APA  NEWSLETTER

 

 

 

 

INDONESIA PORT CORPORATION II

 

 

NEW EQUIPMENT AND FACILITY FOR PORT OF PANJANG

 

The Port of Panjang, a significant economic gateway not only for Lampung but also for the hinterlands of South Sumera, is gradually being developed into an international port. 

 

The joint operation with PT Andahanesa Abadi started the demand for foreign cargo handling that resulted in the installation of four liquid bulk tanks dedicated to caustic soda, three of which have been in operation in an area of 7,250 square meters since January 2003. In addition, two units of Rubber Tyred Gantry Crane (RTG), with a capacity of 35 tons each, were also set in place. The new equipment is aimed at boosting the port’s container handling capabilities by 4% per annum in terms of Ship Output per Day (SOD) as well as operational efficiency measured in Ton/Gang/Hour (TGH). In anticipation of CPO booming this year, two units of CPO tanks were also appropriated out of the four units that have been agreed upon with CV Sutomo and PT Cipta Karya Gemilang. These facilities will cover an area of 9,000 square meters.

 

 

RESUMPTION OF DEVELOPMENT AT BOJONEGARA PORT

 

The development of the Port of Bojonegara, in Banten Province, was initiated in 1991. The infrastructure project, which was temporarily suspended due to adverse developmental conditions and financial constraints, was targeted to provide a buffer port for the Port of Tanjung Priok.

 

An estimation done by the Japan International Cooperation Agency (JICA), which sets the saturation limit of Tanjung Priok in 2008 at a maximum of 3.7 million TEUs, catalyzed the efforts to pursue the resumption of the port project at Bojonegara. Realizing the urgency of immediately developing an alternative port that would accommodate the upward trend of container flow, the Management of Indonesia Port Corporation (IPC) II readily addressed this concern through close coordination with the Ministry of Communications, the Ministry of State-Owned Enterprises and the local government. By end of 2003, the port works are expected to restart which will result in the full operationalization of the Port of Bojonegara in 2005.

 

PORT AUTHORITY OF THAILAND

 

 

PAT PERFORMANCE

 

The Port Authority of Thailand is once again pleased to announce that during 2002, both Bangkok Port and Laem Chabang Port have experienced an increase in throughput. The combined figure of 3.767 million TEUs records an 11.39% increase over the previous year.

 

The number of vessels calling at Bangkok Port rose almost 2% to 2,519 calls, while its cargo throughput increased by 4.53% to 13.964 million tons. Container volume, including empty containers, reached 1.11 million TEUs, scaling a 3.83% increase from the year-ago record.

 

At Laem Chabang Port, a similar growth was experienced. The year 2002 saw a 4.11% increase in vessel calls, with an annual total of 4,481 calls. Cargo throughput reached 25.593 million tons, representing a significant increase of 19.80%. Container throughput appreciated by approximately 15% to 2.657 million TEUs.

 

PAT’s throughput projections for the Fiscal Year 2003 are expected to increase but not quite as compared to last year’s rates. A 4.5% increase is anticipated to yield 3.935 million TEUs, with 1.085 million TEUs and 2.850 million TEUs expected to pass through Bangkok Port and Laem Chabang, respectively. The conservative forecast is based upon the general economic slowdown coupled with a stronger Thai baht.

 

 

PAT TAKES ON REGIONAL PORTS

 

The Port Authority of Thailand is expanding its operational ambit to take control of the management and administration of a multi-purpose port soon to be developed in Ranong Province, and of the Chiang Saen Port in Chiang Rai. This new development, recently disclosed by Mr. Mana Patram, PAT’s Director General, has led to the establishment of a joint venture operation between PAT and the private sector.

 

Aware that Thailand can no longer procrastinate on port development, Mr. Patram urged, “This is part of an urgent government action to improve international trade routes without wasting time waiting for the completion of privatization”. Two companies will be established and partly owned by PAT: Chiang Saen Berth Co., Ltd. and Ranong Berth Co., Ltd.

 

Ranong. The construction of the multi-purpose port in Ranong was completed in 2000. The National Economic and Social Development Plan (NESCP) Committee has finally placed the port’s development in this year’s fiscal plan with the aim of developing the port primarily to support the export of agricultural products such as rubber, coffee and durian to markets in the Indian sub-continent and the Middle East.

 

Feasibility studies show that the port will also encourage shipping along the Andaman coastline, particularly facilitating trade with neighboring Myanmar, and adding a further link in the South Asian port network – a major element in the BIMST-EC (Bangladesh, India, Myanmar, Sri Lanka and Thailand Economic Cooperation organization). This expected growth in shipping and trade is envisioned to attract manufacturers keen to business within this important market sector.

 

Chiang Saen. In contrast, Chiang Saen Port is still under construction with its completion targeted later in the year. Its establishment has also been incorporated into the NESDP Committee’s strategy for developing Northern Thailand. The program will support further growth of trade among countries in the Greater Mekong Sub-region (GMS) and link Thailand’s major economic base – the Eastern Seaboard – with Bangkok in the North-South and East-West economic corridors.

 

An urgent step to support the development of Chiang Saen is the improvement of regional infrastructure that will pave the way to the establishment of a special economic zone in the Chiang Rai province, which will promote the area as a gateway to international trade and provide a production base for neighboring countries. To reinforce such advancement, shipping, ship manufacturing, and ship repair and maintenance requirements will also be addressed for vessels transporting goods along the Mekong River.

 

The completion of the port will allow for improved safety on berthing, loading and unloading operations of around 20–30 daily shipcalls from China. Currently, trade from Thailand to China along the Mekong is dominated by dried longan, tyres, frozen chicken, floor wax and rambutan. The reverse shipping route hauls apples, pears, buffalo and processed teakwood.

 

In a related activity, The Cabinet assigned PAT on 25 March 2003 to take charge of the two regional ports: Ranong Port and Chiang Saen Port as proposed by the National Economic and Social Development Board or NESDB. PAT is setting up a working committee from PAT’s Board Members and related agencies to work out the project and negotiate with the Treasury Department, Ministry of Finance for the possibility of exacting business rental rates.

 

 

 

 

BANGKOK PORT’S NEW SERVICES TO PROMOTE EXPORTS

 

Bangkok Port (BKP) starts two new services, Pre-Trip Inspection (PTI) / Pre-Cooling and Special Export Zone to promote exports through the port.

 

In a bid to facilitate the export of chilled and frozen products through the port, BKP provides PTI and Pre-Cooling services at the Reefer Container Area near Transit Shed No. 17 with 20 plugs prompt for service. The fee for the use of equipment and electricity for three hours is 215 Baht/20’, 350 Baht/40’ and 405 Baht/45’. Over three hours, the fee will be 430 Baht/20’/day, 700 Baht/40’/day and 810 Baht/45’/day.

 

In addition, since 21 April 2003, BKP has dedicated the open storage area behind Transit Shed No. 6 as Special Export Zone. The area is designed to serve exporters of big consignments such as paper, rubber, rice, etc., who may want to keep their containers for as long as 30 days subject to the payment of the following service fees: 500 Baht/20’, 1,000 Baht/40’ and 45’ instead of the normal storage charges.

 

 

PAT RECEIVES OFFICIAL ISM CODE CERTIFICATE

 

Mr. Mana Patram, Director General of the Port Authority of Thailand (PAT), has disclosed that PAT has officially received the International Safety Management (ISM) Code Certification. The ISM Code was certified by the Marine Department end of 2002. The implementation of the ISM Code is in compliance with the International Maritime Organization’s requirements and the International Convention for the Safety of Life at Sea (SOLAS), stipulating that every ship must possess said certification.

 

The ISM Code has been implemented on the PAT’s dredger “Sandon 9” to ensure its safety, including its crew and environment. The system also helps individuals to continually develop their skills to prepare them for emergency incidents concerning safety and environment, boost systematic operation and efficient equipment maintenance, which create organizational efficiency and greater staff confidence. During the 5-year validation period, the issuing institution will annually verify the Document of Compliance (DOC) but the Safety Management Certificate (SMC) will have to be validated twice within the period under consideration.

 

PAT’s Director General added that the implementation of the ISM Code would elevate PAT’s operations to international standard. Aside from providing dredging services in the channel and bar of the Chao Phraya River, PAT plans to extend this kind of service to the neighboring countries to increase the Authority’s revenues.

 

 

COMING SOON TO LAEM CHABANG – 800,000 MORE CONTAINERS

 

On the 4th of April 2003, the Port Authority of Thailand and LCIT signed the contract for LCIT’s 30-year concession to equip and operate the new C3 container terminal at Laem Chabang, which is estimated to open for business by mid-2004.

 

The new terminal, conveniently located adjacent to LCIT’s existing B5 terminal, will provide a deep water draft of 16 meters, a quay line of 500 meters and an approximated capacity of over 800,000 TEUs. Its close proximity with B5 terminal is expected to facilitate efficiency in the delivery of services through the terminals’ joint operation.

 

The conclusion of the bidding process for C3 is a great step towards the continued success and global relevance of Thailand’s exports and of Laem Chabang Port considering that Thailand has scaled impressive growth in container volumes in recent years.

 

 

BANGKOK PORT’S 6-MONTH PERFORMANCE

 

The following indicators highlight Bangkok Port’s (BKP) operational performance during the 6 months of Fiscal Year 2003 (October 2002 – March 2003), including variances generated in comparison with previous year’s records:

 

q       Vessel calls decreased by 2.51% to 1,204 calls

q       Cargo throughput increased by 11.46% to 7,532,467 million tons

q       Container volume (including empty containers) appreciated by 9.85% to 589,203 TEUs

 

The cargo types with dramatic increase in volume are shown as follows:

 

q       Bonded cargo increased by 40.78% to 5,492 tons

q       Cargo transported by rail was up by 55.24% to 4,134 TEUs

q       Containerized cargo stuffed in the port for export rose by 7.61% to 74,089 TEUs

 

Measures imposed by BKP to promote the port services pertinent to the afore-cited cargo types attracted new customers to the port, which yielded the favorable throughput incidence.

 

 

 

 

MALAYSIAN PORTS

 

 

FIRST IAPH REGIONAL MEET HELD IN MALAYSIA

 

Port Klang Authority (PKA) organized the 4th International Association of Ports and Harbors (IAPH) Asia/Oceania Regional Meeting and Regional Port Forum held in Penang, Malaysia on 17–20 February 2003.

 

Although this was the first regional meeting held in Malaysia, the country already played host to the 21st IAPH World Ports Conference in 1999.

 

The IAPH Regional Meeting was introduced in 2000 to promote inter-regional cooperation and dialogue among its members. One hundred and fifty delegates and guests attended the meeting with representatives coming all the way from the United Arab Emirates, Oman, Iran, China, Pakistan, India, the ASEAN countries, the Maldives and Japan.

 

Dato’ Seri Dr. Ling Liong Sik, Transport Minister, officiated the opening of the meeting. In his address, he stressed, “We live in a very challenging and yet interesting environment. Our landscape will change given the framework of WTO and the developments of the ASEAN Free Trade Area. Barriers will be broken down and trading regulations will be liberalized further. But these also unite us as a family of nations where we can look forward to greater independence from other regions and greater inter-dependence within the region”. He also noted that the ports in the region could learn from one another as the Top Six Container Ports of the World are all in Asia: Hong Kong, Singapore, Pusan, Shanghai, Kaohshung and Shenzhen.

 

Also present at the meeting were Dr. Akio Someya, IAPH President, who gave the presidential address, Tan Sri Michael Chen, former Chairman of PKA and current Senate President, Dato’ Sri Ting Chew Peh, Chairman of PKA, Dr. Neoh Soon Bin, Chairman of the Penang Port Commission, and Dr. Satoshi Inoue, IAPH Secretary General.

 

In her welcome address, Datin Paduka O.C. Phang, General Manager of PKA and 3rd Vice President of IAPH, urged the delegates to build upon the IAPH network and to collaborate in coping with the challenges coming from global changes.

 

For the first time the meeting introduced a Regional Port Forum as part of the programme. This was intended to provide an opportunity for delegates to discuss and exchange views on current issues confronting ports in the region. The forum consisted of four sessions that covered issues on port security, port safety and environment, ports and logistics, and port development. The non-IAPH member speakers were from the US Embassy, APL Singapore, UNESCAP, UN-PEMSEA (Partnerships in Environmental Management for the Seas of East Asia), and RosettaNet Asia (a local IT consultant). The following list shows the topics discussed and their corresponding resource persons:

 

q       Port Security

 

Ø      Peter R. Darvas, Assistant Customs Attache, US Embassy

 

Ø      Des Powell, Executive Director, Port and Marine Division, Department of Infrastructure, Victoria Government ESCAP (Australia)

 

q       Port Safety and Environment

 

Ø      Adrian Ross, Senior Programme Officer, PEMSEA

 

Ø      Mohd Saffiar Majid, Port Klang Authority

 

Ø      Toshiharu Murata, Japan Ports and Harbors Association

 

q        Ports and Logistics

 

Ø      Dong Woo-Ha, ESCAP

 

Ø      S.Y. Foong, Vice President, RosettaNet

 

Ø      A.N.M. Kishore, Managing Director, Indian Port Association

 

q                                                                                                       Port Development

 

Ø      Mohd Naina Merican, Senior General Manager,

Penang Port Sdn Bhd

 

Ø      Ho Kim Lan, Saigon Port, Vietnam

 

Ø      Goon Kok Loon, PSA Corp. Ltd.

 

Ø      J.D. Dunda, Indonesia Port Corporation III

 

Ø      Chen Tze Penn, Director General, Maritime Authority of Singapore