Port Strategy June 2021

JUNE 2021 VOL 1021 ISSUE 5

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Sepetiba Tecon Survives | Ecuador Port Plans | BREXIT: Short-Sea Shuffle | Simulator Scope Builds

DIGITAL COMES WITH RISK Onne Competition Stakes Raised St. Petersburg on the Move?

Box Trades: the New Reality

PORTSTRATEGY INSIGHT FOR PORT EXECUTIVES

The international magazine for senior port & terminal executives EDITORIAL & CONTENT Editorial Director: Mike Mundy mmundy@portstrategy.com Guest Editor: Mike Mundy mmundy@portstrategy.com News Reporter: Rebecca Jeffrey rjeffrey@mercatormedia.com

VIEWPOINT MIKE MUNDY

Cyber Security: The Road to Resilience

Digitalisation presents many positives to the ports sector. But it can also rain down chaos where adequate security measures are not in place. Prevention is better than cure and the new IAPH/ World Bank report Accelerating Digitalisation urges the ports sector to put in place the essential measures to contain threats

The International Association of Ports and Harbours (IAPH) and the World Bank have brought to our attention that many digital developments in the ports sector have been designed and deployed without even considering cyber security.

Things have moved fast – the adoption of digitalisation has accelerated under pandemic conditions. Which in real terms means the greater the adoption of digitalisation then the greater the exposure to cyber security threats.

Stealth Labs, a specialist in Cyber Security, points out: “whatever the motivation, cybersecurity threats have become pervasive and continue to upend every facet of the digital realm.” Plus: “Beyond causing severe financial damage, cyberattacks can lead to regulatory penalties, lawsuits, reputational damage, and business continuity disruptions.

“No business is safe in the present cyber world. As cybercriminals increasingly rely on sophisticated technologies…

“Moreover, the rapid adoption of emerging technologies, including AI, the Internet of Things (IoT), and cloud computing, have added new cyber threats for organisations while adding complexity to existing risks.”

It is against this sort of background that Boutheina Guermazi, Digital Development Director, World Bank warns in Accelerating Digitalisation, a new IAPH/World Bank report, that: “Cybersecurity is one of the major challenges facing the maritime industry. Policymakers,” she suggests, “need to work with the private sector to ensure critical infrastructure is adequately protected…”

The list of known Cyber Security threats continues to grow: backdoors, formjacking, cryptojacking, DDos attacks, Botnets, Drive-by-Downloads, MTIM attacks, Phishing attacks, Social Engineering, SQL injection and a host of Malware threats including Botnet software, Ransomware attack, RATs, Rootkits and bootkits, Spyware, Trojan and virus and worms.

In formulating a response to such threats every individual organisation must recognise the scale of the problem and develop security measures best suited to its particular circumstances.

The IAPH/World Bank report does, however, suggest further useful paths that can be taken. Information sharing with regard to cyber threats via mechanisms such as security alerts, suspicious activity reports and breach of security notifications is seen to be very useful. The authors also identify the five-step cyber security framework developed by the US National Institute of Standards and Technology as a useful building block approach to putting in place effective security measures.

The study additionally provides a very useful Task List to achieve cyber resilience. Coupled with this it highlights the very relevant point that it is necessary to factor in improvements to human capital alongside technical measures. It underlines that ongoing investment in staff training to keep pace with the fast-changing challenges of cyber security is another foundation stone of effective cyber security.

For the latest news and analysis go to www.portstrategy.com/news101

News Reporter: Rebecca Strong rstrong@mercatormedia.com Regular Correspondents: Dave MacIntyre; Iain MacIntyre; Felicity Landon; Alex Hughes; Stevie Knight;John Bensalhia; Ben Hackett; Peter de Langen; Barry Parker; Charles Haine; AJ Keyes; Andrew Penfold; Johan-Paul Verschuure; Phoebe Davison Production Ian Swain, David Blake, Gary Betteridge production@mercatormedia.com SALES & MARKETING t +44 1329 825335 f +44 1329 550192 Media Sales Manager: Tim Hills thills@portstrategy.com Media Sales Executive: Hannah Bolland hbolland@portstrategy.com Marketing marketing@mercatormedia.com Chief Executive: Andrew Webster awebster@mercatormedia.com PS magazine is published monthly by Mercator Media Limited, Spinnaker House, Waterside Gardens, Fareham, Hants PO16 8SD UK t +44 1329 825335 f +44 1329 550192 info@mercatormedia.com www.mercatormedia.com

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JUNE 2021 | 3

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CONTENTS JUNE 2021 VOL 1021 ISSUE 5

portstrategy.com

Sepetiba Tecon Survives | Ecuador Port Plans | BREXIT: Short-Sea Shuffle | Simulator Scope Builds

NEWS 17 Quicker concessions Brazilian plans

18 Race to keep pace NY/NJ expansion

19 “Unique” Plaquemines

APMT signals interest

DIGITAL COMES WITH RISK Onne Competition Stakes Raised St. Petersburg on the Move Box Trades: the New Reality

On the cover Digitalisation brings big benefits but also significant risks. The door has to be closed on cyber security threats and the report Accelerating Digitalisation from IAPH/the World Bank charts the risk and signposts a path to Cyber resilience. The feature on p37 is the second part of a two page review of this definitive study

19 Mumbai green light New box terminal

GREENPORT Cruise Congress &

The Congress is a meeting point that provides senior executives with the solutions they require to meet regulatory and operational environmental challenges.

Stay in touch at greenport.com Join leading port executives www.greenport.com/congress

STP on the move?

22 New reality?

What’s next in box trades

25 Diverse plans

Red Sea port agendas

28 New kids on the block

New generation operators

19 Australian coastal

33 Sepetiba survives

10 AI in Gothenburg

34 World’s banana republic

India COVID measures Bigger role foreseen

‘Berth Planner” on way

Action and aspirations

Backing delivers survival

Prospects in Ecuador

10 Joining berthing party

37 Digital risk

11 Digital radar

40 Short-sea shue

11 PMIS in TM

42 Simulator scope

New port info system

13 TC3 new cranes

Piraeus2021

21 Port relocation

30 Northern Corridor

CM Ports tests

GreenPort magazine is a business information resource on how best to meet the environmental and CSR demands in marine ports and terminals.

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FEATURE ARTICLES

19 Pandemic shutdowns

GPG gets onboard

is a proud support of Greenport and GreenPort Congress

JUNE 2021

Tanger capacity boost

13 Kalmar for BTP New tractor deal

15 Smart Magpie

EU backs Magpie project

15 Oman goes big

Cyber security Post-Brexit changes

Widening market

45 On a journey

Crane cab challenges

48 Continental view Complicated Brexit

52 Postscript

Valencia ticks all boxes

H2 plant planned

19 Onne: competition boost ICTSI shakes up Onne

Online portstrategy.com 5 Latest news 5 Comment & analysis 5 Industry database 5 Events Social Media links LinkedIn PortStrategy portstrategy YouTube Weekly E-News Sign up for FREE at: www.portstrategy.com/enews

REGULARS 16 The New Yorker

Not business as usual

16 The Analyst

Emerging use of carbon

17 The Economist

Port index – good try, but wrong

17 The Strategist

Collaboration not…

For the latest news and analysis go to www.portstrategy.com/news101

JUNE 2021 | 5

*IFOY winner in 2020

PORT & TERMINAL NEWS The Brazilian President, Jair Bolsonaro, has signed a decree to reduce the bureaucracy governing future port concessions. This, in part, will allow the temporary use of facilities whilst awaiting a permanent contract award.

A hybrid model will be adopted for the privatisation of both Codesa and the Port of Santos, whereby the port authority will act as landlord and private operators will be responsible for terminal operation.

ANTAQ, the National Waterway Transport Agency, has now completed the public hearing related to the privatisation of Companhia Docas do Espírito Santo (CODESA), which runs the ports of Vitória, and Barra do Riacho, with a tender promised by year end.

The entity has a public consultation period running between April 26 to June 9, related to a concession in the Port of Santos (STS11) that will handle agribulk. In the meantime, five new terminal concessions have been made. Four at the Port of Itaqui (IQI03, IQI11, IQI12 and IQI13), and one at the Port of Pelotas (PEL01). Investment of US$115 is planned. IQI-03, IQI-11 and IQI-12 were all awarded to Santos Brasil Participações. IQI-13 went to

QUICKER CONCESSIONS DECREED FOR BRAZIL

Terminal Químico de Aratu while PEL-01 was acquired by CMPC Celulose Riograndense.

Separately, the Federal Audit Commission (TCU) has approved the agribulk terminal in the Port of Mucuripe, which hopes to attract investment of US$10 million.

The current concession programme involves diverse terminal operations, with ANTAQ recently publishing bidding documents for two liquid bulk facilities in the Port of Maceió, with an award slated by December 2021.

8 A new decree aims to reduce the bureaucracy associated with port concessions in Brazil – this includes the forthcoming whole port privatisation of the Port of Santos

Finally, the Brazilian government has classified four port concessions in Paraná state as national priorities. PAR9, PAR14 and PAR15 will all be bulk handling facilities, while the fourth is a possible concession to manage waterway connections to the Port of Paranaguá, the first of its kind in Brazil.

EXPANSION IN NYNJ: RACE TO KEEP PACE According to APM Terminals (APMT), Global Container Terminals (GCT), Maher Terminals and Port Newark Container Terminal (PNCT), a wide range of capacity improvements are planned across their terminals in the Port of New York/New Jersey.

GCT is adding more truck appointments, adding crane capacity at both the Bayonne and New York terminals and is to employ more off-site storage.

Maher Terminals is adding 62 new straddle carriers by the end of Q3 2021, with delivery of three new ship-to-shore cranes during Q4 2022, raising capacity by another 500,000 container lifts, annually. Current throughput is approximately 1.6 million container lifts PNCT is completing a US$500 million, seven-year upgrade to increase capacity by 80 per cent,

8 GCT is one of the four terminal operators in New York/New Jersey investing to keep pace with fast growing throughput

from just under 1.20 million TEU per annum to 2.15 million TEU per annum and as part of this is to add two new ship-to-shore cranes and a further 40 straddle carriers.

APMT is currently finalising a four-year, US$200 million upgrade programme that has seen the terminal’s annual capacity increase from 1.5 million TEU per annum to 2.3 million TEU per annum.

Part of the ongoing challenge

For the latest news and analysis go to www.portstrategy.com/news101

for the port is the continued surge in Asian loaded imports and delays in the containers leaving the terminals. In 2019, a total of almost 3.8 million TEU of loaded containers arrived at the port, which rose to 3.9 million TEU for 2020, an increase of 4.0 per cent for 2020 over 2019.

However, looking at the 12-month period to the end of March 2021, the amount of imports arriving at New York/New Jersey terminals was 4.1 million TEU, a rise of 9.2 percent over the same previous 12-month period.

The Port Authority of New York/New Jersey reports that current port volumes are three or four years ahead of its anticipated projections.

Consequently, the port authority and its terminal operators may need to accelerate future infrastructure projects sooner than planned.

BRIEFS Las Palmas Concessions

The Port of Las Palmas, Spain, is looking to implement up to 21 new operating concessions.

The most important is arguably allowing La Luz Autoport Terminal to occupy a 20,374m2 area, to build a multi-level storage facility for finished vehicles.

Papeles y Celulosas de Canarias is also targeting an area of 10,322m2, including a 7,044.68m2 warehouse, for the manufacture and storage of sanitary and household paper products for both domestic use and export.

San Antonio Urgency

In Chile, Gloria Hutt, Minister of Transport, has reaffirmed the urgent requirement to build a new outer port at San Antonio. This, she says, is due to sustained traffic growth at the port, which in 2020 handled in the region of 22 million tonnes, thereby climbing from tenth to eighth in Cepal’s ranking of Latin America’s leading ports.

She notes that the port is benefitting from a 10-year focus on sustainability, logistics and infrastructure development.

New Sagunto Terminal

The Port of Valencia is assessing a proposal for a new multipurpose terminal in the Port of Sagunto. The project includes a 509m quay, supported by 226,000m2 of back up land. There will also be an intermodal terminal capable of handling trains that are 750m long. It is additionally understood the terminal will be configured to accommodate vessels drawing up to 16m of water.

JUNE 2021 | 7

PORT & TERMINAL NEWS Green Light for New Mumbai Terminal…

The Mumbai Port Trust (MbPT) has gained permission from the Maharashtra Coastal Zone Management Authority to build a new container terminal and two offshore berths, all without any reclamation and negative impact on the environment.

The existing Mumbai port is one of the oldest ports in India and has seen container traffic shift to the newer and better equipped facilities at Jawaharlal Nehru Port (JNP), since it opened in 1989. Indeed, while JNP now handles volumes in excess of five million TEU annually, Mumbai’s container traffic in the 2020-2021 Indian financial year was less than 18,800 TEU.

…as Pandemic Triggers Shutdowns The above news comes at a time when Indian ports are expected to endure shutdowns due to the current surge in COVID-19 activity in the country. Chennai, for example, has already reduced working hours and is one of the largest ports handling cargo from China. Similar action is anticipated at other ports, including Kandala, which is a crucial facility for serving the country’s capital city, New Delhi.

With excessive delays at ports, there are fears that emergency cargo supplies of essential medical equipment will be negatively impacted. Local reports indicate that logistics systems are being paralysed due to the pandemic.

BRIEFS ECNA’s biggest ship

The arrival of the mv CMA CGM Marco Polo at PSA Halifax in the Port of Halifax, Canada , before sailing to New York/ New Jersey, marks the largest ever container ship call on the East Coast of North America. The vessel is 396m in length with a beam of 54m.

Container capacity is 16,022 TEU. This vessel operates in the weekly Ocean Alliance AWE3 service linking South Asia and South East Asia with North America.

8 | JUNE 2021

Plaquemines Port, USA and APM Terminals (APMT) have confirmed an agreement to work together to discuss the future design of a new facility, with APMT in the frame as the future terminal operator.

In August 2020, Plaquemines Port Harbor and Terminal District (PPH&TD) announced it was undertaking a six-month due diligence process to consider the investment potential to support the port project. These plans focus on an environmentally friendly container terminal, powered by a combination of LNG and electricity.

It has 1,000 acres of land available and 8,200ft of frontage on the Mississippi River, with infrastructure to cater for container ships in the 22,000 TEU size range.

Plaquemines Port can leverage an excellent geographic location at the mouth of the Mississippi River. One of the companies involved in the project could be American Patriot Holdings (APH).

This company has an innovative 2,375 TEU capacity vessel that serves the Mississippi River as far north as Saint Louis, while 1,700 TEU hybrid vessels are offering links in tributary rivers. APH has patented a no-wake bow and exoskeleton vessel structure,

APMT CONSIDERING “UNIQUE” PLAQUEMINES

8 APMT is looking seriously at Plaquemines Port, USA

along with LNG propulsion which has the potential to service a wide range of inland container areas covering St Louis, Jefferson City, Little Rock, Memphis, Joliet, Kansas City and into Western Arkansas.

APMT North America has already confirmed that it regards the appeal of the Plaquemines project as a “very unique supply chain offering.”

Greenfield port developments are certainly not cheap, but with

Mississippi River traffic to tap into this new project may present itself as a viable option.

PPH&TD is in the US state of Louisianaand is the 13th largest tonnage port in the USA. Its jurisdiction encompasses the first 80 miles of the Mississippi River from the US Gulf, which is 20 miles south of New Orleans. From this location at the mouth of the Mississippi River, the port facilitates water-borne access to 33 USA states via barge, rail and interstate highway, serving oil and gas, grain, coal and chemicals markets.

COASTAL SHIPPING AUSTRALIA – BIGGER ROLE ADVOCATED Ports Australia has released an analysis paper on coastal shipping, which it believes outlines great potential for improving the country’s domestic supply chain efficiency.

The factsheet prepared by the organisation summarises the current and future freight task in Australia and

pinpoints four “required actions”.

The first is increasing the transparency of freight volumes and flows across all transport modes – Ports Australia says coastal shipping data is routinely reported and is readily available, but volumes transported by other modes are captured infrequently and are less visible.

The other recommendations are to increase awareness of the importance of land allocation close to a port for freight, address artificial regulatory and other impediments to coastal shipping, and to support policy and investment decisions that do not distort modal choice.

Hedland to upgrade

Hutchison deal done

KCS and CN Deal?

Port Hedland is undergoing a major upgrade of its No 3 berth as part of work being done in its inner harbour.

The berth, which is nearly 60 years old and used mainly for the export of salt and import of fuels and general cargo, requires work to address subsidence and degradation of the rock wall. West Australian company Total AMS has secured the contract, expected to be completed by the end of the year.

Hutchison Ports Netherlands B.V., a subsidiary of Hutchison Ports Holdings, has confirmed the acquisition of APM Terminals Rotterdam (APMTR) from APM Terminals (APMT). The APMTR facility is located adjacent to Hutchison Ports’ existing ECT Delta terminal in the Maasvlakte area of the port. It has 1,600m of quay and 13 ship-to-shore gantry cranes.

The acquisition cost has not been disclosed.

The Kansas City Southern (KCS) merger appears to be on with Canadian National Railway (CN) for US$30 billion, after rival bidder, Canadian Pacific Railway (CP) refused to increase its original offer of US$25 billion. CP has been urging KCS not to accept its rival’s higher value bid due to potential fears of failure to secure necessary approval from regulators in the USA, although CN says that it “remains confident.”

For the latest news and analysis go to www.portstrategy.com/news101

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DIGITAL NEWS

BRIEFS

‘BERTH PLANNER’ FOR GOTHENBURG…

MSC: Electronic Bill of Lading

Following a successful pilot scheme, liner operator Mediterranean Shipping Company (MSC) is introducing an electronic bill of lading (eBL) for use by its client base. The company is employing a solution available via an independent blockchain platform, WAVE BL. This has been selected, according to Andre Simha, Global Chief Digital & Information Officer, MSC, “because it is the only solution that mirrors the traditional paper-based process that the shipping and cargo transportation industry is used to.” Based on distributed ledger technology the eBL enables all parties associated with a cargo shipment to issue, transfer, endorse and manage documents through a secure decentralised network.

Santos Brazil Takes OPUS

Santos Brazil is to install CyberLogitec’s OPUS Terminal, the integrated Terminal Operating System (TOS) at its two largest facilities in Santos and Barcarena. OPUS covers quay, yard and gate processes.

10 | JUNE 2021

Awake.AI has partnered with the Port of Gothenburg Authority (PGA) to develop a digital tool, dubbed Berth Planner, designed to facilitate efficient vessel berthing.

Berth Planner offers greater accuracy and predictability through its ability to rapidly process information from all parties involved in vessel berthing; in-house port authority personnel and external parties including ships’ agents, pilots and mooring gangs. Particularly beneficial, according to the PGA,

is the tool’s ability to provide a highly accurate status overview in the planning system.

“With Berth Planner we can allocate a status that has already been coordinated with the terminal and by doing so we can see those vessels that have been confirmed and those that are pending. Berth Planner enables faster turnround times and expands the value in our service offering to the port cluster,” elaborates PGA. Environmental benefits are also expected to result from the enhanced berthing

8 The port of Gothenburg expects optimised vessel berthing arrangements following the introduction of a new digital tool, Berth Planner

process contributing to the port’s efforts, on diverse fronts, to reduce carbon emissions at terminals by 70 per cent.

Berth Planner is scheduled to go live at the port of Gothenburg in the second half of 2021. The port claims that the system is, “more powerful and comprehensive than anything that is currently available.”

…AND GLOBAL PORTS JOINS THE BERTHING PARTY Achieving improved vessel berthing and working is also in the sights of the Russia-based Global Ports Group (GPG).

It has launched a pilot project, based on the Portchain intelligent online platform, in the port of St Petersburg.

The project spans GPG’s First Container Terminal (FCT) and its Petrolesport (PLP) facility with Portchain designed to achieve enhanced operational process transparency and resource planning efficiency.

The Portchain platform collects data on the schedule and real time of vessel arrivals including berth allocation and cargo handling.

Via access to the platform, Global Ports’ employees and the Group’s management company are able to rapidly process data relating to actual and planned operations and thus make better quality and more accurate operational decisions.

For cargo shippers, Portchain

Source: Global Ports Group

The Port Authority of Valencia has installed two environmental control booths that analyse air and noise quality at the port in real time. The Authority notes that their function is to ensure compliance with the applicable regulations and that they also fulfil a useful role in identifying hotspots where pollution problems occur – atmospheric and acoustic – enabling solutions to be developed that resolve or minimise these problems.

Source: Port of Gothenburg

Valencia: Digitalised Air Monitoring

offers the benefits of being able to track information about the schedule and real time of vessel arrivals and handling, berth number, start and finish of cargo operations etc.

Portchain was introduced at FCT in the first quarter of this year and at PLP in the second quarter.

Next in line to receive the system is GPG’s Vostochnaya Stevedoring

8 Global Ports Group is rolling out Portchain’s AI-powered berth management system across key terminals

Company operation located in the Russian Far East.

Denmark-headquartered Portchain is a specialist provider of AI-powered berth and schedule management for container terminals.

For the latest news and analysis go to www.portstrategy.com/news101

DIGITAL NEWS

DIGITAL RADAR FOR CMPORTS

Astrophysics Maximises Security

have not been able to meet.

Uhnder digital perception radar provides a 4D point cloud with the ability to detect and track thousands of objects. The digital radar high contrast resolution capability enables perception solutions to clearly identify objects placed in close proximity to each other, for example a docker alongside a container. The sensor solution, Uhnder notes, employs a digital code modulation that results in a

8 China Merchants is testing a digital radar sensor solution for use with autonomous trucks at its Mawan Smart Port

best-in-class interference immunity performance.

The initial application is for container shuttle vehicles but Uhnder envisages a much wider scope of application for the technology right along the supply chain and even including achieving the more efficient berthing of vessels.

WARTSILA AND TANGER MED Partner Finland-based Wartsila has partnered with Tanger Med, a leading Mediterranean container transshipment port, to introduce a high-performance Port Management Information System (PMIS). The PMIS is particularly targeted at optimising vessel port calls right through from vessel traffic services usage, berth window reservation and call priorities management to vessel and cargo traceability and monitoring.

Tanger Med is a member of the International Taskforce Port Call Optimisation and in this group it works alongside key ports such

BRIEFS

Source: Uhnder Inc

The China Merchants Port (CMPort) division utilises its Mawan Smart Port in Shenzhen as a test bed for the evaluation of the latest intelligent port technologies including, recently, a digital radar sensor solution for use in autonomous trucks.

Developed by Uhnder Inc, the specialist in automotive and logistics mobility applications and Yunshan Technologies Ltd, a systems integrator of industrial and vehicle millimetre wave radar products and autonomous driving systems, the digital radar solution provides high precision data to ensure that an autonomous truck arrives in the correct position within a five-centimetre range.

Typically, such trucks function to move containers from the quay to landside container stacks or vice versa.

Uhnder’s digital perception radar technology enables a large number of co-located radars operating within a terminal area to co-exist reliably – a challenge that analogue radar solutions

as Rotterdam, Antwerp, Hamburg and Los Angeles to harmonise and put in place the most efficient procedures for the management of vessel calls.

This joint initiative includes the delivery and installation of a Wartsila Navi-Harbour VTS system utilising the following modules: Portlink Port Management Information System, IALA Advanced Coastal Surveillance Radars, VHF Radio Sub-System, Automatic Identification System, Operator Workstation, Network Systems, Ancillary Equipment under a five-year service and support contract.

Tanger Med has, however, developed its own Port Community System which incorporates further advanced features including the new Wartsila Navi-Harbour VTS System and Wartsila Navi-Port which facilitates Just-in-Time (JIT) vessel arrival.

JIT, Wartsila notes, reduces vessel waiting times at anchorages and as a consequence lowers the risk of collisions as well as GHG and carbon emission levels.

Further insight into the work of the International Taskforce Port Call Optimisation can be obtained at: https://portcalloptimization.org

USA-based Astrophysics reports that it is implementing new AI software in conjunction with its HXP-FreightScan system, a high-energy portal designed for screening shipping containers and trucks.

A principal objective of this latest update is to maximise data security – it offers automated threat recognition with little or no operator training. The HXP-FreightScan system is fully automated and based on a modular design which facilitates customisation in line with specific operating circumstances. Recent system purchases have encompassed orders for applications in Manila, Davao, Guatemala, & Bangladesh.

Virtual Gate Tested

A new virtual gate system is being tested at the Vado Ligure VIO Intermodal Terminal at the Port of Genoa. This innovative system is based on the use of smart glasses and allows gate security officers to read, in real-time, number plates and ADR codes of hazardous cargo, as well as estimate vehicle length. There is also the potential for better storage and sharing of data across the supply chain. Results to-date indicate a positive improvement in gate-in/ gate-out times, fast data transmission and enhanced security arrangements.

Digital Top Tip

8 The port of Tanger Med, Morocco is getting to grips with optimising port calls with help from Wartsila

For the latest news and analysis go to www.portstrategy.com/news101

Tan Chong Meng, Group CEO, PSA International speaking with TOC Asia, highlighted the value of digital twins to terminal and port operators. “Using data to understand and measure processes means a better understanding,” he said.

JUNE 2021 | 11

The leading terminal in the Mediterranean

cspspain.com

Member of

EQUIPMENT NEWS

TANGER ALLIANCE COMPLETES TC3 STS PROGRAMME Tanger Alliance at the TC3 terminal, Tanger Med, Morocco, has received the final two of eight Liebherr ship to shore container cranes. The last crane was commissioned in April 2021 and brings the operational capacity of the new terminal to over 1.5 million TEU per annum.

The cranes were erected at a remote site in Cadiz, Spain before being shipped two at a time to Morocco. The first units were commissioned in October 2020, with four more following in quick succession, allowing the terminal to open for business in January 2021 with six ship-to-shore units.

The cranes were designed and manufactured by Liebherr Container Cranes Ltd. in Ireland.

They have an outreach of 72m, meaning they can cater for vessels with up to 26 rows of containers across the deck.

Safety features include laser and ultrasonic anti-collision systems as well as smart slowdown systems installed as standard.

The Tanger Alliance container

terminal forms part of a global transshipment hub and gateway for direct import and export volumes. The facility has a quay length of 800m, a terminal area of 360,000 m² and a water depth of 18m alongside. Tanger Alliance

Kalmar, part of Cargotec, has signed a deal with Brasil Terminal Portuário (BTP) to supply a total of nine Kalmar Ottawa T2 terminal tractors for operation at the Port of Santos, Brazil. The order was booked in Cargotec’s 2021 Q1 order intake with delivery of all units scheduled to be completed by the beginning of Q3 2021.

BTP is a joint-venture between

Terminal Investment Limited (TIL) and APM Terminals. It is a multipurpose terminal for container and liquid bulk handling located on the right bank of the Port of Santos. In 2020 BTP set a new record for the Port of Santos and for Brazil by handling almost 1.2 million containers. BTP’s existing Kalmar equipment fleet

includes empty container handlers, reachstackers and terminal tractors.

The Kalmar Ottawa T2 terminal tractor is a purpose-built truck featuring an ergonomic cab design, fast fifth-wheel lifting and easy-access service points to speed up routine checks and servicing.

Shibata in Stockholm

Trelleborg Deal

KCT Yard Upgrade

ShibataFenderTeam (SFT) has confirmed it has now delivered more than 60 sets of Double SPC Cone Fenders, over 200 Bollards as well as various Element Fenders, V Fenders, Extruded Fenders and other maritime safety equipment to the Port of Stockholm. These are for port developments in the Värtahamnen, Kapellskär and Norvik port areas.

Hutchison Ports opened new container and ro terminals in Stockholm during 2020.

8 The final two of eight Liebherr STS cranes have been installed at the new TC3 terminal, Tanger Med, Morocco

is a partnership consisting of Marsa Moroc, Eurogate & Contship Italia and Hapag-Lloyd.

BTP GOES FOR KALMAR

Trelleborg’s marine and infrastructure division has extended its eight-year relationship with SEAOIL Philippines with the supply of its Super Cone (SCN1100) fenders to the SEAOIL Sta. Cruz Bulk Terminal in Sta Cruz, Davao Del Sur, Philippines. SEAOIL is expanding the volume capacity of its import terminal, thereby demanding an upgrade of the terminal’s fender systems to accommodate varying sizes of tanker.

For the latest news and analysis go to www.portstrategy.com/news101

Bollore Ports has confirmed that Kribi Container Terminal (KCT), Cameroon, has received five new yard gantry cranes. The new equipment is being sourced from Konecranes and each unit will have a safe-working load lifting capacity of 50-tonnes overall. The investment is being implemented to support container traffic growth and to “optimise” the use of the container storage park and improve processing time for trucks.”

RTC, Douala signs for two mobiles...

Régie du Terminal à Conteneurs (RTC), the Douala, Cameroonbased terminal operator has ordered two eco-efficient Konecranes Gottwald Model 6 Mobile Harbor Cranes to improve its overall capacity and service capability in container handling.

The order was booked in Q1 2021 and delivery is scheduled for early August this year.

The two new cranes are Konecranes Gottwald Model 6 Mobile Harbor Cranes in the G HMK 6507 variant. With a maximum radius of 51m, the cranes will be able to service container vessels up to postPanamax class. Smart crane features, combined with a maximum lifting capacity of 125 tonnes This delivers greater service flexibility to handle a wide range of cargo including containers, general cargo and heavy lifts.

Terberg Trial A Terberg produced hydrogenpowered terminal tractor together with a mobile hydrogen filling station are under test at PSA Antwerp’s Europe Terminal.

The test forms part of the Hydrolog project, established by the Flanders Institute for Logistics (VIL), designed to assess various types of internal transport vehicles for the cargo handling industry. The trial is the recipient of a grant from The European 2020 Green Deal Call which will also facilitate the testing of the use of hydrogen in conjunction with straddle carriers.

BRIEFS Suez Canal Upgrade

Following the six-day blockage of the Suez Canal in March this year, the Government of Egypt has confirmed it is accelerating plans to widen and deepen the southern end of the waterway.

This means that the area of the canal between the city of Suez and Bitter Lakes will be widened by 131ft eastwards and deepened from 66ft to 72ft. In 2015, the northern end of the canal was widened and deepened to keep pace with the growth in ship sizes.

JUNE 2021 | 13

ENVIRONMENTAL NEWS

EU FUNDING FOR MAGPIE The Port of Rotterdam Authority has confirmed that an international consortium of 45 companies has been awarded almost €25 million in EU funding to assess 10 pilot projects relating to sustainable and smart logistics in port operations.

The award from the EU is the result of collaboration between the port authorities of Rotterdam, DeltaPort (Germany), HAROPA PORT (France: Le Havre, Rouen, Paris) and Sines (Portugal), with 10 research institutes and over 30 companies in the Netherlands, Germany, France, Portugal, Denmark and Sweden. The overall research project has been given the acronym MAGPIE: sMArt Green Ports as Integrated Efficient multimodal hubs and is expected to run for five years.

The group of companies are, collectively, designing and implementing digitalisation and automation solutions relating to energy transition, as well as developing the best strategy to help supply-chain partners raise the sustainability of their logistics processes.

The considerations include a number of renewable fuels and energy carriers, including green hydrogen, large electric

Cargotec CO2 plans

batteries, ammonia and bio-LNG. Rotterdam Port Authority has stated that the consortium’s broad, international research programme primarily focuses on those aspects in the use of new fuels and energy carriers that have not yet been tested in practice. This includes production, transport, storage, distribution (fuels) and charging (electric power), such as electric battery-powered locomotives using power from an overhead lines and electrical power from the quayside for ships moored offshore to a mooring buoy.

One key output expected from the project is the development of

8 The Port of Rotterdam is part of an international consortium of 45 companies working on 10 pilot projects relating to sustainable and smart logistics in port operations

a master plan that sets out how transport in, to and from the ports can be made carbon-free by 2050, plus what needs to be done in in the process before 2030 and 2040.

The European Commission is making the budget available from within the Horizon 2020 green deal programme for research into opportunities to increase the sustainability of logistics operations in ports (and airports).

OMAN GOES BIG FOR SHIPPING H2 Kuwaiti and Omani stateowned energy companies are supporting a new 25-gigawatt renewable power-to-hydrogen plant that could benefit shipping.

The combined wind and solar plant will leverage the intense sun and regular winds of central Oman to manufacture transportable H2 and ammonia.

With the proposed plant being located next to international shipping lanes, there could be a large increase in supply volumes to support one of the anticipated future fuels for cargo vessels.

It is likely that the hydrogen produced could be compressed and liquefied for further transport or turned into green ammonia for use as a fuel, fertiliser, industrial commodity or H2 transport medium (hydrogen can be

BRIEFS

extracted again from ammonia if desired). The giant project could produce 1.8 million tons per annum of green hydrogen and up to 10 million tons per annum of green ammonia.

According to the Hydrogen Council, green hydrogen is

For the latest news and analysis go to www.portstrategy.com/news101

expected to grow into a US$2.5 trillion market by 2050, with strong demand coming from the shipping sector.

Developer of the Australian Renewable Energy Hub (AREH) megaproject, InterContinental Energy is building the facility.

Cargotec is aiming to reduce CO2 emissions of its value chain by one million tons by 2024, within its business areas of Kalmar, MacGregor and Hiab. “The importance of sustainability has significantly increased in our customers’ operations and we lift it into our vision,” says Mika Vehviläinen, CEO, Cargotec. He adds that in 2020, the company’s eco portfolio solutions constituted almost 25 per cent of its total sales.

UK Greener Aim

The UK Government has announced a £20 million ($27.75 million) Clean Maritime Demonstration Competition (CMDC) to develop zero-emission vessels and clean port infrastructure. The fund, launched by the Department for Transport (DfT) and Innovate UK, is part of the UK Government’s Build Back Greener initiative, making port communities key stakeholders in sustainable industries, that include offshore wind.

Big Wind Bonus

A new LNG-powered 2,500 TEU container vessel with wind-assisted propulsion has gained approval (in principle) from Paris-based class society Bureau Veritas (BV). BV said that on a typical transatlantic route of 4,000 nautical miles, the vessel will save on average 35 per cent CO2-equivalent emissions compared to a conventional design at the same speed. Six Oceanwings are employed together with LNG-electric propulsion with pods. The wingsails are installed on a vertical sliding mechanism that partially retract while the vessel is in port to minimise any impact on cargo activities.

JUNE 2021 | 15

THENEWYORKER BARRY PARKER

NOT BUSINESS AS USUAL USA infrastructure has endured yet another crisis, with the outage of the Colonial Pipeline, a major artery for moving refined products from refineries (in the US Gulf Coast) to consumers in the Southeast and mid-Atlantic.

Happily, New Yorkers did not suffer too badly this time. As tankers are an alternative to the pipeline, ports were more than casual observers; indeed, a few Florida ports did indeed publicise their waterborne supply chain as bona fides.

All good on that front. But the scary part of the week-long service interruption (if you ignore all those lines of motorists at gas stations on the nightly TV news) is the cyber-hack. The good news is that supply chains, and a pipeline with its spurs is literally one big chain, proved to be resilient, but it gives me and others great pause to think about all the “what ifs” and what might have happened.

Ports have known about their centrality in supply chains, and

about cyber-security for quite a while, so what’s different now?

Ports, increasingly, are moving into the connectivity business. In a few cases I’ve come across, information systems are indeed a competitive differentiator. With bottlenecks at ports also making it to the TV news shows, more scrutiny than ever before is being focused on port activities. So, with the pipeline hack (which, fortunately, did not get into systems controlling actual product

8 The Colonial Pipeline service interruption must make ports consider the supply-chain of the future and, especially, cyber security

flows), it goes without saying that every port needs to take a close look, and a fresh look, at its information systems – both administrative and operational, and carefully assess cyber risks.

Yet some “imagination” is required here, thinking about how a port’s supply chain might look five or 10 years out in the

future. Cyber-assessments might also involve a look outside the local area, also being projected forward in time. With connectivity, and with programming interfaces enabling one system to talk to another (which might be external, perhaps a trucking company or rail line with a wide geographical scope), it will become more important to prevent against hacker incursions and malware transmissions in data records and throughout data’s pathways.

Liner carrier information platforms, along with widereaching freight procurement systems, are becoming dominant (we are heading further in that direction, just my opinion, with ports becoming nodes at some point), then the geographical span would become truly worldwide. So, with all of these interconnections in mind, it may be time for a fresh set of eyes as ports look at their information flows. This is not a time for “business as usual”.

THEANALYST PETER DE LANGEN

A stream of recent announcements suggests that a global market for storing and utilising carbon is emerging.

Carbon can be captured from industrial processes like producing oil refineries, ethanol production or turning gas or coal into chemicals (such capture is relatively cheap) and from power plants (for instance that use coal or biomass).

In addition, carbon can be captured directly from the air, and subsequently stored – though this is much more costly.

Institutions like the International Energy Agency argue that CCUS (Carbon Capture, Utilisation and Storage), including capturing carbon from air and storing it, is needed to achieve climate

16 | JUNE 2021

EMERGING GLOBAL MARKET FOR STORING AND UTILISING CARBON change goals. While CCUS was regarded by some stakeholders as a way for the fossil fuel industry to stay in business, the more positive view that CCUS is needed is increasingly widespread, also in view of the likely slower pace of the transition to sustainable energy in emerging economies.

From a commercial perspective, this creates a huge market for storing and utilising carbon, a market that is widely expected to grow rapidly, as more emissions fall under an emission trading scheme and the price of ‘emission credits’ is increasing. Various projects aim to cater for this demand (see Facilities - Global CCS Institute

co2re.co). The recent announcement of the launch of a dedicated CO2 shipping company (Dan-Unity CO2) is interesting in this respect, especially in view of its partnership with a company from Iceland (Carbfix) which has developed technologies for storage of the carbon in rocks.

These partners claim that the total costs of shipping CO2 and storing it in Iceland, may be cheaper than initiatives to store CO2 locally, i.e. close to where it is captured.

All in all, CO2 may become another new commodity for ports, like hydrogen, with competition between alternative storage and utilisation ‘offerings’

ongoing. However, due to scale economies and first mover advantages involved, this competition is not ‘just’ between companies, but also has an element of policy competition, between different countries aiming to enable ‘their’ CCUS projects to become first (or at least early) movers - which is probably a good thing for society at large, as it helps speeding up CCUS and reducing CCUS costs.

Ports may play an important role in this new competitive landscape and may also keep in mind the potentially lasting effects of achieving an early mover status for both their position as transport hubs and as industrial clusters.

For the latest news and analysis go to www.portstrategy.com/news101

THEECONOMIST BEN HACKETT

The World Bank and IHS/Markit Container Port Performance Index is well off the mark and does not reflect reality.

According to the World Bank unveiling of its Container Port Performance Index (CPPI), developed in association with IHS/Markit, its press release stated: ‘The report scored ports against different metrics, making the efficiency ranking comparable around the globe by assessing and standardizing for different ship sizes and container moves per call.’ The index is based on time of vessel arrival to time of departure and uses a number of factors within that window to create an index assumed to indicate a measure of productivity.

The results are very surprising and highly unlikely to provide a reliable indication of the reality of individual port performances across vessel size categories and box movements amongst other measures. The surprising result of the index is so counter-intuitive that it can be considered, sadly,

NEW PORT PERFORMANCE INDEX - GOOD TRY BUT WRONG

unrealistic and not very meaningful. The 351 ports are ranked primarily on dwell time of the vessel. When you see Savannah ranked at 279, followed

by Hamburg, then Felixstowe at 313, Prince Rupert at 330 and Long Beach at 333 then your gut tells you that this is not a valid

8 Is Beirut the 11th most productive port in the world? The World Bank thinks so….

index for assessing ports. In the extreme it can be seen as “garbage in garbage out” based on the weights given to the various variables used.

The index also does not separate out ships in excess of 18,000 TEU nor take account of any large container shifts per vessel call linked to these ships.

It is hard to see how a port, terminal, investor, beneficial cargo owner or carrier can find much utility in this index when Saigon comes in at 137th and Beirut ranked as the 11th most productive. In short, we should not jump to hasty conclusions as some members of the press corps and commentators have done.

The index needs a lot of effort putting in order to create a working tool and the World Bank and HIS/Market must focus on bringing reality to the product.

Meanwhile, the COVID-19 pandemic seems to be a very short term issue for the maritime industry as cargo volumes grow in double digit figures, carriers financial returns are astronomic and economic growth in the UK and the USA expands towards pre-pandemic levels.

THESTRATEGIST MIKE MUNDY

COLLABORATION NOT CONFRONTATION Do you get the impression that labour unions as currently formatted in the ports sector are more backward than forward thinking?

There is no dispute over certain fundamentals for example that port sector unions have made a positive difference in pursuit of improving health and safety in the workplace. But when it comes to modernising the workplace and especially the introduction of new technology is their approach more geared to digging in and protecting jobs today rather than facilitating changes that have the potential to make a business stronger and more competitive over the longer term?

This area of challenge is increasingly rising to prominence

as digitalisation has advanced with this accelerating under pandemic conditions.

The big question is, therefore, is there a tangible route away from what promises to be a polarisation of views leading to increased incidences of serious conflict between employers and labour representative unions?

Nothing is certain yet but there is now a project underway which may help signpost the way ahead.

While not a mainstream port sector project, it is one that potentially offers useful lessons.

Digital SME, the recognised largest network of Information Communication Technology (ICT) SMEs in Europe, Confimi Industria, the Italian employers association, and trade unions have jointly recently launched a scheme

For the latest news and analysis go to www.portstrategy.com/news101

aimed at formulating ‘‘labour agreements for the digital age.”

The so-called Digital SME Alliance will focus on what it calls “two crucial improvements to collective labour agreements,” namely, “smart working models and a strong emphasis on digital skills at the workplace.” The dialogue on these key issues will be enhanced by bringing together Italian and European experts, researchers and social partners with the specific objective of discussing how outdated labour agreements can be upgraded to meet the requirements of the digital age.

Participants will include the labour research centre ADAPT Associazione and trade union FIM-CISL Veneto supported by IndustriALL Europe, an umbrella

organisation representing independent and democratic trade unions.

As a first step towards modernising labour agreements, the project partners will establish a European stakeholder board consisting of experts from employer and employee associations. The stakeholder board will develop specific recommendations on how to include smart working provisions and a strong emphasis on digital skills development in labour agreements with the aim of ensuring that both businesses and workers benefit.

The project commenced in March and is scheduled to run for 18 months. Let’s hope it identifies the basis for positive collaboration not confrontation.

JUNE 2021 | 17

NEWS FEATURE

ONNE COMPETITION STAKES RAISED ICTSI enters the Nigerian port sector in Onne Port, breathing new life into an environment that has hitherto been the playground of vested interests It has been a long time since a significant new player has been able to commence operations in Nigeria’s main ports. Now this has changed with International Container Terminal Services Inc. (ICTSI) commencing multipurpose operations at Berths 9-11 in Onne Port in Eastern Nigeria.

Undoubtedly this has breathed new life into a limited competitive situation in Onne where the existing major players, the West Africa Container Terminal (WACT) operated by APM Terminals and Onne Port Terminal FOT operated by Intels, have enjoyed something of a monopoly in their respective fields of activity, container handling and servicing the oil and gas industries respectively.

ICTSI by declaring its intention to service both sectors has basically breathed new life into the competitive environment on a broad basis.

In early May, ICTSI announced the arrival of the first container vessels, MSC Floriana and PIL lines’ Kota Sejarah, at its newly established terminal, Onne Multipurpose Terminal (OMT).

ICTSI handled the vessels with its two new Gottwald 7-series jumbo mobile harbour cranes. In a media statement at the time, ICTSI points out that the opening of its facility doubles terminal capacity in the region and that this capacity uplift is urgently needed due to ongoing congestion in Onne.

This concurs with comments from the shipping line sector that particularly point out with regard to the WACT that extended waiting times, sometimes weeks not days, can apply when waiting for an available berth. Handling on the berth has also been known to take up to a week. For container vessels operating in conjunction with published schedules, this is obviously far from acceptable from a customer satisfaction perspective and also has significant negative implications from a cost point of view.

INTERESTING REACTION There has been some interesting reaction to ICTSI’s arrival in Onne with the most vocal by far being from Intels.

Gabriel Volpi, the Italian magnate whose company Intels has dominated Onne Port since the 1980s, has protested ICTSI’s arrival, claiming that Intels is the rightful operator of the area occupied by OMT. Indeed, Intels has gone so far as to take the Nigerian Ports Authority to court over the berths, and is running one-page advertisements in national newspapers claiming to be a victim of ICTSI who, it suggests, has “unlawfully occupied” land belonging to Intels.

Informed sources confirm, however, that ICTSI has a legitimate contract with the Nigerian Ports Authority, which was signed in the first half of 2020.

Further, ICTSI has made significant investments in Onne Port and the company’s presence is clearly welcomed by the shipping lines and end-customers who see the capacity and introduction of competition in Onne as necessary to increase the port’s productivity

For the latest news and analysis go to www.portstrategy.com/news101

and customer service standards.

The court cases nevertheless remain ongoing.

It is to some extent understandable that Intel’s ‘nose is out of joint’ at being joined by a competitor in a place that hitherto has been its stronghold since the 1980s and which industry insiders recognise has been operated as a monopoly with the associated ability to ‘print money.’ The general feedback is, however, that the emergence of a new terminal operator in Onne comes following a decline in Intel’s ability to maintain its monopoly. A combination of growing criticism from Intels’ customer base about the high cost of doing business with the company, deteriorating performance and the growing incidence of public disputes including with the Nigerian Port Authority have not strengthened its hand when seeking to maintain its influence and power base.

History does in fact record that

8 ICTSI now in residence at Berths 9 – 11, Federal Ocean Terminal, Onne Port and shaking up the competitive environment

at one stage all the oil majors were forced into using Intels for their logistics requirements in Nigeria and as a result the company was able to charge rates identified by some as the highest in the world.

TIME FOR CHANGE ICTSI has clearly arrived in Onne Port when there is a manifest need for new competition.

According to port users, it is a welcome change and one that represents progress in the nationwide drive to deliver competitive port and logistics services. ICTSI has declared its willingness to further invest in OMT over and above the US$35 million already invested and as such further competitive initiatives can be expected.

‘‘

We will progressively align OMT’s facilities and service capacity to the diverse needs of the customer base…

Enrique K. Razon, Chairman & President, ICTSI

JUNE 2021 | 19

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PORT RELOCATION

St. PETERSBURG ON THE MOVE? A new proposal is on the table to relocate key facilities in the Port of St. Petersburg, Russia.

The big question is will it gain traction? Eugene Gerden reports The Russian government is considering sanctioning the biggest investment project for the domestic port sector in recent years - the redevelopment of the Port of St. Petersburg and the transfer of key facilities to outside the city.

In contrast to the majority of other Russian seaports, which are traditionally located in the suburbs of cities, most of territory occupied by the Port of St. Petersburg – Russia’s largest seaport in terms of cargo traffic – is located within the boundaries of the City of St. Petersburg.

However, the rapid urban development of the city since 2010 has brought about a lack of vacant space and land, which, in turn, has raised the issue of the transfer of part of the capacities of the Port of St. Petersburg.

The latest proposal in this respect comes from Andrei Bokarev, a well-known Russian businessman and President of Transmashholding, the producer of rail locomotives and rail equipment generally. In a letter to Russian President Vladimir Putin, Bokarev proposes the transfer of more than 20 port facilities to outside the city.

The proposal reportedly covers some of the port’s largest facilities including the “Seaport of St. Petersburg”, the “Container Terminal St. Petersburg” the Baltic Bulk Terminal (“Uralkali”), the First Container Terminal and Petrolesport (Global Ports).

The new location of these facilities, according to Bokarev, should be Ust-Luga, where the businessman owns 48.99%, as a co-owner of Rosterminalugol UMMC, the commodities producer.

‘‘

Global Ports Group has been consistently developing terminals in the Big Port of St. Petersburg, with the Petrolesport Terminal possessing the status of a strategic investment project in St. Petersburg On the vacated areas, which would cover some 600 hectares, it is proposed to develop residential and commercial real estate as well as various social infrastructure and cultural facilities.

The project could be implemented on a PPP basis with the participation of the Russian financial corporation VEB.RF, and a group of investors affiliated with Bokarev.

So far, the proposal of Bokarev has reportedly received a positive response from the Russian government.

Alexander Poshivay, Russia’s Deputy Minister of Transport, in an exclusive interview, stated that the proposed project requires serious consideration from the government and all the interested parties.

“The idea itself is good,” he said, “but the question is in its implementation.… Before starting this project, it is necessary to get an understanding from a number of branches of the Russian economy, how acceptable this decision is. This issue must be worked out.”

This is the second proposal for relocation of the Big Port of St. Petersburg which has been put forward in recent years. In fact, on the last occasion it was discussed by the former governor of St. Petersburg, Georgy Poltavchenko in 2018. This proposal saw port facilities being transferred to the newly built Bronka port.

8 Petrolesport is one of a number of facilities targeted for relocation to Ust-Luga; the plan is under discussion

DOUBT CAST Hardly surprisingly, the reaction from the majority of operators and stevedoring companies is to oppose the latest initiative.

According to Global Ports Group, the proposal has not been worked out and does not provide answers to a number of strategic questions.

At the same time, it is suggested that it carries significant economic and social risks, particularly in terms of investment policies and personnel issues.

An official spokeswoman of Global Ports Group press office, comments: “Global Ports Group has been consistently developing terminals in the Big Port of St. Petersburg, with the Petrolesport Terminal possessing the status of a strategic investment project in St. Petersburg. It is not clear how the costs incurred by the investor to build and maintain modern transshipment facilities will be compensated; how land issues will be resolved; how the sources of funding will be determined and redistributed among the affected market participants.

“There is also a serious risk of staff shortages,” she continued. Moreveover, massive sector-specific job cuts in St. Petersburg due to the closure of terminals and, as a consequence, industrial enterprises serving them, will lead to rising unemployment and social tensions.”

According to the company, other potential risks to consider include: the disruption of cargo handling during redeployment; loss of cargo flows and possible damage to Russia’s export potential (today the volume of Russian containerised exports through the Port of St. Petersburg is actively growing).

Further, she points out that costs for shippers may also increase significantly due to longer land distances between the marine terminals and points of cargo origin and destination.

The plan is on the table but the jury is still out on the idea.

For the latest news and analysis go to www.portstrategy.com/news101

JUNE 2021 | 21

CONTAINER TRADES

BOX TRADES: THE NEW REALITY? At the moment the only way is up in the container sector, but what’s driving this and how long for? Analyst Andrew Penfold identifies the building blocks of this new reality and what’s next

8 US West Coast terminals have been in the eye of the storm

Following the sharp contraction in global container demand at the outset of the COVID-19 crisis last year demand has bounced back, but why are freight rates so high and who is paying for all this?

It is certainly the case that container demand has recovered in most arterial trades, with secondary trades also recording very strong growth. However, in terms of TEU shipped, although there has been a recovery, volumes remain at around the levels anticipated for 2020 and 2021 pre-pandemic.

At the same time massive capacity increases continue – especially in the largest vessel ranges. Nominal capacity has increased rapidly from the nadir of ‘Round One Covid’.

In early May weekly capacity between Asia and North America was around 0.57m TEU, the highest ever and around 45 per cent up in a year. For Asia Europe, the corresponding figures were 0.42m TEU and an upturn of 25 per cent.

Although recovery has been strong, these capacity increases are enormous.

Simultaneously, ocean freight rates have gone through the roof. Although the position varies on a trade-lane basis the useful Shanghai Containerized Freight Index (SCFI) has reached over 3000 and seems set to remain high at least until the final quarter of 2021. This represents a threefold increase over pre-pandemic levels. Contract freight rates China to US West Coast are running at around US$5000 for a forty-foot box, with much higher rates for one-off and lower volume shipments – assuming capacity can be found. The situation is parallel on the Asia-North Europe trades.

This overheating has passed though into all aspects of the trades – with renewed ordering for all major container vessel

22 | JUNE 2021

classes, large scale container orders and renewed interest in terminal expansion. Is this the new reality?

WHAT IS REALLY GOING ON? Problems in the supply chain were already emerging before the disruption engendered by the pandemic. One of the factors was the rapid deployment of the largest classes of container vessels. The peaking impact of these vessels on container terminals is well known, but the ability of ports to respond has been mixed.

‘‘

Current overheating may well be replaced by a severe hangover At the loading end the availability of modern capacity and flexible working arrangements limited the difficulties, but in the major import zones the position has been mixed. The major European terminals have generally coped with the upsizing of vessels with this seen largely as the next step in an established process. There have been IT issues and uncertainties, but with a relatively smooth flow of demand these were seen as (broadly) manageable. The disruption in demand from COVID-19 and the sudden recovery – linked with one-off issues like the blocking of the Suez Canal is now placing critical pressure on the supply chain.

The situation on the US West Coast has been much more problematic. In early March, the number of vessels wating to unload at San Pedro terminals was around 40, with an

For the latest news and analysis go to www.portstrategy.com/news101

CONTAINER TRADES average wait of 7.5 days to berth. This was caused by the sudden demand bounce following the contractions of 2020.

Although not the largest vessels currently deployed, the size of these units was up to around 16,000TEU. The terminals in Los Angeles and Long Beach are not really used to these sizes of vessels. There are both physical and operational factors limiting the speed of turnaround, with the largest vessels limited to certain terminals and USA work practices limiting the cost-effectiveness of 24/7 working.

These difficulties in turn spread into the intermodal sector, with very strong demand and port delays effectively increasing the turnaround times for the chain between the ports and the US Midwest.

Great steps have been taken to increase capacity within established limits in San Pedro, and the number of vessels waiting to berth had fallen to around 20 in early May. This was also due to the diversion of vessels to Pacific Northwest ports, Canada’s Pacific Gateway and via Panama to the East Coast.

What has happened here is that there has been a supply side disruption with port delays and other logistics issues effectively removing a large part of capacity from the container trades. At the global level, trade-lane specific issues rapidly spill over into the global supply/demand balance, with alliances rapidly redeploying capacity between trades.

ONE-OFF ISSUES As if is this wasn’t enough, the stranding of the mv Ever Given in the Suez Canal further distorted the supply side of the shipping equation. Although this only saw a six-day closure, the impact was far greater, with many lines diverting AsiaEurope flows via the Cape and a general increased level of uncertainty in the trades. The impact is still playing out, with North European terminals struggling to cope with a surge in demand super-imposed on a COVID-19 recovery bounce.

Once again, it will be the lack of spare capacity in the port sector that will be the focus of concerns.

The uncertainty associated with the second wave of COVID-19 in Europe is also complicating matters. A further economic hit seems certain in the third quarter in the EU as lockdowns continue and the prospects for quarter three are unclear. The southern EU economies will see further contraction as the tourist sector remains effectively closed.

Identifying demand and planning a rational transport response is more than problematic in this situation.

CUI BONO? There are a lot of industry interests that are doing very well out of all this and really have little incentive to change things.

Container lines are seeing profits at almost unprecedented levels with the major trades being a sellers’ market.

The cyclical nature of the shipping business has always placed great pressure on lines and the current freight market boom follows on from many years of poor performance and weak returns. Indeed, only state-backed lines have been able to take a long view of the container market – at least since the Global Financial Crisis of 2008.

You can’t blame the lines for taking advantage of this opportunity, although it will be interesting to see how many past mistakes will be repeated. Already we are seeing a surge in newbuildings based on current conditions, although it’s far from clear what the market will look like when these orders reach tidewater in two years’ time.

Container manufacturers have also done well with friction in the supply chain generating more demand for containers.

Large orders have been placed at higher prices in this sector.

Although suffering acute reputational damage, container terminals are also doing well with surging demand and – it is

reported in some cases – increased price pressures. The terminals need to invest and have been stressing for some time the tension between the high costs of new berths and equipment and negative price pressures from their customers.

The current situation offers a way to square this circle.

8 The mv Ever Given – another shock to the supply chain with consequences

WHO IS PAYING? So, the current position might seem positive for shipping lines and even port operators? The bill for all of this will, of course end up with the consumer as large shippers and forwarders pass these increased costs onto them where possible. For consumer goods the transport costs are a very small part of the price paid for the product and a large part of this increase will be effectively invisible to the consumer. However, in the end these inefficiencies will exert a negative drag on the major economies with this further undermining moves to recover from the crisis. We are also facing an inflationary wave and these inefficiencies will also push this higher.

‘‘

You can’t blame the lines for taking advantage of this opportunity The vulnerability of the global trading system has been highlighted first by the demand contraction that resulted directly from the COVID-19 disruption and more importantly by the failure of the logistics chain to cope with uncertainties and then recovery. When combined with other more political factors this will further accelerate near-shoring pressures.

IS THIS THE NEW REALITY? It looks as if the current situation will be temporary.

As terminal congestion is eased, and additional shipping capacity is introduced it is likely that a new equilibrium will be achieved.

This will require increased investment in boxes and container shipping and also further modernisation of the terminal sector. Already we can see the signs of the next downturn. The massive ordering of new tonnage will prove difficult to justify when demand returns to more established growth rates – assuming economic recovery can be sustained. As terminal efficiency improves this will eliminate the supply side distortion that has generated the market conditions of the first half of 2020-2021.

At the moment, terminal congestion is the key to all this.

There is no mystery to increasing productivity from a technical viewpoint. It’s more a question of modernising working methods to cope with larger vessels. Digitalisation also holds great promise.

The system has solved similar problems in the past and will do so again. However, current overheating may well be replaced by a severe hangover.

For the latest news and analysis go to www.portstrategy.com/news101

JUNE 2021 | 23

Piraeus2021

20OCT Piraeus 22 2021 Greece

GREENPORT Cruise Congress

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Host Port:

The Port of Piraeus welcomes you to Greece!

The 2021 host port welcomes all ports, terminals and logistics TVSZMHIVW [MWLMRK XS HMWGYWW WYWXEMREFMPMX] MWWYIW MRDZ YIRGI national and regional agendas and promote socially responsible growth policies.

Advancing the Green Deal Through Collaboration 1IEVR JVSQ XLI I\TIVXW HMWGYWWMRK XLI JSPPS[MRK XSTMGW • Sustainable development in Port Infrastructure • Latest in sustainable cruise ships & technological innovation • Greening of Ports and Shipping including alternative fuel projects • )MKMXEPMWEXMSR JSV MQTVSZIH TSVX IDzGMIRG] • The full programme can be found here: www.greenport.com/congress/-programme

Get involved today! Ʒ & VERKI SJ WTSRWSVWLMT TEGOEKIW MW EZEMPEFPI XS WYMX ER] FYHKIX • 'IRIǰX JVSQ SZIV QSRXLW I\TSWYVI XS SYV RIX[SVO SJ port, terminal, equipment and logistics professionals

Meet and network with over 200 attendees representing port authorities, terminal operators and shipping lines.

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RED SEA: PORT STRATEGIES

DIVERSE ACTION PLANS The Red Sea is home to a number of different ports. AJ Keyes assesses how ports and terminal operators in the region are adopting different agendas and strategies

8 King Abdullah Port bolstered by MSC’s growing presence

The Red Sea region contains a diverse range of ports, with a number of facilities undertaking different roles. These range from established import-export terminals and transshipment hubs in the Kingdom of Saudi Arabia (KSA) through to a new set of ports in East Africa now coming of age in their own development cycle.

The ports in KSA are Jeddah Islamic Port (JIP) and King Abdullah Port (KAP) and both are well into established investment upgrade and expansion projects, but in comparison the ports in East Africa are only now starting to develop strategies. Berbera, for example, is seeking to improve connectivity to landlocked countries such as Ethiopia, which compares to politically driven factors influencing development dynamics in Sudan and Djibouti.

Port (Country)

In terms of the current and planned infrastructure for these ports, Table 1 profiles the primary role of the selected main facilities in the Red Sea, along with known or anticipated expansion plans.

NEW COMPETITIVE DYNAMICS JIP is a key east coast gateway serving the important Saudi Arabian market of Riyadh. However, the emergence of the privately owned-operated facility, KAP, has introduced significant competition in the Red Sea port market.

Collectively, these two ports already offer around 7.4 million TEU per annum of container space, but this will rise in the coming years to 14.1 million TEU once build-out plans are completed.

Role in Market

Investment/Plans

Transshipment

Gateway (Import/Export)

Jeddah Islamic Port (KSA)

70%

30% (Riyadh and Jeddah)

6 Consolidating three terminals to two 6 Annual capacity from 2.4 million TEU to 3.6 million TEU

King Abdullah Port (KSA)

50%

50% (Riyadh)

6 Phase II underway – raising annual capacity from 2.5 million TEU to 5.0 million TEU 6 Up to Phase V planned

–

Local hinterland & cross border potential

Port of Djibouti (Djibouti)

Designed to compete for transshipment, but restrained development due to legal position

Almost exclusively handling importexport cargo

6 Legal dispute between Government / DP World ongoing over DCT 6 DCT annual capacity of 350,000 TEU 6 New 690ha Chinese-funded multipurpose terminal (8.2 million tonnes capacity, with 220,000 TEU p.a.)

Berbera Port (Somaliland)

–

Local hinterlands/ Ethiopia

6 Phase I almost finished, offering 675,000 TEU annual capacity 6 Further plans for up to 2 million TEU p.a. capacity

Port Sudan (Sudan)

8 Table 1: Summary of port role and development plans in Red Sea region

6 Recent ICD development at Salloum to support inland activity

Source: Terminals, dataand.com

For the latest news and analysis go to www.portstrategy.com/news101

JUNE 2021 | 25

RED SEA: PORT STRATEGIES Development plans at JIP are based on RSGT expanding its quay to 1300m, with a further 1000m possible once the former third terminal (North Container Terminal) is removed and the facility reconfigured. At the same time, DP World’s Jeddah South Container Terminal (JSCT) is dredging to 18m depth, has potential for an additional 500m of quay and introduction of automated equipment.

At KAP, its Phase II plans added eight new quay cranes, with a total of five phases included in its long-term masterplan.

Transshipment is fuelling increased demand at these two ports. Approximately five years ago, JIP’s transshipment activity represented 35 per cent of throughput, but now the share is 70 per cent. Inland connectivity is also important in KSA. The US$7 billion Saudi Landbridge project incorporates different expansion initiatives to the existing rail network, including a new 950km direct link from Jeddah to Riyadh and its 8.5 million inhabitants.

BERBERA PROGRESSES – BUT SUDAN STALLS DP World is making progress at Berbera Port, Somaliland, with investment commitments of up to US$442 million over three phases. Phase I, with 400m of quay is almost complete, with plans already underway to expand the quay to 1,000m, offer 10 ship-to-shore quay cranes and work towards annual capacity of two million TEU. The operator regards this concession as a “breakthrough” in developing access to landlocked Ethiopia.

DP World has also signed a Memorandum of Understanding (MoU) with the Ministry of Transport in Ethiopia to help develop a major international trade and logistics corridor

26 | JUNE 2021

linked to Berbera. This decision is consistent with its global supply-chain strategy, as identified in “New Kids on the Block“ on p28.

This trade corridor will see investment of US$1 billion over the next 10 years and will span ongoing motorway development between Berbera and the Ethiopian border town of Wajaale, construction of dry ports, warehouses, container yards, coldstore facilities and supporting freight forwarding offices.

The Somaliland government hopes that Berbera will capture 50 per cent of Ethiopia’s maritime traffic in the future, Currently, about 95 per cent of Ethiopia’s trade goes through Djibouti. In a December 2018 report, “Port Development and Competition in East and Southern Africa: Prospects and Challenges,” the World Bank confirmed, “….97 per cent of the volumes handled by the port of Djibouti either leave or arrive to the port via truck. This contributes to congestion problems in the city of Djibouti. It is assumed that Djibouti’s share of Ethiopian cargo will decline about 10 to 15 percentage points in the five-year period commencing in 2021.”

This projected drop in throughput is despite the start-up, in early 2018, of the new 753km electrified rail line linking Djibouti to Ethiopia’s capital city, Addis Ababa. Funded by Chinese money and open since 2018, take-up has been slow, according to local sources.

Dagmawit Moges, Minister of Transport for the government of Ethiopia, outlines future aims: “Ethiopia aims to diversify its port access facilities and services to improve its trade corridor access routes. The development of this Corridor will not only meet with the growing demand of Ethiopia’s international trade, but also enhance our nation’s capacity in

For the latest news and analysis go to www.portstrategy.com/news101

RED SEA: PORT STRATEGIES utilising our existing major corridor both in terms of volume of trade and efficiency.”

Accessing inland markets is also relevant to Port Sudan but volumes are only 40 per cent of the space available. The South Quays offer sufficient water depth (16m) and length (720m), but political uncertainty in the country, plus desire of both Russia and Turkey to continue to seek to develop military bases (such as at Suakin Island) is a cause of concern and hold the potential to influence cargo shippers to use other gateways in preference.

Sudan has also been cited as a potential gateway for Ethiopian cargo. In mid-2020, studies examined the feasibility of constructing a 1,522km rail line between Addis Ababa, Khartoum and Port Sudan, a route agreed by both governments. However, with the political situation in Sudan remaining challenging it promises to be some time before such a project reaches the implementation stage.

Assab, in Eritrea, has also been dubbed as “Ethiopia’s route to the sea” but has since seen developments of a military nature, with the UAE concluding a 30-year lease to use what was the mothballed port of Assab in the past few years, despite reported interested from DP World and other international operators.

DJIBOUTI: WHAT NEXT? In 2000, DP World and the Djibouti Government signed a 20year concession to operate the Port of Djibouti, which eventually led to Doraleh Container Terminal (DCT) opening in December 2008. DCT’s good geographic location to eastwest shipping routes, with a minimal deviation offered

‘‘

DP World is adopting a strategy to serve Ethiopia without using Djibouti considerable potential as a transhipment hub.

Following a dispute between the two parties, the government seized back DCT and in January 2020, the London Court of Arbitration ruled that the 2006 concession agreement be restored. Despite the country being governed

by English law, and five previous rulings in DP World’s favour, the government is yet to respect the decision and there are no indications that it will do so. The fact that the government is reporting that the public port reported a 30 per cent increase in 2020 and stated that Djibouti is “doing fine without DP World” gives a strong indication of its future intention not to relinquish control back to DP World.

THE WAY FORWARD Going forward, Saudi Arabia is putting the building blocks in place to meet long-term gateway and transshipment demand, a sizable platform for development. The ‘new kids on the block’, the East African ports, are basically exhibiting typical emerging nation symptoms with a mix of local and international politics, disputes and military factors influencing development. In a number of cases, for example Sudan, it is clear that a more rational view of business development would serve them well by way to capitalise on modern port development as a path to achieving economic prosperity.

SOME THINK THAT RAW MATERIALS EXTRACTION MEANS TRUCK TRANSPORT. WE THINK DIFFERENT. beumer.com

For the latest news and analysis go to www.portstrategy.com/news101

JUNE 2021 | 27

MIDDLE EAST: INTERNATIONAL OPERATORS

NEW KIDS ON THE BLOCK The Middle East is home to a number of ‘new generation’ terminal operators looking to expand internationally. AJ Keyes examines their plans, business models and strategies

8 ADP has a diverse approach to expansion taking in ports, logistics and digital opportunities as well as leveraging governmentto-government relationships

There are several emerging “new generation” terminal operators located in the Middle East region looking to grow their existing portfolios. These companies have already seen fellow regional operator, DP World, expand internationally, but now Abu Dhabi Ports (ADP), QTerminals and Red Sea Gateway Terminal (RSGT) have the funds and the desire to grow their existing portfolios globally.

To better understand the respective business models in play and ambitions of each of these “new generation” companies the experience of each of them gleaned at home is considered, how they positioned themselves to expand internationally and the progress made to-date as well as potential future prospects.

Table 1 profiles each of the three companies.

ABU DHABI PORTS: BIG AMBITIONS Headquartered in Abu Dhabi since being established in 2006, AD Ports is fully aligned with the economic plans and directives of the Abu Dhabi Government’s 2030 Economic Vision. This includes a greater contribution to the development of non-oil GDP and activities.

AD Ports has a clear vision of portfolio expansion going forward, with its strategy not limited only to container terminals but acquisitions across the entire transport logistics chain anticipated as opportunities present themselves.

One thing is definitely known about AD Ports - expect it to accelerate its plans, and quickly. Formed in 2018, the Abu Dhabi Developmental Holding Co, now known as ADQ, is a sovereign fund with a reported US$110 billion in assets, including a 45 per cent stake in Louis Dreyfus Company BV. It is the entity in control of some of the Emirate’s largest portfolio assets, which includes AD Ports.

Mohamed Hassan Alsuwaidi, CEO of ADQ, has openly stated that his biggest worry is whether he is moving “fast enough” to secure projects – consequently, there is every reason to expect further activity in the ports, logistics and trade related industries.

AD Ports has a business platform to build on going forward.

This consists of ports, logistics, maritime, digital and industrial zones (and freeports) in Abu Dhabi. These are the areas that the company is expected to capitalise on internationally. This view is endorsed by Alsuwaidi.

“To maximise any investment, sometimes you need to create an international tie-up. Sometimes a global presence with an Abu Dhabi anchor is the way to extract more value,” he suggests.

Another executive at AD Ports proffers the view that DP World had blazed a trail and had a 30-year head start but while adapting its business model it still conforms to past behaviour. “The industry continues to evolve, as do

Operator

AD Ports

Red Sea Gateway Terminals

QTerminals

Headquarters

Abu Dhabi (UAE)

Jeddah (KSA)

Doha (Qatar)

Established

2006

2009

2016

Terminal Portfolio

10 in Abu Dhabi / 1 in Guinea

Jeddah (KSA)* / Bangladesh proposal is under consideration

Hamad, Olvia (Ukraine), Akdeniz (Turkey)

Flagship Facility

Khalifa Port

Jeddah Islamic Port

Hamad Port

Strategy

Aligned with Abu Dhabi government 2030 economic vision

Wide-ranging interest in agile and bankable partnerships

Operational excellence speed of action/agility

8 Table 1: Summary of “New Generation” operating companies

Note: * = MMC Corporation Berhad (MMC) is a shareholder in RSGT and has port interests in Malaysia at Tanjung Pelepas, Johor, Northport, Panang and Tanjung Bruas

28 | JUNE 2021

For the latest news and analysis go to www.portstrategy.com/news101

MIDDLE EAST: INTERNATIONAL OPERATORS geographic areas. Expect AD Ports to grow, especially in its ports and logistics businesses, but also digital activities.”

He adds that the company is not interested in the ‘scattergun’ approach of simply going out and buying ports.

There must be a large complementary business in place and diversity of cargo type is also of interest.

There are already known examples of AD Ports’ strategy.

The group’s current international facility is in Guinea, West Africa. Kamsar Container Terminal (KCT) is operated by AD Ports for Emirates Global Aluminium (EGA). The venture, acknowledged by AD Ports as the “first-of-its-kind” for EGA, supports the loading of vessels for the export of bauxite to the UAE and China.

Further, under its digital business AD Ports is developing a project with the government of India to create a country-tocountry port community system, which will be linked to the one used in Abu Dhabi.

Government-to-government relationships are seen as important. Media in the UK reported in April 2021 that “the Tees Valley Mayor is in talks with the UK Government and Abu Dhabi sovereign wealth fund, Mubadala, over a multibillion pound deal to create a new ‘super port’ in Teeside,” while a UK Government source similarly stated, “One of the projects that we’re working on with Number 10 (UK Prime Minister’s office) and Mubadala (the global investment arm of the Government of Abu Dhabi) is the acquisition of PD Ports.”

QTERMINALS SECURING CONCESSIONS QTerminals was jointly established by Mwani Qatar (51 per cent share) and Milaha (49 per cent share), to provide container, general cargo, Ro-Ro, livestock and offshore supply services in the development of Hamad Port, Qatar.

The company records a straightforward vision when outlining its international ambitions: “To become a recognised world class, customer-focused operator with a global portfolio to create long-term shareholder value.”

Explaining why it believes it can grow its international portfolio, QTerminals states: “The competitive advantage we have is as a relativity new global port and terminal operator in the market, demonstrating that QTerminals is agile and dynamic and ensures informed decisions are made quickly, both in terms of our current operations and our growth ambitions. QTerminals has the ability to react and adapt rapidly and effectively to change, ensuring we are successful going forward.”

On acquisitions, it further notes: “We primarily target markets and opportunities where our direct competitors are not currently operating on a large scale. It is always better as a new player in the industry to mitigate the risks and the impact of direct competition, as invariably there are no winners in such circumstances. Nevertheless, we do not shy away during competitive processes or public tender bids and have proven we can compete and win amongst an environment whereby more established operatives are active.

QTerminals has taken some positive steps. In August 2020,

8 QTerminals identifies its inherent agility and ability to move quickly as key assets in seeking to build its international portfolio

it signed its first international port deal for SC Olvia in Mykolaiv, Ukraine. The 35-year concession agreement was signed with the Ukrainian Ministry of Infrastructure and Ukrainian Sea Ports Authority and is an international PPP project co-sponsored by the IFC and the EBRD. Under the terms of the Concession Agreement, QTerminals will invest UAH 2.8 billion (approx. US$ 100 million) in the project, with the handover of the facility and the start of the concession planned for December 1, 2021.

Additionally, in January 2021, QTerminals completed the US$ 140 million acquisition of the Port of Akdeniz, Turkey, from Global Port Holdings, establishing QTerminals Antalya.

The company notes: “QTerminals Antalya is undergoing a full integration into QTerminals Group across several key workstreams, and this integration is expected to be completed by Q4 2021. “ RSGT: INTEREST BUT… RSGT has a strong interest in building its international terminal portfolio, although it has seen limited success to date.

The company is a partnership between the Red Sea Gateway Terminal of Saudi Arabia and the MMC Corporation Berhad (MMC), a Malaysian utilities and infrastructure group.

Its ports and logistics division, MMC Ports, is the largest port operator in Malaysia, holding majority or sole interests in the main Malaysian ports, including the leading transshipment port of Tanjung Pelepas.

The company has secured home base solidity. In December 2019, RSGT signed a 30-year Build-Operate-Transfer (BOT) concession as an add-on to its existing container terminal at Jeddah Islamic Port (as part of the port reducing its container terminals from three individual facilities to just two), with DP World remaining the second operator.

In 2018, RSGT confirmed its plans and ambitions to Port Strategy stating: “Most operators obviously started with the one port, their home base. They mastered the business, developed a hunger, but most importantly, they looked around and found perfect conditions…..we believe that long term infrastructure creation and operations business will be supported by agile and bankable partnership structures.”

Since this time, RSGT has targeted international investment opportunities and has made the shortlist for the Kribi (Cameroon) terminal concession in 2018 and then for the Douala (Cameroon) concession in 2019. It has since, in 2020, signed a Memorandum of Understanding (MoU) in with the Bangladesh Ministry of Shipping to cooperate on multiple port and infrastructure projects including a public-private partnership to develop Bangladesh’s port infrastructure and maritime sector.

The Port of Chittagong has confirmed that RSGT is interested in operating the Patenga facility, although so are both DP World and Adani Ports of India. The ability of RSGT to secure this opportunity represents a good test of the company’s ability to begin to fulfil its overseas ambitions.

GOING FORWARD All three operators are progressively looking at international opportunities. The hallmark of QTerminals approach is to move quickly and target direct deals that can be closed rapidly. RSGT fields a measured approach but needs to move from short-list to finish line. ADP has the most diverse approach. It has a wider remit, taking in ports, logistics and digital opportunities and is also prepared to leverage government-to-government relationships to assess the right opportunities.

It will be interesting to monitor the success of each company going forward and to see how they adapt their respective business models over time.

For the latest news and analysis go to www.portstrategy.com/news101

JUNE 2021 | 29

EAST AFRICA: NORTHERN CORRIDOR

NORTH CORRIDOR CONUNDRUM The Northern Corridor extending from the port of Mombasa to key landlocked African countries is seeing ongoing improvements but the big issue of further extension of the Standard Gauge Railway remains stalled. Mike Mundy reports

8 The second phase development of Mombasa’s second container terminal is due for completion end 2021 with a boost to traffic on the Northern Corridor anticipated

In April the port of Mombasa received a major boost with Uganda reaffirming its commitment to using the Northern Corridor and playing its part in enhancing its infrastructure.

An alternative option could have been the Central Corridor which links to Dar es Salaam Port, Tanzania but Uganda chose to follow past practice and stick with the Northern Corridor which step by step has seen improvements made in the three critical areas – the port gateway of Mombasa, hard infrastructure along the corridor and soft infrastructure, documentation border controls and so on.

Uganda currently accounts for 83.2 per cent of transit cargo moving via the port of Mombasa. South Sudan is ranked second with the much lower market share of 9.9 per cent while DR Congo, Tanzania and Rwanda account for 7.2 per cent, 3.2 per cent and 2.4 per cent respectively. The importance of Uganda to Northern Corridor traffic and the port of Mombasa in particular is plain to see.

In terms of volume, over the last five years Ugandan cargo at the port of Mombasa has registered a compound average growth rate of 4.9 per cent from 6.35 million tonnes in 2016 to 7.70 million tonnes in 2020. The percentage share of the port of Mombasa’s total volume occupied by Ugandan cargo runs out as an average share of 23.7 per cent.

ACTION AND ASPIRATIONS Despite the unique set of investment and operating

30 | JUNE 2021

circumstances presented by the COVID-19 Pandemic work on the upgrading of the Northern Corridor has continued at a steady pace. Examples of recent developments are highlighted in Table 1 and key future works and challenges are discussed in more detail below.

As might be expected, planned development work in conjunction with the Northern Corridor is multi-faceted as has been very much the case to-date.

Phase two of the development of Mombasa’s second container terminal is underway and is expected to be completed towards the end of 2021 adding another 450,000TEU of capacity. By 2023 the port of Mombasa is forecast to handle 1,732 million TEU, up from the current annual volume of around 1.4 million TEU. This will raise overall capacity at the new terminal to around one million TEU. The port has managed to weather the COVID-19 Pandemic comparatively well registering just a one per cent decline in throughput in 2020 compared to 2019, accounting for 34 million tonnes. Container traffic also registered a decline – of five percent – totalling 1,359,579TEU. Interestingly, however, transit cargo maintained a growth position in 2020, up by 2.2 per cent at 10.2 million tonnes against 10 million tonnes recorded in 2019.

As happened previously with the opening of Mombasa’s new container terminal, the Phase two capacity addition is expected to act as a catalyst to traffic along the Northern Corridor.

For the latest news and analysis go to www.portstrategy.com/news101

EAST AFRICA: NORTHERN CORRIDOR

‘‘

SGR: The issue of renegotiating the Chinese loans remains unresolved as the situation in Kenya has worsened with the impact of COVID-19 RAIL REDEMPTION A big challenge going forward for the Northern Corridor is the completion of the SGR all the way to Kampala, Uganda.

This is a key issue and is one that presents some challenges especially in the arena of financing. At present, as stated in Table 1, the SGR stops some distance short of the border with Uganda with Kenya reportedly being turned down by China for a new loan to complete the railway to the border. Issues are now also increasingly coming to the fore regarding repayment of the loans made by China to Kenya in conjunction with the SGR. These loans now top US$4.7 billion after the line was extended from Nairobi 75 miles to Naivasha in the Rift Valley.

The operating position is also not good. A report presented to the Kenyan parliament in 2020 notes that the railway recorded a loss of USD 200 million over three years. During the period revenues of US$230.7 were generated against operational costs of US$430.5 million.

This has led to calls for Kenya to follow in Ethiopia’s footsteps and renegotiate its railway loans. There have also been calls for Kenya to renegotiate the SGR operation agreement which was awarded to the Africa Star Railway Operation Company, a subsidiary of the China Road and Bridge Corporation which constructed the railway. This looks like it will happen with the Kenyan government giving notice in March this year that it intends to transfer control of operations on the country’s standard gauge railway to Kenya Railway Corp from May 2022.

The bigger issue of renegotiating the Chinese loans,

however, remains unresolved as the situation in Kenya has worsened with the impact of COVID-19. As a result of this, the International Monetary Fund has raised the country’s risk of debt distress to “high” from “moderate.” COVID-19, says the IMF, has “exacerbated existing vulnerabilities.”

Meanwhile there has been no tangible progress with SGR development in Uganda. Recent comments made by the Ugandan Government suggest negotiations are ongoing against a background of growing concern about the potential pitfalls associated with the inability to pay back Chinese loans, and particularly the seizure of national assets.

Clearly, while the SGR offers significant potential to streamline and enhance the operations of the Northern Corridor there remains a considerable body of work to do first to get it to achieve financial viability over the track already constructed and secondly to create a solid basis for its further extension all the way to Kampala.

No solutions are in sight yet emphasising the continuing importance of maintaining diverse works of the type featured in Table 1 on the road corridor which promises to remain the main transport artery for some time yet.

Recent Northern Corridor Upgrades Phase One of Mombasa’s second container terminal with a capacity of 550,000 TEU was completed in September 2016. Second phase development is now underway Prior to these developments a series of ‘quick wins’ which included the expansion of port gate 18/20 and upgrading of Yard 5 to boost available capacity Road & Rail Developments Road In June 2018 a 10km stretch of the new port access road opened, developed at cost of US$120 million with financing from the Japanese agency JICA. The road has delivered the major benefit of taking traffic away from the city of Mombasa.

Mombasa-Nairobi highway - notable project work has included two contracts awarded to two different Chinese firms for the 41.7km MombasaMariakani and 21km Athi River-Machakos turn off road sections involving rehabilitation and dualling of the two stretches of the highway.

The US construction and engineering firm Bechtel and Overseas Private Investment Corporation was also awarded a contract for work

on a section of the Mombasa-Nairobi highway expansion project.

Other Mombasa – Nairobi road system improvements have also been actioned, with diverse sections, with work in this sector overall delivering significant improvements.

Road freight charges from Mombasa to Nairobi have been declining from US$1,300 in 2011 to an average US$879 in 2016 and down to an average of US$650 and US$850 for a 20 foot and 40-foot container, respectively in 2020.

The installation of high-speed weigh-in-motion weighbridges and the harmonisation of vehicle load controls have played their part in reducing the cost of transporting cargo.

In 2017 The Northern Corridor Green Freight Strategy was launched to reduce vehicle emissions –particulate matter, black carbon, oxides of nitrogen and CO2 emissions - improve road safety, and improve vehicle fuel efficiency.

Rail In 2018, cargo operations commenced on the new Standard Gauge Railway (SGR) running from Mombasa to Nairobi. Work also commenced at this time on extending the new SGR to cover 10 berths

For the latest news and analysis go to www.portstrategy.com/news101

8 SGR Nairobi Terminus: the railway debt problems are stacking up

8 Table 1: Recent Northern Corridor System Improvements at the port of Mombasa Port. The second phase development runs for 120 kilometres from Nairobi to the Rift Valley town of Naivasha.

According to the Northern Corridor Infrastructure Projects protocol, the SGR is expected to link at least four countries: Uganda; Kenya, Rwanda and South Sudan. Key challenges remain in this area, however, with the full railway extension in Kenya still pending all the way to Malaba near the Ugandan border. Currently, the track only extends to Naivasha, a town 75 miles northwest of Nairobi in the Rift Valley.

Border Posts Since the enactment of the East African Community One-Stop-Border Posts Act 2016, a total of 17 stops have been established and are operational. Eight of them are on the Northern Corridor routes.

It now takes an average of three days to move cargo from Mombasa to Busia and Malaba borders compared with the previous 20 days. Cargo to Burundi and DR Congo now takes less than a week and cases of theft have gone down by more than 90 per cent following the implementation of the Regional Cargo Tracking System (R-ECTS).

JUNE 2021 | 31

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PORTSTRATEGY INSIGHT FOR PORT EXECUTIVES

BRAZIL: SPECIAL REPORT

SEPETIBA TECON SURVIVES Brazil’s leading association for port terminal operators has vented its fury at the attempts to close the Sepetiba Tecon container terminal and CSN solid bulk terminal, as Rob Ward discovers Jesualdo Silva, the head of the Association of Brazilian Ports and Terminals (ABTP), lambasted the municipalities of Itaguaí and Mangaratiba who tried to close down Sepetiba Tecon and neighbouring terminals over “environmental concerns” without due reason and blackening the name of Brazilian port terminals – both nationally and internationally.

The local authorities delivered an edict to close Sepetiba Tecon – sometimes touted as a future hub port for Brazil and the East Coast of South America – and its neighbouring terminals – a steel terminal run by CSN (which is also the owner of Sepetiba Tecon), and an iron ore facility operated by the multinational Vale.

The reason was, allegedly, that dust from the iron ore and coal operations was polluting the water. Local environmental agency, Inea, offered its backing. However, Sepetiba Tecon and others say it was just the authorities ‘flexing their political muscle’ and Inea did not concur with this edict.

CONCERTED EFFORTS TO BLOCK CLOSURE However, a concerted and collective effort from ABTP and other agencies has been able to block the closure bid and force the two authorities to put the edict on the backburner.

“ABTP repudiates the action of the municipalities of Itaguaí and Mangaratiba, which determined the banning of terminals in the region last week,” said an angry Silva. “We emphasise the arbitrary nature of the acts and reinforce the importance of port activities, which generate jobs, income and taxes and have been licensed by the Rio state agency.

He continues: “Inea expresses its repudiation of the interdictions and this case presents a clear call for strong action by all public authorities responsible for national development. Brazil deserves a clear demonstration that contracts here are respected and economic freedom is protected at all costs from abuse and arbitrariness by anyone.”

Guilherme Vidal Rosa, Commercial Manager for Sepetiba Tecon, praised the way ABTP and others acted quickly to block the closure bid and, consequently, no interruptions to services occurred.

“They [the municipality representatives] came to us and told us to close but we did not close,” Rosa told Port Strategy.

“We continued operating and went to ABTP and other authorities. Thankfully they reacted quickly and confirmed we were right to remain open.”

CRAZY POLITICAL MOVE One shipping consultant who has worked closely with Sepetiba Tecon over the past decade but is no longer connected to them, said that the “crazy, political move from the municipalities” sends a terrible signal to outside investors at a time when Brasilia is trying to persuade national and foreign companies to invest in the port sector.

“These are not the actions of a serious country,” said the consultant. “We have a due process here and it was not followed. I think some potential international investors might run a mile if this closure had been carried out.”

About five years ago, CSN owner, Benjamin Steinbruch, tried to sell Sepetiba Tecon as it was not his core business but several suitors, including PSA of Singapore and Advent

International Corp of Boston, USA, plus Brazilian suitors Wilson, Sons and Santos Brasil SA, were rejected after making bids that seemed to meet the impresario’s asking price.

“It was very strange because Steinbruch wanted to sell, a buyer was found for him, (in the guise of PSA of Singapore), and then he changed his mind at the 11th hour,” the Sao Paulo based shipping consultant told Port Strategy. “In my view, Sepetiba Tecon is a diamond of a terminal, especially in terms of location, but one in need of some serious polishing as it has been neglected for several years now.”

On that front, Rosa said that Sepetiba Tecon will soon be opening a bid for two New Panamax ship-to-shore gantry cranes, to add to the six Super-Post-Panamax gantries it currently deploys.

8 Concerted efforts have ensured that Sepetiba Tecon remains open

‘‘

...the “crazy, political move from the municipalities” sends a terrible signal to outside investors...

Volumes have declined significantly since a peak of 247,000 containers (345,800 TEU) back in 2018, due to the departure of two key services from the Rio de Janeiro state port, located some 80 miles from downtown Rio de Janeiro, and the rival operations of Multi-Rio and ICTSI Rio Brasil 1, operated by ICTSI, of the Philippines.

Sepetiba Tecon handled 52,165 containers (73,031 TEU), during the first quarter of this year, up nearly 10 per cent over the same period of last year when it handled 47,700 containers in Q1.

Rosa says he hopes that the terminal will maintain that growth for the whole year. Brazil is expecting to see its GDP increase by around three per cent this year, having contracted only three per cent in 2020, owing to a number of economic stimulus measures from the government of Jair Bolsonaro, and relatively few periods of lockdown, owing to the President’s infamous downplaying of the killer virus.

For the latest news and analysis go to www.portstrategy.com/news101

JUNE 2021 | 33

ECUADOR: CONTAINER HANDLING

THE WORLD’S BANANA REPUBLIC Ecuador had a very difficult 2020 due to COVID-19 but prospects are now improving.

Rob Ward assesses the impact on ports and looks at expected developments for 2021

8 With world demand for what Ecuador has to offer growing, and consumer confidence also on the up, it looks like a decent 2021 for the country

At times last year one of South America’s smallest countries, Ecuador, was going through a torrid time with hundreds of dead bodies piling up on the streets of the port city of Guayaquil as COVID-19 wreaked havoc and the state infrastructure could not handle the deluge.

At that time the left-wing government of Lenin Moreno struggled to contain the spread of the virus and the economy was struggling, plus the 17.1 million inhabitants of Ecuador were not optimistic about prospects for 2021 and the Presidential election in April.

However, since Guillermo Lasso, a centre-right candidate and former banker, won the 2021 Presidential election by defeating Moreno’s successor and took over the reins of power in May, much of Ecuador, and especially the business community, are feeling far “more optimistic”.

GOOD CHOICE BRINGS OPTIMISM “Lasso is good choice for more economic development, especially considering the alternatives, who were anti-market,” says Simon MacKenzie, the President of Asonave (the Chilean Ship agents’ Association) and an executive for Ian Taylor shipping agents in Chile, which also has an office in Ecuador.

This optimism should lead to increased consumer spending, according to several Port Strategy sources, and a rise in imports, especially consumer goods and electronics from China and South Korea. It may also lead to an increase in containers handled by the “New Kid on the Block”, the DP World Posorja deep-water facility. Other key imports are deciduous fruits (apples and pears, plus grapes and apricots) from Chile.

34 | JUNE 2021

In terms of exports, Ecuador’s staples are bananas, shrimp and cocoa, plus pineapples and frozen broccoli, which are already in high demand around the globe. This position looks likely to continue, boosting volumes through the ports of Guayaquil and Puerto Bolivar, among others.

As Juan Trujillo, the Chief Commercial Officer at Contecon Guayaquil (operated by ICTSI) told Port Strategy: “There are three industries in which we are in the top three of the world.”

“Ecuador is the number one exporter of bananas in the world (with around US$3.3 billion worth exported in 2019, equivalent to 22.6 per cent of all global exports – equivalent to an estimated 5000 TEU leaving the country’s ports each week).

We are number two for shrimp (worth US$3.7 billion in 2019, for a 21.1 per cent share, only trailing India’s 24.9 per cent)” he explains, adding, “Plus, we are also strong in terms of cocoa, with many experts declaring ours is the best in the world.”

In value terms, Ecuador is the second-biggest cocoa exporter in the world with around US$700million shipped out annually and is also strong in frozen broccoli and pineapple exports.

“WELL-RUN” TERMINAL IN GUAYAQUIL Today, the vast majority of containers pass through the country’s key port of Guayaquil, which is dominated by “one of the best and most well-run container terminals in all South America,” according to one Ecuadorian Shipping Agency manager.

That “well-run” terminal is Contecon Guayaquil and it handled around 840,000 TEU in 2020, a three per cent increase over the 823,500 TEU moved during 2019, despite “difficulties” due to the “COVID-19 situation”. In 2019, it was

For the latest news and analysis go to www.portstrategy.com/news101

ECUADOR: CONTAINER HANDLING operating at 55 per cent of its overall annual capacity of 1.5 million TEU per annum. Highlighting its focus on reefer cargoes, such as bananas and shrimp, the facility offers 3,500 reefer plugs, believed to be the highest number on-terminal in South America.

In second place comes Terminal Portuaria de Guayaquil (TPG), which is operated by Chilean stevedore SAAM, and it handled 758,400 TEU in 2019 which is getting uncomfortably close, at 95 per cent, to its 800,000 TEU annual capacity. Last year, it handled 712,000 TEU, losing some cargoes to Posorja, but it still maintained a market share in excess of 30 per cent of the Ecuadorian market. Most of the Chinese carriers, Wan Hai and Cosco, plus Hapag Lloyd and CMA CGM, all call at TPG. The next largest facility is Naportec SPA, a subsidiary of Dole Food Company, the American multinational agricultural corporation. It commenced operating the facility in 2004, under license from DIGMER, the general directorate of the Ecuador Merchant Marine. The terminal is known as Terminal Portuario Bananapuerto (TPB) and in 2020 it handled 289,250 TEU, up marginally from the 287.800 TEU in 2019. With an annual capacity of 400,000 TEU, it was running at around 73 per cent of capacity last year.

Fertisa Terminal Portuario (Fertisa) is the other facility and in 2019 it handled 93,000 TEU, equivalent to 62 per cent of its 150,000 TEU per annum ceiling. Fertisa is owned by the Chilean Wong family who are one of Ecuador’s largest banana exporters, but in 2020 it lost much of its business to Posorja, meaning that throughput fell drastically to just 22,250 TEU. The only regular service left is King Ocean to Miami, via the Panama Canal.

MAINTAINING ITS COMPETTIIVE EDGE To keep its competitive edge in Guayaquil and increase its capacity towards two million TEU per annum, Contecon is undertaking improvements to its equipment roster and the quayside.

It has just spent USD$30 million on equipment (new forklifts and extending the reach of two ship-to-shore gantry cranes) as well as dredging its berth down to 13.5m at high tide, according to Trujillo. The largest vessel calling so far has been the mv MSC Aliya (365m LOA and 14,366 TEU capacity), although it was not at full capacity. The regeneration and refurbishment of two of Contecon’s quay cranes gives an extra 10m of height and 6m reach, thereby transforming them into New Panamax gantries.

Contecon now has six quay cranes, comprising four PostPanamax and two New Panamax, plus 23 RTGs and a range of supporting equipment and three mobile units, all deployed on one mile of berthing.

“As we are trying to keep ahead of the market we are also pleased to have been granted permission to make the first Free Trade Zone (FTZ) in Guayaquil and to have extended our terrain with an extra 15 hectares, taking us up to 150 hectares,” explained Trujillo. “We gained this award in April 2021 and we are already designing the new facility. The idea is not just on the quayside but also to get even closer to our hinterland and add value to the supply chain. We have all the Maersk Line services calling, plus MSC and Seaboard Marine to the US East Coast,” he adds.

However, another veteran Ecuador shipping consultant said that “Guayaquil does have its problems, namely, tidal restrictions and the fact that it is 70 miles upriver from the Pacific Ocean.”

THE POSORJA OPTION To try and resolve that, and to provide more capacity for Guayaquil and Ecuador as a whole, DIGMER opened a

concession in 2015 for a deep-sea port at Posorja, some 70 miles upriver of the city of Guayaquil. That 50-year concession was won by DP World and, after some teething problems, it finally opened for business in August of 2019, with three quay cranes. It handled 67,000 TEU during its first year of operation, which increased to 222,540 TEU for 2020, its first full year. In April 2020, a fourth ship-to-shore crane from ZPMC was added.

So far it only has the Hapag Lloyd and CMA CGM Eurosal, a north Europe service via the Panama Canal also calling in Chile and Colombia, but sources at Posorja say the terminal is “very close to securing a major Asian service, with an official announcement probably coming in early July”.

8 Yilport’s Puerto Bolivar terminal is a relative newcomer attempting to build market share

‘‘

There are three export-oriented industries in which Ecuador is in the top three of the world…

A source close to DP World Posorja told Port Strategy that the terminal has a draft of 16.5m in the channel and 16m for its main berth (probably the deepest along the West Coast of South America). With this advantage it aims to become the key hub port for WCSA in the years to come, although delayed crane deliveries is an issue. He pointed out that the maximum authorised draft today is 15.2m and that the largest vessel to call so far, a CMA CGM ship, needed 14.65m.

Guayaquil is fighting back with draft and recent dredging plans seeing an improvement from 9.5m at high tide down to 12.5m at high tide.

Aside from Guayaquil and Posorja the only other concentration of containers in Ecuador is the Puerto Bolivar terminal, operated by Turkey’s Yilport. It opened in 2017 and handled 96,000 TEU for a five per cent share of Ecuador’s total box movement, which increased to 155,240 TEU in 2019 (seven per cent share) and then 178,032 TEU in 2020 (eight per cent share). Puerto Bolivar also operates a large break-bulk terminal, specialising in steel and cement, as well as bananas.

With world demand for what Ecuador has to offer growing, and consumer confidence also on the up, this small South American country looks like it is in for a decent 2021. The major litmus test for the main passage of those containerised cargoes will be Posorja vs. Guayaquil and whether an Asian service switches this year. Watch this space.

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JUNE 2021 | 35

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CYBER SECURITY

DIGITAL COMES WITH RISK In the second part of a two-part review of a joint World Bank and IAPH report,* Felicity Landon discusses the report’s extensive warnings on preventing cyber security breaches and how this area demands more attention

8 The increased deployment of digital systems escalates the risk of cyber security breaches requiring, in turn, comprehensive protection measures

“Digital technologies will enable the competitive business environments, increased accountability and better education and skills development systems that will create the maritime jobs of the future,” says Boutheina Guermazi, Digital Development Director at the World Bank, in her foreword to the new ‘Accelerating Digitalization’ report jointly produced by the World Bank and International Association of Ports and Harbours (IAPH).

All good, then? Well, not entirely. Many digital developments in the ports sector have been designed and deployed without even considering cybersecurity, warns the report.

“Port leaders entering the smart port age face increasingly complex decisions regarding investments in new technologies, such as big data, the internet of things (IoT), artificial intelligence (AI), and digital currency exchanges to improve operational performance, enhance automated processes and increase competitiveness,” it says. “These capabilities are key building blocks of smart port environments. However, smart ports have an Achilles’ heel: many of these platforms were designed and have been deployed without security in mind.”

CYBER SECURITY: A MAJOR CHALLENGE As Guermazi says, growing digital integration is not without risk. “Cybersecurity is now one of the major challenges facing the maritime industry. Policymakers need to work with the private sector to ensure critical infrastructure is adequately protected, while continuing to help achieve the full benefits of new technologies in a sector where the digital transition has been uneven across countries.”

The report refers to the case 10 years ago, when Belgian authorities grew suspicious about containers found abandoned outside the Port of Antwerp. A Netherlands-based organised crime syndicate had recruited hackers to breach the port’s IT *Digitalising the Maritime Sector Set to Boost the Competitiveness and Resilience of Global Trade

systems managing container movements. Their objective – to hide narcotics among legitimate cargoes, including timber and bananas shipped from South America.

“With the hackers’ assistance, the criminals accessed the release codes for targeted containers and gained advance knowledge of when and where to send a truck to intercept a container before the legitimate owner arrived.”

First, hackers launched a phishing attack, sending innocentlooking malware-infected emails to employees at various terminal operators. They then gained remote access to cargo management systems and container release codes. When the breach was discovered and the malware removed, the criminals physically broke into the port to install key-logging devices on computer systems. Via wi-fi, they were able to collect data such as usernames and passwords, using this information to regain access to key systems and continue their smuggling activities. “Lesson learned: Traditional investments in supporting ISPS Code compliance did not deliver effective integrated security to port stakeholders,” says the report.

‘HYPER INTER-CONNECTEDNESS’ – NEW VULNERABILITIES The IoT’s ‘hyper interconnectedness’ impacts every port authority, commercial maritime organisation, government agency and individual relying on digital networks, networked systems and applications, cloud-based technologies and mobile devices, it warns.

“Connected port communities – often serving as the critical foundations supporting entire national economies – are increasingly vulnerable to attack tactics exploiting the vulnerabilities that arise from the integration of digital cyberphysical systems.”

In short, “while IoT-enabled technologies offer significant potential operational efficiencies to port stakeholders, they also introduce new vulnerabilities that open the door to cyberthreats.”

For the latest news and analysis go to www.portstrategy.com/news101

JUNE 2021 | 37

CYBER SECURITY So, what are the lessons? The report emphasises the convergence of cyber and physical threats, the collaboration of organised crime and hackers, the limitations of local law enforcement versus transnational crime, and the need for communication and coordination between local, regional, national and transnational law enforcement agencies.

Port stakeholders must understand how cyber threats can impact their organisations, analyse and re-evaluate decisionmaking responsibilities and authorities, employ new training strategies, plan for and prepare to respond to possibly debilitating incidents, and understand how to effectively communicate within their organisations and externally among their port community partners, customers, and key stakeholders, the report urges.

It notes that while the trend towards digitalisation and automation of maritime trade, logistics, transport and cargo handling has been under way for many decades, the trend has accelerated in the past few years and has ramped up substantially during the COVID-19 pandemic. “This has consequently increased the cyberattack surface and enticed threat actors,” it underlines.

The Port of Los Angeles, for example, has reported a 50 per cent increase in unauthorised intrusion attempts since the start of the pandemic, and other ports around the globe are also reporting increased cyberthreat activity.

“The risk of a cyberattack has become the top risk for port authorities and the wider port community of stakeholders, necessitating improved cybersecurity at the port community ecosystem level,” says the report.

38 | JUNE 2021

It points readers to the IMO Guidelines on Maritime Cyber Risk Management, released in parallel with the IMO’s new cybersecurity regulations which entered into force in January 2021. Resolution MSC.428(98) on Maritime Cyber Risk Management encourages administrations to ensure that cyber risks are appropriately addressed in existing safety management systems, as defined in the International Safety Management (ISM) Code.

INFORMATION SHARING: TICK THAT BOX In terms of recommendations, the IAPH/World Bank report says that sharing cyber threat information through mechanisms such as security alerts, suspicious activity reports and breach of security notifications can help port community members to identify, assess, monitor and respond to a range of threats. Information sharing partnerships should be encouraged, including parties such as the port, local law enforcement, customs, various first responders and logistics partners.

“If no facility or mechanism exists for information sharing within a port community, the port community should establish a local body to organise and sustain information sharing activities covering cyberphysical security.”

Members of the port community ecosystem can reduce their own cyber risks by implementing essential cybersecurity building blocks such as a cybersecurity framework, says the report. It suggests the five-step cybersecurity framework developed by the US National Institute of Standards and Technology, based on: identify, protect, detect (research by IBM showed that on average a breach is detected after 197

For the latest news and analysis go to www.portstrategy.com/news101

CYBER SECURITY days), respond and recover (including the need for back-up and restore facilities).

Emphasis is placed on the port authority’s ‘natural and neutral orchestration role’. Several port communities have implemented various degrees of cybersecurity discussion forums and roundtables; manual orchestration is a good start, it says.

It highlights the Port of Los Angeles as a good example involving a port community cyber defence scheme. In 2014, it became the first port in the world to implement a state-ofthe-art Cyber Security Operations Center (CSOC) and the following year it was the first port in the world to attain the ISO 27001 cybersecurity certification. In 2019, the port completed its second-generation CSOC.

Task list to achieve cyber resilience The IAPH/World Bank report says digitalisation is not solely a technological issue, but also a human capital and institution issue. “The move toward digitalisation will also require improvements in human capital to commission, absorb, and implement the associated demands on stakeholders.”

In the same way, cybersecurity is incredibly people dependent. Ongoing investment in staff training across all forms of IT and support must keep pace with the fast-changing challenges of cybersecurity, it says. Another aspect of the ‘protect’ function is creating awareness. “When professionals discuss cyber resilience, they often refer to people as the weakest link. And indeed, this could be true in breaches that involve

phishing, social engineering or another form of human contact. However, when ‘working cyber secure’ becomes part of an organisation’s safety and security culture, people may in fact be your strongest link.

“When employees are taught to detect and report suspicious behaviour, emails and changes in IT, they become a robust line of defence. It is therefore vital to invest in ongoing efforts to raise cybersecurity awareness. Also, in the protect phase, risk control processes and measures should be implemented, and contingency planning to protect against a cyber event should ensure continuity of port operations, including awareness at board level.”

The report, which offers a proposed point-by-point task list for implementation of

For the latest news and analysis go to www.portstrategy.com/news101

cyber resilience, concludes that there are reasons for optimism. Some port communities have taken key first steps to drive cybersecurity capability development in their environments by engaging with investors and experts. Cybersecurity efforts are rapidly strengthening at key port trade hubs as a direct result of a new wave of investment accelerators, technical centres of excellence and academic programmes focused on innovative technologies, including start-ups in ports and maritime trade logistics.

In 2019 alone, venture capital firms invested US$7.86 billion in 646 cybersecurity start-ups, with some of the companies around the world leading the cybersecurity efforts including PortXL in Rotterdam, Dock Innovation Hub in Israel and Pier71 in Singapore.

JUNE 2021 | 39

COASTLINK WEBINAR REVIEW

BREXIT: SHORT-SEA SHUFFLE Felicity Landon identifies and analyses the premier changes and opportunities highlighted during the recent Coastlink webinar: ‘Short Sea Shipping – adapting the supply chain in a post-Brexit era’

The overall message from the recent Coastlink webinar was a simple one, namely; the shipping, ports and logistics industry will always find a way, whatever the challenges.

The broad-based belief was also expressed, loud and clear, that the future is bright for short-sea shipping with a renaissance underway in the post-Brexit era.

As moderator Nick Lambert, Director of NLA International, said: “This is a fabulously timed event. Shipping is very firmly in the news at the moment, often being beaten with a big stick over emissions and the aftermath of Brexit. We have seen interruptions to our logistics supply chain as a result of Brexit and other wider global factors.”

What more could you ask for than a very large container ship getting stuck in the Suez Canal, he suggested. “This brought to life the significance of our global supply chains and made the general public aware of how important our global logistics supply chains are, and how clever and professional the people are who operate them,” he said. “The UK and our coastal partners around northwest Europe are right in the front leading some of these activities, driving down emissions, bringing in better regulations, getting everyone to use short-sea shipping, finding better ways of routing stuff around the globe.”

ECONOMIC CONSEQUENCES The economic consequences of Brexit are still developing, said Alex Veitch, General Manager - Public Policy at Logistics UK. He said that apart from the pre-Christmas queues of trucks

40 | JUNE 2021

due to stockpiling and COVID-19 restrictions, HGVs have ‘by and large been flowing well’, although there were, of course, certain sectors such as seafood experiencing difficulties.

“But not queues. Why? Due to the monumental effort by our members, by all companies in the supply chain and by predominantly exporters into the EU and their partners to get ready for the rules by January 1, 2021. However, that does not tell the whole story of what has happened to trade, and how this will drive logistics.”

There is a big argument about how full the trucks are, he said. While the decline in exports in January was ‘historic, absolutely extraordinary’, UK Office for National Statistics (ONS) figures for February were more encouraging, suggesting a recovery of British exports to the EU. Another indicator, he said, is shipping – and when the Department for Transport releases its first-quarter data, “That will show a very detailed level, what type of shipping has been affected, what the flow through the ports has been during that quarter.”

Early evidence shows a doubling of volumes on direct roro sailings between Republic of Ireland ports and mainland Europe and a decline in landbridge movements through the UK, said Veitch.

It was too soon to say with clarity whether there was a sustained modal shift, he said: “But if the Ireland experience is anything to go by, there will be some long-lasting changes in the types of sailings, due to Brexit and the introduction of these controls on the border.”

8 Unaccompanied ro-ro volumes have risen by 20 per cent on the TilburyZeebrugge service

For the latest news and analysis go to www.portstrategy.com/news101

COASTLINK WEBINAR REVIEW

‘‘

We were bombarded with TV campaigns about being prepared – but what was missing was what we should be preparing for THINGS WILL GET STICKY AGAIN Notably, he warned that ‘things will get sticky again’ in January and March 2022, when the UK introduces the full set of import controls and admin’ requirements, including safety and security declarations and phytosanitary checks. “Without sufficient planning and advance notice, there will be a bumpy road.”

However, he did have some praise for a ‘fresh, invigorated [UK] Customs department’. “They have even discovered YouTube! They are working very hard to authorise companies to become trusted traders; there are a lot of ways to make it easier to move goods.

“The vision we want to see is where almost all the admin is done in the background – upstream compliance, sort it out in the background, so Customs/border matters are all about intelligence.”

Alan Platt, CEO of the John Good Group, described his ‘experiences at the coalface’, and the ‘rollercoaster ride in 2020 that culminated in Brexit’.

He said: “During 2020, there was a high level of unpreparedness. We were bombarded with TV campaigns about being prepared – but what was missing was what we should be preparing for. There was confusion and a lack of understanding around some of the more general requirements and processes.”

Towards the end of 2020 the mood was of ‘grave concern in many camps’ of getting it wrong, and the associated legal implications of mis-declaring of cargo, he said.

Brexit has created a huge administrative burden as paperwork is required at both ends, said Platt. “Around 150,000 UK exporters had ad never previously ventured outside the EU bloc, which highlighted the challenge. Brexit has done one nothing to help the labour market, either – we have seen many EU nationals return home, and that is emphasised even more when the pound und is weak.

“We already have a driver shortage. The situation has made businesses sinesses re-evaluate their supply chains. They recognise cognise the vulnerabilities and need to de-risk wherever erever possible.”

SHORT-SEA SHIPPING CAPITALISES All of this has played into the hands of short-sea shipping, he said, as companies have moved from just-in-time to just-incase models, with increased stock now being held in UK warehouses, and a demand for much more resilience in the supply chain.”

Among the striking developments, he listed a 20 per cent increase in unaccompanied ro-ro volumes on the TilburyZeebrugge service together with a general shift of crossChannel freight to unaccompanied, and an increase in European road freight costs leading to an uplift in short-sea container volumes.

Short-sea container shipping can drive reliability into the supply chain, he said, and among other potential opportunities he listed enhanced visibility through digitalisation, new routes, expansion of existing services and additional connections, new markets, less regulation and domestic trade.

What has been happening on the Irish Sea crossing has been a particular point of conversation in the Brexit debate, said Stephen Carr, Group Commercial Director at Peel Ports.

“What used to be quite balanced (Northern Ireland/ Republic) at roughly 50-50, is now 60-40 in favour of Northern Ireland,” he said. “Freight is like water – it will find the path of least resistance. The evidence is that traffic is shifting towards the Northern Ireland corridor.”

His analysis – taking account of pre-Christmas stockpiling, a shift of traffic to direct routes into the Republic, etc. suggested that the market sizes are very similar. “There is anecdotal evidence that trade has moved away from the traditional Channel and Tunnel routes, he said, pointing to new services such as Sheerness-Calais, ImminghamCuxhaven and Iberia-Liverpool. “All the unaccompanied routes have seen growth; there is some early evidence of a shift to unaccompanied (ro-ro) traffic and new short-sea lo-lo routes.”

He also highlighted what’s been happening in the deepsea container sector, with the marked differential in prices between deepsea containers landed in Europe and in the UK. “Since November, even to this week, there has been a differential of at le least US$1,000 for a 40-ft container. For the first time in more than a decade, this provides an impetus for sh short-sea to connect to the UK.” All region regional ports had seen a boost in volume over the past pas few months, driven by this differential, he said. “For “F the first time, feeder services can compete w with deepsea routes into the UK. The market oppo opportunities in the short-sea market have never been be as good as they are now.”

8 Moderator Nick Lambert stressed the recent Suez Canal blockage brought to life the significance of global supply chains

Net-zero will drive shipping diversification Justin Atkin, UK and Ireland representative for the Port of Antwerp, said that alongside the shortage of truck drivers, a longer-term wider challenge is going to be increased pressure on shippers to provide sustainable supply chains achieving reduced emissions.

Short-sea is not just about containers but also about coastal volumes and breakbulks, he added. “Short-sea,” he underlined, “has a very strong future.”

The current market situation is supporting and favouring regional ports and better use

of short-sea shipping, said Stephen Carr, Group Commercial Director, Peel Ports.

“It is not just about resilience, although that is the big driver – it can help with supply chain emissions as well,” he said. “We have long argued that the use of regional ports maximises the use of marine and minimises the use of road transport.”

He predicted: “Our drive towards Net Zero and a Net Zero economy will have a far bigger effect on the diversification of shipping routes than either Brexit or COVID-19.”

For the latest news and analysis go to www.portstrategy.com/news101

There was also positivity from Alan Platt, CEO of the John Good Group, who said: “We see very much that short-sea shipping, certainly over the next five years, has got a really bright future. We can see the resurgence, the uptick in short-sea, and I genuinely believe that will continue for the next few years.”

In the short-sea world, the future is bright, agreed Alex Veitch, General Manager - Public Policy, Logistics UK, who predicted growth and new routes. “If you are in the business of short-sea, you really can’t go far wrong.”

JUNE 2021 | 41

SIMULATORS

SIMULATOR SCOPE BUILDS The scope for the application of crane simulators is extending, including for remote operations, scenario building and across high and low throughput applications. John Bensalhia reports

8 RelyOn Nutec is experiencing growing demand for Simulators that cater for Remotely Operated Equipment operations

“As well as the military, ports are the primary buyers of GlobalSim simulators as they have a need for a premium level simulator,” says Brad Ball, VP of Sales and Marketing, GlobalSim, Inc. “We focus on higher-end systems that provide accuracy and realism. Although we do have smaller, desktop simulators, our “bread-and-butter” products are the larger simulators which include motion platforms and multiple displays and are configured to mimic a real crane cabin.”

The demand for crane simulators ties in with ports becoming immense logistical power houses, explains Tom Bremer, Managing Director, RelyOn Nutec Simulation. “In order to handle the huge numbers of containers and throughput, ports have to go ‘digital’, where crane simulationbased training is a key part of their logistics success. For these ports, implementing a Learning and Skills Management Strategy utilising crane simulation is key to increasing productivity.”

Bremer adds that the increased use of RelyOn Nutec crane simulators is a beneficial tool in helping ports to screen and assess large numbers of potential crane operators before hiring. Further, regular training and competence programmes, using simulators, ensures continued logistical efficiency and personnel safety.

David Clark, Senior Product Marketing Manager, CM Labs Simulations, reinforces the scope that exists for simulator use: “The main market requirement for crane simulator products revolves around a need for continuous training, whether for novice operators or for experienced operators who may be looking to cross-train on other equipment,” he says.

EXPERIENCE BRINGS ADVANTAGES Clark explains that the advantage of using a simulator is that it is always available for training (unlike, for example, a shipto-shore crane which is likely to be loading/unloading vessels or undergoing maintenance/repairs).

42 | JUNE 2021

Equally important, simulators are available 24 hours a day, whatever the weather. “This helps prepare new operators for night-time or inclement conditions,” says Clark. “Conditions which can be hazardous for new operators to experience at the training stage.”

New crane operators benefit considerably from the versatility of simulators. Training in a simulator environment can prepare them for harsh weather conditions as well as potentially difficult situations (for example, heavy or awkward loads). Clark underlines that training in a simulation environment makes a big difference. “It is far less stressful, so the trainee operator acquires skills faster. It also allows them to experiment in ways they would not be able to experiment with real equipment, so they really get to understand the limits of what is being operated and gain the proper respect for the equipment.”

The role of simulators also extends to when terminals are looking to prepare operators for new equipment, prior to commissioning. “As an example, this is how the Port of Corpus Christi Authority trained its entire complement of operators to proficiency on a new Liebherr LPS 550 crane, several months before the port took delivery of it,” says Clark.

RelyOn Nutec Simulation’s major port operator and terminal management clients cite two main reasons for purchasing its port crane simulators, as Bremer records.

“Either the port has high cargo/container volumes that require a large number of skilled personnel to operate the cranes or their port crane operations involve a large number of complex lifts. Complex lifts can be linked to speciality, difficult to lift cargo, such as un-balanced sections of offshore windmills, or difficult to stack cargo.”

All of RelyOn Nutec’s port clients use its simulators for the assessment and training of new crane operators, to ensure their competence prior to deploying them quayside, or for continued training and competence assurance throughout their careers. “We have port operating clients in the USA,

For the latest news and analysis go to www.portstrategy.com/news101

SIMULATORS Europe, Mid-East, Africa and Asia, and they all see the value of investing in advanced simulation technology to improve and maintain their personnel skills and capabilities,” says Bremer. “All of our clients quickly achieve a Return of Investment (ROI) through higher operating efficiency, higher service levels and faster turn-around, as well as ensuring safer operations with less downtime and damage to people, facilitates, cargo or the environment.”

REMOTE ROLE The move to remotely operated equipment and vehicles in terminals further builds the case for simulators. Clark suggests it makes even more sense to use simulators in such situations as most operators have zero experience with the slightly unsettling process of operating a crane with no tactile feedback. “No motion in the seat, no sounds, and only a camera eye’s view of the visual environment,” he confirms.

“In this scenario,” Clark elaborates, “Remote Operating Station (ROS) simulators, integrated with original equipment manufacturer (OEM) controls, are a relatively new innovation that prepare operators for the transition. They incorporate scoring and reporting features that help terminals understand which operators are finding it more difficult than others to make the transition and who will benefit from extra training as a result.”

‘‘

Digital-handshakes between a client’s TOS system and a crane simulator is fast becoming the norm RelyOn Nutec is experiencing increased requests for Remote Operated Systems applications. “This simplifies operations and makes them far more flexible and efficient,” says Tom Bremer. “However, it is a very different way to operate your crane, so training and practising on a crane simulator mimicking these operations becomes even more critical.”

Also included in the RelyOn Nutec simulators are an integrated Automated Student Evaluation (Eva) solution, which can be delivered with the company’s Learning Management Solution (LMS). “This enables our port clients to methodically build each employee’s career path, as well as suggesting where to invest their training budgets to improve their competence,” says Bremer. “This can be further integrated with our competence management system and e-learning solutions based on client’s operational procedures and Key Performance Indicators (KPIs), allowing us to offer a fully turn-key digital competency solution where we quickly identify and fill competency gaps.”

SCENARIO BUILDING Two notable trends have been observed by GlobalSim. The first of these is in conjunction with Sandbox Scenario Editor.

Ball explains that when a training administrator needs a specific lesson or scenario, he/she can easily create a new one in “sandbox” mode that gives them control over a variety of factors.

“They can build a scenario with certain objectives and create the environmental conditionals at their discretion. An example of an advanced scenario for a ship-to-shore crane might be: load a vessel with 20 containers onto a Panamax vessel during a rainstorm with a 15-knot wind with a seastate of three. The administrators can then monitor and grade each student and review a recording of their session in an ‘After Action Review’ module which shows a timeline of

8 GlobalSim’ simulators include motion platforms, multiple displays and are finely configured to mimic a real crane cabin

their training session, including any errors they made (time stamped). The administrator has a lot of flexibility and control over the training environment.”

Recently, RelyOn Nutec has been energetically working on linking specific Terminal Operating Systems (TOS) with its simulators, allowing port/terminal operating companies to simulate a more realistic working environment for the crane operators while they are training. “These digital-handshakes between a client’s TOS system and our crane simulators is fast becoming the norm,” notes Bremer.

LARGE AND SMALL Recent experience confirms demand for simulators from a wide range of terminals. Clark says that CM Labs’ best-selling products vary according to market segment. Larger clients gravitate to CM’s custom simulators, which replicate the experience of their operating environment.

“Smaller port terminals,” he elaborates, “are more interested in some of our “all-in-one” simulator solutions, such as the desktop Vortex Trainer, which can run our full catalogue of port equipment training packs. In conjunction with a feature we call the Exercise Builder, this essentially gives port terminals access to unlimited exercises for a wide variety of equipment, so of course this is a very budgetfriendly proposition.”

GlobalSim’s Full Mission system is the company’s most popular and known system, engineered from the ground-up to better simulate a container crane.

“Real-life crane operators have provided ample amount of testing and feedback on our Full Mission system and it’s an ideal match for any port crane training centres that require a full-cabin simulator where the motion base is under the entire cabin (not just under the operator chair),” says Ball.

“Crane operators constantly tell us it ‘feels just like the real crane cabin.’” GlobalSim’s Full Mission Systems is installed in locations throughout the world, including training centres in Antwerp, New York, Duisport and Felixstowe.

Going forward, Bremer expects demand to increase: “We expect crane simulation to be more widely adopted by smaller seaports and inland terminals, to help them run safer and more efficient lifting and logistical operations. The cost of just one accident along with downtime is far higher than the costs of implementing a site-specific digital training and competence solution based on advanced dynamic simulation.”

For the latest news and analysis go to www.portstrategy.com/news101

JUNE 2021 | 43

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23/04/2021 10:49

CRANE CAB ERGONOMICS

CABS: ON A JOURNEY Achieving efficient crane cab design to match today’s pressurised work environment is a big challenge. John Bensalhia examines how key suppliers are responding

8 A Brieda DYCS cabin can be installed or retrofitted to offer a reduction in biomechanical stress to improve the driver’s cognitive function

Crane cab design is advancing as the pressure is ramped up for increased efficiency in the cargo handling process.

Making the work process straightforward, comfortable and safe for the crane operator represents a highway to boosting efficiency levels: facilitating good visibility, posture, ease of access, communication procedures, climate and other key design elements, all come into the mix to achieve a state-of-the-art operating environment.

A PEMA Information Paper (www.pema.org) authored by Siro Brieda, Owner, Brieda Cabins and Daan Potters, BTG Special Products BV, highlights the main concerns in terms of health: awkward posture; inadequate heating; risks of insufficient ventilation, excessive noise, and vibration.

“Beyond its personal cost, poor employee health also has detrimental effects on operational safety and productivity,” underlines Brieda. “An increased focus on safety will reduce staff injuries and equipment damage costs,” he additionally points out.

DESIGN CATALYSTS Crane manufacturers are ensuring that cabins are more userfriendly than ever before, providing a safe, clear and comfortable experience for operators. As an example of a modern product in January 2021, DP World’s Mannheim trimodal container terminal saw the delivery and installation of a new crane cabin from Teichmann Cranes. The unit requested is reportedly larger and more advanced in design, providing higher levels of comfort and ease of use for the operator – key requirements nowadays.

“Trends include new technologies to improve the operational safety, visibility and ergonomics and driver environment, as well as the ability to customise the cab for local requirements,” says Kalmar.

Digitalisation, hardly surprisingly, is an important part of the new technology resource. This includes open interfaces and the ability to allow for new technologies, as well as introducing new driver assistance functions for semi-automation.

Not all attention, however, is focused on newbuild cranes and their respective cabs – cab upgrades are also receiving attention.

Konecranes notes that utilising the latest technology, cab upgrades can play an important part in achieving an improved performance. Typically, this would be done as part of a broad-based crane upgrade but can also be done in an individual context.

CLEAR VISION One of the key issues raised in the PEMA paper with respect to driver safety is vision. Drivers in ship-to-shore (STS) cranes are required to look downwards during operation, but the driver’s angle of vision is relatively limited because of the height of the crane.

Vision inside the cab is equally as important as the external view. The paper particularly recommends that monitors should be within 45 to 50 degrees from the driver’s eye level in order to avoid strain. Also, important system indicators should be positioned in the driver’s immediate forward and downward line of vision, not to the side of the cab. This is more efficient with regard to alerting the operator regarding any crucial system information that may require action.

Konecranes’ OPTIMA cab design is configured with clear vision in mind. The OPTIMA cabin includes large, lowered, corner post-free windows. It also provides the driver access to sightline vision for major working areas outside, with views of the outside environment located at the front, sides and rear of the cabin.

For the latest news and analysis go to www.portstrategy.com/news101

JUNE 2021 | 45

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CRANE CAB ERGONOMICS

8 Kalmar has placed strong emphasis on minimising blind spots

Kalmar’s safety features to ensure safe load handling via good vision include camera functions around the crane, with overall cab design focusing on minimising operator blind spots. Where blind spots exist (e.g. with obstruction by masts), the position is minimised by using mirrors or cameras.

“Cab design is focused to widen the visibility for the driver in the operative zone of loading/unloading containers, installing a fixed floor glass, certified, laminated 40mm thick and with internal sliding grids,” says Brieda. “In this way there is no need to have internal and external safety bars that reduce the visibility. The new solution also improves the general safety in the terminal, because the driver does not have any structural obstruction in his vision field during the manoeuvres.”

FINE TUNING While speed is good news for increased productivity, a faster moving item of equipment can mean higher levels of vibration inside the cabin. “ISO 2631-1 Mechanical Vibration and Shock,” which provides guidance on human exposure to whole body vibration, should be considered a benchmark in this area when drawing up specifications for crane cabs, suggest Brieda and Potters. They additionally highlight the merit of incorporation of shock or vibration absorbers in crane cab design.

“Working on a crane with reduced biomechanical stress improves the driver’s cognitive function, increasing the safety level inside the terminal,” they state.

Brieda’s Dynamic Control Station (DYCS) is designed to alleviate these problems and is fully usable for various types of cranes including ship-to-shore container, mobile harbour and overhead units. In accordance with the European Standard EN 1 1005-3/4/5 and ISO 11226, the DYCS’s structure features a shock-absorbing system that has been tested under tough stress conditions. It also includes support for the driver’s forearm due to the innovative function of the joystick.

A Brieda DYCS cabin can be installed or retrofitted to an existing cab thanks to its universal floor attachment point. In addition, adjustment of the control boxes can be performed by an electric device for all required directions.

Safety and comfort extends to a clean, pollution-free working environment.

Brieda expresses the importance of cabins featuring

adequate air conditioning and heating, with sufficient warmth across the glass floor to prevent the risk of moisture.

Furthermore, crane cabins must be positively pressurised with clean air to keep out pollutants.

Ease of operation is an important factor for Kalmar.

“Automatic gantry steering solutions enabling the crane to follow virtual rails are a common option these days, making the operator’s work less demanding. Truck positioning and lift prevention systems are also popular choices to increase efficiency and safety at work,” says Kalmar.

‘‘

Working on a crane with reduced biomechanical stress improves the driver’s cognitive function, increasing the safety level Driver posture is another important factor. A good cabin seat ensures that the operator does not suffer from discomfort or unnecessary strain on the back or the neck.

Metagro’s Ergoseat NG-H is an example of a chair that aims to offer the crane operator a healthy working posture. It is designed to be suitable for all kinds of body build and offers extra visibility in its ceiling suspension design plus a 10-degree downward tilt for an unobstructed view. Another facility of the Ergoseat is a 10-inch colour touchscreen that allows the operator full control and faster remote support, resulting in reduced cabin downtime.

The Ergoseat is part of a cabin package provided by Metagro for the ongoing, large-scale, expansion at Abu Dhabi Ports’ Khalifa Port.

The strength of the support for instrumentaion and other systems in the cab is another example of the fine detail of contemporary design. Brieda points out, for example, that it offers strong adjustable supports for CCTV monitors, HMI systems touch screens, communication systems, etc. This is one measure designed to faciliate the optimum arrangement of cabin configurartion and provide for the installation of new technical solutions, which are cognitively efficient and able to operate with total control and safety.

For the latest news and analysis go to www.portstrategy.com/news101

JUNE 2021 | 47

BREXIT: VIEW FROM CONTINENTAL EUROPE

BREXIT CHALLENGES CONTINUE The view from Continental Europe of Brexit is of a complicated trading picture with plenty of challenges remaining. Janny Kok reports David Cornwell, alias the well-known author John le Carré, changed citizenship from British to Irish due to deep discontent with Brexit. The European maritime industry, based on the European mainland, to a large extent shares his dis-satisfaction.

The European maritime sector has been forced to comply with new rules and regulations since the UK left Europe.

Deltalinqs, the Rotterdam organisation of port and industry and the European Sea Ports Organisation (ESPO) voice the opinion of the majority when stating that being well prepared for Brexit offers no guarantee of achieving smooth trade between the EU and the UK. The day-to-day reality is that uncertainty about the impact of Brexit and the related rules and legislation still hamper smooth operations.

Isabelle Ryckbost, Secretary-General, ESPO, hesitantly answers the question of whether British seaports and trade and industry were well prepared for Brexit. The key change is in adjusted documentation for the UK, typical of that between an EU member state and a so-called Third Country.

“As yet, not everything is clear and we do not know exactly how some parts of the agreement will be implemented.

Recently we had a meeting with the European Commission about the subject. However, Brexit remains Brexit”, she says, adding that this does not change the business relations between ESPO and British seaports. “The British ports are observer members with us. They remain our business friends.”

‘‘

We regret to say that British trade and industry and public services have made many errors Clearly, a lot remains to be done. Since the beginning of May the UK has implemented interim measures to keep trade moving between Britain and the Continent. Effectively, this is an acknowledgement that everything is not yet in place to achieve efficient post-Brexit operations.

Secretary-General Ryckbost underlines the fact that flows of goods presently move fairly easy between the EU and the UK. It appears that shippers have anticipated the Brexit impact on altered Customs documentation and other areas of impact as a result of changes in rules and regulations. “At the end of 2020, warehouses were fully stocked to avoid all that. As a result, we saw a sharp decline in traffic via the ports of Zeebrugge and Dublin in January 2021. The question is, does the decline continue? As concerns UK-Ireland traffic, we see a partial shift of the volume from Dublin into the port to Belfast.”

It is not all doom and gloom in North European ports due to Brexit, however. Europe’s leading port of Rotterdam registered an unexpected rise of 1.8% in ro-ro traffic to Great Britain in the first quarter of 2021. Nevertheless, significant challenges remain.

NOT SMOOTH SAILING Edwin Kotylak, Manager Infrastructure, Accessibility and Border Control, Deltalinqs, underlines that doing business has not been smooth sailing. “Although we have collaborated

48 | JUNE 2021

and trained with counterparts in the UK in the past few years to be ready for Brexit, it is a disappointment to observe that many delays since January could not be avoided. We regret to say that British trade and industry and public services have made many errors related to statutory import documentation.

This has resulted in delays. It must also be said that Brexit documentation still requires a complex process run and as such a matter of continuous learning and training.”

There is another worrying side effect; namely, maintaining a level playing field between the EU member states and Great Britain. Secretary-General Ryckbost draws attention to this when talking to Port Strategy: “The level playing field is a major aspect to keep an eye on. The question is if the differences between the EU and UK trading will be large or not, and whether they will have an impact on trade flows.”

Secretary-General Ryckbost also highlights as another area of challenge the Trans-European Network (TEN-T) and associated policies relating to the implementation of a Europe-wide network of railway lines, roads, inland waterways, maritime shipping routes, ports, airports and railroad terminals. Brexit, she suggests, will have more impact on the EU policy on Core Network Corridors than foreseen. This policy is aimed to close multimodal gaps in designated Corridors, remove bottlenecks and technical barriers, as well as to strengthen social, economic and territorial cohesion in the EU. One of the nine Core Network Corridors is in Northwest Europe. The basic question is will the European Commission and UK look into the Corridor part connecting the EU with the UK again? Achieving efficient maritime connections after the formal disconnect process, seems hard to achieve. Who would have thought it?

8 Brexit: key pieces of the trading puzzle are still missing

For the latest news and analysis go to www.portstrategy.com/news101

PRODUCTS & SERVICES DIRECTORY

Gemini House Cambridgeshire Business Park, 1 Bartholomew’s Walk, Ely Cambridgeshire CB7 4EA England, United Kingdom (UK) Tel: +44 1353 665001 Fax: +44 1353 666734 sales@samson-mh.com www.samson-mh.com

Overland Conveyor Pipe Conveyor Stacker & Reclaimer Shiploader

A/S Cimbria Cimbria is a global leader in the conveying, drying, processing, sorting and storage of grains, seeds, food and bulk products. Cimbria designs, manufactures and services customized high-tech solutions, from stand-alone machines to large turnkey plants. Our broad experience ensures our clients the targeted advice and range of solutions they need to grow their business.

PACECO® CORP. World Headquarters 25503 Whitesell Street Hayward, CA 94545 Tel (510) 264-9288 email@pacecocorp.com www.pacecocorp.com

Email: neuero@neuero.de Tel: +49 5422 9 50 30 neuero.de/en/

Staubli_Directory Mar 2021.indd 1

Taylor Machine Works, Inc. Taylor Machine Works designs, engineers, and manufactures more than 100 models of industrial lift equipment with lift capacities from ,000-lbs. to 125,000-lbs.

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E LECTRIFICATION SOLUTIONS

Specialist for pneumatic ship unloaders and mechanical ship loader. NEUERO follows the MADE IN GERMANY quality tradition.

Now with more than100 years of tradition in the manufacture of reliable and high-quality conveyor systems worldwide.

As one of the leading manufacturers of quick connector systems,Stäubli covers connection needs for all types of fluids, gases and electrical power.

Tel: +33 4 50 65 61 97 connectors.sales@staubli.com www.staubli.com/en-de/ connectors/

C ONSULTING ENGINEERS

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Over 60 years supporting Container Terminals in port operations: we create strategic ǁëŒƪėɆëŝĐɆļŝĉƎėëƖėɆƋƎŨǘƢëĈļŒļƢLjɆ ƢķƎŨƪİķɆƖŨŒļĐɆëŝĐɆƎėŒļëĈŒėɆ STS Portainer® and RTG Transtainer® cranes, services & Advanced Port Technologies.

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Cimbria Directory.indd 1

C ONNECTION SOLUTIONS

27/01/2021 11:29 Telestack Directory June 2021.indd 1

Rohde Nielsen A/S Specialising in capital and maintenance dredging, land reclamation, coast protection, Port Development, Filling of Caissons, Sand and Gravel, Offshore trenching and backfilling Nyhavn 20 Copenhagen K. DK-1051 Denmark +45 33 91 25 07 mail@rohde-nielsen.dk www.rohde-nielsen.dk

igus® GmbH Spicher Str. 1a D-51147 Köln, Germany Tel. +49-2203-9649-0 info@igus.eu igus.eu/P4.1

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C ARGO HANDLING EQUIPMENT

Beumer Directory Jan 2021.indd 1

7EB DELLNERDAMPERS SE

P4.1 e-chain® Energy chain with optional intelligent wear monitoring for double the service life, travels of up to 1.000 m, speeds of up to 10 m/s and fill weights of up to 50 kg/m.

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Tel.: +49 2521 240 E-mail: info@beumer.com Web: www.beumer.com

G-SERIES

Dellner Dampers is an innovative Swedish company that supplies solutions to mitigate vibrations and absorb kinetic energy. Standard and customised buffers and dampers for port side applications such as cranes, spreaders and more. All designed and produced in Sweden.

Tel: +46-(0)157-45 43 40 Email: info@dellnerdampers.se

D REDGING

Telestack are a leading global manufacturer of equipment for the bulk material handling industry including Ship Loaders/Unloaders, Hopper Feeders, Truck Unloaders, Bulk Reception Feeders, Stockpiling Conveyors, Link Conveyors and Telescopic Stackers.

LASE offers innovative and productive solutions for ports by combining state-of-the-art laser scanner devices and sophisticated software applications. We are specialised in the fully automated handling of containers, cranes or trucks.

Rudolf-Diesel-Str 111 D-46485 Wesel, Germany Tel: +49 (0) 281 - 9 59 90 - 0 info@lase.de www.lase.de

C OMPONENTS

The BEUMER Group is an international leader in the manufacture of bulk material handling systems:

LASE Industrielle Lasertechnik GmbH

C RANE COMPONENTS

SAMSON Materials Handling Ltd specialises in the design and manufacture of mobile bulk materials handling equipment for surface installation across multiple industrial segments. Designed for rapid onsite set-up and continuous high performance SAMSON equipment provides an excellent return on investment.

C ARGO HANDLING SYSTEMS

For more than a century, Bedeschi is providing effective and reliable solutions in a wide variety of industries (bulk handling, marine logistics and mining), capitalizing on synergies and cross competences.

Via Praimbole 38, 35010 Limena (PD) – Italy Tel: : +39 049 7663100 Fax: +39 049 8848006 Email: sales@bedeschi.com Web: www.bedeschi.com

B ULK HANDLING

B ULK HANDLING

Bedeschi S.p.A

25/02/2021 15:49

When experience really does matter!

Over a century of port industry experience. A strategic group of ‘best in breed’ people, partners and solutions, capable of delivering holistic, turn-key, advanced port-centric solutions for any brown and greenfield terminal around the world.

Tel: +65 9186 6846 jon.arnup@trent-global.com www.trent-global.com/

Trent Directory Amended June 2021.indd For the latest news and analysis go to www.portstrategy.com/news101

124/05/2021 12:04

VAHLE PORT TECHNOLOGY VAHLE is the leading specialist for mobile power and data transmission VAHLE provides the solutions to reduce the carbon footprint while increasing the productivity.

RTGC electrification including positioning and data transmission making RTGC ready for Automation.

Westicker Str. 52, 59174 Kamen, Germany

Email: port-technology@vahle.de Web: www.vahle.com

JUNE 2021 | 49

PRODUCTS & SERVICES DIRECTORY

Contact Tim Hills or Hannah Bolland

Tel: +46 470 77 22 00 info@fogmaker.com www.fogmaker.com

+44 1329 825335 www.portstrategy.com

Port Strategy Directory

H ANDLING EQUIPMENT

G RABS

Fogmaker Directory.indd 1

To advertise in the

MRS Greifer GmbH

Sany Europe GmbH SANY offers reliable quality container handling trucks.

Benefit from the experience of over 4,000 reach stackers build over the last 12 years, with up to five year full machine warranty.

Sany Allee1 D-50181 Bedburg Tel: +49 2272 90531 100 Email: info@sanyeurope.com www.sanyeurope.com

RuggON is here to offer high quality and future-proof one-stop rugged computing solutions, ranging from rugged vehicle-mount computers, mobile tablets and data terminals, to similarly durable data-capture accessories, for a safer and more efficient automated port and terminal operations from quay, yard, gate, and all the way to warehouses.

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Piraeus2021

GREENPORT Cruise Congress

01/02/2021 13:12

Grabs of MRS Greifer are in use all over the world. They are working reliably and extremely solid. All our grabs will be made customized.

Besides the production of rope operated mechanical grabs, motor grabs and hydraulic grabs we supply an excellent after sales service.

Talweg 15-17, Helmstadt-Bargen 74921, Germany Tel: +49 (0)7263 - 91 29 0 Fax: +49 (0)7263 - 91 29 12 info@mrs-greifer.de www.mrs-greifer.de

I T PORT AUTOMATION

H ANDLING EQUIPMENT

F IRE SUPPRESSION SYSTEMS

Fogmaker develops, manufactures, and markets fire suppression systems for engine compartments with high pressure water mist. Fogmaker is a market leader for automated fire suppression systems with 200,000 installations in more than 50 countries since 1995.

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Visy systems reduce VISY Oy expenses, optimize safety & security, and VISY takes pride incapacity solving via increase throughput operational problems,Our specialising process automation. singlein gate automation and system access platform gate operating control solutions in ports and and OCR solutions manage all terminals.

Their solutions cargo, assets & personnel streamline processes resulting movements via quay, rail or road in saving money and to keep operations moving. increasing productivity.

For more information visit: greenport.com/greenport Tel: +44 1329 825335 email: congress@greenport.com

Tel: 00441926611700 enquiries@blokcontainersystems.com www.blokcontainersystems.com

Tel: +358 3 211 0403 Email: sales@visy.fi Web: www.visy.fi/

P OWER TRANSMISSION

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Greenport Congress Directory Filler.indd 1 01/03/2021 09:15

Orts GMBH Maschinenfabrik Over 40 years experience constructing and manufacturing a wide range of grabs, including electro-hydraulic grabs (with the necessary crane equipment) radio controlled diesel hydraulic grabs, 4, 2 and single rope grabs all suitable for bulk cargo.

Schwartauer Str. 99 D-23611 Sereetz • Germany Tel:+49 451 398 850 Fax: +49 451 392 374 soj@orts-gmbh.de www.orts-grabs.de

Künz GmbH Founded in 1932, Künz is now the market leader in intermodal rail-mounted gantry cranes in Europe and North America, offering innovative and efficient solutions for container handling in intermodal operation and automated stacking cranes for port and railyard operations.

Gerbestr. 15, 6971 Hard, Austria T: +43 5574 6883 0 sales@kuenz.com www.kuenz.com

To advertise in the

Southampton United Kingdom

Port Strategy Directory Contact Tim Hills or Hannah Bolland

For more information visit: seawork.com contact: +44 1329 825 335 or email: info@seawork.com

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S HIP UPLOADERS

I T PORT AUTOMATION

TT Club Directory March 2021.indd 1

Conductix-Wampfler The world specialist in Power and Data Transfer Systems, Mobile Electrification, and Crane Electrification Solutions.

We Keep Your Vital Business Moving!

Rheinstrasse 27 + 33 Weil am Rhein 79576 Germany Tel: +49 (0) 7621 662 0 Fax: +49 (0) 7621 662 144 info.de@conductix.com www.conductix.com

01/03/2021 14:40

CAMCO Technologies NV Visual- and Micro Location- assisted process automation solutions for container, ro-ro and rail terminals worldwide. Accurate crane, gate & rail OCR systems and Gate Operating System software helping terminals accelerate terminal and gate activity.

Technologielaan 13 Leuven, Belgium +32-16-38-9272 +32-16-38 9274 info@camco.be www.camco.be

Bruks Siwertell is a market-leading supplier of dry bulk handling and wood processing systems.

With thousands of installations worldwide, our machines handle your raw materials from forests, fields, quarries and mines, maintaining critical supply lines for manufacturers, mills, power plants and ports. www.bruks-siwertell.com sales@siwertell.com service@siwertell.com

Siwertell Directory - Ship Unloaders Category.indd 12/05/2020 14:12 1 Seawork 50Directory | JUNEFiller.indd 2021 1

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Camco Junelatest 2021.indd 1 ForIDthe news

19/05/2021 14:16 and analysis go to www.portstrategy.com/news101

PRODUCTS & SERVICES DIRECTORY

Solvo’s software solutions such as TOS or WMS help container and general cargo terminals take full care of their cargo handling processes and make sure the clients expectations are exceeded.

Prinses Margrietplantsoen 33, 2595AM, The Hague, The Netherlands Tel: +31 (0) 702-051-709 Email: sales@solvosys.com www.sovosys.com

TGI Maritime Software is a Terminal Operating System editor and integrator specialized in the support of Small to Medium Terminals. Its expertise is built on 34 years of experience within the maritime sector. TGI provides comprehensive services to its customers all along their projects. OSCAR TOS and CARROL TOS have already been successfully handled by 40 container and RoRo terminals worldwide.

Tel : +33 (0)3 28 65 81 91 contact@tgims.com www.tgims.com

T RACTORS

Navis understands that as ships get larger and operational processes become more complex - efficiency, collaboration and productivity are essential. As a trusted technology partner, Navis offers the tools and personnel necessary to meet the requirements of a new, and ever-evolving, global supply chain.

World Headquarters 55 Harrison Street Suite 600 Oakland CA 94607 United States Tel: +1 510 267 5000 Fax:+1 510 267 5100 Web: www.navis.com

Solvo Europe B.V.

T ERMINAL OPERATIONS SYSTEMS

S PREADERS

ELME Spreader AB ELME Spreader, world’s leading independent spreader manufacturer supports companies worldwide with container handling solutions that makes work easier and more profitable. Over 21,000 spreaders have been attached to lift trucks, reach stackers, straddle carriers and cranes.

Stalgatan 6 , PO Box 174 SE 343 22, Almhult, Sweden Tel: +46 47655800 Fax: +46 476 55899 sales@elme.com www.elme.com

The Brain of Logistics With more than 30 years experience in IT Solutions and Business Operation Consultancy DSP offers a large portfolio of professional services and products to support terminal operations processes and system.

DSP Data and System Planning SA Via Cantonale 38 6928 Manno, Switzerland Tel: +41 91 230 27 20 Fax: +41 91 230 27 31 info@dspservices.ch www.dspservices.ch

T ERMINAL OPERATIONS SYSTEMS

Hammar Maskin AB is developing, manufacturing and marketing Sideloaders, also known as Sidelifters, Swinglifters or Self loading trailers, under the brand name HAMMAR™.

Buagärde 36, Olsfors 517 95 Sweden Tel: +46-33 29 00 00 Fax: +46-33 29 00 01 info@hammar.eu www.hammar.eu

T ERMINAL OPERATIONS SYSTEMS

S IDELIFTER/SIDELOADER

Hammar Maskin AB

MAFI Transport-Systeme GmbH Specialised in the development and production of heavy-duty equipment for transporting containers, semi-trailers, cargo/roll trailers and special container chassis in ports and industry.

Tideworks Technology provides comprehensive terminal operating system solutions for marine and intermodal terminal operations worldwide. Tideworks works at every step of terminal operations to maximize productivity and customer service. info@tideworks.com +1 206 382 4470 www.tideworks.com

Hochhäuser Str 18 97941 Tauberbischofsheim, Germany Tel: +49 9341 8990 sales@mafi.de www.mafi.de

.R TVMRX WMRGI 5SVX XVEXIK] QEKE^MRI TVSZMHIW OI] MRWMKLXW MRXS XLI MWWYIW ERH HIZIPSTQIRXW EǺIGXMRK XLI TSVX STIVEXMSRW and port maintenance industries.

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POSTSCRIPT VALENCIA: BALANCE SECURED

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New container terminal development in Valencia appears to have struck the right balance in a challenging environmental situation.

New container terminal development in an area near to a metropolitan environment has to strike the right balance between enabling the new facility to effectively fulfil its business function, operating in an environmentally-friendly and sustainable way, and making a positive economic impact.

Even with this sort of balance achieved there will be doubting voices and push-back especially with large developments like the one proposed under the North Expansion of the Port of Valencia, the centrepiece of which is a major new high-capacity terminal for Terminal Investments Limited (TIL), the terminal operating arm of liner operator Mediterranean Shipping Company (MSC).

Following comprehensive reviews and studies undertaken by a range of parties including the EU, Puertos del Estado, Spanish government agencies and the Institute of Transport and Territory (ITRAT)/ Polytechnic University of Valencia (UPV), the Port Authority of Valencia (PAV) has released highlights of the various findings which it believes confirm that the project strikes the best development balance available with a project of this scale.

Throughout the planning of the project concerted efforts have been made to minimise the impact on the surrounding metropolitan area, an aspect of port planning which generally is higher up the agenda nowadays. In this regard, the study undertaken by ITRAT under the direction of UPV particularly records that the construction of a new northern access to the port will: 5 Generate savings in vehicle operating costs as a result of the diversion of traffic of up to €53.3 million per year and of €18.8 million a year due to decongestion.

5 Reduce polluting emissions by 40,195 tons of CO2.

ITRAT further notes that: very important improvements in transport costs and benefits for environmental sustainability will result from the construction or improvement of new works and services, both in the road, rail and logistics fields, that accompany the start-up of the new container terminal of the North Extension.” It is further notable that TIL within its terminal development plan has made a commitment to develop a six track, purpose designed, intermodal rail terminal. This will possess a rated capacity of 305,000TEU/yr.

A BENCHMARK IN SUSTAINABILITY The container terminal project overall has been tagged as a ‘benchmark in sustainability” by the Port Authority of Valencia which goes so far as to describe it as, “the most environmentally advanced in the world.”

Key features of the terminal design include: 5 Electrical power supplied to ships while in port 5 Electricity to power ship-to-shore cranes and yard machinery

52 | JUNE 2021

8 Located close to metropolitan areas, the Port of Valencia has worked hard to secure the best development balance in seeking to implement a new container terminal development in its north port extension

5 100 per cent of the electricity to come from renewable sources 5 Automation in the cargo handling process Full environmental approvals are in place for the project which will be implemented over the short-term. These were in fact tested recently by a private citizen lodging an objection to the project with the EU. The European Parliament’s Committee on Petitions responded by noting: “the Commission has not been able to identify any indication of possible infringement of EU environmental legislation” and that “the Commission considers that the relevant review procedures provided for by the Spanish legal system under the EIA Directive and/or Directive 2003/4/EC are the most effective mechanism to seek redress and satisfactorily deal with any possible cases of misapplication of EU law.”

Puertos del Estado and Spain’s Ministry for Ecological Transition have also affirmed their respective beliefs that the project is fully compliant with both national and EU law. Specifically, Puertos del Estado has confirmed that an existing Environmental Impact Statement (EIS) for the site is applicable and that there is no need for a new EIS. MAJOR BENEFITS The ITRAT study is very clear in terms of detailing the projected benefits of the new container terminal. As reported by PAV, with the new terminal in operation, “the economic impact of the Port of Valencia will represent in terms of added value 2.27 per cent of the whole of the Comunitat, with more than 44,000 qualified and quality jobs, whose average salary will be around €32,000 per year.”

Generally, it is never easy to strike the right development balance in conjunction with large scale infrastructure works and especially such works that take place in close proximity to an existing metropolitan area. In the case of the north port extension and as part of this the development of the new TIL terminal, PAV does appear, however, to have secured a workable balance with due regard to all the parties involved, direct and indirect.

For the latest news and analysis go to www.portstrategy.com/news101

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CONTAINER TERMINALS: Paths to Profitability

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