Peter Richards Gulftainer Company Limited Keeps On Breaking Records

OPERATOR’S EFFICIENT SERVICE DRIVES CONTINUED GROWTH.

Gulftainer Company Limited (GTL), the largest privately owned ports operator in the world, based in Sharjah, have announced that throughput at their Sharjah terminals – Khorfakkan Container Terminal (KCT) and Sharjah Container Terminal (SCT) – has increased by over 23% from January 2012 to July 2012 compared with the corresponding period last year and are estimated to exceed 3.5 million TEUS in 2012.

This remarkable performance, forecast to continue throughout the rest of the year, means that Gulftainer will continue to break its own records despite the global economy going through yet another difficult year. The accomplishment, according to published industry figures, means that Gulftainer’s Middle East ports have been the fastest growing ports in the region over the last 4 years. While many regional players posted results of below 10%, Gulftainer has continued to show double-digit growth.

Gulftainer Group Managing Director, Peter Richards, commented, “Gulftainer continues to work closely with our customers in order to continue this good work. We are absolutely delighted to have achieved such successful results for the year to date. The volume increases in KCT and SCT are an obvious reflection of the trust that customers place in us.”

“These records set by Gulftainer demonstrate the increased volume of trade in the area and we remain very optimistic about prospects for the whole region in the coming years. As we continue through 2012, with the help and support of the Sharjah Ports Authority, we can look forward to a prosperous year ahead as we improve our facilities and increase equipment levels to deliver consistent operational performance to all our stakeholders,” he added

Gulftainer management put this sustained consistency down to the ability to be flexible and swift to act. “Gulftainer goes the extra mile to ensure that we are in contact with all customers on a regular basis, we listen to what they have to say and act on what we hear. This means that we pick up market information and detail early and because we are agile in our decision making, we can react quickly in order to satisfy the demands of our customers and the market,” Richards commented.

An increase in export volume from the Middle East countries has also resulted in additional full volumes through Gulftainer’s facilities, requiring terminal layouts to be reviewed and revised. The co-operation of shipping lines together on services has resulted in the need for increased dialogue and co-ordination between the terminal operators and the Lines.

Gulftainer Group has been operating in the UAE and around the world for over 35 years. In the UAE it operates three main UAE ports: two on behalf of the Sharjah Port Authority – Sharjah Container Terminal (SCT) and Khorfakkan Container Terminal (KCT); and one in Ruwais, Abu Dhabi, on behalf of the international plastics solutions company, Borouge.

Gulftainer has been able to maintain a strong position in the UAE through its ports at Sharjah and Khorfakkan, and KCT was named ‘Shipping Port of the Year’ at the Annual Supply Chain and Transport Awards (SCATA 2011) in Dubai. In recent years Gulftainer has also invested in Iraq, Russia and now Brazil, with the company recently welcoming the first vessel into its Recife Port facility.

Advertisements

Peter Richards Gulftainer Company Limited Sees 24% Increase In 2012 Trade Volumes

Gulftainer, one of the world’s largest privately owned port management and logistics companies has recorded a 24 per cent overall increase on trade volumes in 2012 when compared with 2011.

Its Sharjah ports saw the greatest volumes throughout the year, with Khorfakkan Container Terminal seeing growth of 28 per cent on its 2011 figures with a staggering throughput of over 3.3m TEU. The consistent organic growth of Gulftainer is the largest of any Middle East port operator, with trade volumes more than tripling in the past decade.

The company’s portfolio covers three UAE operations, Khorfakkan, Sharjah and Ruwais, as well as in Iraq at Umm Qasr, Recife in Brazil, and the recently acquired Tripoli Port in Lebanon, with further plans across the Middle East and international territories for 2013.

“The past year has seen growth across a number of our operations, as well as expansion of current and new locations,” says Peter Richards, group managing director, Gulftainer. “Khorfakkan Container Terminal accounted for a majority share of trade volume and continues to see phenomenal throughput with 28 per cent growth in 2012 in its own right.”

For 2013, Gulftainer has already moved forward with further expansion plans within existing operations to allow for greater capacity and the increasing size of vessels now requiring access to the ports.

“Our figures are indicative of the UAE’s growing influence as an import and export hub, and even more so of the east coast’s popularity for containership operators,” continues Richards. “This is an exciting time for the company, as we increase our footprint both locally and globally, and we anticipate similar double digit growth again in 2013.”

Peter Richards Gulftainer Company Limited Hosts Inaugural Port Finance International

Sharjah-based international ports management company Gulftainer played host –and sponsor– to the inaugural Port Finance International Middle East Conference, which was held from 6 to 7 December 2011 at the headquarters of the Sharjah Chamber of Commerce and Industry (SCCI).

The opening keynote speech for the conference was delivered by HE Abdullah Al Saleh, Undersecretary of the Ministry of Foreign Trade for the UAE, and a variety of presentations were delivered on the finance, investment, and port and logistics environments in the region and beyond, including one by Gulftainer Group Commercial Manager, Keith Nuttall.

Building on the success of PFI events around the world (recently held in London, Istanbul, Singapore, Mumbai, and Copenhagen) the inaugural Port Finance International Middle East Conference highlighted current trends and challenges in financing port infrastructure development, and investigated, analysed and provided guidance on the latest developments, investments and future plans in the strategically positioned Middle East region.

Over two days this conference brought together key industry experts from the Port and Terminal industry and from the Banking and Legal world to provide delegates with an in-depth understanding of innovative financing solutions and practical advice. It also provided an excellent opportunity to meet potential equity and business partners, as well as senior executives from port authorities, port and terminal operators and the legal and banking industries to discuss finance options and development requirements.

Speaking of the importance of the event, Gulftainer Group Managing Director, Peter Richards, said, “The ports, terminals and shipping industries are undergoing major changes as they seek to move forward in a straitened financial climate and with revenues under pressure and costs rising. This event presented highly qualified speakers showcasing the latest shipping, port and investment developments, at a time when the world’s economies are facing unparalleled challenges. As the inaugural Port Finance International Middle East Conference, the event was a resounding success, and the participants look forward eagerly to the next event in the region”.

Helping participants in the conference to get a clearer picture of rapidly changing events were, amongst others, Gulftainer, the National Bank of Abu Dhabi, Merrill Lynch, IFC, RSGT, Port of Salalah, Qatar Ports, Clarksons, and Abu Dhabi Terminals.

Gulftainer Group has 35 years experience operating in the UAE and around the world. In addition to operating three UAE ports: two on behalf of the Sharjah Port Authority – Sharjah Container Terminal (SCT) and Khorfakkan Container Terminal (KCT); and one in Ruwais, Abu Dhabi, on behalf of the international plastics company, Borouge, Gulftainer also operates and manages a number of projects and investments in several countries, including Iraq, Pakistan, Russia, Brazil, Africa and Turkey, with other ventures worldwide currently being evaluated. Gulftainer’s logistics subsidiary, Momentum Logistics, was established in 2008 to take over the Group’s transportation and logistics business and has offices throughout the Middle East.

Smooth Sailing – Peter Richards Gulftainer Company Limited

GULFTAINER EYES INT’L MARKETS TO SUSTAIN STRONG GROWTH IN YEARS TO COME

Gulftainer, the world’s largest privately-owned ports operator, is upbeat about the shipping industry and the company is confident of sustaining strong double-digit growth this year, its top official said.

The Sharjah-based firm has seen phenomenal growth throughout 2012, with many expansion plans brought forward, including the Sharjah Container Terminal, or SCT. It eyes regional and international markets in 2013 to sustain the business growth in years to come.

“International expansion remains a focus for Gulftainer in 2013, having confirmed contracts in Russia, Lebanon and Brazil recently. India, Africa, the eastern Mediterranean and America remain key focus areas in addition to our existing developments. This is a strategy we expect to continue with into 2013 and beyond,” Peter Richards, managing director of Gulftainer, told Khaleej Times in an interview.

Gulftainer, a subsidiary of Crescent Enterprises, is a rapidly-expanding, dynamic ports and logistics company now operating in various parts of the world. The Gulftainer Group operates and manages ports and logistics businesses in several countries, including the UAE, Iraq, Pakistan, Russia, Brazil and Turkey.

The privately-owned UAE enterprise, which was established in 1976, has been particularly active in the ports and logistics business in international markets. Recently, it announced a $300 million investment in Russia to develop the Ust-Luga port in Leningrad Oblast, 110 kilometres from St Petersburg.

The consistent organic growth of Gulftainer is the largest of any Middle East port operator, with trade volumes more than tripling in the past decade. — Supplied photo

“We also expanded our geographical footprint in 2012 by establishing a new venture, Gulftainer Brazil, at the Port of Recife in Brazil, which has already received the first general cargo and container vessels,” said Richards.

He said Gulftainer Brazil handled its first shipments during the year of both container vessels and general cargo and brought a new lease of life to the Port of Recife.

“We expect Recife to experience a record-breaking year in 2013 and Gulftainer will be keeping a watchful eye over an exciting South American coast line,” he said.

“Likewise, we expect the operations in Tripoli in Lebanon to experience a successful year; the initial response back from the shipping lines has been very positive indeed and many of the lines are eager to support us here as well,” he added.

STRONG GROWTH AHEAD

Richards said 2012 was a positive year and the company is confident to record strong growth in 2013. The consistent organic growth of Gulftainer is the largest of any Middle East port operator, with trade volumes more than tripling in the past decade.

“Both terminals — the Khorfakkan Container Terminal [KCT] and the SCT — performed exceptionally well in 2012 and have seen increase of 28 per cent in cargo volumes. Whilst Khorfakkan serves the region at large, Sharjah provides a very specialised and valuable service for businesses in Sharjah and neighbouring emirates.”

“Over the past few years, we have continuously grown at a stronger rate than the global market average. With new contracts recently confirmed, including at the Port of Tripoli, we would anticipate that company growth in 2013 will be strong and over 18-20 per cent for containerised traffic alone. We expect much stronger growth for non-containerised traffic especially in Brazil and Iraq,” he added.

In reply to a question, he said the SCT is now hosting berths of a depth of 12.5 metres and 180,000 square metres of storage, with additional storage facilities planned for 2013.

About Khorfakkan, he said a new container freight station has been created for additional container packing and unpacking services, with additional handling equipment to support these activities.

“At Khorfakkan, there has been a recent multi-million dollar investment in ship-to-shore cranes, reachstackers, tugmaster and trailer combinations. Terminal layouts have been reviewed and revised to ensure the best use of space and facilities,” he added.

In reply to a question, he said Hanjin-NYK FMX and CSAV Norasia’s Galex services were additional services secured in 2012, with all now calling at the KCT.

“We have long standing relationships many of the world’s major shipping lines, including but not limited to CMA-CGM, UASC, MSC, Hanjin, China Shipping and Maersk Line.”

He said the introduction of ultra-large container carriers that can be handled at the KCT was a key reason for Gulftainer’s success in 2012.

“In January 2013, our KCT team handled the CMA CGM Marco Polo, presently the world’s largest container ship at 16,020 TEUs, in record time.”

He said Sharjah continues to grow in terms of its position as a business hub for the UAE, particularly within the industrial sector. Sharjah houses 29 per cent of the UAE’s industrial industry companies, and contributes eight per cent of the UAE’s non-oil gross domestic production.

“Gulftainer has always been proud to have its roots in Sharjah and contribute to its growing economy.”

UAE SHIPPING STAYS BUOYANT

Richards said the UAE’s shipping industry has generally been buoyant, largely due to the country’s position as an international business hub and with a significant volume of cargo being transported through its ports.

“As with any economy that is highly reliant on the export of crude oil, the shipping industry is also at risk from any fluctuation in oil prices, however, the stability and infrastructure of the UAE has helped to increase and secure business.”

“Emerging markets were a key factor for growth in 2012, and we anticipate this will be the case in the coming year. Iraq continued to also be buoyant for us, with Umm Qasr’s Iraq Container Terminal beginning operations. This terminal, equipped with two ship-to-shore gantry cranes, is expected to become the most efficient dedicated container facility in the port,” he added.

In reply to a question about the outlook for shipping industry he said: “We feel that 2013 will be about targeting growth in the right place, particularly through current emerging markets, such as South America, where we recently launched operations at the Port of Recife in Brazil.”

“In the UAE, we are expecting to continue the positive growth we experienced in 2012 and together with the support of our customers, believe that another year of double-digit growth has already begun.”

“We are particularly keen to see our volumes grow in Sharjah port where we will develop our IT connectivity between customers and the port community and will continue to offer a range of value added services to our customer base,” he added.

“We also have some very significant plans for our presence in the GCC and expect very soon to be able to confirm an even greater coverage in the area.”

To a question about the outlook for freight-forwarding business this year, he said the GCC’s transport and logistics sector grew 10 per cent in 2012, making it a $35 billion industry.

About the performance of Momentum Logistics, he said it has seen consistent success since it launched in 2008, and a major milestone for 2013 will be the opening of the Umm Qasr Logistics Centre, a 750,000 square metres facility adjacent to the Umm Qasr Port.

“This will provide an essential link within the supply chain for major energy companies that are involved in the construction of Iraq’s oil and gas production facilities, as well as those involved in the mega projects implemented to restore the Iraqi infrastructure,” said Richards.

The Sharjah Inland Clearance Depot, the 180,000 square metres bonded facility operated by Momentum, saw 100 per cent occupancy of its warehousing complex, with increases in both dry and refrigerated containers throughputs.

“The container freight station continued to see growth from African trade, with companies looking to take advantage of the bonded facility in order to have export cargo delivered, consolidated and packed for future export. To keep up with demand into 2013, the station apron is being extended by some 10,000 square.

Peter Richards Gulftainer Company Limited Automates Systems

Gulftainer, one of the world’s largest privately owned port management and logistics company, has further increased efficiency at Sharjah Container Terminal (SCT) through the development of an online application to automate information exchange between the Sharjah Port Authority (SPA), Customs and Gulftainer Company Limited.

The application will enhance existing customs procedures to ensure faster and seamless movement of containers through the port. SCT was the first purpose built and fully equipped modern container terminal in the Middle East, and currently handles cargo on behalf of over 50 shipping lines from around the world.

Peter Richards, Group Managing Director, Gulftainer said, “SCT has been growing at a fast pace and has seen an increase in the volume of cargo it has handled over the last 12 months. The new automated system has been developed keeping this growth in mind and as a result of listening to our customers. It will avoid unnecessary delays and ensure efficient access and clearance of all documentation work. This investment is part of our sustained and clearly defined plan for continued growth to remain competitive and ensure we offer our partners in the port an easy and hassle free experience.”

The new system will allow online verification of SPA issued documents and automation of customs forms, which was previously done manually. It will also enable better document control and provide a direct information access through the Container Management System (CMS).

Peter Richards Gulftainer Company Limited Welcomes Cma Cgm’s Alexander Von Humboldt

World’s  largest containership makes its maiden call at Khorfakkan Container Terminal.

Sharjah, UAE – June 26, 2013:  Gulftainer, the world’s largest privately owned independent port management and logistics  company, welcomed CMA CGM’s Alexander Von Humboldt containership on its maiden voyage  and call at the Khorfakkan Container Terminal (KCT).

The Alexander Von  Humboldt, named after the German naturalist, geographer and explorer, is one of  the three explorer class container vessels belonging to CMA CGM, and the second  in a series after CMA CGM Marco Polo. Today, it is also one of the world’s  largest containership at 16,020 twenty-foot equivalent unit (TEU),  matching its sister ship, Marco Polo, which is a regular visitor to Khorfakkan.  The vessel is 396 meters long (length of four standard football pitches), 54  meters wide, with a draft of 16 meters and has the ability to carry some 16,000  shipping containers.

“In keeping with  the global trade demands, the maritime industry has been expanding at an  exponential rate with increasingly larger containerships,” said Peter Richards Gulftainer Company Limited,  Group Managing Director of Gulftainer.

At Gulftainer, we ensure  that we stay ahead of the demand and are well equipped to handle these giants  at our terminals. In fact, the Khorfakkan Container Terminal is one of the few  terminals in the Middle East with the facilities to handle mega-containerships  beyond the 16,000 TEU handling capacity.”    KCT reported a 26 per cent increase  in volume in 2012.

Following its UAE stopover,  Alexander Von Humboldt will proceed to Port Klang in Malaysia in early July, and  finally ending its maiden voyage at Ningbo, China by 10 July.

The vessel’s  arrival at KCT was marked with a presentation from Gulftainer’s UAE Terminals  Manager, Paul Hennessy to Master of the Vessel, Captain Slavko Malasic and Tony  De Costa, Regional Operations and Project Cargo of CMA CGM Khorfakkan.

Khorfakkan  Container Terminal is widely considered to be  amongst the most efficient terminals in the world, making it an ideal transshipment hub with connections to Gulf Ports,  Europe, Indian subcontinent and East Africa. Khorfakkan’s location makes it an  obvious choice for shipping lines with large transshipment volumes, which  require easy access to the UAE hinterland.

Gulftainer Company Limited United Arab Emirates And Khorfakkan Feature In Port Strategy Magazine

Namibian dawn

Infrastructure investment is beckoning a new era for Walvis Bay, as Aidan Grange explains.

The Namibian Government is investing heavily and also partnering with the private sector in its port and transport infrastructure upgrade programmes as it attempts to position the country as a competitive regional cargo hub and logistics centre for sub-Saharan Africa.

Critical to this objective is the development of a second container terminal at Walvis Bay, the building of a new railway link with Botswana and expansion of the Walvis Bay logistics corridor, which comprises the Trans-Kalahari, Trans-Caprivi, Trans-Cunene and Trans-Oranje links.

At a ground-breaking ceremony for the new container terminal earlier this year, Namibia’s president Hifikepunye Pohamba said: “The Namibian Ports Authority (Namport) is a strategic economic asset for this country and the NA$3bn (US$282m) expansion project is part of a long-term goal to improve our infrastructure and promote intra-regional trade.”

He stressed the significance of the bilateral agreement between Namibia and Botswana for the construction of the 1,500km railway, saying: “This will significantly contribute to and strengthen Namibia’s position in terms of trade.

“In the same vein other landlocked countries will benefit from the railway as it will provide them with a choice of corridors to choose from. At the same time we are upgrading various roads that will also unlock economic benefits to the country.”

Namport hope

But it is the new Namport Container Terminal (NCT), which is being developed on 40ha of land, that is viewed as being one of the most critical elements in the Government’s plan to raise the country’s trading profile.

NCT will add 600m of quay to the port’s existing 1.5km wharfage line raising in its overall container-handling capacity rising to slightly over one million teu a year. Currently, Walvis Bay’s annual design throughput is in the 350,000 to 400,000 teu range.

Funding for the project is in place with the African Development Bank (AfDB) having signed a sovereign guaranteed loan worth NA$2.9bn (US$272m) with Namport late in 2013. The terminal is being built by China Harbor Engineering Company Ltd.

In addition, AfDB has advanced about NA$ US$2.3 million (US$216,000) to the Namibian Government to support and encourage companies to invest in the infrastructure and systems needed to offer port users a wider range of value added freight and logistics services.

Grand ambitions

These activities are viewed as being important if Walvis Bay is to transform itself from a small port handling local and national cargo for a population of a little over two million people into a regional cargo processing centre serving Botswana, Zimbabwe, Zambia, the Democratic Republic of Congo, Angola and even locations as far east as Guateng province in South Africa. The Southern Africa Development Community is home to at least 330m people.

Bisey Uirab, chief executive of Namport and chairman of the Walvis Bay Corridor Group (WBCG) – the public-private partnership established to promote the utilisation of Walvis Bay and its inland freight networks – said: “Our logistics hub provides a seamless transport and logistics solution to ensure that these potential consumers get their goods at the right time and in the most cost effective manner.”

He added: “We need to develop ahead of demand so that we can be a few steps in front of our competitors in capturing the region’s emerging business opportunities. We must modernise and transform our modes of transport as well as infrastructure, including IT systems, so that they complement each other to provide a seamless cost-effective service and push for non-tariff barriers in the region to be reduced.

“Our transport community must co-operate and commit to the logistics hub as a matter of priority so that we can make Walvis Bay the Singapore and Dubai of Africa by 2030.”

Walvis Bay’s logistics hub concept is an integral part of the WBCG’s plan to develop Namibia’s largest port as the preferred gateway for southern Africa.

Recently, Botswana Railroads (BR) opened a dry port in Walvis Bay. BR’s commercial manager Mthulusi Lotshe said the new facility, in which NA$60m (US$5.6m) is being invested, would “strengthen multimodal supply chain solutions and create opportunities for new services, while reducing total transport and logistics costs and journey times for the region.”

The executive added: “Our objectives for the dry port are to improve cargo processing through co-ordinated operations, facilitate the collection and distribution of local, regional and international cargo and to better integrate Botswana and the SADC region into Walvis Bay port.”

Zambia connection

In Zambia, the government is focused on improving its transport links, with five main rail line corridors under development, including the construction of a link between Livingstone and Katima-Mulilo which in turn connects to Walvis Bay. Such a line would reduce the cost of moving goods to/from the southern and western regions of Zambia.

But highways are not being ignored, with the Road Development Agency of Zambia planning to build a new road linking the border town [with Namibia] of Sesheke with Mulobezi, Kaoma and the Copperbelt region of the country. This also borders Congo’s mineral-rich Katanga Province.

The new routing will cut travel distances by a third to 800km, resulting in faster transit times and significantly reduced transport costs for cargo moving to/from Walvis Bay. Ultimately, this will raise the Namibian port’s overall competitiveness in this transit corridor and could lead to more importers/exporters selecting this routing option rather than traditional connections via South Africa.

Meanwhile, Namport is also planning to build an entirely new cargo-handling complex to the north of the existing port and located between the existing facilities and the town of Swakopmund. Dubbed the Southern African Gateway Port (SAGP), it will eventually comprise of 10km of berthing line and have the capacity to process up to 100 million tonnes of bulk cargo a year.

A bulk fuel storage and cruise terminal will also be developed within the 1,330ha complex in a project that is expected to cost in excess of NA$30bn (US$2.8bn).

According to Namport’s Mr Uirab, SAGB will be financed with a mix of state funding and private investment and be developed over several phases. To date, the Government has pledged NA$1.5bn for the construction of the oil storage facility which is expected to be completed during 2018.

Future plans

Namibia’s president Mr Pohamba views the new developments will boost the port’s throughput volumes substantially and sees the new container terminal and associated developments as allowing a doubling in volumes by 2017.

This represents a huge challenge. While Walvis Bay has emerged as an effective and alternative trade route for southern Africa, traffic volumes remain modest and a considerable number of beneficial cargo owners and logistics service providers use Durban in South Africa as their gateway into southern Africa. This is particularly the case for cargo moving to/from Zimbabwe, Zambia, Botswana and Asia.

Meanwhile, Transnet SOC, South Africa’s state-controlled company which owns/operates most of the nation’s ports, container terminals, freight rail and pipelines networks, is keen to extend its role across Africa with the primary objective being to attract more cargo to its facilities.

Despite the competition, Walvis Bay looks to be on track to become a bigger gateway for southern African landlocked nations.

Taking the coal line

Botswana’s coal mining industry is likely to be among the biggest beneficiaries from the construction of the 1,500km Trans-Kalahari railway linking the landlocked country with Namibia. The link will help to open up the vast reserves of coal – estimated at 212bn tonnes – in the eastern region of Botswana and provide a cost-effective supply chain solution to move that commodity to the port of Walvis Bay.

At a signing ceremony in March 2014 between the governments of Namibia and Botswana for the rail project, Erkki Ngmintina, minister of mines and energy in the Namibian Government, said: “The signing of the Trans-Kalahari Railway agreement provides an added impetus and lays the groundwork for industrialisation. It does not hamper existing gateways, but creates a new path for additional role players.”

Potentially, the port will see a substantial increase in cargo volumes and revenue, thus justifying Namport’s decision to invest in its Southern African Gateway Port project where at least 65m tonnes of coal exports alone are expected to be processed.

In addition to the railroad’s primary purpose of moving coal, opportunities are expected to open up for shippers/consignees of project, general cargo and containers and new intermodal railyards are expected to be developed, thus creating new transport options for Malawi, Zambia and Zimbabwe.

Tom Alweendo, director-general of Namibia’s National Planning Commission, believes the new rail line will significantly boost trade between Botswana and Namibia, which he said amounted to less than NA$300m a year, excluding diamonds.

He also sees the railway and expansion of the port as assisting the WBCG’s SADC’s regional economic and social integration programmes.

It is hoped that the railway and associated infrastructure, which will cost between US$9bn and US$10bn to build, will become operational in 2019.