29.09.2014 Views

Hub and hinterland development in the BSR - TransBaltic

Hub and hinterland development in the BSR - TransBaltic

Hub and hinterland development in the BSR - TransBaltic

SHOW MORE
SHOW LESS

You also want an ePaper? Increase the reach of your titles

YUMPU automatically turns print PDFs into web optimized ePapers that Google loves.

Towards an <strong>in</strong>tegrated transport system <strong>in</strong> <strong>the</strong> Baltic Sea Region<br />

Case Study<br />

on<br />

HUB-AND-HINTERLAND DEVELOPMENT<br />

IN THE BALTIC SEA REGION<br />

Task 4.3 Susta<strong>in</strong>able Transport <strong>and</strong> Green Corridors<br />

Task 4.3 leader:<br />

Mrs Urszula Kowalczyk<br />

Maritime Institute <strong>in</strong> Gdansk<br />

Email: urszula.kowalczyk@im.gda.pl<br />

Gdansk, Pol<strong>and</strong> 2012<br />

1


The study report is a part of activities <strong>in</strong> Task 4.3 (Susta<strong>in</strong>able Transport <strong>and</strong> Green Corridors)<br />

with<strong>in</strong> <strong>the</strong> framework of <strong>the</strong> <strong>TransBaltic</strong> Project<br />

Gdansk, Pol<strong>and</strong> 2012<br />

The case study was compiled by:<br />

Maritime Institute <strong>in</strong> Gdansk, Pol<strong>and</strong>,<br />

MIG – Maritime Institute <strong>in</strong> Gdansk, Pol<strong>and</strong><br />

Marc<strong>in</strong> Burchacz<br />

Urszula Kowalczyk<br />

Witold Kuszewski<br />

Karol<strong>in</strong>a Sienkiewicz<br />

Barbara Szwankowska<br />

based on various sources <strong>in</strong>clud<strong>in</strong>g o<strong>the</strong>r <strong>TransBaltic</strong> Project Partners contribution:<br />

1. Region Skåne<br />

2. Region Västerbotten<br />

3. Region Västra Götal<strong>and</strong><br />

4. TUHH – Hamburg University of Technology, Institute for Transport Plann<strong>in</strong>g <strong>and</strong><br />

Logistics, Germany<br />

<strong>TransBaltic</strong> is co-f<strong>in</strong>anced by EU Baltic Sea Region Programme 2007-2013 with Region Skåne as Lead Partner<br />

2


Table of contents<br />

Table of contents ...................................................................................... 3<br />

Table of figures ........................................................................................ 5<br />

Introduction ............................................................................................. 7<br />

1. Seaports as a nodal po<strong>in</strong>ts of <strong>the</strong> Baltic Sea Region transport network ............... 9<br />

1.1 Development factors beh<strong>in</strong>d Baltic seaports expansion .................................9<br />

1.2 Accessibility challenges for conta<strong>in</strong>er traffic <strong>development</strong><br />

<strong>in</strong> <strong>the</strong> Baltic Sea Region .................................................................... 13<br />

1.3 Green corridor approach <strong>in</strong> <strong>the</strong> <strong>development</strong> <strong>and</strong> function of nodal po<strong>in</strong>ts. ....... 20<br />

2. <strong>Hub</strong>-h<strong>in</strong>terl<strong>and</strong> operations by <strong>the</strong> Port of Göteborg <strong>and</strong> Hamburg related to <strong>BSR</strong> . 24<br />

2.1 General remarks ............................................................................. 24<br />

2.2 Rail shuttle system <strong>in</strong> <strong>the</strong> h<strong>in</strong>terl<strong>and</strong> of <strong>the</strong> Port of Göteborg ....................... 25<br />

2.3 Rail shuttle services <strong>in</strong> <strong>the</strong> h<strong>in</strong>terl<strong>and</strong> of Port of Hamburg ........................... 32<br />

2.4 Ma<strong>in</strong> conditions for <strong>development</strong> of <strong>in</strong>termodal network <strong>in</strong> <strong>the</strong> port h<strong>in</strong>terl<strong>and</strong> .. 38<br />

3. Conta<strong>in</strong>er hub <strong>development</strong>: Port of Gdansk .............................................. 43<br />

3.1 Ma<strong>in</strong> characteristics of <strong>the</strong> Port of Gdansk .............................................. 43<br />

3.2 Development of conta<strong>in</strong>erisation <strong>in</strong> Pol<strong>and</strong><br />

<strong>and</strong> <strong>in</strong> <strong>the</strong> Gdansk seaport – Deepwater Conta<strong>in</strong>er Term<strong>in</strong>al ......................... 46<br />

3.3 Pomeranian Logistics Centre – PLC ....................................................... 53<br />

3


4. Conta<strong>in</strong>er hub <strong>development</strong>: Port of Ust-Luga ............................................ 56<br />

4.1 Russian Baltic Ports <strong>in</strong> national transport <strong>development</strong> strategy .................... 56<br />

4.2 The Greater Port of St. Petersburg ....................................................... 58<br />

4.3 Development of new locations ............................................................ 61<br />

4.4 Development of Ust-Luga sea port ........................................................ 64<br />

4.5 Russian Conta<strong>in</strong>er market .................................................................. 70<br />

4.6 Conta<strong>in</strong>er h<strong>and</strong>l<strong>in</strong>g facilities <strong>in</strong> <strong>the</strong> Ust-Luga seaport .................................. 72<br />

4.7 Ust-Luga Logistics Centre .................................................................. 73<br />

5. Conclusions <strong>and</strong> recommendations. ......................................................... 77<br />

Literature .............................................................................................. 83<br />

4


Table of figures<br />

Fig. 1. Network of Baltic maritime ports ..........................................................9<br />

Fig. 2. Trans-European transport network (TEN-T) — Priority axes <strong>and</strong> projects .......... 12<br />

Fig. 3. Port of Göteborg <strong>and</strong> its h<strong>in</strong>terl<strong>and</strong> <strong>and</strong> forel<strong>and</strong> connections ...................... 26<br />

Fig. 4. The Port of Göteborg rail shuttle system ................................................ 27<br />

Fig. 5. Location schematic of Nordic Logistics Centre towards <strong>in</strong>frastructure network .. 30<br />

Fig. 6. Nordic Logistics Centre .................................................................... 31<br />

Fig. 7. Direct tra<strong>in</strong>s to/from Umeå ............................................................... 32<br />

Fig. 8. Port of Hamburg h<strong>in</strong>terl<strong>and</strong> connections ................................................ 34<br />

Fig. 9. POLZUG potential <strong>and</strong> exist<strong>in</strong>g rail routes <strong>in</strong> <strong>the</strong> Far East direction ................ 36<br />

Fig. 10. Rail shuttle tra<strong>in</strong>s servic<strong>in</strong>g Hamburg Port <strong>and</strong> its h<strong>in</strong>terl<strong>and</strong> dest<strong>in</strong>ations ...... 37<br />

Fig. 11. Port of Gdansk ............................................................................ 43<br />

Fig. 12. Development of <strong>the</strong> global <strong>and</strong> <strong>the</strong> Baltic conta<strong>in</strong>er market. ..................... 47<br />

Fig. 13. Visualisation of DCT Gdansk conta<strong>in</strong>er capacity <strong>development</strong> project. .......... 48<br />

Fig. 14. Overseas routes Port of Gdansk – Shanghai ........................................... 49<br />

Fig. 15. Current <strong>and</strong> planned conta<strong>in</strong>er turnover <strong>in</strong> DCT Gdansk ........................... 49<br />

Fig. 16. Delivery cost for a Polish import 2011 ................................................ 50<br />

Fig. 17. Traditional l<strong>in</strong>er shipp<strong>in</strong>g patterns .................................................... 51<br />

Fig. 18. Pomeranian Logistics Centre ........................................................... 54<br />

Fig. 19. Visualisation of Industrial-Logistics Park <strong>in</strong> Gdansk by <strong>the</strong> Goodman Company . 55<br />

Fig. 20. Cargo throughput <strong>in</strong> Russian Baltic Ports (<strong>in</strong> thous. Tonnes) ...................... 56<br />

Fig. 21. Port of St Petersburg turnover <strong>in</strong> 2006 -2009 ........................................ 61<br />

Fig. 22. Seaports around Sankt Petersburg ..................................................... 62<br />

Fig. 23. Seaport St. Petersburg - Bronka Conta<strong>in</strong>er Term<strong>in</strong>al ............................... 62<br />

Fig. 24. Location of Ust-Luga Port ............................................................... 65<br />

5


Fig. 25. Commercial Port Ust-Luga – Layout ................................................... 66<br />

Fig. 26. Universal Cargo Term<strong>in</strong>al ............................................................... 67<br />

Fig. 27. Auto-Railway Ferry Complex (Client / Operator – Ust-Luga Branch FSUE<br />

Rosmorpor) ............................................................................................. 68<br />

Fig. 28. Multipurpose Term<strong>in</strong>al Yug-2 ........................................................... 69<br />

Fig. 29. Russian conta<strong>in</strong>er market ............................................................... 70<br />

Fig. 30. Top-10 East Baltic conta<strong>in</strong>er ports (TEU) ............................................. 71<br />

Fig. 31. Ust-Luga conta<strong>in</strong>er term<strong>in</strong>al <strong>in</strong>vestment plan........................................ 72<br />

Fig. 32. Ust-Luga Conta<strong>in</strong>er Term<strong>in</strong>al (Client / Operator – Baltic Conta<strong>in</strong>er Term<strong>in</strong>al,<br />

Public JSC ) ............................................................................................. 73<br />

Fig. 33. O<strong>the</strong>r <strong>in</strong>vestments accompany<strong>in</strong>g <strong>the</strong> construction of Ust-Luga. ................. 74<br />

Fig. 34. Ust-Luga Logistic Centre ................................................................ 74<br />

Fig. 35. Railway access to <strong>the</strong> Ust-Luga port (Outl<strong>in</strong>e)....................................... 75<br />

Fig. 36. Road access to <strong>the</strong> Ust-Luga port ...................................................... 75<br />

6


Introduction<br />

Ports represent a complex geographical relationship with various markets. Traditionally,<br />

<strong>the</strong> h<strong>in</strong>terl<strong>and</strong> of a port was physically captive, as shippers experienced few choices<br />

regard<strong>in</strong>g mov<strong>in</strong>g cargo to <strong>and</strong> from markets. With <strong>in</strong>creas<strong>in</strong>gly efficient <strong>in</strong>l<strong>and</strong> transport<br />

<strong>in</strong>frastructure, physical distance is no longer <strong>the</strong> sole criterion for a h<strong>in</strong>terl<strong>and</strong>. Now <strong>the</strong><br />

port's potential h<strong>in</strong>terl<strong>and</strong> can be def<strong>in</strong>ed as <strong>the</strong> area that can be reached at a cheaper<br />

cost or shorter time than from ano<strong>the</strong>r port. As a result, h<strong>in</strong>terl<strong>and</strong>s overlap. Therefore<br />

ports <strong>and</strong> carriage providers compete to service locations <strong>in</strong> <strong>the</strong>se overlapp<strong>in</strong>g segments.<br />

With <strong>the</strong> emergence of <strong>in</strong>l<strong>and</strong> term<strong>in</strong>als, <strong>in</strong>l<strong>and</strong> ports <strong>and</strong> dry ports, h<strong>in</strong>terl<strong>and</strong>s are now<br />

extended even fur<strong>the</strong>r <strong>in</strong>l<strong>and</strong>, add<strong>in</strong>g to <strong>the</strong> complexity of <strong>the</strong> analysis of port economics<br />

<strong>and</strong> logistics activities.<br />

The objective of this study report was to present f<strong>in</strong>d<strong>in</strong>gs on Baltic hub <strong>and</strong> h<strong>in</strong>terl<strong>and</strong><br />

<strong>development</strong>s focus<strong>in</strong>g on Western Baltic ports of Göteborg <strong>and</strong> Hamburg, Sou<strong>the</strong>rn Baltic<br />

port of Gdansk <strong>and</strong> Russian port St. Petersburg, particularly its outer extension Ust-Luga.<br />

Due to <strong>the</strong> recent economic slowdown, <strong>the</strong>re has been a significant decl<strong>in</strong>e <strong>in</strong><br />

conta<strong>in</strong>erised cargo flows. However, <strong>in</strong> overall terms, <strong>the</strong> cargo throughput at Russian,<br />

Polish <strong>and</strong> o<strong>the</strong>r mid <strong>and</strong> eastern Baltic ports has cont<strong>in</strong>ued to <strong>in</strong>crease over <strong>the</strong> last year,<br />

even if <strong>the</strong> dynamics was ra<strong>the</strong>r moderate. And despite <strong>the</strong> risk of <strong>the</strong> prolonged negative<br />

consequences of <strong>the</strong> crisis, <strong>the</strong>re are likely to be many opportunities associated with <strong>the</strong><br />

Baltic ports <strong>development</strong> as this study attempts to prove.<br />

Ma<strong>in</strong> topic areas of <strong>the</strong> study <strong>in</strong>clude:<br />

Development factors beh<strong>in</strong>d Baltic seaports expansion,<br />

<br />

Accessibility challenges for conta<strong>in</strong>er traffic <strong>development</strong> <strong>in</strong> <strong>the</strong> Baltic Sea<br />

Region,<br />

<strong>Hub</strong>-h<strong>in</strong>terl<strong>and</strong> operations by <strong>the</strong> Port of Göteborg <strong>and</strong> Hamburg,<br />

Ma<strong>in</strong> conditions for <strong>development</strong> of <strong>in</strong>termodal network <strong>in</strong> <strong>the</strong> port<br />

h<strong>in</strong>terl<strong>and</strong>,<br />

Conta<strong>in</strong>er hub <strong>development</strong>: Ports of Gdansk <strong>and</strong> Ust-Luga<br />

The report was compiled by <strong>the</strong> team of Maritime Institute <strong>in</strong> Gdansk <strong>in</strong> cooperation with<br />

<strong>TransBaltic</strong> project partners with<strong>in</strong> <strong>the</strong> framework of task 4.3 Susta<strong>in</strong>able Transport <strong>and</strong><br />

Green Corridors. It gives an overview of <strong>the</strong> current market conditions <strong>and</strong> opportunities <strong>in</strong><br />

7


<strong>the</strong> Baltic ports sector, focus<strong>in</strong>g on <strong>the</strong> impact of global trends on <strong>the</strong> Baltic cargo flows<br />

<strong>and</strong> hubs <strong>development</strong> <strong>in</strong> <strong>the</strong> frame global transport-logistics cha<strong>in</strong>s <strong>development</strong>. The<br />

case studies were concentrated on ports with greatest <strong>development</strong> potential based on<br />

<strong>the</strong>ir h<strong>in</strong>terl<strong>and</strong> l<strong>in</strong>ks with selected ports. The <strong>in</strong>formation was ga<strong>the</strong>red dur<strong>in</strong>g direct<br />

meet<strong>in</strong>gs with maritime sector professionals, various debates <strong>and</strong> conferences <strong>and</strong><br />

complemented with <strong>the</strong> analysis of <strong>the</strong> exist<strong>in</strong>g publications.<br />

8


1. Seaports as a nodal po<strong>in</strong>ts of <strong>the</strong> Baltic Sea Region transport<br />

network<br />

1.1 Development factors beh<strong>in</strong>d Baltic seaports expansion<br />

The Baltic Sea Region port system as well as European port system is versatile,<br />

multifunctional organism, which features well-established large ports <strong>and</strong> a whole range of<br />

medium-sized <strong>and</strong> smaller ports, each with its <strong>in</strong>dividual characteristics <strong>in</strong> terms of<br />

h<strong>in</strong>terl<strong>and</strong> markets served, cargo h<strong>and</strong>led <strong>and</strong> unique location features. This exceptional<br />

blend of different port types <strong>and</strong> sizes comb<strong>in</strong>ed with a vast economic h<strong>in</strong>terl<strong>and</strong> shapes<br />

port significance <strong>and</strong> competition <strong>in</strong> <strong>the</strong> region. In order to fully benefit from <strong>the</strong> maritime<br />

potential of <strong>the</strong> Baltic economy, some <strong>development</strong> factors <strong>and</strong> opportunities should be<br />

taken <strong>in</strong>to account.<br />

Fig. 1. Network of Baltic maritime ports<br />

source: Baltic Port Outlook 2030, BPO<br />

In <strong>the</strong> early 1990s <strong>the</strong> Baltic ports started to witness a significant transition, triggered<br />

<strong>in</strong>itially by change <strong>in</strong> <strong>the</strong> political environment, which accelerated <strong>in</strong> <strong>the</strong> late 1990s. The<br />

regions ports got embedded <strong>in</strong> <strong>the</strong> ever-chang<strong>in</strong>g economic <strong>and</strong> logistics systems <strong>and</strong> were


confronted with chang<strong>in</strong>g port governance structures as a result of globalization<br />

processes 1 .<br />

In Europe itself, <strong>the</strong> important factor of change was <strong>the</strong> <strong>in</strong>crease <strong>in</strong> <strong>the</strong> number of Member<br />

States of <strong>the</strong> European Union from 15 <strong>in</strong> <strong>the</strong> mid 1990s to 27 at present. Economic centres<br />

<strong>in</strong> East <strong>and</strong> Central Europe as well as <strong>the</strong> Sc<strong>and</strong><strong>in</strong>avian region have taken up an important<br />

position next to <strong>the</strong> traditional economic core of Europe. The <strong>in</strong>creased participation of<br />

<strong>the</strong>se regions on <strong>the</strong> European economic scene opened possibilities for new transshipment<br />

centres <strong>and</strong> <strong>in</strong>l<strong>and</strong> transport corridors to emerge.<br />

Dur<strong>in</strong>g <strong>the</strong> second half of <strong>the</strong> 1990s, <strong>the</strong> Europe – Far East trade became <strong>the</strong> most<br />

important <strong>in</strong>ternational trade route. The so called Ch<strong>in</strong>a factor had its full effect on l<strong>in</strong>er<br />

shipp<strong>in</strong>g <strong>and</strong> reoriented <strong>the</strong> focus of many conta<strong>in</strong>er ports towards <strong>the</strong> East. This implied a<br />

shift from <strong>the</strong> Atlantic Rim to <strong>the</strong> Suez route, <strong>the</strong>reby provid<strong>in</strong>g opportunity also for <strong>the</strong><br />

Baltic ports to participate <strong>in</strong> <strong>the</strong>se trade flows.<br />

Also only <strong>in</strong> 1996 started <strong>the</strong> exploitation of large post-panamax conta<strong>in</strong>er vessels with <strong>the</strong><br />

<strong>in</strong>troduction of <strong>the</strong> Reg<strong>in</strong>a Maersk with its official capacity of 6500 TEU 2 , which till now<br />

have grown up to <strong>the</strong> capacity of 13 500 TEU of <strong>and</strong> more. Post-panamax vessels are<br />

ma<strong>in</strong>ly operated on <strong>the</strong> Europe - Far East routes. Even more importantly, rapid vessel<br />

<strong>development</strong>s have <strong>in</strong>creased pressures on nautical access parameters <strong>and</strong> port h<strong>and</strong>l<strong>in</strong>g<br />

times which on <strong>the</strong> whole reduces <strong>the</strong> number of port calls per l<strong>in</strong>er service <strong>and</strong> gives a<br />

extra competitive edge to coastal deepwater ports such as Hamburg, Göteborg or Gdansk.<br />

At <strong>the</strong> same time, logistics service providers, shipp<strong>in</strong>g l<strong>in</strong>es <strong>and</strong> term<strong>in</strong>al operators have<br />

gone through an unprecedented wave of consolidations. This has led to powerful global<br />

term<strong>in</strong>al networks, carrier groups <strong>and</strong> third party logistics service providers to emerge.<br />

This process was fur<strong>the</strong>r enhanced by vertical <strong>in</strong>tegration strategies of many market<br />

players contribut<strong>in</strong>g to <strong>the</strong> emergence of global carriers. As a result European seaports<br />

<strong>in</strong>creas<strong>in</strong>gly have to deal with large port clients who possess a strong barga<strong>in</strong><strong>in</strong>g power <strong>in</strong><br />

relation to term<strong>in</strong>al operations <strong>and</strong> <strong>in</strong>l<strong>and</strong> transport operations. The purchas<strong>in</strong>g power of<br />

large market players, re<strong>in</strong>forced by strategic alliances between <strong>the</strong>m, is used to exercise<br />

pressure on a port or group of ports 3 .<br />

1 Notteboom, T.:Spatial dynamics <strong>in</strong> <strong>the</strong> conta<strong>in</strong>er load centres of <strong>the</strong> Le Havre–Hamburg range. Zeitschrift für<br />

Wirtschaftsgeographie 51 (2) 2007<br />

2 Olivier, D., Slack, B.:Reth<strong>in</strong>k<strong>in</strong>g <strong>the</strong> port. Environmental Plann<strong>in</strong>g A38(8), 2006<br />

3 Notteboom, T., W<strong>in</strong>kelmans, W.:Structural changes <strong>in</strong> logistics: how will port authorities face <strong>the</strong> challenge?<br />

Maritime Policy <strong>and</strong> Management 28(1), 2001<br />

10


On <strong>the</strong> o<strong>the</strong>r h<strong>and</strong>, <strong>the</strong> European port system <strong>in</strong>clud<strong>in</strong>g <strong>the</strong> Baltic ports has been witness<strong>in</strong>g<br />

an <strong>in</strong>flow of global term<strong>in</strong>al operators s<strong>in</strong>ce <strong>the</strong> mid 1990s. Global companies such as DP<br />

World from Dubai, PSA from S<strong>in</strong>gapore, APM Term<strong>in</strong>als from Denmark <strong>and</strong> Hutchison Port<br />

Hold<strong>in</strong>gs from Hong Kong have entered <strong>the</strong> European conta<strong>in</strong>er h<strong>and</strong>l<strong>in</strong>g bus<strong>in</strong>ess 4 . The<br />

entry of large term<strong>in</strong>al groups has been supported by lower entry barriers follow<strong>in</strong>g <strong>the</strong> use<br />

of more open <strong>and</strong> transparent procedures used by port authorities or government agencies<br />

with respect to <strong>the</strong> award<strong>in</strong>g of sea port sites to private term<strong>in</strong>al operators.<br />

There can be also observed some significant advances <strong>in</strong> <strong>in</strong>l<strong>and</strong> transport of <strong>the</strong> European<br />

port system. European Transport Policy featur<strong>in</strong>g modal shift <strong>and</strong> co-modality has been<br />

implemented <strong>in</strong> order to stimulate <strong>the</strong> use of <strong>in</strong>l<strong>and</strong> waterways, rail <strong>and</strong> short-sea<br />

shipp<strong>in</strong>g. Rail transport has been liberalised <strong>in</strong> Europe through a series of EU Directives <strong>and</strong><br />

Regulations follow<strong>in</strong>g <strong>the</strong> <strong>in</strong>itial Directive 5 . The process has been slow <strong>in</strong> many countries,<br />

but most European countries have already witnessed entrance of newcomers <strong>in</strong> <strong>the</strong> rail<br />

<strong>in</strong>dustry market. The European Commission is also support<strong>in</strong>g <strong>the</strong> <strong>development</strong> of short-sea<br />

shipp<strong>in</strong>g. The EC‘s short-sea policy is supported by <strong>the</strong> creation of Motorways of <strong>the</strong> Sea<br />

(MoS) <strong>and</strong> fund<strong>in</strong>g mechanisms like <strong>the</strong> Marco Polo Program. The Commission has also set a<br />

clear policy objective to remove any rema<strong>in</strong><strong>in</strong>g adm<strong>in</strong>istrative obstacles towards <strong>the</strong><br />

creation of an EU maritime space, which <strong>in</strong> effect will facilitate <strong>development</strong> of coherent<br />

regional Baltic transport system with seaports as nodal po<strong>in</strong>ts of <strong>the</strong> network.<br />

Moreover, major changes have taken place <strong>in</strong> port governance around Europe. Port<br />

authorities have ga<strong>in</strong>ed a more autonomous status via commercialization <strong>and</strong> privatization<br />

processes that were considered vital <strong>in</strong> view of decreas<strong>in</strong>g efficiency <strong>and</strong> competitiveness<br />

of <strong>the</strong> ports. The European Commission has taken steps towards a European port policy <strong>in</strong><br />

<strong>the</strong> beg<strong>in</strong>n<strong>in</strong>g of 2000s <strong>and</strong> it has created a more European perspective on port <strong>and</strong><br />

transport policy issues <strong>in</strong> particular concern<strong>in</strong>g port tariffs <strong>and</strong> f<strong>in</strong>anc<strong>in</strong>g, market access,<br />

environmental regulation <strong>and</strong> <strong>the</strong> <strong>development</strong> of <strong>the</strong> trans-European transport network<br />

(TEN-T) 6 .<br />

4 Annual Review of Global Conta<strong>in</strong>er Term<strong>in</strong>al Operators, Drewry Shipp<strong>in</strong>g Consultants, London, 2007<br />

5 see <strong>the</strong> <strong>TransBaltic</strong> project report on „Implications of EU transport policy on <strong>development</strong> of susta<strong>in</strong>able<br />

transport <strong>in</strong> <strong>the</strong> Baltic Sea Region‖, Gdansk, Pol<strong>and</strong> 2010<br />

6 Verhoeven P.:European ports policy: meet<strong>in</strong>g contemporary governance challenges. Maritime Policy <strong>and</strong><br />

Management 36(1), 2009<br />

11


Fig. 2. Trans-European transport network (TEN-T) — Priority axes <strong>and</strong> projects<br />

Source: EuroGeographics 2001 for <strong>the</strong> adm<strong>in</strong>istrative boundaries.<br />

F<strong>in</strong>ally, ports need to comply with ever higher regulatory <strong>and</strong> social requirements <strong>in</strong> <strong>the</strong><br />

field of environmental protection (e.g. <strong>the</strong> EC‘s Birds <strong>and</strong> Habitats Directives <strong>and</strong> <strong>the</strong><br />

Water Framework Directive), safety <strong>and</strong> security (e.g. <strong>the</strong> ISPS code). Ris<strong>in</strong>g environmental<br />

<strong>and</strong> social concerns comb<strong>in</strong>ed with complex environmental legislation result <strong>in</strong> time<br />

consum<strong>in</strong>g <strong>and</strong> complex port plann<strong>in</strong>g processes. Port authorities <strong>and</strong> port companies must<br />

demonstrate a high level of environmental performance <strong>in</strong> order to ensure community<br />

support <strong>and</strong> keep a license to operate. However, a ‗green‘ port management also plays an<br />

<strong>in</strong>creas<strong>in</strong>g role <strong>in</strong> attract<strong>in</strong>g trad<strong>in</strong>g partners <strong>and</strong> potential <strong>in</strong>vestors. Seaports with a<br />

strong environmental <strong>and</strong> security record <strong>and</strong> a high level of community support are likely<br />

to be favoured to w<strong>in</strong> <strong>the</strong> competition 7 .<br />

The above changes <strong>in</strong> <strong>the</strong> port environment have to a greater or lesser extent <strong>in</strong>fluenced<br />

<strong>the</strong> competitive perspective for established transshipment centres, but at <strong>the</strong> same time<br />

<strong>the</strong>y have also enabled newcomers to enter <strong>the</strong> port <strong>and</strong> transport sector, potentially<br />

affect<strong>in</strong>g significance of seaports. All <strong>the</strong>se global <strong>and</strong> European trends observed <strong>in</strong> <strong>the</strong><br />

7 Notteboom T.E.: Concentration <strong>and</strong> <strong>the</strong> formation of multi-port gateway regions <strong>in</strong> <strong>the</strong> European conta<strong>in</strong>er<br />

port system: an update, Journal of Transport Geography, 2010<br />

12


ecent years have also great impact on dynamic <strong>development</strong> of <strong>the</strong> Baltic ports <strong>and</strong> cargo<br />

flows which results <strong>in</strong> economic growth of <strong>the</strong> entire region <strong>and</strong> <strong>the</strong> <strong>in</strong>crease of its<br />

importance as one of <strong>the</strong> global players.<br />

1.2 Accessibility challenges for conta<strong>in</strong>er traffic <strong>development</strong> <strong>in</strong> <strong>the</strong><br />

Baltic Sea Region<br />

When analys<strong>in</strong>g <strong>the</strong> h<strong>in</strong>terl<strong>and</strong> extend <strong>and</strong> potential of <strong>the</strong> Baltic seaports we should view<br />

<strong>the</strong> entire region as one of Europe‘s transport gateways. In a situation where <strong>the</strong>re is no<br />

cooperation between <strong>the</strong> ports <strong>and</strong> <strong>the</strong>ir activities, <strong>the</strong> h<strong>in</strong>terl<strong>and</strong> is highly contestable as<br />

several neighbour<strong>in</strong>g transport gateways rival for <strong>the</strong> same cargo flows. The relevance of<br />

us<strong>in</strong>g <strong>the</strong> transport gateway level is supported by <strong>the</strong> call<strong>in</strong>g patterns <strong>in</strong> <strong>the</strong> l<strong>in</strong>er service<br />

networks of shipp<strong>in</strong>g l<strong>in</strong>es <strong>and</strong> associated complementarity <strong>and</strong> competitive relationships<br />

among <strong>the</strong> ports concerned <strong>and</strong> common h<strong>in</strong>terl<strong>and</strong> among ports of <strong>the</strong> gateway 8 . The<br />

economic <strong>and</strong> functional <strong>in</strong>teractions between adjacent ports of <strong>the</strong> same gateway regions<br />

are stronger <strong>and</strong> more complex <strong>in</strong> its nature.<br />

In <strong>the</strong> last two decades port competition <strong>in</strong> Europe has <strong>in</strong>tensified due to <strong>in</strong>l<strong>and</strong> transport<br />

corridor <strong>development</strong> which has allowed transshipment centres to access formerly captive<br />

h<strong>in</strong>terl<strong>and</strong>. Exist<strong>in</strong>g dense networks of direct rail <strong>and</strong> <strong>in</strong>l<strong>and</strong> waterway shuttles to nearby<br />

dest<strong>in</strong>ations are complemented by <strong>in</strong>direct <strong>in</strong>l<strong>and</strong> services to more distant dest<strong>in</strong>ations<br />

built around one or more <strong>in</strong>l<strong>and</strong> hubs. Extensive cargo concentration on a selected few<br />

l<strong>in</strong>ks opens possibilities to benefit from economies of scale <strong>in</strong> <strong>in</strong>l<strong>and</strong> shuttles through <strong>the</strong><br />

deployment of longer tra<strong>in</strong>s but even more likely to higher frequencies. Conta<strong>in</strong>ers for <strong>the</strong><br />

more distant h<strong>in</strong>terl<strong>and</strong> benefit from a port‘s strong local cargo base as local conta<strong>in</strong>ers<br />

often provide <strong>the</strong> critical mass for allow<strong>in</strong>g frequent deep sea l<strong>in</strong>er services 9 .<br />

The rise of economic centres <strong>in</strong> <strong>the</strong> Baltic area has created opportunities to develop waterbased<br />

<strong>and</strong> l<strong>and</strong>-based transport networks which allow <strong>in</strong>creased h<strong>in</strong>terl<strong>and</strong> penetration.<br />

This is largely benefited by port of Hamburg <strong>and</strong> Göteborg. Also new <strong>development</strong><br />

opportunities might arise for port systems <strong>in</strong> <strong>the</strong> Adriatic <strong>and</strong> <strong>the</strong> Black Sea as transport<br />

gateways.<br />

8 Notteboom T.: Complementarity <strong>and</strong> substitutability among adjacent gateway ports. Environment <strong>and</strong><br />

Plann<strong>in</strong>g A 41(3), 2009.<br />

9 Notteboom T.E.: Concentration <strong>and</strong> <strong>the</strong> formation of multi-port gateway regions <strong>in</strong> <strong>the</strong> European conta<strong>in</strong>er<br />

port system: an update, Journal of Transport Geography, 2010<br />

13


S<strong>in</strong>ce large disputable h<strong>in</strong>terl<strong>and</strong>s are <strong>in</strong>creas<strong>in</strong>gly be<strong>in</strong>g served not only by <strong>the</strong> ports of<br />

one gateway region, but by several gateway regions, <strong>the</strong> establishment of transport<br />

corridors <strong>in</strong>duces change <strong>in</strong> <strong>the</strong> relationship between gateways <strong>and</strong> <strong>the</strong>ir h<strong>in</strong>terl<strong>and</strong>. On<br />

<strong>the</strong> one h<strong>and</strong>, <strong>the</strong> <strong>in</strong>l<strong>and</strong> penetration strategy is part of maritime gateways‘ objective of<br />

<strong>in</strong>creas<strong>in</strong>g <strong>the</strong>ir cargo base. On <strong>the</strong> o<strong>the</strong>r h<strong>and</strong>, <strong>in</strong>terior regions are recogniz<strong>in</strong>g that it is <strong>in</strong><br />

<strong>the</strong>ir <strong>in</strong>terest to establish efficient l<strong>in</strong>ks to as many gateways as possible. For example, <strong>the</strong><br />

Czech Republic is upgrad<strong>in</strong>g rapidly its trans-European corridors <strong>in</strong> particular, those<br />

connect<strong>in</strong>g Germany with South-Eastern Europe. This strategy not only prevents <strong>the</strong>se<br />

regions from becom<strong>in</strong>g dependent on one specific gateway, it also improves <strong>the</strong><br />

accessibility of <strong>the</strong>se economic centres. Hence, <strong>the</strong> l<strong>in</strong>ks to more gateways implies more<br />

rout<strong>in</strong>g options <strong>and</strong> flexibility for shippers <strong>and</strong> logistics service providers who want to<br />

establish bus<strong>in</strong>ess <strong>in</strong> <strong>the</strong> region.<br />

The connectivity of <strong>the</strong> Baltic region to overseas trad<strong>in</strong>g areas primarily relies on feeder<br />

services to hub ports <strong>in</strong> to/from North Sea ports. The exist<strong>in</strong>g close relationship between<br />

<strong>the</strong> Baltic port system <strong>and</strong> <strong>the</strong> ma<strong>in</strong> ports <strong>in</strong> <strong>the</strong> North Sea, <strong>in</strong> particular Hamburg <strong>and</strong><br />

Bremerhaven, is a prime example of how ports <strong>in</strong> different regions can actively develop<br />

<strong>the</strong>ir mutual <strong>in</strong>terdependence. In <strong>the</strong> last couple of years, term<strong>in</strong>al <strong>development</strong> <strong>in</strong> <strong>the</strong><br />

Baltic Sea is characterised by capacity growth. Term<strong>in</strong>als <strong>in</strong> Pol<strong>and</strong> are equipped to h<strong>and</strong>le<br />

relatively large conta<strong>in</strong>er vessels, despite <strong>the</strong> fact that every substantial share of <strong>the</strong><br />

ports‘ conta<strong>in</strong>er volumes is feedered. On <strong>the</strong> whole, Baltic ports are prepar<strong>in</strong>g to welcome<br />

more direct calls of ma<strong>in</strong> l<strong>in</strong>e vessels. This is particularly felt <strong>in</strong> <strong>the</strong> port system at <strong>the</strong><br />

entrance of <strong>the</strong> Baltic at <strong>the</strong> straits of Kattegat <strong>and</strong> <strong>the</strong> Sound. Ports like Göteborg <strong>and</strong><br />

Aarhus are already act<strong>in</strong>g as regular ports of call on a few <strong>in</strong>tercont<strong>in</strong>ental l<strong>in</strong>er services.<br />

While <strong>the</strong> seaports have a good position to act as transshipment po<strong>in</strong>t for <strong>the</strong> Baltic on<br />

many trade routes, <strong>the</strong> <strong>in</strong>sertion of <strong>the</strong>se ports as regular ports of call on <strong>the</strong> Europe–Far<br />

East trade is now a fact. The large vessel sizes deployed on this route, <strong>the</strong> associated<br />

reduction <strong>in</strong> <strong>the</strong> number of ports of call <strong>and</strong> <strong>the</strong> additional diversion distance make regular<br />

direct calls to <strong>the</strong> Baltic gateway region viable <strong>in</strong> comparison to o<strong>the</strong>r trade routes 10 .<br />

In general, <strong>the</strong> dynamics <strong>in</strong> <strong>the</strong> transhipment bus<strong>in</strong>ess have implications on freight<br />

distribution patterns <strong>in</strong> Europe. Seaports are <strong>in</strong>creas<strong>in</strong>gly function<strong>in</strong>g not as <strong>in</strong>dividual<br />

places that h<strong>and</strong>le ships but as parts of supply cha<strong>in</strong>s <strong>and</strong> networks. Market players show<br />

an <strong>in</strong>creased network orientation <strong>and</strong> aim to maximize network effects <strong>and</strong> synergies.<br />

10 Notteboom T.: Complementarity <strong>and</strong> substitutability among adjacent gateway ports. Environment <strong>and</strong><br />

Plann<strong>in</strong>g, 2009<br />

14


Moreover, <strong>the</strong> conta<strong>in</strong>er h<strong>and</strong>l<strong>in</strong>g market rema<strong>in</strong>s far more concentrated than o<strong>the</strong>r cargo<br />

h<strong>and</strong>l<strong>in</strong>g segments <strong>in</strong> <strong>the</strong> European port system, as <strong>the</strong>re are strong market-related<br />

<strong>in</strong>centives for ma<strong>in</strong>ta<strong>in</strong><strong>in</strong>g a relatively high cargo concentration level <strong>in</strong> <strong>the</strong> conta<strong>in</strong>er<br />

sector. Connectivity effects <strong>and</strong> aggregated service quality effects at particular seaports<br />

with<strong>in</strong> <strong>the</strong> gateway mean that a ‗natural‘ gateway for a certa<strong>in</strong> h<strong>in</strong>terl<strong>and</strong> region is not<br />

necessarily <strong>the</strong> port closest to that h<strong>in</strong>terl<strong>and</strong> region.<br />

Cargo flows on <strong>the</strong> ma<strong>in</strong> transport routes is shap<strong>in</strong>g <strong>the</strong> h<strong>in</strong>terl<strong>and</strong> access of gateway<br />

regions. A certa<strong>in</strong> level of traffic concentration <strong>in</strong> a seaport system is required <strong>in</strong> order to<br />

allow a modal shift from road transport sector to high volume transport modes such as rail<br />

<strong>and</strong> short-sea shipp<strong>in</strong>g. Europe‘s long coastl<strong>in</strong>e <strong>and</strong> its specific geographical characteristics<br />

are clear <strong>in</strong>vitations to fur<strong>the</strong>r develop short-sea <strong>and</strong> feeder networks <strong>in</strong> <strong>the</strong> Baltic Sea<br />

based on mutual dependence among ports <strong>in</strong> <strong>the</strong> same <strong>and</strong> different regions.<br />

However, local or immediate h<strong>in</strong>terl<strong>and</strong>s rema<strong>in</strong> <strong>the</strong> backbone of ports‘ cargo bases.<br />

Functional system of gateway ports is driv<strong>in</strong>g <strong>the</strong> dynamics <strong>in</strong> large logistics nodes. The<br />

creation of <strong>the</strong>se nodes poses new challenges <strong>in</strong> <strong>the</strong> relations between seaports <strong>and</strong> <strong>the</strong>ir<br />

h<strong>in</strong>terl<strong>and</strong>. The challenge rema<strong>in</strong>s to <strong>in</strong>crease <strong>the</strong> share of co-modal transport solutions on<br />

short distances. The significant role of local h<strong>in</strong>terl<strong>and</strong>s to ports‘ traffic bases <strong>and</strong> <strong>the</strong><br />

exist<strong>in</strong>g functional <strong>in</strong>teractions between gateway ports <strong>and</strong> <strong>in</strong>l<strong>and</strong> centres <strong>in</strong> regionallybased<br />

logistics nodes have become important structur<strong>in</strong>g elements <strong>in</strong> <strong>the</strong> European<br />

transport network.<br />

Regions often recognize that it is <strong>in</strong> <strong>the</strong>ir <strong>in</strong>terest to establish efficient l<strong>in</strong>ks to more than<br />

one transport gateway area. The connections to more gateways imply more rout<strong>in</strong>g options<br />

<strong>and</strong> flexibility for shippers <strong>and</strong> logistics service providers who want to establish bus<strong>in</strong>ess <strong>in</strong><br />

<strong>the</strong>se regions. This process fuels competition for distant h<strong>in</strong>terl<strong>and</strong>s between gateway<br />

regions. The need for a high level of flexibility is also reflected <strong>in</strong> <strong>the</strong> complex networks<br />

designed by logistics actors <strong>and</strong> transport operators. The success of <strong>the</strong> port is strongly<br />

affected by <strong>the</strong> ability of <strong>the</strong> port community to fully exploit synergies with o<strong>the</strong>r<br />

transport nodes <strong>and</strong> o<strong>the</strong>r players with<strong>in</strong> <strong>the</strong> logistics networks of which <strong>the</strong>y are part. This<br />

observation dem<strong>and</strong>s closer coord<strong>in</strong>ation with logistics actors outside <strong>the</strong> port area <strong>and</strong> a<br />

more <strong>in</strong>tegrated approach to port <strong>in</strong>frastructure plann<strong>in</strong>g. Individual ports are or should<br />

<strong>in</strong>creas<strong>in</strong>gly benefit from potential port synergies at <strong>the</strong> level of transport gateway<br />

regions. This <strong>in</strong>cludes port regionalization processes, coord<strong>in</strong>ation actions <strong>and</strong> <strong>the</strong><br />

establishment of h<strong>in</strong>terl<strong>and</strong> access regimes. Port authorities can be facilitate <strong>development</strong><br />

15


of <strong>the</strong> port-h<strong>in</strong>terl<strong>and</strong> <strong>in</strong>terface <strong>and</strong> <strong>the</strong> structur<strong>in</strong>g of h<strong>in</strong>terl<strong>and</strong> networks, even though<br />

<strong>the</strong>ir direct impact on <strong>the</strong> rout<strong>in</strong>g of cargo flows is limited 11 .<br />

S<strong>in</strong>ce seaports are <strong>in</strong>volved <strong>in</strong> provid<strong>in</strong>g logistics services to transshipment cargo,<br />

h<strong>in</strong>terl<strong>and</strong> characteristics rema<strong>in</strong> fundamentally important <strong>in</strong> terms of logistics<br />

attractiveness. If ports are serv<strong>in</strong>g both <strong>the</strong>ir own h<strong>in</strong>terl<strong>and</strong> <strong>and</strong> overseas markets, <strong>the</strong><br />

extent to which a corridor is developed <strong>in</strong>fluences <strong>the</strong> number of logistics facilities <strong>in</strong> <strong>the</strong><br />

port area that serve <strong>the</strong>ir own h<strong>in</strong>terl<strong>and</strong> markets. For poorly developed h<strong>in</strong>terl<strong>and</strong><br />

corridors, <strong>the</strong> port would be ideally located for logistics facilities targeted to <strong>the</strong><br />

h<strong>in</strong>terl<strong>and</strong>, on top of <strong>the</strong> logistics centres that are based <strong>in</strong> <strong>the</strong> port area for serv<strong>in</strong>g<br />

overseas markets. On <strong>the</strong> o<strong>the</strong>r h<strong>and</strong>, <strong>in</strong> case of well developed corridors, logistics<br />

facilities for import/export cargo might move closer to consumption <strong>and</strong> production <strong>in</strong> <strong>the</strong><br />

h<strong>in</strong>terl<strong>and</strong>.<br />

The h<strong>in</strong>terl<strong>and</strong> connections of ports that are served by feeder connections also affect <strong>the</strong><br />

location possibilities that companies had for logistics facilities. When a port tranships<br />

cargo to smaller ports with a poorly developed h<strong>in</strong>terl<strong>and</strong>, economies of scale <strong>and</strong> scope<br />

would make this port particularly attractive for locat<strong>in</strong>g logistics facilities targeted to<br />

those overseas areas. Thus, <strong>the</strong> overseas port <strong>and</strong> <strong>the</strong>ir h<strong>in</strong>terl<strong>and</strong>s would likely have<br />

relatively few logistics facilities. In contrast, when <strong>the</strong> overseas port had strongly<br />

developed corridors serv<strong>in</strong>g larger parts of its own h<strong>in</strong>terl<strong>and</strong>, that port actually reduced<br />

<strong>the</strong> logistics attractiveness of <strong>the</strong> port through which it was feed<strong>in</strong>g. Logistics facilities<br />

would <strong>the</strong>n be located ei<strong>the</strong>r <strong>in</strong> <strong>the</strong> area surround<strong>in</strong>g <strong>the</strong> overseas port, or <strong>in</strong> its<br />

h<strong>in</strong>terl<strong>and</strong>. Overtime, when cargo throughputs <strong>in</strong> such ports <strong>in</strong>creased, <strong>the</strong>y might be<br />

directly served 12 .<br />

Moreover, as maritime conta<strong>in</strong>erised transport cont<strong>in</strong>ues to <strong>in</strong>crease, seaport access from<br />

<strong>the</strong> h<strong>in</strong>terl<strong>and</strong> is <strong>in</strong>creas<strong>in</strong>gly important for <strong>the</strong> efficiency of <strong>the</strong> transport cha<strong>in</strong>s as a<br />

whole. An answer to this issue is a dry port concept which is based on a seaport directly<br />

connected by rail with <strong>in</strong>l<strong>and</strong> <strong>in</strong>termodal term<strong>in</strong>als where shippers can leave <strong>and</strong>/or<br />

collect <strong>the</strong>ir cargo <strong>in</strong> <strong>in</strong>termodal load<strong>in</strong>g units as if directly at <strong>the</strong> seaport. Services such as<br />

storage, consolidation, depot, ma<strong>in</strong>tenance of conta<strong>in</strong>ers, track <strong>and</strong> trace, customs<br />

clearance, etc. are available at <strong>the</strong> dry port. The quality of <strong>the</strong> access to dry port <strong>and</strong> <strong>the</strong><br />

11 Notteboom T.E.: Concentration <strong>and</strong> <strong>the</strong> formation of multi-port gateway regions <strong>in</strong> <strong>the</strong> European conta<strong>in</strong>er<br />

port system: an update, Journal of Transport Geography, 2010<br />

12 Rodrigue J.P, Notteboom T.: Forel<strong>and</strong>-based regionalization: Integrat<strong>in</strong>g <strong>in</strong>termediate hubs with port<br />

h<strong>in</strong>terl<strong>and</strong>s, Research <strong>in</strong> Transportation Economics 27(2010), 2010<br />

16


quality of <strong>the</strong> road-rail <strong>in</strong>terface determ<strong>in</strong>es <strong>the</strong> dry port's performance. Scheduled <strong>and</strong><br />

reliable high- capacity transport to <strong>and</strong> from <strong>the</strong> seaport is <strong>the</strong>refore necessary. Thus, dry<br />

ports are implemented with <strong>the</strong> aim of improv<strong>in</strong>g <strong>the</strong> situation result<strong>in</strong>g from <strong>in</strong>creased<br />

conta<strong>in</strong>er flows, <strong>and</strong> a focus on security <strong>and</strong> control by <strong>the</strong> use of ICT tools 13 .<br />

The dry port extends <strong>the</strong> gates of <strong>the</strong> seaport <strong>in</strong>l<strong>and</strong>, with shippers view<strong>in</strong>g <strong>the</strong> dry port as<br />

an <strong>in</strong>terface to <strong>the</strong> seaport <strong>and</strong> shipp<strong>in</strong>g l<strong>in</strong>es. Conventional h<strong>in</strong>terl<strong>and</strong> transport is based<br />

on numerous l<strong>in</strong>ks by road <strong>and</strong> only a few by rail, which is generally limited to serv<strong>in</strong>g<br />

major urban centres at relatively large distances from <strong>the</strong> seaport. The implementation of<br />

a dry port concept reduces <strong>the</strong> number of transportation l<strong>in</strong>ks from/to <strong>the</strong> seaport.<br />

Implementation of a dry port <strong>in</strong> a seaport's immediate h<strong>in</strong>terl<strong>and</strong> <strong>in</strong>creases seaport's<br />

term<strong>in</strong>al capacity <strong>and</strong> with it comes <strong>the</strong> potential to <strong>in</strong>crease productivity s<strong>in</strong>ce bigger<br />

conta<strong>in</strong>er ships will be able to call at <strong>the</strong> seaport. With dry port implementation seaport's<br />

congestion from numerous lorries is avoided because one tra<strong>in</strong> can substitute about 35<br />

lorries <strong>in</strong> Europe. With reduced number of lorries on <strong>the</strong> roads congestion, accidents, road<br />

ma<strong>in</strong>tenance costs <strong>and</strong> local pollution are reduced as well. The benefits from distant dry<br />

ports derive from <strong>the</strong> modal shift from road to rail, result<strong>in</strong>g <strong>in</strong> reduced congestion at <strong>the</strong><br />

seaport gates <strong>and</strong> its surround<strong>in</strong>gs as well as reduced external environmental effects along<br />

<strong>the</strong> route 14 .<br />

With globalization, <strong>the</strong> function of transshipment hubs has become <strong>in</strong>creas<strong>in</strong>gly dom<strong>in</strong>at<strong>in</strong>g<br />

for long distance transport, particularly freight distributions. <strong>Hub</strong>s have been emerg<strong>in</strong>g<br />

s<strong>in</strong>ce <strong>the</strong> mid-1990s with<strong>in</strong> many global <strong>and</strong> regional port systems. These hubs tend to<br />

possess excellent nautical accessibilities, are located <strong>in</strong> close proximity to major l<strong>in</strong>er<br />

shipp<strong>in</strong>g routes, with some at <strong>the</strong> <strong>in</strong>tersection of north – south <strong>and</strong> east – west routes to<br />

accommodate cargo flows, <strong>and</strong> often possess l<strong>and</strong> reserve for future expansion. Term<strong>in</strong>als<br />

are typically owned, <strong>in</strong> whole or <strong>in</strong> part, by carriers or mult<strong>in</strong>ational term<strong>in</strong>al operators<br />

which efficiently use <strong>the</strong>se facilities. Yet, <strong>the</strong> hubs do not occur <strong>in</strong> all port systems, but<br />

around specific regions ideally suited for maritime hub-<strong>and</strong>-spoke distribution pattern,<br />

thanks to geographical, nautical <strong>and</strong> market-related advantages. Some markets seem to<br />

13 Roso V., Lumsden W., Woxenius K.: The dry port concept: connect<strong>in</strong>g conta<strong>in</strong>er seaports with <strong>the</strong> h<strong>in</strong>terl<strong>and</strong>,<br />

Journal of Transport Geography 17(2009), 2009<br />

14 Roso V.: Evaluation of <strong>the</strong> dry port concept from an Environmental perspective: A note, Transportation<br />

Research Part D12(2007), 2007<br />

17


offer <strong>the</strong> right conditions for <strong>the</strong> emergence of more than one transshipment hub, while<br />

o<strong>the</strong>r port systems do not feature any offshore hubs 15 .<br />

It is clear that <strong>the</strong> <strong>in</strong>sertion of hubs with<strong>in</strong> global shipp<strong>in</strong>g networks does not make <strong>the</strong><br />

ma<strong>in</strong>l<strong>and</strong> transshipment centres redundant. On <strong>the</strong> contrary, transshipment hubs multiply<br />

shipp<strong>in</strong>g options <strong>and</strong> as such, <strong>the</strong>y play fundamental roles <strong>in</strong> <strong>the</strong> optimization of vessel<br />

movements. As hubs account for about 85% of <strong>the</strong> global transshipment traffic, <strong>the</strong>y are<br />

<strong>the</strong> po<strong>in</strong>ts of convergence of regional shipp<strong>in</strong>g, essentially l<strong>in</strong>k<strong>in</strong>g <strong>and</strong> <strong>in</strong>terfac<strong>in</strong>g global<br />

<strong>and</strong> regional freight distribution systems 16 .<br />

On <strong>the</strong> o<strong>the</strong>r h<strong>and</strong>, conta<strong>in</strong>er port systems usually have to cope with higher volumes on<br />

specific routes, <strong>the</strong>reby support<strong>in</strong>g <strong>the</strong> <strong>development</strong> of direct services that bypass<br />

transshipment hubs. In o<strong>the</strong>r words, <strong>the</strong> <strong>in</strong>sertion of hubs can turn out to be just an<br />

<strong>in</strong>termediate stage <strong>in</strong> connect<strong>in</strong>g to <strong>the</strong> global l<strong>in</strong>er shipp<strong>in</strong>g networks. However, <strong>the</strong><br />

term<strong>in</strong>al operators <strong>in</strong> hubs ma<strong>in</strong>ly compete on basic resources such as location, nautical<br />

accessibility <strong>and</strong> term<strong>in</strong>al <strong>in</strong>frastructure <strong>and</strong> on <strong>the</strong> term<strong>in</strong>al productivity <strong>the</strong>y can offer <strong>in</strong><br />

terms of short vessel h<strong>and</strong>l<strong>in</strong>g time. These competitive sources can ra<strong>the</strong>r easily be<br />

imitated by competitors <strong>in</strong> neighbour<strong>in</strong>g locations, thus mak<strong>in</strong>g it very difficult to create<br />

susta<strong>in</strong>able competitive advantages 17 .<br />

Therefore, <strong>the</strong> hubs are <strong>in</strong>tegrated <strong>in</strong>to to <strong>the</strong> regional shipp<strong>in</strong>g networks, where <strong>the</strong><br />

maritime forel<strong>and</strong> of <strong>the</strong> hubs functionally is act<strong>in</strong>g as a h<strong>in</strong>terl<strong>and</strong>. For various reasons,<br />

for <strong>in</strong>stance, deviation, small volume <strong>and</strong> niche h<strong>in</strong>terl<strong>and</strong>, some ports are not that wellconnected<br />

to <strong>the</strong> global long distance shipp<strong>in</strong>g network <strong>and</strong> show limited opportunities to<br />

improve this connectivity, as shipp<strong>in</strong>g companies must consider effective configurations of<br />

<strong>the</strong> networks that tend to focus on major gateways <strong>and</strong> exist<strong>in</strong>g hubs. The hub enables a<br />

level of accessibility <strong>and</strong> such accessibility <strong>in</strong> cites <strong>the</strong>m to look beyond <strong>the</strong>ir conventional<br />

transshipment role. This <strong>in</strong>cludes actions to extract more values of cargo pass<strong>in</strong>g through<br />

<strong>and</strong>, as such, get more economic rents out of transshipment facilities 18 .<br />

Thus, hubs have better chances of consolidat<strong>in</strong>g <strong>the</strong>ir positions <strong>in</strong> l<strong>in</strong>er service networks if<br />

<strong>the</strong>y can offer value-added services that go beyond mere transshipment activities. These<br />

15 Notteboom T., Rodrigue J.P., Port regionalization: towards a new phase <strong>in</strong> port <strong>development</strong>. Maritime<br />

Policy <strong>and</strong> Management, 32(3), 2005<br />

16 Veldman S.J., Buckmann E.H.: A model on conta<strong>in</strong>er port competition: an application for <strong>the</strong> west European<br />

conta<strong>in</strong>er hub-ports. Journal of Maritime Economics <strong>and</strong> Logistics, 2006<br />

17 Wijnolst N., Wergel<strong>and</strong> T.: Shipp<strong>in</strong>g <strong>in</strong>novation. Alkmaar: Dynamar, 2008<br />

18 Chang Y.T., Lee S.-Y., Tongzon J., Chou C.C., Chu C.W., Liang G.S.: Port selection factors by shipp<strong>in</strong>g l<strong>in</strong>es:<br />

different perspectives between trunk l<strong>in</strong>ers <strong>and</strong> feeder service providers. Mar<strong>in</strong>e Policy, 32(6), 2008<br />

18


services should be based on attributes which are difficult to imitate by competitors, as<br />

<strong>the</strong>y rely on complex processes of cont<strong>in</strong>uous improvements <strong>and</strong> enhancements strongly<br />

embedded with<strong>in</strong> supply cha<strong>in</strong> networks. Among <strong>the</strong> activities that can be <strong>in</strong>volved,<br />

conta<strong>in</strong>er h<strong>and</strong>l<strong>in</strong>g <strong>and</strong> customization offer opportunities to adapt products to regional<br />

market characteristics, while keep<strong>in</strong>g <strong>the</strong> advantage of mass production upstream.<br />

Depend<strong>in</strong>g on <strong>the</strong> concerned supply cha<strong>in</strong>s, certa<strong>in</strong> <strong>in</strong>termediate locations may be able to<br />

<strong>in</strong>tegrate global production networks more effectively. The hub transshipment functions<br />

are thus multiplied with its closer <strong>in</strong>tegration with<strong>in</strong> supply cha<strong>in</strong> management. Also, <strong>the</strong>re<br />

is an opportunity, particularly if transload<strong>in</strong>g is already tak<strong>in</strong>g place, to <strong>in</strong>terface different<br />

conta<strong>in</strong>er leas<strong>in</strong>g markets, enabl<strong>in</strong>g better usage of conta<strong>in</strong>erized assets. Hence, shipp<strong>in</strong>g<br />

companies can ma<strong>in</strong>ta<strong>in</strong> <strong>the</strong>ir assets <strong>in</strong> constant circulation with<strong>in</strong> <strong>the</strong>ir networks, while at<br />

<strong>the</strong> same time regional leas<strong>in</strong>g companies can ma<strong>in</strong>ta<strong>in</strong> <strong>the</strong>ir assets with<strong>in</strong> a more<br />

bounded, but also more flexible market. By do<strong>in</strong>g so, reposition<strong>in</strong>g costs are also<br />

consequently reduced. Ano<strong>the</strong>r multiplier can be <strong>the</strong> possibility to custom-clear cargo<br />

bound to a regional market at <strong>the</strong> hub 19 .<br />

Moreover, if a core competence of <strong>the</strong> hub is based on a complexity of technologies <strong>and</strong><br />

skills, it will be difficult for competitors to imitate. Therefore, it will have a higher<br />

probability of generat<strong>in</strong>g competitive advantages <strong>and</strong> less vulnerable position for <strong>the</strong> hub<br />

concerned. Depend<strong>in</strong>g on regional geographical characteristics, namely deviation from<br />

shipp<strong>in</strong>g routes, <strong>the</strong>re are several reasons why hubs are likely to play more important roles<br />

that go beyond conventional hub-feeder, <strong>in</strong>terl<strong>in</strong><strong>in</strong>g <strong>and</strong> relay functions. First of all,<br />

economies of scale <strong>in</strong> shipp<strong>in</strong>g have reached a level seriously underm<strong>in</strong><strong>in</strong>g capacity of some<br />

ports, even those with significant h<strong>in</strong>terl<strong>and</strong>s. <strong>Hub</strong>s offer advantages of consolidation,<br />

while <strong>the</strong> consolidation of flows <strong>in</strong> a hub allows <strong>the</strong> <strong>development</strong> of artery routes served by<br />

large ma<strong>in</strong> l<strong>in</strong>e vessels. In fact, <strong>the</strong> recent economic crisis can help hubs, <strong>in</strong> <strong>the</strong> sense that<br />

shipp<strong>in</strong>g l<strong>in</strong>es are look<strong>in</strong>g for considerable sav<strong>in</strong>gs given <strong>the</strong> nearly-immediate drop <strong>in</strong><br />

freight rates, so <strong>the</strong>y have strong <strong>in</strong>centives for sav<strong>in</strong>gs through route optimization.<br />

Secondly, hubs are <strong>in</strong>creas<strong>in</strong>gly aware of <strong>the</strong> vulnerability of <strong>the</strong> transshipment bus<strong>in</strong>ess<br />

s<strong>in</strong>ce bound to <strong>the</strong> strategies of shipp<strong>in</strong>g l<strong>in</strong>es. In essence, transshipment <strong>and</strong> relay/<strong>in</strong>ter<br />

l<strong>in</strong><strong>in</strong>g traffic are l<strong>in</strong>ked to <strong>the</strong> decisions of shipp<strong>in</strong>g l<strong>in</strong>es with regard to l<strong>in</strong>er service<br />

network optimization <strong>and</strong> <strong>in</strong> pr<strong>in</strong>ciple do not take place due to shippers‘ requirements.<br />

However, <strong>the</strong> <strong>development</strong> of transshipment activities can give <strong>in</strong>centive to shippers to<br />

19 Rodrigue J.P, Notteboom T.: Forel<strong>and</strong>-based regionalization: Integrat<strong>in</strong>g <strong>in</strong>termediate hubs with port<br />

h<strong>in</strong>terl<strong>and</strong>s, Research <strong>in</strong> Transportation Economics 27(2010), 2010<br />

19


design <strong>the</strong>ir own distribution networks. This leads to strategies aim<strong>in</strong>g at extract<strong>in</strong>g more<br />

value from cargo through stronger l<strong>in</strong>ks with <strong>the</strong> regional port system. For example, <strong>the</strong><br />

<strong>development</strong> of distribution networks cantered on ma<strong>in</strong> distribution facilities near <strong>the</strong> hub<br />

generates additional cargo flows to shipp<strong>in</strong>g l<strong>in</strong>es. <strong>Hub</strong>s with a local cargo base can have<br />

additional advantage when compared to offshore locations, as <strong>the</strong> former are <strong>in</strong> a position<br />

to comb<strong>in</strong>e <strong>the</strong> transshipment functions with gateway functions 20 .<br />

1.3 Green corridor approach <strong>in</strong> <strong>the</strong> <strong>development</strong> <strong>and</strong> function of nodal<br />

po<strong>in</strong>ts.<br />

The green corridor approach implies a conta<strong>in</strong>er term<strong>in</strong>al is a vital part of <strong>the</strong> transport<br />

<strong>in</strong>frastructure s<strong>in</strong>ce it is a nodal po<strong>in</strong>t with<strong>in</strong> <strong>the</strong> logistics supply cha<strong>in</strong>s. Conta<strong>in</strong>er<br />

term<strong>in</strong>als are nodes that l<strong>in</strong>k with o<strong>the</strong>r <strong>in</strong>l<strong>and</strong> transport modes such as motorways,<br />

railways, <strong>and</strong> <strong>in</strong>l<strong>and</strong> waterway systems. Conta<strong>in</strong>er term<strong>in</strong>als have evolved from a cargo<br />

h<strong>and</strong>l<strong>in</strong>g po<strong>in</strong>t to a distribution centre with physical <strong>in</strong>frastructure serv<strong>in</strong>g as transport<br />

hubs <strong>in</strong> <strong>the</strong> conta<strong>in</strong>er supply cha<strong>in</strong>s. Hence, <strong>the</strong> conta<strong>in</strong>er term<strong>in</strong>al becomes an <strong>in</strong>terface<br />

between <strong>the</strong> areas of production <strong>and</strong> consumption, attract<strong>in</strong>g <strong>the</strong> attention of players <strong>in</strong><br />

<strong>the</strong> shipp<strong>in</strong>g <strong>and</strong> transport related areas. Conta<strong>in</strong>er term<strong>in</strong>als l<strong>in</strong>k key actors <strong>in</strong> <strong>the</strong><br />

<strong>in</strong>ternational conta<strong>in</strong>er transport cha<strong>in</strong> such as shippers, shipp<strong>in</strong>g l<strong>in</strong>es <strong>and</strong> <strong>in</strong>termodal<br />

transport operators. Conta<strong>in</strong>er term<strong>in</strong>al operators h<strong>and</strong>le <strong>the</strong> activities from receiv<strong>in</strong>g<br />

conta<strong>in</strong>ers to load<strong>in</strong>g onto ships <strong>and</strong> from dispatch<strong>in</strong>g conta<strong>in</strong>ers to discharg<strong>in</strong>g from ships.<br />

In addition, conta<strong>in</strong>er term<strong>in</strong>al operators undertake a series of plann<strong>in</strong>g activities such as<br />

yard plann<strong>in</strong>g, quayside plann<strong>in</strong>g <strong>and</strong> vessels tow<strong>in</strong>g plann<strong>in</strong>g.<br />

Introduction of green approach <strong>in</strong> <strong>the</strong> daily rout<strong>in</strong>es of <strong>the</strong> transport term<strong>in</strong>als as well as<br />

its plann<strong>in</strong>g of its <strong>development</strong> can result <strong>in</strong> reduction of <strong>the</strong> negative impacts of<br />

term<strong>in</strong>als‘ activities on <strong>the</strong> natural environment <strong>and</strong> contribute to overall improved<br />

term<strong>in</strong>al performance.<br />

Unlike regulatory requirements which are derived from <strong>the</strong> outside, a green practices<br />

consist of operational processes that arise from with<strong>in</strong> a term<strong>in</strong>al. A green practices are a<br />

set of <strong>in</strong>ternal efforts at bus<strong>in</strong>ess plann<strong>in</strong>g <strong>and</strong> implementation. Green practices consist of<br />

a bus<strong>in</strong>ess policy <strong>and</strong> a set of bus<strong>in</strong>ess processes that require term<strong>in</strong>als to assess <strong>the</strong>ir<br />

environmental impacts, determ<strong>in</strong>e environmental goals, implement environmental<br />

20 Notteboom T.E.: Concentration <strong>and</strong> <strong>the</strong> formation of multi-port gateway regions <strong>in</strong> <strong>the</strong> European conta<strong>in</strong>er<br />

port system: an update, Journal of Transport Geography, 2010<br />

20


operations, monitor goals atta<strong>in</strong>ment, <strong>and</strong> undergo management review. The first step <strong>in</strong><br />

green practices adoption is secur<strong>in</strong>g commitment of term<strong>in</strong>al <strong>and</strong> port managers to<br />

environmental policies. Activities, supported by top management, <strong>in</strong>corporate premise for<br />

cont<strong>in</strong>ual improvement of pollution prevention <strong>and</strong> compliance with relevant<br />

environmental legislation. The second green practices adoption step is <strong>the</strong> evaluation of<br />

bus<strong>in</strong>ess operations <strong>and</strong> goal sett<strong>in</strong>g. Dur<strong>in</strong>g this stage, decisions on how to translate its<br />

environmental policy <strong>in</strong>to action <strong>and</strong> bus<strong>in</strong>ess priorities are made. The third stage of green<br />

practices adoption should <strong>in</strong>volve <strong>the</strong> creation of a management structure <strong>and</strong> l<strong>in</strong>kage with<br />

bus<strong>in</strong>ess partners to realise its environmental goals 21 . As green practices <strong>in</strong>troduction is<br />

also a tool to improve <strong>the</strong> term<strong>in</strong>al‘s environmental management, i.e. monitor<strong>in</strong>g <strong>and</strong><br />

tak<strong>in</strong>g corrective action if necessary, is crucial for cont<strong>in</strong>uous environmental improvement.<br />

A management review should take place to provide critical assessments, new<br />

environmental concerns <strong>and</strong> recommendations 22 .<br />

It should be noted that <strong>in</strong>troduction of green practices <strong>in</strong> <strong>the</strong> term<strong>in</strong>al generates costs.<br />

Resources are required at <strong>the</strong> stage of evaluation <strong>and</strong> goal sett<strong>in</strong>g because term<strong>in</strong>als have<br />

to undertake extensive <strong>in</strong>ternal evaluations, employee tra<strong>in</strong><strong>in</strong>g <strong>and</strong> plan <strong>development</strong>. On<br />

<strong>the</strong> o<strong>the</strong>r h<strong>and</strong>, green approach can help term<strong>in</strong>als to assure that <strong>the</strong>ir management<br />

practices conform to environmental regulations. Green practices also assist term<strong>in</strong>als to<br />

scrut<strong>in</strong>ise <strong>the</strong>ir <strong>in</strong>ternal operations, engage employees <strong>in</strong> environmental issues, cont<strong>in</strong>ually<br />

monitor for environmental improvement, <strong>and</strong> <strong>in</strong>crease <strong>the</strong>ir knowledge about <strong>the</strong>ir<br />

operations. All of <strong>the</strong>se actions also can help term<strong>in</strong>als improve <strong>the</strong>ir <strong>in</strong>ternal operations<br />

<strong>and</strong> achieve greater efficiencies. As <strong>the</strong>se activities develop knowledge-based skills <strong>and</strong><br />

are difficult for competitors to imitate, green approach creates opportunities to ga<strong>in</strong><br />

competitive advantage. Adoption of green practices also encourages term<strong>in</strong>al to use more<br />

sophisticated environmental strategies that build on <strong>the</strong>ir basic environmental protection<br />

pr<strong>in</strong>ciples. For example, term<strong>in</strong>als may implement life cycle cost analysis <strong>and</strong> assess <strong>the</strong>ir<br />

activities at each stage of <strong>the</strong>ir value cha<strong>in</strong> to determ<strong>in</strong>e bus<strong>in</strong>ess priorities <strong>and</strong> actions to<br />

be taken. These advanced environmental strategies facilitate <strong>the</strong> <strong>in</strong>tegration of external<br />

stakeholders <strong>in</strong> to bus<strong>in</strong>ess operations. Hence, adoption of green practices can elim<strong>in</strong>ate<br />

environmentally hazardous operat<strong>in</strong>g processes <strong>and</strong> redesign exist<strong>in</strong>g operat<strong>in</strong>g systems to<br />

reduce lifecycle impacts. It offers an excellent opportunity to assess all aspects of <strong>the</strong>ir<br />

21 Darnall N, Edwards D. Predict<strong>in</strong>g <strong>the</strong> cost of environmental management system adoption: <strong>the</strong> role of<br />

capabilities, resources <strong>and</strong> ownership structure. Strategic Management Journal 2006<br />

22 Lun Y.H.Venus: Green management practices <strong>and</strong> firm performance: A case of conta<strong>in</strong>er term<strong>in</strong>al operations,<br />

Resources, Conservation <strong>and</strong> Recycl<strong>in</strong>g, 2011<br />

21


operations jo<strong>in</strong>tly, to m<strong>in</strong>imise <strong>the</strong> shift of environmental deamges from one subsystem to<br />

ano<strong>the</strong>r <strong>and</strong> achieve greater organisational efficiency. Through cont<strong>in</strong>ual environmental<br />

<strong>and</strong> organisational improvement, term<strong>in</strong>als may enjoy fur<strong>the</strong>r opportunities for<br />

comparative advantage 23 .<br />

With<strong>in</strong> <strong>the</strong> green approach <strong>the</strong>re can be identified three key elements:<br />

cooperation with supply cha<strong>in</strong> partners,<br />

environmentally friendly operations,<br />

<strong>in</strong>ternal management support.<br />

From <strong>the</strong> supply cha<strong>in</strong> perspective, <strong>in</strong> order to create cooperation with <strong>the</strong> cha<strong>in</strong>, <strong>the</strong>re<br />

should be developed a decision framework to evaluate alternatives to green practices<br />

adopted by term<strong>in</strong>als that affects <strong>the</strong>ir external relationships with suppliers <strong>and</strong><br />

customers. Fur<strong>the</strong>rmore, a modell<strong>in</strong>g approach should be used to optimise <strong>the</strong> logistics<br />

operations <strong>in</strong> a green supply cha<strong>in</strong>. These models <strong>and</strong> frameworks emphasise <strong>the</strong><br />

cooperation with supply cha<strong>in</strong> partners <strong>and</strong> def<strong>in</strong>e a variety of characteristics <strong>and</strong><br />

attributes for green practices 24 .<br />

Environmentally friendly operation could be identified us<strong>in</strong>g e.g. <strong>the</strong> tool of life-cycle<br />

assessment. Adoption of green practices takes place by identify<strong>in</strong>g material acquisition,<br />

preproduction, production, distribution, <strong>and</strong> disposals as key measures to assess possible<br />

green actions. These <strong>in</strong>clude materials used <strong>in</strong> product design for <strong>the</strong> environment,<br />

product design process, supplier process improvement, supplier evaluation, <strong>and</strong> <strong>in</strong> bound<br />

logistics processes 25 .<br />

On top of that, it is essential that <strong>the</strong> <strong>in</strong>ternal management of <strong>the</strong> term<strong>in</strong>al supports <strong>the</strong><br />

<strong>in</strong>troduction of green approach. In addition, it appears that commitment from senior <strong>and</strong><br />

mid-level managers, cross-functional cooperation with o<strong>the</strong>r entities which are also<br />

important factors <strong>in</strong>fluenc<strong>in</strong>g <strong>in</strong>ternal environmental management. It can be seen, that a<br />

number of benefits can be achieved by <strong>in</strong>tegrat<strong>in</strong>g environmental issues with corporate<br />

strategy. In such a case, environmental protection activities are embedded <strong>in</strong> bus<strong>in</strong>ess<br />

operations. Enhanc<strong>in</strong>g <strong>the</strong> bus<strong>in</strong>ess operations efficiently through green practices may<br />

23 Hart SL.: A natural resource – based view of <strong>the</strong> firm. Academy of Management Review 1995<br />

24 Sarkis J.: A strategic decision-mark<strong>in</strong>g framework for green supply cha<strong>in</strong> management. Journal of Clear<br />

Production 2003.<br />

25 Walton SY, H<strong>and</strong>field RB, Melnky ST.: The green supply cha<strong>in</strong>:<strong>in</strong>tegrat<strong>in</strong>g suppliers <strong>in</strong>to environmental<br />

management process. International Journal of Purchas<strong>in</strong>g <strong>and</strong> Materials Management 1998<br />

22


<strong>in</strong>g benefits to term<strong>in</strong>als. Thus, economic performance may be one of <strong>the</strong> drivers for<br />

term<strong>in</strong>al to implement <strong>the</strong>m. Potential advantageous ga<strong>in</strong>ed <strong>in</strong>clude decreased cost of<br />

energy consumption, material purchas<strong>in</strong>g, waste treatment, <strong>and</strong> waste discharge.<br />

Proactive green approach can prepare an enterprise for high performance through<br />

improvement of environmental risk <strong>and</strong> <strong>the</strong> <strong>development</strong> of approach for cont<strong>in</strong>uous<br />

environmental enhancement. Better environmental performance results <strong>in</strong> a competitive<br />

advantage that is reflected <strong>in</strong> <strong>the</strong> economic profits 26 .<br />

These three vital elements of <strong>the</strong> green approach connect environmental <strong>and</strong> economic<br />

performance. They cannot be <strong>in</strong>troduced to <strong>the</strong> strategy of any company, <strong>in</strong> this case,<br />

transport term<strong>in</strong>al, if <strong>the</strong>y do not br<strong>in</strong>g any significant economic ga<strong>in</strong>s. The market ga<strong>in</strong><br />

<strong>in</strong>cludes benefits based on <strong>the</strong> economy of scale <strong>and</strong> higher profits. This implies that<br />

term<strong>in</strong>al throughput <strong>and</strong> profit can be used as performance <strong>in</strong>dicators <strong>in</strong> <strong>the</strong> conta<strong>in</strong>er<br />

term<strong>in</strong>al <strong>in</strong>dustry. Ano<strong>the</strong>r market ga<strong>in</strong> are cost sav<strong>in</strong>gs such as greater productivity or<br />

lower operat<strong>in</strong>g cost due to reduced energy <strong>and</strong> material consumption. Hence, operat<strong>in</strong>g<br />

cost can be used as ano<strong>the</strong>r performance <strong>in</strong>dicator from <strong>the</strong> perspective of conta<strong>in</strong>er<br />

term<strong>in</strong>al operations.<br />

26 Zhu QH, Sarkis J.: Relationships between operational practices <strong>and</strong> performance among early adopters of<br />

green supply cha<strong>in</strong> management practices <strong>in</strong> Ch<strong>in</strong>ese manufactur<strong>in</strong>g enterprise. Journal of Management 2004<br />

23


2. <strong>Hub</strong>-h<strong>in</strong>terl<strong>and</strong> operations by <strong>the</strong> Port of Göteborg <strong>and</strong> Hamburg<br />

related to <strong>BSR</strong><br />

2.1 General remarks<br />

The <strong>in</strong>creas<strong>in</strong>g vertical <strong>in</strong>tegration <strong>in</strong> <strong>the</strong> supply cha<strong>in</strong>s has been observed <strong>in</strong> recent years.<br />

Seaports attempt to apply different coord<strong>in</strong>ation strategies with<strong>in</strong> compet<strong>in</strong>g transport<br />

cha<strong>in</strong>s <strong>in</strong> order to attract or secure greater conta<strong>in</strong>er flows, <strong>and</strong> <strong>the</strong>y identify four k<strong>in</strong>ds.<br />

On <strong>the</strong> o<strong>the</strong>r h<strong>and</strong>, <strong>the</strong> <strong>in</strong>creas<strong>in</strong>g vertical <strong>in</strong>tegration of shipp<strong>in</strong>g l<strong>in</strong>es meant to penetrate<br />

logistical <strong>and</strong> supply cha<strong>in</strong>s results <strong>in</strong> seaports choices be<strong>in</strong>g <strong>in</strong>creas<strong>in</strong>gly determ<strong>in</strong>ed by<br />

h<strong>in</strong>terl<strong>and</strong> factors such as <strong>in</strong>termodal <strong>in</strong>frastructure. Therefore an opportunity exists to<br />

make profits through logistical services that can sometimes offer a better return than <strong>the</strong><br />

maritime activities. Nowadays cargo moves freely ei<strong>the</strong>r to or from any <strong>in</strong>l<strong>and</strong> po<strong>in</strong>t<br />

beyond <strong>the</strong> port's traditional geographically delimited h<strong>in</strong>terl<strong>and</strong>. This means that <strong>the</strong> port<br />

can h<strong>and</strong>le cargoes larger than its captive market area, such as it is <strong>in</strong> <strong>the</strong> case of Port of<br />

Hamburg. The additional benefits <strong>in</strong>clude additional service options, more cargo, <strong>and</strong><br />

greater traffic densities which provide additional benefits for both local <strong>and</strong> distant users<br />

of seaport facilities.<br />

There is a visible trend towards us<strong>in</strong>g <strong>in</strong>l<strong>and</strong> <strong>in</strong>termodal term<strong>in</strong>als to enlarge <strong>the</strong> h<strong>in</strong>terl<strong>and</strong><br />

of <strong>the</strong> seaport <strong>and</strong> <strong>the</strong> <strong>in</strong>tegration of logistics services with<strong>in</strong> <strong>the</strong> transport cha<strong>in</strong>, as <strong>in</strong>l<strong>and</strong><br />

costs both transport <strong>and</strong> value-added services have <strong>in</strong>creased <strong>in</strong> importance to <strong>the</strong> door-todoor<br />

cost. Many shipp<strong>in</strong>g l<strong>in</strong>es <strong>the</strong>refore consider <strong>in</strong>l<strong>and</strong> logistics as <strong>the</strong> most vital area still<br />

left to cut costs. Due to this situation <strong>the</strong> port's role has changed from a monopoly to a<br />

dynamic <strong>in</strong>terl<strong>in</strong>k <strong>and</strong> a subsystem <strong>in</strong> <strong>the</strong> logistics cha<strong>in</strong>. Ports are required to drive <strong>and</strong><br />

not only react to <strong>development</strong>s <strong>in</strong> <strong>the</strong>ir h<strong>in</strong>terl<strong>and</strong> <strong>and</strong> forel<strong>and</strong>. The extension of a port's<br />

<strong>in</strong>fluence <strong>in</strong>to <strong>the</strong> h<strong>in</strong>terl<strong>and</strong> is one opportunity for port authorities to better <strong>in</strong>fluence <strong>the</strong><br />

future. However hierarchies <strong>in</strong> <strong>the</strong> transport cha<strong>in</strong> are chang<strong>in</strong>g. Ports <strong>the</strong>refore need to<br />

be active <strong>in</strong> extend<strong>in</strong>g or even ma<strong>in</strong>ta<strong>in</strong><strong>in</strong>g <strong>the</strong>ir h<strong>in</strong>terl<strong>and</strong>s 27 .<br />

Hence, <strong>the</strong> next subchapters will attempt to analyse <strong>the</strong> specific case studies of Ports of<br />

Göteborg <strong>and</strong> Hamburg <strong>in</strong> order to see how <strong>the</strong>ir h<strong>in</strong>terl<strong>and</strong> <strong>in</strong>termodal connections<br />

function <strong>and</strong> how <strong>the</strong>y are actively be<strong>in</strong>g created. And it is <strong>the</strong> well-developed <strong>in</strong>termodal<br />

network that makes <strong>the</strong>se ports successful nodal po<strong>in</strong>ts serv<strong>in</strong>g <strong>the</strong> Baltic transport system.<br />

27 McCalla R.J.: Global change, local pa<strong>in</strong>: <strong>in</strong>termodal seaport term<strong>in</strong>als <strong>and</strong> <strong>the</strong>ir service areas, Journal of<br />

Transport Geography7(4), 1999<br />

24


2.2 Rail shuttle system <strong>in</strong> <strong>the</strong> h<strong>in</strong>terl<strong>and</strong> of <strong>the</strong> Port of Göteborg<br />

Generally, <strong>in</strong> Sweden <strong>in</strong>l<strong>and</strong> term<strong>in</strong>als can be built <strong>and</strong> owned by municipalities. The<br />

<strong>in</strong>terest of municipalities is <strong>in</strong> improv<strong>in</strong>g <strong>the</strong> transport cha<strong>in</strong>, thus hop<strong>in</strong>g to achieve tw<strong>in</strong><br />

aims: <strong>in</strong>creas<strong>in</strong>g modal shift thus benefitt<strong>in</strong>g <strong>the</strong> environment, <strong>and</strong> <strong>in</strong>creased<br />

attractiveness for bus<strong>in</strong>esses to locate <strong>in</strong> <strong>the</strong> area, thus creat<strong>in</strong>g jobs <strong>and</strong> economic<br />

<strong>development</strong> <strong>in</strong> <strong>the</strong> municipality <strong>and</strong> region. Sweden is <strong>the</strong>refore a clear case of bottom-up<br />

<strong>development</strong>, although <strong>in</strong>terest<strong>in</strong>gly, while <strong>the</strong> <strong>development</strong>s are driven from <strong>the</strong><br />

perspective of <strong>the</strong> <strong>in</strong>l<strong>and</strong> term<strong>in</strong>al site, <strong>the</strong> municipalities are not seek<strong>in</strong>g to control <strong>the</strong><br />

flows <strong>the</strong>mselves; <strong>in</strong>deed <strong>the</strong>y seek actively to accommodate <strong>the</strong> seaport 28 .<br />

This <strong>in</strong>itially small level of vertical cooperation, where <strong>in</strong>l<strong>and</strong> term<strong>in</strong>als are constructed<br />

with <strong>the</strong> expectation of becom<strong>in</strong>g <strong>in</strong>tegrated with <strong>the</strong>ir seaports, results from <strong>the</strong><br />

activities of <strong>the</strong> municipality, which are not entirely motivated by profit. Therefore <strong>the</strong><br />

seaport has a degree of negotiat<strong>in</strong>g power because <strong>the</strong> municipalities have less motivation<br />

to sign deals with compet<strong>in</strong>g ports. However <strong>the</strong> seaports are now realis<strong>in</strong>g that <strong>in</strong>creased<br />

cooperation with <strong>in</strong>l<strong>and</strong> term<strong>in</strong>als is <strong>in</strong> <strong>the</strong>ir own <strong>in</strong>terest. Indeed, it may be that <strong>the</strong>y have<br />

realised that <strong>the</strong>y need to sign deals with term<strong>in</strong>als to control conta<strong>in</strong>er position<strong>in</strong>g before<br />

shipp<strong>in</strong>g l<strong>in</strong>es by pass <strong>the</strong> seaport <strong>and</strong> sign agreement directly with <strong>the</strong> <strong>in</strong>l<strong>and</strong> term<strong>in</strong>als<br />

<strong>the</strong>mselves, <strong>the</strong>refore directly controll<strong>in</strong>g <strong>the</strong>ir own h<strong>in</strong>terl<strong>and</strong> access.<br />

In order to achieve some level of control <strong>the</strong> Port of Göteborg has developed <strong>in</strong> <strong>the</strong> last<br />

decade an extensive network of rail shuttle connection <strong>in</strong> its h<strong>in</strong>terl<strong>and</strong>. The system<br />

currently consists of rail shuttle tra<strong>in</strong>s to more than 20 different dry ports <strong>in</strong> Sc<strong>and</strong><strong>in</strong>avia<br />

offered by 10 different rail operators. Over <strong>the</strong> years, shuttles have been added <strong>and</strong><br />

subtracted <strong>and</strong> <strong>the</strong> frequencies of services have varied over time. A few of <strong>the</strong> shuttles<br />

operate once or twice a week <strong>in</strong> each direction, <strong>the</strong> majority 5–7 days a week <strong>and</strong> <strong>the</strong> most<br />

frequent one operates 14 times a week <strong>in</strong> each direction. Most shuttles operate on<br />

moderate distances typically dom<strong>in</strong>ated by road transport. However, <strong>the</strong> shortest shuttle,<br />

about 10 km with<strong>in</strong> Göteborg, serves a stuff<strong>in</strong>g <strong>and</strong> stripp<strong>in</strong>g term<strong>in</strong>al, <strong>and</strong> a previous<br />

service to Uddevalla, about 100 km from Göteborg, moved <strong>the</strong> stuff<strong>in</strong>g <strong>and</strong> stripp<strong>in</strong>g<br />

activities out of <strong>the</strong> port area 29 .<br />

28 Lambert B., Monios J., Wilmsmeier G.: The directional <strong>development</strong> of <strong>in</strong>termodal freight corridors <strong>in</strong><br />

relation to <strong>in</strong>l<strong>and</strong> term<strong>in</strong>als, Journal of Transport Geography 19(2011), 2011<br />

29 Bergqvist R., Woxenius J.: Compar<strong>in</strong>g maritime conta<strong>in</strong>ers <strong>and</strong> semi-trailers <strong>in</strong> <strong>the</strong> context of h<strong>in</strong>terl<strong>and</strong><br />

Transport by rail, Journal of Transport Geography 19(2011), 2011<br />

25


Fig. 3. Port of Göteborg <strong>and</strong> its h<strong>in</strong>terl<strong>and</strong> <strong>and</strong> forel<strong>and</strong> connections<br />

Source: The Port <strong>in</strong> Short, Port of Göteborg, www.portgot.se<br />

The current conta<strong>in</strong>er rail shuttle services moved 340 000 TEU <strong>in</strong> 2008 with a turnover of<br />

approximately 60 million EUR. The system h<strong>and</strong>les about 55% of all conta<strong>in</strong>ers to <strong>and</strong> from<br />

Port of Göteborg. The current rail shuttle system decreases transport costs by about<br />

6 million EUR annually. The system also relieves <strong>the</strong> streets of Göteborg <strong>and</strong> decreases CO 2<br />

emissions by about 42 000 tons every year. In total, <strong>the</strong> system employs about 400 people.<br />

The growth of <strong>the</strong> system has been driven by a systematic process that started with a<br />

decision by <strong>the</strong> board of directors at Port of Göteborg that half of <strong>the</strong> growth <strong>in</strong> <strong>the</strong><br />

conta<strong>in</strong>er segment should enter or leave <strong>the</strong> port by rail. The rail shuttle system has<br />

surpassed this goal, <strong>and</strong> over <strong>the</strong> last 7–8 years has grown by about 15% annually 30 .<br />

30 Bergqvist R., Woxenius J.: The Development of H<strong>in</strong>terl<strong>and</strong> Transport by Rail – The Story of Sc<strong>and</strong><strong>in</strong>avia <strong>and</strong><br />

<strong>the</strong> Port of Go<strong>the</strong>nburg, <strong>the</strong> International Bus<strong>in</strong>ess Research Conference, Jacksonville,Florida, 2009<br />

26


Fig. 4. The Port of Göteborg rail shuttle system<br />

Remarks: Numbers refer to dedicated port shuttles with daily rail services.<br />

Source: The Port <strong>in</strong> Short, Port of Göteborg, www.portgot.se<br />

The growth has occurred dur<strong>in</strong>g a period of extraord<strong>in</strong>ary growth <strong>in</strong> conta<strong>in</strong>er l<strong>in</strong>er<br />

shipp<strong>in</strong>g <strong>and</strong> positive general trade outlooks. At <strong>the</strong> beg<strong>in</strong>n<strong>in</strong>g of 2009 <strong>the</strong> Sc<strong>and</strong><strong>in</strong>avian rail<br />

shuttle system had <strong>in</strong>creased its market share to 45%, up from 40% compared to 2008, <strong>and</strong><br />

Port of Göteborg expects this share to grow even fur<strong>the</strong>r, as proved by <strong>the</strong> figures for 2010<br />

with a market share for rail of about 55%. Port of Göteborg also h<strong>and</strong>les more than<br />

500 000 RoRo units annually <strong>in</strong> term<strong>in</strong>als at both banks of <strong>the</strong> river Göta that flows through<br />

<strong>the</strong> city. The dedicated RoRo freighters of shipp<strong>in</strong>g l<strong>in</strong>es like DFDS or L<strong>in</strong>e<strong>and</strong> Cobel fret<br />

call at <strong>the</strong> term<strong>in</strong>als on <strong>the</strong> north bank, where a substantial conta<strong>in</strong>er term<strong>in</strong>al with a<br />

throughput of 818 000 TEU <strong>in</strong> 2009 is also located. Stena L<strong>in</strong>e uses its own term<strong>in</strong>als on <strong>the</strong><br />

south bank for both dedicated RoRo freighter s<strong>and</strong> ferries carry<strong>in</strong>g passengers. The fleet of<br />

27


vessels operated by Stena <strong>and</strong> deployed <strong>in</strong> Göteborg is primarily of RoRo/passenger<br />

(RoPax) character. From Göteborg, Stena calls daily at Fredrikshamn<strong>in</strong> Denmark <strong>and</strong> Kiel<strong>in</strong><br />

Germany 31 .<br />

About 50 000 of <strong>the</strong> semi-trailers transported by Stena L<strong>in</strong>e are transported via <strong>the</strong><br />

conventional <strong>in</strong>termodal term<strong>in</strong>al <strong>in</strong> <strong>the</strong> city centre, about 5km from <strong>the</strong> docks, for rail<br />

transport through out Sc<strong>and</strong><strong>in</strong>avia by Cargo Net. The lease contract of <strong>the</strong> Stena term<strong>in</strong>al<br />

<strong>in</strong> <strong>the</strong> city centre is soon to be renegotiated with <strong>the</strong> municipality of Göteborg <strong>and</strong> <strong>the</strong>re is<br />

a debate <strong>in</strong> <strong>the</strong> city on whe<strong>the</strong>r to move <strong>the</strong> term<strong>in</strong>al to <strong>the</strong> north bank.<br />

Although most Swedish <strong>in</strong>termodal term<strong>in</strong>als can h<strong>and</strong>le semi trailers, <strong>the</strong>re is a technical<br />

<strong>and</strong> logistics barrier <strong>in</strong> <strong>the</strong> sense that a relatively small proportion of semi-trailers are<br />

fitted for vertical h<strong>and</strong>l<strong>in</strong>g by gantry crane or reach-stacker, although even large volume<br />

semi-trailers, so called mega trailers, can now be moved by rail.<br />

In 2006, which is regarded as <strong>the</strong> last representative year, <strong>the</strong> total volume h<strong>and</strong>led <strong>in</strong> <strong>the</strong><br />

RoRo term<strong>in</strong>als at <strong>the</strong> north bank was about 100 000 units for export <strong>and</strong> about 105 000 for<br />

import. The semi trailers orig<strong>in</strong>ate or have <strong>the</strong>ir f<strong>in</strong>al dest<strong>in</strong>ation <strong>in</strong> one of 22 ma<strong>in</strong><br />

regions, def<strong>in</strong>ed by Port of Göteborg <strong>the</strong> catchments area around a major <strong>in</strong>termodal<br />

term<strong>in</strong>al. The share of empty units has not been obta<strong>in</strong>ed <strong>in</strong> <strong>the</strong> statistics, but <strong>the</strong> work<br />

content for <strong>the</strong> ports <strong>and</strong> <strong>the</strong> sea <strong>and</strong> rail operators is basically <strong>the</strong> same for loaded <strong>and</strong><br />

empty units. There are more than 20 Sc<strong>and</strong><strong>in</strong>avian regions <strong>in</strong>volved <strong>in</strong> <strong>the</strong> transport of<br />

semi-trailers, but <strong>the</strong> flows are far from evenly distributed between <strong>the</strong>m.<br />

Although some of <strong>the</strong> conta<strong>in</strong>er shuttles connect<strong>in</strong>g Port of Göteborg prosper at transport<br />

distances of less than 150 km, <strong>the</strong> closest distance range is here deemed to be virtually out<br />

of reach for semi-trailers on rail due to <strong>the</strong> semi-trailers‘ strict turn-around schedules.<br />

Never<strong>the</strong>less, one semi trailer shuttle of just 50km was considered <strong>in</strong> 2004, as <strong>the</strong><br />

petrochemical <strong>in</strong>dustry <strong>in</strong> Stenungsund had to adhere to an emission cap when extend<strong>in</strong>g<br />

<strong>the</strong>ir production facilities, but <strong>the</strong> shuttle has not been realised. Lack<strong>in</strong>g special conditions<br />

that foster <strong>the</strong> competitiveness of rail for very short distances, <strong>the</strong> 100 000 semi-trailers<br />

transported fur<strong>the</strong>r than 150 km should still be with<strong>in</strong> competitive reach for rail 32 .<br />

A major draw back for on-dock rail is that <strong>the</strong> RoRo h<strong>and</strong>l<strong>in</strong>g is not concentrated <strong>in</strong> one<br />

term<strong>in</strong>al as conta<strong>in</strong>er h<strong>and</strong>l<strong>in</strong>g is, but is <strong>in</strong>stead spread around <strong>the</strong> port area. This impedes<br />

<strong>the</strong> mix of conta<strong>in</strong>er s<strong>and</strong> semi-trailers <strong>in</strong> <strong>the</strong> rail shuttle services; ei<strong>the</strong>r <strong>the</strong> h<strong>and</strong>l<strong>in</strong>g are<br />

31 Thorén S.G.: General manager bus<strong>in</strong>ess area rail, Port of Go<strong>the</strong>nburg. Interview, 2010<br />

32 Bär<strong>the</strong>l F.: Prestudy Rail Term<strong>in</strong>al Stenungsund, Chalmers University of Technology,Go<strong>the</strong>nburg, 2004<br />

28


a <strong>in</strong> <strong>the</strong> port has to be designed for multipurpose h<strong>and</strong>l<strong>in</strong>g, or <strong>the</strong>se to wagons has to be<br />

separated <strong>in</strong> to semi-trailers <strong>and</strong> conta<strong>in</strong>ers. Both solutions require some <strong>in</strong>vestment,<br />

plann<strong>in</strong>g <strong>and</strong> movement between <strong>the</strong> term<strong>in</strong>als on road or rail.<br />

An alternative is to have different rail shuttles for <strong>the</strong> different load units. The most<br />

favourable solutions, from a rail operator‘s perspective, is to comb<strong>in</strong>e different types of<br />

load units <strong>in</strong> order to facilitate capacity utilisation <strong>and</strong> flexibility by mix<strong>in</strong>g different<br />

segments that ultimately lead to <strong>in</strong>creased portability. This is also <strong>the</strong> current situation for<br />

Port of Göteborg, as it has trials for different rail shuttles <strong>in</strong> which conta<strong>in</strong>ers <strong>and</strong> semi<br />

trailers are mixed <strong>in</strong> <strong>the</strong> tra<strong>in</strong>s.<br />

A major issue for many European ports <strong>and</strong> for Port of Göteborg <strong>in</strong> particular is how to<br />

design <strong>and</strong> develop <strong>the</strong> <strong>in</strong>-house rail term<strong>in</strong>al <strong>in</strong> order to improve <strong>the</strong> system based on <strong>the</strong><br />

distribution of conta<strong>in</strong>ers <strong>and</strong> semi-trailers transported by rail. The different segments put<br />

completely different dem<strong>and</strong>s on <strong>the</strong> h<strong>and</strong>l<strong>in</strong>g operations <strong>and</strong> <strong>the</strong> design is essential for<br />

<strong>the</strong> port‘s total efficiency. One key factor limit<strong>in</strong>g <strong>the</strong> market potential of semi-trailers on<br />

rail shuttles to <strong>and</strong> from Port of Göteborg is <strong>the</strong> lack of railway tracks. The Stena term<strong>in</strong>al<br />

was designed for easy access for passengers by public transport or cars, as well as for truck<br />

drivers, so <strong>the</strong>re was little effort made to facilitate on-dock rail. There are no plans for<br />

future rail connections at <strong>the</strong> current site, but relocation of <strong>the</strong> Stena term<strong>in</strong>als is under<br />

discussion. The tracks along <strong>the</strong> nor<strong>the</strong>rn bank are also used by Volvo Cars <strong>and</strong> <strong>the</strong> port<br />

access track lacks capacity for a significant <strong>in</strong>crease. There is a current plann<strong>in</strong>g process<br />

for address<strong>in</strong>g this capacity problem, but new capacity will not be realised for many years.<br />

While await<strong>in</strong>g a direct solution <strong>in</strong> terms of <strong>in</strong>frastructure, <strong>the</strong>re is a need to change <strong>the</strong><br />

way rail shuttles are consolidated <strong>and</strong> coord<strong>in</strong>ated. Coord<strong>in</strong>ation is a key issue when <strong>the</strong><br />

conta<strong>in</strong>ers <strong>and</strong> semi trailer segments differ significantly.<br />

Over <strong>the</strong> last decade, <strong>the</strong> number of rail term<strong>in</strong>als <strong>in</strong> Sweden has grown, <strong>and</strong> recently<br />

some of <strong>the</strong>se term<strong>in</strong>als (e.g. Eskilstuna) have begun to use <strong>the</strong> term ‗‗dry port‘‘ <strong>in</strong> <strong>the</strong>ir<br />

name. However none of <strong>the</strong>se term<strong>in</strong>als fit ei<strong>the</strong>r <strong>the</strong> dry port def<strong>in</strong>itions, demonstrat<strong>in</strong>g<br />

how <strong>the</strong> term can be used <strong>in</strong> <strong>in</strong>dustry without precise mean<strong>in</strong>g.<br />

In <strong>the</strong> past, <strong>the</strong> Port of Göteborg has not needed to be proactive <strong>in</strong> develop<strong>in</strong>g term<strong>in</strong>als to<br />

extend its h<strong>in</strong>terl<strong>and</strong> because o<strong>the</strong>r actors have been motivated to implement <strong>in</strong>l<strong>and</strong><br />

term<strong>in</strong>als <strong>the</strong>mselves. Recently, <strong>the</strong>se a port has become more <strong>in</strong>terested <strong>in</strong> a share of<br />

control <strong>in</strong> <strong>the</strong> term<strong>in</strong>al operations. In return, <strong>the</strong> <strong>in</strong>l<strong>and</strong> term<strong>in</strong>als ga<strong>in</strong> br<strong>and</strong> association<br />

<strong>and</strong> greater <strong>in</strong>tegration with <strong>the</strong> seaport, which it is hoped will be developed over time<br />

<strong>in</strong>to greater IT <strong>in</strong>tegration result<strong>in</strong>g <strong>in</strong> efficiency ga<strong>in</strong>s for <strong>the</strong> entire transport cha<strong>in</strong>. The<br />

29


port authorities have <strong>in</strong> <strong>the</strong> past been afraid of competition with <strong>in</strong>l<strong>and</strong> term<strong>in</strong>als but some<br />

are recognis<strong>in</strong>g that <strong>the</strong>re are many benefits to cooperation.<br />

One example of such a port – <strong>in</strong>l<strong>and</strong> term<strong>in</strong>al cooperation can be <strong>the</strong> <strong>in</strong>termodal term<strong>in</strong>al,<br />

Nordic Logistic Center (NLC) that has a direct access to Port of Göteborg. S<strong>in</strong>ce <strong>the</strong><br />

<strong>in</strong>dustry <strong>in</strong> Nor<strong>the</strong>rn Sweden (i.e. <strong>the</strong> counties of Jämtl<strong>and</strong>, Västernorrl<strong>and</strong>, Västerbotten<br />

<strong>and</strong> Norrbotten) to a great part contributes to <strong>the</strong> Swedish export, <strong>the</strong> southbound<br />

transport flows are almost twice as big as <strong>the</strong> northbound, both for rail transport <strong>and</strong> sea<br />

transport. But this is not <strong>the</strong> case for road transports that carries somewhat bigger<br />

northbound flows than southbound. Rail transport count for about 60% of <strong>the</strong> total<br />

transports <strong>in</strong> nor<strong>the</strong>rn Sweden <strong>and</strong> this share might get even higher <strong>in</strong> <strong>the</strong> future s<strong>in</strong>ce<br />

<strong>the</strong>re is a great dem<strong>and</strong> for environmentally susta<strong>in</strong>able transport solutions. As <strong>the</strong> cost for<br />

road transport raises, <strong>the</strong> relative cost for reload<strong>in</strong>g goods decreases, mak<strong>in</strong>g it profitable<br />

to move goods from road to rail even for shorter transports. The key term<strong>in</strong>al, NLC, for<br />

<strong>the</strong>se k<strong>in</strong>ds of <strong>in</strong>termodal transports <strong>in</strong> Nor<strong>the</strong>rn Sweden was opened <strong>in</strong> Umeå <strong>in</strong> 2010.<br />

Fig. 5. Location schematic of Nordic Logistics Centre towards <strong>in</strong>frastructure network<br />

Source: www.nlc.se<br />

NLC is located beside an <strong>in</strong>termodal term<strong>in</strong>al also a rail port 33 for <strong>the</strong> Port of Göteborg.<br />

The capacity of <strong>the</strong> new non-stop tra<strong>in</strong>s Umeå – Göteborg equals that of 480 lorries per<br />

week. It will reduce <strong>the</strong> road congestion <strong>and</strong> wear <strong>and</strong> cut <strong>the</strong> environmental impact of<br />

33 The Port of Go<strong>the</strong>nburg has worked out a new concept called RailPort Sc<strong>and</strong><strong>in</strong>avia. The idea is to br<strong>in</strong>g a<br />

large number of tra<strong>in</strong> commuter stations <strong>in</strong> Sweden closer to <strong>the</strong> port by lett<strong>in</strong>g <strong>the</strong>m h<strong>and</strong>le customs<br />

procedures, store-keep<strong>in</strong>g, documentation <strong>and</strong> o<strong>the</strong>r services.<br />

30


long goods transports. The rail port term<strong>in</strong>al covers approximately 30,000 square meters<br />

<strong>and</strong> has room for around 1,000 shipp<strong>in</strong>g conta<strong>in</strong>ers <strong>and</strong> 100 lorry trailers at <strong>the</strong> same time.<br />

The new rail port term<strong>in</strong>al streng<strong>the</strong>ns <strong>the</strong> position of Umeå as a natural transport <strong>and</strong><br />

logistics hub <strong>in</strong> Nor<strong>the</strong>rn Sc<strong>and</strong><strong>in</strong>avia. Particularly <strong>the</strong> economy <strong>in</strong> <strong>the</strong> nor<strong>the</strong>rn parts will<br />

benefit from this. The export <strong>in</strong>dustry <strong>and</strong> trad<strong>in</strong>g companies with <strong>in</strong>ternational products<br />

<strong>in</strong> Nor<strong>the</strong>rn Sweden are presented with new ways of rational goods h<strong>and</strong>l<strong>in</strong>g <strong>and</strong> quick, on<br />

time delivery-guaranteed transports.<br />

Fig. 6. Nordic Logistics Centre<br />

Source: www.nlc.se<br />

With <strong>the</strong> rail port concept <strong>the</strong> bus<strong>in</strong>ess world <strong>in</strong> <strong>the</strong> nor<strong>the</strong>rn parts ga<strong>in</strong>s direct access to<br />

<strong>the</strong> largest supply of transports by sea among <strong>the</strong> Nordic countries. The Port of Göteborg<br />

starts <strong>in</strong> Umeå.<br />

The general <strong>in</strong>crease <strong>in</strong> value of transported goods puts higher dem<strong>and</strong>s on <strong>the</strong> transport<br />

quality. Consider<strong>in</strong>g that, <strong>and</strong> <strong>the</strong> more rigorous environmental requirements, <strong>in</strong>termodal<br />

traffic presents clear advantages. With <strong>in</strong>creased efficiency come competition, <strong>and</strong> thus a<br />

market <strong>in</strong>terest for new transport solutions with comb<strong>in</strong>ed traffic as a core element. The<br />

maps below show examples of new tra<strong>in</strong> set-ups.<br />

31


Fig. 7. Direct tra<strong>in</strong>s to/from Umeå<br />

Source: www.nlc.se<br />

2.3 Rail shuttle services <strong>in</strong> <strong>the</strong> h<strong>in</strong>terl<strong>and</strong> of Port of Hamburg<br />

The Port of Hamburg is well established among <strong>the</strong> North Sea ports, particularly <strong>in</strong> respect<br />

of <strong>the</strong> market share ga<strong>in</strong>s, <strong>and</strong> it offers very good <strong>development</strong> perspectives <strong>in</strong> <strong>the</strong> near<br />

<strong>and</strong> long-term future. Due to its geographical location, Hamburg is a natural <strong>in</strong>terface<br />

between East <strong>and</strong> West Europe. Fur<strong>the</strong>rmore, Hamburg is well positioned for <strong>the</strong> fast<br />

develop<strong>in</strong>g Europe – Far East trades.<br />

The Port of Hamburg <strong>in</strong>creased its total conta<strong>in</strong>er h<strong>and</strong>l<strong>in</strong>g volumes to 78,4 mln tonnes <strong>in</strong><br />

2010 compared to 71,2 mln tonnes <strong>in</strong> 2009. With<strong>in</strong> <strong>the</strong> North-Range 34 , Hamburg proved <strong>the</strong><br />

highest ga<strong>in</strong> compared to Bremerhaven, Antwerp <strong>and</strong> Rotterdam, <strong>and</strong> improved<br />

consequently also its market share among those compet<strong>in</strong>g ports. In order to cope with <strong>the</strong><br />

34 North Range are <strong>the</strong> North Sea ports such as Antwerp, Rotterdam, Bremen <strong>and</strong> Bremerhaven, <strong>and</strong> Hamburg<br />

32


challenges <strong>in</strong> this highly competitive port range, <strong>the</strong> Port of Hamburg has to adapt its l<strong>and</strong><strong>and</strong><br />

sea-side <strong>in</strong>frastructure to assure <strong>the</strong> highest st<strong>and</strong>ards <strong>and</strong> quality to serve both <strong>the</strong><br />

<strong>development</strong> <strong>in</strong> vessel sizes <strong>and</strong> <strong>the</strong> expected growth <strong>in</strong> h<strong>and</strong>l<strong>in</strong>g volumes.<br />

It is estimated, that Port of Hamburg will have annual average growth rates of 9,4% until<br />

2015, while at <strong>the</strong> same time <strong>the</strong> annual growth rate for <strong>the</strong> whole North-Range is assumed<br />

at almost 8%. For Hamburg this assumption results <strong>in</strong> a total h<strong>and</strong>l<strong>in</strong>g potential of about 18<br />

million TEU <strong>in</strong> 2015, provided that <strong>the</strong> necessary capacities <strong>in</strong>side <strong>the</strong> port, but also <strong>in</strong> <strong>the</strong><br />

sea <strong>and</strong> l<strong>and</strong> access will be prepared 35 .<br />

In order to cope with <strong>the</strong> future challenges <strong>in</strong> <strong>the</strong> conta<strong>in</strong>er market, <strong>the</strong> Port of Hamburg is<br />

cont<strong>in</strong>uously updat<strong>in</strong>g <strong>and</strong> improv<strong>in</strong>g its „Port Development Plan― <strong>and</strong> „Special Investment<br />

Programme‖. The ―Port Development Plan‖ analyses every five years <strong>the</strong> current situation<br />

<strong>and</strong> <strong>the</strong> <strong>development</strong> potentials of <strong>the</strong> Port of Hamburg <strong>and</strong> plans future extension<br />

measures for <strong>the</strong> port based on this analysis. In <strong>the</strong> foreground are <strong>the</strong> extensions of <strong>the</strong><br />

capacity of <strong>the</strong> exist<strong>in</strong>g conta<strong>in</strong>er term<strong>in</strong>als as well as <strong>the</strong> preparation of additional<br />

capacities <strong>in</strong> <strong>the</strong> o<strong>the</strong>r parts of <strong>the</strong> port. Additionally, h<strong>in</strong>terl<strong>and</strong> connections <strong>and</strong> services<br />

are considered as well due to Hamburg‘s role not only as a major conta<strong>in</strong>er port with an<br />

appropriate h<strong>in</strong>terl<strong>and</strong> <strong>in</strong>frastructure but also as a logistic hub. Here, priorities are given<br />

to <strong>the</strong> improvement of <strong>the</strong> rail connections, <strong>the</strong> necessary depth <strong>and</strong> maritime access, <strong>and</strong><br />

extension of road l<strong>in</strong>ks.<br />

The exist<strong>in</strong>g capacities of <strong>the</strong> conta<strong>in</strong>er term<strong>in</strong>als are be<strong>in</strong>g gradually extended. The<br />

HHLA 36 Conta<strong>in</strong>er Term<strong>in</strong>al Altenwerder, as one of <strong>the</strong> world most modern term<strong>in</strong>al, was<br />

<strong>in</strong>troduced <strong>in</strong>to <strong>the</strong> market <strong>in</strong> 2002, <strong>and</strong> meanwhile <strong>the</strong>re are four berths operat<strong>in</strong>g. By<br />

2010, <strong>the</strong> capacity of <strong>the</strong> Altenwerder Term<strong>in</strong>al had been <strong>in</strong>creased to 3 million TEU per<br />

year. The HHLA Conta<strong>in</strong>er Term<strong>in</strong>al Burchardkai is Hamburg‘s biggest term<strong>in</strong>al. By 2010 <strong>the</strong><br />

conta<strong>in</strong>er capacity <strong>in</strong>creased up to 5,2 million TEU. The Tollerort Term<strong>in</strong>al has a capacity<br />

of more than 2 million TEU. The Conta<strong>in</strong>er Term<strong>in</strong>al of <strong>the</strong> Eurogate Group <strong>in</strong> Hamburg<br />

restructur<strong>in</strong>g measures <strong>and</strong> a westward expansion will <strong>in</strong>crease <strong>the</strong> capacity to 5 million<br />

TEU.<br />

In addition to <strong>the</strong> exist<strong>in</strong>g term<strong>in</strong>als, it is planned <strong>the</strong> Conta<strong>in</strong>er Term<strong>in</strong>al Ste<strong>in</strong>werder at<br />

<strong>the</strong> area of <strong>the</strong> Central Freeport to be built, add<strong>in</strong>g 3,5 million TEU capacity to <strong>the</strong><br />

35 Survey of <strong>the</strong> conta<strong>in</strong>er port <strong>development</strong> <strong>in</strong> Germany, ISL, 2007.<br />

36 HHLA - Hamburger Hafen und Logistik AG operates three conta<strong>in</strong>er term<strong>in</strong>als at <strong>the</strong> Port of Hamburg:<br />

Altenwerder, Burchardkai <strong>and</strong> Tollerort<br />

33


exist<strong>in</strong>g one. And ano<strong>the</strong>r term<strong>in</strong>al is planned which will be called Conta<strong>in</strong>er Term<strong>in</strong>al<br />

Moorburg close to <strong>the</strong> Altenwerder Term<strong>in</strong>al. However, this is envisaged as a long-term<br />

project to be realised after 2015.<br />

The fairway adaptation takes place on need-to-need basis, due to <strong>the</strong> trend of bigger<br />

vessels seizes, particularly on <strong>the</strong> Far East trades, a fur<strong>the</strong>r deepen<strong>in</strong>g of <strong>the</strong> river Elbe<br />

was necessary to allow those large conta<strong>in</strong>er ships an unrestricted access to <strong>the</strong> Port of<br />

Hamburg. This adaptation allows vessels with a draft of up to 13,5 m <strong>and</strong> with a draft of<br />

14,5 m to call <strong>the</strong> Port of Hamburg.<br />

Besides <strong>in</strong>ternal restructur<strong>in</strong>g of bottlenecks <strong>and</strong> <strong>the</strong> <strong>in</strong>troduction of new road signs, <strong>the</strong><br />

crossport motorway l<strong>in</strong>k A252, which is part of <strong>the</strong> Trans-European Road Network, is a key<br />

measure to connect <strong>the</strong> A7 motorway net of Hamburg to <strong>the</strong> A1 on <strong>the</strong> east. This high<br />

capacity east-west connection provides a better access from <strong>the</strong> port area to <strong>the</strong><br />

supraregional <strong>and</strong> Trans-European long-distance road network. Moreover, this l<strong>in</strong>k will<br />

relieve <strong>the</strong> port related roads from pure transit traffic.<br />

The river Elbe is an essential commercial shipp<strong>in</strong>g route that provides a vital transport l<strong>in</strong>k<br />

for Central Europe, connect<strong>in</strong>g <strong>the</strong> Czech Republic, Pol<strong>and</strong>, Eastern Germany <strong>and</strong> <strong>the</strong><br />

region around Berl<strong>in</strong> with <strong>the</strong> Port of Hamburg. With regard to conta<strong>in</strong>er transport by<br />

<strong>in</strong>l<strong>and</strong> navigation it is crucial that <strong>the</strong> river Middle <strong>and</strong> Upper Elbe have sufficient depth.<br />

Therefore, <strong>the</strong> programme to exp<strong>and</strong> <strong>the</strong> Elbe as a federal waterway has been prepared.<br />

Source: Hamburger Hafen und Logistik AG<br />

Fig. 8. Port of Hamburg h<strong>in</strong>terl<strong>and</strong> connections<br />

34


For <strong>the</strong> Port of Hamburg rail transport is <strong>the</strong> most important h<strong>in</strong>terl<strong>and</strong> transport mode.<br />

Nearly 30% of all conta<strong>in</strong>er h<strong>in</strong>terl<strong>and</strong> traffic is transported by rail. In long-distance traffic<br />

this share is even 70%. With<strong>in</strong> <strong>the</strong> City of Hamburg <strong>the</strong> Port Railway is responsible for <strong>the</strong><br />

railway <strong>in</strong>frastructure. The number of tra<strong>in</strong>s per day was expected to double by 2010.<br />

Consequently, a modernisation <strong>and</strong> <strong>development</strong> programme has been set up to achieve<br />

<strong>the</strong> required capacity dem<strong>and</strong> from 200 tra<strong>in</strong>s per day to 500 tra<strong>in</strong>s per day <strong>in</strong> 2015.<br />

What is more, shippers are nowadays more <strong>and</strong> more focus<strong>in</strong>g on environmentally<br />

susta<strong>in</strong>able transports. Ecology plays a role <strong>in</strong> market<strong>in</strong>g <strong>the</strong>ir products especially <strong>in</strong><br />

Europe. They are not only look<strong>in</strong>g for ‗green‘ production but also for ‗green‘ logistics.<br />

Moreover, customers want to be <strong>in</strong> control of <strong>and</strong> promote quality <strong>and</strong> environmental<br />

protection, <strong>in</strong> a measurable way <strong>and</strong> us<strong>in</strong>g a st<strong>and</strong>ardized system.<br />

Maritime shipp<strong>in</strong>g <strong>and</strong> railways are considered to be <strong>the</strong> most environmentally friendly<br />

modes of transport<strong>in</strong>g overseas cargo. Accord<strong>in</strong>g to EU‘s White Paper EU set out a roadmap<br />

for reduc<strong>in</strong>g Europe‘s dependence on imported oil <strong>and</strong> cutt<strong>in</strong>g carbon emissions <strong>in</strong><br />

transport by 60% by 2050. The European Commission wants to <strong>in</strong>creas<strong>in</strong>gly shift freight<br />

from roads to green modes. By 2030, 30% of all goods that are transported more than<br />

300 km by lorry today, <strong>and</strong> about half of <strong>the</strong>m by 2050, should be forwarded ei<strong>the</strong>r by rail<br />

or ship. In <strong>the</strong> future, large volumes of goods should be forwarded primarily with <strong>the</strong> most<br />

efficient modes of transport or <strong>the</strong> most efficient comb<strong>in</strong>ation of modes. In Europe, <strong>the</strong><br />

length of <strong>the</strong> high-speed rail network alone is to be tripled over <strong>the</strong> com<strong>in</strong>g 20 years. In<br />

addition, seaports are to be given efficient h<strong>in</strong>terl<strong>and</strong> connections <strong>and</strong>, along with <strong>the</strong><br />

airports, l<strong>in</strong>ked along <strong>the</strong> European core network to <strong>the</strong> rail system <strong>and</strong>, whenever<br />

possible, to <strong>the</strong> <strong>in</strong>l<strong>and</strong> waterway systems.<br />

POLZUG rail shuttle service<br />

Currently POLZUG Intermodal is a global rail operator runn<strong>in</strong>g a conta<strong>in</strong>er service between<br />

<strong>the</strong> nor<strong>the</strong>rn European conta<strong>in</strong>er ports of Hamburg, Bremerhaven <strong>and</strong> Rotterdam <strong>and</strong> <strong>the</strong>ir<br />

h<strong>in</strong>terl<strong>and</strong> of Pol<strong>and</strong> <strong>and</strong> Eastern Europe. The POLZUG network, with its term<strong>in</strong>als, offices,<br />

subsidiaries <strong>and</strong> agents <strong>in</strong> Pol<strong>and</strong>, Russia, Ukra<strong>in</strong>e, Georgia <strong>and</strong> Azerbaijan, extends even<br />

beyond <strong>the</strong> CIS to Mongolia <strong>and</strong> Afghanistan. The company has its representative offices<br />

also <strong>in</strong> South Korea, <strong>the</strong> United States <strong>and</strong> South America.<br />

The company was established <strong>in</strong> order to avoid waits of several days for trucks at <strong>the</strong><br />

German-Polish border <strong>and</strong> to improve <strong>the</strong> connection between <strong>the</strong> Hamburg conta<strong>in</strong>er<br />

35


term<strong>in</strong>als <strong>and</strong> <strong>the</strong> Polish h<strong>in</strong>terl<strong>and</strong>. Thus Spedition Egon Wenk, HHLA <strong>and</strong> <strong>the</strong> Polish State<br />

Railways PKP started a regular conta<strong>in</strong>er block-tra<strong>in</strong> service between <strong>the</strong> Port of Hamburg<br />

<strong>and</strong> Warsaw. Today Polzug Intermodal GmbH with its stakeholders HHLA, PKP Cargo (Polish<br />

State Railways) <strong>and</strong> DB Mobility Logistics AG (each with 33,3%) is one of <strong>the</strong> fastest grow<strong>in</strong>g<br />

companies <strong>in</strong> European rail traffic. Eight term<strong>in</strong>als <strong>in</strong> Pol<strong>and</strong>‘s economic centres are served<br />

by regular block-tra<strong>in</strong> l<strong>in</strong>ks with <strong>the</strong> North Sea ports of Hamburg, Bremerhaven <strong>and</strong><br />

Rotterdam 37 .<br />

S<strong>in</strong>ce Eastern Europe is <strong>in</strong>tegrat<strong>in</strong>g itself ever more strongly <strong>in</strong>to <strong>the</strong> world economy<br />

HHLA´s Polzug Intermodal GmbH subsidiary is right at <strong>the</strong> forefront of Pol<strong>and</strong>´s economic<br />

boom 38 . In case of Pol<strong>and</strong> POLZUG expects an <strong>in</strong>crease <strong>in</strong> <strong>the</strong> h<strong>and</strong>led volumes. The Polish<br />

trade exchange is grow<strong>in</strong>g <strong>and</strong> POLZUG is eager to participate <strong>in</strong> this growth. POLZUG‘s<br />

ma<strong>in</strong> target is to fur<strong>the</strong>r improve its own term<strong>in</strong>al <strong>in</strong>frastructure <strong>in</strong> Pol<strong>and</strong>, which has been<br />

crucial element <strong>in</strong> POLZUG‘s 20-year <strong>development</strong>. In August 2011 <strong>the</strong> operator opened<br />

new modern hub term<strong>in</strong>al <strong>in</strong> Kornik/Poznan.<br />

Fig. 9. POLZUG potential <strong>and</strong> exist<strong>in</strong>g rail routes <strong>in</strong> <strong>the</strong> Far East direction<br />

Source: PKP Cargo<br />

What is more, one of <strong>the</strong> most active <strong>in</strong>vestors <strong>in</strong> Eastern European countries such as<br />

Pol<strong>and</strong>, Slovakia, Czech Republic etc. is Korea. The country has <strong>in</strong> this area many<br />

manufactur<strong>in</strong>g plants which are quickly develop<strong>in</strong>g <strong>the</strong>ir production volume. POLZUG is<br />

37 POLZUG Intermodal GmbH on-l<strong>in</strong>e<br />

38 Intermodal‘s supra-national network of transport solutions for every conta<strong>in</strong>er. HHLA<br />

36


cooperat<strong>in</strong>g with many of <strong>the</strong>m, (Daewoo, LG, Samsung etc.) as a partner <strong>in</strong> rail<br />

transportation.<br />

The growth rates of HHLA‘s Polzug Intermodal GmbH rail subsidiary have reported a steep<br />

<strong>in</strong>crease from 75 000 to 120 000 TEU <strong>in</strong> 2006. In 2007 <strong>the</strong> company boosted its transport<br />

volume by a fur<strong>the</strong>r 23 000 TEU to 143 000 TEU, correspond<strong>in</strong>g to a growth rate of almost<br />

20%.<br />

PKP Cargo, <strong>the</strong> Polish largest rail operator as a partner of POLZUG Intermodal established a<br />

fast conta<strong>in</strong>er tra<strong>in</strong> network <strong>in</strong> Pol<strong>and</strong> connect<strong>in</strong>g Polish ports with ma<strong>in</strong> economical<br />

centres <strong>in</strong> Pol<strong>and</strong> with:<br />

Express Tra<strong>in</strong>s – transport with<strong>in</strong> 24 hours,<br />

Scheduled tra<strong>in</strong>s - (fixed tra<strong>in</strong> timetable),<br />

Local tra<strong>in</strong>s connected with network,<br />

Constant track<strong>in</strong>g <strong>and</strong> trac<strong>in</strong>g – high security of consignments<br />

Fig. 10. Rail shuttle tra<strong>in</strong>s servic<strong>in</strong>g Hamburg Port <strong>and</strong> its h<strong>in</strong>terl<strong>and</strong> dest<strong>in</strong>ations<br />

Source: POLZUG Intermodal GmbH<br />

One of <strong>the</strong> great advantages of us<strong>in</strong>g rail transportation <strong>in</strong> Europe, especially block tra<strong>in</strong>s,<br />

is that rail term<strong>in</strong>als near a production factory can be used as <strong>in</strong>terim storage of conta<strong>in</strong>ers<br />

to allow just-<strong>in</strong>-time delivery <strong>and</strong> customs clearance outside seaport <strong>and</strong> factory.<br />

Intermodal rail transport operators like POLZUG can provide depot hold<strong>in</strong>g of empty<br />

conta<strong>in</strong>ers at <strong>the</strong>ir term<strong>in</strong>als <strong>and</strong> EDI report<strong>in</strong>g of conta<strong>in</strong>er moves, both features most<br />

valuable for shipp<strong>in</strong>g l<strong>in</strong>es, help<strong>in</strong>g <strong>the</strong>m to reduce empty runs. This also has a clear<br />

environmental advantage <strong>in</strong> comparison to road transport. For example, a block tra<strong>in</strong> with<br />

electric traction provided by POLZUG Intermodal partners from Hamburg to Gądki with 35<br />

x 40‘‗ conta<strong>in</strong>ers emits only 30% of <strong>the</strong> CO 2 compared to 35 trucks on <strong>the</strong> same route.<br />

37


The Polzug system has proved its competitiveness towards <strong>the</strong> compet<strong>in</strong>g carriers, Baltic<br />

feeders <strong>and</strong> truck<strong>in</strong>g. Polzug Intermodal <strong>the</strong>refore rema<strong>in</strong>s market leader <strong>in</strong> cross-border<br />

traffic with Pol<strong>and</strong> <strong>and</strong> Commonwealth of Independent States (CIS). For <strong>the</strong> future too,<br />

Polzug Intermodal can expect substantial <strong>in</strong>creases <strong>in</strong> volumes. Special attention is paid to<br />

expansion of <strong>the</strong> company‘s own national term<strong>in</strong>als <strong>and</strong> fur<strong>the</strong>r extension eastwards 39 .<br />

As it happens, many conta<strong>in</strong>er term<strong>in</strong>als <strong>in</strong> Europe have to modernize <strong>and</strong> upgrade <strong>the</strong>ir<br />

rail h<strong>and</strong>l<strong>in</strong>g facilities <strong>in</strong> order to prepare for expected h<strong>and</strong>l<strong>in</strong>g growth, relieve quayside<br />

congestion <strong>and</strong> promote environmentally friendly h<strong>in</strong>terl<strong>and</strong> transport. If not, <strong>in</strong>creas<strong>in</strong>g<br />

dem<strong>and</strong> for conta<strong>in</strong>er h<strong>and</strong>l<strong>in</strong>g <strong>in</strong> North Sea ports may lead to fur<strong>the</strong>r capacity constra<strong>in</strong>ts<br />

with<strong>in</strong> port <strong>in</strong>fra <strong>and</strong> suprastructure 40 .<br />

2.4 Ma<strong>in</strong> conditions for <strong>development</strong> of <strong>in</strong>termodal network <strong>in</strong> <strong>the</strong> port<br />

h<strong>in</strong>terl<strong>and</strong><br />

Both ports of Göteborg <strong>and</strong> Hamburg owe <strong>the</strong>ir success to well-developed <strong>in</strong>termodal<br />

h<strong>in</strong>terl<strong>and</strong> connections, specifically rail shuttles <strong>and</strong> an <strong>in</strong>crease <strong>in</strong> <strong>the</strong> h<strong>and</strong>l<strong>in</strong>g capacities<br />

of conta<strong>in</strong>erised cargo. However, <strong>the</strong>re are still significant opportunities to reap <strong>the</strong><br />

benefits of rail transport for <strong>the</strong> large flows of semi-trailers to <strong>and</strong> from European ports,<br />

<strong>and</strong> trends po<strong>in</strong>t <strong>in</strong> <strong>the</strong> direction of more semi-trailer tra<strong>in</strong>s. There are obviously large<br />

differences between conta<strong>in</strong>er shipp<strong>in</strong>g <strong>and</strong> RoRo shipp<strong>in</strong>g <strong>and</strong> rail is admittedly more<br />

competitive <strong>in</strong> <strong>the</strong> h<strong>in</strong>terl<strong>and</strong> transport of conta<strong>in</strong>ers than <strong>in</strong> <strong>the</strong> transport of semi-trailers.<br />

Yet, <strong>the</strong> issue is highly relevant for Europe at large, with a similar mix of conta<strong>in</strong>ers <strong>in</strong><br />

deep sea <strong>and</strong> short-sea shipp<strong>in</strong>g <strong>and</strong> semi trailers <strong>in</strong> short-sea shipp<strong>in</strong>g. A well-developed<br />

h<strong>in</strong>terl<strong>and</strong> system based on rail shuttles has <strong>the</strong> potential to streng<strong>the</strong>n overall door-todoor<br />

logistics efficiency, streng<strong>the</strong>n <strong>the</strong> short-sea shipp<strong>in</strong>g segment <strong>and</strong> produce an overall<br />

environmentally efficient transport cha<strong>in</strong>. The necessary conditions for growth <strong>and</strong><br />

<strong>development</strong> are technical <strong>in</strong>novations <strong>and</strong> implementations related to roll<strong>in</strong>g stock <strong>and</strong><br />

h<strong>and</strong>l<strong>in</strong>g that especially <strong>in</strong> ports contribute to short lead-times <strong>and</strong> efficient h<strong>and</strong>l<strong>in</strong>g.<br />

When this evidence is comb<strong>in</strong>ed, it is clear that <strong>the</strong> potential for semi trailers on rail is<br />

substantial, <strong>and</strong> can have an important future role <strong>in</strong> ensur<strong>in</strong>g a competitive <strong>and</strong><br />

susta<strong>in</strong>able logistics system—under <strong>the</strong> conditions that such transport is able to cope with<br />

<strong>the</strong> various challenges.<br />

39 HHLA<br />

40 Lee Nam Yeon, a representative of POLZUG Korea office.<br />

38


What is more, many of <strong>the</strong> Europe‘s dry ports <strong>and</strong> rail shuttle services have developed <strong>and</strong><br />

prospered dur<strong>in</strong>g <strong>the</strong> recent years‘ boom<strong>in</strong>g dem<strong>and</strong>, supported by macro trends like<br />

outsourc<strong>in</strong>g <strong>and</strong> globalisation. The current economic slowdown poses new challenges to <strong>the</strong><br />

future <strong>development</strong> <strong>and</strong> design of <strong>in</strong>termodal h<strong>in</strong>terl<strong>and</strong> systems. As <strong>the</strong> immediate need<br />

to supply transport capacity for <strong>in</strong>creased dem<strong>and</strong> is reduced, more focus can be put on<br />

improv<strong>in</strong>g exist<strong>in</strong>g bus<strong>in</strong>ess. The <strong>development</strong> of <strong>the</strong> scope of bus<strong>in</strong>ess has thus exp<strong>and</strong>ed<br />

<strong>in</strong> an attempt to <strong>in</strong>crease revenues <strong>and</strong> counter balance <strong>the</strong> crisis. By exp<strong>and</strong><strong>in</strong>g <strong>the</strong> scope<br />

of services to <strong>the</strong> semi-trailer segment, more emphasis is put on efficiency as a tool to<br />

achieve <strong>in</strong>creased profitability.<br />

When analys<strong>in</strong>g <strong>the</strong> specific cases of Hamburg <strong>and</strong> Göteborg <strong>and</strong> <strong>development</strong> of <strong>the</strong>ir<br />

h<strong>in</strong>terl<strong>and</strong> connections as well as <strong>the</strong> entire system of multimodal facilities <strong>and</strong> logistics<br />

organisation, some conclusions <strong>and</strong> recommendations can be drawn from <strong>the</strong>ir experiences<br />

<strong>and</strong> practices that could translate <strong>in</strong>to actions taken by aspir<strong>in</strong>g ports of Gdansk <strong>and</strong><br />

Ust-Luga. They can be summarised <strong>in</strong> <strong>the</strong> follow<strong>in</strong>g po<strong>in</strong>ts, which are discussed fur<strong>the</strong>r<br />

below:<br />

effective plann<strong>in</strong>g <strong>and</strong> <strong>development</strong> of <strong>in</strong>termodal nodes<br />

<strong>in</strong>stitutional <strong>in</strong>centive scheme<br />

f<strong>in</strong>anc<strong>in</strong>g <strong>in</strong>frastructure related to <strong>in</strong>termodal facilities<br />

develop<strong>in</strong>g logistics service providers <strong>and</strong> logistics professionals<br />

<strong>development</strong> of <strong>in</strong>formation technology<br />

regulatory <strong>and</strong> adm<strong>in</strong>istrative issues<br />

Collaboration between <strong>the</strong> port <strong>and</strong> <strong>in</strong>termodal facilities is crucial for <strong>the</strong> success of port.<br />

However, <strong>in</strong> <strong>the</strong> past, <strong>the</strong> plann<strong>in</strong>g <strong>and</strong> <strong>development</strong> of port <strong>and</strong> logistics centres has been<br />

approached <strong>in</strong> an isolated manner. The problem basically boils down to an <strong>in</strong>sufficient<br />

underst<strong>and</strong><strong>in</strong>g of logistics centres <strong>in</strong> regional ports <strong>and</strong> a lack of <strong>in</strong>tegrated plann<strong>in</strong>g. There<br />

is a need for a systems-oriented approach to plann<strong>in</strong>g <strong>and</strong> develop<strong>in</strong>g ports, associated<br />

logistics centres <strong>in</strong> port areas, <strong>and</strong> city functions to meet <strong>the</strong> dem<strong>and</strong>s of shippers, port<br />

users, <strong>and</strong> citizens. In this regard, for <strong>the</strong> <strong>development</strong> of logistics centres <strong>in</strong> port areas,<br />

more attention must be paid to <strong>the</strong> <strong>development</strong> of city-related functions, <strong>in</strong>ternational<br />

conventions <strong>and</strong> o<strong>the</strong>r related facilities as well. In turn, build<strong>in</strong>g convention centres or<br />

trade related facilities would provide new sources of commercial impact for <strong>the</strong> port<br />

<strong>in</strong>dustry <strong>in</strong> <strong>the</strong> Baltic Sea region.<br />

39


Develop<strong>in</strong>g <strong>in</strong>termodal facilities requires a long construction period <strong>and</strong> large <strong>in</strong>vestments.<br />

Consider<strong>in</strong>g <strong>the</strong> examples from successful ports, tax <strong>in</strong>centives <strong>and</strong> o<strong>the</strong>r support<strong>in</strong>g<br />

schemes are essential for develop<strong>in</strong>g <strong>the</strong> logistics centres. Ports <strong>and</strong> relevant government<br />

agencies should accord<strong>in</strong>gly support <strong>in</strong>ternational logistics service providers through tax<br />

<strong>in</strong>centives <strong>and</strong> o<strong>the</strong>r schemes to attract <strong>the</strong>ir operations <strong>in</strong> <strong>the</strong>ir port regions. A measure<br />

to provide l<strong>and</strong> at affordable prices by exploit<strong>in</strong>g <strong>in</strong>tensive utilization of l<strong>and</strong> by<br />

construct<strong>in</strong>g high rise build<strong>in</strong>g can be an option. Ano<strong>the</strong>r measure for <strong>the</strong> Baltic Sea<br />

economies to <strong>in</strong>duce as many mult<strong>in</strong>ational firms <strong>and</strong> logistics companies as possible to <strong>the</strong><br />

port areas is that <strong>the</strong> government <strong>and</strong> port authorities should lower l<strong>and</strong> related costs <strong>in</strong><br />

develop<strong>in</strong>g <strong>the</strong> vast l<strong>and</strong> areas. Although lower<strong>in</strong>g <strong>the</strong> cost of l<strong>and</strong> will likely mean much<br />

slower returns on <strong>in</strong>vestment, cheaper l<strong>and</strong> costs could help to differentiate <strong>the</strong> port from<br />

o<strong>the</strong>r emerg<strong>in</strong>g competitors by attract<strong>in</strong>g more <strong>in</strong>vestors <strong>in</strong>to <strong>the</strong> logistics centre.<br />

Subsequent growth <strong>in</strong> port region‘s employment <strong>and</strong> tax revenues will be expected.<br />

F<strong>in</strong>anc<strong>in</strong>g <strong>the</strong> <strong>development</strong> of logistics facilities <strong>in</strong> port regions poses a number of major<br />

problems. S<strong>in</strong>ce <strong>the</strong> volume of port traffic <strong>in</strong> <strong>the</strong> Baltic Sea region will cont<strong>in</strong>ue to grow for<br />

many years to come, <strong>the</strong> ports must make massive <strong>and</strong> susta<strong>in</strong>ed capital <strong>in</strong>vestments to<br />

meet <strong>the</strong> dem<strong>and</strong>. In addition, a particular consideration should be given to <strong>the</strong> additional<br />

<strong>in</strong>vestments required to replace exist<strong>in</strong>g older <strong>and</strong> deteriorat<strong>in</strong>g <strong>in</strong>frastructure <strong>in</strong> many of<br />

this region‘s ports. The physical conditions of exist<strong>in</strong>g port facilities are several decades<br />

old <strong>and</strong> will be unable to meet <strong>the</strong> m<strong>in</strong>imum st<strong>and</strong>ard that will be required of port services<br />

<strong>in</strong> <strong>the</strong> future. Fur<strong>the</strong>rmore, progress towards <strong>the</strong> privatization of <strong>the</strong> port <strong>and</strong> related<br />

facilities has to be cont<strong>in</strong>ued. This will br<strong>in</strong>g greater operational efficiency, reduced<br />

labour costs <strong>and</strong> less bureaucracy through <strong>the</strong> <strong>in</strong>visible power of free enterprise. But<br />

before promot<strong>in</strong>g participation of <strong>the</strong> private sector, a clear <strong>and</strong> systematic framework for<br />

regulation <strong>and</strong> supervision has to be established to restrict monopolistic <strong>and</strong> unfair<br />

practices that might be exercised by <strong>the</strong> private sector.<br />

Professional logistics services should be promoted by attract<strong>in</strong>g global logistics providers<br />

for new logistics centres <strong>in</strong> ports. In response to lean production <strong>and</strong> distribution systems,<br />

<strong>the</strong> trend towards outsourc<strong>in</strong>g of logistics services cont<strong>in</strong>ues. The specialized service<br />

providers, so-called third-party logistics (3PL) service providers, offer global firms many<br />

advantages, <strong>in</strong>clud<strong>in</strong>g reduc<strong>in</strong>g <strong>the</strong> need for capital <strong>in</strong>vestment, reduc<strong>in</strong>g work<strong>in</strong>g capital<br />

needs, <strong>and</strong> enabl<strong>in</strong>g penetration <strong>in</strong>to new markets more quickly <strong>and</strong> with less capital. The<br />

quality of 3PL‘s services is considered to be an important factor <strong>in</strong> attract<strong>in</strong>g new logistics<br />

centres <strong>in</strong> <strong>the</strong>ir countries. In l<strong>in</strong>e with this trend, ports <strong>in</strong> <strong>the</strong> Baltic Sea region must<br />

attract <strong>and</strong> develop word-class providers of customized logistics services <strong>in</strong> order to attract<br />

40


global firms to set up <strong>the</strong>ir logistics centres <strong>in</strong> <strong>the</strong> region. In regards to <strong>the</strong> 3PL <strong>in</strong>dustry,<br />

efforts will have to be made to identify those companies, which have <strong>the</strong> highest potential<br />

for operat<strong>in</strong>g logistics centres <strong>and</strong> also to promote <strong>the</strong> 3PL <strong>in</strong>dustry at <strong>the</strong> local level.<br />

Given <strong>the</strong> reality that most Baltic Sea economies lack a professional 3PL <strong>in</strong>dustry, <strong>the</strong><br />

future success of logistics centres depends critically on <strong>the</strong> promotion of <strong>the</strong> 3PL <strong>in</strong>dustry.<br />

It is commonly recognized that ports play a critical role <strong>in</strong> <strong>the</strong>ir countries‘ trade growth.<br />

Therefore, a number of ports have taken steps to improve <strong>the</strong> quality of <strong>the</strong>ir services, <strong>and</strong><br />

to provide basic logistics <strong>and</strong> communications <strong>in</strong>frastructure <strong>in</strong> order to reap <strong>the</strong> benefits<br />

of e-commerce. Due to <strong>the</strong> <strong>in</strong>creas<strong>in</strong>g importance of <strong>the</strong> <strong>development</strong> of IT <strong>and</strong><br />

<strong>in</strong>formation systems to control logistics activities, expenditure on IT <strong>and</strong> <strong>in</strong>formation<br />

system is expected to surpass <strong>in</strong>ventory-carry<strong>in</strong>g costs <strong>in</strong> its priority next to transportation<br />

costs <strong>in</strong> <strong>the</strong> logistics cha<strong>in</strong> 41 . This fact represents a fundamental shift <strong>in</strong> logistics strategy<br />

toward <strong>in</strong>formation <strong>in</strong>tensive control system from asset-<strong>in</strong>tensive strategies, such as<br />

warehous<strong>in</strong>g <strong>and</strong> <strong>in</strong>ventory level. Information technology, especially <strong>in</strong>ternet-based<br />

systems, is <strong>in</strong>creas<strong>in</strong>gly be<strong>in</strong>g employed <strong>in</strong> all logistics services. As shippers become more<br />

attuned to sophisticated supply cha<strong>in</strong> management, ports will be faced with challenges to<br />

overcome. The grow<strong>in</strong>g power <strong>and</strong> ćspeed of <strong>in</strong>formation process<strong>in</strong>g is reshap<strong>in</strong>g <strong>the</strong> port<br />

<strong>in</strong>dustry. The application of e-commerce <strong>in</strong> ports could contribute to <strong>the</strong> efficiency of<br />

<strong>in</strong>ternational trade. The availability of common-user <strong>and</strong> robust e-commerce-based<br />

adm<strong>in</strong>istrative <strong>and</strong> commercial services <strong>in</strong> <strong>the</strong> ports of <strong>the</strong> Baltic Sea region would allow<br />

<strong>the</strong>m to connect to <strong>the</strong> IT networks of adm<strong>in</strong>istrations, shipp<strong>in</strong>g l<strong>in</strong>es <strong>and</strong> o<strong>the</strong>r transport<br />

operators. Of course, scalable systems with certa<strong>in</strong> core functions are needed <strong>in</strong> order to<br />

cater to <strong>the</strong> different needs of a wide range of ports <strong>and</strong> term<strong>in</strong>als serv<strong>in</strong>g develop<strong>in</strong>g<br />

countries‘ trade.<br />

Consequently, to develop logistics centres <strong>in</strong> regional ports, <strong>the</strong>re must be a high level of<br />

<strong>in</strong>stitutional support, with fewer regulations for its logistics centres. Indeed, ports with<br />

high <strong>in</strong>stitutional support <strong>and</strong> few regulations usually exhibit a high degree of <strong>development</strong><br />

<strong>in</strong> logistics areas. Therefore, legal <strong>and</strong> <strong>in</strong>stitutional issues must be addressed before<br />

establish<strong>in</strong>g logistics centres <strong>in</strong> port areas. The ma<strong>in</strong> emphasis will be on <strong>the</strong> <strong>development</strong><br />

of a legal <strong>and</strong> <strong>in</strong>stitutional framework for <strong>the</strong> build<strong>in</strong>g of logistics centre <strong>in</strong> port regions. As<br />

to <strong>the</strong> legal aspects regard<strong>in</strong>g logistics centres <strong>in</strong> ports, <strong>in</strong>stitutional schemes should be<br />

made to improve <strong>the</strong> conditions <strong>and</strong> simplify <strong>the</strong> adm<strong>in</strong>istrative procedures affect<strong>in</strong>g<br />

41 Anderson D.L, House R.G.: Logistics <strong>and</strong> Material H<strong>and</strong>l<strong>in</strong>g systems <strong>in</strong> <strong>the</strong> U.S.: Trends <strong>and</strong> future<br />

Outlook, Logistics Perspective, July 1990<br />

41


logistics centres. Experiences around <strong>the</strong> world also show that <strong>the</strong> existence of an<br />

effective <strong>in</strong>stitution plays a crucial role <strong>in</strong> build<strong>in</strong>g logistics centres <strong>in</strong> ports 42 .<br />

42 Šakalys A., Palšaitis R.: Development of <strong>in</strong>termodal transport <strong>in</strong> new European Union states, TRANSPORT, Vol<br />

XXI, No 2, 2006<br />

42


3. Conta<strong>in</strong>er hub <strong>development</strong>: Port of Gdansk<br />

3.1 Ma<strong>in</strong> characteristics of <strong>the</strong> Port of Gdansk<br />

The Gdansk port is a major <strong>in</strong>ternational transportation hub situated <strong>in</strong> <strong>the</strong> central part of<br />

<strong>the</strong> sou<strong>the</strong>rn Baltic coast, which ranks among Europe's fastest grow<strong>in</strong>g regions. Accord<strong>in</strong>g<br />

to <strong>the</strong> European Union transport policy documents <strong>the</strong> Port of Gdansk is to play a<br />

significant role as a key l<strong>in</strong>k <strong>in</strong> <strong>the</strong> Trans-European Transport Corridor No. 6 connect<strong>in</strong>g <strong>the</strong><br />

Nordic countries with Sou<strong>the</strong>rn <strong>and</strong> Eastern Europe 43 .<br />

Fig. 11. Port of Gdansk<br />

Source: Port of Gdansk Authority SA<br />

In general, Port is heavily <strong>in</strong>fluenced by <strong>the</strong> fluctuations <strong>in</strong> <strong>the</strong> global markets <strong>and</strong> it is<br />

be<strong>in</strong>g reshaped with regard to its functions <strong>and</strong> spatial attributes; its functions are<br />

diversify<strong>in</strong>g, its modern capacity is be<strong>in</strong>g developed to meet dem<strong>and</strong>, <strong>the</strong> use of port space<br />

is chang<strong>in</strong>g- some areas ga<strong>in</strong> municipal functions. In <strong>the</strong> com<strong>in</strong>g years, <strong>the</strong> port‘s<br />

<strong>in</strong>vestment plans <strong>in</strong>clude many vital projects regard<strong>in</strong>g <strong>development</strong> of modern<br />

<strong>in</strong>frastructure und suprastructure for both general <strong>and</strong> bulk cargo.<br />

The Port Authorities aim to take maximum advantage of <strong>the</strong> port's geographical <strong>and</strong><br />

economic location <strong>in</strong> order to ensure its susta<strong>in</strong>able <strong>and</strong> rational growth as a universal port<br />

offer<strong>in</strong>g value-added services. The major strength of <strong>the</strong> Port is <strong>the</strong> capacity for<br />

43 Port of Gdansk website, www.portgdansk.pl<br />

43


develop<strong>in</strong>g deep-water cargo h<strong>and</strong>l<strong>in</strong>g facilities provid<strong>in</strong>g services to <strong>the</strong> biggest vessels<br />

that can enter <strong>the</strong> Baltic Sea. There is a possibility of widen<strong>in</strong>g <strong>the</strong> deep-water part of <strong>the</strong><br />

port through <strong>the</strong> construction of new quays on l<strong>and</strong> reclaimed from <strong>the</strong> sea. Ano<strong>the</strong>r<br />

advantage is <strong>the</strong> central location of <strong>the</strong> port on <strong>the</strong> sou<strong>the</strong>rn coastl<strong>in</strong>e of <strong>the</strong> Baltic Sea.<br />

The above-mentioned factors coupled by <strong>the</strong> economic potential of <strong>the</strong> port's h<strong>in</strong>terl<strong>and</strong><br />

<strong>and</strong> <strong>the</strong> Baltic Region are favourable to <strong>the</strong> <strong>development</strong> of distribution activities 44 .<br />

The Port of Gdansk is composed of two pr<strong>in</strong>cipal sections with naturally diverse operational<br />

parameters: <strong>the</strong> <strong>in</strong>ner port stretched along <strong>the</strong> Dead Vistula <strong>and</strong> <strong>the</strong> port canal, <strong>and</strong> <strong>the</strong><br />

outer port, built <strong>in</strong> <strong>the</strong> 1970‘s, offer<strong>in</strong>g direct access to <strong>the</strong> Gulf of Gdansk.<br />

The <strong>in</strong>ner port offers a comprehensive range of term<strong>in</strong>als <strong>and</strong> facilities designed to h<strong>and</strong>le<br />

conta<strong>in</strong>erised cargo, passenger ferries <strong>and</strong> Ro-Ro vessels, passenger cars <strong>and</strong> citrus fruit,<br />

sulphur, phosphorites <strong>and</strong> o<strong>the</strong>r bulk cargo. The o<strong>the</strong>r quays fitted with versatile<br />

equipment <strong>and</strong> <strong>in</strong>frastructure are universal <strong>in</strong> use <strong>and</strong> enable <strong>the</strong> h<strong>and</strong>l<strong>in</strong>g of conventional,<br />

general as well as bulk cargo such as rolled steel products, oversize <strong>and</strong> heavy lifts, gra<strong>in</strong>,<br />

artificial fertilizers, ore <strong>and</strong> coal. The outer port performs its operations on piers, quays<br />

<strong>and</strong> cargo h<strong>and</strong>l<strong>in</strong>g jetties situated immediately on <strong>the</strong> waters of <strong>the</strong> Gulf of Gdansk. This<br />

section of <strong>the</strong> port offers state-of-<strong>the</strong>-art facilities suited to h<strong>and</strong>l<strong>in</strong>g energy raw materials<br />

such as liquid fuels, coal <strong>and</strong> liquefied gas.<br />

General cargo is h<strong>and</strong>led <strong>in</strong> <strong>the</strong> <strong>in</strong>ner port as well as <strong>in</strong> <strong>the</strong> outer port. The <strong>in</strong>ner port<br />

facilities are suited to h<strong>and</strong>l<strong>in</strong>g general cargo <strong>and</strong> <strong>in</strong>clude quays such as Oliwskie, Wislane,<br />

Szczec<strong>in</strong>skie, Przemyslowe, Rudowe, Weglowe <strong>and</strong> Obroncow Westerplatte, <strong>and</strong> also <strong>the</strong><br />

quays of <strong>the</strong> Duty Free Zone with a modern citrus fruit h<strong>and</strong>l<strong>in</strong>g base. The quays of <strong>the</strong><br />

Gdansk port have universal character <strong>and</strong> provide <strong>the</strong> h<strong>and</strong>l<strong>in</strong>g of general cargo, <strong>in</strong>clud<strong>in</strong>g<br />

cargo packed <strong>in</strong> pallets, bags <strong>and</strong> big bags as well as oversize <strong>and</strong> heavy lifts, rolled steel<br />

products <strong>and</strong> hazardous cargoes. Additionally, <strong>the</strong> Port of Gdansk provides <strong>the</strong> border<br />

veter<strong>in</strong>ary <strong>in</strong>spection. They are located <strong>in</strong> <strong>the</strong> outer port at <strong>the</strong> DCT <strong>and</strong> <strong>in</strong> <strong>the</strong> <strong>in</strong>ner port<br />

near <strong>the</strong> Gdansk Conta<strong>in</strong>er Term<strong>in</strong>al.<br />

Conta<strong>in</strong>er h<strong>and</strong>l<strong>in</strong>g at <strong>the</strong> Port of Gdansk is concentrated <strong>in</strong> <strong>the</strong> <strong>in</strong>ner port at <strong>the</strong><br />

Szczec<strong>in</strong>skie Quay operated by <strong>the</strong> Gdansk Conta<strong>in</strong>er Term<strong>in</strong>al (GTK) <strong>and</strong> at <strong>the</strong> Deepwater<br />

Conta<strong>in</strong>er Term<strong>in</strong>al (DCT) situated <strong>in</strong> <strong>the</strong> outer port. These term<strong>in</strong>als operate ma<strong>in</strong>ly<br />

feeder <strong>and</strong> short sea shipp<strong>in</strong>g services. The Deepwater Conta<strong>in</strong>er Term<strong>in</strong>al is designed to<br />

accommodate <strong>the</strong> largest vessels that can enter <strong>the</strong> Baltic Sea i.e. post-panamax vessels.<br />

44 http://www.portgdansk.pl/about-port/<br />

44


Both GTK <strong>and</strong> DCT offer a variety of <strong>in</strong>tegrated term<strong>in</strong>al <strong>and</strong> holder depot operations: a<br />

full range of conta<strong>in</strong>er h<strong>and</strong>l<strong>in</strong>g <strong>and</strong> services, stuff<strong>in</strong>g <strong>and</strong> stripp<strong>in</strong>g, repairs <strong>and</strong> clean<strong>in</strong>g,<br />

reefer plugs for refrigerated conta<strong>in</strong>ers.<br />

Ro-ro vessels services are located at <strong>the</strong> quays of <strong>the</strong> Duty Free Zone <strong>and</strong> state-of-<strong>the</strong>-art<br />

Westerplatte Ferry Term<strong>in</strong>al. A ro-ro ramp is also available at <strong>the</strong> Polferries Term<strong>in</strong>al<br />

operated by <strong>the</strong> Polish Baltic Shipp<strong>in</strong>g Co. offer<strong>in</strong>g regular ferry connections to Sweden,<br />

<strong>and</strong> additionally at <strong>the</strong> Deepwater Conta<strong>in</strong>er Term<strong>in</strong>al.<br />

The Duty Free Zone is located with<strong>in</strong> a short distance of <strong>the</strong> entrance to <strong>the</strong> <strong>in</strong>ner port,<br />

operates <strong>the</strong> h<strong>and</strong>l<strong>in</strong>g of motor vehicles from manufacturers <strong>in</strong> <strong>the</strong> Far East <strong>and</strong> European<br />

countries. The Duty Free Zone facilitates <strong>the</strong> storage of imported goods free of customs<br />

duty <strong>and</strong> guarantees, quota <strong>and</strong> tax for an unlimited period of time. Pick<strong>in</strong>g up <strong>and</strong><br />

customs clearance of goods <strong>in</strong> batches is also available. Registration of goods supplied to<br />

<strong>and</strong> picked up from <strong>the</strong> Duty Free Zone is implemented by means of an IT system.<br />

The Coal Term<strong>in</strong>al is thoroughly mechanized <strong>and</strong> tailored to h<strong>and</strong>l<strong>in</strong>g coal directly from<br />

railcars onto ships, or <strong>in</strong>directly with <strong>the</strong> use of open storage yards. Coal exports are<br />

h<strong>and</strong>led by <strong>the</strong> dedicated Coal Term<strong>in</strong>al situated <strong>in</strong> <strong>the</strong> outer port, whereas both exports<br />

<strong>and</strong> imports are h<strong>and</strong>led at <strong>the</strong> quays of <strong>the</strong> Gorniczy Bas<strong>in</strong> <strong>in</strong> <strong>the</strong> <strong>in</strong>ner port.<br />

H<strong>and</strong>l<strong>in</strong>g of liquid fuels <strong>and</strong> liquefied gas is offered <strong>in</strong> <strong>the</strong> outer port <strong>in</strong> two designated<br />

state-of-<strong>the</strong>-art term<strong>in</strong>als. Additionally, fuel <strong>and</strong> base oils are h<strong>and</strong>led at <strong>the</strong> Obroncow<br />

Poczty Polskiej Quay <strong>in</strong> <strong>the</strong> <strong>in</strong>ner port.<br />

Balanc<strong>in</strong>g <strong>the</strong> modes of transport system operat<strong>in</strong>g <strong>in</strong> <strong>the</strong> Port of Gdansk depends on <strong>the</strong><br />

fulfilment of strategic objectives of transport <strong>development</strong> <strong>in</strong> Pol<strong>and</strong>, <strong>in</strong>clud<strong>in</strong>g <strong>in</strong>creas<strong>in</strong>g<br />

role of <strong>in</strong>termodal transport system. This requires tak<strong>in</strong>g actions to overcome exist<strong>in</strong>g<br />

barriers <strong>and</strong> on <strong>the</strong> o<strong>the</strong>r h<strong>and</strong>, to effectively encourage <strong>the</strong> <strong>development</strong> of susta<strong>in</strong>able<br />

transport. The ma<strong>in</strong> areas, <strong>in</strong> which it is necessary to take effective actions <strong>in</strong>clude 45 :<br />

improv<strong>in</strong>g <strong>the</strong> relatively poor quality of rail services. For this purpose it is<br />

necessary to take proper action such as modernization of railway l<strong>in</strong>es,<br />

shorten <strong>the</strong> transportation time of regular tra<strong>in</strong>s with <strong>in</strong>termodal units,<br />

45 M<strong>in</strong>dur L., Wronka J.: Transport <strong>in</strong>termodalny w Polsce, log forum.net, vol. 3, 2007<br />

45


provid<strong>in</strong>g scheduled times for tra<strong>in</strong>s, monitor<strong>in</strong>g <strong>the</strong> l<strong>in</strong>ks <strong>and</strong> provide<br />

current <strong>in</strong>formation on shipments to customers 46<br />

mak<strong>in</strong>g rail tariffs more competitive aga<strong>in</strong>st road transport costs. The ma<strong>in</strong><br />

activities <strong>in</strong> this area mean: <strong>the</strong> <strong>in</strong>troduction of flexible pric<strong>in</strong>g <strong>and</strong><br />

discount<strong>in</strong>g policies by <strong>the</strong> PKP Group <strong>and</strong> o<strong>the</strong>r railways carriers, provid<strong>in</strong>g<br />

budget subsidies for <strong>in</strong>termodal transport operators, provid<strong>in</strong>g <strong>in</strong>come tax<br />

allowance for companies us<strong>in</strong>g <strong>in</strong>termodal transport solutions <strong>and</strong> for<br />

term<strong>in</strong>al operators, tax exemption for car carriers employed for delivery<br />

cargo units to <strong>and</strong> from <strong>the</strong> term<strong>in</strong>als, implementation of restrictive<br />

measures which reduce dem<strong>and</strong> for a long distance road traffic 47<br />

<strong>development</strong> of <strong>in</strong>termodal transport networks <strong>in</strong> Pol<strong>and</strong>, supported by<br />

public funds, as a first step <strong>in</strong> build<strong>in</strong>g a modern logistics <strong>and</strong> transport<br />

<strong>in</strong>frastructure,<br />

establish<strong>in</strong>g logistics centres <strong>and</strong> modernization of <strong>in</strong>termodal term<strong>in</strong>als<br />

located <strong>in</strong> <strong>the</strong> seaports <strong>and</strong> <strong>in</strong> <strong>the</strong> rail network;<br />

ensur<strong>in</strong>g harmonization <strong>and</strong> st<strong>and</strong>ardization of <strong>in</strong>termodal load<strong>in</strong>g units, <strong>the</strong><br />

<strong>in</strong>crease <strong>in</strong> <strong>development</strong> of <strong>in</strong>termodal transport to / from Sc<strong>and</strong><strong>in</strong>avia 48 .<br />

3.2 Development of conta<strong>in</strong>erisation <strong>in</strong> Pol<strong>and</strong> <strong>and</strong> <strong>in</strong> <strong>the</strong> Gdansk seaport<br />

– Deepwater Conta<strong>in</strong>er Term<strong>in</strong>al<br />

The most dynamic growth observed <strong>in</strong> seaports all over <strong>the</strong> world <strong>in</strong>volves conta<strong>in</strong>er<br />

turnovers. This trend has also affected <strong>the</strong> Gdansk port. Shipp<strong>in</strong>g conta<strong>in</strong>ers play a key role<br />

<strong>in</strong> facilitat<strong>in</strong>g <strong>and</strong> ma<strong>in</strong>ta<strong>in</strong><strong>in</strong>g trade globalization by lower<strong>in</strong>g transportation costs <strong>and</strong><br />

provid<strong>in</strong>g more choices for <strong>the</strong> location of manufactur<strong>in</strong>g, logistics <strong>and</strong> distribution centres<br />

through <strong>the</strong> world. The global as well as <strong>the</strong> Baltic conta<strong>in</strong>er turnover <strong>in</strong>creases <strong>and</strong> it<br />

favours quickly develop<strong>in</strong>g regional competitiveness.<br />

46 Antonowicz M., Zielaskiewcz H.: Transport <strong>in</strong>termodalny jako ogniwo rozwoju kolejowych przewozów<br />

towarowych w Unii Europejskiej, Infrastruktura Transportu, nr 3, 2008<br />

47 Cisowski T., Stokłosa J.: Transport <strong>in</strong>termodalny na bliskie i średnie odległości, Eksploatacja i Niezawodność,<br />

nr 3, 2008<br />

48 M<strong>in</strong>dur, L., Wronka, J.: Transport <strong>in</strong>termodalny w Polsce, log forum.net, vol. 3, 2007<br />

46


Fig. 12. Development of <strong>the</strong> global <strong>and</strong> <strong>the</strong> Baltic conta<strong>in</strong>er market.<br />

Source: Actia Forum<br />

The analysis of <strong>the</strong> situation on world <strong>and</strong> regional conta<strong>in</strong>er market is crucial for<br />

underst<strong>and</strong><strong>in</strong>g <strong>the</strong> changes <strong>and</strong> <strong>the</strong> trend <strong>in</strong> conta<strong>in</strong>er turnover. Forecast shows that <strong>the</strong><br />

countries of <strong>the</strong> Baltic Sea region will experience a dynamic growth <strong>in</strong> cargo turnover<br />

between 2010 <strong>and</strong> 2030. Pol<strong>and</strong> ga<strong>in</strong>ed <strong>the</strong> biggest growth rate on conta<strong>in</strong>er market over<br />

<strong>the</strong> year 2011 <strong>and</strong> it amounted nearly 600%, its market position keeps grow<strong>in</strong>g. It is useful<br />

to notice that predictions <strong>in</strong>form about <strong>in</strong>crease <strong>in</strong> traded maritime volumes, particularly<br />

<strong>in</strong> conta<strong>in</strong>er h<strong>and</strong>l<strong>in</strong>g. These trend applies to <strong>the</strong> entire Baltic Sea region <strong>and</strong> volume<br />

change amounts from 4,4% <strong>in</strong> Estonia to 50% growth <strong>in</strong> cargo turnover <strong>in</strong> Pol<strong>and</strong>.<br />

Pol<strong>and</strong> today is one of <strong>the</strong> fastest develop<strong>in</strong>g economies <strong>in</strong> <strong>the</strong> EU <strong>and</strong> certa<strong>in</strong>ly <strong>the</strong> leader<br />

of Central <strong>and</strong> East Europe‘s accession <strong>in</strong>to world markets 49 . International conta<strong>in</strong>er trade<br />

is an essential component for this ongo<strong>in</strong>g success.<br />

No small part of this growth is owed to Deepwater Conta<strong>in</strong>er Term<strong>in</strong>al (DCT), located<br />

with<strong>in</strong> <strong>the</strong> boundaries of Port of Gdansk. It was opened <strong>in</strong> October 2007 as a deep-sea<br />

conta<strong>in</strong>er term<strong>in</strong>al located on Pol<strong>and</strong>‘s nor<strong>the</strong>rn coastl<strong>in</strong>e at <strong>the</strong> heart of trade routes<br />

between <strong>the</strong> Baltic Sea region, Europe <strong>and</strong> <strong>the</strong> wider world. The term<strong>in</strong>al possesses stateof-<strong>the</strong>-art<br />

facilities <strong>and</strong> large surround<strong>in</strong>g tracts of l<strong>and</strong> ready for fur<strong>the</strong>r <strong>development</strong>.<br />

Currently <strong>the</strong> term<strong>in</strong>al operates with <strong>the</strong> facilities erected dur<strong>in</strong>g this first phase <strong>in</strong>clud<strong>in</strong>g:<br />

an 800 by 315 metre pier, offer<strong>in</strong>g 650 metres of quay up to 16,5 metres <strong>in</strong> depth. The<br />

term<strong>in</strong>al has <strong>the</strong> longest rail sid<strong>in</strong>gs <strong>in</strong> Pol<strong>and</strong>, with two <strong>in</strong>dividual kilometre-long tracks<br />

49 Th<strong>in</strong>k<strong>in</strong>g outside <strong>the</strong> box. Ports & Harbours, Issue 6-2011<br />

47


able to h<strong>and</strong>le full block tra<strong>in</strong>s; <strong>and</strong> a truck park sized for up to 100 truck <strong>and</strong> trailer<br />

vehicles that arrive via <strong>the</strong> A1 motorway.<br />

DCT Gdansk offers ideal conditions to h<strong>and</strong>le all types <strong>and</strong> sizes of vessels. It benefits from<br />

<strong>the</strong> longest rail term<strong>in</strong>al <strong>in</strong> Pol<strong>and</strong>, offer<strong>in</strong>g excellent rail connections, <strong>and</strong> a 200ha<br />

logistics park adjacent to <strong>the</strong> term<strong>in</strong>al. Both <strong>the</strong> term<strong>in</strong>al <strong>and</strong> rail facilities have significant<br />

expansion capabilities, which will allow DCT to compete effectively with north-range ports<br />

servic<strong>in</strong>g <strong>the</strong> Baltic Sea Region. In <strong>the</strong> mid-term, DCT Gdansk will also develop as a<br />

gateway to <strong>the</strong> whole of Central <strong>and</strong> Eastern Europe as it is located closer than northrange<br />

ports of Germany <strong>and</strong> Benelux.<br />

Fig. 13. Visualisation of DCT Gdansk conta<strong>in</strong>er capacity <strong>development</strong> project.<br />

Source: Deepwater Conta<strong>in</strong>er Term<strong>in</strong>al Gdansk<br />

In January 2010, <strong>the</strong> DCT Gdansk received <strong>the</strong> largest conta<strong>in</strong>er vessel ever to call Pol<strong>and</strong><br />

when <strong>the</strong> Maersk Taikung of 8200 TEU (length 1 089 ft; beam 141,7 ft; draft 47,5 ft)<br />

arrived from <strong>the</strong> Far East. It was <strong>the</strong> start of <strong>the</strong> weekly Maersk L<strong>in</strong>e‘s AE10 service with<br />

Maersk post-panamax ships sail<strong>in</strong>g on from Ch<strong>in</strong>a <strong>and</strong> call<strong>in</strong>g at Gdansk with cargo to be<br />

fur<strong>the</strong>r transhipped to feeders onto <strong>the</strong>ir f<strong>in</strong>al dest<strong>in</strong>ations <strong>in</strong> Russia <strong>and</strong> F<strong>in</strong>l<strong>and</strong> or Polish<br />

h<strong>in</strong>terl<strong>and</strong>.<br />

In 2009, when many o<strong>the</strong>r term<strong>in</strong>als were experienc<strong>in</strong>g double digit conta<strong>in</strong>er turnover<br />

decrease due to <strong>the</strong> recession, <strong>the</strong> DCT achieved a 70% growth <strong>in</strong> volume. In 2010 <strong>the</strong><br />

term<strong>in</strong>al experienced a 180% growth <strong>in</strong> annual turnaround. In 2010 <strong>the</strong> term<strong>in</strong>al h<strong>and</strong>led<br />

450 000 TEU <strong>and</strong> by 2012 h<strong>and</strong>l<strong>in</strong>g of one million TEU per year is expected.<br />

48


Fig. 14. Overseas routes Port of Gdansk – Shanghai<br />

Source: Deepwater Conta<strong>in</strong>er Term<strong>in</strong>al Gdansk<br />

In 2011 <strong>the</strong> entire Gdansk port h<strong>and</strong>led 6,2 million tonnes of conta<strong>in</strong>erised cargo. The<br />

launch of a direct service from <strong>the</strong> Far East resulted <strong>in</strong> a 113% <strong>in</strong>crease <strong>in</strong> <strong>the</strong> port's<br />

conta<strong>in</strong>er turnover <strong>in</strong> 2010. Turnover of 685 thous. TEU <strong>in</strong> 2011 meant a fur<strong>the</strong>r <strong>in</strong>crease,<br />

of 34% <strong>in</strong> conta<strong>in</strong>er h<strong>and</strong>l<strong>in</strong>g, of which 63% of total h<strong>and</strong>led conta<strong>in</strong>ers were brought to DCT<br />

by ocean-go<strong>in</strong>g vessels.<br />

Fig. 15. Current <strong>and</strong> planned conta<strong>in</strong>er turnover <strong>in</strong> DCT Gdansk<br />

Source: Deepwater Conta<strong>in</strong>er Term<strong>in</strong>al Gdansk<br />

49


DCT Gdansk currently works with nearly 15 shipp<strong>in</strong>g l<strong>in</strong>es, more than 300 freight<br />

forwarders <strong>and</strong> two <strong>in</strong>dependent rail operators. The authorities are determ<strong>in</strong>ed to <strong>in</strong>crease<br />

its focus on attract<strong>in</strong>g additional deep sea services as well as more feeder connections.<br />

Shortly after <strong>the</strong> AE10 contract has been signed, two new RTG cranes were ordered <strong>and</strong><br />

options for additional equipment purchases are cont<strong>in</strong>uously considered.<br />

The advantage of DCT is its perfect location, with a 17 m deep approach channel <strong>and</strong><br />

16,5m along <strong>the</strong> berth. Ships call<strong>in</strong>g DCT do not require ice-class construction, even dur<strong>in</strong>g<br />

harsh w<strong>in</strong>ter conditions. Conta<strong>in</strong>ers dest<strong>in</strong>ed to Russia <strong>and</strong> F<strong>in</strong>nl<strong>and</strong> can be shipped from<br />

DCT fur<strong>the</strong>r to <strong>the</strong> Baltic Sea ports us<strong>in</strong>g smaller feeder vessels, which are readily<br />

available.<br />

DCT Gdansk has a unique position at <strong>the</strong> doorstep of <strong>the</strong> strongest growth area of Europe,<br />

when delivery costs per unit transported are considered.<br />

To Warsaw To Poznan To Katowice<br />

Fig. 16. Delivery cost for a Polish import 2011<br />

Source: DCT Gdansk<br />

Maersk call has already <strong>in</strong>itiated two new feeder services from Gdansk to St. Petersburg<br />

<strong>and</strong> to <strong>the</strong> F<strong>in</strong>nish ports of Kotka <strong>and</strong> Hels<strong>in</strong>ki. The approach to DCT is not complicated<br />

even for a vessel of post-panamax size. There is ample space to manoeuvre with a 650m<br />

turn<strong>in</strong>g circle. The navigation conditions are excellent.<br />

50


Fig. 17. Traditional l<strong>in</strong>er shipp<strong>in</strong>g patterns<br />

Source: Deepwater Conta<strong>in</strong>er Term<strong>in</strong>al Gdansk<br />

In May 2011 <strong>the</strong> conta<strong>in</strong>er l<strong>in</strong>e‘s new 15 500 TEU E-class vessels, which are <strong>the</strong> largest<br />

vessels <strong>in</strong> <strong>the</strong> world Maersk Elba soon followed by Maersk Eleonora arrived <strong>in</strong> Gdansk from<br />

<strong>the</strong> Far East, each deliver<strong>in</strong>g almost double <strong>the</strong> volume of Maersk L<strong>in</strong>e‘s previous runners.<br />

Therefore, <strong>the</strong> term<strong>in</strong>al will require <strong>the</strong>n new <strong>in</strong>frastructural capacity, <strong>and</strong> have to create<br />

additional yard space. In <strong>the</strong> years to come <strong>the</strong> term<strong>in</strong>al will also need new berths <strong>and</strong> new<br />

moor<strong>in</strong>gs are planned around <strong>the</strong> specs of Maersk‘s future Triple E-class ships.<br />

This milestone has marked <strong>the</strong> grow<strong>in</strong>g potential of Pol<strong>and</strong>‘s economy. The<br />

conta<strong>in</strong>erisation factor means conta<strong>in</strong>er ports are very much an expression of a country‘s<br />

competitiveness on <strong>the</strong> global market, <strong>and</strong> it is <strong>in</strong>creas<strong>in</strong>gly be<strong>in</strong>g recognised how<br />

important it is for Pol<strong>and</strong> to be <strong>in</strong>dependent from foreign ports regard<strong>in</strong>g <strong>the</strong> access to<br />

<strong>in</strong>ternational markets 50 . The <strong>development</strong> of Gdansk as a major hub means ga<strong>in</strong><strong>in</strong>g a more<br />

competitive edge by deal<strong>in</strong>g directly with importers <strong>and</strong> exporters, secur<strong>in</strong>g <strong>the</strong> market.<br />

The Far East A-10 service might be just <strong>the</strong> beg<strong>in</strong>n<strong>in</strong>g of future expansion towards regular<br />

l<strong>in</strong>ks with <strong>the</strong> Americas, India <strong>and</strong> Middle East.<br />

Thanks to <strong>the</strong> regular calls of large conta<strong>in</strong>er vessels to <strong>the</strong> port of Gdansk, it has become<br />

a key part of <strong>the</strong> maritime trade route between European Union <strong>and</strong> Ch<strong>in</strong>a. What is more,<br />

50 Deepwater Conta<strong>in</strong>er Term<strong>in</strong>al Gdansk<br />

51


<strong>the</strong> proximity of Gdansk to <strong>the</strong> rest of Central <strong>and</strong> Eastern Europe makes it an ideal site to<br />

support <strong>the</strong> rapidly grow<strong>in</strong>g economies of its neighbours. Until recently, almost all <strong>the</strong><br />

region‘s conta<strong>in</strong>er traffic was h<strong>and</strong>led by Port of Hamburg, before be<strong>in</strong>g forwarded on to<br />

Pol<strong>and</strong> by road <strong>and</strong> rail, <strong>and</strong> <strong>in</strong> some cases smaller feeder vessels to o<strong>the</strong>r ports <strong>in</strong> <strong>the</strong><br />

Baltic Sea area. The <strong>in</strong>creased expense of this extra <strong>in</strong>l<strong>and</strong> transhipment, especially to<br />

easternmost dest<strong>in</strong>ations such as St Petersburg, led to higher prices when <strong>the</strong> goods were<br />

sold domestically. DCT Gdansk‘s proximity to <strong>the</strong> region coupled with lower labour <strong>and</strong><br />

manufactur<strong>in</strong>g costs when compared with its German competitor means future<br />

redistribution of Baltic cargo flows 51 . In <strong>the</strong> next decade, as <strong>the</strong> conta<strong>in</strong>erised cargo<br />

volume grow, <strong>the</strong>re will emerged o<strong>the</strong>r ports <strong>and</strong> hubs on <strong>the</strong> Baltic Sea attract<strong>in</strong>g deepsea<br />

calls, however, DCT as <strong>the</strong> first one on <strong>the</strong> South Baltic will have <strong>the</strong> strongest market<br />

position <strong>in</strong> <strong>the</strong> future <strong>and</strong> has a chance to rema<strong>in</strong> <strong>the</strong> biggest conta<strong>in</strong>er term<strong>in</strong>al <strong>in</strong> <strong>the</strong><br />

region <strong>and</strong> take over <strong>the</strong> role of Hamburg on <strong>the</strong> Baltic coastl<strong>in</strong>e. Advantages of shipp<strong>in</strong>g<br />

via DCT Gdansk versus North Sea Term<strong>in</strong>als 52 :<br />

ability to lower stevedor<strong>in</strong>g costs for Baltic sea cargo,<br />

ability to use deep draught vessel to lower slot cost,<br />

ability to restructure feeder connections to lower feeder costs,<br />

ability to lower <strong>the</strong> <strong>in</strong>l<strong>and</strong> delivery costs for polish <strong>and</strong> central Europe<br />

dest<strong>in</strong>ations,<br />

ability to implement long term <strong>development</strong> strategies for <strong>the</strong> central-east<br />

Europe <strong>and</strong> Baltic Sea Region.<br />

However, <strong>the</strong>re should be considered many factors <strong>and</strong> conditions that may <strong>and</strong> probably<br />

will <strong>in</strong>fluence <strong>development</strong> of DCT as well as conta<strong>in</strong>erisation process as a whole. Up till<br />

now, <strong>in</strong> many cases, policymak<strong>in</strong>g <strong>in</strong> <strong>the</strong> logistics sector has hardly paid attention to ‗soft‘<br />

factors such as policy to develop professionalism <strong>and</strong> manpower <strong>in</strong> <strong>the</strong> logistics <strong>in</strong>dustry.<br />

On <strong>the</strong> o<strong>the</strong>r h<strong>and</strong>, to do bus<strong>in</strong>ess <strong>in</strong> foreign markets, <strong>the</strong>re is a need to h<strong>and</strong>le a variety of<br />

factors, <strong>in</strong>clud<strong>in</strong>g <strong>the</strong> new <strong>and</strong> uncontrollable economic environment, laws <strong>and</strong> systems,<br />

social <strong>and</strong> cultural values <strong>and</strong> behavioural st<strong>and</strong>ards, <strong>the</strong> structure of <strong>the</strong> market, as well<br />

as desired service levels <strong>and</strong> <strong>the</strong> quality of usable <strong>in</strong>formation. Thus, <strong>in</strong> order to meet <strong>the</strong><br />

dem<strong>and</strong> of <strong>the</strong>se global companies, <strong>the</strong>re is an urgent need to improve <strong>the</strong> quality of<br />

51<br />

Th<strong>in</strong>k<strong>in</strong>g outside <strong>the</strong> box. Ports & Harbours, Issue 6-2011<br />

52 Moysen Jean Jacques, DCT Gdansk<br />

52


logistics service providers, <strong>and</strong> to develop a solid workforce of logistics professionals.<br />

However, <strong>the</strong>re still many obstacles for <strong>the</strong> <strong>development</strong> of conta<strong>in</strong>erisation <strong>in</strong> Pol<strong>and</strong> to<br />

be overcome, <strong>in</strong>clud<strong>in</strong>g:<br />

lack of coherent maritime policy <strong>in</strong> Pol<strong>and</strong> <strong>and</strong> <strong>the</strong> long-term plans for port<br />

<strong>development</strong>,<br />

no national strategy for <strong>in</strong>tegrat<strong>in</strong>g <strong>the</strong> various ports to <strong>in</strong>crease <strong>the</strong><br />

competitiveness of polish ports <strong>and</strong> <strong>the</strong> whole maritime <strong>in</strong>dustry,<br />

unsatisfactory state of road <strong>and</strong> rail <strong>in</strong>frastructure restrict<strong>in</strong>g <strong>the</strong> ports<br />

accessibility,<br />

shortage of adequate <strong>in</strong>frastructure for <strong>in</strong>termodal term<strong>in</strong>als <strong>in</strong> ports<br />

h<strong>in</strong>terl<strong>and</strong>,<br />

adm<strong>in</strong>istrative difficulties connected with <strong>the</strong> customs clearance of cargo <strong>in</strong><br />

ports,<br />

excessive number of <strong>in</strong>spections that prevent harmonious clearance <strong>in</strong> ports<br />

(one national audit should be created),<br />

VAT rate of 23% for some services provided <strong>in</strong> ports (<strong>in</strong> EU, <strong>the</strong>re is 0% rate<br />

for port services),<br />

exemption from property tax for <strong>the</strong> port <strong>in</strong>frastructure is questioned by<br />

local authorities 53 .<br />

3.3 Pomeranian Logistics Centre – PLC<br />

The next step <strong>in</strong> <strong>the</strong> <strong>development</strong> of DCT Gdansk is <strong>the</strong> transformation of 100 hectares<br />

adjacent to <strong>the</strong> term<strong>in</strong>al <strong>in</strong>to a logistics park to provide <strong>the</strong> term<strong>in</strong>al with dedicated<br />

logistics facilities <strong>and</strong> additional functions. Pomeranian Logistics Centre (PLC) will be<br />

constructed <strong>in</strong> cooperation with Goodman Group, a logistic hub management company with<br />

ties to DCT Gdansk‘s shareholders, <strong>and</strong> will be <strong>the</strong> first of its k<strong>in</strong>d on ma<strong>in</strong>l<strong>and</strong> Europe. PLC<br />

will offer up to 500 000 square metres of warehous<strong>in</strong>g space <strong>and</strong> 40 000 square metres of<br />

offices accessed by rail <strong>and</strong> road l<strong>in</strong>ks, as well as be<strong>in</strong>g with<strong>in</strong> 18 km of <strong>the</strong> <strong>in</strong>ternational<br />

Gdansk Lech Walesa Airport.<br />

53 DCT Gdansk - Baltic revolution, (http://www.slideshare.net/DCT_Gdansk)<br />

53


Goodman, selected as a manag<strong>in</strong>g operator for <strong>in</strong>vestment <strong>and</strong> management of 110 ha, will<br />

develop a logistics centre on <strong>the</strong> plot of 1 090 000 square metres located <strong>in</strong> direct vic<strong>in</strong>ity<br />

to DCT. City of Gdańsk through Gdansk Economic Development Agency Ltd. (InvestGDA) is a<br />

partner of that planned <strong>in</strong>vestment which conta<strong>in</strong> logistics projects, storage <strong>and</strong><br />

distribution, <strong>in</strong>dustrial <strong>and</strong> energy projects.<br />

The Industial-Logistics Park <strong>in</strong> Gdansk is currently <strong>the</strong> largest logistics <strong>in</strong>vestment <strong>in</strong><br />

Nor<strong>the</strong>rn Pol<strong>and</strong>. The <strong>in</strong>vestment will support <strong>the</strong> capacity <strong>development</strong> of <strong>the</strong> DTC<br />

Gdansk, that is <strong>the</strong> most modern <strong>and</strong> up –to-date conta<strong>in</strong>er term<strong>in</strong>al <strong>in</strong> <strong>the</strong> Sou<strong>the</strong>rn Baltic<br />

area.<br />

Pomeranian<br />

Logistics Centre<br />

Fig. 18. Pomeranian Logistics Centre<br />

Source: Deepwater Conta<strong>in</strong>er Term<strong>in</strong>al Gdansk<br />

The multi functional LC will be f<strong>in</strong>anced by <strong>the</strong> Goodman Group. The advantage of <strong>the</strong><br />

location will be a direct connection with a modern deepwater conta<strong>in</strong>er term<strong>in</strong>al,<br />

convenient location <strong>in</strong> <strong>the</strong> vic<strong>in</strong>ity of <strong>the</strong> major way-out road to Warsaw (S7) <strong>and</strong> motorway<br />

(A1) <strong>and</strong> possibility to establish a relevant free customs area.<br />

The project of <strong>the</strong> Pomeranian Logistics Centre <strong>in</strong> which <strong>the</strong> Australian <strong>in</strong>vestments of <strong>the</strong><br />

Goodman Group play a key role, will streng<strong>the</strong>n <strong>the</strong> position of Pol<strong>and</strong> <strong>in</strong> foreign trade,<br />

especially <strong>in</strong> <strong>the</strong> goods exchange with <strong>the</strong> Asian markets.<br />

54


Fig. 19. Visualisation of Industrial-Logistics Park <strong>in</strong> Gdansk by <strong>the</strong> Goodman Company<br />

Source: Deepwater Conta<strong>in</strong>er Term<strong>in</strong>al Gdansk<br />

That ultramodern <strong>in</strong>vestment is extremely important as a place for larger foreign<br />

<strong>in</strong>vestments. In Western Europe some ports are capable of generat<strong>in</strong>g up to 20% of<br />

employment for <strong>the</strong> city <strong>and</strong> its neighbourhood. Therefore, <strong>the</strong> <strong>in</strong>vestment will make <strong>the</strong><br />

port <strong>and</strong> <strong>the</strong> city of Gdansk considerably more attractive place for <strong>in</strong>vestment <strong>in</strong> any k<strong>in</strong>d<br />

of economic <strong>and</strong> <strong>in</strong>dustrial activity, thus creat<strong>in</strong>g more jobs.<br />

The <strong>development</strong> of <strong>the</strong> Pomeranian Logistics Centre will f<strong>in</strong>d a strong support <strong>in</strong><br />

modernisation <strong>and</strong> new <strong>in</strong>vestments <strong>in</strong> local <strong>and</strong> regional transport <strong>and</strong> communication<br />

<strong>in</strong>frastructure, particularly such projects as Sucharskiego Route, tunnel under Martwa<br />

Wisła <strong>and</strong> Gdansk Sou<strong>the</strong>rn R<strong>in</strong>groad.<br />

Favourable location of <strong>the</strong> planned logistic centre will attract many local, national <strong>and</strong><br />

<strong>in</strong>ternational clients. The flexibility <strong>and</strong> operability will allow offer<strong>in</strong>g tailor-made stor<strong>in</strong>g<br />

facilities, distribution areas, office premises or back yards.<br />

55


4. Conta<strong>in</strong>er hub <strong>development</strong>: Port of Ust-Luga<br />

4.1 Russian Baltic Ports <strong>in</strong> national transport <strong>development</strong> strategy<br />

The Russian Federation transport strategy <strong>in</strong>dicates as its priorities an <strong>in</strong>crease of <strong>the</strong><br />

foreign trade share h<strong>and</strong>led by <strong>the</strong> national ports. This will require exp<strong>and</strong><strong>in</strong>g Russian<br />

seaport capacity <strong>and</strong> improv<strong>in</strong>g <strong>the</strong> <strong>in</strong>l<strong>and</strong> waterways <strong>in</strong>frastructure by build<strong>in</strong>g new ports<br />

<strong>and</strong> reconstruct<strong>in</strong>g <strong>the</strong> exist<strong>in</strong>g berths <strong>and</strong> cargo term<strong>in</strong>als. The aim was to exp<strong>and</strong><br />

seaports capacity to 542 mln tonnes of foreign trade cargo by 2010.<br />

Traditionally, St. Petersburg has been <strong>the</strong> dom<strong>in</strong>ant Russian Baltic port, boast<strong>in</strong>g a vast<br />

maritime heritage (cargo throughput <strong>in</strong> Russian Baltic Ports - see <strong>the</strong> fig. 19. However, due<br />

to <strong>the</strong> close proximity of <strong>the</strong> city <strong>and</strong> <strong>the</strong> limited water depth it is restricted. That‘s <strong>the</strong><br />

ma<strong>in</strong> reason for <strong>the</strong> authorities to seek a transformation, with more focus on cleaner<br />

cargoes, namely conta<strong>in</strong>ers <strong>and</strong> cars <strong>and</strong> cruise, as well as l<strong>and</strong> re<strong>development</strong>. Some<br />

cargo <strong>development</strong>s have been stopped because <strong>the</strong>y are environmentally undesirable. In<br />

consequence, o<strong>the</strong>r ports are be<strong>in</strong>g promoted <strong>in</strong> locations where <strong>the</strong>re is more space away<br />

from <strong>the</strong> congestion of St. Petersburg <strong>and</strong> yet close enough to serve its needs <strong>and</strong> to tie <strong>in</strong><br />

to <strong>the</strong> ma<strong>in</strong> road <strong>and</strong> rail <strong>in</strong>frastructure.<br />

Fig. 20. Cargo throughput <strong>in</strong> Russian Baltic Ports (<strong>in</strong> thous. tonnes)<br />

Source: Ust-Luga Company. St. Petersburg 2009<br />

The ―Maritime Transport Sub-Programme‖ envisages that Russia‘s seaports should be<br />

capable of h<strong>and</strong>l<strong>in</strong>g 774 mln tonnes per year <strong>in</strong> 2015. Federal fund<strong>in</strong>g for <strong>the</strong> port <strong>in</strong>dustry<br />

is distributed between top-priority projects def<strong>in</strong>ed by:<br />

Transport Strategy of <strong>the</strong> Russian Federation until 2030 (adopted <strong>in</strong> 2008),<br />

Federal Target Programme for ―Russia‘s transport system <strong>development</strong> <strong>in</strong><br />

2010-2015‖.<br />

56


The new port at Ust-Luga is <strong>the</strong> most advanced of <strong>the</strong>se <strong>development</strong>s, with several<br />

term<strong>in</strong>als already <strong>in</strong> operation. There are also some o<strong>the</strong>r new ports be<strong>in</strong>g considered on<br />

<strong>the</strong> nor<strong>the</strong>rn shore of <strong>the</strong> Gulf of F<strong>in</strong>l<strong>and</strong>, namely <strong>the</strong> ports of Vyborg <strong>and</strong> quite recently<br />

constructed Primorsk <strong>and</strong> Vysotsk.<br />

The Russian economy as market – oriented economy can experience considerable<br />

fluctuations, not all of <strong>the</strong>m positive. In fact, <strong>the</strong> global trade recession has had a negative<br />

impact on both state-driven <strong>and</strong> privately developed projects, many of which have had to<br />

be suspended 54 .<br />

Due to <strong>the</strong> downturn <strong>in</strong> <strong>the</strong> global economy <strong>in</strong> 2009, federal fund<strong>in</strong>g for seaport<br />

<strong>in</strong>frastructure had to be substantially reduced. This affected berth reconstruction,<br />

dredg<strong>in</strong>g <strong>and</strong> o<strong>the</strong>r projects aimed at renovat<strong>in</strong>g <strong>the</strong> state <strong>in</strong>frastructure <strong>in</strong> almost every<br />

Russian seaport. These projects are likely to be restarted as <strong>the</strong> economic situation<br />

improves 55 . Despite <strong>the</strong> slump, federal property <strong>development</strong> is cont<strong>in</strong>u<strong>in</strong>g at a number of<br />

sites, for example at Ust-Luga. Fur<strong>the</strong>rmore, projects that have been commissioned by <strong>the</strong><br />

Russian Federation President or will be cont<strong>in</strong>ued, for example <strong>the</strong> Baltic Pipel<strong>in</strong>e System 2<br />

(BPS-2) term<strong>in</strong>al projects at Ust-Luga.<br />

Some of <strong>the</strong> scheduled Maritime Transport Sub-Programme projects have been suspended.<br />

This has affected for example <strong>the</strong> reconstruction of federal port property <strong>in</strong> St. Petersburg<br />

<strong>and</strong> Vyborg 56 . Also private-sector port <strong>and</strong> term<strong>in</strong>al <strong>development</strong> projects are be<strong>in</strong>g<br />

delayed because of <strong>the</strong> decreas<strong>in</strong>g cargo traffic <strong>and</strong> <strong>the</strong> reduced dem<strong>and</strong> for new<br />

capacities <strong>in</strong> <strong>the</strong> near future.<br />

The situation of Russian Baltic ports was more promis<strong>in</strong>g <strong>in</strong> 2010, when <strong>the</strong> prospects of<br />

recovery <strong>in</strong> <strong>the</strong> world economy <strong>and</strong> trade were observed. Trade flows pass<strong>in</strong>g through <strong>the</strong><br />

seaports of Russia <strong>in</strong> 2010 <strong>in</strong>creased by 5,9% as compared with 2009 to 525,85 million<br />

tons. 57 . Transshipment of dry cargo rose by 6,6% to 211,5 million tons, <strong>in</strong>clud<strong>in</strong>g: conta<strong>in</strong>er<br />

traffic by 30,1% to 32,91 million tons, timber by 9,1% to 6,59 million tons, break bulk <strong>and</strong><br />

packaged cargo almost doubled totall<strong>in</strong>g 5,470 million tons.<br />

54 Russia – Opportunities for UK-Based Companies <strong>in</strong> <strong>the</strong> Ports Sector UK Trade <strong>and</strong> Investment 2010.<br />

55 ibidem<br />

56 ibidem<br />

57 Association of Commercial Seaports, press release 18 Jan.2011<br />

57


Exports volume rose by 5% to 404,19 million tons, imports <strong>in</strong>creased by 43,8% to 39,34<br />

million tons, transit cargo rose by 2.7% to 45.96 million tons, while short sea trade volume<br />

dropped by 7,5% to 36,35 million tons.<br />

Operators of mar<strong>in</strong>e term<strong>in</strong>als of North-western Bas<strong>in</strong> h<strong>and</strong>led 227,59 million tons of cargo,<br />

1,9% up from <strong>the</strong> previous year. Dry cargo throughput <strong>in</strong>creased by 9,6% to 82.77 million<br />

tons. Throughput of Big Port of St. Petersburg rose by 15,2%, to 58 million tons, of <strong>the</strong> port<br />

of Kal<strong>in</strong><strong>in</strong>grad by 11,8%, to 13,83 million tons, of <strong>the</strong> port of Ust-Luga by 13,7% to 11,78<br />

million tons 58 .<br />

4.2 The Greater Port of St. Petersburg<br />

Sa<strong>in</strong>t-Petersburg is <strong>the</strong> largest Russian port on Baltic. Its dynamics is <strong>in</strong>dicative for <strong>the</strong><br />

whole market. The Greater Port of St. Petersburg at <strong>the</strong> head of <strong>the</strong> Gulf of F<strong>in</strong>l<strong>and</strong> <strong>and</strong> on<br />

<strong>the</strong> River Neva is strategically well placed to service <strong>the</strong> city. St. Petersburg is Russia‘s<br />

second-largest port h<strong>and</strong>l<strong>in</strong>g all types of cargo at over 70 berths. It has a well-developed<br />

transport accessibility namely <strong>the</strong> road, rail <strong>and</strong> o<strong>the</strong>r <strong>in</strong>frastructure. Most of <strong>the</strong> time<br />

navigation can be cont<strong>in</strong>ued all year, although typically <strong>in</strong> 3-4 w<strong>in</strong>ter months <strong>the</strong> Nevska<br />

Bay is covered with ice <strong>and</strong> sail<strong>in</strong>g can go on with <strong>the</strong> assistance of ice-breakers. Sankt<br />

Petersburg port <strong>and</strong> <strong>the</strong> city expansion have resulted <strong>in</strong> congestion <strong>in</strong> <strong>the</strong> built-up areas,<br />

caus<strong>in</strong>g delays to road <strong>and</strong> rail connections. In connection with <strong>the</strong> expected <strong>in</strong>crease <strong>in</strong><br />

ports turnover, <strong>the</strong> <strong>in</strong>dividual port authorities plan to extend <strong>the</strong>ir available cargo<br />

capacities.<br />

Sa<strong>in</strong>t-Petersburg – ―old‖ port:<br />

First Conta<strong>in</strong>er term<strong>in</strong>al – <strong>in</strong>creas<strong>in</strong>g capacity from 1100 thous to 1600 thous<br />

TEU,<br />

Petrolesport – <strong>in</strong>creas<strong>in</strong>g capacity from 650 to 2300 th. TEU, +800 thous.<br />

tonnes of Ro-Ro cargo,<br />

First Stevedor<strong>in</strong>g Company – 790 thous tonnes capacity Ro-Ro term<strong>in</strong>al<br />

launched +1500 thous. tonnes reefer capacity,<br />

Forth Stevedor<strong>in</strong>g Company – <strong>development</strong> of 1500 thous TEU conta<strong>in</strong>er<br />

capacity,<br />

58 Portnews - on l<strong>in</strong>e 3 Jan. 2012. Russian seaports‘ cargo throughput up 5,9% <strong>in</strong> 2010 to 525,85m tons<br />

58


Second Stevedor<strong>in</strong>g Company – add<strong>in</strong>g 1300 thous tonnes of Ro-Ro capacity +<br />

o<strong>the</strong>r cargo capacity,<br />

Third Stevedor<strong>in</strong>g Company – car term<strong>in</strong>al launched <strong>in</strong> 2008<br />

Sa<strong>in</strong>t-Petersburg – outer port:<br />

Moby Dick – term<strong>in</strong>al extension to around 1400 thous TEU conta<strong>in</strong>er capacity,<br />

Fenix (Forum) – develop<strong>in</strong>g new term<strong>in</strong>al around 1400 thous TEU conta<strong>in</strong>er<br />

capacity +2400 thous tonnes of Ro-Ro cargo,<br />

National Refrigeration Company – 1100 thous TEU conta<strong>in</strong>er capacity + 2600<br />

thous tonnes Ro-Ro capacity + around 300 thous cars capacity,<br />

Lomonosov Cargo Term<strong>in</strong>al – 1000 thous TEU conta<strong>in</strong>er capacity + around 300<br />

thous cars capacity<br />

The ma<strong>in</strong> term<strong>in</strong>al operators <strong>in</strong> St. Petersburg:<br />

Sea Port of St. Petersburg - <strong>the</strong> largest operator <strong>and</strong> <strong>in</strong>cludes <strong>the</strong> first,<br />

second, third <strong>and</strong> fourth stevedor<strong>in</strong>g companies. With a total quay length of<br />

6000m of quay <strong>and</strong> over 34 berths, <strong>the</strong> term<strong>in</strong>al can h<strong>and</strong>le most types of<br />

cargo, <strong>in</strong>clud<strong>in</strong>g conta<strong>in</strong>ers. Vessels up to 60 000 dwt with a maximum<br />

draught of 11m can be accommodated. In 2008, <strong>the</strong> overall cargo<br />

throughput was 11m tonnes. Sea Port of St Petersburg is owned by Universal<br />

Cargo Logistics Hold<strong>in</strong>g BV (Ne<strong>the</strong>rl<strong>and</strong>s), which also has <strong>in</strong>terests <strong>in</strong> Ust-<br />

Luga.<br />

Petrolesport - a privately owned term<strong>in</strong>al, with 10 berths stretch<strong>in</strong>g over a<br />

length of 1500 m. They h<strong>and</strong>le conta<strong>in</strong>ers, ro-ro, forest products, general<br />

cargo <strong>and</strong> refrigerated goods.<br />

Cruise Term<strong>in</strong>al: recently constructed on <strong>the</strong> 100 ha of newly reclaimed<br />

l<strong>and</strong> at Vasilyevsky Isl<strong>and</strong>.<br />

The way forward for St. Petersburg is <strong>the</strong> expansion <strong>and</strong> modernisation around cleaner port<br />

operations <strong>and</strong> cargoes. There is already a focus on conta<strong>in</strong>ers, ro-ro <strong>and</strong> cruise.<br />

The Onega Term<strong>in</strong>al expansion project (Stage 3) has been promoted by term<strong>in</strong>al operator<br />

OMG Group at a project cost of 950 mln Rbl. The project is for <strong>the</strong> l<strong>and</strong>side <strong>development</strong><br />

(not <strong>in</strong>clud<strong>in</strong>g <strong>the</strong> berths) of a 600 000 TEU per year-capacity conta<strong>in</strong>er term<strong>in</strong>al <strong>and</strong> a rail<br />

l<strong>in</strong>k to <strong>the</strong> Avtovo station.<br />

59


Petrolesport JSC announced its port-<strong>development</strong> strategy <strong>in</strong> 2008, with a total <strong>in</strong>vestment<br />

cost of 886 mln USD for <strong>the</strong> follow<strong>in</strong>g projects:<br />

conta<strong>in</strong>er term<strong>in</strong>al <strong>development</strong> will exp<strong>and</strong> <strong>the</strong> current capacity of<br />

650 000 TEU per year to an estimated capacity of 2-2,5 mln TEU. The<br />

project started <strong>in</strong> 2007 with <strong>the</strong> modernisation of exist<strong>in</strong>g facilities <strong>and</strong> <strong>the</strong><br />

creation of new h<strong>and</strong>l<strong>in</strong>g areas through l<strong>and</strong> reclamation. Dredg<strong>in</strong>g is be<strong>in</strong>g<br />

undertaken to accommodate ships up to 12 m draft. There will be a reefer<br />

conta<strong>in</strong>er stuff<strong>in</strong>g/stripp<strong>in</strong>g facility, as well as rail term<strong>in</strong>al connections.<br />

construction of a new deepwater berth, <strong>and</strong> <strong>the</strong> reconstruction of <strong>the</strong><br />

exist<strong>in</strong>g one, at <strong>the</strong> RoRo term<strong>in</strong>al, with modernisation of <strong>the</strong> storage<br />

space.<br />

expansion of <strong>the</strong> reefer term<strong>in</strong>al, <strong>in</strong>creas<strong>in</strong>g <strong>the</strong> exist<strong>in</strong>g storage capacity of<br />

20 000 tonnes of deep-frozen products to at least 40 000 tonnes, it mean<br />

one of <strong>the</strong> largest <strong>in</strong> Russia.<br />

port <strong>in</strong>frastructure <strong>development</strong>s, <strong>in</strong>clud<strong>in</strong>g a new office <strong>and</strong> utility<br />

build<strong>in</strong>gs, a new Customs zone with an <strong>in</strong>spection facility for 145<br />

conta<strong>in</strong>ers, <strong>and</strong> a new Customs <strong>in</strong>spection complex for 500 conta<strong>in</strong>ers.<br />

Sea Port of St. Petersburg JSC (OAO Morskoy Port St. Petersburg) has a <strong>development</strong><br />

programme for new port facilities aimed at exp<strong>and</strong><strong>in</strong>g h<strong>and</strong>l<strong>in</strong>g capacity to 20 million<br />

tonnes per year. The projects <strong>in</strong> progress are 59 :<br />

conta<strong>in</strong>er term<strong>in</strong>al at Berth 101 on <strong>the</strong> territory of <strong>the</strong> fourth stevedor<strong>in</strong>g<br />

company. Phase 1 has a projected capacity of 350 000 TEU. Fur<strong>the</strong>r<br />

expansion will <strong>in</strong>crease <strong>the</strong> term<strong>in</strong>al‘s capacity to 1,5 million TEU.<br />

RoRo term<strong>in</strong>al project was started <strong>in</strong> 2009 on <strong>the</strong> territory of <strong>the</strong> first<br />

stevedor<strong>in</strong>g company. It has a projected capacity of 1mln tonnes per year,<br />

with new roofed storage facilities, a rail viaduct <strong>and</strong> a road overpass to be<br />

constructed.<br />

car term<strong>in</strong>al is be<strong>in</strong>g built on <strong>the</strong> territory of <strong>the</strong> third stevedor<strong>in</strong>g company.<br />

Phase 1 is already operable, but rema<strong>in</strong>s unused because of <strong>the</strong> decl<strong>in</strong>e <strong>in</strong><br />

59 Vitaly Chernov: Conta<strong>in</strong>er volumes keep on ris<strong>in</strong>g. PortNews on l<strong>in</strong>e 1 August 2010<br />

60


car imports. Phase 2 expansion will enlarge <strong>the</strong> capacity to 170000 cars per<br />

year with a l<strong>and</strong> area of 10 ha.<br />

reefer term<strong>in</strong>al is to be developed on <strong>the</strong> territory of <strong>the</strong> first stevedor<strong>in</strong>g<br />

company with a projected capacity of 1-1,5 mln tonnes of cargo per year.<br />

Mar<strong>in</strong>e Façade (Morskoy Fasad) is develop<strong>in</strong>g a new passenger <strong>and</strong> cruise term<strong>in</strong>al along<br />

with significant property <strong>development</strong> on <strong>the</strong> St. Petersburg seafront, <strong>in</strong>clud<strong>in</strong>g l<strong>and</strong><br />

reclamation.<br />

The conta<strong>in</strong>er term<strong>in</strong>al is situated <strong>in</strong> <strong>the</strong> Neva Bay, <strong>in</strong>side <strong>the</strong> great flood barrier. It will<br />

have a 1 kilometre-long conta<strong>in</strong>er quay. Fur<strong>the</strong>r transport of <strong>the</strong> conta<strong>in</strong>ers will be<br />

h<strong>and</strong>led by railroad <strong>and</strong> trucks. The term<strong>in</strong>al will h<strong>and</strong>le 1 000 000 TEU annually, which<br />

will make it one of Russia's largest <strong>and</strong> most important import term<strong>in</strong>als for conta<strong>in</strong>er<br />

transport.<br />

Fig. 21. Port of St Petersburg turnover <strong>in</strong> 2006 -2009<br />

4.3 Development of new locations<br />

Pressure on <strong>in</strong>creas<strong>in</strong>g vessel size <strong>and</strong> environmental issues resulted <strong>in</strong> new ports <strong>and</strong><br />

term<strong>in</strong>als locations fur<strong>the</strong>r down <strong>the</strong> Gulf of F<strong>in</strong>l<strong>and</strong>.<br />

In 2009, <strong>development</strong> of <strong>the</strong> outer harbours, especially for conta<strong>in</strong>ers <strong>and</strong> RoRo has been<br />

adopted. Investments of up to 248 mln Rbl from <strong>the</strong> federal <strong>and</strong> city budgets <strong>and</strong> private<br />

capital are planned for 2010-2025. These new port areas will be located <strong>in</strong> <strong>the</strong> Bronka –<br />

Lomonosov area <strong>and</strong> will cover 476 ha of l<strong>and</strong>, of which 382 ha will be reclaimed from <strong>the</strong><br />

sea. Term<strong>in</strong>al capacities have been projected for 2025 at 49 mln tonnes for Bronka, 9,5<br />

mln tonnes for Kronshtadt <strong>and</strong> 11,5 mln tonnes for Lomonosov. This will require substantial<br />

dredg<strong>in</strong>g of <strong>the</strong> clay sea bed, which is largely <strong>in</strong> shallow water.<br />

61


Fig. 22. Seaports around Sankt Petersburg<br />

Bronka is planned to be a multi-purpose port compris<strong>in</strong>g a 3 mln TEU per year conta<strong>in</strong>er<br />

term<strong>in</strong>al <strong>and</strong> 2,6 mln tonnes per year RoRo term<strong>in</strong>als. Operated by Phoenix Ltd, it is<br />

located next to Bronka railway station. Some 41,5 ha have been assigned for <strong>the</strong> <strong>in</strong>itial<br />

stage, later to be exp<strong>and</strong>ed by reclaim<strong>in</strong>g 80 ha. Phase 1 is estimated to cost<br />

36 500 mln Rbl, <strong>in</strong>clud<strong>in</strong>g over 10 500 mln Rbl from <strong>the</strong> federal budget.<br />

Fig. 23. Seaport St. Petersburg - Bronka Conta<strong>in</strong>er Term<strong>in</strong>al<br />

62


Universal Port Project at Lomonosov is be<strong>in</strong>g carried by Baltimor, which currently operates<br />

seven berths leased from <strong>the</strong> Navy. The project <strong>in</strong>volves 35 ha of l<strong>and</strong> reclamation <strong>and</strong> <strong>the</strong><br />

construction of 16 berths along 4500 m of new quayside. Conta<strong>in</strong>er, car, metal, perishables<br />

<strong>and</strong> timber term<strong>in</strong>als will be constructed, as well as adjacent logistics facilities (150ha). It<br />

is planned to be fully operational by 2020, with an <strong>in</strong>itial throughput of 1mln tonnes per<br />

year, <strong>in</strong>creas<strong>in</strong>g to 6 mln tonnes of cargo over five years. The required <strong>in</strong>vestment is<br />

estimated to be 1200 mln USD <strong>and</strong> will be f<strong>in</strong>anced by <strong>the</strong> consortium‘s own funds <strong>and</strong> loan<br />

money.<br />

Lomonosov Cargo Term<strong>in</strong>al was started by Yantar JSC. Commercial Sea Port JSC, now has a<br />

50% sharehold<strong>in</strong>g. The expansion plans are for a 1 mln TEU per year conta<strong>in</strong>er term<strong>in</strong>al <strong>and</strong><br />

a car term<strong>in</strong>al with a capacity of 300 000 vehicles per year, all constructed on 70 ha of<br />

reclaimed l<strong>and</strong>. Phase 1 was scheduled to start <strong>in</strong> 2010, but has been delayed. The project<br />

requires a dredged channel, new berths <strong>in</strong> a port bas<strong>in</strong>, <strong>and</strong> associated equipment <strong>and</strong><br />

<strong>in</strong>frastructure <strong>in</strong>clud<strong>in</strong>g railway connections.<br />

Moby Dick Conta<strong>in</strong>er Term<strong>in</strong>al at Litke Base, Kronshtadt on Kotl<strong>in</strong> Isl<strong>and</strong> is <strong>the</strong> thirdlargest<br />

conta<strong>in</strong>er term<strong>in</strong>al <strong>in</strong> <strong>the</strong> Greater Port of St. Petersburg <strong>and</strong> is co-owned by Global<br />

Ports Investments <strong>and</strong> Conta<strong>in</strong>er F<strong>in</strong>ance (F<strong>in</strong>l<strong>and</strong>). The project started <strong>in</strong> 1997 <strong>and</strong> Phase<br />

1 <strong>and</strong> Phase 2 are <strong>in</strong> operation, with a capacity of 180 000 TEU. Phase 3 is planned to<br />

<strong>in</strong>crease capacity to 500 000 TEU by 2013 on <strong>the</strong> 50 ha term<strong>in</strong>al.<br />

Vysotsk is 160km northwest of St. Petersburg <strong>and</strong> has facilities for h<strong>and</strong>l<strong>in</strong>g dry bulk <strong>and</strong><br />

oil, ma<strong>in</strong>ly for export.<br />

Vyborg is close to <strong>the</strong> border with F<strong>in</strong>l<strong>and</strong> <strong>and</strong> <strong>the</strong>re is scope for modernis<strong>in</strong>g this multipurpose<br />

port. However, <strong>the</strong> berths are old, <strong>the</strong> water depth is limited <strong>and</strong> <strong>the</strong> l<strong>and</strong> is<br />

restricted to a narrow strip for cargo h<strong>and</strong>l<strong>in</strong>g <strong>and</strong> storage. Port modernization will<br />

<strong>in</strong>crease capacity up to 3 mln. tonnes, <strong>in</strong>clud<strong>in</strong>g around 100 thous TEU conta<strong>in</strong>ers<br />

Primorsk is 120km northwest of St Petersburg <strong>and</strong> l<strong>in</strong>ked to <strong>the</strong> Baltic Pipel<strong>in</strong>e System. It<br />

has been operat<strong>in</strong>g s<strong>in</strong>ce 2001 as one of Russia‘s crucial oil-export ports.<br />

SCP Primorsk – conta<strong>in</strong>er & Ro-Ro term<strong>in</strong>al:<br />

700 thous TEU conta<strong>in</strong>er capacity<br />

2 000 thous tonnes Ro-Ro cargo capacity<br />

SCP Primorsk - Oil-Chemical Term<strong>in</strong>al for tank-conta<strong>in</strong>er h<strong>and</strong>l<strong>in</strong>g:<br />

1 200 thous TEU capacity<br />

63


The Oil Products Term<strong>in</strong>al was officially <strong>in</strong>augurated <strong>in</strong> 2008, with a Phase 1 capacity of<br />

8,4 mln tonnes per year. Phase 2 has a capacity of 17 mln tonnes per year. The completed<br />

project will have a capacity to h<strong>and</strong>le 24,6 mln tonnes of oil products per year.<br />

4.4 Development of Ust-Luga sea port<br />

Commercial Sea Port of Ust-Luga is <strong>the</strong> most successful example of <strong>the</strong> new port. The<br />

multipurpose Ust-Luga merchant sea port is under construction <strong>in</strong> <strong>the</strong> Luga Bay of <strong>the</strong> Gulf<br />

of F<strong>in</strong>l<strong>and</strong>. Ust-Luga port is situated practically at <strong>the</strong> border of <strong>the</strong> Russian Federation <strong>and</strong><br />

<strong>the</strong> European Union. It is l<strong>in</strong>ked with <strong>the</strong> transport network of <strong>the</strong> Northwest region that<br />

plays a significant role <strong>in</strong> organization of transit shipments with<strong>in</strong> <strong>the</strong> frames of <strong>the</strong><br />

European transport <strong>in</strong>frastructure.<br />

The deep water area of <strong>the</strong> port (17 m) toge<strong>the</strong>r with <strong>the</strong> short ship channel (3,7 km)<br />

make Ust-Luga port <strong>the</strong> only Russian port on <strong>the</strong> Baltic Sea capable of admitt<strong>in</strong>g dry-cargo<br />

vessels with <strong>the</strong> deadweight of up to 75 thous tons <strong>and</strong> tankers with <strong>the</strong> deadweight of up<br />

to 120 thous tons. The second ship channel provid<strong>in</strong>g roundabout ship traffic will be built<br />

by 2010.<br />

The Ust Luga port can be available for shipp<strong>in</strong>g activities almost all-year-round. An ice<br />

channell<strong>in</strong>g period lasts for around 40 days. Icebreaker assistance is practically required<br />

only <strong>in</strong> <strong>the</strong> heaviest frost. In ord<strong>in</strong>ary w<strong>in</strong>ters it is possible to carry out <strong>in</strong>-channel<br />

operation with an ice-class tug. A significant advantage of <strong>the</strong> new port is <strong>the</strong> fact that <strong>the</strong><br />

cargo flows go to <strong>the</strong> port by-pass<strong>in</strong>g <strong>the</strong> extremely congested transport hub of Sa<strong>in</strong>t<br />

Petersburg.<br />

64


Port of Ust-Luga<br />

Fig. 24. Location of Ust-Luga Port<br />

In 1992 Ust-Luga Company JSC was established <strong>in</strong> order to develop <strong>the</strong> port <strong>in</strong> <strong>the</strong> Luga<br />

Bay, but for several years <strong>the</strong> project did not proceed. As a consequence, it was decided <strong>in</strong><br />

2000 to restructure <strong>the</strong> large-scale port <strong>in</strong>vestment project by segment<strong>in</strong>g it <strong>in</strong>to term<strong>in</strong>al<br />

<strong>in</strong>vestment projects to be f<strong>in</strong>anced by major shippers <strong>and</strong> exporters. Ust-Luga Company<br />

JSC is an <strong>in</strong>dustrial developer. The largest project be<strong>in</strong>g currently implemented is <strong>the</strong><br />

construction of Ust-Luga merchant seaport. The port is managed by Ust-Luga Company JSC<br />

for Port Bus<strong>in</strong>ess Development.<br />

Despite recent slowdown of <strong>the</strong> world economy, <strong>the</strong> port does not <strong>in</strong>tend to cease its<br />

<strong>in</strong>vestment program. New term<strong>in</strong>als are be<strong>in</strong>g built. Ust-Luga port is <strong>the</strong> largest<br />

<strong>in</strong>frastructural project <strong>in</strong> Russia. It <strong>in</strong>cludes:<br />

Sea Commercial Port Ust-Luga,<br />

Complex <strong>development</strong> of enclosed areas (CDA) – 6 <strong>in</strong>terrelated clusters<br />

Initially Ust-Luga Company JSC had shares <strong>in</strong> all <strong>the</strong> term<strong>in</strong>al projects under <strong>development</strong>,<br />

later sell<strong>in</strong>g most of <strong>the</strong>m to <strong>the</strong> ma<strong>in</strong> stockholder.<br />

Ust-Luga Company JSC, act<strong>in</strong>g as <strong>the</strong> port developer, has established jo<strong>in</strong>t-stock companies<br />

to develop separate term<strong>in</strong>als with<strong>in</strong> <strong>the</strong> port on <strong>the</strong> basis of one company for each<br />

term<strong>in</strong>al. Similar solution was applied to <strong>the</strong> port <strong>in</strong>frastructure, such as road <strong>and</strong> rail<br />

connections. The port has been planned as a multi-user port to h<strong>and</strong>le over 20 types of<br />

cargo, with an overall capacity of 120 mln tonnes per year <strong>and</strong> six term<strong>in</strong>als already <strong>in</strong><br />

65


operation. Rosmorport is responsible for <strong>the</strong> port bas<strong>in</strong> <strong>development</strong> <strong>and</strong> is <strong>the</strong> developer<br />

of <strong>the</strong> port facilities that are funded by <strong>the</strong> federal budget. They <strong>in</strong>clude:<br />

Channels <strong>and</strong> fairways,<br />

Port bas<strong>in</strong>,<br />

Territory <strong>and</strong> berths of <strong>the</strong> ferry term<strong>in</strong>al,<br />

Vessel traffic system,<br />

Border cross<strong>in</strong>gs,<br />

Navigation aids.<br />

Fig. 25. Commercial Port Ust-Luga – Layout<br />

Source: Port of Ust-Luga website<br />

There are seven term<strong>in</strong>als currently operat<strong>in</strong>g <strong>in</strong> Ust-Luga port:<br />

Coal Term<strong>in</strong>al,<br />

Universal Cargo Term<strong>in</strong>al (UPK),<br />

European Sulphur Term<strong>in</strong>al,<br />

Auto-Railway Ferry Complex,<br />

Multi-purpose Term<strong>in</strong>al Yug-2 (MPK Yug-2)<br />

Factor‘ Timber Term<strong>in</strong>al.<br />

Term<strong>in</strong>al of Bulk Cargoes<br />

66


Term<strong>in</strong>als under construction:<br />

Multi-Purpose Term<strong>in</strong>al Yug-2 (MPK Yug-2) – extension,<br />

Ust-Luga Conta<strong>in</strong>er Term<strong>in</strong>al,<br />

Bunker Term<strong>in</strong>al,<br />

General Cargo Term<strong>in</strong>al,<br />

Oil Term<strong>in</strong>al,<br />

Liquefied Petroleum Gas Term<strong>in</strong>al.<br />

Universal Term<strong>in</strong>al (UPK) is part of Universal Cargo Logistics Hold<strong>in</strong>g ВV, a transport<br />

hold<strong>in</strong>g with o<strong>the</strong>r <strong>in</strong>terests <strong>in</strong> Sea Port of St. Petersburg JSC <strong>and</strong> Taganrog Commercial Sea<br />

Port JSC. UPK has a 585m quayside to h<strong>and</strong>le vessels up to 70000 dwt with 14 m draught. It<br />

has a l<strong>and</strong> area of 13,7 ha <strong>and</strong> h<strong>and</strong>les imports <strong>and</strong> exports of general <strong>and</strong> breakbulk cargo.<br />

Fig. 26. Universal Cargo Term<strong>in</strong>al<br />

Source: Port of Ust-Luga website<br />

Factor Timber Term<strong>in</strong>al is a private project, operat<strong>in</strong>g s<strong>in</strong>ce 2002, with 125 m of quayside<br />

<strong>and</strong> 27,9ha of l<strong>and</strong>. There are plans to exp<strong>and</strong> from <strong>the</strong> current 250 000 tonnes per year to<br />

2,5 mln tonnes by 2015. This would <strong>in</strong>volve construct<strong>in</strong>g several berths to <strong>in</strong>crease <strong>the</strong><br />

quayside to 887 m, more open storage facilities, <strong>and</strong> road <strong>and</strong> rail access ways.<br />

Rail Ferry Term<strong>in</strong>al operated by Rosmorport is a part of <strong>the</strong> West – East transport corridor.<br />

The ferry service between Ust-Luga – Baltiysk – German ports is a federal project <strong>and</strong> a l<strong>in</strong>k<br />

<strong>in</strong> <strong>the</strong> East – West transport corridor. The project aims develop<strong>in</strong>g two ferry term<strong>in</strong>als (for<br />

rail <strong>and</strong> trucks/cars) to h<strong>and</strong>le RoRo, car/car & truck carriers, rail ferries <strong>and</strong> rail & truck<br />

ferries to operate <strong>the</strong> routes between Ust-Luga <strong>and</strong> Baltiysk <strong>and</strong> Ust-Luga <strong>and</strong> German<br />

ports. The term<strong>in</strong>al currently has a 10 m-deep bas<strong>in</strong>, with a double berth over 429 m of<br />

67


quayside. The l<strong>and</strong> area is 32,5ha <strong>and</strong> <strong>the</strong>re is a rail yard <strong>and</strong> rail station consist<strong>in</strong>g of 16<br />

tracks 8,7 km <strong>in</strong> total length to h<strong>and</strong>le railcars <strong>and</strong> complete customs formalities. The<br />

projected capacity is 3,5 mln tonnes of rail cargo <strong>and</strong> 2 mln tonnes of road cargo per<br />

year 60 . The complex is designed for transshipment of roll<strong>in</strong>g mach<strong>in</strong>ery, mostly new<br />

motorcars as well as conta<strong>in</strong>ers <strong>and</strong> general cargoes. When <strong>the</strong> term<strong>in</strong>al reaches its design<br />

capacity, it will transship over 4.6 mln. tons of export-import cargoes per year.<br />

Fig. 27. Auto-Railway Ferry Complex (Client / Operator – Ust-Luga Branch FSUE Rosmorpor)<br />

Source: Port of Ust-Luga website<br />

Ust-Luga is a good alternative for search<strong>in</strong>g new export routes, bypass<strong>in</strong>g <strong>the</strong> overloaded<br />

St. Petersburg transport hub. Export<strong>in</strong>g vehicles via Ust-Luga has become a new <strong>and</strong> very<br />

valuable experience for <strong>the</strong> port <strong>and</strong> its stakeholders <strong>and</strong> clients. The first Ural trucks for<br />

export were shipped from <strong>the</strong> Ust-Luga Port <strong>in</strong> January 2012. The first 120 trucks were<br />

sent by <strong>the</strong> Danube Highway to Bremerhaven (Germany). From <strong>the</strong>re <strong>the</strong> cargo is<br />

transferred to <strong>the</strong> Hoegh Trooper cargo vessel for delivery to <strong>the</strong> customer. Transportation<br />

services are provided by Hoegh Autol<strong>in</strong>ers A/S Shipp<strong>in</strong>g Company (Norway). This is a<br />

positive signal to Russian manufacturers seek<strong>in</strong>g new opportunities to deliver <strong>the</strong>ir<br />

products to foreign markets. The first 120 trucks were sent by <strong>the</strong> Danube Highway to<br />

Bremerhaven (Germany). From <strong>the</strong>re <strong>the</strong> cargo will be transferred to <strong>the</strong> Hoegh Trooper<br />

cargo vessel for delivery to <strong>the</strong> customer. Transportation services are provided by Hoegh<br />

Autol<strong>in</strong>ers A/S Shipp<strong>in</strong>g Company (Norway). The vehicles were delivered for load<strong>in</strong>g to <strong>the</strong><br />

automobile/railroad ferry connection. This term<strong>in</strong>al is used to import Toyota, Lexus,<br />

Hyundai, Kia <strong>and</strong> Subaru vehicles to Russia as is <strong>the</strong> multipurpose Yug-2 Transshipment<br />

Centre <strong>in</strong> Ust-Luga.<br />

60 http://www.bpoports.com/303.html<br />

68


Fig. 28. Multipurpose Term<strong>in</strong>al Yug-2<br />

Source: Port of Ust-Luga website<br />

Multi-Purpose Term<strong>in</strong>al Yug-2 (MPK Yug-2) is a PPP project supported by <strong>the</strong> RF Investment<br />

Fund. The total cost is 8 400 mln Rbl, <strong>in</strong>clud<strong>in</strong>g a federal <strong>in</strong>vestment of 2011 mln Rbl. The<br />

developer <strong>and</strong> operator is Ust-Luga Company JSC, with Ust-Luga Commercial Sea Port JSC<br />

<strong>in</strong> charge of <strong>the</strong> project. The term<strong>in</strong>al h<strong>and</strong>les RoRo cargo, <strong>in</strong>clud<strong>in</strong>g new cars, conta<strong>in</strong>ers<br />

<strong>and</strong> general cargo. The quayside is 1,5 km <strong>in</strong> length <strong>and</strong> <strong>the</strong> l<strong>and</strong> area is about 100 ha.<br />

Construction is cont<strong>in</strong>u<strong>in</strong>g <strong>and</strong> full capacity of 4,7m tonnes per year is scheduled for 2012,<br />

with a throughput of 500 000 new cars <strong>and</strong> storage capacity of 13000 cars at a time. A<br />

logistics centre is planned for <strong>the</strong> adjacent plot <strong>and</strong> this will be used for cars as well as for<br />

conta<strong>in</strong>er stuff<strong>in</strong>g/stripp<strong>in</strong>g.<br />

At present, Ust-Luga port is <strong>the</strong> fastest develop<strong>in</strong>g port <strong>in</strong> <strong>the</strong> Russian Federation. The<br />

volume of cargo transhipment has grown by 21,6% over <strong>the</strong> past six months. After reach<strong>in</strong>g<br />

its full capacity <strong>in</strong> 2018, <strong>the</strong> port will h<strong>and</strong>le around 180 million tons of various cargoes.<br />

This year, <strong>in</strong> view of <strong>the</strong> port‘s growth rate <strong>and</strong> dem<strong>and</strong> for human resources, a subsidiary<br />

of Ust-Luga Company JSC is launch<strong>in</strong>g <strong>the</strong> construction of a new city for 34 500 residents<br />

for <strong>the</strong> port workers <strong>and</strong> <strong>the</strong>ir families. In addition, Ust-Luga Company JSC is carry<strong>in</strong>g out<br />

design work to develop an <strong>in</strong>dustrial area next to <strong>the</strong> new port.<br />

Industrial activity is <strong>in</strong>evitably damag<strong>in</strong>g for <strong>the</strong> environment. Construction of such largescale<br />

facilities as a multipurpose sea merchant port will affect <strong>the</strong> ecology of <strong>the</strong> region,<br />

<strong>the</strong>refore <strong>the</strong> Ust-Luga Company concentrates on ecological policy on m<strong>in</strong>imization of <strong>the</strong><br />

environmental damage <strong>and</strong> compensation of <strong>the</strong> negative consequences. To m<strong>in</strong>imize <strong>the</strong><br />

negative impact of <strong>the</strong> construction upon underground, surface water <strong>and</strong> soil <strong>the</strong>re have<br />

69


een organized temporary grounds for wastes collection <strong>and</strong> storage with <strong>the</strong>ir subsequent<br />

exchange by a licensed organization 61 .<br />

4.5 Russian Conta<strong>in</strong>er market<br />

Russia is concerned about export<strong>in</strong>g goods o<strong>the</strong>r than raw materials. The Group‘s Global<br />

Ports Investments Plc (GPI) term<strong>in</strong>als are located <strong>in</strong> <strong>the</strong> Baltic <strong>and</strong> Far East bas<strong>in</strong>s <strong>and</strong><br />

constitute key gateways for Russian conta<strong>in</strong>er imports <strong>and</strong> exports <strong>and</strong> oil products<br />

exports. In 2010, GPI stevedor<strong>in</strong>g companies saw an 81% <strong>in</strong>crease o 62 f conta<strong>in</strong>er h<strong>and</strong>l<strong>in</strong>g<br />

operations to that of 2009. Conta<strong>in</strong>er term<strong>in</strong>als have seen a dramatic <strong>in</strong>crease <strong>in</strong> its cargo<br />

turnover. In 2010, <strong>the</strong> group h<strong>and</strong>led 1 095 625 TEU, 59 463 Ro-Ro cargo units (<strong>in</strong>clud<strong>in</strong>g<br />

cars) <strong>and</strong> 19,2 million tons of o<strong>the</strong>r cargo (<strong>in</strong>clud<strong>in</strong>g oil cargo). Conta<strong>in</strong>er term<strong>in</strong>als of<br />

Global Ports have almost rega<strong>in</strong>ed <strong>the</strong> pre-crisis cargo turnover, <strong>and</strong> <strong>in</strong> 2011 <strong>in</strong> l<strong>in</strong>e with<br />

<strong>the</strong> trends <strong>in</strong> <strong>the</strong> Russian conta<strong>in</strong>er market <strong>the</strong> growth will cont<strong>in</strong>ue. More <strong>in</strong>tensive return<br />

of volumes ca be expected, tak<strong>in</strong>g <strong>in</strong>to account <strong>the</strong> <strong>in</strong>vestment program of <strong>the</strong> group <strong>and</strong><br />

<strong>the</strong> efforts of <strong>the</strong> term<strong>in</strong>als to exp<strong>and</strong> <strong>the</strong>ir client base 63 .<br />

Total Russian conta<strong>in</strong>er market grew from approximately 748 thous<strong>and</strong> TEUs <strong>in</strong> 2000 to<br />

4 126 thous<strong>and</strong> TEUs <strong>in</strong> 2010 demonstrat<strong>in</strong>g a growth of 18,6% per year.<br />

Source: ASOP, Drewry Maritime Research<br />

Fig. 29. Russian conta<strong>in</strong>er market<br />

61 http://www.ust-luga.ru<br />

62 http://www.bpoports.com<br />

63 http://www.porttechnology.org/news/global_ports_conta<strong>in</strong>er_term<strong>in</strong>als_see_huge_rise_<strong>in</strong>_cargo_turnover -<br />

on l<strong>in</strong>e 17 Feb. 2012<br />

70


The post crisis recovery of conta<strong>in</strong>er traffic <strong>in</strong> Russian ports after reflects <strong>the</strong> high<br />

potential of <strong>the</strong> market. In 2011 <strong>the</strong> traffic was by 28% higher than <strong>in</strong> 2010. The imports of<br />

Russian ports <strong>in</strong> <strong>the</strong> Baltic Sea <strong>in</strong>creased by 20% <strong>and</strong> exports by 18%.<br />

Fig. 30. Top-10 East Baltic conta<strong>in</strong>er ports (TEU)<br />

Source: Drewry Maritime Research<br />

The Baltic ports are located close to Russia‘s major consumption centres, <strong>in</strong>clud<strong>in</strong>g<br />

Moscow. Ports of <strong>the</strong> Baltic Sea Bas<strong>in</strong> h<strong>and</strong>led 68% of Russian conta<strong>in</strong>er traffic. The<br />

conta<strong>in</strong>er market <strong>in</strong> Russia to grow by around 25% <strong>in</strong> 2011 <strong>and</strong> anticipates Russian<br />

conta<strong>in</strong>er volumes to grow on average by 18,8% per year between 2010-2013 64 . Conta<strong>in</strong>er<br />

turnover <strong>in</strong> <strong>the</strong> Russian ports <strong>in</strong>creased by more than 5 times, <strong>in</strong> <strong>the</strong> past 10 years, <strong>the</strong><br />

market grew on average by 20% per year. Initially <strong>in</strong> Russia <strong>the</strong>re were only two specialized<br />

conta<strong>in</strong>er term<strong>in</strong>als: PBC <strong>in</strong> St. Petersburg <strong>and</strong> VICS <strong>in</strong> <strong>the</strong> Far East.<br />

However, one of <strong>the</strong> biggest <strong>and</strong> most recurrent issues surround<strong>in</strong>g <strong>the</strong> prospects for<br />

redevelop<strong>in</strong>g ports <strong>in</strong> Russia is <strong>the</strong> relationship with Customs. Slow <strong>and</strong> complicated<br />

paperwork, discrepancies, constant updates <strong>and</strong> lack of electronic <strong>in</strong>teraction make<br />

Russian Customs procedures very difficult to accommodate <strong>in</strong> an efficient port-operat<strong>in</strong>g<br />

framework. The Customs authorities have considerable <strong>in</strong>fluence, hav<strong>in</strong>g <strong>the</strong> power, for<br />

example, to control cargo flows by restrict<strong>in</strong>g or clos<strong>in</strong>g borders or ports. They also collect<br />

large amounts of revenue, although dur<strong>in</strong>g <strong>the</strong> recession <strong>the</strong>y have collected less <strong>and</strong> are<br />

<strong>the</strong>refore look<strong>in</strong>g for o<strong>the</strong>r sources of <strong>in</strong>come. However, <strong>the</strong>re are some signs of<br />

64 Drewry estimation<br />

71


improvement, with attempts to consolidate Customs posts at <strong>the</strong> borders from more widely<br />

dispersed offices 65 .<br />

4.6 Conta<strong>in</strong>er h<strong>and</strong>l<strong>in</strong>g facilities <strong>in</strong> <strong>the</strong> Ust-Luga seaport<br />

Ust-Luga Conta<strong>in</strong>er Term<strong>in</strong>al <strong>in</strong> <strong>the</strong> sou<strong>the</strong>rn part of Ust-Luga port is a PPP project<br />

developed by National Conta<strong>in</strong>er Company (NCC) <strong>and</strong> co-<strong>in</strong>vestor Eurogate, which has a<br />

20% share <strong>in</strong> <strong>the</strong> term<strong>in</strong>al. Construction started <strong>in</strong> 2007 to develop term<strong>in</strong>al capacity of<br />

3 000 000 TEU, with a possible fur<strong>the</strong>r expansion to 6 000 000 TEU. The overall <strong>in</strong>vestment<br />

by NCC up to 2020 is expected to be around 800 mln USD with federal <strong>in</strong>vestment around<br />

110 mln USD. Phase 1 completion has been planned for 2012.<br />

Fig. 31. Ust-Luga conta<strong>in</strong>er term<strong>in</strong>al <strong>in</strong>vestment plan<br />

Already <strong>the</strong> 179 m long geared feeder ship Maersk Vancouver of 1700 TEU capacity has<br />

made a test call at <strong>the</strong> recently-opened Ust-Luga Conta<strong>in</strong>er Term<strong>in</strong>al 66 . The ship unloaded<br />

144 conta<strong>in</strong>ers at ULCT, operated by National Conta<strong>in</strong>er Company, before proceed<strong>in</strong>g to<br />

First Conta<strong>in</strong>er Term<strong>in</strong>al (also operated by NCC) <strong>in</strong> Sa<strong>in</strong>t Petersburg. In 2011, <strong>the</strong> ship<br />

brought to FCT its anniversary millionth TEU, <strong>and</strong> at <strong>the</strong> start of 2012 it took on board <strong>the</strong><br />

largest ever export conta<strong>in</strong>er volume Maersk has loaded s<strong>in</strong>ce <strong>the</strong> shipp<strong>in</strong>g l<strong>in</strong>e started<br />

Sa<strong>in</strong>t Petersburg operations. Before ULCT opened <strong>in</strong> October, it was speculated that<br />

Maersk would be <strong>the</strong> first caller, but so far only Unifeeder has been call<strong>in</strong>g, with fixed<br />

weekly calls that started on 29 December 2012.<br />

65 Access<strong>in</strong>g International Markets: Russia. Opportunities for UK –based companies <strong>in</strong> <strong>the</strong> ports sector UK Trade<br />

& Investment 2010<br />

66 SeaNews on-l<strong>in</strong>e. Published: 10 February 2012<br />

72


Fig. 32. Ust-Luga Conta<strong>in</strong>er Term<strong>in</strong>al (Client / Operator – Baltic Conta<strong>in</strong>er Term<strong>in</strong>al, Public JSC )<br />

Source: Port of Ust-Luga website<br />

Client / Operator – Ust-Luga Company, Public JSC Investor – Ust-Luga Company, Public JSC<br />

partly f<strong>in</strong>anced from Investment Fond of Russian Federation. Due to direct <strong>in</strong>volvement of<br />

<strong>the</strong> M<strong>in</strong>istry of transport of <strong>the</strong> Russian Federation <strong>and</strong> Russian railways JSC, <strong>in</strong>tensive work<br />

is already under way to reconstruct external approaches to <strong>the</strong> port, motorways <strong>and</strong><br />

railway tracks connect<strong>in</strong>g Ust-Luga port with major traffic arteries. Due to reserve<br />

territories Ust-Luga port can develop northward <strong>in</strong> <strong>the</strong> direction of Soika pen<strong>in</strong>sula.<br />

4.7 Ust-Luga Logistics Centre<br />

In l<strong>in</strong>e with <strong>the</strong> <strong>development</strong> of Ust-Luga port also o<strong>the</strong>r <strong>in</strong>vestments are planned. They<br />

will speed up <strong>the</strong> activity of h<strong>and</strong>l<strong>in</strong>g Russian foreign trade cargo.<br />

Ust-Luga is <strong>the</strong> only port <strong>in</strong> Russia with opportunities to build logistic centre with<strong>in</strong> port<br />

boundaries close to sea term<strong>in</strong>al. The Sea port Ust-Luga distance to St. Petersburg is<br />

153 km <strong>and</strong> to Moscow 830 km. There are plans to build a warehous<strong>in</strong>g logistic center<br />

(WLC) <strong>in</strong> <strong>the</strong> immediate proximity to <strong>the</strong> port. The center will ensure more <strong>in</strong>tensive<br />

<strong>development</strong> <strong>and</strong> higher throughput capacity <strong>and</strong> will also produce a synergy effect for all<br />

term<strong>in</strong>als of <strong>the</strong> sou<strong>the</strong>rn part of Ust-Luga port.<br />

73


Fig. 33. O<strong>the</strong>r <strong>in</strong>vestments accompany<strong>in</strong>g <strong>the</strong> construction of Ust-Luga.<br />

Fig. 34. Ust-Luga Logistic Centre<br />

Source: GULFTAINER Co Ltd<br />

Russian term<strong>in</strong>al operator National Conta<strong>in</strong>er Company (NCC) has established rail operator<br />

company NCC Logistics. The new rail service will provide block tra<strong>in</strong>s to <strong>and</strong> from NCC<br />

term<strong>in</strong>als, as well as local delivery by truck from rail station at dest<strong>in</strong>ation to consignee‘s<br />

warehouse <strong>and</strong> empty return back to port. S<strong>in</strong>ce May, 2011 <strong>the</strong> service has worked <strong>in</strong> a test<br />

mode, which <strong>in</strong>dicated <strong>the</strong> high dem<strong>and</strong> for block tra<strong>in</strong>s dispatched from First Conta<strong>in</strong>er<br />

Term<strong>in</strong>al (FCT), Port of St. Petersburg. From July, 2011 NCC Logistics operates tra<strong>in</strong>s from<br />

FCT to Logistika-Term<strong>in</strong>al (NCC‘s dry port), Moscow <strong>and</strong> <strong>the</strong> Kaluga region. Sett<strong>in</strong>g up of<br />

own rail operator is a logical step of NCC‘s bus<strong>in</strong>ess <strong>development</strong> which enhances<br />

74


efficiency <strong>and</strong> competitive advantages of NCC group as a whole. The new logistics division<br />

will <strong>in</strong>tegrate rail <strong>and</strong> port services <strong>and</strong> secures accuracy of conta<strong>in</strong>er delivery to clients.<br />

Future block tra<strong>in</strong>s are also planned for Ust-Luga Conta<strong>in</strong>er Term<strong>in</strong>al.<br />

Source: GULFTAINER Co Ltd<br />

Fig. 35. Railway access to <strong>the</strong> Ust-Luga port (Outl<strong>in</strong>e)<br />

Fig. 36. Road access to <strong>the</strong> Ust-Luga port<br />

Source: GULFTAINER Co Ltd<br />

Ust-Luga Logistic Centre will be <strong>the</strong> largest LC <strong>in</strong> <strong>the</strong> North-West of Russia with total<br />

<strong>in</strong>ternal cargo throughput up to 6 mln tonnes per year. LC will <strong>in</strong>crease production<br />

capacity of Yug-II term<strong>in</strong>al <strong>and</strong> will provide:<br />

75


additional storage space for imported cars,<br />

PDI services,<br />

open storage, warehous<strong>in</strong>g with temperature control,<br />

load<strong>in</strong>g <strong>and</strong> unload<strong>in</strong>g of conta<strong>in</strong>ers,<br />

deconsolidation, packag<strong>in</strong>g <strong>and</strong> labell<strong>in</strong>g<br />

76


5. Conclusions <strong>and</strong> recommendations.<br />

The recent world tendencies <strong>in</strong> cargo transport are head<strong>in</strong>g towards deployment of large<br />

<strong>and</strong> fast conta<strong>in</strong>er ships <strong>and</strong> reduc<strong>in</strong>g <strong>the</strong> number of ports of call. As a result of reduced<br />

number of calls, <strong>the</strong> total costs of cargo h<strong>and</strong>l<strong>in</strong>g <strong>in</strong> <strong>the</strong> sea ports can be substantially<br />

decreased <strong>and</strong> <strong>the</strong> total time required for port operations can be shortened. However this<br />

can be realistic only if <strong>the</strong> critical mass of cargo per call is achieved. The ports of call<br />

(hubs) should be located <strong>in</strong> <strong>the</strong> regions where <strong>the</strong> <strong>in</strong>dustrial activity is concentrated <strong>and</strong><br />

<strong>the</strong> connectivity network with <strong>the</strong> h<strong>in</strong>terl<strong>and</strong> is well developed. The reduced number of<br />

ports may result <strong>in</strong> substantial obstacles, related for example to imbalanced import-export<br />

volumes or <strong>in</strong>sufficient concentration of cargo <strong>in</strong> <strong>the</strong> regions of vast distances between<br />

ports. The selection of <strong>the</strong> port of call (hub) should take <strong>in</strong>to consideration <strong>the</strong> follow<strong>in</strong>g<br />

conditions 67 :<br />

factors related to <strong>the</strong> cargo, i.e. <strong>the</strong> volume of cargo flows, dispersion of<br />

cargo,<br />

port‘s conditions, i.e. port equipment for cargo h<strong>and</strong>l<strong>in</strong>g <strong>and</strong> ma<strong>in</strong>tenance,<br />

transshipment costs, accessibility of conta<strong>in</strong>er term<strong>in</strong>als,<br />

appropriates of <strong>the</strong> route, i.e. distance between ports, strait passages,<br />

w<strong>in</strong>ter conditions,<br />

market<strong>in</strong>g requirements.<br />

The ma<strong>in</strong> factors that determ<strong>in</strong>e <strong>the</strong> dem<strong>and</strong> for <strong>in</strong>tegrated transport <strong>and</strong> logistics services<br />

are dynamics of <strong>the</strong> global economy <strong>and</strong> <strong>in</strong>ternational exchange of commodities,<br />

globalization of freight flows <strong>and</strong> sophistication of delivery schemes, as well as <strong>the</strong> need to<br />

optimize transportation, storage <strong>and</strong> distribution costs.<br />

As a consequence of reduced number of ports of calls/hubs on <strong>the</strong> large conta<strong>in</strong>er ships<br />

journeys, feeder services have to be <strong>in</strong>volved <strong>in</strong> order to h<strong>and</strong>le <strong>the</strong> cargo between <strong>the</strong><br />

hub <strong>and</strong> <strong>the</strong> regional ports avoided by <strong>the</strong> ma<strong>in</strong> maritime service.<br />

The capacity of a conta<strong>in</strong>ership with<strong>in</strong> one voyage can be used several times, <strong>and</strong> thanks to<br />

such arrangement <strong>the</strong> price based on lower costs can be reduced. The global l<strong>in</strong>er<br />

operators‘ strategy is to deploy ever larger conta<strong>in</strong>erships. Their services require not only<br />

67 Salomon A.: Wykorzystanie Transportu Morskiego w Przewozach Multimodalnych. Prace Wydziału<br />

Nawigacyjnego Akademii Morskiej w Gdyni, nr 24, Gdynia 2010<br />

77


adequate concentration of cargo volume, but also full <strong>in</strong>tegration of <strong>the</strong> transport cha<strong>in</strong>,<br />

which apart from <strong>the</strong> l<strong>in</strong>er service itself, consists of feeder services <strong>and</strong> l<strong>and</strong> transport<br />

connect<strong>in</strong>g <strong>the</strong> port with its h<strong>in</strong>terl<strong>and</strong>.<br />

The multimodal transport via sea l<strong>in</strong>ks has its own specificity <strong>in</strong> Europe. The North Sea,<br />

The Baltic Sea <strong>and</strong> <strong>the</strong> Mediterranean Sea have a very dense network of ferry <strong>and</strong> ro-ro<br />

services. Also <strong>the</strong> short-sea shipp<strong>in</strong>g is <strong>in</strong>tensively promoted <strong>in</strong> EU <strong>in</strong> order to shift some<br />

volumes of cargo from motorways to <strong>the</strong> sea. For that purpose <strong>the</strong> idea of motorways of<br />

<strong>the</strong> sea was <strong>in</strong>troduced s<strong>in</strong>ce 2001, mean<strong>in</strong>g as a logistic cha<strong>in</strong> based on maritime<br />

transport, which could be an alternative for <strong>the</strong> road transport, due to high frequency,<br />

relatively low transport costs, short transport time <strong>and</strong> simple procedures.<br />

For years <strong>the</strong> logistics activities concern was <strong>the</strong> optimization of services offered to <strong>the</strong><br />

clients <strong>in</strong> terms of costs, duration of delivery, reliability. S<strong>in</strong>ce <strong>the</strong> ecology has recently<br />

<strong>in</strong>vaded <strong>the</strong> transport <strong>and</strong> logistics activities, it has to be seriously considered because it‘s<br />

not just a new fashion. Additional criteria came <strong>in</strong>to focus, namely <strong>the</strong> aspect of<br />

―greenery‖, mean<strong>in</strong>g m<strong>in</strong>imization of <strong>the</strong> impact on <strong>the</strong> environment. This may collide<br />

with previous priorities of logistics <strong>and</strong> change <strong>the</strong> ma<strong>in</strong> criteria of logistics processes.<br />

Never<strong>the</strong>less, <strong>the</strong> requirements of ecology should prevail over all traditional pr<strong>in</strong>ciples. It<br />

is not fair to force <strong>the</strong> transport providers adm<strong>in</strong>istratively to switch, with<strong>in</strong> a very short<br />

time, <strong>in</strong>to new eng<strong>in</strong>es or exchange <strong>the</strong> entire transport mean, because <strong>the</strong>y cannot adapt<br />

to newly <strong>in</strong>troduced restriction on gas emission 68 . It has noth<strong>in</strong>g to do with <strong>the</strong> ecology,<br />

s<strong>in</strong>ce many transport means are practically <strong>and</strong> technically still not useless, but<br />

withdraw<strong>in</strong>g <strong>the</strong>m means break<strong>in</strong>g <strong>the</strong> exist<strong>in</strong>g ones still <strong>in</strong> sufficient runn<strong>in</strong>g condition <strong>and</strong><br />

produc<strong>in</strong>g new one fulfill<strong>in</strong>g <strong>the</strong> restricted requirements. It leads to <strong>the</strong> wastage of large<br />

volumes of resources <strong>and</strong> energy <strong>and</strong> it <strong>in</strong>dicates that <strong>the</strong> ecological criteria dom<strong>in</strong>ate <strong>the</strong><br />

economy totally <strong>and</strong> as a consequence <strong>the</strong> transport costs may rise endlessly. Green<br />

ecology is very costly <strong>and</strong> <strong>in</strong> consequence, it my throw <strong>the</strong> European <strong>in</strong>dustry <strong>and</strong> transport<br />

providers <strong>in</strong>to a dramatically disadvantaged position towards <strong>the</strong>ir competitors from o<strong>the</strong>r<br />

countries <strong>and</strong> regions. The ma<strong>in</strong> focus should be on susta<strong>in</strong>ability.<br />

Development of efficient transport logistics cha<strong>in</strong>s, from <strong>the</strong> location of resources <strong>and</strong><br />

manufactur<strong>in</strong>g to <strong>the</strong> receivers of f<strong>in</strong>al products, is a right solution but <strong>the</strong> large<br />

<strong>in</strong>ternational decision <strong>and</strong> distribution centres, constitut<strong>in</strong>g <strong>the</strong> base of logistics cha<strong>in</strong>s,<br />

are yet to be established <strong>in</strong> <strong>the</strong> Central-East Europe, which is still engrossed <strong>in</strong> transport<br />

68 Interview with Marek Tarczyński, <strong>the</strong> President of Polish Chamber of Forward<strong>in</strong>g <strong>and</strong> Logistics<br />

78


<strong>and</strong> forward<strong>in</strong>g ra<strong>the</strong>r than <strong>in</strong> really large logistics processes. The term<strong>in</strong>als, even if be<strong>in</strong>g<br />

named logistics centres, are <strong>in</strong> fact just storage-distribution term<strong>in</strong>als of local or regional<br />

coverage.<br />

Creat<strong>in</strong>g a real <strong>and</strong> efficient transport systems require a long term vision <strong>and</strong> adequate<br />

strategy, consequently implemented. It has to be remembered that <strong>the</strong> <strong>in</strong>vestment process<br />

<strong>in</strong> <strong>in</strong>frastructure takes years to be f<strong>in</strong>alised. The appearance of <strong>the</strong> largest logistics<br />

operators was based on national service providers supported by <strong>the</strong> state or capital groups.<br />

The Central-East Europe‘s players should keep this experience <strong>in</strong> m<strong>in</strong>d, when aim<strong>in</strong>g to<br />

develop modern logistics solutions.<br />

The world's top three shipp<strong>in</strong>g l<strong>in</strong>es have all committed to order outsize next-generation<br />

vessels that are up to 2500 TEU larger than any exist<strong>in</strong>g conta<strong>in</strong>er ship. Maersk, CMA CGM<br />

<strong>and</strong> MSC have decided to put <strong>in</strong>to operation <strong>the</strong> conta<strong>in</strong>erships of 16 000 <strong>and</strong> more TEU <strong>and</strong><br />

o<strong>the</strong>r l<strong>in</strong>es will most probably follow. The world's major conta<strong>in</strong>er ports have to be<br />

prepared to h<strong>and</strong>le <strong>the</strong>m offer<strong>in</strong>g <strong>the</strong> best quality service. New port/hubs emerg<strong>in</strong>g <strong>in</strong> <strong>the</strong><br />

Baltic Sea are exposed to enormous challenge s<strong>in</strong>ce it‘s not a matter of adapt<strong>in</strong>g or<br />

enlarg<strong>in</strong>g <strong>the</strong> exist<strong>in</strong>g <strong>in</strong>frastructure but generally it requires build<strong>in</strong>g <strong>the</strong> facilities from<br />

<strong>the</strong> scratch (<strong>in</strong>clud<strong>in</strong>g <strong>the</strong> whole <strong>in</strong>fra- <strong>and</strong> suprastructure, equipment) <strong>in</strong> completely new<br />

location, like <strong>in</strong> Gdansk or Ust-Luga. Most of <strong>the</strong>se new ships will be deployed to <strong>the</strong> Far<br />

East-Europe trade <strong>and</strong> <strong>in</strong> particular to <strong>the</strong> Far East-Nor<strong>the</strong>rn Europe route, s<strong>in</strong>ce this highvolume<br />

long-haul trade will offer carriers <strong>the</strong> largest advantages <strong>in</strong> terms of economies of<br />

scale.<br />

On <strong>the</strong> Far-East to Nor<strong>the</strong>rn Europe trade lane, <strong>the</strong> ma<strong>in</strong> Far Eastern ports <strong>in</strong> Ch<strong>in</strong>a, Hong<br />

Kong, S<strong>in</strong>gapore or Malaysia shouldn‘t have problems to h<strong>and</strong>le ships of 16 000 –<br />

18 000 TEU, thanks to earlier heavy <strong>in</strong>vestments <strong>in</strong> new <strong>and</strong> upgraded deep water<br />

conta<strong>in</strong>er ports. Almost every port <strong>in</strong> <strong>the</strong> area that h<strong>and</strong>les already 14 000 TEU ships,<br />

hence <strong>the</strong>y should manage to h<strong>and</strong>le even larger vessels. The conditions are different <strong>in</strong><br />

Europe, where ports In Europe, where ports are older <strong>and</strong> where plann<strong>in</strong>g <strong>and</strong><br />

<strong>development</strong> processes take much longer but even though nor<strong>the</strong>rn Europe's ports are<br />

certa<strong>in</strong>ly able to h<strong>and</strong>le ultra large vessels, some ports might at least come close to <strong>the</strong>ir<br />

limit of capability. For Baltic ports <strong>the</strong> challenge is more complicated. Sea ports of <strong>the</strong><br />

Baltic Sea Region so far played a regional <strong>and</strong> feeder role <strong>in</strong> cargo transport <strong>in</strong>tegrated<br />

with <strong>the</strong> l<strong>and</strong> transport system.<br />

Despite already exist<strong>in</strong>g term<strong>in</strong>als <strong>and</strong> facilities <strong>in</strong> <strong>the</strong> ports on <strong>the</strong> nor<strong>the</strong>rn Range<br />

term<strong>in</strong>als <strong>in</strong> <strong>the</strong> Baltic Sea Area cannot be ruled out as future ports of call for large<br />

79


conta<strong>in</strong>er ships. In particular Göteborg, Gdansk, Aarhus <strong>and</strong> may be Ust-Luga might be<br />

selected by some world conta<strong>in</strong>er operators as permanent ports of call <strong>and</strong> gradually<br />

develop <strong>in</strong>to a real regional or even global hub. Göteborg <strong>and</strong> Gdansk already see weekly<br />

large conta<strong>in</strong>er ships calls from Maersk L<strong>in</strong>e <strong>and</strong> cont<strong>in</strong>ue <strong>in</strong>vestments <strong>in</strong> order to upgrade<br />

<strong>the</strong>ir facilities for large vessels. Direct large-scale deep sea services to <strong>the</strong> Baltic are a sort<br />

of exception prov<strong>in</strong>g <strong>the</strong> rule <strong>and</strong> such trend should prevail <strong>in</strong> <strong>the</strong> future. Conta<strong>in</strong>er<br />

term<strong>in</strong>als need to be well prepared to facilitate <strong>the</strong> significant <strong>in</strong>crease <strong>in</strong> large conta<strong>in</strong>er<br />

ships fleet. The conta<strong>in</strong>er term<strong>in</strong>als <strong>in</strong> Baltic ports receiv<strong>in</strong>g already <strong>the</strong> large conta<strong>in</strong>er<br />

vessels can substantially shorten <strong>the</strong> f<strong>in</strong>al h<strong>in</strong>terl<strong>and</strong> transport. It fulfils <strong>the</strong> requirements<br />

of <strong>the</strong> global logistics cha<strong>in</strong> approach, when <strong>the</strong> long haul service from Asia to Baltic is<br />

considered. On top of that, it is a perfect solution to cope with road congestion to/from<br />

exist<strong>in</strong>g hubs <strong>in</strong> Central-East Europe, s<strong>in</strong>ce it is <strong>the</strong> closest location to <strong>the</strong> f<strong>in</strong>al<br />

dest<strong>in</strong>ation, which means:<br />

no feeder costs<br />

no transshipment cost<br />

lower <strong>in</strong>l<strong>and</strong> transport cost<br />

lower CO 2 emissions<br />

shorter transit time<br />

Efficient transport system l<strong>in</strong>k<strong>in</strong>g sea ports <strong>and</strong> coastal agglomerations with <strong>the</strong>ir national<br />

<strong>and</strong> Central-East Europe is a crucial condition of efficient performance of <strong>the</strong> supply cha<strong>in</strong>.<br />

To develop fur<strong>the</strong>r <strong>the</strong> idea of Baltic hubs, all <strong>in</strong>frastructure projects ‖beyond <strong>the</strong> gate‖,<br />

improv<strong>in</strong>g rail <strong>and</strong> road connectivity with <strong>the</strong> port term<strong>in</strong>als, should be consequently<br />

implemented <strong>and</strong> completed with<strong>in</strong> reasonable time, especially all <strong>development</strong>s <strong>in</strong>clud<strong>in</strong>g<br />

key elements of <strong>the</strong> related core network will help to <strong>in</strong>corporate <strong>the</strong> Baltic hubs <strong>in</strong>to <strong>the</strong><br />

global supply cha<strong>in</strong>. Rail is admittedly more competitive <strong>in</strong> <strong>the</strong> h<strong>in</strong>terl<strong>and</strong> transport of<br />

conta<strong>in</strong>ers than <strong>in</strong> <strong>the</strong> transport of semi-trailers. Conta<strong>in</strong>er term<strong>in</strong>als <strong>in</strong> Europe have to<br />

modernize <strong>and</strong> upgrade <strong>the</strong>ir rail h<strong>and</strong>l<strong>in</strong>g facilities <strong>in</strong> order to prepare for expected<br />

h<strong>and</strong>l<strong>in</strong>g growth, relieve quayside congestion <strong>and</strong> promote environmentally friendly<br />

h<strong>in</strong>terl<strong>and</strong> transport.<br />

The recent <strong>development</strong> of maritime transport <strong>in</strong> <strong>the</strong> Baltic Sea region (<strong>BSR</strong>) is driven by a<br />

large <strong>in</strong>crease <strong>in</strong> shipp<strong>in</strong>g volumes accompanied by uncerta<strong>in</strong>ties related to <strong>the</strong><br />

geographical structure of dem<strong>and</strong> <strong>development</strong>. New <strong>and</strong> improved l<strong>and</strong> transport<br />

connections are expected to <strong>in</strong>troduce new corridor competition for maritime corridors.<br />

80


Moreover <strong>the</strong> present structure of transit flows via <strong>the</strong> Baltic Sea countries will<br />

substantially change due <strong>the</strong> <strong>development</strong> of Russian port capacity <strong>in</strong> <strong>the</strong> Baltic area <strong>and</strong><br />

o<strong>the</strong>r transport corridors.<br />

The future role of maritime transport <strong>in</strong> <strong>the</strong> transport cha<strong>in</strong> should <strong>in</strong>crease <strong>in</strong> l<strong>in</strong>e with<br />

<strong>the</strong> current EU transport policy consider<strong>in</strong>g sea ports as vital elements of focused of <strong>the</strong><br />

core network.<br />

With <strong>the</strong> impact of <strong>the</strong> world crisis on freight shipp<strong>in</strong>g patterns, <strong>the</strong> pressure on<br />

establish<strong>in</strong>g safe, efficient <strong>and</strong> high quality trans-ocean transportation possibilities<br />

<strong>in</strong>creased. Customers became <strong>in</strong>creas<strong>in</strong>gly <strong>in</strong>terested <strong>in</strong> complementary possibilities for<br />

transhipment <strong>in</strong> <strong>the</strong> <strong>BSR</strong>. Fur<strong>the</strong>r <strong>development</strong> of <strong>the</strong> exist<strong>in</strong>g transhipment ports <strong>in</strong><br />

Goteborg <strong>and</strong> Aarhus as North Sea Baltic <strong>Hub</strong>s <strong>and</strong> <strong>development</strong> of new hubs directly at <strong>the</strong><br />

Baltic coast (Gdansk, Ust-Luga) can reduce <strong>the</strong> pressure on congested European ports.<br />

On <strong>the</strong> whole, Baltic ports are prepar<strong>in</strong>g to welcome more direct calls of ma<strong>in</strong> l<strong>in</strong>e vessels.<br />

Shipp<strong>in</strong>g l<strong>in</strong>es choice of port of call does however depend on a variety <strong>in</strong>terrelated factors<br />

but first of all a <strong>development</strong> of Baltic hubs requires a larger market potential <strong>in</strong> a wider<br />

catchment area than <strong>the</strong> respective domestic markets to generate a critical freight volume<br />

adequate to deep sea calls. Anyway <strong>the</strong> advantage of develop<strong>in</strong>g Baltic hubs <strong>in</strong> Gdansk or<br />

Ust-Luga is to large extent bound to <strong>the</strong>ir domestic market dem<strong>and</strong>.<br />

While <strong>the</strong> seaports have a good position to act as transshipment po<strong>in</strong>t for <strong>the</strong> Baltic on<br />

many trade routes, <strong>the</strong> <strong>in</strong>sertion of <strong>the</strong>se ports as regular ports of call on <strong>the</strong> Europe–Far<br />

East trade is now a fact. The large vessel sizes deployed on this route, <strong>the</strong> associated<br />

reduction <strong>in</strong> <strong>the</strong> number of ports of call <strong>and</strong> <strong>the</strong> additional diversion distance make regular<br />

direct calls to <strong>the</strong> Baltic gateway region viable <strong>in</strong> comparison to o<strong>the</strong>r trade routes.<br />

Some ports are not that well-connected to <strong>the</strong> global long distance shipp<strong>in</strong>g network <strong>and</strong><br />

show limited opportunities to improve this connectivity, as shipp<strong>in</strong>g companies must<br />

consider effective configurations of <strong>the</strong> networks that tend to focus on major gateways <strong>and</strong><br />

exist<strong>in</strong>g hubs. Local or immediate h<strong>in</strong>terl<strong>and</strong>s rema<strong>in</strong> <strong>the</strong> backbone of ports‘ cargo bases.<br />

Functional system of gateway ports is driv<strong>in</strong>g <strong>the</strong> dynamics <strong>in</strong> large logistics nodes. The<br />

creation of <strong>the</strong>se nodes poses new challenges <strong>in</strong> <strong>the</strong> relations between seaports <strong>and</strong> <strong>the</strong>ir<br />

h<strong>in</strong>terl<strong>and</strong>. The challenge rema<strong>in</strong>s to <strong>in</strong>crease <strong>the</strong> share of co-modal transport solutions on<br />

short distances. S<strong>in</strong>ce seaports are <strong>in</strong>volved <strong>in</strong> provid<strong>in</strong>g logistics services to transshipment<br />

cargo, h<strong>in</strong>terl<strong>and</strong> characteristics rema<strong>in</strong> fundamentally important <strong>in</strong> terms of logistics<br />

attractiveness.<br />

81


Opportunities exist <strong>in</strong> both <strong>the</strong> public <strong>and</strong> private sector. Consider<strong>in</strong>g <strong>the</strong> use of conta<strong>in</strong>ers<br />

not as widespread as might be expected <strong>in</strong> a country as large <strong>and</strong> as powerful as Russia,<br />

<strong>the</strong>re are expectations of growth <strong>in</strong> this area. Specifically, logistics through <strong>the</strong> ports is<br />

still fairly underdeveloped <strong>and</strong> it can be assumed that <strong>the</strong>re is significant opportunity for<br />

improvement.<br />

The cargo turnover of many Baltic ports is heavily dependent on Russian foreign trade<br />

transshipments through <strong>the</strong>se ports (esp. <strong>the</strong> Baltic States ports). The ports strategy <strong>and</strong><br />

<strong>in</strong>frastructure are be<strong>in</strong>g developed with <strong>the</strong> hope of attract<strong>in</strong>g Russian transit.<br />

Never<strong>the</strong>less not all ports can become hubs if <strong>the</strong>ir domestic market is very limited.<br />

Practically only <strong>the</strong> Polish market is capable of creat<strong>in</strong>g substantial dem<strong>and</strong> based on <strong>in</strong>ner<br />

consumption.<br />

The <strong>BSR</strong> countries with<strong>in</strong> <strong>the</strong> EU structures have substantial freedom <strong>in</strong> creat<strong>in</strong>g <strong>the</strong>ir own<br />

national policy <strong>and</strong> strategy of transport <strong>development</strong>, what not always bears positive<br />

effects <strong>in</strong> practice. Rema<strong>in</strong><strong>in</strong>g conservative approach of transport providers <strong>in</strong> new EU<br />

members towards <strong>the</strong> solutions <strong>in</strong> competition area, is still a serious barrier of<br />

susta<strong>in</strong>ability. The states <strong>and</strong> <strong>the</strong> transport providers as well often underestimate <strong>the</strong><br />

importance of <strong>in</strong>novation <strong>in</strong> economical <strong>development</strong>. However, <strong>the</strong> upgraded quality of<br />

transport services <strong>and</strong> improvement of transport network <strong>in</strong>frastructure, ma<strong>in</strong>ly thanks to<br />

EU f<strong>in</strong>anc<strong>in</strong>g, are a good example of positive effects of <strong>the</strong> national paths of transport<br />

policy implementation <strong>in</strong> <strong>the</strong> <strong>BSR</strong> states.<br />

Any <strong>in</strong>tervention <strong>in</strong> <strong>the</strong> transport sector must be based on a long-term vision for <strong>the</strong><br />

susta<strong>in</strong>able mobility of people <strong>and</strong> goods, because policies of a structural character take a<br />

long time to implement <strong>and</strong> must be planned well <strong>in</strong> advance 69 .<br />

69 A susta<strong>in</strong>able future for transport: Towards an <strong>in</strong>tegrated, technology-led <strong>and</strong> user-friendly system,<br />

(COM(2009) 279 (f<strong>in</strong>al) of 17 June 2009), Luxembourg: Publications Office of <strong>the</strong> European Union, 2009<br />

82


Literature<br />

A susta<strong>in</strong>able future for transport: Towards an <strong>in</strong>tegrated, technology-led <strong>and</strong> user-friendly system,<br />

(COM(2009) 279 (f<strong>in</strong>al) of 17 June 2009), Luxembourg: Publications Office of <strong>the</strong> European<br />

Union, 2009<br />

Access<strong>in</strong>g International Markets: Russia. Opportunities for UK –based companies <strong>in</strong> <strong>the</strong> ports sector<br />

UK Trade & Investment 2010<br />

Anderson D.L, House R.G.: Logistics <strong>and</strong> Material H<strong>and</strong>l<strong>in</strong>g systems <strong>in</strong> <strong>the</strong> U.S.: Trends <strong>and</strong> future<br />

Outlook, Logistics Perspective, July 1990<br />

Annual Review of Global Conta<strong>in</strong>er Term<strong>in</strong>al Operators, Drewry Shipp<strong>in</strong>g Consultants, London, 2007<br />

Antonowicz M., Zielaskiewcz H.: Transport <strong>in</strong>termodalny jako ogniwo rozwoju kolejowych<br />

przewozów towarowych w Unii Europejskiej, Infrastruktura Transportu, nr 3, 2008<br />

Association of Commercial Seaports, press release 18 Jan,2011<br />

Bär<strong>the</strong>l F.: Prestudy Rail Term<strong>in</strong>al Stenungsund, Chalmers University of Technology, Göteborg, 2004<br />

Bergqvist R., Woxenius J.: Compar<strong>in</strong>g maritime conta<strong>in</strong>ers <strong>and</strong> semi-trailers <strong>in</strong> <strong>the</strong> context of<br />

h<strong>in</strong>terl<strong>and</strong> Transport by rail, Journal of Transport Geography 19(2011), 2011<br />

Bergqvist R., Woxenius J.: The Development of H<strong>in</strong>terl<strong>and</strong> Transport by Rail – The Story of<br />

Sc<strong>and</strong><strong>in</strong>avia <strong>and</strong> <strong>the</strong> Port of Go<strong>the</strong>nburg, <strong>the</strong> International Bus<strong>in</strong>ess Research Conference,<br />

Jacksonville,Florida, 2009<br />

Chang Y.T., Lee S.-Y., Tongzon J., Chou C.C., Chu C.W., Liang G.S.: Port selection factors by<br />

shipp<strong>in</strong>g l<strong>in</strong>es: different perspectives between trunk l<strong>in</strong>ers <strong>and</strong> feeder service providers. Mar<strong>in</strong>e<br />

Policy, 32(6), 2008<br />

Cisowski T., Stokłosa J.: Transport <strong>in</strong>termodalny na bliskie i średnie odległości, Eksploatacja i<br />

Niezawodność, nr 3, 2008<br />

Darnall N, Edwards D. Predict<strong>in</strong>g <strong>the</strong> cost of environmental management system adoption: <strong>the</strong> role<br />

of capabilities, resources <strong>and</strong> ownership structure. Strategic Management Journal 2006<br />

DCT Gdańsk - Baltic revolution, (http://www.slideshare.net/DCT_Gdansk)<br />

Deepwater Conta<strong>in</strong>er Term<strong>in</strong>al Gdansk<br />

Hart SL.: A natural resource – based view of <strong>the</strong> firm. Academy of Management Review 1995<br />

Intermodal‘s supra-national network of transport solutions for every conta<strong>in</strong>er. HHLA<br />

Interview with Marek Tarczyński, <strong>the</strong> President of Polish Chamber of Forward<strong>in</strong>g <strong>and</strong> Logistics.<br />

Lambert B., Monios J., Wilmsmeier G.: The directional <strong>development</strong> of <strong>in</strong>termodal freight corridors<br />

<strong>in</strong> relation to <strong>in</strong>l<strong>and</strong> term<strong>in</strong>als, Journal of Transport Geography 19(2011), 2011<br />

Lee Nam Yeon, a representative of POLZUG Korea office.<br />

Lun Y.H.Venus: Green management practices <strong>and</strong> firm performance: A case of conta<strong>in</strong>er term<strong>in</strong>al<br />

operations, Resources, Conservation <strong>and</strong> Recycl<strong>in</strong>g, 2011<br />

McCalla R.J.: Global change, local pa<strong>in</strong>: <strong>in</strong>termodal seaport term<strong>in</strong>als <strong>and</strong> <strong>the</strong>ir service areas,<br />

Journal of Transport Geography7(4), 1999<br />

M<strong>in</strong>dur, L., Wronka, J.: Transport <strong>in</strong>termodalny w Polsce, log forum.net, vol. 3, 2007<br />

Notteboom T., Rodrigue J.P., Port regionalization: towards a new phase <strong>in</strong> port <strong>development</strong>.<br />

Maritime Policy <strong>and</strong> Management, 32(3), 2005<br />

Notteboom T.: Complementarity <strong>and</strong> substitutability among adjacent gateway ports. Environment<br />

<strong>and</strong> Plann<strong>in</strong>g, 2009<br />

Notteboom T.E.: Concentration <strong>and</strong> <strong>the</strong> formation of multi-port gateway regions <strong>in</strong> <strong>the</strong> European<br />

conta<strong>in</strong>er port system: an update, Journal of Transport Geography, 2010<br />

83


Notteboom, T., W<strong>in</strong>kelmans, W.: Structural changes <strong>in</strong> logistics: how will port authorities face <strong>the</strong><br />

challenge? Maritime Policy <strong>and</strong> Management 28(1), 2001<br />

Notteboom, T.: Spatial dynamics <strong>in</strong> <strong>the</strong> conta<strong>in</strong>er load centres of <strong>the</strong> Le Havre–Hamburg range.<br />

Zeitschrift für Wirtschaftsgeographie 51 (2) 2007<br />

Olivier, D., Slack, B.: Reth<strong>in</strong>k<strong>in</strong>g <strong>the</strong> port. Environmental Plann<strong>in</strong>g A38(8), 2006<br />

Rodrigue J.P, Notteboom T.: Forel<strong>and</strong>-based regionalization: Integrat<strong>in</strong>g <strong>in</strong>termediate hubs with<br />

port h<strong>in</strong>terl<strong>and</strong>s, Research <strong>in</strong> Transportation Economics 27(2010), 2010<br />

Roso V., Lumsden W., Woxenius K.: The dry port concept: connect<strong>in</strong>g conta<strong>in</strong>er seaports with <strong>the</strong><br />

h<strong>in</strong>terl<strong>and</strong>, Journal of Transport Geography 17(2009), 2009<br />

Roso V.: Evaluation of <strong>the</strong> dry port concept from an Environmental perspective: A note,<br />

Transportation Research Part D12(2007), 2007<br />

Russia – Opportunities for UK-Based Companies <strong>in</strong> <strong>the</strong> Ports Sector UK Trade <strong>and</strong> Investment 2010.<br />

Šakalys A., Palšaitis R.: Development of <strong>in</strong>termodal transport <strong>in</strong> new European Union states,<br />

TRANSPORT, Vol XXI, No 2, 2006<br />

Salomon A.: Wykorzystanie Transportu Morskiego w Przewozach Multimodalnych. Prace Wydziału<br />

Nawigacyjnego Akademii Morskiej w Gdyni, nr 24,Gdynia 2010<br />

Sarkis J.: A strategic decision-mark<strong>in</strong>g framework for green supply cha<strong>in</strong> management. Journal of<br />

Clear Production 2003<br />

SeaNews on-l<strong>in</strong>e. Published: 10 February 2012<br />

Survey of <strong>the</strong> conta<strong>in</strong>er port <strong>development</strong> <strong>in</strong> Germany, ISL, 2007<br />

Th<strong>in</strong>k<strong>in</strong>g outside <strong>the</strong> box. Ports & Harbours, Issue 6-2011<br />

Thorén S.G.: General manager bus<strong>in</strong>ess area rail, Port of Go<strong>the</strong>nburg. Interview, 2010<br />

Veldman S.J., Buckmann E.H.: A model on conta<strong>in</strong>er port competition: an application for <strong>the</strong> west<br />

European conta<strong>in</strong>er hub-ports. Journal of Maritime Economics <strong>and</strong> Logistics, 2006<br />

Verhoeven P.:European ports policy: meet<strong>in</strong>g contemporary governance challenges. Maritime Policy<br />

<strong>and</strong> Management 36(1), 2009<br />

Vitaly Chernov: Conta<strong>in</strong>er volumes keep on ris<strong>in</strong>g. PortNews on l<strong>in</strong>e 1 August 2010<br />

Walton SY, H<strong>and</strong>field RB, Melnky ST.: The green supply cha<strong>in</strong>: <strong>in</strong>tegrat<strong>in</strong>g suppliers <strong>in</strong>to<br />

environmental management process. International Journal of Purchas<strong>in</strong>g <strong>and</strong> Materials<br />

Management 1998<br />

Wijnolst N., Wergel<strong>and</strong> T.: Shipp<strong>in</strong>g <strong>in</strong>novation. Alkmaar: Dynamar, 2008<br />

Zhu QH, Sarkis J.: Relationships between operational practices <strong>and</strong> performance among early<br />

adopters of green supply cha<strong>in</strong> management practices <strong>in</strong> Ch<strong>in</strong>ese manufactur<strong>in</strong>g enterprise.<br />

Journal of Management 2004<br />

Websites:<br />

http://ec.europa.eu/maritimeaffairs<br />

http://www.bpoports.com<br />

http://www.bpoports.com/303.html<br />

http://www.polzug.de/<br />

http://www.portgdansk.pl/about-port/<br />

http://www.porttechnology.orghttp://www.slideshare.net/DCT_Gdansk<br />

http://www.ust-luga.ru<br />

84

Hooray! Your file is uploaded and ready to be published.

Saved successfully!

Ooh no, something went wrong!