ePMAESA Newsletter July 2012
ePMAESA Newsletter July 2012
ePMAESA Newsletter July 2012
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Issue No. 6/<strong>2012</strong> (<strong>July</strong>)<br />
Female Crew Plays Pivotal Role in Guiding<br />
Largest Container Vessel into Port Of Ngqura<br />
photos: Transnet<br />
Port Elizabeth will be on standby, should the<br />
city experience adverse weather conditions.<br />
Rajesh Dana, Acting Port Manager at the Port<br />
of Ngqura, said the fact that the port can<br />
accommodate the new generation of super-<br />
ships such as the MSC Sola, demonstrates the<br />
importance of creating capacity ahead of<br />
demand, which is now bearing fruit.<br />
The mammoth vessel will benefit from the<br />
deep water channel and berths at the Port of<br />
Ngqura which rank among the deepest in<br />
Africa. In Durban the ship was able to enter the<br />
port thanks to Transnet's recent R300 million<br />
project to widen and deepen the harbour<br />
entrance.<br />
Tau Morwe, Chief Executive of Transnet<br />
National Ports Authority, and Karl Socikwa,<br />
Chief Executive Transnet Port Terminals, agree<br />
that with the ever-increasing number of large<br />
vessels visiting the ports of South Africa, is a<br />
clear indication of the confidence international<br />
shipping lines have in our ability to operate in<br />
an environment that is effective, safe and<br />
efficient.<br />
Above: The MSC Sola entering the Port of Durban on Thursday, 7 <strong>July</strong> <strong>2012</strong>.<br />
Inset: Mr. Tau Morwe, Transnet NPA Chief Executive and Marine Pilot, Ms. Xoliswa Bekiswa.<br />
The Port of Ngqura handled cargo from work the vessel.<br />
the biggest container ship to call at a Eastern Cape Terminal Executive, Siya Mhlaluka<br />
South African port when the MSC Sola of Transnet Port Terminals, said the waterside<br />
arrives on Sunday, 8 <strong>July</strong> after debuting at the and landside gangs at Ngqura Container<br />
Port of Durban earlier in the week on its<br />
Terminal would be aiming to break records in<br />
maiden voyage to the country.<br />
crane productivity and cargo handling to<br />
South Africa's newest deep water Port of<br />
ensure the vessel was worked as efficiently as<br />
Ngqura is strategic to the country, Africa and possible, weather permitting.<br />
the world given its location and economic En route from the Far East, MSC Sola will be<br />
potential as it exceeds expectations as the guided into the Port of Ngqura by Xoliswa<br />
trans-shipment hub for sub-Saharan Africa. Bekiswa. She recently became the fourth black<br />
Built in 2008, MSC Sola is longer than three and female marine pilot to obtain an open licence<br />
a half rugby pitches (364 metres long, 45.6 in South Africa, which allows her to help<br />
metres wide and 15.5 metres deep) with an navigate vessels of any size and type into South<br />
impressive gross tonnage of 131 771 and a slot African waters.<br />
capacity of 11 660 TEU (20-foot containers), The 29 year-old pilot said this would be one of<br />
with connections for 960 refrigerated contain- her greatest achievements both personally and<br />
ers (reefers).<br />
professionally.<br />
The ship will berth at the deep water Ngqura In Durban the ship was guided in by fellow<br />
Container Terminal to discharge 1 872<br />
female marine pilot, Bongiwe Mbambo, one of<br />
containers and load 3 536. This represents a the three women who last year made history as<br />
total of 5 408 containers and is the biggest Africa's first black, female marine pilots to<br />
single load to be handled from one vessel obtain the open licence.<br />
calling at the terminal. The terminal will also for Two tugs navigated by a team of all female tug<br />
the first time deploy a total of six of its eight- masters will be escorting the vessel into port.<br />
strong fleet of massive ship-to-shore cranes to However two additional tugs from the Port of
PMAWCA Gets New Secretary General<br />
Ghana's candidate, Mr Michael<br />
GPHA is an active member.<br />
Achagwe Luguje, has been elected<br />
Mr Luguje holds an MSc in Maritime<br />
the seventh Secretary-General of<br />
Transport Affairs, specializing in Ports<br />
the Port Management Association of West<br />
Management, from the World Maritime<br />
and Central Africa (PMWACA).<br />
University, Sweden, and an Executive MBA<br />
The election took place at the 35th<br />
in Projects and Strategic Management<br />
PMAWCA Annual Council Meeting and<br />
from the Paris Graduate School of<br />
11th Roundtable Conference of the<br />
Management, France.<br />
association in Lagos, Nigeria, on June 29,<br />
The GPHA Director General, Mr Richard<br />
<strong>2012</strong>. Mr. Luguje<br />
Mr. Mar Gueye Anamoo, said, “Investing in Mr Luguje has<br />
Mr Luguje polled 12 out of the 15 votes<br />
been worth it.” Having tried and tested his<br />
cast by Director Generals of various<br />
“Although Ghana is one of the founder managerial and leadership acumen, he<br />
Member Ports within West and Central members and very active member, this is was readily seconded to the IMO through<br />
Africa to beat his competitor from Gambia, the first time Ghana and GPHA contested the Government of Ghana's Ministry of<br />
Mr Jor Barteh.<br />
this position.”<br />
Transport when a request was made by<br />
The 39 year old Secretary General elect When Mr Luguje, who studied French and the IMO.<br />
from the Upper East Region is a senior Linguistics at the University of Ghana, was Mr Luguje takes over from Mr El Hadj Mar<br />
member of staff of the Ghana Ports and posted to the authority as a national Gueye of Senegal.<br />
Harbours Authority (GPHA) and is cur- service person in 1998, his cross-cutting PMWACA is an international sub-regional,<br />
rently on secondment to the International quality attracted the attention of manage-<br />
inter-governmental, economic organizament.<br />
tion established during the historic<br />
Maritime Organisation (IMO) as its<br />
Regional Co-ordinator for West and<br />
He was employed in 1999 and strategically inaugural assembly in 1972 in Freetown by<br />
Central Africa.<br />
groomed towards achieving the corporate the United Nations Economic Commission<br />
The GPHA Marketing and Public Relations goals of the organization, including the for Africa (UNECA)<br />
Manager, Ms Joanna Frances Adda, said management of the association in which<br />
Mombasa Experiences Upsurge of Motor Vehicle Imports<br />
The Port of Mombasa has in the recent<br />
Forwarders Limited a growing middle class<br />
past experienced an upsurge of motor<br />
resulting from economic prowess in the<br />
vehicle imports destined for East<br />
region has also contributed significantly to<br />
African countries.<br />
the increased importation. He also said that<br />
Available statistics show that between<br />
lack of proper transport network in the<br />
January up to April this year a total of 32,388<br />
region has made everyone opt for private<br />
motor vehicles rolled off the ramp at the<br />
cars as opposed to commuting.<br />
port compared 26,090 units of motor the<br />
With the dollar fluctuation easing, experts<br />
same period last year. This translates to 24.1<br />
believe that business people are now<br />
percent growth<br />
making up for the lost time when the dollar<br />
The Managing Director Mr. Gichiri Ndua<br />
Imported vehicles parked at Mombasa Port was not in their favour. Coming down from a<br />
while speaking to the press during the record high to an average of Kshs 85<br />
release of the first quarter results of KPA attributed the growth - to currently, we will see increased importation in the near future. Say<br />
marked improvement of economic performance of regional the experts.<br />
economies and wider democratic space in South Sudan.<br />
Uganda being the second largest importer of motor vehicles<br />
Political stability especially in South Sudan, D. R. Congo and between January and April after South Sudan has growth of 33.3<br />
Rwanda had a positive effect in the growth of their economies. per cent motor vehicles importation. They imported 3,309 units<br />
Rwanda GDP has rebounded with an average annual growth of 7 more in <strong>2012</strong> up from 9,947 units of motor vehicles in 2011. The<br />
per cent - 8 per cent since 2003 while inflation has been reduced country's GDP has grown from 6.4 percent in 2010/2011 to 6.6<br />
to single digits according to online sources.<br />
percent in 2011/<strong>2012</strong> fiscal year.<br />
He noted that South Sudan had accounted for the largest growth This is driven by a renewed investor confidence since oil was<br />
recorded in the period under discussion with a staggering 58.1 discovered in the country.Uganda's economy has also been<br />
percent increase. They imported 2,307 units in <strong>2012</strong> up from 1,459 thriving on the back of sound macroeconomic policy that has<br />
units recorded in 2011.<br />
underpinned a decade of strong growth according to internet<br />
According to Mr. Hafiz Noor Mohamed Logistics Manager Freight sources.
Rush for Capacity Expansion as<br />
Mega Vessels Increase<br />
ising volumes of containerized cargo<br />
coupled with the growing need by<br />
Rship owners to maximize utilization<br />
of economies of scale has seen more mega<br />
Cellular fleets entering the market.<br />
During the International Association of<br />
Ports and Harbors(IAPH) Mid Term,<br />
conference held in May in Jerusalem, Israel,<br />
it was observed that in 2011, global<br />
volume of full TEUs was estimated at 125<br />
million, with Asia leading with imports and<br />
exports (44m & 21m respectively), followed<br />
by Europe (16m & 22m respectively)<br />
and North America (14m & 20m respectively).<br />
By April this year, Cellular Fleet stood at IAPH Mid-Term Conference participants during the excursion<br />
nearly 6000 ships, translating to 16.2 Thus, we are confident that upon comple- excess supply. Increased consolidation in<br />
million TEU capacity, observed Ben tion of berth 19 and the second terminal intra-regional feeder services using larger<br />
Heckett of Heckett Associates who are we shall be able to handle comfortably vessels is being cascaded down. Hence<br />
specialists in providing expert consulting more Panamax and post panamax vessels cascading of “smaller” ships to North-South<br />
research and advisory services. as we work towards elevating trades is creating pressure on ports and<br />
In the current fleet, he observed, Year TEU Mombasa to a hub to reckon with terminals with lack of facilities. It is now<br />
11% are over 10,000 TEU capacity 1996 4,000 in Africa. evident that feeder vessels are getting<br />
while in the order book, 47 per 2001 6,000 There is also a notable shift in larger, thus requiring more space and time.<br />
cent have a capacity of over<br />
2006 8 - 10,000 distribution of mega ports Ultra large ships need more berth space,<br />
10,000 TEU. By end of 2015, total<br />
2008 11 - 15,000 globally. Apparently, there is more equipment, more land, larger turning<br />
capacity projection is estimated<br />
2011 16,000 massive expansion of port circles and better interchange between<br />
at 19.2 million TEUs. facilities in Asia hence influencing terminal and hinterland. If all these factors<br />
From the trend, average ship size<br />
2014 18,000<br />
shifting of the centre of gravity. are not well balanced, ultra large fleet can<br />
will have tripled by 2014. In 1996, 2020 20,000+<br />
Hence, out of top 25 Ports, 17 are lead to berth congestion.<br />
largest vessel size was 4000 TEU in Far East and only 2 in the USA. Asian trade volumes is equally creating a<br />
capacity. This capacity increased to 6000<br />
huge investment boom in ports<br />
TEU in 2001 and 16000 TEU in 2011. By Impact on Market and ports<br />
and terminals. While Europe seems to be<br />
2014 and 2020 vessel capacity will be Fundamentally the market is seeing too prepared bigger volumes, major investstanding<br />
at 18,000 TEU and 20,000 TEU much capacity being injected, particularly ments are needed in the U.S., South<br />
respectively as summarized in the table. in the large segments which leads to America and Africa to deal with larger<br />
Come 2014, the industry will truly be in a Market instability and volatility owing to ships.<br />
new phase. Accordingly, about 250 vessels<br />
It is also anticipated that with the booming<br />
will be having a capacity of over 10.000<br />
of new technology, labour relations issues<br />
TEU while 400 vessels will be individually<br />
will be another challenge in a new<br />
be carrying between 7500 and10.000 TEU.<br />
technology driven world. Investment and<br />
In other words, these two segments will<br />
development costs which had shifted from<br />
have a fleet size equal to the global fleet in<br />
public to Private, is now back to Public<br />
2002 Private Partnership as the costs rocket.<br />
What does this development portend? The<br />
Incidentally, everyone is rushing to be a<br />
steady increase in ship sizes coupled with<br />
hub and feeder port.<br />
reducing average trade distances will put<br />
The conference was attended by the Kenya<br />
pressure on terminal capacities. For<br />
Ports Authority(KPA) Managing Director<br />
Mombasa, it explains our ardent efforts in Former IAPH President & MD, KPA Mr. G. Ndua talks Mr. Gichiri Ndua, who is also the past<br />
the ongoing extension of our current Quay to fellow delegates during the recent IAPH Mid immediate President of IAPH, and other<br />
and construction of a second terminal.<br />
Term meeting in Jerusalem<br />
PMAESA members.
New Ngqura Cranes are Ready for Action<br />
he two new ship to shore cranes that have<br />
successfully undergone testing and are<br />
due to be launched into operations at the<br />
TNgqura Container Terminal in <strong>July</strong>, promise<br />
improved efficiencies and increased job<br />
opportunities for the region.<br />
Representing an investment of R150 million by<br />
port operator Transnet Port Terminals, the two<br />
Liebherr Super Post Panamax cranes were<br />
delivered in January and bring the terminal's<br />
fleet of ship to shore cranes to eight.<br />
Terminal Executive for the Eastern Cape<br />
Terminals, Siya Mhlaluka, said the cranes were<br />
procured to cater for the projected growth in<br />
the market's volume demand. They would also next seven years. Of this TPT will invest R33<br />
improve productivity by increasing Ship<br />
billion to boost port operations.<br />
Working Hour (SWH), or the number of contain- The portion allocated for the 600 000 sqm.<br />
ers moved by the number of cranes working a Ngqura Container Terminal includes just under<br />
vessel in one hour.<br />
R1.1 billion for Phase 2 A expansion to increase<br />
A total of 78 additional operators had been container handling capacity from the current<br />
trained and were ready to operate the equip- 800 000 TEUs to 1.5 million TEU capacity by<br />
ment, pointing to increased job creation for the 2013/14.<br />
region.<br />
A further R 808 million would be spent between<br />
Mhlaluka said the port operator had carried out 2015 and 2019 on Phase 2 B expansion that<br />
cold commissioning during June. This involved would increase the terminal's capacity to two<br />
a dry run to test the integrity of the equipment million TEUs*.<br />
including electrical, instrumentation and One of two berths has already been extended<br />
control systems.<br />
by 100 metres and two additional berths are to<br />
Hot commissioning was also completed in June be completed by August <strong>2012</strong>.<br />
and this final stage - prior to start-up and first NCT is well poised to serve as a global transhipoperation<br />
involved testing the cranes under ment hub for new trade linkages between East<br />
partial or full load.<br />
and West, with figures showing that approxi-<br />
Serving more than 30 container vessels each mately 65% of the TEU's handled in 2011<br />
month, Ngqura Container Terminal has set comprised transshipment cargo.<br />
container handling records since it commenced The container terminal is one of the deepest in<br />
operations in 2009. It moves in excess of 500 Africa with a draft alongside berth of 16.5m.<br />
000 TEUs* per annum. This means it can cater for the largest container<br />
It offers berthing within two hours of vessel and bulk vessels that the shipping lines are now<br />
arrival and boasts an average quayside han- deploying as part of their new fleet.<br />
dling rate of 55 container moves per ship per The two new cranes will work alongside some<br />
hour (SWH) on mainline cellular vessels and a of the best port infrastructure and equipment<br />
crane productivity rate of 30 gross crane moves in the Southern Hemisphere, comprising 22<br />
per hour (GCH).<br />
rubber tyred gantry cranes, 50 hauler/trailer<br />
Transnet's newly formulated Market Demand combinations, two rail mounted gantry cranes<br />
Strategy will see Transnet SOC Limited invest and the Navis SPARCS N4 terminal operating<br />
R300 billion on freight infrastructure over the system.<br />
Due to be launched into operations<br />
at the Ngqura Container Terminal<br />
this month are two new Liebherr<br />
Super Post Panamax ship to shore<br />
cranes representing an investment<br />
of R150 million by port operator<br />
Transnet Port Terminals. The<br />
terminal now boasts a fleet of eight<br />
ship to shore cranes.<br />
Events<br />
25th - 29th June<br />
35th PMAWCA Annual Council Meeting,<br />
Lagos, Nigeria<br />
19th - 30th Jul<br />
Maritime and Port Security - Galilee<br />
International Management Institute,<br />
Galilee, Israel<br />
6th - 7th Sep<br />
10th Intermodal Africa <strong>2012</strong><br />
Durban, South Africa<br />
6th - 7th Sep<br />
10th Intermodal Africa <strong>2012</strong><br />
Durban, South Africa<br />
9th - 13th Sep<br />
AAPA Annual Convention<br />
Detroit, U.S.A<br />
1st - 3rd Oct<br />
14th IAIN World Congress <strong>2012</strong><br />
Cairo, Egypt<br />
photo: Transnet<br />
Information<br />
e-PMAESA <strong>Newsletter</strong> is produced by the PMAESA Secretariat:<br />
Publisher: Jerome Ntibarekerwa (jntibarekerwa@pmaesa.org<br />
Editor: George Sunguh (gsunguh@pmaesa.org)<br />
Design & Layout: Mubarak Adam (msodha@pmaesa.org)<br />
The PMAESA Secretariat<br />
Tel: +254 41 222 3245 or +254 20 238 1184<br />
Fax: +254 41 222 8344<br />
Email: pmaesa@pmaesa.org