordinary operation in the slightest,” Carlos

Carcámo, asset-based sales director at Tradelossa, told Breakbulk. “Each train carriage weighed 50 tons and measured 26.3 meters in length, 3.13 meters in width and 4.48 meters in height. Once loaded onto our platforms the configuration surpassed the five-meter mark in height, which limited the areas where the convoy would be able to transit.

“Due to the tight schedule for each delivery, there wasn’t enough of a time frame to perform civil works to let the cargo cross. Our team took this into consideration during the planning phase of the project and mapped out specific points within the route that would allow our convoys to cross safely.”

Tradelossa’s involvement in the project began in January 2023 after

it secured a contract to move 62,000 tons of steel rails across multiple locations in the states of Yucatan and Quintana Roo. In just under a year, the company had transported 44,568 rails, equivalent to 665 miles of track.

In a subsequent move, Tradelossa was assigned to deliver eight wagon shells from the Port of Manzanillo to Ciudad Sahagun. The units were transported in a single trip in a convoy of eight trucks and loaded platforms.

Construction of the multi-billiondollar Maya Train project began in mid-2020. The Campeche-Cancún section of the network began running in late-2023 with additional sections slated for start-up this year.

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Tradelossa delivers one of 40 train carriages for Tren Maya. Credit: Tradelossa

BBC CHARTERING TAKES DELIVERY OF FIRST “LAKERMAX” VESSEL

BBC Chartering has taken delivery of the first in a series of 15 new “LakerMax” multipurpose triple deckers, a new generation vessel type the carrier has billed as a “heavyweight champion of project cargo transportation”.

MV BBC Leer – named after the German town where BBC Chartering is headquartered – was due to be dispatched at the end of May by China’s Taizhou Sanfu Heavy Industry to its owners and BBC Chartering’s parent company, Briese Group. The ship will enter a long-time charter with BBC Chartering for worldwide trading.

The remaining 14 ships are slated for delivery by 2026.

“Whilst the global multipurpose fleet is ageing, this investment by the Briese Group is a clear commitment to renewing

our fleet with modern tonnage and maintaining our market position,” said Ulrich Ulrichs, CEO of BBC Chartering.

The LakerMax series of 13,000 DWT heavy-lift vessels are equipped with two Liebherr LS 250 shipboard cranes located portside to provide a lifting capacity of up to 500 metric tons.

The bridge and crew quarters are positioned at the front of the vessels.

“This set-up creates an impressive, unobstructed weather deck of more than 2,800 square meters. That’s 30% more than the previous F500 vessel class and 90% more than the classic EF type,” Ulrichs said in a video to present the LakerMax series.

The two cargo holds are box-shaped and offer an area for almost 26,000 cubic meters of cargo on a covered

floor space of nearly 5,000 square meters. The main large triple-deck cargo hold, meanwhile, can house cargo units under deck up to 104.3 meters long and 18.2 meters wide. The vessels are powered by a 6,000 kW MAN B&W main engine to allow for eco-friendly speeds of between 13 and 15 knots.

“The capacity on offer makes it one of the most efficient multipurpose heavy-lift vessels in the market,” Ulrichs said.

The new series will join BBC Chartering’s existing fleet of more than 140 multipurpose heavy-lift vessels, which range from 4,000 to 40,000 DWT and boast lifting capacities of up to 800 metric tons.

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BBC Chartering MV Leer, part of new ‘LakerMax’ fleet. Credit: BBC Chartering

SIEMENS AMONG CONTRACTORS PICKED FOR UAE-OMAN RAIL PROJECT

Siemens Mobility is among the companies that have been awarded contracts by the Oman and Etihad Rail Company (OERC) for a project to build a 303-kilometer railway line linking Oman and the UAE.

OERC, a joint venture formed by the two countries in 2022, launched the Oman-Etihad Railway – recently rebranded to Hafeet Rail – as the Middle East’s first cross-country rail project.

The project has an estimated price tag of US$3 billion and when complete, will transport passengers and freight between Abu Dhabi in the UAE and Sohar in northern Oman. The Omani section of the network marks the sultanate’s first-ever railway system.

Siemens Mobility will work alongside Egypt’s Hassan Allam Construction to deliver the design, build and integration of the network’s ETCS Level 2 signaling, telecom and power supply systems.

“The signaling solutions are

state-of-the art and desert-proof,” Siemens said in a statement.

The design-and-build contract was awarded to a consortium led by NPC, a unit of Abu Dhabi-based Trojan Construction Group, and Oman’s Galfar Engineering & Contracting. Middle East business publication MEED quoted sources as saying that an engineering design firm for the project would be appointed “imminently.”

According to the OERC, the network marks a “new chapter” of collaboration between the UAE and Oman.

“It will improve supply chain efficiency and facilitate crossborder trade by linking commercial ports to the railway network. It will also boost market competitiveness and reduce the total cost of supply chains due to its high levels of efficiency compared to other means of transportation,” the OERC said.

Passenger trains on the line will

have a top speed of 200 kilometers per hour and provide an end-to-end journey time from Abu Dhabi to Sohar of 1 hour 40 min. Freight trains will reach top speeds of 120 kilometers per hour.

No timelines have been released for the completion of the project.

The UAE’s domestic Etihad Rail network began freight operations last year and test runs of its passenger services in January. The line stretches 900 kilometers from the town of Ghuweifat on the Saudi border to Fujairah on the Gulf of Oman coast via Abu Dhabi, Dubai, Sharjah and Ras al Khaimah.

The network is expected to have a cargo capacity of 60 million tons by 2030.

Breakbulk Middle East 2025 is on 10-11 February at the Dubai World Trade Center.

Visit: middleeast.breakbulk.com/home

Graduates aboard an Etihad Rail freight train in the UAE.

Credit: Etihad Rail

PROJECTS IN THIS ISSUE

Project: Manzanillo Gas Project

Story: Dominican Republic: Caribbean Powerhouse page 42

Country: Dominican Republic

Sector: Oil & Gas

Developer(s): Manzanillo Gas & Power consortium

Project: Cacaos Wind Farm

Story: Dominican Republic: Caribbean Powerhouse page 42

Country: Dominican Republic

Sector: Renewable Energy

Developer(s): Pre-Construction

Project: Vientos del Jovero Wind Farm

Story: Dominican Republic: Caribbean Powerhouse page 42

Country: Dominican Republic

Sector: Renewable Energy

Developer(s): Inmobiliaria Jovero SRL

Project: Jafurah Gas Field

Story: Almajdouie Mega Move page 56

Country: Saudi Arabia

Sector: Oil & Gas

Developer(s): Aramco

Project: East African Crude Oil Pipeline

Story: Uganda: Land of Projects page 58

Country: Uganda

Sector: Oil & Gas

Developer(s): TotalEnergies, China National Offshore Oil Corporation, Uganda National Oil Company, Tanzania Petroleum Development Corporation

Project: Latoro

Story: Uganda: Land of Projects page 58

Country: Uganda

Sector: Hydropower

Developer(s): EAP, Aswa Lolim Hydro Power Company

Project: Rubabo

Story: Uganda: Land of Projects page 58

Country: Uganda

Sector: Hydropower

Developer(s): EAP

Project: Toranomon 1-Chome East District Urban Redevelopment

Story: Japan: Market Poised for Growth page 61

Country: Japan

Sector: Urban Development

Developer(s): Sumitomo Realty & Development Co Ltd

Project: Kikuchi Power Semiconductor Manufacturing Facility

Story: Japan: Market Poised for Growth page 61

Country: Japan

Sector: Manufacturing, Technology

Developer(s): Mitsubishi Electric Corp

Project: ACC-1 Cable System

Story: Japan: Market Poised for Growth page 61

Country: Japan

Sector: Telecommunications Developer(s): Inligo Networks

Project: AirTrunk OSK1 Data Center

Story: Japan: Market Poised for Growth page 61

Country: Japan

Sector: Technology, Data Centers Developer(s): AirTrunk

Project: Aphrodite Gas Field

Story: Europe Project Outlook page 72

Country: Cyprus

Sector: Oil & Gas

Developer(s): Chevron

Project: Berling Gas Field

Story: Europe Project Outlook page 72

Country: Norway

Sector: Oil & Gas

Developer(s): OMV, Equinor Energy AS, DNO Norge AS

Project: Wisting Oilfield

Story: Europe Project Outlook page 72

Country: Norway

Sector: Oil & Gas

Developer(s): Equinor

Project: Maya Train (El Tren Maya)

Story: Best of Breakbulk One page 85

Country: Mexico

Sector: Transportation, Infrastructure Developer(s): Consortium of Bombardier Transportation Mexico, Alstom Transport Mexico, Gami Ingeniería e Instalaciones and Construcciones Urales Procesos Industriales

Project: Hafeet Rail

Story: Best of Breakbulk One page 87

Country: Oman and UAE

Sector: Transportation, Infrastructure

Developer(s): Mubadala Investment Company and others

To celebrate Breakbulk Europe's 20th anniversary in 2025, we are making Breakbulk Europe bigger and better than ever:

• Extended show times, now 3 full days!

• Additional hall!

• Floorplan refresh including Superhighways