ISSUE No 46
JUNE - SEPTEMBER 2022
Women in maritime
CSEC 2022
It's good to be back, conference photographs MARC SAMPSON
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MARÍA DEL MAR RODRÍGUEZ
WiMAC in action
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PUERTO ANTIOQUIA
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AC M F - C A R E X
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ISSUE No 46
June to September 2022
CONTENTS
THE OFFICIAL JOURNAL OF THE
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FROM THE CSA PRESIDENT Going far, working together
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MISSION STATEMENT To promote and foster the highest quality service to the maritime industry through training development; working with all agencies, groups and other associations for the benefit and development of its members and the peoples of the Caribbean region. SHIPPING ASSOCIATION COUNCIL 2022-2023 President: Marc Sampson Immediate Past President: Juan Carlos Croston Vice President: William Brown Group A Chairman: Eduardo Pagán Representatives Group A: - Nazilia Simone Philips - Rhett Chee Ping - Desmond Sears Group B Chairman: Mark Williams Representative Group B: Cristyan Peralta Group C Chairman: María del Mar Rodríguez Representative Group C: Robert Bosman Group D Chairman: JC Barona Representative Group D: Sabine Bajazet CSA General Manager: Milaika Capella Ras CARIBBEAN SHIPPING ASSOCIATION 4 Fourth Avenue, Newport West PO Box 1050, Kingston CSO, Jamaica Tel: +876 923-3491 Fax: +876 757-1592 Email: csa@cwjamaica.com www.caribbeanshipping.org ADVERTISING advertising@caribbean-maritime.com Tel: +44 (0)1206 752902
INTRODUCING MARC SAMPSON The CSA’s new man at the top
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PROFILE: MARÍA DEL MAR RODRÍGUEZ Climbing to success
10 WiMAC Seeking a level playing field
12 BONAIRE Women in Maritime
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15 USVI OPEN REGISTRATION Free Registry in the US Virgin Islands: The Unanswered Questions
17 PANAMA CANAL Getting the best out of the Panama Canal
21 THE OCEAN CLEANUP JAMAICA The Ocean Cleanup steps up its Jamaica operations
26 ACMF - CAREX A Caribbean-only jobs board for maritime workers
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29 COLOMBIA: NEW PORT Puerto Antioquia gets the go ahead
31 CSA CSEC 2022
PUBLISHER
It’s good to be back
35 ROUNDUP The latest news from around the Caribbean
Land & Marine Publications Ltd 1 Kings Court, Newcomen Way, Severalls Business Park, Colchester Essex, CO4 9RA, United Kingdom Email: publishing@landmarine.com www.landmarine.com Views and opinions expressed by writers in this publication are their own and published purely for information and discussion and in the context of freedom of speech. They do not necessarily represent the views and opinions of the Caribbean Shipping Association – The Publisher. ©2021 Land & Marine Publications Ltd.
43 RUSSBROKER Caribbean Market Review
47 ICT ADVANTUM
31
Beyond the Pandemic: The Role of ICT in the Shipping Industry
www.caribbean-maritime.com 1
FROM THE CSA PRESIDENT
Going far, working together
Marc Sampson President Caribbean Shipping Association
“I
know it isn’t easy, but we have a job to do.” How many times have you said this, or heard it said, over the past two years? Maybe you even had to say it to yourself, as I have. It is one indication of the immense courage, exemplary teamwork and great sense of responsibility that have enabled us to come this far. Yes, we have much further to go, but we are getting there – together!.
Even as the challenges we face are bringing out the best in us and our maritime sector, so too is it exposing areas of vulnerability that we and other stakeholders need to address as a matter of great urgency. Let me begin with the positives that are serving us well and that can help us tackle the weak areas. Foremost among our strengths is our unity. We are able to act in one accord because we share a common vision that the progress of the Caribbean and Latin America requires a modern, viable shipping industry. It is our relentless pursuit of that
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vision that makes us the stable centre of the region’s economy. We connect the world, keeping its lifeblood of trade circulating through the supply chain that we play such a great role in maintaining.
CSEC 2022 - The Human Element When we speak of the supply chain, we are not speaking of factories, warehouses, ports, ships, trucks and supermarkets – those are the things we use. The supply chain consists of people – a dedicated and highly skilled team of men and women who
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I want to encourage all CSA members and maritime stakeholders to contact the CSA Secretariat to subscribe to the CRI for these regular reports because we live in the information age where knowledge is power”
devote their lives to joining and keeping together a myriad of productive endeavors to create a continuous stream of trade. Throughout our 50-year history, the human element has always been at the forefront of the Caribbean Shipping Association(CSA)’s vision of development. We are therefore most grateful that we resumed face-to-face meetings, beginning with the Caribbean Shipping Executives’ Conference (CSEC) in Doral, Miami, May 2-3, 2022. This is after two-and-a-half years of online meetings, discussions and ongoing collaboration which was so effectively
enabled by our innovative and hardworking Secretariat, led by general manager Milaika Capella Ras. On the note of innovation, we must commend the Caribbean Research Institute (CRI) of the CSA for the in-depth reports it has provided on Caribbean trade, maritime transport and ports thus far. The CRI reports provide us with a global perspective of new challenges that have arisen as a result of Covid-19 and other global factors related to economic and social issues, and the impact these have on the Caribbean and Latin America. The structuring of the CRI reports is most helpful, beginning with an overview of the progress and setbacks revealed by the main economic indicators. This serves as a framework for the subsequent chapters on trade, ports and maritime transport. It also provides a review of international trade in the Caribbean and related regions with sections that give a quick assessment of international trade in global terms; an assessment of the total trade between the Caribbean and the world; and the most recent evolution in the bilateral trade between the Greater Caribbean and USA, both for exports and imports.
Figures The CRI report also includes throughput and transshipment figures, and trade for each port. Preliminary information is included for all Caribbean ports for which data is available. It also addresses the behaviour of the shipping line services from pre-pandemic times to now according to each country and port, and in how it influenced the
connectivity and inter-regional reach of the greater Caribbean services. I want to encourage all CSA members and maritime stakeholders to contact the CSA Secretariat to subscribe to the CRI for these regular reports because we live in the information age where knowledge is power.
Successful Coming off the successful staging of the 20th CSEC in Miami, plans are already in an advanced stage for staging the CSA’s Annual General Meeting in Puerto Rico from October 31 to November 2, 2022. During CSEC we heard the ideas that the Shipping Association of Puerto Rico has in store for us when they host our 52nd AGM. We know from experience that it will be an unforgettable and meaningful experience. Please mark the dates in your diaries and make every effort to have your partners and staff represented at our AGM as we renew acquaintances, form new relationships and enjoy each other’s company, face-to-face at last! The vision of the CSA since inception has centered on advocacy, training and development of the regional shipping industry. That remains our mandate, particularly at a time when our cooperation is more important now than ever. I use this opportunity to recommit my tenure to the advancement of our sector, its employees and the region as a whole. Our mutual drive to foster collaboration will be the hallmark of this organization which, after more than five decades, continues to be a shining example of what is possible when ambitions align. Let us all stay safe!
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INTRODUCING MARC SAMPSON
The CSA’s new man at the top To many he needs no introduction but for those who don’t already know the new president of the Caribbean Shipping Association, here are some key background notes about the man and his stellar career in the maritime sector.
L
indsay Marc Sampson (known to almost everyone as Marc) was born in 1957 in Trinidad but moved to Barbados, the birth country of his parents, in 1969 where he has lived ever since. He has been married to his wife Gillian since 1982 and they have two sons. Marc started in the shipping industry in 1980 as a salesman and today is a part owner of three local shipping and freightrelated companies. One of these, which opened in 1999, operates the first off-pier warehouse in Barbados. He has served as a board member, vice president and president of the Shipping Association of Barbados (SAB). As president, he was instrumental in bringing the Caribbean Maritime Institute (as was) to
Barbados to train the stevedores at the Bridgetown port. The SAB then joined with Barbados Port Inc to ensure that training at all levels in the maritime industry continues in Barbados. Marc is currently the CEO of Windward Agencies Ltd, Freight Handling Services Ltd and Ocean Air Transport Services. He has always felt that the CMI which has since become the CMU was vital to the continued growth and development of the shipping industry in the Caribbean. A view shared by many others in the region. Having previously served as vice president under Juan Carlos Croston, Marc, and all others, serves as president for one year but may be elected for three consecutive years.
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IN BRIEF • Born 1957 • Lives in Barbados • Married to Gillian Sampson • Has two sons • CEO of Windward Agencies Ltd, Freight Handling Services Ltd and Ocean Air Transport Services • Former president of the Shipping Association of Barbados • Former CSA Vice President
PROFILE MARÍA DEL MAR RODRÍGUEZ
Climbing to success María del Mar Rodríguez
María del Mar Rodríguez is just the kind of executive every company needs, hardworking, dependable, and fiercely loyal. Someone who always gets the job and without making a big deal out of it. At Tropical Shipping, María has shown that even after a tough start in life you can enter at the bottom and climb your way up the corporate ladder. Today, María not only heads up the carrier’s USVI and Dominican Republic operations, but she is also chair of the CSA’s influential Group C.
Q. Where were you born? A. San Juan, Puerto Rico Q. What did your parents do for a living and what influence did they have on your early life and subsequent business career? A. My mom was in sales, we lost my dad (who was a fisherman) when I was eight years old, then my brother got murdered a year after, he was just 22. Seeing her working hard in sales for me and my older sister inspired me to be the hard-working person I am.
Q. Where did you go to school? A. Escuela Superior Catolica de Bayamon (Catholic School) in San Juan Q. What about college or university? In which subject(s) did you major? A. Inter American University of Puerto Rico (a private Christian university with its main campus in San Germán)/Business Administration Q. On leaving university and noting your father’s love of the sea, did you see a
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career for yourself in the shipping or logistics sectors? A. Totally random, I wanted to be a doctor. It seems he knew better as my father named me María del Mar (Mary of the Seas). I began working part time while in college at the age of 17; the job was doing clerical tasks for a freight forwarder. I began learning about bills of lading and shipping; back then I got fascinated with the field. I never stopped asking my co-workers questions and I always wanted to do more to learn.
The way I live and the way I have raised my daughter. The commitment has been mutual and proven through the years; we are a family, and we care” guided by great leaders in this organization and that had helped me to mould me in to the professional I am today.
Q. What was your first job on leaving university? A. I have been working in shipping since I was 17, and I did everything from answering the phone, filing, getting information for quotes, calling shipping lines for bookings, etc. I then got a job with a Licensed US Customs Broker and that helped me learn even more about international shipping and consolidations and US Customs clearance processes. Q. What were your reasons for joining
Tropical Shipping? A. Considering I had worked for a freight forwarder and a Customs Broker, when I saw there was an opening position at Tropical Shipping, I thought it was a perfect fit and for me to add to my portfolio experience. Working directly with a shipping line, that also offered an LCL service was very attractive. I took the shot and Tropical Shipping gave me the opportunity.
Q. You have been with Tropical Shipping since 2004, these days that’s a long time working for just one company. Has there been a reason for your long-standing commitment to Tropical Shipping? A. Tropical Shipping is a company that operates from its foundation a set of corporate values. Those values correlate with me personally, the way I live and the way I have raised my daughter. The commitment has been mutual and proven through the years; we are a family, and we care. After Hurricane Maria devastated Puerto Rico in 2017, that commitment was even more evident, Tropical stood with us through very difficult times, being there for us and encouraging us. We didn’t stop our operation, we were so passionate to assist Puerto Rico and the rest of the islands that were impacted, but we felt protected, our families felt protected and taken care of.
Q. You have enjoyed a steady and upward career path at Tropical Shipping, to what do you attribute your consistent rise within the organization? A. First my willingness to work hard. Then the fact that I am always willing to learn and to listen. Tropical Shipping is an organization that believes in its people and provides fair opportunities for development and growth. I had been coached and
Q. You have been sales representative, sales manager and then to island manager in Puerto Rico for Tropical Shipping. How have you enjoyed these various roles and what have you learned from each position? A. Long journey, there are countless lessons, and I continue to learn every day. All the roles have had different lessons, but I would say that my biggest lesson has been that as a leader; my success is defined by
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PROFILE MARÍA DEL MAR RODRÍGUEZ
My role is to support their efforts to provide a superior customer experience, maximize efficiencies and to take care of our people” how my group members grow and develop themselves. Seeing my group learn, grow, accomplish individual and group goals has been my biggest reward. Q. How do you manage to look after two overseas markets for Tropical Shipping, the USVI and the Dominican Republic, from San Juan? A. I have to say that I am very fortunate to work with first class port managers on each island, they are local professionals running the ports who understand the needs of the community and have phenomenal relationships with our partners and customers. My role is to support their efforts to provide a superior customer experience, maximize efficiencies and to take care of our people. I enjoy traveling to meet with the group, the customers, our business partners to have discussions about how we can collectively make the territory better and more resilient.
Q. Given that TOTE Maritime and Tropical Shipping both share the same parent in Saltchuk, is there any inter-action between the two firms or do both operate totally independently from one another – especially as one is domestic (US) and the other international? A. Both organizations operate completely independently. However, as part of the Saltchuk portfolio of companies we have a great collaborative relationship and communication. Q. Since late 2020 you have been the CSA’s Group C (for shipowners) chair. What do you hope to achieve during your time in this important role within the Association? A. Although I took over the position during Covid-19, and that had created some limitations, my goal is for the ship owners to feel represented and their concerns to be addressed, also to promote
collaboration among the group on identifying improvement opportunities to better serve the region. Q. Are you a member of WiMAC or another other maritime-related association? A. I am part of the Puerto Rico Shipping Association and a member of WISTA (Women’s International Shipping & Trading Association) Q. Outside of Tropical Shipping, what are your main interests and hobbies? A. I love to travel and explore new places, trying new food and going to the beach. I spend a lot of time with my daughter when she comes to the house over the weekend (when she can). She goes to college in the west of Puerto Rico at the University of Puerto Rico, Mayagüez Campus (UPRM), she is on her second year of animal science.
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WiMAC WOMEN IN MARITIME ASSOCIATION CARIBBEAN
WiMAC
Seeking a level playing field The Women in Maritime Association Caribbean (WiMAC), is a regional group of female maritime professionals committed to increasing the performance, participation and contribution of women in the maritime sector. With a network of over 100 female maritime professionals, WiMAC is committed to transforming the lives and status of women through education, mentorship, empowerment and enabling opportunities.
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iMAC was launched in April 2015 in Montego Bay, Jamaica, and represents the seventh regional network that has been established by the International Maritime Organization (IMO) aimed at furthering the objectives of capability and capacity building for women in the maritime sector. WiMAC provides a forum for networking and advocacy in support of the IMO’s own program for integration of women in the maritime industry.
WiMAC’s Mandate: To represent the interests of women in the maritime industry in the Caribbean, nationally, regionally and internationally.
Role of WiMAC WiMAC seeks to: Create a network to inspire, engage, educate and empower women in the Maritime industry and enable them to contribute to the development of the industry in the region; Increase the involvement of women in the maritime industry by creating a
platform and forum for the effective articulation and promotion of the contribution of women to the Industry; and Promote the awareness among young women of career opportunities within the maritime sector.
• Recognition of achievements among maritime women • Promotion of the maritime industry • Contribution to research and development to the maritime industry • Corporate and Social Responsibility
WiMAC’s Mission
WiMAC’s Strategic Vision
To foster the development and participation of women in the maritime sector and contribute to the growth of the industry within the region through: • Empowerment of women through capacity building • Advocacy on issues affecting women and the industry • Lobbying and contributing to the development of responsive legislative and regulatory environments • Mentorship to facilitate career advancement and professional well-being of women in the sector • Networking to share best practices and forging of partnerships to strengthen the industry and provide opportunities for resource mobilization
WiMAC seeks to be a key resource for the sustainable development of the maritime sector.
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Membership and Benefits Membership categories include Full Membership, Affiliate Membership or Corporate Membership, and follows the Rules of Association with respect to voting rights and duties. Members include individuals (including students) or companies, governmental and intergovernmental organizations, and non-governmental organizations or any similar entity that shares and supports the objectives of the Association. The benefits of being part of WiMAC include: Promotion of best practices in global
maritime sector development and up-todate industry standards and procedures to guide regulatory and commercial shipping development in the Caribbean. A global network of associations of women in maritime, and inclusion in thought-leadership and decision-making on enhancing gender equality for all women in maritime. Mentorship, volunteerism, and other strategic opportunities to lead social research, training and other development work with girls and women to enhance women’s participation in the sector. Networking opportunities with regional and global maritime, gender, shipping, trade, environmental protection, and other sector professionals. Knowledge resources on the global shipping and the port sector for evidence-based programming and policies as well as on gender equality and gender mainstreaming for the regional maritime sector. Reliable information on career and professional development opportunities from the IMO, other global partners,
and regional and international academic institutions.
WiMAC’s Team The Governing Council of WiMAC consists of a group of dynamic women representing maritime shore-based personnel and seafarers, academia, research, non-governmental organizations and private and public maritime sectors. Key partnerships exist between Maritime Administrations, Universities, Ports, Logistics and Shipping companies.
WiMAC’s Work: Several WiMAC members have been selected to be part of the IMO-sponsored Maritime SheEO Leadership Accelerator Program. WiMAC embarked on a Break The Bias Campaign and held a webinar in celebration of International Women’s Day 2022, and engaged members and supporters to continue empowering each other. Through a joint project with the Caribbean Shipping Association (CSA), WiMAC has produced a guide for Promoting Gender Equality for
the Caribbean Maritime Sector. WiMAC’s Women on the Rise and Beacons highlight is expected to be launched soon. WIMAC has also developed and implemented a Maritime Baseline Survey Tool (MBST), to collect and collate quantitative and qualitative data on women and men's positions, levels, and types of work (disciplines) occupied within the Caribbean industry. This data will showcase the demographic profile of the Caribbean maritime sector and countryrelated characteristics, and enable more robust and gender-responsive policies, programs and investments to promote gender equality for all and enhance the performance of the region's sea-going and shore-based industry. The Guyana chapter of WiMAC was launched in May on International Day for Women in Maritime.
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BONAIRE WOMEN IN MARITIME
Bonaire Port takes the female lead By Monalisa Domacasse Images ©Monalisa Domacasse
T
his is the first year that Bonaire will have observed the International Day for Women in Maritime. It’s fair to say that Bonairean maritime field has long been male dominated. When it came to sea-life, traditionally men did the boat handling while women stayed home to take care of the household. Women were seen as the center of the house where everything revolved. They took care of the children; taught them norms and values. But there were also women who were physically strong and started doing much the same type of work as men. Many times, these women were forced to do this to survive because either they were single mothers, or the men stayed away for most of the year. These women were seen as ‘fe’males’. Society did not always look kindly upon them.
Remarkable Through the years and because of the remarkable persistence of these women, the road has been paved for more females to choose careers in fields that are or were male dominated. These ladies pierced through the societal classification of jobs that made it difficult for other women to venture in different sectors. As an example of what can be achieved, Bonaire Port wants to put two women in the spotlight: Nicole Madlener and Kia-San Silberie. Nicole is a pilot boat operator. The work mainly consists of assisting the pilot. She takes the pilot to and from a ship. She also takes the line-handlers to the assigned spots to dock the vessel. From time to time she also assists
with rescue work when a vessel is in trouble. What draws Nicole to this job? “I love the feeling of freedom at sea. Every day is different, which makes the job so diverse and exciting. I also love the technical and maintenance that comes with working on board.”
Impossible In the past, some of the machines and other operational mechanisms made it virtually impossible for a female to enter these fields but now the situation is changing. Technology has virtually balanced the workspace: “work that previously demanded physical manpower has changed as machines are now being used to manage these. This makes it easy for a female to also operate it.” What are some of the challenges you face as a woman? “People assume you can’t handle the job. Even though I don't always have the muscle power to do all things there are other ways to get the job done.” What are you, as a woman, most proud of in terms of your work in the maritime field? “That more and more women are choosing to start their career in the maritime work and kick ass while doing so.”
Meanwhile, Kia-San, 29, is the financial administrator/planner. She works on the planning and logistics of cruiseships, as well as cargo and other vessels. What draws you to this job? “I grew up in a family who were all sailors and fishermen. So, when I found this job, it was the best of both worlds – maritime and financial administration.” What are you, as a woman most proud of in terms of your work in the maritime sector? “That I’m the only female in the office. I feel that, even though I am the only female in a so-called male environment, I am treated with respect.” What do you think the future of maritime looks like for women coming into the workforce? “I believe it’s amazing. More and more women should work in the maritime field. There are different areas where you can function as a female.” The long-term goal of Bonaire Port is to encourage recruitment and more participation by women in the maritime sector. Gunther Flanegin is the Harbor Master at Bonaire Port – a position he has held since late 2016. Previously he worked in the Netherlands for Bluewater Energy Services and before that for Heerema Marine Contractors.
Work that previously demanded physical manpower has changed as machines are now being used to manage these. This makes it easy for a female to also operate it.”
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USVI OPEN REGISTRATION
Free Registry in the US Virgin Islands:
The Unanswered Questions The recently published proposal for a transformative change in the US shipping industry, authored by the Center for Ocean Policy and Economics (COPE) at the Northeastern Maritime Institute (NMI) in Massachusetts, and entitled A Revitalization Plan for US Maritime Trade, Commerce and Strategic Competition has generated considerable controversy and raised questions and issues yet to be fully addressed, much less resolved.
Stephen Metzger PhD Principal International Competitive Assessments
R
elease of the proposed plan was then officially launched by the formal signing of a partnership—and subsequently, a memorandum of understanding (MOU) between NMI, represented by its President, Eric R. Dawicki (also Deputy Administrator of Maritime Affairs, Commonwealth of Dominica Maritime Administration) and the USVI, represented by USVI Governor, Albert Brian, Jr. Of the six major goals set out by the Revitalization Plan, two are singled out for analysis, which are, directly quoted from the press announcement: • Formation of the US Virgin Islands’ open international ship registry – the first, and only, international US open ship registry. • Developing a short sea transshipment hub in the Caribbean to alleviate supply chain congestion by moving a portion of east coast distribution from land to
sea and increasing the number of ports importing goods from overseas.
Vessel status under the proposed USVI open registration In an interview Juan Carlos Croston, immediate past President of the Caribbean Shipping Association and now Vice President of Marketing and Corporate Affairs, Manzanillo International Terminal, Mr Croston pointed out that there is a clear difference between a traditional open registry and one that might be modeled after the Gibraltar-UK registry agreement, wherein any vessel registered in Gibraltar carries the same status as any other UK flag vessel*. Given the language and apparent intent of the COPE proposal, the intent clearly goes beyond a traditional open registry
often referred to as a “flag of convenience”. As the COPE white paper, which details the proposal, states, the proposed registry would establish, “A new secondary US flag dedicated to international trade and commerce…” The white paper also seems to assert that the USVI is granted a full exception to the Jones Act, and thus, “allows the US maintain the regulatory framework of the Jones Act, a ‘Separate, Yet One,’ policy, and at the same time increase US international competitiveness and influence in the global maritime community,…”
Legal challenges are likely James Levantino, an attorney with Vandeventer Black, LLP, and an expert in maritime law wrote in a legal text appearing in JD, Supra that while the Merchant Marine Act of 1920, otherwise known as the Jones
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USVI OPEN REGISTRATION
Act, created an exception for the US Virgin Islands in that “cargo commonly transported about the Caribbean could be unladen in the Virgin Islands.” Presumably, this exception meant that a foreign vessel could enter a US port, pick up good commonly traded in the Caribbean, and unload the cargo in the USVI, a US territory. Levantino added, however, that the exception could not be interpreted as allowing a USVI-flagged vessel, not conforming to the other restrictions of the Jones Act, to be active in US coastwise trade. The other key restrictions of the Jones Act are that the vessel must be owned by a US corporation or citizen, must have been built in the United States, and must be manned by seafarers who are US citizens. Given the legal challenges that are likely, it is also likely that aspects of the Revitalization Plan, especially those
These goals, if achieved would be a major boon to the USVI and would enhance logistic flexibility for the region and the US.”
concerning the legal status of vessels registered in the USVI and operating under a USVI flag, would require legislative action by the US Congress and the President to modify the Jones Act to extend the USVI exception as it now stands. One knowledgeable industry stakeholder opined that, as now presented, the concept of a USVI open registry with the attributes ascribed by COPE, would require “heavy legislative action”.
The proposed transshipment hub: What’s Needed Creation of a short-distance transshipment hub, presumably in the USVI would be complemented by two of the other stated goals of the Revitalization Plan – specifically, “building public/private/international partnerships to address strategic maritime issues,…” and “establishing a Maritime Venture Capital Fund to finance commercially advanced technologies that solve maritime and ocean industry problems…” These goals, if achieved would be a major boon to the USVI and would enhance logistic flexibility for the region and the US. For these goals to be accomplished, the hub would have to hold out the promise of operational efficiency and cost-effectiveness – which, in turn, would give rise to the return on investment required by private sector investors.
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If the transshipment hub is located in the USVI, which would be the key component of the further outcome of increasing employment opportunities, would it be cost-effective at US wage levels? According to industry sources contacted for this article, the answer is an emphatic, no. If this is indeed the case, then hub operations would have to be subsidized by public funds, which is why, no doubt, the emphasis is made on public/private partnerships, along with a venture capital fund with a “… focus on environmental vulnerabilities.” Environmental concerns, climate change, and decarbonization all what economists call negative externalities involving social costs that are borne exclusively or partially by both the private and public sectors. Thus, the hub investment project, as well any attempt to modify the Jones Act to benefit the open registry, will involve a heavy dose of governmental involvement, all of which suggests a drawn out legislative process encompassing a diversity of stakeholders. Some industry insiders feel that while acknowledging the UK-Gibraltar ‘model’, there are better examples elsewhere in the world for USVI to consider. For example, NIS-registered ships flying the Norwegian flag enjoy the support of a complete maritime administration with extensive experience and knowledge. Choosing the NIS brings numerous benefits regarding finance, operations, safety, and staff. There is also the REBECA registry, which is the Spanish international registry, or the Madeira Registry, both are international registries, with a peculiarity that in Spain and Portugal the major decisions are done by the central government which makes any procedure time consuming. Then, of course, there are the Marshall Islands which have strong links with the US via a compact of free association. Slightly different from the USVI, but a step in same direction and where the government has concessioned the registry to International Registries – a privately held maritime and corporate registry service provider. The MI Ship Registry is now among the world’s top three by deadweight tonnage.
PANAMA CANAL
Getting the best out of the Panama Canal
S
hippers and operators from a wide range of sectors use of the Panama Canal. One thing they have in common is the concern about how possible delays might affect them. Based on my quarter century of experience in the waterway, it’s safe to say that there is always potential for transit delays. However, the Canal can do better. The Panama Canal can accommodate 38 to 40 ships a day in normal conditions and is currently averaging 34.3 transits, which leaves capacity for another 4 or 5.
Alexei Oduber Managing Director GAC Panama
Night-time operations create greater options Since the expanded canal opened in 2016, the locks have facilitated more than 400 LNG carrier transits in the daytime. With
this experience, the Panama Canal should be ready to offer the night transit for LNG vessels. Operational adjustments have to be made to accommodate new slots but opening up the option for night-time LNG passages would address the important issue of delays affecting both LNG and non-LNG customers. Every time you create a new operational slot, even with transit restrictions, Canal users stand to benefit from fewer delays and more options.
Making more time Increasing the time frame for NeoPanamax vessels to enter a port area in the Pacific side of the Panama Canal could also increase transit slots. The approximately 4km long stretch
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between the Bridge of Americas and Buoy No. 6 serves as the entry and exit point – both to the Panama Canal and to Balboa Port (an important hub for Maersk) and the PSA Terminal (a key transshipment hub for MSC). But unless you’re a container operator you may wonder why would this matter to you? Similar to how opening up nighttime LNG transits would benefit all using the Canal, there is a potential domino effect here too. Currently, simultaneous NeoPanamax vessels in both directions are not permitted, but to change it would create a window of approximately three extra hours of Canal transit time. That would mean a partial transit for one vessel, saving half a day of hire and perhaps an extra transit slot due to the decrease in Canal Water Time between arrival in Panama Canal waters and sailing from the locks. The possibility of making these two changes is now being reviewed in detail by the Panama Canal Authority (ACP). Indeed, the Canal’s Deputy Administrator has boarded NeoPanamax vessels to assess and analyse the situation first-hand.
High noon for water levels One big challenge remains in the quest to boost transit efficiency – the water limitation due to the Canal’s fixed storage capability. Plans are in place to improve water savings in a bid to become resistant by 2025 to the impact of decreasing levels in the summer months. Some suggested solutions include increasing the depth of the Gatún Lake, which feeds the Panama Canal, by creating silos inside to increase water savings and enable re-use when needed. Now, the water saving pools for NeoPanamax vessels use 6% less water while transiting twice the cargo. Currently, every transit uses 52 million gallons/196 million liters of fresh water which is dumped out into the ocean through “spillways”. Reusing this water could allow the Canal to plan additional transits. The risk, however, is that osmosis
ackats / Shutterstock.com
PANAMA CANAL
Similar to how opening up night-time LNG transits would benefit all using the Canal, there is a potential domino effect here too” (moving from higher to lower concentration) could increase the salinity levels in the Gatún Lake when the water is returned – a major issue as it is also the main source of drinking water for Panama City, home to about 25% of the country’s population. Fortunately, new technologies can address this issue and assure safe saline controls.
Working together Every shipping customer that uses the Panama Canal wants greater transit efficiency. Raise your concerns with your agent and we, in turn, will take them to the regular meetings we have with the ACP so we can all work towards new, operational and hydric sound procedures that will boost the number of transits every day.
18 Caribbean Maritime | June- September 2022
Alexei Oduber has been involved in tanker, liner and agency operations in Panama since 1991 where he started working with the Panama Canal. He has managed a fleet of tanker, barges and supply vessels for ancillary services to vessels. As the administrative manager of a canal Transit Agency responsible for over 300 transits per month, implemented innovative commercial projects. Established Hamburg Süd’s commercial presence in Panama while responsible for commercial, operational, vessel utilization, and equipment usage as the country manager. Currently managing director of GAC at Panama, part of the GAC Group based in Dubai. Along with a network of over 30 GAC offices in USA, Brazil, Trinidad, Guyana and Uruguay the company has been focusing in providing specialized services to tanker and bulker sector in America. Have spoken in international events including presenting in Nairobi to the African Nation Assembly of World Trade Organization. As an active member of the Panama Chamber of Shipping, and while presiding the Education Committee designed and implemented a
EQRoy / Shutterstock.com
ABOUT ALEXEI ODUBER
program of visits and presentations to the different High Schools with a Nautical Program, thus assuring a better graduate into the system. A member of the Rotary Club Panamá Nordeste since 1998 and served as president of the club in 2005. Alexei completed six (6) Ironman triathlons (3.8km swim, 180km bike, and 42.2km run) Born in the Republic of Panama and completed executive education at Wharton School of Business, the University of Pennsylvania. He also obtained an MBA from Nova Southeastern University after graduating from The Citadel – The Military College of South Carolina, May 1990.
www.caribbean-maritime.com 19
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THE OCEAN CLEANUP JAMAICA
Jamaica operations A
s outlined in previous issues of Caribbean Maritime, The Ocean Cleanup – an Amsterdam-based non-profit environmental organization – has for the last two years been working to install its revolutionary waste-collecting Interceptors and its Interceptors Barriers and Tenders in the region, first in the Dominican Republic’s Rio Ozama, but more recently in Jamaica. This second, and much bigger, base in Jamaica is now taking shape. The Ocean Cleanup plans to install Interceptor Barriers in the eleven main drainage gullies that cause waste contamination in Kingston Harbor. The Harbor includes Hunts Bay, at the mouth of the dammed Rio Cobre, and the two major drainage
gullies, Jew Gully and Sandy Gully, plus eight additional gullies. Caribbean Maritime spoke to The Ocean Cleanup’s representative Danilo Angela in Amsterdam and asked how the project was progressing. “At this initial stage of the pilot project, Interceptor barriers have been installed at three gullies: Kingston Pen Gully, Rae Town Gully and Barnes Gully.”
Measurement “We are currently setting up and validating the measurement methods, so exact waste numbers cannot be provided yet, but it is hundreds of kilos of plastics at the moment,” he says. More generally, The Ocean Cleanup estimates extracted waste from all eleven gullies in and around
The Ocean Cleanup
The Ocean Cleanup steps up its
Kingston will amount to more than 900 tonnes per year.” The trash collected in these gullies mainly consists of polyethylene terephthalate (PET) bottles. “We are still trialing and optimizing this setup – special attention goes to the offloading process that will be put to the test during the rainy season when we expect a larger trash influx,” says Angela. The offloading site where the extracted debris is brought to is close to the JPS Rockfort Power Station. For the moment, extraction rates are somewhat vague. Angela cautions: “It is still early as we have only just transitioned from the Set Up Phase to the Operations Phase. However, we can see where the barriers have been an impediment to waste entering
www.caribbean-maritime.com 21
THE OCEAN CLEANUP JAMAICA
The Ocean Cleanup
HOW IT WORKS
the sea and the project's manual cleanup component (around the gully mouth) has resulted in a cleaner coastline there. How much we can reduce the load will be seen over the next few months as the pilot progresses. We are particularly excited for the overwhelmingly positive reception from local stakeholders – community, private sector, government, non-profit organizations, and students. Led by our project facilitators, the GraceKennedy Foundation (and Clean Harbours Jamaica), a wide variety of stakeholders have been mobilized and are being mobilized to support the project and try to address the challenges in a holistic and sustainable way. As our results come in over time, we hope this momentum will continue to grow.”
The Jamaican government has been extremely supportive of this project”
Angela is particularly proud of the support the project has received from the highest level locally. “The Jamaican government has been extremely supportive of this project. A variety of ministries, including the Office of the Prime Minister, government agencies, local government representatives, elected community representatives and regulators have all helped to facilitate the successful launch of this pilot project.”
Straightforward It has also proved straightforward in terms of the set up. Explains Angela: “The Interceptor Tender and the Interceptor Barriers arrived and were cleared easily with the support of Jamaica Customs. The Interceptor Tender is now operational as a registered vessel thanks to the support of the Port Authority of Jamaica and the Maritime Authority of Jamaica. Our Interceptor Barriers have been installed with the regulatory approval of the National Environmental Protection Agency (NEPA). The offloading site has
The Interceptor Barrier is a standalone floating barrier anchored in a U-shape around the mouth of a small river or gully. This intercepts trash and buffers it until it is removed from the water by a tender. The design of the Barrier builds The Ocean Cleanup’s experience from its existing Interceptor deployments and where the Barrier concentrates trash toward the mouth of a standard Interceptor. The main difference is that, in this case, most of the standalone barrier is permeable and is thereby optimized to efficiently buffer trash in the water.
been established on lands of the Urban Development Corporation and the National Land Agency. For ongoing operations, the project team works collaboratively with the Kingston & St Andrew Municipal Corporation that is responsible for the maintenance of the gullies. Angela adds: “The municipality has conducted cleanings of the build-up within the gullies. We just started and much more is needed but we look forward to the collaborative efforts between us and them.”
www.caribbean-maritime.com 23
ACMF CARIBBEAN MARITIME CAREER EXCHANGE (CAREX)
A Caribbean-only jobs board for maritime workers A
new platform has been launched for Caribbean jobs market which could change how maritime positions are pursued and acquired in the region. The ACMF-CAREX platform for the maritime sector is backed by the American Caribbean Maritime Foundation (ACMF). CAREX stands for Caribbean Maritime Career Exchange. First on board were over 200 maritime graduands and soon-to-be graduands from across the Caribbean who trained at Kingston’s Caribbean Maritime University, the LJM Maritime Academy in The Bahamas, and the University of Trinidad and Tobago. The new jobs board www.acmf-carex.org is only accessible to would-be employees in the region. Job seekers living outside of the Caribbean are not able to register on
the site. However, prospective employers anywhere in the world can register and will have full access to the qualified workers listed who are looking for job opportunities.
Important “This step is important for us”, says the ACMF president Dr Geneive Brown Metzger. Adding: “After making an investment in educating young people, helping to place them in jobs was the logical next step. Although the maritime space is global, accessing information about job opportunities in the region and overseas can be a challenge. We hope the jobs board will be a game changer in the job search process.” As for the types of jobs that Caribbean nationals are trained to do at local institutions, they cover the gamut from cadets to robotics engineers, including positions
at sea and on land. The 1.89 million people currently employed at sea in the maritime industry globally is only half of the number of employees in the field. Shore-based workers and professionals, such as engineers, logisticians, port managers, truckers, hospitality workers, supply chain managers, customs clerks double that number. Royal Caribbean International is doing its part to meet the projected shortfall of workers in the industry, including 90,000 officers, by 2026. In its partnership with the ACMF, Royal Caribbean has committed to “hiring cadets and help guide them so they can become captains on Royal’s ships, which is the way it should be”, said Michael Bayley, president, and CEO, Royal Caribbean International. Royal recently hired two ACMF scholars as 2nd officers.
Caribbean Maritime University
A model for growth
26 Caribbean Maritime | June- September 2022
Why can’t the Caribbean become a major source of workers for the global maritime industry? That was the question asked by Dr Metzger which led her to establish the AMCF in 2016, a US non-profit organization, focused on raising up a cadre of Caribbean maritime workers for the global market. “The Caribbean can do what the Philippines is doing, and we have the support of several of the shipping lines that operate their business in the region. We plan to create a paradigm shift in the maritime job search process in the Caribbean”, she added. After five years, the ACMF that began with five scholarships in 2017 at the Caribbean Maritime University (CMU), has
LJM Maritime Academy Caribbean Maritime University
now funded Bachelors and Bachelors of Science for over 70 scholars and grantees at four academic institutions across the Caribbean. Strong support for the AMCF-CAREX platform has been expressed by such donors to the Foundation as Roland Malins-Smith, former President of Seafreight Lines. “As a retired ship operator and being from the Caribbean myself, I know firsthand how critical it is to have this type of support for our young aspiring maritime professionals,” he
The Caribbean can do what the Philippines is doing, and we have the support of several of the shipping lines that operate their business in the region” says. “They are well-trained and deserve an opportunity.” The ACMF anticipates increasing numbers of cruise and cargo operators partnering with the Foundation and the region’s marine educational institutions to provide opportunities for Caribbean marine graduates, emphasizing the appropriateness of such graduates building their careers aboard the ships that use regional ports and playing their part in the growth and development of the Caribbean.
RECRUITMENT DRIVE Royal Caribbean is launching a major recruitment drive in Antigua and Barbuda. This follows the signing of an MOU between Minister of Tourism & Investment Charles ‘Max’ Fernandez and Royal Caribbean’s, Vice President of Government Relations, Americas, Russell Benford.
www.caribbean-maritime.com 27
INSPIRING CAPTIVATING INFORMATIVE
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COLOMBIA NEW PORT
Puerto Antioquia gets the go ahead It’s not every day that a world-scale port is launched in the Caribbean, so when such an occasion arises it’s time to sit up and take notice. And that’s the case with Puerto Antioquia – Colombia’s newest and most important port and logistics project, which got the presidential seal of approval in April when Iván Duque Márque personally inaugurated the ribboncutting ceremony in Nueva Colonia, Turbo District.
T
he US$ 650 million project comes with serious backing, not least from CMA CGM (via subsidiary CMA Terminal Holding), which continues to invest and develop new products in Latin America. Puerto Antioquia also involves French civil engineering construction firm Eiffage Infrastructure, local banana producers Agrícola Santamaría, C.I.Uniban, C.I. Banacol, C.I.Banafrut and CI Tropical, Colombian port development company Puertos, Inversiones y Obras (PiO), and regional development body Instituto para el Desarrollo de Antioquia (IDEA). Financing the scheme seems not to have been an issue either. Back in November, IDB
Invest – the private sector institution of the Inter-American Development Bank – came to the party with a US$ 200 million deal for the Puerto Antioquia scheme. It is estimated that the implementation and operation of the port will create 1,600 direct jobs and a further 17,000 indirect jobs in and around Urabá, a subregion of the local Antioquia department.
Concession The mega-project consists of the design, construction, operation and maintenance of a multipurpose port facility located in the Gulf of Urabá, under a 30-year concession to Sociedad Bahía Colombia de Urabá
www.caribbean-maritime.com 29
COLOMBIA NEW PORT
With 16.5 meters of alongside depth, the port will be capable of handling super post-Panamax vessels. It will be connected to the mainland and inland terminal via a 3.8km viaduct and access road”
and signed by the Agencia Nacional de Infraestructura (ANI). Due to its location and logistic cost advantages, Puerto Antioquia is expected to attract cargo moving to and from Colombia’s second largest city Medellín (also the capital of the Antioquia department) as well as Bogotá. The scheme includes the construction of a special offshore platform that will comprise 1,337 meters of berthage (570 meters for containers, 537 meters for bulk and general cargo plus 230 meters for RoRo traffic). The project will build upon some existing
maritime traffic (despite the lack of modern port facilities some carriers already called at Urabá), becoming the main outlet for the region’s important banana and fruit exports. These represent around 75% of all Colombian banana exports.
Connected With 16.5 meters of alongside depth, the port will be capable of handling super post-Panamax vessels. It will be connected to the mainland and inland terminal via a 3.8km viaduct and access road. The inland terminal has 38ha of inland terminal/ logistic facilities, including a container yard, dry-bulk storage facilities, warehouses, inspection areas, maintenance and admin buildings and utilities.
Medellín City
30 Caribbean Maritime | June- September 2022
Once operational, Puerto Antioquia’s initial handling capacity will be 600,000 TEU (scaleable to 800,000 TEU plus 1.15 million tonnes of general cargo, three million tonnes of bulk cargo, and some 60,000 vehicles a year). The construction contract, signed in June 2020, is being carried by a consortium comprising France’s Eiffage Génie Civil Marine and Bogotá-based Termotécnica Coindustrial. Work is expected to start during Q2 2022 and be completed by 2025. For over 80 years the building of a seaport has been the dream for the local Antioquia community. This dream now seems to be coming true.
CSA CSEC 2022
20th Caribbean Shipping Executives Conference (CSEC), 2-3 May 2022
It’s good to be back T he Caribbean Shipping Executives’ Conference (CSEC) of the Caribbean Shipping Association (CSA) held its mid-year conference in Doral, Miami on Monday, May 2 as delegates were urged to ‘put people first’ to improve company culture and overall performance. That was the message delivered by the conference’s keynote speaker, author and leadership expert, Eduardo Braun, to over 250 shipping executives at the InterContinental Hotel during the CSEC’s 20th staging. Braun’s presentation on “People First Leadership: Chief Emotions Officer” encouraged attendees to “be the new CEOs” or ‘chief emotions officers’ to influence an organization’s culture and multiply its
results. Adding leadership is anchored by culture which includes vision, people, communication, and decision-making, he shared “every human being has the power to change their culture”, even though some have more authority and people reporting to them.
Essential Earlier in the day, CSA President Marc Sampson, during his welcome address, said the shipping sector continues to redefine ‘essential’ throughout the coronavirus pandemic, at a time when its impact is most evident. “The CSEC’s longevity and continued relevance are testament to the role that the Association has played in advancing the regional shipping industry
since its establishment,” he added. Sampson said the two-day program represented issues facing the maritime industry, while noting that the collective decisions taken now will have increasing weight in the coming years. “More importantly, the respective sessions will allow us to get diverse perspectives and pragmatic solutions on how to deal with these varied issues,” he said. He continued, “Our vision of the CSA, and by extension, the industry, is one of continued innovation, evolution and sustainability. Our collective efforts to keep the cogs of the international trade machinery going are often unrecognized, but no less important in an increasingly globalized environment.”
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CSA CSEC 2022 Welcome Cocktail
Sampson also led a moment of silence for late shipping icons and CSA stalwarts Harriat (Harry) Maragh, Robert Bell and Nathan Dundas who passed over the previous year.
Csec highlights The other major topics of the conference’s first day included ‘The Importance of Shipping Organisations in Unifying and Advancing Private Maritime Law and Practice’, delivered by Najla King, maritime and blue economy specialist; Future Dredging Plans: ‘Enhancing Safety of Shipping and Facilitate Economic Development,’ presented by Michael Amafo, director of the Maritime Authority Suriname; and ‘Cargo Flows in the Caribbean; Challenges and Opportunities’, presented by consultant Ricardo Sanchez and moderated by Philip Gray, partner at Grayship. There was also a panel discussion on ‘Beyond the Pandemic – The Role of ICT in The Shipping Industry’, which featured Andre Williams, chief information officer at Jamaica Customs Agency; Rhett Chee Ping, managing director of Gordon Grant; Dwain Powell, director of the Port Community System Operator, The Port Authority of Jamaica; and Glaister Leslie, consulting manager at Voiant; John Gibson, senior manager at Victoria Mutual Group. The session was moderated by Advantum CEO, Frances Yeo. The CSEC, which is the Association’s first in-person conference since its 2019 staging in Jamaica, was moderated by CSA General Manager Milaika Capella Ras, with the vote of thanks delivered by CSA Vice-President and president of the Shipping Association of Jamaica, William Brown.
32 Caribbean Maritime | June- September 2022
Day 1
www.caribbean-maritime.com 33
CSA CSEC 2022
PortMiami Tour
34 Caribbean Maritime | June- September 2022
roundup Caribbean Maritime
1
Guyana
The local arm of Danish firm Blue Water Shipping has acquired Falcon Logistics – a move that follows the company’s recent opening of offices in Saudi Arabia and Iraq. Thomas Bek, COO, Energy, Port & Projects at Blue Water says: “The acquisition of Falcon Logistics is a very exciting event in the world of Blue Water. It is yet another substantial commitment in the Caribbean region, and we are pleased to welcome more than 40 new colleagues in Guyana to the Blue Water family.” Blue Water first opened an office in Guyana in 2020 to offer a range of services. The company handles large volumes of cargo for the oil and gas sector into Guyana and, with the acquisition of Falcon, it has expanded its offer to include shore base, warehousing, trucking, laydown management, heavy haulage and lifting projectrelated business into and out of Georgetown. Buying the Georgetown-based Falcon Logistics is a natural step forward for Blue Water. Founded in 2013, Falcon is a 100 per cent Guyanese employee company supporting the region’s oil and gas sector. Under the structure of the acquisition, Blue Water Guyana, will remain majority Guyanese owned, maintaining full compliance with local content law. Esbjerg-headquartered Blue Water was established in 1972 as an international transport and logistics company with more than 65 offices worldwide.
2
Florida
Port Everglades has welcomed two new services from the CMA CGM Cagema Main Loop 2 and Loop 3 and will be the only port of entry into the United States for Loop 2 serving Jamaica (Kingston, both south and northbound), Trinidad (Point Lisas and Port of Spain), Grenada, and Haiti (Lafito both north and southbound, and Cap Haitien southbound only). Loop 3 calls Jamaica (Kingston), The Bahamas (Nassau) southbound and then Jamaica (Kingston) again northbound before adding St Maarten (Philipsburg), Martinique (Fort-de-France), Barbados, St
3
Vincent (Campden Park), St Lucia (Castries) and Jamaica (Kingston) for a third time. These two services will involve up to 350 container movements each week for the port.
Port Everglades
EQRoy / Shutterstock.com
News from around the Caribbean
Florida
Singapore’s global ocean carrier Sea-Lead Shipping is bringing its first US East Coast container service to Jacksonville (JAXPORT) which will connect with four ports in Asia – South Korea’s Pusan and the Chinese ports of Qingdao, Ningbo, and Nansha. It is believed that Jacksonville’s uncongested berths and soonto-be-completed (mid-2022) 47-foot/14.3 meters deepening project costing US$ 484 million were key factors in Sea-Lead’s decision to choose JAXPORT. Prior
Jacksonville Terminal
to completion, the depth was only 40 feet/12.2 meters. The service represents another example of Far East carriers switching capacity away from US west coast ports. Sea-Lead Shipping managing director Cho Kit Wei says: “Port congestion has been a challenge for everyone recently and the AEC will allow us to service ports that are more efficient for our customers.” “We are confident that the market and our partners will respond well to the service, and we look forward to developing strong partnerships on this trade lane,” he adds. Sea-Lead is privately owned and was only founded in 2017. The carrier started life as an NVOCC before purchasing its own tonnage and today has 34 offices.
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roundup Caribbean Maritime
4
News from around the Caribbean
Guyana
The Guyana Shore Base Inc (GYSBI) at Houston on the East Bank of the Demerara River plans to inject some US$ 250 million to expand its operations which will see the additional employment of around 100 additional workers. That expansion will take place on some 170 acres of old sugar cane land and will see the construction of new open warehouses. “We have around about 70 acres of that completed now and we are continually working on the expansion of the rest of it,” says GYSBI’s Sean Hill. He added that a maintenance workshop is under construction along with a ‘completions warehouse’ – which puts the final touches to equipment before it can used as floating production storage and offloading vessels (FPSO) offshore Guyana. Meanwhile, GYSBI has teamed up with Houston’s UTC Overseas to offer door-to-door services in Guyana, including project forwarding, warehousing, distribution, and shore-based services.
7
5
Jamaica
Jamaica Producers Group (JPG) has, via its UK-based subsidiary JP Shipping Services, acquired Miami Freight & Shipping Co. Miami Freight & Shipping has been involved in freight handling, logistics and shipping for more than 40 years. Meanwhile, JP Shipping Services is a freight forwarder and logistics enterprise, which has been in business for over 80 years. JPG chief executive Jeffrey Hall says: “In adding a North American spoke, this acquisition marks an important expansion of JP’s diversified logistics and shipping platform that connects the world’s major markets to the Caribbean.” JPG chief commercial officer Maya Walrond added: “We see clear opportunities for growth in commercial cargo handling, in e-commerce shipping and export facilitation.” The board at Miami Freight & Shipping is now chaired JPG chairman Charles Johnston.
6
Jamaica
Jamaican Prime Minister Andrew Holness has said that Port Antonio is to get its own cruise port to help unlock its tourism potential when contributing to the 2022/23 Budget Debate in Parliament. Holness has asked the Port Authority of Jamaica [PAJ] to develop Port Antonio’s East Harbor as a cruise port. The PAJ is also to develop the land surrounding West and East Harbors utilising a publicprivate partnership to construct a range of tourism facilities. Port Antonio is the capital town of Portland parish on Jamaica northeast coast. “This will be the largest and most ambitious development of its type in the region. The concept is to create a low-density, high-value, sustainable tourism product that is in keeping with the character of Portland but will also bring jobs and opportunity for the people of Portland,” Holness said. Up until now, the few small and premium cruise ships to visit Port Antonio berth at the Ken Wright Pier at the Errol Flynn Marina.
Jamaica
The Port Authority of Jamaica (PAJ) is advanced in preparations to bring some of its business process outsourcing assets to market to facilitate investment by a wide cross section of the local population. Prime Minister Andrew Holness says the proceeds will be re-invested in expanding near-port logistics adjacent to the Kingston Container Terminal (KCT) and the planned location for the 485-hectare Caymanas Special Economic Zone in St Catherine Parish, close to Kingston. “This is an important area of opportunity for Jamaica,
with the improving competitiveness of our terminals and the trends towards near-shore production and logistics operations in our hemisphere.” Mr Holness said with the PAJ pioneering Jamaica’s BPO industry in the Montego Bay Free Zone and establishing the Portmore Informatics Park in St Catherine “as the new benchmark of excellence in the sector”, the entity is now looking to monetize some of its investments in the sector. The Prime Minister pointed out that this is consistent with the PAJ’s role as
36 Caribbean Maritime | June- September 2022
an agency of Government that catalyses and stimulates development. “Its assets are now mature. The [BPO] sector is fairly [buoyant, and] they are generating steady streams of income. Those assets can now be leveraged [and] placed on the stock market, for example, or divested in other ways,” he concluded. William Tatham, vice president of Cruise Shipping and Marina Operations at PAJ, told Caribbean Maritime: “(it’s) very serious but still early days… behind the scenes we are actively working on it”.
8
Florida
Work has now started on the new MSC Cruises terminal in Miami. Located at the easternmost point of the port, the terminal is set for completion in late 2023. The construction work, carried out by Italy’s Fincantieri Infrastructure, will result in the largest state-of-the-art terminal in the US handling up to 36,000 passengers a day and costing in excess of US$ 380 million. The terminal will be able to simultaneously accommodate three latest-generation, lowenvironmental impact ships such as MSC Cruises’ future LNG-fuelled ships which are scheduled to become operational in the coming months. The terminal will also offer ship-to-shore power solutions.
Puerto Rico
The US Army Corps of Engineers (USACE) and the Puerto Rico Ports Authority (PRPA) will later this year begin laying the groundwork to improve the maritime infrastructure in the port of San Juan Harbor. Ports Authority Executive Director Joel Pizá said the US$ 60.5 million project includes several key phases that will increase the depth and breadth of the different areas of the harbor. One of the most important aspects of this is the work to be done to the Army Terminal Channel, which is used by cargo ships bringing in LNG and other liquid cargoes to berths in both San Juan and Cataño. That channel will be dredged from 40 to 44 feet, opening the way for larger cargo ships. Pizá says: “Once that’s completed, we’ll be able to receive larger barges carrying natural gas, which cannot
make it into the San Juan Harbor today. Having larger ships coming in means greater volume and better prices (and better local prices for electricity).” While the USACE is the lead agency, contributing about US$ 45.5 million, the Puerto Rico Ports Authority is the non-federal sponsor that is putting up the other US$ 15 million, for the project that has somewhat incredibly taken 16 years to get off the ground. The current circumstances of the bay area also affect cruise ship traffic, as they are dealing with maneuverability issues that increase their transit time in the harbor. It also restricts larger ships from docking in San Juan. The project will comprise five phases starting in October 2022 and should take about 18 months to complete. The USACE will award the contracts to the firms involved in completing the different tasks.
Felix Mizioznikov / Shutterstock.com
Pierfrancesco Vago, executive chairman of MSC Cruises, says: “This initiative represents a further important step in the long-standing and fruitful collaboration between MSC and Fincantieri. Together with other leading economic players of the ‘Italian System’, such as Intesa Sanpaolo, CDP, Sace and Simest, we are partners of a project that honors the Italian know-how and engineering skills in the world, called upon to engage in the US cruise market. It will be the largest and most technologically advanced terminal in the US, a new benchmark in the sector, as well as one of the most significant investments made in Miami.”
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Miami
San Juan Harbor
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roundup Caribbean Maritime
News from around the Caribbean
10 Suriname Houston-based Phoenix Development Co has awarded a front-end engineering and design (FEED) contract for its planned LNG export plant in Suriname. Phoenix Development, in cooperation with Idaho’s Make A Difference Ventures (MAD), said it has engaged Dallas-headquartered Schwob Energy Services for the Phase 1 FEED of what it says is the first gas receiving facility and LNG export plant located in the Suriname-Guyana basin. The initial projects would cost over US$ 2 billion and include the gas-receiving facility and LNG liquefaction and export facilities. Phoenix Development last year partnered with Havenbeheer Suriname to develop a deepwater port and special economic zone in Suriname. Phoenix Development says the gas-receiving facility is the landing
11 Jamaica point for offshore gas pipeline deliveries, to service the various consumers in the deepwater port and economic zone.
The Port Authority of Jamaica (PAJ) aims to develop the 11.8 acres of land within the Montego Bay Free Zone into a commercial and logistics complex.
Phoenix Development and partner MAD are planning an electrified LNG plant that would operate with “zero-net emissions”, maintaining Phoenix and Suriname’s commitment to “protecting the Amazon and the environment as a whole.”
This proposed project will form part of the Jamaica Global Logistics Hub (JGLH) initiative. In Kingston, the PAJ has already completed construction of a 18,580 sq meter logistics facility alongside the Kingston Container Terminal. This is known as Kingston Logistics Park (KLP).
Also, the initial facilities would target a capacity of 4 mtpa, the firm said, adding that its design integrates liquid hydrogen production, storage and loading alongside the LNG produced at the plant.
The JGLH initiative is designed to position Jamaica to attract businesses that are a part of the global supply and value chains.
According to its website, the firm was formed by a group of entrepreneurs from the US, Suriname, the Netherlands, Curaçao, and the UK with Houston’s Featherwood & Co as the leading partner.
The PAJ also owns 50 acres of land in Falmouth and the Authority is seeking to develop and monetize its investment by way of publicprivate partnership (PPP).
12 Costa Rica
13 Jamaica/Guyana
José Rueda Salinas has been appointed the new managing director of APM Terminals Moín.
Kingston-based R.S. Gamble has been appointed non-exclusive agent in Jamaica for global logistics provider Kuehne+Nagel.
Rueda Salinas join Costa Rica’s largest container terminal in April, relocating from Mexico where he had worked since 2016 in a similar role at APM Terminals Lázaro Cárdenas. Since the late 1990s, Rueda Salinas has held various management roles across terminals in Spain, the Americas and Turkey, alongside several positions of representation in associations and boards of directors in the industry. “I am very excited to continue my journey with the company from my new post in Costa Rica,” Mr Salinas said on taking up the appointment.
Tracing its roots back to 1897, the present R.S. Gamble was created in 1998 offering ground transportation and freight services from two offices in Kingston and Montego Bay. It also operates as ship agents and marine insurance claim-settling agents. Additionally, the company is Lloyd’s Agent in Jamaica, with other principals including the International Underwriting Association, W.K. Webster & Co and the American Salvage Association, The Swedish Club, plus a range of other European and Far Eastern insurance companies.
38 Caribbean Maritime | June- September 2022
At the same time, Kuehne+Nagel has also formed a partnership with Laparkan Trading in Guyana. Laparkan has almost four decades’ experience in providing services to a range of overseas cargo operations. Regarding the two announcements, Kuehne+Nagel’s Central America and Caribbean cluster Jan Trittin says: “These new partnerships represent a major step for the company in South and Central America, strengthening its presence and enhancing business networks and connecting people and goods. We are delighted to collaborate closely with our new partners supporting the region’s growth and development.”
Indian multinational and one of the world’s leading manufacturers of cryogenic equipment and solutions provider INOXCVA has been awarded a contract by Caribbean LNG Inc for design, engineering and supply on a turnkey basis for a Mini LNG receiving and regasification terminal to be set up in Antigua. Caribbean LNG is a joint venture between Eagle LNG Partners and the Antigua Power Company (APC). The terminal will provide natural gas for APC’s on-island 40 MW power plant. The LNG terminal, being located on the Crabbs Peninsula on Antigua’s west coast, is expected to be a future template for the other Eastern Caribbean Islands.
15 Florida Caribbean LNG's terminal will be capable of receiving LNG through smaller ships while provisioning for future LNG distribution and ship bunkering. APC director Francis Hadeed says: “With secure, affordable, sustainable, and reliable supply from Eagle LNG's facilities in Jacksonville, and the unmatched experience and knowhow of APC, Antigua and Barbuda will benefit from the use of this lowercarbon fuel creating opportunities for the country, and the Eastern Caribbean region.” Finland’s Wärtsilä says it will be supplying and installing the 46 MW dual-fuel power plant.
Broward County Commission has hired Miami-based Bermello, Ajamil & Partners to design improvements to Port Everglades’ Cruise Terminal 4 under a US$ 2.11 million contract. The improvements to the existing terminal should be completed by late 2023 for Disney Cruise Line to operate from Port Everglades for the first time. In October 2021, Broward County approved a 15-year deal for Disney Cruise Line to homeport one cruise ship at Port Everglades. Port Everglades spokesperson Ellen Kennedy said the total budget for the terminal renovation is US$ 14 million, with the port contributing up to US$ 7.5 million. Disney Cruise Line is slated to add a second ship to Port Everglades in 2025.
Port Everglades
Ruth Peterkin / Shutterstock.com
14 Antigua
16 Guyana American Caribbean Maritime Foundation (ACMF) and Guyana’s MatPal Marine Institute signed an MoU focused on scholarship sponsorship by the Foundation of Guyanese maritime and shipping students. The first batch of awards, named for after David Harding MBE of Barbados and former Caribbean Shipping Association president and ACMF 2019 Honoree, went to three Guyanese students: Oswayne Lanferman, Shemar Morrison and Safina Lutchman.
www.caribbean-maritime.com 39
roundup Caribbean Maritime
News from around the Caribbean
17 Guyana Thanks to GAICO, Guyana now has a large US$ 10 million dredger available to be used to clear the country’s major waterways to accommodate larger vessels and the eventual construction of a deep-water port. As a result, the government is looking to create the two-way movement of marine traffic in the Demerara River, allow 24-hour access and attract cruiseships to Guyana. Up until now, Guyana maritime trade has been hampered by insufficient water depth in the Demerara River which meant that only smaller vessels could call at Georgetown.
At the same time, GAICO’s Nismes, West Bank Demerara wharf facility is expected to be designated a fully certified port facility by the end of July or August. GAICO chief executive officer Komal Singh notes that an existing tug and barge with long-reach excavators, a cutter-head dredge and trailing suction hopper dredge have been utilized for just under 40 percent of the time because those concerned were not proactive to dredge the river.
dredge so far because of the upswing in infrastructural and other works. “Now that we all the new developments that the government is pushing for Guyana and for every single region without exception, we have decided to invest in a larger dredge,” he says. He adds the large dredger and new cutter edge dredge – valued together at US$ 10 million – form part of a “bold new investment” because of the government’s support for the private sector.
But he said his company has decided to invest in its largest
18 Sail French transatlantic eco-carrier TOWT (see CM 44) and Breton shipyard Chantiers Piriou have announce the signing of a contract for the construction of an 80-meter-long industrialscale cargo sailboat, with a carrying capacity of 1,100 tonnes.
Image courtesy of TOWT
This main sail-powered vessel will reduce almost all CO2 emissions on the routes it operates while limiting air, water and noise pollution. The launch of the vessel is scheduled for mid-2023.
40 Caribbean Maritime | June- September 2022
By choosing a French shipyard for the construction of such a sailboat, TOWT is promoting a unique French industry, some 89 years after the launch of 58-meter Commandant Louis Richard in 1933 and the last commercial sailboat built in France. Indeed, Chantier Piriou is committed with TOWT to promote carbon-free maritime transport, by developing cutting-edge know-how in the construction of merchant vessels with main sail propulsion. TOWT plans to operate these new vessels on routes between France, the US and the Caribbean.
19 Dominican
Republic
Apordom, the Dominican Republic’s national port authority, recently signed a partnership agreement with the Curaçao Ports Authority (CPA). The goal of this new agreement is to strengthen ties and exchange information to improve port management and processes in both nations. This is a significant step in establishing both the Dominican Republic and Curaçao as world-class cruise destinations.
Puerto Plata, DR
Joni Hanebutt / Shutterstock.com
At the same time, Apordom has signed a MOU with the Puerto Rico Ports Authority (PRPA).
22 Florida SeaPort Manatee and terminal operator LOGISTEC USA Inc have taken delivery of two new Konecranes Gottwald Generation 6 mobile harbor cranes. The eco-efficient German-built cranes arrived at SeaPort Manatee in April. Each of the cranes is capable of lifting loads of up to 125 metric tons, and the two units combine to offer a tandem lift capability of more than 200 metric tons – the most at any Florida seaport. The newly acquired cranes join two Gottwald Generation 5 units and a Liebherr mobile harbor crane at SeaPort Manatee.
20 Panama
21 Florida
Notarc Management Group, a private investment and asset management firm, is to complete the stalled Panama Canal Container Port Project (PCCP).
This year the American Caribbean Maritime Foundation (ACMF) will host its annual Anchor Awards on Friday, November 4, at the Lauderdale Yacht Club in Fort Lauderdale under the distinguished patronage of HE Dr Irfaan Ali, President of the Republic of Guyana.
PCCP is a US$ 1.4 billion facility that has hit delays due to problems with the initial contract signed with a Chinese consortium. The project is already 40% complete and work is set to recommence resume 4Q 2022. NMG is working alongside Mediterranean Shipping Company (MSC) affiliate Terminal Investment Limited (TIL), which will undertake the management and oversee operations at the estimated 2.5 million TEU capacity transshipment facility.
23 The Bahamas The Grand Bahama Port Authority, the Government of The Bahamas and Carnival Cruise Line have jointly undertaken a ground-breaking ceremony for a new dedicated cruise port destination on Grand Bahama Island. The new Carnival Grand Bahama cruise port is expected to open in late 2024 and is being constructed on the south side of the island. The Grand Bahama Port Authority Acting Chairman Sarah St. George commented: “The new Carnival cruise port destination will have a monumental impact on our island’s economy, including a panoply of new business opportunities, a huge surge in tourist visitors, as well as increased activities for established businesses.” The project includes accommodation for two Excel-class ships simultaneously. The cruise port itself will also feature an area designated as a nature reserve and an interior pool.
Chairing the increasingly prestigious and worthwhile gala this year is Rick Murrell, President and CEO of Saltchuk Logistics. “Come out and support maritime education in the Caribbean”, says Geneive Brown Metzger, President of the ACMF. In 2021, the gala raised an incredible US$ 640,000 for scholarships, grants, and computers for cadets attending the Caribbean Maritime University in Kingston. This year’s honorees have yet to be announced but check out information at www.acmfdn.org for the latest news.
25 Florida This year’s American Caribbean Maritime Foundation (ACMF) Anchor Awards will take place on November 4 at the Fort Lauderdale Yacht Club. Gala Chairman is Rick Murrell, president and CEO, Saltchuk Logistics.
Fort Lauderdale Yacht Club
www.caribbean-maritime.com 41
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RUSSBROKER CARIBBEAN MARKET REVIEW
Another game changer
Container Market The year 2022 started with another boost to the charter market. The ever-shrinking tonnage availability put the scare on some charterers and consequently owners where able to push rates higher for the standard three-year periods. By the end of February, the war in the Ukraine however put the charter market party on hold. Before the war there were about 25 ships trading to the Ukraine, around 35 vessels to Novorossiysk and more than 70 ships to Russian Baltic ports. For February and March no container vessels obviously called at Ukrainian ports. The number of port calls at Novorossiysk had halved and, in the Baltic, only about a
quarter of the vessels still traded to Russia by the end of April. As some carriers are still in the process of winding down their business and are still evacuating empty containers from Russia the number of ships employed in this trade is expected to go down further. The reorganization of tonnage and service is also not finished yet. Several ships are being used as extra-loaders on the North Europe to USEC lane and a few vessels were also reallocated to the Mediterranean. The majority however stayed in their service and just skipped the Russian ports. This freed up capacity in the Atlantic also had been used in negotiations and
especially the major global operators refused to commit ships for two or more years. Some second- and third-tier carriers, which had continuously been losing ships during the last two years, then jumped on the chance to once again secure tonnage by offering multi-year periods or higher rates. The owners on the other hand were split between going for as long as possible, even if that meant accepting lower rates, or fixing only short periods of a few months in the hope of a further strengthening market at the end of the year. In addition to the war in the Ukraine, the seemingly never-ending coronavirus story was also still showing its effects with ongoing port and logistics labor shortages.
www.caribbean-maritime.com 43
RUSSBROKER CARIBBEAN MARKET REVIEW
All parts of the world were affected by port congestion. One major operator, for example, extended its reefer-orientated service which had previously been run between the Americas and North Europe into the Baltic all the way to St Petersburg to avoid the heavily congested ports in Antwerp, Rotterdam, and Hamburg. In addition to saving on the costs for feedering, the faster transit times are especially valuable for the time-sensitive reefer cargo. In the Americas, both the US East and West Coast were heavily affected by labor shortages which resulted in long vessel waiting times. On the West Coast the problems spread further south as carriers tried to go via Mexico. In Chile, for example, some ports were only working at 40% capacity in February due to workers being out with Covid-19. Adverse weather and equipment breakdowns further contributed to low productivity. By the end of April, the coronavirus situation had improved somewhat but container equipment shortages still posed issues, especially in the Caribbean. The biggest effect though had the lockdown in Shanghai that started at the beginning of April. Since then, most Asian operators had been extremely reluctant to charter small vessels, or only for short periods. In general ships positioning on charters’ accounts are increasing as tonnage shortages are not omnipresent anymore but most charterers were still hesitant to redeliver ships and then face capacity shortages should the market pick up again. The market for the smallest vessels below 1,000 TEU was rather quiet. In terms of rate and period, one Caribbean fixture of a Zhejiang 950 type set the record in the Atlantic with three years at over US$ 23,000 in early March. Since then, there were a few two-year fixtures in the Mediterranean of gearless 700 TEU ships but most fixtures were only for a few months. Up to endFebruary contracts below two years were only possible when ships had to be sold or chartered out as relets. The highest rate was concluded by an 800 TEU vessels in
Global growth expectations are on a downward trajectory due to the war in the Ukraine. For both Russia and the Ukraine, however, less than 1% of both imports and export are coming from or going to the Caribbean and Central America” January which achieved over US$ 30,000 for Mediterranean-Far East trade. One Caribbean operator which lost its single container charter ship of about 900 TEU, to one of the top-five accounts, had to replace it with a 13,000dwt multipurpose vessel with about 700 TEU capacity. In the 1,100 TEU segment, charter rates climbed from low-to-mid USD 20K levels and two-year periods in early January to mid-to-high USD 20k levels and three year periods by February before nothing was done in March as everybody was just observing the situation in the Ukraine. Because of the surplus capacity, one operator moved a 1,100 TEU ship from Black Sea to Caribbean trade. By April activity picked up again and one vessel was fixed for 12 months at US$ 30,000 for Americas trade while others extended two years at US$ 24,000 for intra-Mediterranean trade. The 1,300 TEU category registered some spectacular developments. High reefer quality tonnage fixed three-year periods at almost US$ 30,000 in January with American accounts. In March a sister achieved a record breaking US$ 62,000 for just one year running in a Mediterranean-Far East service. Another owner opted to go the middle way and fixed his ship for two years at USD mid-40K, but for Red Sea trade. The popularity of those ships was also proven again as one vessel was able to basically repeat the January three year deal by early April. In contrast, another 1,300 TEU ship of a less favored design only fixed USD mid-35K for a period of less than a year. By end April a Cuban operator was once again able to fix a vessel for three years at the rate equivalent of about US$ 40,000. This illustrates the fact that “non-preferred”
44 Caribbean Maritime | June- September 2022
carriers were once again able to fix ships at premium terms as most first-class accounts did not want to commit long term. The congestion on the USEC helped several vessels which had to position back to the US after dry docking in Europe. As excess cargo was available a couple of charterers took 1,300 TEU at five-digit rates for the way back to the Americas. The other way rates were much lower
and, in some cases, only paid for bunkers as the share of empties in this direction is just too high. Activity in the Atlantic for 1,700 TEU ships was very limited during first quarter 2022. At the height of the market in February a standard 1,700 TEU vessel fixed three years at US$ 38,000 with a major account for Mediterranean trade. By end April a similar vessel only achieved US$ 43,000 for one year. In the Americas there were no vessels open for charter in this size and most additional vessels had to be brought in from Asia. In Asia, where plenty of vessels were fixed, standard 1,700 TEU ships reached US$ 40,000 for three years and modern eco Bangkokmax ships even surpassed US$ 45,000 for three-year durations.
CONTEX CONTEX
12 MONTHS, 1100
12 MONTHS, 1700
12 MONTHS, 2500
Jan-22
2841
32151
48709
63394
Feb-22
3309
36508
58441
75008
Mar 22
3544
40122
65226
79069
Apr-22
3379
36920
61636
75438
One common feeder operator greatly increased the capacity of its WCSA service by partnering with a global carrier. This service change had one 1,300 TEU ship phased out and instead 3 x 1,700 TEU brought in, one from Asia, one from the Mediterranean and one which had already been in the Caribbean. The market for 2,500 TEU vessels was characterized by forward fixtures. Most ships were fixed or extended half a year or more in advance. Consequently, only about 10 more ships will come open for charter in the Atlantic during the rest of 2022. There were two distinct package deals which included several ships trading in the area. Both were done about six months before expiry of the charters and owners could get three years at USD mid-40K for their high reefer vessels plying the Transatlantic fruit trades in one case and 1.5 years at a similar rate for the other package involving ships sailing in WCSA services. An interesting “round-the-world” case has been a 2,500 TEU high reefer vessel which traded Caribs to North Europe until November 2021 for a reefer operator; then sailed to Asia for dry docking and subsequently fixed period business. The new charterer took the ship on a lucrative trip from Busan to Houston and has now scheduled in the ship for a WCSA Service.
EWY Media / Shutterstock.com
Macroeconomics Global growth expectations are on a downward trajectory due to the war in the Ukraine. For both Russia and the Ukraine, however, less than 1% of both imports and export are coming from or going to the Caribbean and Central America. The direct
effect on the area will thus be limited but inflationary pressure caused by higher food and energy prices will also weigh on the Caribbean economies. The IMF predicts a very strong average growth rate of about 10% for the Caribbean nations but the spread among the individual countries is extremely high. Trinidad & Tobago for example is to benefit from its commodity exporting base and is forecasted to produce a growth rate of 20% in 2022. Other countries in the area will likely only come in at about 3% GDP growth. In terms of trade the downward correction of the US’ expected growth from to 4% to 3.7% between January and April is rather negative as the US is a major trading partner for many Caribbean countries and also the largest source of tourists. Positive news come from the North Coast of South America. Colombia is projected to grow by over 5% this year as the recovery is progressing well. In Venezuela the economy meltdown also seems to have stopped. Several banks are predicting growth rates of up to 5% for 2022. As this however comes on the back of 5 years of continuous declines and a loss of 75% of the economic power, the starting base now is rather small. Inflationary pressures have moderated as well, and the long period of hyperinflation is over. A positive effect on real trade has however so far not materialized yet. By the end of April there were only six container carriers calling Venezuelan ports with seven container and one multipurpose vessel. A geared 700 TEU ship which has been trading between Turkey and Venezuela mainly with food cargoes has been put up for sale.
www.caribbean-maritime.com 45
RUSSBROKER CARIBBEAN MARKET REVIEW
Sale and Purchase of Container Tonnage in the Caribbean Sales prices closely followed the charter market development. Of the very common CV 1,100 design, one vessel was sold in January for US$ 21 million, a sister in February for US$ 23 million and then with the disappearance of the three- year charter periods another sister went at the end of April for “only” about US$ 17 million. A similar picture showed for the most widespread 1,700 TEU design, the Wenchong 1700. In January a 2010-built unit got US$ 31 million, a 2010 one received US$ 33 million and a 2006-built one US$ 30 million in February before the market fell to US$ 24 million for a 2004-built sister by the end of April. The trend of operators buying secondhand vessels has been unbroken during the first couple of months in 2022. A modern, geared SDARI 2100 type and a very high reefer 2,800 TEU were sold to Asian end users and have/will leave the trading area. One 1,700 TEU ship was purchased by a global carrier and will likely stay in the Caribbean. Several more 1,100, 1,700 and 2,500 TEU high reefer ships with long-term charters attached were sold to investors. The small feeder fleet is getting older and older but orders for tonnage tailored to Caribbean or European trade remain few and far between. One of the largest third-party feeder operators placed an order for 8 x 1,100 TEU ships which are supposedly flexible in terms of technical specifications and not just designed for intra-Asia trade. In terms of propulsion a methanol-powered main engine will be installed in those vessels. Additionally, one global carrier expressed interest in geared 1,100 TEU newbuildings which indicates a Caribbean use case. When looking at the numbers and where the modern vessels, not older than five years, are trading, Asia is clearly in the lead with over 200 ships in the size range of 500 to 2,000 TEU. This represents about 17% of the total fleet in this size category for the area. In the Americas and Europe, the
SELECTED CONTAINER FIXTURES SUB 1,000 TEU - CELLED Mar 22
Lena
3 years
US$ 23500
p/d
966 TEU / 604@14 / 18on35 / 252rp 1100 TEU - GEARED, CELLED Jan 22
Apr 22
Pacific Trader
36-40 months
US$ 24500
1118 TEU / 700@14 / 20on42 / 220rp
Contship Zoe
12-16 months
1114 TEU / 700@14 / 20on42 / 220rp
US$ 30000
p/d
p/d
1300 TEU - GEARED, CELLED Jan 22
Apr 22
AS Floriana
3 years
US$ 27750
1300 TEU / 975@14 / 20on45 / 390rp
Warnow Whale
3 years
1296 TEU / 957@14 / 20on45 / 390rp
US$ 29000
p/d
p/d
2500 TEU - GEARED, CELLED Jan 22
Feb 22
Sealand Manzanillo
16-18 months
US$ 45000
2546 TEU / 1905@14 / 22on87 / 536rp
AS Angelina
36-38 months
US$ 36500
p/d
p/d
2127 TEU / 1530@14 / 22on85 / 400rp part of package deal, fxd more than 6m in advance Feb 22
AS Petronia
36-38 months
2556 TEU / 1850@14 / 22on80 / 600rp part of package deal, fxd more than 6m in advance
figures come to 15 and 20 vessels or 10% and 4% respectively in terms of total ships in the Americas and Europe. In terms of the average age of the fleet, the Americas are on par with Asia with 15 years and Europe lags with 17 years. The dearth of small feeder vessels was also illustrated by the fact that a 600 TEU gearless ship which had been trading in the Caribbean until 2020, then got sold to Mediterranean based buyers who used the vessel in the general cargo trade, was just sold to a European carrier who plans to reinstall cells and use the ship for pure container trade again.
46 Caribbean Maritime | June- September 2022
US$ 45750
p/d
ICT
BY
Beyond the Pandemic
The Role of ICT in the Shipping Industry
T
he Covid-19 pandemic has highlighted and heightened the reliance on information and communication technologies (ICT) for industries globally. ADVANTUM facilitated a panel discussion at the 20th Caribbean Shipping Association Executive Conference featuring a crosssection of professionals in ICT and the shipping industry. The discussion was centered on the role of ICT in the shipping industry beyond the pandemic. Today we share highlights of the panelists’ top thoughts on the role ICT has played and will continue to play in their areas of operation.
ICT & Port Community Systems Jamaica implemented a port community system in the Port of Kingston in 2017. The Port Community System is a neutral and open electronic platform enabling intelligent and secure exchange of information between public and private stakeholders in the port community. It is a single window that manages all the trade, logistics and business processes that will improve the competitive position of the
seaports and airports. Dwain Powell, Director, Port Community System Operator at The Port Authority of Jamaica shares that collaboration among port stakeholders is the most important component of a PCS implementation. “With the global importance of logistics and supply chains within the pandemic era, a strategic and focused approach to building out resilient, robust and interconnected ports is utmost for LAC countries – that are most vulnerable to these global shocks.”
ICT & Customs Agencies ICT has been one of the most integral components in modernizing the operations and related services of Customs Agencies towards increased facilitation of legitimate trade and the protection of a country’s borders. Andre Williams, chief information officer at the Jamaica Customs Agency, shares on the role ICT plays in advancing customer experience. “The re-engineering of our business processes towards increased use of automation has allowed for integration with the PCS, other government agencies and
key partners within the logistics and supply chain. This has resulted in reduced time, cost and complexity while increasing the ease of doing business for our traders and other business interests to satisfy Customs and regulatory requirements for faster clearance of cargo,” says Williams. He adds, “The Customs technologydriven ecosystem simplifies and standardizes procedures for our customers and partnering border regulatory agencies, reduces waiting time, provides more accurate and consistent data for risk-assessment and tax calculations among others, and addresses revenue leakage, through enhanced system controls, transparency, and accountability.”
ICT and Shipping Agents Rhett Chee Ping, managing director of Trinidad’s Gordon Grant and GG Logistics, addresses how ICT enhances the business process for Shipping Agents. For Chee Ping, a major aspect is the time saved especially through the facilitation of Work-From-Home or anywhere. “During the pandemic ICT allowed agents to seamlessly transition from office to home without compromising service to clients or our
www.caribbean-maritime.com 47
ICT
BY
obligation to regulatory agencies. There is also a better use of resources not having to leave the office, home or sit in traffic for hours to get crucial tasks completed.” Chee Ping also highlighted the transparency and accountability that comes with using ICT, “With ICT there is an electronic trail of what is required and clients along with their brokers know when and where their cargo is at all times or what might be the delays.” Chee Ping encouraged all stakeholders to get on board.
ICT, People and Culture “Every technology project is a change management project," says Glaister Leslie, technology strategist and consulting manager at Voiant, who has worked in over 12 countries worldwide. He shares that the companies most successful at adapting new ICT systems often employ a few key principles: “They view technology to help their people become more, not just as a way to cut operational costs. They clearly define the problem they're trying to solve, before implementing new technology. Next, they communicate widely and frequently to all teams and departments impacted by the change, and make sure their needs are heard. They also don't try to get it perfect the first time, instead, they focus on quick, impactful wins, and keep iterating until they solve more and more problems.”
ICT and Cyber Security Cyber security is a crucial aspect of any discussion surrounding ICT. As systems become more integrated, they become more susceptible to cyber-attacks which can cost losses in the millions to companies affected. John Gibson, information security and technology services specialist emphasizes that: “Information and cyber security is a journey, a journey in risk management and continuous improvement.” Gibson explains: “Organizations must make the appropriate investment based on their risk appetite in a security-aware workforce. This includes adopting and implementing the right policies,
Organizations must make the appropriate investment based on their risk appetite in a security-aware workforce” procedures, framework, and standards; and implementing the right type and amount of technology to mitigate current and future risks.” He adds, “Board and management must allocate necessary budgetary funding for the Information Security Program separately from their regular IT network infrastructure and maintenance budget.”
ADVANTUM ICT Solutions for Shipping Industry ADVANTUM CEO Frances Yeo points out that the ADVANTUM software allows connections with all areas of business operations, so all departments can share and process information simultaneously. For example, freight forwarders using the ADVANTUM Freight software can manage their air and sea cargo manifest, automate billing and invoicing, automate delivery order generation and submit electronic manifest to the PCS, Customs and other relevant stakeholders. Yeo summed up the presentation of the
48 Caribbean Maritime | June- September 2022
ICT and shipping professionals through these five ‘Ps’: People, Paperless, PublicPrivate Partnerships, Proactivity, and Phased. “ICT at heart is all about people, making our tasks simpler, more efficient and bringing us closer together. It also has the advantage of being paperless, saving costs both to ourselves and the environment. Key to our success as an industry is our public-private partnerships in developing robust systems to meet the needs of all stakeholders. Proactivity is critical in our approach to cyber and information security and keeping up to date with technology trends. We must also remember that with ICT, implementation should be phased and change management procedures employed to ensure successful completion of any ICT project.” You can request a free consultation or demo today by visiting the ADVANTUM website at www.advantumpcs.com or email: contact@advantumpcs.com.
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