Singapore port goes overseas

Singapore port goes overseas

SINGAPORE (AFP): The Port of Singapore Authority (PSA),
looking for sources of growth beyond the tiny island, launched
yesterday its first international port venture in Dalian, China.

Singapore Communications Minister Mah Bow Tan, who officiated
at the opening, called the Dalian Container Terminal "another
milestone" in relations between China and Singapore.

"It coincides with the efforts of both our countries to move
closer in economic cooperation," Mah said in a speech whose text
was released here.

The minister said the joint venture faced the challenge of
building Dalian into an efficient port and later, with the
development of a larger cargo base, into a major hub port.

The Dalian Container Terminal Co. Ltd. was formed in a
partnership between a PSA majority-owned subsidiary and the
investment arm of the Port of Dalian Authority.

The terminal goes into operation with three berths and about
530 employees. Two more berths are being developed for the
facility to accommodate two mother vessels and four feeder ships
simultaneously.

Total investment in the project is estimated at more than 480
million US dollars.

At present northern China's cargo is largely transshipped at
ports such as Hong Kong, Kobe and Yokohama, and there is a need
to develop a port to serve as a shipping hub in the region, Mah
said.

"Dalian can play this role to the benefit of Dalian's as well
as North China's economy," he added.

The venture is PSA's first major international port investment
although it has considerable experience in port consultancy and
development through associates.

The authority is trying to transform itself into an
international port company to support shipping lines over a
larger geographical area and take advantage of port development
opportunities elsewhere.

Singapore is the busiest port in the world in terms of
shipping tonnage and the second busiest for container traffic
after Hong Kong.