BTJ Seminar: Coastal Poland - Baltic Transport Journal
BTJ Seminar: Coastal Poland - Baltic Transport Journal
BTJ Seminar: Coastal Poland - Baltic Transport Journal
You also want an ePaper? Increase the reach of your titles
YUMPU automatically turns print PDFs into web optimized ePapers that Google loves.
<strong>Baltic</strong> <strong>Transport</strong> 1733-6732<br />
<strong>Journal</strong> ISSN<br />
№ 3/2009 (29), MAY/JUNE<br />
b i m o n t h l y - d a i l y c o m p a n i o n<br />
€ 15/50 PLN (VAT 0%)<br />
<strong>BTJ</strong> <strong>Seminar</strong>: <strong>Coastal</strong> <strong>Poland</strong><br />
Cargo opportunities & investment prospects<br />
Focus<br />
<strong>Baltic</strong> shipyards<br />
Oil & gas transportation in the BSR<br />
Where will the lifeblood flow?
<strong>BTJ</strong> <strong>Seminar</strong><br />
<strong>BTJ</strong> <strong>Seminar</strong>: <strong>Coastal</strong> <strong>Poland</strong><br />
Ports, terminals, logistics centres:<br />
cargo opportunities & investment prospects<br />
held under the honorary patronage of the Polish Ministry of Infrastructure<br />
London, 3 rd June 2009<br />
H.E. Barbara Tuge-Erecińska<br />
The Ambassador<br />
of the Republic of <strong>Poland</strong><br />
<strong>Poland</strong> is attractive<br />
Despite the global credit crunch,<br />
<strong>Poland</strong>’s situation remains stable. It<br />
is true that an economic slowdown<br />
has been noticed, however, the results<br />
of the breakdown on the world<br />
financial markets still have only a limited impact on the Polish<br />
economy. The sources of economic growth (revival of investment<br />
demand, high consumption growth and dynamically<br />
growing export) allowed us to obtain one of the best results<br />
in the European Union in 2008, when <strong>Poland</strong>’s GDP reached<br />
only a little less than 5%. We strongly believe that, despite the<br />
global difficulties we all have to face now, we will also witness<br />
the growth of our economy in the current year. The Polish<br />
economy is built on a sound basis, comprising transparent<br />
financial, economic and political institutions. What makes<br />
<strong>Poland</strong> even more competitive is its favourable position in<br />
central Europe, educated workforce equipped with foreign<br />
language skills, and attractive incentives for investors, also<br />
constituting a part of special economic areas.<br />
In the last few years, Polish-British commercial cooperation<br />
has been developing exceptionally dynamically. According<br />
to the British data, in 2008 mutual sales came to more than GBP<br />
7 bln , whereas the value of British export to <strong>Poland</strong> amounted to<br />
almost GBP 3 bln, putting <strong>Poland</strong> in the 18th place on the global<br />
scale and the ninth among recipients from the European Union.<br />
The value of British import from <strong>Poland</strong> amounted to more than<br />
GBP 4 bln, placing <strong>Poland</strong> as the 20th country on the global scale<br />
and the 9th among suppliers from the European Union.<br />
The value of obligations stemming from the British direct<br />
foreign investments in <strong>Poland</strong> at the end of 2007 was EUR<br />
4.6 bln, which puts Great Britain in the 8th place on the list of<br />
the largest foreign investors. In general, the inflow of net British<br />
capital that year amounted to EUR 613 bln, which again<br />
puts the British capital in the eigth position, as far as invested<br />
means in that period are concerned. That constitutes about 4%<br />
of the inflow of the total direct foreign investments in <strong>Poland</strong><br />
in 2007.<br />
I firmly believe that the seminar that will be taking place<br />
at the Embassy of the Republic of <strong>Poland</strong> in London on the 3rd<br />
of June 2009 will significantly contribute to a more effective<br />
introduction of the Polish investment offer to our British business<br />
partners and that it will increase their presence in <strong>Poland</strong>.<br />
Programme:<br />
3.00 Embassy of the Republic of <strong>Poland</strong> in London<br />
• Welcome by H.E. Ms Barbara Tuge-Erecińska<br />
3.05 Polish Ministry of Infrastructure<br />
• Keynote speech: Ms Anna Wypych-Namiotko<br />
– Undersecretary of State<br />
3.15 West Pomeranian Region<br />
(Urząd Marszałkowski Województwa<br />
Zachodniopomorskiego)<br />
• Mr Wojciech Drożdż, Member of the Voivodeship Board<br />
Ms Małgorzata Saar, Investors’ Assistance Center Manager<br />
3.30 Pomeranian Region<br />
(Urząd Marszałkowski Województwa Pomorskiego)<br />
• Mr Marcin Piątkowski, Investor Assistance Centre<br />
Manager, Pomerania Development Agency<br />
3.45 Szczecin & Świnoujście Seaports Authority<br />
(Zarząd Morskich Portów Szczecin i Świnoujście S.A.)<br />
• Mr Jarosław Siergiej, President of the Management Board<br />
4.00 Police Port Authority<br />
(Zarząd Morskiego Portu Police Sp. z o.o.)<br />
• Mr Tomasz Melan, President of the Management Board<br />
4.15 Port of Gdańsk Authority<br />
(Zarząd Morskiego Portu Gdańsk S.A.)<br />
• Mr Julian Skelnik, Marketing Director<br />
4.30 Port of Gdynia Authority<br />
(Zarząd Morskiego Portu Gdynia S.A.)<br />
• Mr Janusz Jarosiński, President of the Management Board<br />
4.45 <strong>Baltic</strong> Container Terminal Gdynia<br />
(BCT Gdynia Sp. z o.o.)<br />
• Mr Krzysztof Szymborski, President of the Management<br />
Board<br />
5.00 Q&A session<br />
Drinks and canapés<br />
3/2009 | <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> |
<strong>BTJ</strong> <strong>Seminar</strong><br />
West Pomeranian region<br />
Invest in North-West<br />
Photo: The Marshal’s Office of Zachodniopomorskie<br />
The opinion on the growing position of West Pomerania among<br />
leaders in the attractiveness for foreign investment is confirmed<br />
by the investors themselves. In fact, a number of them are already<br />
present in the region. Join us on a trip to meet West Pomerania’s<br />
offer and the companies already taking advantage of it.<br />
One of the investors is the<br />
Bridgestone Corporation<br />
– the world’s largest tire and<br />
rubber company. The others<br />
are inter alia: LM Glasfiber<br />
(a manufacturer of fibreglass<br />
blades for wind turbines), Kronospan Holdings<br />
and Swedwood Holding (both companies<br />
make furniture and wood products). We cannot<br />
forget Carlsberg Breweries – a brewery<br />
that makes probably the best beer in the world<br />
– or Royal Greenland, which is a producer of<br />
cold water prawns specializing in fishing and<br />
processing quality seafood. Moreover, at this<br />
very moment Cargotec (a provider of cargo<br />
handling solutions) is establishing its industrial<br />
plant in West Pomerania.<br />
Taking care of investors<br />
The incentives for investors are numerous,<br />
starting with European Union funds,<br />
including Regional and Innovative Economy<br />
operational programs. As far as local<br />
conveniences are concerned, investors<br />
| <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> | 3/2009<br />
can benefit from Special Economic Zones,<br />
which give them CIT exemption until 2020.<br />
There are also labour easements, for example<br />
diverse tools for enterprises hiring unemployed<br />
as well as several various facilities<br />
for R&D activity.<br />
Last, but not least, the international investors<br />
will not be left on their own, but will<br />
get professional advisory services, which are<br />
provided by the Investors’ Assistance Centre<br />
in the Marshal’s Office of the West Pomeranian<br />
region. Its main tasks are being a liaison<br />
between investors and investment-process<br />
related institutions and a one-stop shop<br />
(comprehensive advisory) for investors.<br />
“The West Pomeranian region is very attractive<br />
in terms of the business environment<br />
– not only because of well-known investment<br />
qualities, but also because of the great support<br />
(both financial as well as organizational)<br />
of the local authorities. I am more than convinced<br />
that apart from already existing investors,<br />
there will be more to come quite soon,”<br />
persuades Mr Witold Jabłoński, the vice-<br />
Marshal of the West Pomeranian region.<br />
Where to invest<br />
There are various sites where a potential investor<br />
can develop their activity. For instance,<br />
Goleniów Industrial Park located 30 km northeast<br />
of Szczecin is well developed for greenfield<br />
investments, while the Infrapark in Police (30<br />
km north of Szczecin), an area surrounded by<br />
the Chemical Plant “Zakłady Chemiczne S.A.”, is<br />
ideal for the inorganic chemical industry, heavy<br />
industry or utilization of by-products.<br />
The business activity zone in Koszalin, located<br />
170 km north-east of Szczecin, owns well developed<br />
land with production halls for sale/lease;<br />
further development of technical and transportation<br />
infrastructure is welcome.<br />
The Science and Technology Park in Szczecin<br />
is the ideal place for starting, establishing<br />
and running business activity in branches of<br />
high technology, new workplaces, legal activity<br />
and synergy working. The park will be offering<br />
many services for companies, such as suitable<br />
infrastructure, office areas, conference rooms,<br />
laboratories, technical equipment, machines,<br />
access to risk, guarantee and loan funds, a database<br />
of potential well–qualified employees,<br />
bookkeeping, the law service, common marketing<br />
and a “business and innovation climate”.<br />
The place is designed for IT, R&D and innovative<br />
technologies.<br />
Speaking of Western Pomerania, it is unavoidable<br />
to mention the Szczecin and Świnoujście<br />
port complex. Located nearest to the Atlantic<br />
Ocean, comparing to other ports in the CEE region,<br />
it offers regular connections with Scandinavian<br />
countries as well as modern passenger as<br />
well as container and ro-ro terminals.<br />
The region’s economic potential is determined<br />
by the maritime industry and its services.<br />
The most dynamically developing sectors are also<br />
trading, tourism and recreation. The condition of<br />
the agriculture is improving – the average size of<br />
premises is twice the national standard.<br />
Logistics, especially associated with the<br />
maritime industry, is one of the high-chance sectors.<br />
The sectors which are becoming more and<br />
more important are the renewable resources (especially<br />
wind energy), the wood, chemical and<br />
food processing sectors as well as Busines Process<br />
Offshoring. For further information, please visit<br />
www.coi.wzp.pl or email coi@wzp.pl.<br />
Investors’ Assistance Center<br />
The Marshal’s Office of<br />
Zachodniopomorskie<br />
Voivodeship
<strong>BTJ</strong> <strong>Seminar</strong><br />
An investor’s guide to Pomerania<br />
Hot spot for logistics investments<br />
If you want to invest in Pomerania (Pomorskie region), this seems<br />
like the time to do it. With its ever-growing potential in the field<br />
of transportation and storage infrastructure, the northernmost<br />
region of <strong>Poland</strong> is on the verge of becoming an attractive place<br />
for logistics investments, willing and able to meet the standards<br />
of European and global entrepreneurs alike.<br />
The big news in the Tri-City<br />
investment world at the moment<br />
is the Pomeranian Logistic<br />
Centre, comprising about<br />
200 ha of terrain with production,<br />
warehouse and service potential.<br />
It is situated right next to the Deepwater<br />
Container Terminal (DCT), Gdańsk’s youngest<br />
container facility, which makes it the natural<br />
location for housing the terminal’s prospective<br />
back-up facilities. The site wholly a property of<br />
the commune of Gdańsk and supervised by the<br />
Gdańsk Economic Development Agency who,<br />
in cooperation with the IAC (Investors’ Assistance<br />
Center), are now searching for an investor<br />
interested in either purchase or long-term lease<br />
of the area. A direct link to the A-1 highway<br />
will be established upon the completion of the<br />
nearby Sucharskiego Route, and there are also<br />
plans to cover the Pomeranian Logistic Centre<br />
with the Special Economic Zone privileges. All<br />
things considered, in several years’ time the<br />
DCT together with the adjacent back-up area<br />
is intended to become one of the leading logistic<br />
centres in the <strong>Baltic</strong> region.<br />
Photo: Pomerania Development Agency<br />
Among the most interesting offers on<br />
IAC’s menu are plots of land located along the<br />
A-1 highway. Two of such places seem to be of<br />
especially high value to potential investors<br />
with logistics ambitions: junctions at<br />
Swarożyn and Pelplin-Ropuchy. Both are<br />
located in the Tczew-ski poviat, within an<br />
hour’s drive distance from the Tri-City the<br />
moment the neighbouring stretch of A-1 is<br />
finished; both are versatile in terms of zoning<br />
– they could easily make excellent production<br />
or warehouse sites. The Swarożyn lot is<br />
150 ha large, with possibilities of further<br />
expansion, and is available for sale<br />
or lease. The Ropuchy junction is smaller<br />
(90 ha) and, interestingly, is church property<br />
owned by the Diocese of Pelplin whose representatives,<br />
as IAC assured us, are very open to<br />
investor talks. These are just two areas, selected<br />
out of dozens of sites with significant potential,<br />
which are up for grabs in the region.<br />
Future investors will be glad to know<br />
that a field in which Tri-City has been making<br />
considerable progress recently is storage<br />
capacity. As of today, the agglomeration’s total<br />
warehouse space amounts to 200.000 m 2 , the<br />
bulk of which is in the hands of three major<br />
operators, all relatively new to the region: Pro-<br />
Logis, Panattoni and AIG/Lincoln. This gives<br />
Tri-City a national market share of around<br />
3%. However, continuing growth of modern<br />
storage facilities is almost certain, as more<br />
high-profile companies are bound to enter the<br />
competition, encouraged by the successes of<br />
those before them, and by the massive development<br />
prospects of infrastructural undertakings,<br />
such as the construction of the A-1 highway,<br />
modernization of railway lines, and last<br />
but not least, the Euro 2012 championship.<br />
Where to go<br />
When considering the investment possibilities<br />
in Pomerania, the first place to go is the Investor<br />
Assistance Centre. This non-profit body<br />
has all the necessary credentials – it operates<br />
within the structures of the Pomerania Development<br />
Agency (ARP) and is a local partner of<br />
the Polish Information and Foreign Investment<br />
Agency (PAIiIZ). As such, they have at their disposal<br />
a rich database of investor-aimed offers of<br />
property and facilities in Tri-City and beyond.<br />
The IAC will guide you through the decision<br />
making process from day one until the opening<br />
day of your new enterprise.<br />
At IAC, client service usually involves<br />
three stages. The first step will likely consist in<br />
the Centre providing the enquirer with a basic<br />
overview of the region’s macroeconomic data<br />
and relevant legal and financial information<br />
to help them get a hang of the situation in the<br />
local markets. Next, a profiled offer is issued<br />
based on the stated requirements of the client<br />
company, regarding the type of desired activity,<br />
the size and location of the plot, etc. In the<br />
third stage the investor is invited to visit the<br />
places that they find most promising – such a<br />
visit’s agenda and logistics is fully organized by<br />
the IAC, and meetings with local authorities<br />
or utility providers are arranged if need arises.<br />
This final phase can be repeated as many times<br />
as necessary to enable the investor to make a<br />
satisfying decision, and the entire process normally<br />
takes up to a year and a half, although<br />
record-breakers have been known to close the<br />
deal within seven months.<br />
For more on Pomerania’s investment potential,<br />
including a complete property database, visit<br />
IAC’s website: www.arp.gda.pl.<br />
Adam Olesiejuk<br />
3/2009 | <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> |
<strong>BTJ</strong> <strong>Seminar</strong><br />
Szczecin & Świnoujście port complex<br />
Deepen your connection<br />
Photo: Świnoujscie<br />
The inland Port of Szczecin and its seaside partner, Port of<br />
Świnoujście, will deepen their approach canal to increase<br />
their potential.<br />
The main strength of inland<br />
ports is their relative accessibility<br />
both from the sea and the<br />
landside. Huge container ships<br />
sail through rivers or canals like<br />
trucks through highways everyday<br />
traversing Europe to reach their hub. Their<br />
destinations are the ports such as Hamburg,<br />
Nantes, Ghent, or Antwerp, which are successful<br />
thanks to their inland localization. Port of<br />
Szczecin also wants to join the club.<br />
A window for the region<br />
The strategic location of the Szczecin and<br />
Świnoujście port complex gives a possibility to<br />
reach over 135 mln potential customers. It is<br />
the closest port to the Czech Republic, Slovakia,<br />
South-Western <strong>Poland</strong> and Eastern Germany.<br />
Szczecin lies only 100 km from the Berlin agglomeration<br />
and has direct highway and railway<br />
connections with the hinterland. The Oder river<br />
| <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> | 3/2009<br />
also gives multiple possibilities to reach the inland<br />
canals system. The main goal, which makes<br />
the Port of Szczecin more competitive, is to<br />
deepen the Szczecin-Świnoujście approach canal.<br />
Currently, the maximal draught for ships is<br />
9.15 m. Deepening works are to be started soon<br />
and their aim is achieving a 12.5 m depth, which<br />
will allow to serve much bigger vessels. The result<br />
of the works will contribute to enhancing<br />
the attractiveness of the port in comparison to<br />
its competitors in the <strong>Baltic</strong> Sea region. It is of<br />
even higher importance if we take into account<br />
the fact that the Szczecin and Świnoujście port<br />
complex is the southernmost port in <strong>Poland</strong>,<br />
which makes it also a natural beneficiary of hinterland<br />
connections.<br />
Speaking of infrastructure<br />
A widely planned modernization of existing<br />
quays (Fińskie, Czeskie, Słowackie and<br />
Zbożowe) and building new (Niemieckie and<br />
Dąbrowieckie) ones in the Port of Szczecin will<br />
significantly contribute to successful development.<br />
Moreover, the new container terminal is<br />
expected to be opened this year with a capacity<br />
of 120,000 TEU and a potential to build-up.<br />
Also of significant importance is the newly created<br />
20 ha area for the West Pomeranian Logistic<br />
Centre; the undertaking includes complete<br />
infrastructure with roads and the rail tracks<br />
network, water mains, electrical grid and parking<br />
for forty trucks, waiting for a leaseholder.<br />
The Szczecin and Świnoujście Ports Authority<br />
has declared competitive conditions of lease to<br />
companies, which would take part in the development<br />
of the area.<br />
To sum up, the Port of Szczecin is playing<br />
an important role in the West Pomeranian<br />
region and wants to improve its position by<br />
constant investments in infrastructure. The<br />
huge potential to become the focal point for<br />
the <strong>Baltic</strong> Sea, connecting southern Europe<br />
with Scandinavia, is supported by the European<br />
Union, the Polish government and local<br />
authorities.<br />
Wojciech Sobecki<br />
Spokesperson for the Szczecin and<br />
Świnoujście Seaport Authority
The Port of Police<br />
The port’s eco-friendly face<br />
Photo: The Port of Police<br />
The port in Police, situated in the West Pomeranian region, used<br />
to operate exclusively for its owner – Chemical Plants Police. Now<br />
it is ready to present its abilities to other partners. The Management<br />
Board of the Seaport Police Authority, with its shareholders,<br />
Police Chemical Plants and the local community, are jointly<br />
implementing a project called the “Green Bay”.<br />
The history of Police Port dates<br />
back to 1970, when the first<br />
cargo ships moored on the quay<br />
of its barge port. In the beginning,<br />
cargos were transported<br />
from bulk carriers to barges in<br />
Świnoujście and then to the Police factory. In<br />
the late 1970s, a rising level of cargo transported<br />
from the Police factory and the need<br />
to ease the load of the Szczecin-Świnoujście<br />
port complex resulted in a decision to build<br />
a chemical works port on the river Oder with<br />
a capacity that would enable to serve oceangoing<br />
vessels. The project was taken over by<br />
the Chemical Plants Police, one of the largest<br />
Polish producers of non-organic chemical<br />
products, in 1982 and completed in 1993.<br />
The new port was ready to serve chemical<br />
works and belt conveyors for unloading raw<br />
materials and loading fertilizers onto ships.<br />
In 2004, the board of Chemical Plants Police<br />
decided to appoint a company to manage the<br />
port. Today, 90% of its shares belong to the<br />
factory and 10% to the Police Community.<br />
The port handles approximately 2.5 mln<br />
tons of cargo every year.<br />
Geo-conditions<br />
The city of Police has a great connection<br />
with its surroundings due to a network of road,<br />
water, railway and air transport routes. The nearest<br />
located cities are Szczecin, Goleniów with its<br />
domestic airport, Świnoujście, with a passenger<br />
and cargo ferry border crossing to Scandinavia<br />
and Berlin (140 km from the country’s border).<br />
The region of Police is connected by the local<br />
114 and 115 roads, national 10 (Szczecin-Piła-<br />
Bydgoszcz), international road 6 (from Szczecin<br />
through Koszalin and Gdańsk to Kaliningrad,<br />
Riga and Kaunas), Highway A6 (E28) Szczecin-<br />
Kołbaskowo-Berlin and express road S3 (E65)<br />
Świnoujście-Goleniów-Szczecin. The railway<br />
transport system has been expanded, mostly<br />
for the needs of the Chemical Plants Police, but<br />
the current infrastructure also presents a possibility<br />
to develop the connections, including<br />
the construction of railway sidings. Although<br />
Police Port is not directly connected to the<br />
open sea, it has access to it via the Świnoujście-<br />
Szczecin water lane, which is 10.5 m deep. This<br />
feature enables a movement of ships with a 160<br />
m length and a 9.15 m draught or a length of<br />
<strong>BTJ</strong> <strong>Seminar</strong><br />
206 m and a draught of 8.15 m, which corresponds<br />
to a fully loaded bulk carrier with a capacity<br />
of 16 – 18,000 DWT or a partly loaded<br />
bulk carrier of 40,000 DWT. The location of<br />
the port provides all-year access. An analysis<br />
conducted by the Szczecin Maritime University<br />
showed the possibility of handling ships with<br />
the maximum permissible draught; moreover,<br />
potential partners do not need to be afraid of<br />
changing water levels, tides or ice conditions.<br />
Infra-conditions<br />
The port infrastructure consists of three elements:<br />
the Sea Terminal, the Mijanka Terminal<br />
and the Barge Terminal. The port is used as a<br />
transhipment terminal for bulk cargos such as<br />
phosphorites, apatites, titanic iron ore, potassium<br />
salt, fertilizers, ammonia and sulphuric<br />
acid. Within the “Green Bay” project, the Management<br />
Board of Police Port plans an extension<br />
of the existing infrastructure. Reserve development<br />
grounds occupy more than 300 ha,<br />
so there is enough space for investments such<br />
as: the construction of two new berths, 200 m<br />
long each (universal and dolphin), building a<br />
new road (2200 m long) to improve access to<br />
the port, as well as construction of a new railway<br />
line of 5,725 m in length. When considering the<br />
infrastructural aspect, it is necessary to mention<br />
the access to the media. Although construction<br />
of a new power network with a mean voltage<br />
of 6 kV is in the plans, currently the port uses<br />
the existing power network from the Chemical<br />
Plants Police. There is a gas (methane) network,<br />
a city water supply system, their own heat supply<br />
system, access to the telecommunication<br />
network and the port’s sewage treatment plant.<br />
HR conditions<br />
A strong scientific base and specialized<br />
graduates are factors which the future enterprises<br />
can depend on. The Police Industrial<br />
Park provides convenient solutions for establishing<br />
enterprises. Investors are offered the<br />
sale of or leased land on preferential conditions,<br />
a supply of cheaper media in relation to<br />
the free market and fast access to information<br />
regarding investment areas and technical conditions.<br />
For more information, please visit<br />
www.greenbay.pl.<br />
Barbara Rogalska<br />
3/2009 | <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> |
<strong>BTJ</strong> <strong>Seminar</strong><br />
The Port of Gdańsk<br />
A port for every kind of cargo<br />
The geographical advantage of the Port of Gdańsk is mentioned by many works of many economists.<br />
However, one also has to take into account its historical background, enabling the port to tie<br />
strong knots of friendship with many partners.<br />
Photo: The Port of Gdańsk<br />
Historically, the port was a gateway to Western Europe<br />
for Polish, Hungarian and even Moldavian goods.<br />
It also maintained strong relations with Lithuanian<br />
Klaipėda, Latvian Riga and Russian Novgorod. For<br />
years it has held a place in the top 10 largest <strong>Baltic</strong><br />
ports and only temporary fluctuations in the world<br />
economy could lead to worse results. Today, as a centre of distribution<br />
Gdańsk is a key element of Trans Corridor VI, connecting the Nordic<br />
countries with South-Eastern Europe.<br />
Polish accession to the European Union has created additional opportunities<br />
for development. Completed and planned projects are the expansion<br />
and modernization of port infrastructure, as well as improving the port’s<br />
communication with the national and international transport network.<br />
The biggest asset of the Port of Gdańsk is the possibility of developing<br />
deep-sea transhipment bases, serving the biggest vessels entering the <strong>Baltic</strong>.<br />
This enables not only development of dumping areas, but also greenfield<br />
investments.<br />
The existing handling potential, which plays an important role in<br />
ensuring energy security for the whole of <strong>Poland</strong>, is not thoroughly<br />
| <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> | 3/2009<br />
taken advantage of. Despite this, liquid fuels storage facilities developments,<br />
as well as implementation of new technologies for coal imports,<br />
are being planned.<br />
The already convinced<br />
Increasingly, these intentions are carried out by external capital.<br />
Acquisition of the cargo handling and storage enterprise “Port<br />
Północny” by the recognized port operating company “Sea Invest”<br />
is an excellent reflection of the growing interest in Gdańsk. The operator’s<br />
experience, gained inter alia in Antwerp, Gent and Dunkirk,<br />
makes it possible for the Port of Gdańsk to look forward to creating<br />
a site for handling dry bulk cargo.<br />
Another example of the port’s attractiveness for foreign investors<br />
is the Macquarie Group of companies from Australia, who financed<br />
the construction of the Deepwater Container Terminal DCT<br />
Gdańsk. The terminal offers year-round, ice-free access for vessels<br />
with a drught of up to 15 metres, providing excellent conditions for<br />
the creation of a <strong>Baltic</strong> container hub. Today the Port of Gdańsk has
the potential to handle 600,000 TEUs, and a possibility of expanding<br />
this capability to 3 mln TEUs. Worth noting is also the upcoming<br />
creation of the logistics centre in the vicinity of DCT. Its area is supposed<br />
to cover about 200 ha.<br />
The completion of the Sucharskiego Route, together with a tunnel<br />
under the port channel of Martwa Wisła, will undoubtedly have<br />
a serious impact on the further development of the port. It will connect<br />
the left and right parts of the port with the southbound motorway<br />
A-1. The construction of a new railway bridge on the route from<br />
Port Północny to the southern artery is also being planned. Both<br />
projects are on the list of the European Operational Programme ‘Infrastructure<br />
and Environment’.<br />
A titbit for investors<br />
An analysis of the port’s development plans cannot ignore an important<br />
logistics element of its operations, which is the Port of Gdańsk<br />
Cargo Logistics (Port Gdański Eksploatacja, PGE). Its almost exclusive<br />
owner, the Port of Gdańsk Authority, is taking decisive steps to privatise<br />
its daughter company. Rapid growth of PGE can only be ensured by an<br />
owner, who already has the experience as a port logistics operator. The<br />
company is operating on the most attractive quays of the internal port,<br />
but also has access to the deep-water zone. Further investments in its<br />
quays is bound to attract new clients and cargos. To facilitate the privatization,<br />
the Port of Gdańsk Authority has decided to transform PGE into<br />
a limited company and has started to adapt the ground leased by PGE<br />
to the implementation of new technologies. To sum up, for a reliable<br />
partner, the Port of Gdańsk Cargo Logistics will be a titbit.<br />
A clear division<br />
Earlier decisions of the Polish government have predestined the Port<br />
of Gdańsk to handle mainly bulk cargo: liquid fuels, petroleum products<br />
and coal. The economic reality of the past few years is, however, verifying<br />
the validity of past priorities. New transportation technologies are<br />
being developed and the outskirts of the port are being modernized.<br />
Photo: The Port of Gdańsk<br />
Containers<br />
PCS<br />
200 000<br />
220 000<br />
180 000<br />
160 000<br />
140 000<br />
120 000<br />
100 000<br />
80 000<br />
60 000<br />
40 000<br />
20 000<br />
0<br />
<strong>BTJ</strong> <strong>Seminar</strong><br />
2002 2003 2004 2005 2006 2007 2008<br />
Cargo handling structure in 2008<br />
A clear division becomes apparent. From a chain of well planned investments<br />
the “Old Port” has been adapted for <strong>Baltic</strong> feeder transport and<br />
the deep-water “Outer Port” has been made more suitable for berthing<br />
large ocean vessels. Fulfilling the requirements of modern and economical<br />
shipping, Gdańsk has become a port for every kind of cargo.<br />
Janusz Kasprowicz<br />
Spokesperson for the Port of Gdańsk Authority<br />
3/2009 | <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> |
<strong>BTJ</strong> <strong>Seminar</strong><br />
<strong>Baltic</strong> Container Terminal Gdynia<br />
A solid link in the supply chain<br />
Photo: BCT Gdynia<br />
Every day millions of containers are loaded onto ships to reach their destination. Somewhere in the<br />
supply chain are ports with their container terminals. Common, but not a quite true image of those<br />
places is a quay with a few cranes. In fact, a modern container terminal is a huge logistic center providing<br />
various services. BCT Gdynia is the best example. As the first in <strong>Poland</strong> BCT received the EN<br />
ISO 9001:2008 certificate from Lloyd’s Register Quality Assurance (LRQA).<br />
Location, location, location<br />
Gdynia, the city where BCT is located,<br />
lies between Eastern and Western Europe.<br />
Only 150 km separates the city from the Russian<br />
border. A fast-growing network of trans-<br />
<strong>Baltic</strong> connections operating from the BCT<br />
quay, by carriers such as MSC, APL, Team<br />
Lines, IMCL/BCL and UECC gives a possibility<br />
to transit containers and other goods<br />
to and from all over the world. Intermodality<br />
is the strong point of BCT. A direct highway<br />
and railway connect the terminal with its<br />
hinterland. The Gdańsk Lech Wałęsa Airport<br />
is situated just 25 km down the highway. In<br />
2012, a new commercial airport is expected<br />
to be opened in Gdynia-Kosakowo, only 5 km<br />
from the terminal. To sum up, this localization<br />
offers multiple possibilities to reach over<br />
38 mln potential customers in <strong>Poland</strong> and<br />
neighbouring countries, including Russia,<br />
Germany, the Czech Republic, Slovakia, Belarus,<br />
Ukraine and the <strong>Baltic</strong> States.<br />
10 | <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> | 3/2009<br />
The key: cutting the transit time<br />
BCT, which is owned by International<br />
Container Terminal Services Incorporated<br />
(ICTSI), makes a point of quality and velocity<br />
of services. A 60 ha complex contains inter<br />
alia a quay (800 m long, 12.5 m deep), an adjustable<br />
ramp (hydraulically operated, serving<br />
ro-ro vessels equipped with stern ramps),<br />
a railway terminal (with 3 rail tracks 300 m<br />
long each), 5 entry and 4 exit gates for containers/trucks,<br />
storage yards accommodating<br />
20,000 TEU, a bonded area (529 sq. m) as well<br />
as two general cargo warehouses (20,000 sq.m<br />
and 1,058 sq.m). Modern facilities combined<br />
with advanced computer systems (TOS) and<br />
experienced staff are the key to maximizing<br />
the capacity. Currently, it is 750,000 TEU with<br />
a maximum potential of one mln TEU. The<br />
average time of serving a truck from entry to<br />
exit is just 40 minutes. Additionally, a three<br />
shifts system provides a 24/7 service of the<br />
highest standard.<br />
Supplementary services<br />
BCT, thanks to its advanced infrastructure<br />
is prepared to deal with any order. A<br />
professional and wide consumer service is<br />
a principle in such companies. What distinguishes<br />
BCT from other terminals is its elastic<br />
approach, when it comes to fulfil the clients’<br />
demands. All operations on containers,<br />
general cargo and ro-ro motor vehicles are<br />
always carried out professionally and with<br />
flexible prices. Moreover, special, oversized<br />
loads are also welcome at BCT. In the terminal’s<br />
main building many forwarding and<br />
shipowners offices are located, i.e. Schenker,<br />
DHL, JAS-FBG, Damco, Hellmann, Rohlig,<br />
Kuehne&Nagel. The Customs House is<br />
there, too.<br />
Where the land meets the sea, you need<br />
an expert for your operations. BCT is certainly<br />
among those to consider.<br />
Bartłomiej Hapka
Turnover of the Terminal in the years 2000-2008<br />
year number of vessel calls boxes TEU<br />
<strong>BTJ</strong> <strong>Seminar</strong><br />
cars & trucks<br />
pcs<br />
2000 1040 123,038 188,272 49,072<br />
2001 948 135,890 217,024 33,946<br />
2002 854 152,788 247,907 35,159<br />
2003 743 189,871 304,745 16,635<br />
2004 798 233,668 372,762 32,950<br />
2005 815 247,428 395,757 29,549<br />
2006 731 257,086 402,557 54,827<br />
2007 793 320,235 493,860 74,656<br />
2008 712 280,847 440,591 71,632<br />
Shipping Lines served by<br />
<strong>Baltic</strong> Container Terminal<br />
Ports Shipping Line Ships Number of calls vessel’s capacity<br />
Antwerp<br />
Bremerhaven<br />
Klaipėda<br />
Bremerhaven<br />
Klaipėda<br />
Hamburg<br />
Bremerhaven<br />
Kaliningrad<br />
Klaipėda<br />
Bremerhaven<br />
Hamburg<br />
Klaipeda<br />
Szczecin<br />
Rotterdam<br />
Kotka<br />
Bremerhaven<br />
Kaliningrad<br />
Zeebrugge<br />
Hamburg<br />
Klaipėda<br />
MSC MSC RHONE<br />
MSC MARIA<br />
MSC LAUREN<br />
MSC TAIPAN<br />
2 weekly 1584 TEU<br />
1254 TEU<br />
1948 TEU<br />
925 TEU<br />
APL EURO STORM 1 weekly 686 TEU<br />
TEAM LINES BUXTEHUDE<br />
GOTLAND<br />
ANNALAND<br />
BIRKALAND<br />
MARIS<br />
BELUGA<br />
SENSATION<br />
LIVLAND<br />
IMCL/BCL MARIA SCHEPPERS<br />
ELEGANCE<br />
BF MARYAM<br />
MONSUN<br />
RHEIN CARRIER<br />
IWONA<br />
DENEB<br />
TRANS JORUND<br />
GERMAN<br />
VICTORIA<br />
BETSY S.<br />
UECC PELANDER<br />
RITA DEL MAR<br />
AUTORACER<br />
1-2 weekly 868 TEU<br />
822 TEU<br />
868 TEU<br />
868 TEU<br />
508 TEU<br />
750 TEU<br />
866 TEU<br />
2-3 weekly 262 TEU<br />
374TEU<br />
509 TEU<br />
724 TEU<br />
374 TEU<br />
672 TEU<br />
509 TEU<br />
340 TEU<br />
1-2 monthly 508 TEU<br />
366 TEU<br />
1 weekly 2780 cars<br />
2780 cars<br />
1060 cars<br />
3/2009 | <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> | 11
<strong>BTJ</strong> <strong>Seminar</strong><br />
The Port of Gdynia<br />
One stop… port<br />
What can a bulk terminal and a general cargo terminal have in<br />
common? Regarding the Port of Gdynia, they are both offering<br />
promising amenities and are awaiting a private investor.<br />
Photo: The Port of Gdynia<br />
According to Polish law, port<br />
authorities are obligated to<br />
cede control of their operating<br />
activities to private enterprises<br />
through privatization.<br />
The operating area should<br />
therefore be private entities’ fields of activity,<br />
whereas the port authority ought to remain<br />
a landlord-port. At the moment, two important<br />
companies, hitherto owned by the port<br />
authority, are to be privatized in the second<br />
half of 2009. Let us take a look at their offer<br />
and facilities.<br />
Every type of cargo is welcome<br />
MTMG – the Maritime Bulk Terminal<br />
Gdynia – operates as a universal terminal<br />
and renders handling, storage, big-bagging<br />
and sorting services related to any bulk<br />
cargo in port – maritime trade. It handles<br />
coal and coke, grain and fodder, ores, other<br />
bulk and liquid cargo as well as general<br />
cargo. The terminal comprises four quays:<br />
Holenderskie, Szwedzkie, Śląskie and the<br />
Southern Pier of Duńskie; the latter is dedicated<br />
to handling liquid bulk cargo, including<br />
3, 6, 8 and 9 class chemicals according<br />
to the IMDG code. Basic data about the<br />
quays are shown in Table 1. Additionally, the<br />
Maritime Bulk Terminal also operates and<br />
12 | <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> | 3/2009<br />
provides technical services on the Liquid<br />
Fuel Berth, located on the breakwater. The<br />
berth handles tankers of up to 210 m long,<br />
with a draught up to 10.80 m.<br />
Everything in one place<br />
The <strong>Baltic</strong> General Cargo Terminal<br />
Gdynia (BTDG) is a multi-modal port terminal<br />
that renders services related to handling,<br />
stowage and storage of steel products,<br />
bagged cargo and also granite blocks,<br />
heavylifts, oversized cargo and containers.<br />
BTDG handles conventional general cargo<br />
and ro-ro and sto-ro cargo.<br />
A part of BTDG is dedicated to handling<br />
ro-ro cargo and is located within Basin V<br />
of the Port of Gdynia. The ro-ro terminal<br />
comprises three modern ramps, new and<br />
comprehensively reconstructed warehouses<br />
as well as paved storage yards. The terminal<br />
is equipped with modern handling facilities,<br />
including a 45T quayside container<br />
gantry crane, SISU truck-tractors, RT 60T<br />
semi-trailers, a Clark and Kalmar 11.5 – 7T<br />
stacking machine and 2 SISU15T reach<br />
stackers. The most important facilities that<br />
BTDG has to offer are:<br />
• quays of 4.3 km length, minimum 8 m<br />
and max. 13 m depth<br />
• 3 ro-ro ramps (including one swinging<br />
ramp),<br />
• 125,000 m² of covered storage area,<br />
• 120,000 m² of open storage yards, including<br />
5,000 m² of sheds area (RT),<br />
• bonded warehouse.<br />
Taking into account all the abovementioned<br />
facilities, one can say that there is no<br />
need to move any activities to another site.<br />
Everything a transport or logistics company<br />
needs is here, in one place.<br />
By putting its companies on the market,<br />
the Port of Gdynia Authority aims at<br />
maintaining the port’s public character<br />
while creating innovative, dedicated cargo<br />
handling and warehousing sites at the same<br />
time. “It is not only revenues that we are<br />
expecting from the privatization process,”<br />
says Jan Lewko, Marketing and Development<br />
Director at the Port of Gdynia Authority.<br />
“Equally important is creating an<br />
environment where technological and organizational<br />
development will take place<br />
– for the sake of the terminals as well as the<br />
whole port.”<br />
For further information about the legal<br />
procedure and privatization, please visit<br />
www.port.gdynia.pl.<br />
Martyna Bildziukiewicz<br />
Table 1. The quays in the Maritime Bulk Terminal Gdynia<br />
Quay Length Maximum<br />
draught<br />
Storage area<br />
Holenderskie Quay 500 m 12.8 m storage yards – 14,223 m²,<br />
warehouse – 20,000 m3<br />
Szwedzkie Quay 444 m 10.6 m storage yards – 8,197 m²,<br />
two flat warehouses – 12,225 m²<br />
Śląskie Quay 353 m 8.6 m storage yards – 21,209 m²<br />
Southern Pier of<br />
Duńskie Quay<br />
170 m 9.5 m
<strong>BTJ</strong> <strong>Seminar</strong>: <strong>Coastal</strong> <strong>Poland</strong><br />
Invest in North West ............................................................................................................... 4<br />
West Pomeranian region<br />
Hot spot for logistics investments ..................................................................................... 5<br />
An investor’s guide to Pomerania<br />
Deepen your connection ...................................................................................................... 6<br />
Szczecin & Świnoujście port complex<br />
The port’s eco-friendly face ................................................................................................. 7<br />
The Port of Police<br />
A port for every kind of cargo ............................................................................................. 8<br />
The Port of Gdańsk<br />
A solid link in the supply chain ......................................................................................... 10<br />
<strong>Baltic</strong> Container Terminal Gdynia<br />
One stop… port ..................................................................................................................... 12<br />
The Port of Gdynia<br />
<strong>BTJ</strong> Calendar of partnership events ................................................................................ 16<br />
What’s new ............................................................................................................................... 18<br />
Just One Question: Still good alternative to road transport? ................................ 24<br />
Short sea shipping<br />
Where will the lifeblood flow? .......................................................................................... 26<br />
Ttrends in BSR oil & gas transportation<br />
From vision to action ........................................................................................................... 28<br />
<strong>Baltic</strong> Master II<br />
Report: Behind the ports ............................................................................. 29<br />
<strong>Baltic</strong> Ports Organization Newsletter ......................................................... 34<br />
Focus: <strong>Baltic</strong> shipyards ................................................................................ 37<br />
Protecting merchant ships ................................................................................................. 40<br />
Naval cooperation & guidance for shipping<br />
A niche hub for the <strong>Baltic</strong>? ..................................................................................................42<br />
Groningen Seaports are looking for partners<br />
The dry freight and tanker market .................................................................................. 44<br />
Strategies for the future ...................................................................................................... 46<br />
Rail transport networks in the BSR<br />
On standby mode ..................................................................................................................48<br />
TransRussia impressions and more<br />
Eco-driving .............................................................................................................................. 50<br />
Soft measures for more sustainable road transport<br />
<strong>Transport</strong> miscellany ............................................................................................................ 53<br />
Who’s who ................................................................................................................................ 54<br />
Contents<br />
3/2009 | <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> | 1
Editorial<br />
� � � � � � � � � � � � � � � � � � � � � � � � �<br />
������ ���������<br />
�����������������������<br />
���������������������<br />
<strong>Baltic</strong> <strong>Transport</strong><br />
<strong>Journal</strong><br />
President of the Board<br />
dorota sobieniecka<br />
dorota@baltictransportjournal.com<br />
Publishing Director<br />
piotr trusiewicz<br />
piotr@baltictransportjournal.com<br />
Deputy Editor-in-Chief<br />
martyna bildziukiewicz<br />
martyna@baltictransportjournal.com<br />
Contributing Writers<br />
and Update Correspondents<br />
marek błuś, stane božičnik, vladimir chernyshev,<br />
alexandre dubois, michał gomerski, katja hanžič,<br />
bartłomiej hapka, janusz kasprowicz,<br />
mariusz kościelski, maciej matczak, manik mehta,<br />
ryszard miler, błażej mykowski,<br />
alison nissen, adam olesiejuk, barbara rogalska,<br />
aneta sandecka, piotr b. stareńczak,<br />
piotr trusiewicz, wojciech sobecki<br />
English Language Editors<br />
alison nissen, magda łutek<br />
Design and DTP<br />
medon<br />
Art Director&Graphic Designer<br />
danuta sawicka-romanowska<br />
Publisher<br />
baltic press sp. z o.o.<br />
Address: 8 Pułaskiego Street<br />
81-368 Gdynia, <strong>Poland</strong><br />
office@baltictransportjournal.com<br />
tel. +48 58 627 23 94, tel. +48 58 627 23 95<br />
fax +48 58 621 69 66<br />
wwww.baltictransportjournal.com<br />
Marketing & Sales<br />
(advertising, tradefairs, conferences)<br />
piotr trusiewicz<br />
piotr@baltictransportjournal.com<br />
Subscriptions<br />
klaudia sowińska<br />
klaudia@baltictransportjournal.com<br />
Print<br />
medon<br />
Address: Medon sp. j.<br />
ul. Kartuska 245, 80-125 Gdańsk, <strong>Poland</strong><br />
e-mail: medon@medon.gda.pl<br />
Internet: www.medon.gda.pl<br />
Circulation: 2,500<br />
������� ���������������<br />
���������������������������<br />
������������������������������������������<br />
�����<br />
����������������<br />
�����������������������������������<br />
�����������������������������<br />
Cover photo: © Urząd Miasta Gdańska<br />
Subscriptions can be ordered<br />
in Kolporter offices in <strong>Poland</strong>.<br />
For more information call 0801-205-555 or visit<br />
www.kolporter-spolka-akcyjna.com.pl/prenumerata.asp<br />
1 | <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> | 3/2009<br />
Dear Readers,<br />
Promotion and marketing are far more important in difficult times. Therefore, <strong>Baltic</strong> <strong>Transport</strong><br />
<strong>Journal</strong> is proud to present you the new issue of our magazine, where we are focusing on showing<br />
the multi-faceted offer of Polish ports, terminals and coastal regions. The issue accompanies<br />
the <strong>BTJ</strong> <strong>Seminar</strong>, organized jointly with the Polish Ministry of Infrastructure and the Polish Embassy<br />
in the United Kingdom. We are taking you on a trip to coastal <strong>Poland</strong> to show you how transport and<br />
logistics enterprises can take advantage of the economic downturn. We remain loyal to our mission,<br />
symbolized by the bridge on the cover of <strong>BTJ</strong> – to link companies and businesses, this time from two<br />
sides of Europe: <strong>Poland</strong> and the United Kingdom.<br />
As always, we are doing our best to have our fingers on the pulse of <strong>Baltic</strong> transport and logistics.<br />
Among the articles worth recommending is the in-depth analysis and ranking of <strong>Baltic</strong> shipyards,<br />
conducted by Marek Błuś – a very current topic, especially when taking into account the latest news<br />
about the acquisition of the shipyards in Gdynia and Szczecin. Another hot topic on the agenda is oil<br />
and gas transportation – Błażej Mykowski, inspired by the Trans-Port and Energy <strong>Seminar</strong>, shows<br />
us the latest trends and possible directions of development in the industry.<br />
In times of decreased traffic and reduced road transport costs, we asked the question how the<br />
present economic situation can influence the discussion about the EU policy of shifting traffic from<br />
road to sea. Can short sea shipping still be a true alternative to road haulage? Check what the experts<br />
think about this in our Just One Question section.<br />
As we have just come back from the <strong>Transport</strong> Logistic fair in Munich, we are very curious if our<br />
impressions are similar to the ones of the TransRussia exhibitors. The latter, combined with deliberations<br />
about the situation on the Russian rail freight market, are being offered by Vladimir Chernyshev<br />
in his „On standby mode” article. Speaking of the railways, do not miss the article prepared by Alexandre<br />
Dubois of Nordregio, highlighting the railway links in the <strong>Baltic</strong> Sea region.<br />
The worst you could do in times like the ones we are experiencing now is to sit back and wait for<br />
what is going to happen. Polish ports, terminals and coastal regions are aware of this and therefore on<br />
<strong>BTJ</strong>’s orange pages you can read about their accomplishments and strategies for the future. I am deeply<br />
convinced that the success of the <strong>BTJ</strong> <strong>Seminar</strong>, promoting the Polish maritime industry, will encourage<br />
companies from the <strong>Baltic</strong> Sea region to invest in their marketing strategies for the sake of us all.<br />
Company index<br />
Dorota Sobieniecka<br />
President of the Board<br />
<strong>Baltic</strong> Press Sp. z o.o.<br />
APM MØLLER-MAERSK 37-39, 53; Admiralteyskiye Shipyard 37-39; AIG/Lincoln 5; Air <strong>Baltic</strong> 22; Air Berlin 54; Amadeus<br />
22; APL 10-11; APS Technology 19; Austrian Airlines 22; Avia Solutions 22; Aviation Industries Ilyushin 22; Baltiyskiy<br />
Shipyard 37-39; BCL 18; BCT Gdynia 10-11; BLS Cargo 21; Bridgestone 4; Calsberg 4; Cargotec 4, 18; Cavotec 19; CEVA<br />
Logistics 20; Chemical Plants Police 4, 7; CMA CGM 19; Conductix-Wampfler 19; ContainerTrans 32-33; CroisiEurope<br />
34-35; CTL Logistics 32-33; CTS <strong>Transport</strong> 32-33; Damco 10-11; DB 21; DCT Gdańsk 5, 9, 18; Deutsche GVZ-Gesellschaft<br />
30-31; DGG 30-31; DHL 10-11, 20; ERS Railways 32-33; Estonian Railways 32-33; Eurolog 32-33; European Rail Shuttle<br />
32-33; Finnair 22, 54; Flensburger Shipyard 37-39; flyLAL 22; GAC Logistics 20; Gdańsk Lech Wałęsa Airport 10-11, 22;<br />
Gdańsk Shipyard 37-39; Gdynia Shipyard 37-39; Gdynia-Kosakowo Airport 10-11; Green Cargo 21, 32-33; Grundfos 20;<br />
Hamburg Süd 18; Hansa Shipping 18; Hapag-Lloyd 18, 54; HDW Gaarden Shipyard 37-39; Hellmann 10-11; Helsinki<br />
Shipyard 37-39; Hupac 21, 32-33; ICF 32-33; ICTSI 10-11; IMCL/BCL 10-11, 18; Intercontainer 32-33; Iveco 50-51; JAS-<br />
FBG 10-11; Karstensen Shipyard 37-39; Kombiverkehr 32-33; Kronospan 4; Kuehne&Nagel 10-11, 20, 32-33; LDZ Cargo<br />
(Lithuanian Railways) 32-33; Lindenau Shipyard 37-39; Lisco 18; Lloyd’s Register Group 10-11; LM Glasfiber 4; Lokomotion<br />
21; Lufthansa 22; MacGREGOR 18; Macquarie Group 8-9; Maersk Line 18; MAN 50-51; Marine Project Shipyard 37-<br />
39; Megamar 53; Mercedes-Benz 50-51; Mid Cargo 32-33; MSC 10-11; Munich Airport 22; Nordic Hamburg Shipping<br />
18; Northern Shipyard 37-39; NYK 18; Odense Steel Shipyard 37-39; OOCL 18; Panattoni 5; PCC Intermodal 21, 32-33;<br />
Peene-Werft Shipyard 37-39; Peter Deilmann 34-35; PKP (Polish Railways) 32-33; Polet Airlines 22; Polzug 32-33; Port of<br />
Antwerp 6, 8-9, 10-11; Port of Bremerhaven 10-11, 32-33, 54; Port of Dunkirk 8-9; Port of Esbjerg 18; Port of Gdańsk 8-9,<br />
18, 32-33; Port of Gdańsk Cargo Logistics 8-9; Port of Gdynia 10-11, 12, 32-33; Port of Ghent 6, 8-9; Port of Göteborg<br />
18; Port of Hamburg 6, 10-11; Port of Kaliningrad 10-11; Port of Klaipeda 8-9, 10-11, 32-33; Port of Kotka 10-11; Port of<br />
Lübeck 32-33; Port of Odessa 32-33; Port of Police 7; Port of Riga 8-9; Port of Rostock 32-33; Port of Rotterdam 10-11,<br />
18, 19, 32-33, 42; Port of Stralsund 34-35; Port of Szczecin 10-11; Port of Ust-Luga 26-27; Port of Ylyichevsk 32-33; Port<br />
of Zeebrugge 10-11; ProLogis 5; Rauma Shipyard 37-39; Renault 50-51; Riga Airport 22; Rohling 10-11; Rongcheng<br />
Shenfei Shipbuilding 18; Royal Greenland 4; RTC 21; Ryanair 22; RŻD (Russian Railways) 21, 32-33; SAS 22; Schenker<br />
10-11; Scylla Tours 34-35; Sea Chef Cuises 34-35; Sea Invest 8-9; STX Europe 37-39; Swedwood 4; Swiss Airlines 22;<br />
SWS Seehafen Stralsund 34-35; Szczecin & Świnoujście port complex 4, 6, 19; Szczecin New Shipyard 37-39; Tallink 18;<br />
Team Lines 10-11; TransContainer 32-33; TransRussia 48-49; Turku Shipyard 37-39; UECC 10-11; Viking Croisers 34-35;<br />
Volkswerft Shipyard 37-39; VR-Cargo 32-33; Wadan Shipyard 37-39; WWL 20; ZIM 18.
<strong>BTJ</strong> calendar of partnership events 2009<br />
<strong>BTJ</strong> 3/2009 (May-Jun edition)<br />
Issue distributed at:<br />
<strong>BTJ</strong> <strong>Seminar</strong>: <strong>Coastal</strong> <strong>Poland</strong><br />
ports, terminals, logistics centres<br />
3 June 2009, UK/London<br />
www.baltictransportjournal.com<br />
Nor-Shipping 2009<br />
Expo & Conference<br />
9-12 June 2009, NO/Oslo<br />
www.nor-shipping.no<br />
TOC Europe 2009<br />
Expo & Conference<br />
16-18 June 2009, DE/Bremen<br />
www.tocevents-europe.com<br />
<strong>BTJ</strong> 4/2009 (July-Aug edition)<br />
Issue distributed at:<br />
Baltexpo 2009 Exhibition<br />
1-3 September 2009, PL/Gdańsk<br />
www.baltexpo.eu<br />
BPO XII General Assembly<br />
3-4 September 2009, DK/Aarhus<br />
www.bpoports.com<br />
Airports 2009 Conference<br />
24-25 September 2009, PL/Warsaw<br />
www.actiaconferences.com<br />
CEE Air Cargo 2009 Conference<br />
9 October 2009, PL/Warsaw<br />
www.easteurolink.co.uk<br />
<strong>BTJ</strong> 5/2009 (Sept-Oct edition)<br />
Issue distributed at:<br />
TRAKO 2009 Expo<br />
14-16 October 2009, PL/Gdańsk<br />
www.mtgsa.pl<br />
<strong>Baltic</strong> Ro-Ro & Ferry<br />
Conference 2009<br />
October/November 2009, tba/tba<br />
www.actiaconferences.com<br />
Global Shipping Summit China<br />
November 2009, China/Dalian<br />
http://en.shippingchina.com<br />
Intermodal 2009<br />
Expo & Conference<br />
3-5 November 2009, ES/Valencia<br />
www.intermodal-events.com<br />
TLS Congress 2009<br />
24-25 November 2009, HU/Budapest<br />
www.tls-congress.com<br />
<strong>BTJ</strong> 6/2009 (Nov-Dec edition)<br />
* to be announced<br />
Dates and places of the events are subject to be changed by the organizing parties.<br />
1 | <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> | 3/2009<br />
Special Report: Behind the ports<br />
Focus on: The <strong>Baltic</strong> shipyards<br />
The <strong>BTJ</strong> seminar reflecting one of our core roles – promoting transport companies from the <strong>Baltic</strong> region<br />
worldwide. We have gathered the main Polish ports, a leading container terminal and northern <strong>Poland</strong>’s<br />
regional authorities to present their business offers in the TFL sector. We chose London, Europe’s centre<br />
for international shipping and financial/investment services. The event is co-organised by the Embassy of<br />
the Republic of <strong>Poland</strong> in London and held in place, under the honorary patronage of the Polish Ministry of<br />
Infrastructure.<br />
One of the most important bi-annual meeting places of the global maritime industry and much more than<br />
just an ordinary expo and conference. With a long and rich history Norway Trade Fair’s fundamental aim<br />
is to create business opportunities, and with over 800 exhibitors and more than 13,000 visitors (2007) the<br />
numbers clearly speak for themselves.<br />
This year’s Terminal Operations Conference and Exhibition moves to Bremen. Following 2008’s figures with<br />
2,500 attendants and 133 exhibitors demonstrating their products and innovations, one needs to expect a<br />
spectacular event, not only for the seaports/terminals and shipping industry, but the whole supply chain<br />
management.<br />
Special Report on: <strong>Baltic</strong> maritime transport<br />
Focus on: Aviation market<br />
The jubilee 15 th International Shipbuilding and Shipping Exhibition Baltexpo 2009 comprising the trade fair<br />
and the conference, will traditionally cover shipbuilding/ship-repair topics as well as equipment and services<br />
for the industry.<br />
Fifty major <strong>Baltic</strong> seaports’ annual meeting and a conference gathering executives from ports, port-related<br />
industries, international organisations, members of the EP, consulting companies, academia and professional<br />
media. Co-organised by The Port of Aarhus.<br />
The fifth edition of the international aviation conference, a well-known event for all kinds of air transport<br />
business in <strong>Poland</strong> and the CEE market. Delegates from various European countries will deal with the challenges<br />
of passenger/cargo traffic slowdown in the region’s airports.<br />
Entering its 2 nd year, the conference is addressing the most current issues for the Central and Eastern European<br />
air industry, like the financial crisis, practical advice and cost saving strategies, assessing ways to stimulate<br />
air cargo traffic growth and examining profitability of the cargo/parcel forwarding airlines.<br />
Special Report on: Railway transport & infrastructure<br />
Focus on: Ro-ro & ferry market<br />
The most prestigious rail industry meeting in <strong>Poland</strong> and one of the largest in Central and Eastern Europe.<br />
A nice opportunity to promote rail transport, freight forwarding and logistics, present the latest technologies<br />
and hold business meetings. The event is organized in partnership with Polish State Railways (PKP S.A.)<br />
and accompanied by an extensive programme of seminars, conferences & company presentations.<br />
The event concentrating on ro-ro, ro-pax and con-ro traffic on the <strong>Baltic</strong> Sea, giving a thorough insight<br />
to shipping/port/hinterland matters, actual trends in vessels technology and ro-ro shipping’s role in the<br />
regional logistics network.<br />
The 4th edition of the grand event gathering giants from shipping companies, ports, freight forwarders,<br />
traders, investment and financial institutions, IT business and government officials, both from China and<br />
abroad. Last year more than 1,600 delegates from over 27 countries joined this event to exchange ideas and<br />
experiences, build up business relationships, create new industry patterns and establish new cooperations.<br />
The world’s leading intermodal event comprised of a comprehensive exhibition and a conference held<br />
uninterruptedly for 34 years. As usual, expect over 100 exhibitors and more than 30 acclaimed speakers.<br />
A must attend for professionals involved in the container business.<br />
The TLS Congress for Central and Eastern Europe is once again inviting you for a discussion and networking<br />
with Europe’s leading companies on the latest strategies, initiatives and developments with regard to<br />
transportation, logistics and warehousing in the EU.<br />
Special Report on: BSR containerization<br />
Focus on: Road transport & infrastructure
What’s new?<br />
Maritime<br />
AS Tallink Grupp has announced the results<br />
in its traffic level during April 2009 in<br />
comparison to the same period a year ago.<br />
Passengers’ traffic increased by 25.3% and<br />
reached 621 674 persons. Such an increase<br />
was caused by the Easter holidays, celebrated<br />
later than last year (March). The highest volume<br />
of traffic was observed on the route<br />
Latvia – Sweden. Tallink Grupp also transported<br />
more passenger vehicles (increase by<br />
50.2 %), but less cargo units (decrease by<br />
33.4%), when compared to April 2008. The<br />
company introduced new vessels of a higher<br />
capacity to operate on almost all its routes.<br />
MacGREGOR, part of Cargotec Corporation,<br />
a company providing ’cargo handling<br />
services for ships, will implement a major<br />
order for two German ship owners. The<br />
company will deliver two types of cranes<br />
(electro-hydraulic and cylinder luffing) and<br />
lift-away hatch covers for six 3,100 TEU<br />
container ships, which are currently under<br />
construction at the Chinese shipyard of<br />
Rongcheng Shenfei Shipbuilding Co<br />
Ltd. Four vessels were ordered by Nordic<br />
Hamburg Shipping NHS GmbH & Co.<br />
KG and two others by Hansa Shipping<br />
GmbH & Co. KG. The whole order will cost<br />
over EUR 10 mln and delivery will be completed<br />
between 2010 and 2012.<br />
Atlantic Express Service (ATX) will soon be<br />
operated by a larger than present, united<br />
group of shipping companies. Currently, it<br />
is operated by the Grand Alliance members<br />
(Hapag – Lloyd, Nippon Yusen<br />
Kaisha – NYK and Orient Overseas<br />
Container Line – OOCL) together with<br />
ZIM Integrated Shipping Service. After<br />
the agreement receives FMC approval, the<br />
third operator will be Hamburg Süd. The<br />
port rotation will remain as it is: Rotterdam-<br />
Hamburg-Le Havre-Southampton-New<br />
York-Norfolk-Charleston-Rotterdam.<br />
The new ferry – Lisco Maxima – began<br />
to operate on the route between Kiel and<br />
Klaipėda on 12th of May. It is the largest<br />
ferry sailing under the flag of Lithuania and<br />
replaced the older one – Lisco Optima.<br />
New vesel’s capacity is 2,500 lane meters<br />
for trucks and trailers, she can carry up to<br />
600 passengers (previous one could take<br />
325 persons). The journey takes 21 hours.<br />
Six departures a week have made this service<br />
the most important ferry connection<br />
between Germany and the <strong>Baltic</strong> states.<br />
1 | <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> | 3/2009<br />
Stepping into a new phase<br />
In order to develop the position of the<br />
largest port in the Nordic region and a<br />
transit hub for the <strong>Baltic</strong> region and Russia,<br />
the Göteborg Executive Board has supported<br />
a proposal to divide the port into<br />
the port authority and three terminal companies.<br />
This decision will open the doors<br />
On the route from Gdańsk to Rotterdam<br />
IMCL – Inter Marine Container Lines –<br />
one of the biggest container operators on the <strong>Baltic</strong><br />
announced starting a new connection from<br />
DCT Gdańsk to Rotterdam. IMCL started cooperation<br />
with DCT in December 2007. During<br />
that time, the company offered one call a week to<br />
the ports of Hamburg and Bremerhaven. Starting<br />
from May 2009, IMCL provides two calls of one<br />
ship to Rotterdam/Hamburg, while the weekly<br />
call to Hamburg will still be maintained. The vessel<br />
that operates on the new route is BCL Iwona<br />
(672 TEU) and she departs from DCT Gdańsk<br />
every Saturday. Firstly, the ship will call at two<br />
terminals in Rotterdam: ECT Delta Dedicated<br />
West (DDW) and ECT Delta Dedicated North<br />
(DDN) every Tuesday/ Wednesday. Additionally,<br />
the ship will also call at Hamburg. Nakis Kassos,<br />
Photo: BCT Gdynia<br />
Learning from the best<br />
TOC Europe 2009 will take place in<br />
Bremen, Germany, 16-18 June. The conference<br />
is accompanied by the trade fair with<br />
over 120 exhibitors, giving a nice opportunity<br />
to learn about strategic business development<br />
and practical operational issues within terminal<br />
cargo handling. “The conference programme<br />
will focus on the economic downturn<br />
and other pertinent issues facing the industry,”<br />
pointed Paul Holloway, Event Director<br />
of TOC Events Worldwide. Sharing ideas on<br />
how to manage in difficult times should not<br />
for private terminal operators. “I regard<br />
the decision as a natural progression. The<br />
Port Authority can now focus entirely on<br />
developing Göteborg as a marketplace and<br />
freight hub and reinforce its role as the leading<br />
port in the Nordic region,” said Magnus<br />
Kårestedt, CEO of the Port of Göteborg.<br />
General Manager of IMCL, said, “Cooperation<br />
with DCT Gdańsk has always been excellent.<br />
From the very beginning we have offered a direct<br />
route from DCT to Hamburg and Bremerhaven.<br />
We are convinced that this connection<br />
with the Rotterdam port will create new possibilities<br />
for all clients on this evolving market.”<br />
IMCL was established on Cyprus in 1996.<br />
The company provides shipment delivery services<br />
for many operators from Northern Europe up to<br />
the <strong>Baltic</strong> Sea. In 2007 the company acquired the<br />
Polish operator – <strong>Baltic</strong> Container Lines (BCL),<br />
creating one of the biggest container service operators<br />
on the <strong>Baltic</strong>. Its fleet operates between German,<br />
Polish and Lithuanian ports. It has also recently<br />
started up a new connection on the route to<br />
Esbjerg in Denmark.<br />
dominate the 33rd TOC meeting. Equally<br />
important are new strategies, equipment procurement,<br />
asset and risk management that<br />
will be presented by top industry leaders, like<br />
Dries van Dongen of Maersk Line, Markus<br />
Pressdee of Credit Suisse or Ghislain Lorthiois<br />
of CMA CGM Terminal Link. This year the<br />
attendees will have the chance to participate<br />
in some workshops for free. Leading industry<br />
suppliers, like APS Technology, ABB and<br />
Conductix Wampfler will present their new<br />
cost-efficient products and services.
One yacht, one man, one ocean<br />
Photo: Paweł Czekała<br />
A single-handed non-stop yacht race<br />
across the Atlantic Ocean with no outside<br />
assistance allowed, is the challenge by a<br />
famous Polish sailor, Cpt. Jarosław Kaczorowski.<br />
The Artemis Transat regatta starts<br />
in 2012 from Plymouth (UK), heading to<br />
Boston (USA), but first requires pre-qualification.<br />
Cpt. Kaczorowski is now looking<br />
for partners for a two year sponsorship<br />
programme throughout Europe with national<br />
& international media broadcast on<br />
TV, radio, press and the internet. The sponsorship<br />
proposition involves branding the<br />
yacht and sails, the yachtsman’s and support<br />
team outfits, the team car and official<br />
website as well as product endorsement.<br />
The Artemis Transat race, known until<br />
2004 as the OSTAR, is the oldest solo race<br />
in history which has grown the greatest sailing<br />
legends over the last four decades, like<br />
Tabarly, Birch, Peyron, Joyon and MacArthur,<br />
to name a few. Jarosław Kaczorowski became<br />
the Polish Champion when he was only 11.<br />
He also was twice the World Champion in<br />
Micro Class and the winner of Mackinac<br />
Race in PHRF A (1999), the 1st place taker<br />
with „Łódka Bols” in Sydney-Hobart Race<br />
(2001) and the captain of this huge racing<br />
yacht in 2002-2003. In 2007 Cpt. Kaczorowski<br />
took part in the Mini Transat, a single-handed<br />
regatta across the Atlantic from<br />
France to Brazil, on a very small (6.50 m)<br />
and fast (up to 20 knots) boat. He finished<br />
at 19th place out of the total 89 competitors.<br />
He was then honoured a prestigious title<br />
of “The Sailor Of The Year” in <strong>Poland</strong><br />
Maritime<br />
What’s new?<br />
Port of Rotterdam authorities have<br />
presented their European agenda for<br />
2009-2014, “Working together on Europe”.<br />
The brochure consists of three policy<br />
themes: Space for the Future, Accessibility<br />
and Sustainability and contains fifteen practical<br />
recommendations for further development<br />
of the port sector in the EU. The areas<br />
requiring attention firstly are: a strong and<br />
integrated transport and port policy, high<br />
quality hinterland connections, a realistic<br />
environmental policy, preventing protectionism<br />
and promoting free world trade.<br />
The Polish Port of Szczecin has been<br />
chosen by Sail Training International to<br />
be a Presenting Sponsor of the Tall Ships<br />
Races for a period of four years. Szczecin<br />
will host the Tall Ships Races in 2013,<br />
the city’s logo will be presented on the<br />
races’ official symbol. STI has chosen this<br />
city because its authorities pay special attention<br />
to maritime interests and young<br />
people. Szczecin successfully hosted the<br />
guests from all over the world during the<br />
final of races in 2007.<br />
3/2009 | <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> | 1
What’s new?<br />
Logistics<br />
GAC has set up a new company in Norway<br />
and opened a business development office<br />
in Oslo to meet the needs of the country’s<br />
energy sector. GAC Logistics (Norway) focuses<br />
on the energy industry’s air, sea and<br />
road transportation needs and serves the<br />
whole of Norway. Ahmet Özsoy, managing<br />
director of GAC Logistics (Norway), also<br />
heads GAC-ORO – the company formed<br />
by the acquisition of Norwegian shipping<br />
company, Ole R Olsen, in 2007. In addition<br />
to project logistics, ship logistics and<br />
freight forwarding services, GAC Logistics<br />
(Norway) also provides warehousing and<br />
distribution services.<br />
Grundfos and CEVA Logistics have<br />
signed a new contract for spare parts logistics<br />
support. The partnership between<br />
CEVA and the pump manufacturer began<br />
in 2004, and encompassed warehousing<br />
services for the spare parts, handling of<br />
inbound flows into Europe and preparation<br />
of the outbound flows. CEVA’s Site in<br />
Eindhoven, the Netherlands, will continue<br />
to act as the European Distribution Centre<br />
for the spare parts flows to Grundfos’<br />
European and intercontinental customers.<br />
Other news is that CEVA Logistics and<br />
Wärtsilä are expanding their partnership.<br />
CEVA Logistics will manage Wärtsilä’s<br />
new central distribution centre in the<br />
Netherlands. CEVA has been managing<br />
spare parts transportation and deliveries<br />
to Wärtsilä’s European warehouses and<br />
international customers since September<br />
2008. Now it will manage Wärtsilä’s existing<br />
Netherlands warehouse in Zwolle and<br />
assist in planning the new distribution<br />
centre, which is scheduled to be fully on<br />
stream by 2011.<br />
Wallenius Wilhelmsen Logistics (WWL)<br />
opened a flagship European Vehicle<br />
Processing Centre (VPC) in Zeebrugge, Belgium.<br />
The company invested over EUR 8.5<br />
mln to develop two eco-friendly VPC’s. The<br />
new VPC is complemented by a recently<br />
opened facility dedicated to handling high<br />
and heavy ro-ro equipment. The technical<br />
services complex incorporates a biological<br />
water recycling system, extra insulation<br />
and other energy service measures to ensure<br />
its low ecological footprint. The company<br />
assumes that the trading conditions<br />
of Q1 2009 will persist through the rest of<br />
the year, although the recent stabilisation<br />
in express is a welcomed situation.<br />
20 | <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> | 3/2009<br />
Deutsche Post DHL’s profit plunged<br />
Germany’s Deutsche Post DHL reported<br />
that its first quarter operating profit crashed<br />
95% from a year ago mainly due to the cost of<br />
shuttering its U.S. domestic express delivery<br />
service. Deutsche Post CEO Frank Appel said<br />
declines in air and ocean freight volumes caused<br />
by the global economic recession may be bottoming<br />
out. “Our international express shipments<br />
stabilized in March, and April’s figures<br />
seem to point in a similar direction,” Appel said.<br />
“In terms of air freight volumes, we have been<br />
seeing a monthly improvement since January,<br />
and we even experienced an increase in March,<br />
compared with last year in ocean freight.”<br />
“However, momentary developments<br />
should not hide the fact that the shipping<br />
volume still remains far below the previous<br />
year’s level in most areas,” he cautioned.<br />
Deutsche Post said it will likely reach<br />
its target of cutting non-operating costs<br />
by $1.33 billion by the end of 2010, sooner<br />
than planned. It is re-organizing its express<br />
and mail divisions to further cut costs, and<br />
shifting mail shipments from air to ground<br />
Kuehne+Nagel’s cost-cutting program pays off<br />
Photo: Kühne+Nagel<br />
Kuehne+Nagel managed to increase its<br />
sales activities to counteract the recession-related<br />
volume decline by leveraging an effective<br />
cost-cutting program. Compared with<br />
the prior year period, turnover dropped by<br />
19.2% to CHF 4.29 billion in Q1 2009. In the<br />
global sea freight market, the negative trend<br />
from the fourth quarter of 2008 continued,<br />
although K+N gained additional market share<br />
in March. The result was a 13% drop in Q1 volumes,<br />
which was less than the market average.<br />
However, strict cost management enabled the<br />
company to produce an operational result only<br />
4.7% below the one in 2008.<br />
The air freight business was particularly hit<br />
hard by the recession, with the global market<br />
transportation. It may postpone salary increases<br />
and extend working hours.<br />
Express revenue fell by 25.9% to USD 3.3<br />
billion in the first quarter as time-definite<br />
shipments declined by 13.3%.<br />
Due to restructuring costs in the United<br />
States, the express division swung to an operating<br />
loss of USD 521 million from a yearearlier<br />
profit of USD 10.6 million.<br />
Outside the U.S., underlying express earnings<br />
fell to USD 88 mln from USD 305 mln in<br />
the first three months of 2008.<br />
Global freight forwarding revenue<br />
slumped 18.2% to USD 2.55 billion, due<br />
largely to a 26.2% drop in air freight volumes.<br />
Ocean container shipments fell ten percent<br />
compared with a market decline of 16%.<br />
Forwarding and corporate freight earnings<br />
slipped to USD 59.8 million from USD 103.7<br />
million.<br />
Deutsche Post said declines in overall<br />
operating earnings excluding one off items<br />
should be “significantly lower” in the next<br />
three quarters.<br />
dropping more than 20% from the previous<br />
year. Again, strict cost control and substantial<br />
new business gains mitigated an impact on<br />
K+N’s performance. Thus, despite an overall<br />
volume decline of 17.9% compared to the previous<br />
year, the operational result decreased by<br />
only 10.3%.<br />
In the first quarter of 2009, demand in European<br />
road transport weakened further, with<br />
volumes in Germany dropping by 20% in the<br />
first two months of the year. The improved<br />
network capacity utilisation and substantial<br />
cost reduction could not compensate for this<br />
volume decline. The 31.4% increase in gross<br />
profit is primarily due to the consolidation of<br />
the French Alloin Group in the Kuehne+Nagel<br />
Group’s financials from January 1st. The operational<br />
result was 45.5% lower than that of the<br />
prior year period.<br />
Kuehne+Nagel compensated for the continued<br />
decline in the global contract logistics<br />
market with new business, and counteracted<br />
high fixed costs and insufficient warehouse<br />
utilisation through stringent cost management<br />
and workforce reductions. Nevertheless, the<br />
operational result dropped by 21.3%. According<br />
to CEO Reinhard Lange, it is impossible to<br />
predict when the global economy will recover,<br />
therefore K+N will adhere to its dual strategy<br />
of rigorous cost control with a commitment to<br />
market share expansion.
From North to South<br />
Photo: Kühne+Nagel<br />
DB Intermodal now offers its customers a<br />
consistent and cycled intermodal transportation<br />
concept from the Nordic countries via<br />
Germany to southern Italy. “Our customers increasingly<br />
expect solutions that combine costeffectiveness<br />
with environmental protection.<br />
A cry for help<br />
More than 20 chief executives of private<br />
and state-owned European rail freight companies<br />
have proclaimed a joint declaration, urging<br />
the EU and national governments to introduce<br />
concrete measures supporting the railways’ efforts<br />
to cope with the effects of the crisis on<br />
their business. According to the data collected<br />
by the Community of European Railway and<br />
Infrastructure Companies (CER), the economic<br />
downturn has had a major impact on railways<br />
since the last quarter of 2008. Rail freight traffic<br />
in the EU in January 2009 declined by 36%,<br />
compared to the previous year. “Some railways<br />
have only limited investment programs to cut<br />
DB Intermodal CEO Hans-Georg Werner<br />
said: “Our intermodal transportation services<br />
in Europe, with the environmentally friendly<br />
rail transportation as the backbone, provide<br />
the right answer. DB Intermodal helps to<br />
avoid 1.3 mln tons of carbon emissions year<br />
after year, and at the same time, it considerably<br />
improves our customers’ carbon footprint.”<br />
Overall, DB Intermodal provides 500<br />
trains per week on this route and thus transports<br />
roughly 130,000 tons of freight by rail.<br />
Hupac Director Bernhard Kunz commented:<br />
“As one of the leading European operators,<br />
we have developed the link between<br />
Sweden and northern Italy via the Big Belt in<br />
cooperation with DB Intermodal. This provides<br />
a direct link between the Swedish network<br />
and Italy via our Danish gateway Taulov.<br />
The synergies resulting from the cooperation<br />
with DB Intermodal have provided a major<br />
impetus for us to market daily services.”<br />
DB Intermodal produces the services on<br />
the route in close cooperation with the traction<br />
service providers DB Schenker Rail, Green<br />
Cargo, BLS Cargo, RTC and Lokomotion.<br />
and are poorly placed to find new sources of<br />
funding. They are therefore laying off staff. This<br />
could accelerate the vicious circle of decline<br />
that railways, particularly in Central and Eastern<br />
Europe, have experienced over the past few<br />
years.”, said Mr. Johannes Ludewig, CER Executive<br />
Director. The declaration outlines desirable<br />
measures to counter these issues. The first is to<br />
decrease energy prices and track access charges.<br />
The declaration also proposes infrastructure investments<br />
to remove bottlenecks and enhance<br />
infrastructure capacity. Rail companies are also<br />
asking for support to meet the legislative demand<br />
to reduce noise pollution.<br />
See us at<br />
Stand A1-39<br />
Overland<br />
What’s new?<br />
Vladimir Yakunin, President of the Russian<br />
Railways, announced that his company will<br />
invest RUB 2 bln (EUR 46 mln) in developing<br />
new RIC coaches for RZD’s international<br />
routes this year. “This will be the first time<br />
in the history of Russian coach building that<br />
coaches for international routes satisfying all<br />
international requirements and standards<br />
will be made in Russia,” said Mr. Yakunin. The<br />
RIC coaches are to be developed and produced<br />
at the Tver Coach Works. Russian Railways<br />
operates services to 16 European and<br />
Asian countries and provides through trains<br />
and coaches on 61 international routes.<br />
PCC Intermodal S.A. is going public. The<br />
company has published it’s Issue Prospectus<br />
which was approved by the Polish Financial<br />
Supervision Authority. The opening<br />
of the Public Offer is planned on September<br />
2009. The company is going to receive<br />
from the stock-market about PLN 27 mln<br />
(approx. EUR 7 mln) for its development.<br />
PCC Intermodal is systematically increasing<br />
its transport volumes. In 2008 it handled<br />
81.2 thousand TEU, which is 262% more<br />
than one year before.<br />
Despite the plummeting traffic in the fourth<br />
quarter of 2008, combi operator Hupac<br />
maintained a growth of 1.8% and reported<br />
an annual profit of CHF 2.8 mln (EUR 1.84<br />
mln) for 2008. The international exchange of<br />
goods in Europe, which has fallen by more<br />
than 20%, is having a very negative impact<br />
on combined transport. As a result operators<br />
are abandoning unfeasible connections<br />
and the combi network in Europe is thinning<br />
out. Hupac, however, is relying on continuity.<br />
“As one of Europe’s leading combi<br />
operators, we aim to stand our ground even<br />
in the crisis,” emphasized Bernhard Kunz,<br />
MD of Hupac.<br />
3/2009 | <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> | 21
What’s new?<br />
Aviation<br />
Ryanairistoaddtwomoreconnectionsfrom<br />
Gdańsk Lech Wałęsa Airport. The low fare<br />
carrier has decided to fly this summer from<br />
Gdańsk to Bremen and Alicante. According to<br />
Laszlo Tamás from Ryanair, it would be a great<br />
possibility to “face the crisis” and a chance for<br />
325 people from the Pomeranian region to<br />
keep their jobs. The carrier expects to serve<br />
through its six connections over 325 000 passengers<br />
this year from Gdańsk Airport.<br />
Finnair has successfully adopted the<br />
Amadeus Altéa platform. The new generation<br />
technology, which includes inter<br />
alia a departure control system and a multichannel<br />
self-service check-in will definitely<br />
improve the company’s capabilities. “The<br />
migration of our departure control system<br />
is the last step in a strategic project that will<br />
strengthen our business. Our operations<br />
spanning Europe and Asia require systems<br />
that easily and quickly adjust to new market<br />
demands,” says Finnair’s Tom Källström,<br />
VP e-business development.<br />
On 29 April, Air <strong>Baltic</strong> held an international<br />
conference on global trends in the aviation<br />
industry in Riga. The title of the conference<br />
was “Going to the North Hub Riga” and focused<br />
on air traffic in the <strong>Baltic</strong> region and the<br />
development of Riga as an important air traffic<br />
centre. The conference gathered aviation<br />
leaders, government representatives from<br />
the European Union and international media<br />
representatives, who exchanged views and<br />
experiences related to the direction in which<br />
the industry is headed. Subject matters at the<br />
conference were the global trends in the aviation<br />
industry, EU and regional co-operation<br />
in aviation, legislative developments, passenger<br />
flows, airport construction and renewal<br />
in Riga and the exchange of experiences<br />
among airports and airlines. Emphasis was<br />
given to the future of competitive hubs in the<br />
industry, as Riga is being developed as a hub<br />
for the north-eastern region of Europe.<br />
SAS and its partners Lufthansa, Swiss and<br />
Austrian Airlines have secured a procurementcontractwiththeSwedishgovernment<br />
for international travel. The purchasing process<br />
was conducted by the Swedish Armed<br />
Forces Logistics, SWAFLOG, and applies<br />
to all government agencies, departments,<br />
institutes of higher education and universities.<br />
For SAS, the agreement is valued at SEK<br />
190 mln (EUR 18 mln), with a potential for<br />
twice this amount.<br />
22 | <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> | 3/2009<br />
Photo: Kühne+Nagel<br />
The bankrupt’s new clothes<br />
The owners of the now bankrupt airline flyLAL have decided to start a new business outside<br />
Lithuania. Avia Solutions Group, the new aviation company, which in fact has only changed its<br />
name, is now registered in Estonia. The assumption is that the carrier will operate between Estonia<br />
and Europe, Asia and Africa. “It will become our key competitive advantage in the European<br />
region, in Eastern countries and on the global market, which we will focus on from now on,” said<br />
Avia Solutions Group CEO, Linas Dovydenas. According to company information, consolidated<br />
revenues of the group are seen reaching some LTL 400 mln (EUR 115.94 mln) this year. The airline<br />
wants to carry at least 90,000 passengers and gain a profit of more than EEK 1.5 mln (EUR 96,000).<br />
In order to verify these very optimistic expectations, we will have to wait until the end of the year.<br />
Do ”flying giants” conquer the market?<br />
Polet Airlines, one of the most important companies on the air transportation market, specialized<br />
in heavy and oversized cargo, have acquired three new IL-96-400Т. These long range,<br />
wide body aircraft, are new constructions manufactured in Russia. Their declared characteristics<br />
such as fuel efficiency, payload factor, cargo compartment volume make it an attractive product<br />
in most market segments. In particular, the fuel consumption by IL-96-400T is some 30% lower<br />
than the Boeing-747-400F. The cargo hold volume is over 770 cbm. The aircraft have been leased<br />
from Ilyushin Finance Co. and will start to operate in autumn 2009. Furthermore, the aircraft<br />
fleet will be extended by the acquisition of three additional IL-96-400Т aircraft in 2010-2011.<br />
Polet Airlines have acquired their main operation base for regular flights at Munich Airport. It<br />
is planned to operate flights serving the key hubs at different world regions including Europe.<br />
ELFAA protests against rising APD<br />
ELFAA (The European Low Fares Airline Association) in an official statement appealed<br />
to the UK government to limit the tax burden on the industry by removing the Air Passenger<br />
Duty (APD) or, at the very least, scrap the proposed increases in APD that are due to take effect<br />
on 1 November 2009 and 2010. For business class passengers travelling on long-haul flights to<br />
destinations in Asia and Australia, this will mean an increase from the current rate of £80 to<br />
£110 in November this year, and £170 in 2010, a hike of over 110 per cent in two years. Longhaul<br />
economy passengers will be equally as hard hit, by increasing from £40 today, to £60 come<br />
November, and £85 in November 2010. “Taxing transport, which facilitates international trade,<br />
investment and other economic activity, doesn’t make any sense whatsoever at this point of<br />
the economic cycle. Governments throughout Europe have woken up to the fact that aviation<br />
is crucial in pulling us out of the recession,” said John Hanlon, ELFAA Secretary General.
Just one question<br />
Short sea shipping<br />
Still good alternative to road transport?<br />
SSS is an already established form of moving goods in the <strong>Baltic</strong> Sea region and the whole of Europe. It is more reliable than road<br />
transport – but slower. It is more eco-friendly – but not able to deliver door-to-door. The European Union has put a lot of effort to put<br />
the cargo from wheel to keel, but is shipping still a good alternative to road haulage in the current conditions?<br />
2 | <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> | 3/2009<br />
Willy de Decker<br />
Market Prospector<br />
Shortsea Promotion Centre Flanders/Belgium<br />
The mission of the Shortsea Promotion Centre is to include shortsea as a sustainable part in the intermodal transport chain. We are<br />
looking for cooperation and synergy with other transport modes (inland navigation, road and rail). For the past 3-4 years the bigger<br />
road haulier companies have been profiling themselves as “multimodal providers” instead of just roadhauliers, demanding party for<br />
multimodal concepts, i.e. with ro-ro shortsea services, as they also are confronted with congestion on the roads, taxes, Maut, drive/<br />
rest regulations etc. Therefore, the road is definitely not the enemy, but a partner and target group of SSS. The previous strict “modal<br />
shift” required by the European Community has been replaced by “co-modality” where every transport mode in the transport chain<br />
is judged on its own merits.<br />
Markus Heinen<br />
Project Manager<br />
ShortSeaShipping Inland Waterway Promotion Center, Bonn, Germany<br />
The longer the distance and the more voluminous/greater the amount of goods, the more sensible is shortsea transport. The most<br />
important benefits of SSS are a reduction in cost and fixed schedules. Moreover, by using shortsea shipping you shift haulage of<br />
the road and generate capacities for passenger traffic. Road transport is becoming more and more unreliable due to lack of truck<br />
drivers, increasing fuel prices and toll, ban on HGVs driving on Sundays. However, if inventory carry costs are increasingly high,<br />
one has to prefer road transport due to longer durations/transit times. Road haulage cannot be excluded from European supply<br />
chains. A non-discriminating approach of the common carrier is necessary to optimize a transport system, so that one can benefit<br />
from the advantages of each transport mode.<br />
Ulf Sandevärn<br />
Marketing Manager<br />
Port of Karlshamn, Sweden<br />
One of the biggest advantages of short sea shipping is its eco-friendliness, incomparably higher than in the case of the road transport.<br />
Furthermore, the latter is far more vulnerable to various rules and regulations, such as the ban for driving on Sundays as well<br />
as environmental laws. The level of reliability of shipping is, of course, much higher than in case of road transport. The idea of short<br />
sea shipping is in line with the EU philosophy of moving traffic from road to sea; the port of Karlshamn has been strongly supporting<br />
this idea, for example by setting up a joint Motorways of the Sea project together with the port of Klaipėda.
TOC Europe09 ex ad A4 CS:LC2447 TOCAmericas'07 A4 Ad 21/5/09 10:22 Page 1<br />
The Shipping, Ports and Terminals Event for Europe<br />
16-18 June 2009<br />
Bremen Exhibition<br />
& Conference Centre,<br />
Bremen, Germany<br />
Register as a FREE visitor today at<br />
www.tocevents-europe.com/register<br />
If you have any enquiries please contact:<br />
Maria Alm Phone: +44 (0)20 7017 4378 Email: maria.alm@toc-events.com<br />
Organised by: Primary Sponsor:<br />
Sponsors:<br />
“Success<br />
comes to those<br />
who can weather<br />
the storm.”<br />
I Ching No. 3<br />
TOC Europe –<br />
back with a must-see programme<br />
All for FREE<br />
• Over 120 exhibitors - meet with the leading industry suppliers<br />
• Technical Workshops - learn and debate for free for 3 days<br />
• Happy Hour reception - network with the people shaping the future of your industry<br />
Find out more at www.tocevents-europe.com
Maritime<br />
Trends in BSR oil & gas transportation<br />
Where will the lifeblood flow?<br />
Oil and gas continue to be the lifeblood of the world’s economy<br />
and the most often traded resources. In this issue we answer the<br />
question how does its flow influence traffic on the <strong>Baltic</strong> Sea.<br />
The issue of transporting gas and<br />
oil is very complex and definitely<br />
worth a long discussion. Therefore,<br />
Actia Forum organized a<br />
conference dedicated to the topic.<br />
In April, experts, policy makers<br />
as well as business representatives gathered in<br />
Gdańsk at the Trans-Port and Energy <strong>Seminar</strong>,<br />
debating on changes in the global exchange of<br />
energy materials, oil and gas transportation as<br />
well as petrol products logistics.<br />
The total demand for oil in Europe is estimated<br />
to be around 700 mln tons. Due to<br />
the scarcity of this resource in the BSR, 88%<br />
of the demand has to be satisfied by imports.<br />
Over 30% of them come from Russia, which<br />
has always been the greatest exporter of crude<br />
oil in the region. In 2007, its output reached<br />
2 | <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> | 3/2009<br />
490 mln tons; over a half has been exported,<br />
mostly to Europe. In order to reach its destination,<br />
Russian oil can be transported by three<br />
major channels: the Black Sea, the Druzhba<br />
pipeline or the <strong>Baltic</strong> Sea.<br />
By pipe or sea<br />
Historically, Russian oil has been exported<br />
mostly by a cheap and efficient system<br />
of pipelines but recently more pressure has<br />
been put on the development of other means<br />
of distribution. Already 75 mln tons are<br />
shipped every year via the flagship Primorsk<br />
port near St. Petersburg, which is capable of<br />
berthing huge Baltimax tankers. The volume<br />
could be doubled but pipeline capacity to the<br />
port keeps exports constrained. That is why<br />
Russia has taken the decision to build the new<br />
BPS II pipeline, which would connect Unecha<br />
and the recently built port in Ust-Luga.<br />
Transneft, the Russian state-owned business<br />
responsible for national oil pipelines, expects<br />
the construction to finish in the 3rd quarter<br />
of 2012, but other parties doubt their plans<br />
Marek Litka, the Vice-President of PERN<br />
“Przyjaźń” S.A. Management Board, said,<br />
“The Russians are sure they will build this<br />
pipeline, we however, are quite sure they will<br />
not.” Should BPS II be built, it could increase<br />
the volume of oil exported via the <strong>Baltic</strong> Sea<br />
by 30 – 50 mln tons. To further diversify its<br />
export markets Russia is building a pipeline,<br />
which will connect Taishet and Nakhodka. It<br />
is planned to reach a throughput of 80 mln<br />
tons and will open the Pacific market to Russian<br />
oil. The project is partially financed by<br />
a loan granted by the Bank of China and involves<br />
an agreement, which names China as<br />
the preferred buyer of oil. It is scheduled for<br />
completion in December 2009.
Political and environmental threats<br />
These projects would highly increase the<br />
elasticity of Russian oil exports and probably reduce<br />
the significance of the Northern Druzhba<br />
pipeline which is the most important source of<br />
supply for <strong>Poland</strong> and Eastern Germany. This<br />
fact would give Russia not only a higher bargaining<br />
power, but also a possibility to use oil as<br />
a means of political pressure on CEE countries<br />
more efficiently.<br />
Ecological hazards are also involved. Liquid<br />
cargos contribute 44% of the total maritime<br />
transport in the BSR. An increase in volumes exported<br />
via the <strong>Baltic</strong> Sea by 30-50 mln tons would<br />
result in greater traffic. We also have to bear in<br />
mind that shifting oil exports from the Northern<br />
Druzhba pipeline would force Polish companies<br />
to seek other sources of supply and in turn result<br />
in a substantial increase (even by 20 mln tons)<br />
in volumes handled at Naftoport in Gdańsk. This<br />
would add to the congestion in the <strong>Baltic</strong>. “On<br />
average, two large tankers leave Primorsk every<br />
day. More ships on the <strong>Baltic</strong> Sea could lead to an<br />
environmental catastrophe,” concluded Litka.<br />
Liquid Natural Gas<br />
Another resource about to get seaborne in<br />
the BSR is natural gas. Recent disruptions in<br />
the delivery of Russian gas have forced CEE<br />
countries to consider other sources of supply.<br />
LNG is the answer to this problem as it can<br />
easily be transported by sea. Today Europe<br />
imports 90% of its natural gas from Norway,<br />
Algeria and Russia, but LNG projects will open<br />
our market to other producers. Although due<br />
to the high cost of transport LNG continues to<br />
be a lot more expensive than pipeline gas, diversification<br />
of supply seems to be worth the<br />
price. Already several BSR countries are planning<br />
to build gas terminals in their ports.<br />
The Świnoujście LNG Terminal in <strong>Poland</strong>,<br />
which is an answer to the Nord Stream pipeline<br />
built by Russia and Germany, is scheduled<br />
for completion in 2014. This project has<br />
a very long history. The terminal was initially<br />
planned to be placed in Gdańsk but a feasibility<br />
study performed in January 2007 revealed<br />
that Świnoujście is a much better location.<br />
The key factor that led to this conclusion was<br />
time. It turned out that legal issues connected<br />
with obtaining land for the terminal in Gdańsk<br />
would cause unacceptable delays. The project<br />
has the full support of the Polish government<br />
and the parliament has adopted a special act<br />
to shorten the time of its construction. “This<br />
will be a completely new port,” says Sławomir<br />
Nitras, a member of the Parliamentary Committee<br />
of the Treasury. “The Prime Minister<br />
Maritime<br />
welcomed the idea of building not one, but six<br />
gas receiving posts”.<br />
Sweden is also building its own LNG terminal<br />
in Nynäshamn near Stockholm. It is going<br />
to be constructed by NCC Construction<br />
Sweden AB. The terminal will be the first of its<br />
type in the country and will facilitate the utilization<br />
of natural gas in Central Sweden. The<br />
natural gas will replace petroleum for city-gas<br />
production in Stockholm and the Nynäs refinery<br />
will use the natural gas in its production<br />
of hydrogen gas. The total value of the project,<br />
which includes the construction of an LNG<br />
tank awarded to Cryo AB, will be about SEK<br />
275 mln (EUR 26.3 mln). It is scheduled for<br />
completion in May 2011.<br />
In the next few years we will probably observe<br />
a significant increase in oil and gas transportation<br />
on the <strong>Baltic</strong> Sea. Russia’s efforts to<br />
diversify its export markets and its well-known<br />
practices of using oil and gas as a tool of political<br />
influence will force the CEE countries to<br />
seek other sources of supply. Most of them will<br />
have no other option but to import these resources<br />
by sea. The growing popularity of LNG<br />
will add further ships to the overall traffic. The<br />
question is, how much more traffic can the <strong>Baltic</strong><br />
Sea take?<br />
Błażej Mykowski<br />
3/2009 | <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> | 2
<strong>Baltic</strong> Master II<br />
From vision to action<br />
The <strong>Baltic</strong> Sea’s natural environment is fragile due to the limited<br />
water flow from the Atlantic and subsequent slow water exchange.<br />
The impact of an oil spill could be disastrous and it is safe to assume<br />
the coastal and local regions will be most heavily impacted.<br />
With this assumption in mind, it seems most appropriate to consider<br />
these issues also from a local and regional perspective.<br />
Photo: Swedish Civil Contingencies Agency<br />
Maritime<br />
In 2005, the <strong>Baltic</strong> Sea was officially<br />
announced as a Particularly Sensitive<br />
Sea Area (PSSA), an area that needs<br />
special protection through the action<br />
of IMO (International Maritime Organisation)<br />
and is prone to damage by<br />
international maritime activities which may<br />
influence various socioeconomic and environmental<br />
aspects of <strong>Baltic</strong> life.<br />
The predecessor…<br />
All these aspects were analysed in the international,<br />
EU-funded project <strong>Baltic</strong> Master<br />
which was completed in 2007. The project delivered,<br />
among other results, the <strong>Baltic</strong> Master<br />
Action Plan. It describes measures for a safe and<br />
clean <strong>Baltic</strong> Sea and contains recommendations<br />
such as proactive on-land contingency planning,<br />
enforcement of current safety regulations<br />
and development potentials of coastal management.<br />
The significance of the <strong>Baltic</strong> Master<br />
project was recognized by the Commitee of Regions<br />
and Parliament Review as it received the<br />
European Champion Award for the best European<br />
Maritime Project in 2007.<br />
…and the follow-up<br />
The project results indicated that further<br />
actions were necessary and accordingly,<br />
2 | <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> | 3/2009<br />
a follow-up project was formed – <strong>Baltic</strong> Master<br />
II – with the goal of continuing development<br />
of the issues started in the first project, and to<br />
go from vision to action.<br />
The overall aim of the <strong>Baltic</strong> Master II<br />
project is to improve the land-based response<br />
capacity to oil spills originating in the <strong>Baltic</strong><br />
Sea, as well as to enhance the prevention of<br />
pollution from maritime transport.<br />
The project is divided into four work packages.<br />
As Lead Partner, Swedish Region Blekinge<br />
acts as project secretariat and manages work<br />
packages one and two facilitating all project<br />
management and communication issues. Apart<br />
from project management, the secretariat also<br />
coordinates strategic cooperation with other<br />
projects, organizations, and activities to maintain<br />
political commitment. The aim of communication<br />
is to disseminate information relating<br />
to project results and activities as well as to encourage<br />
participation and involvement within<br />
the project.<br />
Work Package Three (WP3), led by the<br />
World Maritime University in Malmö, focuses<br />
on oil-spill preparedness, response and coastal<br />
management linked to contingency planning.<br />
Work Package Four (WP4), led by the Maritime<br />
Institute in Gdansk, includes several tasks<br />
which aim at preventing pollution caused by<br />
maritime traffic. WP4 will primarily focus on<br />
the existing legal framework regulating maritime<br />
transport in the <strong>Baltic</strong> Sea. It will also propose<br />
concrete measures that, when implemented, may<br />
improve maritime safety.<br />
The anticipated results from the <strong>Baltic</strong> Master<br />
II project are: a best practice report including<br />
a checklist for oil contingency planning, several<br />
local and regional oil contingency plans, a scenario<br />
exercise CD for exercising oil contingency<br />
plans, recommendations for how to integrate<br />
coastal management into contingency planning,<br />
recommendations for improved and harmonized<br />
waste management onboard and in ports,<br />
a research brief, assessing maritime conventions,<br />
a management plan for reduced pollution from<br />
maritime traffic, and, finally yet importantly, a<br />
political vision for the <strong>Baltic</strong> Sea, based on the<br />
project results.<br />
The project brings together partners from a<br />
wide range of backgrounds; local, regional and<br />
national authorities, research institutions, universities<br />
and pan-<strong>Baltic</strong> organisations. Providing<br />
a link between the local and regional level to the<br />
national level is a vital task of the project aiming<br />
to combine practical knowledge with strategic<br />
work. <strong>Baltic</strong> Master II puts a significant effort<br />
into developing concrete solutions to the environmental<br />
safety problems in the <strong>Baltic</strong> Sea.<br />
<strong>Baltic</strong> Master II facts and figures:<br />
• Project period: Jan. 2009-Jan. 2012<br />
• 48 organisations in the partnership from<br />
all countries surrounding the <strong>Baltic</strong> Sea<br />
• The project budget is approximately<br />
EUR 4 million<br />
• The project is partly financed by the European<br />
Union, <strong>Baltic</strong> Sea Region Programme<br />
Read more about the project, current maritime<br />
safety news and register to receive the<br />
project newsletter at: www.balticmaster.org.<br />
Part-financed by the European Union
Photo: PCC Port Szczecin<br />
<strong>Baltic</strong> <strong>Transport</strong><br />
b ibm i mo no tnh tlhy l-yd -ad ial y i l y c oc mo mp ap na ino ino n<br />
<strong>Journal</strong><br />
Behind the ports<br />
Success through synergy .............................................................................................. 30<br />
Railways supporting the ports .................................................................................... 32<br />
3/2009 | <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> | 2
Report<br />
Freight villages in Germany<br />
Success through synergy<br />
As the logistics business started to develop dynamically<br />
in the 1970s, a tendency to move out<br />
of the city centres could be observed. At the same<br />
time, in order to enhance their competitiveness<br />
and the spectrum of services offered, ports started<br />
to invest in their logistics facilities. Looking at<br />
those two tendencies now, it is easy to say that<br />
the creation and development of freight villages<br />
was the next logical step to undertake.<br />
Photo: PCC Port Szczecin<br />
The term ‘freight village’ usually appears surrounded by<br />
the adjectives: co-modal, multi-modal or intermodal. In<br />
fact, one of its most important features is a combination<br />
of various modes of transport and logistics services. The<br />
most advanced FVs offer a wide range of amenities, from<br />
container and ro-ro facilities to rail sidings and warehousing<br />
opportunities. This is the main idea: creating a commercial area in<br />
which both transport-oriented companies and logistics service providers<br />
as well as logistics-intensive trade and production enterprises can<br />
find their place. Such a freight village, in unison with the intermodality<br />
rule, should offer at least two modes of transport (in particular road and<br />
rail). And all this lies in the hands of a local manager, whose basic role is<br />
to initiate cooperation among the companies involved.<br />
Altogether, freight villages are transport and logistics or, to be more<br />
specific, freight-related clusters, aiming at the highest levels of competitiveness<br />
and attractiveness. This goal ought to be achieved in line with<br />
the basic economic law, saying that the effect of synergy can be more<br />
easily achieved by cooperation instead of competition. A freight village<br />
0 | <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> | 3/2009<br />
can provide a very wide offer which could not be available by a single<br />
company. It is a mixture of cooperation between the enterprises, master<br />
planning, high quality settings, location near cities as well as a broad<br />
scope of related and supporting services. These can also include vehicle<br />
service, repair and leasing or even employment agencies, training facilities<br />
and insurance companies.<br />
Pros and cons<br />
The advantages of freight villages are numerous. Taking into consideration<br />
the benefits to businesses, it is obligatory to mention the market<br />
proximity. Everything is there, in one place, which not only saves the<br />
potential customers’ time and money, but also ensures the safety and<br />
efficiency of the service. Access to multimodal transport is another important<br />
factor.<br />
There are a number of public benefits of freight villages as well. FVs<br />
certainly are centres of growth, providing jobs and restoring lands to tax<br />
roles. Furthermore, a concentration of companies relieves congestion;<br />
not to forget the esthetical factor – instead of warehousing sites and<br />
factories scattered in the whole city, there is one modern freight village<br />
in the city’s neighbourhood.<br />
There is, however, a bitter drop in this sweet ocean of positive aspects<br />
of freight villages. There have been voices, also from Brussels, negatively<br />
evaluating the top-down planning, typical for clusters in general,<br />
and FVs among them. It was also said that decisions made in a cluster<br />
are not market-based and as such cannot be truly beneficial to the actors<br />
involved. Moreover, the EU has pointed out that the aim of consolidation<br />
is not always achieved, which can lead to abandoning the goal of<br />
cooperation instead of competition.<br />
How they did it in Germany<br />
Certainly, there is no ideal model – neither in terms of achieving<br />
100% of the goals, nor when considering a benchmark suitable for everyone.<br />
“We’re not even looking for one,” says Steffen Nestler, Managing<br />
Director, Deutsche GVZ Gesellschaft. “It is obvious that the freight villages<br />
differ not only nationally, but also regionally, depending on the<br />
relations with the local and regional authorities as well as their development<br />
stage.”<br />
Steffen Nestler and Thomas Nobel were the ones who came up with<br />
the idea of coordinating the work of freight villages in Germany in the<br />
1990s. The German model was SME-oriented, however constructed in a<br />
way which enabled it to develop according to the market’s needs. After<br />
over ten years of functioning of FVs, Thomas Nobel claims the yardstick<br />
has remained the same: strong cooperation aimed at achieving the effect<br />
of scale and focus on linking logistics centres with various modes of<br />
transport. Nevertheless, over the course of the evolution, freight villages<br />
in Germany extended their activity and opened up, among other things,<br />
to the real estate and warehousing business. Currently, approximately<br />
1,300 enterprises are active in German freight villages, employing about<br />
45,000 people.<br />
Where does the source of success lay? Steffen Nestler names the following<br />
advantages of FVs as the most important success features:<br />
– attitude to logistics as an economic factor (diversification of production<br />
processes and outsourcing tendencies in manufacturing
and trade, enabling medium-sized companies to cope with the market<br />
requirements through cooperation with suitable partners, sufficient<br />
infrastructure and suprastructure as well as consolidation of<br />
logistics know-how and possible 24/7 operational availability);<br />
– a trend towards intermodality (the option of alternative transport<br />
modes ought to improve entrepreneurial flexibility and guarantees<br />
the quality of logistics services; moreover, the high logistics affinity<br />
of road haulage is effectively combined with the advantages of other<br />
transport modes);<br />
– advantage through synergies (direct cost savings thanks to cooperative<br />
purchase and pooling of resources, support from the FV<br />
management for the tenant companies implementing new service<br />
product ideas);<br />
– networking of logistics structures (both on a national and international<br />
level).<br />
A safe umbrella<br />
What distinguishes Germany from other countries where FVs are<br />
present is the density of the network and the high level of cooperation<br />
between them. The entity which has played a significant role in achieving<br />
that is DGG – Deutsche Güterverkehrszentren-Gesellschaft, an umbrella<br />
organization coordinating the work of the freight villages. Founded<br />
in 1993, DGG not only initiates and coordinates common projects, but<br />
also acts as an external representative of the actors involved in the FVs.<br />
Moreover, it is aiming at transferring the positive effects which freight<br />
villages generate on the local and regional level to the national and European<br />
level. Typical fields of collaboration are: intermodal transport<br />
(new transport chains between FVs), implementation of a logistics-oriented<br />
service spectrum in the FVs, intensification of location marketing<br />
and harmonisation of service standards as well as creating sustainable<br />
models for the development and operation of FVs.<br />
As DGG is also involved in consulting in the area of transport and<br />
logistics, it has conducted several projects dealing with freight villages in<br />
other countries. One of them is the “EU-<strong>Baltic</strong> Tangent” aimed at building<br />
a FV network in the <strong>Baltic</strong> Sea region. However, the highest hopes<br />
and biggest expectations are bound to the GVZ Masterplan, whose preparing<br />
DGG took part in as well. Conducted in the German Federal<br />
Ministry of <strong>Transport</strong>, Building and Urban Affairs, the document is a<br />
limestone of the current transport policy in Germany. Regarding freight<br />
villages, the following measures should be noted:<br />
– “Avoiding unnecessary journeys – ensuring mobility” (which supports<br />
investments in innovative and capacity-enhancing technologies<br />
as well as urban logistics initiatives)<br />
– “Shifting more traffic to the railways and inland waterways” (where<br />
combined transport is promoted)<br />
– “Further measures to make Germany even more attractive as a centre<br />
for logistics” (where freight transport and logistics as well as promotion<br />
of them are of high priority).<br />
Implementation of the Masterplan can certainly be included in the<br />
list of accomplishments. Has any failure occurred over the past ten years?<br />
Thomas Nobel names a far-fetched telematics project – an IT platform<br />
with various offers for and from freight villages. The DGG Managing<br />
Director is, however, optimistic about the future of the project. “It may<br />
be distant now, but some day a well-developed IT infrastructure will be<br />
the standard for every freight village in Germany”, he says.<br />
And the winner is…<br />
As it has already been stated, the level of performance differs significantly<br />
between freight villages. Since 2004, the leader of the ranking<br />
remains GVZ Bremen, leaving its competitors far behind (see Table 1).<br />
Report<br />
The high level of marketing, job creation and protection as well as the<br />
manifold activities of GVZ Bremen play a decisive role in this context.<br />
This leads to a continuation of the very successful development of the<br />
increasing competition between the FV locations. According to Thomas<br />
Nobel, the freight village in Bremen probably belongs to the “Top 10<br />
FVs”, not only in Germany, but in the whole of Europe.<br />
“We remain at the highest position in the ranking, because we offer<br />
a high level of competence in logistics and practical know-how for<br />
the freight village,” says Michael Moehlmann, the Managing Director<br />
of GVZ Bremen. The north German freight village focuses its offer on<br />
logistics-intensive wholesale and production in the area of the food<br />
industry. Founded in 1985, it was the first operating freight village in<br />
Germany. In an area of 360 ha, it employs around 5,500 people working<br />
in 135 companies.<br />
The level of public investments, since GVZ Bremen was founded,<br />
has achieved a level of approximately EUR 180 mln, whereas private<br />
entities invested about EUR 200 mln.<br />
Other interesting examples of freight villages adjacent to seaports<br />
include GVZ Hamburg and GVZ Kiel. This is, however, material for<br />
another story…<br />
Martyna Bildziukiewicz<br />
Tab. 1 “TOP 10” German freight villages 2007<br />
Position Freight Village Position 2004 Total performance<br />
(max<br />
300)<br />
1 Bremen 1 280<br />
2 Nürnberg 6 265<br />
3 Berlin-Süd 3 257<br />
4 Leipzig 5 255<br />
5 Dresden 11 243<br />
6 Emsland 12 241<br />
7 Regensburg 2 238<br />
8 Berlin-West 4 236<br />
9 Herne 9 233<br />
10<br />
Source: DGG.<br />
Trier 8 226<br />
3/2009 | <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> | 1
Report<br />
Rail container transport in the BSR<br />
Railways supporting the ports<br />
Proper functioning of the maritime container<br />
transport in the <strong>Baltic</strong> Sea region is strictly dependent<br />
on the development of a national transport<br />
system and its performance. A majority of<br />
the container hinterland traffic is served by road<br />
haulage. The road infrastructure underdevelopment<br />
of the East European countries and the<br />
increasing focus on environmental issues in the<br />
whole EU make rail transport the perfect solution<br />
for container seaports’ services.<br />
Regular container shipping lines need conventional land<br />
connections. Block container trains are the only way to<br />
ensure fast and effective hinterland connections. Total<br />
European traffic (when we take into account all members<br />
of UIRR, the International Union of Combined Road-Rail<br />
<strong>Transport</strong> Companies) of rail intermodal transport in<br />
2008 achieved a level of 2,937 ITU (Intermodal <strong>Transport</strong> Unit).<br />
2 | <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> | 3/2009<br />
Becoming popular…<br />
A significant rise of activity in rail container traffic is shown by JSC<br />
TransContainer, an affiliated company of the Russian Railways (RZD).<br />
In 2008, TransContainer transported 1.5 mln TEU on the fitting platforms<br />
which cover 60% of the total container transit in Russia. According<br />
to the latest information, TransContainer handled 300,000 TEU of<br />
regional and global container volumes carried on container flat cars in<br />
Q1 2009 – 12% down, compared to the same period last year. The other<br />
Russian rail container operators carried 145,000 TEU on container flat<br />
cars, down 36% from last year’s figure. TransContainer is also engaged<br />
in numerous services in Finland and Latvia. Scheduled seaports container<br />
rail connections with a share in TransContainer are: St. Petersburg-Moscow;<br />
Tallinn-Moscow (a joint initiative by TransContainer<br />
and Estonian Railways AS); Riga-Moscow (operated by TransContainer<br />
and Latvian Railways (LDz Cargo) and St. Petersburg-Finland (operated<br />
by Oy ContainerTrans Scandinavia Ltd., initiative TransContainer<br />
and VR-Cargo).<br />
Polish examples of rail container transport are the services provided<br />
by PKP Cargo SA and PCC Intermodal. PKP Cargo SA is part of<br />
the national Polish Railways with a strong market position. In 2008,<br />
the company transported a volume of 628,400 TEU (annual growth
Photo: PCC Port Szczecin<br />
22.7%). About 18% of this traffic was to/from Polish seaports. The<br />
railways operate about 20 block container trains per day. The company<br />
cooperates with such operators as ICF, Polzug, European Rail<br />
Shuttle, Hupac, Eurolog, Kombiverkehr and Kühne&Nagel. PCC<br />
Intermodal, a private company, renders services from the following<br />
seaports: Gdańsk/Gdynia, Bremen/Bremerhaven and Rotterdam. In<br />
2008, PCC Intermodal transported over 47,600 containers (over 81.2<br />
thou. TEU). What is more, CTL Logistics, the main private rail carrier<br />
in <strong>Poland</strong>, also has the ambition to become a major player on the<br />
Polish rail container market.<br />
A wide offer of seaports’ hinterland container services is also<br />
available in Sweden. For instance, 25 shuttle container trains are operating<br />
from Göteborg. The service is rendered by such companies<br />
Report<br />
like Green Cargo, Intercontainer, Mid Cargo, CST <strong>Transport</strong> and<br />
ERS Railways. The total turnover of rail traffic achieved a level of<br />
342 thou. TEU in 2008. That means that 40% of the total seaport<br />
traffic was transferred by trains.<br />
…and specialized<br />
The container train connections offered by ‘Viking’ is another<br />
interesting initiative. The combined ‘Viking’ train is a joint project<br />
of the Lithuanian, Belarusian and Ukrainian railways, seaport cargo<br />
companies, and the Klaipėda, Ilyichevsk and Odessa seaports. The<br />
train carries containers as well as semi-trailers and trailer-trains<br />
(contrailers). It operates on the route from Klaipėda to Ukraine, Belarus,<br />
the Near East and Caucasus.<br />
Combined shuttle trains, served containers, swap-bodies and<br />
trailers also operate from the German <strong>Baltic</strong> seaports of Lübeck and<br />
Rostock. In the first case, the rail network consists of 11 destinations<br />
and 61 trains per week. Long distance connections reach Verona in<br />
Italy. In Rostock, 25 combined trains per week are offered. They connect<br />
the seaport with the hinterland territory of Germany, Switzerland,<br />
Austria and Italy.<br />
The examples of rail containers’ activities on the <strong>Baltic</strong> seaports<br />
hinterland presented above could be regarded as energy-efficient and<br />
an environmentally friendly way to serve the flow of <strong>Baltic</strong> boxes. It<br />
should be believed that the share of rail container traffic will grow, at<br />
the expense of road haulage.<br />
dr Maciej Matczak<br />
Actia Consulting/Actia Forum Ltd<br />
3/2009 | <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> |
The Port of Stralsund<br />
The Hanseatic spirit<br />
Walking along the streets of the German city of Stralsund, one can still feel the spirit of the<br />
Hanseatic city. Some even say that the tradition of being one of the major long-distance ports in<br />
northern Europe in the Middle Ages is the reason for the port’s logistic success now.<br />
Photo: The Port of Stralsund<br />
According to Sören Jurrat,<br />
Marketing and Sales Director<br />
of the Seaport of Stralsund,<br />
the harbour is now an efficient<br />
and attractive logistics<br />
centre. Naturally, the port’s<br />
location on the <strong>Baltic</strong> coast of western Pomerania<br />
influences to some extent the main directions<br />
of foreign exchange. However, apart<br />
from Norway, Sweden (gypsum, limestone,<br />
building materials), Finland (steel, scrap) and<br />
Denmark, one of its most important partners<br />
is the United Kingdom, from which steel<br />
plates are imported and where agricultural<br />
products are being shipped.<br />
In search for…<br />
The port is owned by SWS Seehafen Stralsund<br />
GmbH. The company’s target is the<br />
| <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> | 3/2009<br />
processing and manufacturing industry, for<br />
which the port offers a high level of logistics services.<br />
In addition to the logistical and infrastructural<br />
facilities, the goods and services available<br />
from local companies are also a major attraction.<br />
Subsidies and a well-educated and trained workforce<br />
are further arguments favouring locating<br />
in Stralsund. Access to the European system of<br />
inland waterways is also worth mentioning.<br />
Apart from the abovementioned advantages<br />
of the port, let us present you with some<br />
basic data. The port’s quay length is 2,300 m,<br />
on which 25 berths of a 7.5 m depth are located.<br />
The port spreads over an area of 85 ha<br />
(including water). The covered storage goes<br />
as far as 3,000 m², whereas the open storage<br />
covers 50,000 m². The port’s silo capacity comprises<br />
30,000 t.<br />
Seehafen Stralsund focuses on conventional<br />
cargo handling, especially metals,<br />
steel plates and steel bars for the German<br />
and European shipbuilding industry, in cooperation<br />
with its sandblasting facility inside<br />
the port. Over 200,000 tons of steel for<br />
German shipyards is handled and processed<br />
yearly. Furthermore, the port provides modern<br />
equipment for dry bulk (building materials,<br />
agricultural products, gypsum and<br />
limestone). Another landmark is the logistics<br />
service for East German power stations, the<br />
construction industry and export as well as<br />
import of agricultural goods.<br />
“The key in our philosophy is the universality<br />
– in harmony with high quality standards,<br />
flexibility and long-term experience in<br />
stowage and warehousing,” says Sören Jurrat.<br />
In fact, apart from cargo handling, the Port<br />
of Stralsund is slowly becoming an important<br />
destination for cruise shipping. The<br />
development of this activity gathered pace
in 2002, when the Old Town of Stralsund<br />
was recognised as a world heritage site. At<br />
the moment, the seaport is the most heavily<br />
frequented harbour for river cruise liners<br />
in Germany. Famous lines (Peter Deilmann,<br />
Scylla Tours and SeaChef Cruises, CroisiEurope,<br />
Viking Croiséres) use it as the base for<br />
their tours through the unique canal and<br />
shoreline waters of Brandenburg and Mecklenburg-Vorpommern.<br />
Four in one<br />
The port comprises four main harbours,<br />
each of which has its own destination and field<br />
of specialisation. In the City Port (Stadthafen),<br />
berths for cruise liners, boat tours, authority<br />
vessels and traditional sailing boats can be<br />
found. In the summer the port is a basis for<br />
famous shipowners of the river cruise lines.<br />
An important advantage is its location in the<br />
vicinity of the historical old town.<br />
Classic handling areas for grain, deep-frozen<br />
goods and scrap can be found in Nordhafen<br />
– The North Port. A service for power stations<br />
is going to be provided there as well. The<br />
shipment of grain and the discharge of gypsum<br />
is made possible thanks to the special plants.<br />
The South Port (Südhafen) attracts the<br />
steel industry with a terminal dedicated for<br />
handling, blasting and plimering plates and<br />
sectional steel. According to the port’s management,<br />
almost all suppliers or shipbuilding<br />
enterprises of the Mecklenburg-Vorpommern<br />
region are customers of this terminal. Another<br />
attractive facility offered here is a logistics<br />
centre for export and import of agricultural<br />
Transhipment in the seaport of Stralsund<br />
BULK GOODS construction materials<br />
GENERAL<br />
CARGO<br />
gypsum<br />
fertilisers<br />
grain<br />
chemical products<br />
chalk<br />
a special bulk handling<br />
installation for unloading<br />
of goods wagons<br />
project cargo<br />
refrigerated goods<br />
timber<br />
METALS steel plates<br />
section steel<br />
coils<br />
wires<br />
STORAGE open and roofed stock<br />
grounds<br />
CANAL<br />
SHIPPING<br />
Europe-wide inland<br />
navigation<br />
despatch of cruise<br />
liners<br />
LOGISTICS Customer tailored and<br />
to (almost) all destinations<br />
by all means of<br />
transport<br />
COMMISSION-<br />
ING<br />
weighing<br />
palletising<br />
sorting<br />
Annual <strong>Baltic</strong> Ports Conference and<br />
12 th BPO General Assembly in Aarhus<br />
Photo: The Port of Aarhus<br />
goods, handling of scrap, building material<br />
and project cargo.<br />
Last but not least, the Franken Port (Frankenhafen)<br />
aims at attracting the production<br />
industries. The port’s berths are dedicated to<br />
the seaside development of the Port Extension<br />
and Commercial Area “Franzenshöhe Maritime<br />
Business Park”. As Mr Jurrat said, further<br />
extension of Franken Port is currently being<br />
discussed with the transport ministry of the<br />
Mecklenburg-Vorpommern region. However,<br />
the details of the idea remain a mystery.<br />
Getting better<br />
Significant investments in the port’s equipment<br />
as well as the local infrastructure, such<br />
as expanding the southern harbour, building<br />
the new Franken harbour, connecting the port<br />
to the A20 motorway via the Stralsund bypass<br />
and the new Ruegen bridge, which came<br />
into use in October 2007, have made Seehafen<br />
Stralsund’s location very attractive to business<br />
and tourism.<br />
Hinterland connections are of big importance<br />
to the port. Therefore, in order to enhance<br />
the rail-bounded pre-and post carriage,<br />
1,000 m of tracks have been laid in the South<br />
Port, whereof 500 m are close to the quay.<br />
The port’s condition can best be summarized<br />
by quoting Sören Jurrat once again, “We<br />
are a good example of how a port can benefit<br />
from its relatively minor size. It enables us to<br />
deliver reliable tailor-made services, combined<br />
with a high level of quality and flexibility.”<br />
Martyna Bildziukiewicz<br />
The Annual <strong>Baltic</strong> Ports Conference is<br />
the most important event for BPO members<br />
as well as an opportunity to get together.<br />
Previously the host of the event was<br />
the Port of Lübeck, now the duties of the<br />
co-organizer are taken over by the Port of<br />
Aarhus.<br />
This year’s <strong>Baltic</strong> Ports Conference will<br />
be held 3 rd -4 th of September in the Aarhus<br />
Concert Hall. The main theme of the conference<br />
is the global economic slowdown.<br />
Participants will take a close look at the<br />
downturn’s impact on shipping and ports<br />
as well as discuss the challenges this situation<br />
brings.<br />
The event will gather not only top executives<br />
from all major <strong>Baltic</strong> ports, but<br />
also politicians and academia, as well as<br />
transport sector and media representatives.<br />
Around 70-100 participants are expected to<br />
take part.<br />
For more information, please follow the<br />
updates on www.bpoports.com or contact the<br />
BPO Secretariat at bpo.office@actiaforum.pl.<br />
BALTIC PORTS ORGANIZATION • Secretariat Office – Actia Forum Ltd.<br />
ul. Pułaskiego 8, 81-368 Gdynia, POLAND, ph.: +48 58 627 24 67, fax: +48 58 627 24 27,<br />
e-mail: bpo.office@actiaforum.pl, bpo.sg@actiaforum.pl, http://www.bpoports.com<br />
3/2009 | <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> |
<strong>Baltic</strong> shipyards<br />
Photo: Fesco <strong>Transport</strong> Group Focus<br />
Not a sinking trade<br />
A revolution in ownership, falling and delayed production, growing losses and financial turbulences<br />
marked the year of 2008. The year 2009 has started with closures, order cancellations, backlogs and<br />
announcements of redundancies. The <strong>Baltic</strong> shipyards are in an eye of world crisis and the future is<br />
uncertain. Therefore, we will not forecast the events in the coming years. Let us concentrate on ‘hard’<br />
and often unknown figures and discover the facts behind the headlines.<br />
In 2008, 19 <strong>Baltic</strong> shipyards delivered 75 seagoing vessels over GT<br />
1,000 each (Table 1). The total gross tonnage was 2,312 thousand<br />
which means 3.8% of world production. Five <strong>Baltic</strong> countries<br />
contributed to those numbers, three with the whole output<br />
of tonnage (Table 2). However, the hierarchy changes if we take<br />
compensated gross tonnage into account (CGT – a statistical<br />
tool developed in order to enable a more accurate macro-economic<br />
evaluation of the shipbuilding workload than is possible on a pure gross<br />
tonnage (GT) basis).<br />
Production in Denmark, Germany and <strong>Poland</strong> was dominated by<br />
container ships and in the case of the latter – also by car carriers. As<br />
Table 3 shows, 65% of the <strong>Baltic</strong>-made tonnage belongs to the two<br />
simplest types of ships characterized by a CGT workload factor below<br />
20. A low CGT factor also means a low added value. For comparison<br />
– in 2007 the share of containerships and car carriers in world<br />
shipbuilding amounted only to 29%. It is worth noting that <strong>Baltic</strong><br />
continued on page 38<br />
2/2009 | <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> |
Focus<br />
shipyards in 2008 did not produce ships with the highest workload<br />
factors – chemical tankers (CGT factor 84) and LPG carriers (factor<br />
62). Oil tankers accounted only 2.5% of the <strong>Baltic</strong> output, while they<br />
are one third for the world. Those facts disclose partly the reasons of<br />
some economic phenomena, including the latest takeovers – Polish<br />
shipyards, except Finnish and Russian, made mostly air surrounded<br />
by steel which means they meet the full fury of the Asian competition.<br />
It is killing the companies that are not able to turn their heading. The<br />
two largest <strong>Baltic</strong> shipyards – in Odense and Gdynia – are also the<br />
biggest losers. In Odense the Lindøværft’s result for 2008 amounted<br />
to a deficit of DKK 562 mln (EUR 76 mln) with a turnover of DKK<br />
5157 mln (EUR 692 mln); Gdynia’s loss came to PLN 137 mln (EUR<br />
33 mln), with a turnover of PLN 1058 mln (EUR 257 mln).<br />
Behind the shadow<br />
An additional and important contribution to the <strong>Baltic</strong> Sea region<br />
is being made by partly outfitted hulls (in 2008 at least 40 hulls<br />
were towed to Norwegian and Dutch yards) and blocks, superstructures<br />
and other parts of ships. Thanks to statistics oriented to the<br />
final product, we often forget that nowadays shipbuilding is strongly<br />
outsourced and therefore <strong>Baltic</strong> region is a backbase for many Western<br />
and even <strong>Baltic</strong> shipyards. Therefore, our list of production yards<br />
should be lengthened by 15 enterprises which we can call “block<br />
and/or hull factories”. The largest one, Baltija Shipyard in Klaipėda,<br />
processed over 50,000 tons of steel into blocks and superstructures<br />
in 2008 alone; the second on our list, Loksa in Estonia, consumed<br />
about 40,000 tons, of which 15,000 were used for hatch covers (both<br />
belong to Odense Staalskibsværft A/S, which is a subsidiary of the<br />
A.P. Møller-Maersk concern). Such kind of production is important<br />
also for many repair yards; i.e. in 2008 the Riga Shipyard delivered<br />
11 hulls. The highest concentration of “block/hull factories” is in<br />
Gdańsk, where 10 companies live only or mostly off this business,<br />
processing about 100,000 tons of steel and 4,000 tons of aluminium<br />
per year. Total output of the <strong>Baltic</strong> support sector amounted to<br />
250,000 tons of metal. Taking into account that a typical coaster includes<br />
less than 1,000 tons of steel, whereas 5,000 tons is needed for<br />
a medium-sized oceangoing vessel, we can imagine the importance<br />
of that “shadow” industry for European shipbuilding.<br />
Additionally, two old “delisted” shipyards should be mentioned<br />
because of their floating products. Neptun Werft from Rostock<br />
Photo: Magemar Polska<br />
| <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> | 3/2009<br />
Table 1. <strong>Baltic</strong> shipyards building over GT 1,000<br />
Shipyard Country<br />
Odense<br />
Lindøværft<br />
Number<br />
of ships<br />
Gross tonnage<br />
Denmark 5 563,800<br />
Gdynia <strong>Poland</strong> 7 352,680<br />
Wadan* Germany 14 284,374<br />
Volkswerft Germany 9 233,100<br />
Turku (STX) Finland 1 154,407<br />
Szczecin New <strong>Poland</strong> 5 130,690<br />
Peene-Werft Germany 8 126,360<br />
Flensburger Germany 4 102,000<br />
Helsinki (STX) Finland 2 84,693<br />
HDW Gaarden Germany 3 84,150<br />
Rauma (STX) Finland 2 68,462<br />
Gdańsk <strong>Poland</strong> 1** 32,270**<br />
Admiralteyskiye Russia 1 27,752<br />
Lindenau Germany 2*** 27,480<br />
Northern <strong>Poland</strong> 10 23,500<br />
Baltiyskiy Russia 1 9,491<br />
Marine Project <strong>Poland</strong> 2 4,950<br />
Karstensens<br />
Skibsværft<br />
Denmark 3**** 1,500<br />
total – 80***** 2,312,209<br />
* actually 2 shipyards; Warnemünde made foreparts and<br />
superstructures, Wismar afterparts and joins hulls<br />
** plus 3 partly outfitted hulls totalling GT 46,800<br />
*** plus 1 floating dock 6,000 dwt<br />
**** plus 2 patrol vessels for the Danish Navy, displacement 2,050 tons<br />
each; both hulls made by Stal-Rem in Gdańsk<br />
***** includes 5 ships below GT 1,000: 1 tug from Lindenau, 2 standby<br />
vessels from Northern and 2 fishing vessels from Karstensens<br />
Skibsværft<br />
delivers mainly blocks to its parent company Meyer Werft, but also<br />
built passenger (cruise) river vessels (only one in 2008), while Russian<br />
Vyborg switched to the offshore sector and is building mobile<br />
platforms.<br />
The list of production yards will be longer in 2009, because some<br />
“factories” have just finished or will finish turn key vessels; for example,<br />
Partner from Szczecin is building coasters, Western Shipbuilding<br />
from Klaipėda – double ended ferries, Wisła from Gdańsk<br />
– fishing vessels.
New capital takes (and turns?) the wheel<br />
The year 2008 also brought new names and a new grouping to the<br />
shipbuilding industry in Northern Europe. The brand of Aker Yards<br />
was substituted by two others – STX Europe and Wadan Yards. The<br />
first one, a well established South Korean builder, has taken over the<br />
whole Aker business except its former German yards at Wismar and<br />
Warnemünde, which now trades under the latter brand. Wadan Yards<br />
is a new company – it comprises three yards, the third of which is at<br />
Nikolaev in Ukraine. Its shareholders are FLC West, a Russian private<br />
equity fund (70%) and STX Europe (30%).<br />
Wadan hopes to change the production profile thanks to Russian<br />
orders for icebreaking vessels, which ought to be used for the anticipated<br />
expansion of Arctic shipping. The company has started to market<br />
a mixed range of ships and offshore structures. The assortment<br />
includes icebreakers and ice-going cargo vessels as well as LNG carriers<br />
intended for Arctic operation. The offer also comprises a selection<br />
of ro-pax ferries, container ships (between 1,500 and 2,800 TEU)<br />
and multi-purpose sea-river cargo vessels. Construction of the world’s<br />
two largest ro-pax vessels for Stena Line for delivery in February and<br />
August 2010 commenced in the spring of 2008, thanks to the former<br />
owner. Semi-submersible drilling rigs complete the portfolio.<br />
STX’s European <strong>Baltic</strong> branch, STX Finland Cruise, has another<br />
problem. Yards situated in Turku, Helsinki and Rauma produce very<br />
sophisticated ships, but they have a very short order book. It consists<br />
of four newbuildings only: two passenger (cruise) vessels Genesis class<br />
for Royal Caribbean (the Oasis of the Seas (GT 226,000), scheduled for<br />
delivery in 2009 and her sister vessel, the Allure of the Seas, scheduled<br />
for 2010, will be the largest passenger ships ever built) and two ro-paxes<br />
for P&O Ferries. Production of both cruisers is in progress, steel cutting<br />
for the first ferry started in March 2009. A high uncertainty regarding<br />
capacity utilization means that the portfolio of the STX department<br />
Cruise & Ferries has been expanded to cover also other types of vessels<br />
including icebreaking tonnage and selected types for the offshore industry.<br />
The company hopes that energy-related segments of the market are<br />
more stable. The trouble is that everybody in the industry has the same<br />
idea. Volkswerft has some AHTS in its order book, Wadan and Odense<br />
Staalskibsværft A/S are also marketing for offshore structures.<br />
Meanwhile, during the first quarter of 2009 the ferry Armorique<br />
(GT 29,468) was delivered from the Helsinki yard and the cruise ferry<br />
<strong>Baltic</strong> Queen (GT 43,800) left the Rauma facility.<br />
Table 2. <strong>Baltic</strong> shipbuilding nations<br />
Country GT CGT in thousands<br />
Germany* 856,464 470<br />
Denmark 565,300 243<br />
<strong>Poland</strong> 544,620** 285<br />
Finland 307,582 335<br />
Russia* 37,243 50<br />
total 2,312,209 1,375<br />
* part of the national production<br />
** includes GT 530 (2 tugs) made by Damen Shipyard Gdynia<br />
More than repair<br />
Table 3. <strong>Baltic</strong> shipbuilding by main types<br />
Type<br />
Workload<br />
factor<br />
Number of<br />
ships<br />
Passenger ships 49 3* 239.1<br />
Tankers 48 2 54.8<br />
NCCV 46 10 24.7<br />
Ro-ro 32 7** 198.8<br />
General cargo 27 7 64.5<br />
GT<br />
in thousand<br />
Containers 19 42 1,206.3<br />
Car carriers 15 5 288.5<br />
* including 2 cruise ferries<br />
** including 4-day ferries<br />
Focus<br />
The second – or rather third – category of shipyards is the<br />
repair branch. We measure their potential in the <strong>Baltic</strong> region by<br />
the number of dry and floating docks used only for repairs, maintenance,<br />
etc., excluding slips which served rather smaller vessels.<br />
Our registration disclosed 37 companies which operate 28 dry<br />
and 58 floating docks. Four of them are also listed as production<br />
shipyards because of their universal role (Lindenau, Karstensens<br />
Skibsværft and both Russian yards). Others are also active on<br />
the newbuilding market, but it is a margin of their turnover. In<br />
2008 the aforementioned Riga Shipyard delivered two tugs (GT<br />
468 each); small Kallandsö Varv, the most highly situated <strong>Baltic</strong><br />
shipyard (in the Lake Vänern, which is under maritime authority)<br />
built a 40-metre road ferry for traffic in the Göteborg archipelago.<br />
Lithuanian Laivite Shipyard has found an exclusive niche<br />
– it assembles airplanes made in USA in kit form.<br />
Repair yards, contrary to the globalized production branch,<br />
live off local markets established by a concentration of ports<br />
– most ships have to or can be repaired between loading and discharging.<br />
Therefore, serious repair facilities are present around<br />
the <strong>Baltic</strong> shores except the Bothnia region. Most yards are concentrated<br />
in three areas – around Kattegat’s shores (Danish: Orskov,<br />
Fredericia; Swedish: Cityvarvet, Falkvarv, Gotenius Varv,<br />
Öresundsvarvet), around the Gulf of Gdańsk (Polish: Remontowa,<br />
Nauta; Lithuanian: Western) and in the Gulf of Finland<br />
(Tallinn, Turku). The Remontowa shipyard operates the largest<br />
floating dock in the <strong>Baltic</strong> (36,000 dwt) and the Turku shipyard<br />
has the largest dry dock used for repairs (265 metres long) in the<br />
<strong>Baltic</strong> Sea region.<br />
At the end, we should mention numerous groups of companies<br />
making small, but rather sophisticated vessels: large yachts, pilot<br />
boats, rescue vessels, patrol vessels for coast guards, etc. The Danish<br />
company Royal Denship (which, by the way, went bankrupt in<br />
April this year) built motor expedition yachts up to 65 metres in<br />
length, Swedish Dockstavarvet is famous thanks to hundreds of<br />
fast landing crafts made for amphibious forces around the world,<br />
Finnish Uki Workboats have made a wide range of small ships for<br />
dirty works; and it is just the top of the iceberg.<br />
Marek Błuś<br />
3/2009 | <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> |
Maritime<br />
Naval cooperation & guidance for shipping<br />
Protecting merchant ships<br />
Military operations conducted by naval forces frequently involve<br />
or have some impact on merchant shipping and likewise,<br />
merchant shipping may affect naval operations. Naval Co-operation<br />
and Guidance for Shipping (NCAGS) participates in a broad<br />
range of maritime operations during peacetime, crisis or major<br />
conflicts. It is supposed to provide military guidance, advice or<br />
assistance with respect to participating nations’ global, maritime<br />
commercial interests in order to enhance the safety of merchant<br />
ships and to support military operations.<br />
NCAGS’s activities are focused<br />
on all aspects relating to<br />
merchant shipping such as<br />
the provision of guidance,<br />
picture compilation, surveillance,<br />
deconfliction or supervision.<br />
The military commander should aim to<br />
deliver a tailored, cost effective and executable<br />
NCAGS plan, which must conserve military<br />
resources and minimise the impact on merchant<br />
ships, therefore it could minimise negative<br />
economic consequences.<br />
Organization<br />
The NCAGS Organisation (NCAGSORG)<br />
will seek to develop and implement measures<br />
to facilitate the conduct of military activity<br />
at sea either involving, or in the presence<br />
of, merchant ships. The size of the NCAG-<br />
SORG and level of expertise required will<br />
be commensurate with the operation. The<br />
NCAGSORG must be flexible and prepared<br />
to operate within a wide variety of command<br />
structures and operational environments.<br />
It may comprise some or all of the mentioned<br />
below elements tailored to suit the<br />
0 | <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> | 3/2009<br />
situation depending on the level of NCAGS<br />
support that is to be provided.<br />
Procedures<br />
NCAGS procedures utilised in any particular<br />
operation will be determined by the requirements<br />
of the operation and will focus on the safety of<br />
merchant ships in the area. The procedures are<br />
listed in the paragraph below.<br />
An NCAGS area is an area within which<br />
NCAGS procedures have been implemented.<br />
The Shipping Risk Area (SRA) delineates an<br />
area of higher or specific risk to merchant ships<br />
within an operations area. An NCAGS area may<br />
contain one or more SRAs. Furthermore, Communication<br />
Reporting Gates (CRGs) are established<br />
to provide a position for merchant ships<br />
to call the NCAGSORG in order to establish initial<br />
contact or to update previous information. A<br />
CRG should be positioned in such a way that a<br />
minimum notice period of 36 hours is available<br />
to merchant ships to contact their owners/operators<br />
for onward passage instructions before<br />
reaching the AOO/NCAGS Area/SRA. Monitoring<br />
of Merchant Ship Movements is critical to<br />
the maintenance of an accurate RMP. NCAGS<br />
personnel must make every effort to update the<br />
contact information. Guidance to Merchant<br />
Ships will be provided to participating merchant<br />
ships to help them understand the nature and extent<br />
of the risk in the area. The guidance is purely<br />
voluntary and intended to allow merchant ships<br />
to determine their own voyage. A voluntary arrangement,<br />
in which merchant ships may be<br />
organised for passage through a specific area of<br />
increased risk in company with military assets,<br />
is called Accompaniment and can be recommended<br />
by NCAGS. Other procedures include:<br />
lead-through and convoys.<br />
Benefits<br />
NCAGS can provide benefits to the military<br />
commander as well as to merchant shipping.<br />
The activities related to the military commander<br />
are as follow: a more comprehensive picture of<br />
merchant activity in the maritime portion of<br />
the Common Operational Picture (COP) and<br />
Recognised Maritime Picture (RMP); deconfliction<br />
of merchant ships from military operations;<br />
improved safety and security of merchant ships<br />
in a crisis area; improved effectiveness in supporting<br />
Crisis Response Operations (CRO) and<br />
Maritime Interdiction Operations (MIO); better<br />
understanding of commercial constraints,<br />
improved counter-terrorism capability; more<br />
efficient and cost effective employment of military<br />
forces; improved counter-piracy capability<br />
and finally, more opportunities for training with<br />
merchant ships in exercises arranged with forces<br />
on passage.<br />
The benefits that can occur to Merchant<br />
Shipping are: improved safety and security in<br />
crisis areas; minimising disruptions to passages<br />
through areas where military operations are being<br />
conducted; maintenance of economic flow;<br />
quicker reaction to changing threats; better understanding<br />
of military constraints; potential for<br />
stabilising insurance costs; minimising disruption<br />
to commercial schedules; improved support<br />
for counter-terrorism as well as counter-piracy.<br />
Undoubtedly, all benefits for both sides have<br />
been widely recognized and appreciated, therefore<br />
NCAGSORG has been established within<br />
the Navy’s structure of many NATO countries.<br />
CDR Ryszard Miler, PhD,<br />
Head of NCAGS Cell<br />
CDR Mariusz Kościelski,<br />
Head of Command Planning & Liaison Cell<br />
POL Navy Maritime Operations Centre
Maritime<br />
Groningen Seaports are looking for partners<br />
A niche hub for the <strong>Baltic</strong>?<br />
With the low price factor and no congestion in the<br />
ports nor in their hinterland, Groningen Seaports<br />
wish to position themselves as a <strong>Baltic</strong> hub. However,<br />
their proximity to Rotterdam, Hamburg and<br />
JadeWeserPort (soon) make the containerized<br />
cargo flow shift to Eemshaven-Delfzijl hardly possible;<br />
therefore, the ports are trying to find their<br />
niche role in bulk goods consolidation.<br />
Groningen Seaports consist of three business elements:<br />
an over 1000-year-old port in Delfzijl, a deep sea port<br />
in Eemshaven and a new Rail Service Centre Groningen<br />
(RSCG) in Veendam. RSCG, a trimodal inland<br />
rail port handling containers and conventional loads<br />
has a daily shuttle train connections to Rotterdam and<br />
weekly shuttles to Amsterdam, Hamburg and Antwerp.<br />
So far, the main handled cargoes are minerals (salt, limestone and sand),<br />
chemicals and oil products (bitumen). There is a huge resource of salt in the<br />
bottom of the Groningen area and large gas fields onshore which has led<br />
2 | <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> | 3/2009<br />
of 6 upcoming <strong>BTJ</strong> issues<br />
Total Price = € 75<br />
(EU countries = 0% VAT + postage costs included)<br />
1/2009 2/2009 3/2009<br />
4/2009 5/2009 6/2009<br />
to the development of the chemical complex in Delfzijl (12 companies in a<br />
chloride industry). The port also features a 31 ha metal park acting as a cluster<br />
for metallurgic companies and bordering the large production plant of<br />
the aluminium smelter, Aldel. The Port of Delfzijl comprises 1,500 hectares<br />
and a 1,000 m quay length. Its draught is 9 m. Last year’s cargo throughput<br />
amounted to 5,7 m/t – mainly salt, methanol, MDI, gypsum and feed.<br />
The Port of Eemshaven provides 1,150 ha, a draught of 10.5 m and<br />
1,250 m of quays. The cargo throughput was 2.2 m/t in 2008 and consisted<br />
mainly of agricultural and building materials – both recycling and new<br />
products. The eastern part of the port is turning into a huge energy park<br />
with four power plants. The already existing largest gas-heated power<br />
plant in Europe (the 24 MW Electrabel) is going to be backed up by three<br />
new plants by 2012/13 – the Dutch Nuon Magnum, the German RWE<br />
and the Swiss Advanced Power. Vopak is building a huge oil tanker park<br />
on its own 55 ha terminal which is to become a strategic storage place<br />
for oil for the Netherlands. There are also plans for Vopak cooperation<br />
on raising a 12 bcm LNG terminal in Eemshaven. All these, according to<br />
the ports’ management, should lead to an increase in Eemsaven’s cargo<br />
throughput even by 175%, once the investments are completed. “We are<br />
pretty successful in attracting businesses to the port, having sold or long<br />
leased more than 60% of the Eemshaven’s area in just 5 years,” comments<br />
Harm Post, Groningen Seaports’ managing director. Both ports feature<br />
Yes, I would like to order the<br />
SPECIAL OFFER ANNUAL SUBSCRIPTION<br />
of 6 upcoming <strong>BTJ</strong> issues<br />
Special Price = € 120 (you save € 30)
700 hectares of industrial sites, out of which 330 ha are still available. The<br />
vision of the authorities is to have the surrounding area full of business<br />
parks. On the other hand, as the ports’ marketing manager Marjolein Zwerwer<br />
puts it, the ports wish to increase their cargo throughput and logistics<br />
services, to bring added value and counteract the image of a dedicated<br />
facility for the industrial manufacturers onsite.<br />
Fair-cost alternative<br />
Groningen claims to be a fair-cost alternative to the main continental<br />
ports. Both Eemshaven and Delfzijl offer pilotage exemption to vessels<br />
shorter than 90 metres. Moreover, the ports’ dues for one transhipped container<br />
is less than five euro, no matter if the box is loaded or unloaded, but as<br />
the ports have practically not handled containers so far and pure transhipment<br />
in 2008 was below 1% of their total throughput, Groningen believes in<br />
their niche role of consolidating mainly industrial and breakbulk goods.<br />
Looking to the <strong>Baltic</strong><br />
Likewise, rather than going to the abused western direction, the main<br />
area of interest for Groningen ports lies in the southern <strong>Baltic</strong> and the ports<br />
are wishing to find partners for the MoS project(s). “It’s not that we are<br />
developing new trade relations with the <strong>Baltic</strong> area, but rather renewing<br />
them now,” says Post. “Due to good trade relations between our regions<br />
some 200-250 years ago northern Holland became one of the most important<br />
shipping centres in Europe, but also now the companies located<br />
in Groningen 20090130_Advertisement do a Transfennica_landscape_3mmBleed.pdf lot of traffic with the 1/30/2009 <strong>Baltic</strong> 3:55:49 area, PM e.g. the forest products,<br />
Photo: Groningen Seaports<br />
Maritime<br />
fertilizers, gypsum or aluminium”. Groningen’s offer to the <strong>Baltic</strong> Sea region<br />
comes in three business fields: cargo transhipment for the energy port,<br />
development of the bio cluster (both in Eemshaven) and consolidation of<br />
the <strong>Baltic</strong> bound cargo to avoid congestion in the main ports. The three<br />
new power plants in Groningen are to consume five mln tons of coal and<br />
one mln tons of biomass per year so there is a huge demand for imports<br />
of these resources. The bio industries cluster uses a variety of technologies<br />
to produce chemicals, biofuels, food ingredients and power from biomass<br />
raw materials. Posts suggests that – as <strong>Poland</strong>, for example, is a big rapeseed<br />
production place, the biofuel manufacturers in Groningen should stimulate<br />
their cargo flow between the countries.<br />
Piotr Trusiewicz<br />
3/2009 | <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> |
Maritime<br />
The dry freight and tanker market<br />
Prepared by Polfracht<br />
Dry Cargo Market Report, March-April 2009<br />
In the first half of March the <strong>Baltic</strong> Dry Index continued its rise<br />
thanks to a fairly strong demand for handysize and panamaxsize tonnage<br />
and despite the uninspiring outlook for the capes. By mid-April,<br />
however, the BDI slid down to the level of early February, strengthening<br />
a bit towards the end of the month.<br />
CAPE:<br />
After promising development of the cape-size sector in February,<br />
March noted earnings sliding down. The market was dominated by ore<br />
trades from Australia and Brazil to China, with other trades only occasionally<br />
appearing on the market. Rates for ore in the Brazil/China<br />
run stood at about USD 22/mt at the beginning of March, then started<br />
softening daily, down to about USD 16/mt at the end and keeping this<br />
level throughout the first half of April. Then the rates moved up to<br />
about USD 19.50 and eased again at the end of the month. Similarly,<br />
the Australia/China ore trade fluctuated from about USD 8/mt to<br />
about USD 6.50/mt.<br />
PANAMAX:<br />
March started on a positive note and during the month the Atlantic<br />
market went up from about USD 14,000 to about USD 21,000 daily, but<br />
in the end the rates were back to square one. The best rates were obtained<br />
by open vessels in the Mediterranean and the Black Sea for trips with iron<br />
ore to China or those willing to trade Aden/Somalia waters where pirates’<br />
activity motivated many owners to stay away from that area.<br />
April opened with a negative trend on the Atlantic and only in the<br />
pre-Easter period, when owners and charterers wanted to cover their positions,<br />
rates moved a bit higher before falling at the end of the month to<br />
about USD 10,000 per day.<br />
The Atlantic/Far East trade was influenced by grain cargoes from<br />
South America where rates in late March improved to around USD 23,000<br />
per day, however, later in April they fell to around USD 19,000.<br />
The Pacific market was much weaker as a result of the big number of<br />
open tonnage.<br />
There was some small activity for the period where rates reported at<br />
USD 12,000 daily for 1 or 2 years t/c.<br />
HANDY:<br />
Grains, coke, sugar, fertilizers and scrap have still been the driving<br />
engine keeping the handy market strong, although the end of April noted<br />
rates falling.<br />
Atlantic round voyages, also those to the Far East, fetched rates between<br />
USD 20,000 and 30,000 per day for supramax tonnage and about<br />
USD 10,000 for handies. Voyages within South-East Asia and the Indian<br />
Ocean stood on average at USD 9,500 and USD 14,000 at their peak. The<br />
Pacific market has been helped by more coal coming from Kalimantan as<br />
the monsoon did not hit the area as early as one would have expected.<br />
The acts of piracy in the Gulf of Aden still influence the market to<br />
some extent, with a number of charterers directing their vessels round<br />
Africa rather than via the Suez Canal.<br />
| <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> | 3/2009<br />
Average monthly freight indices and rates during<br />
February-April 2009:<br />
a) freight indices II’09 III’09 IV’09<br />
<strong>Baltic</strong> Dry Index (BDI) 1816 1958 1659<br />
<strong>Baltic</strong> Capesize Index (BCI) 3179 2442 2206<br />
<strong>Baltic</strong> Panamax Index (BPI) 1332 1824 1403<br />
<strong>Baltic</strong> Supramax Index (BSI) 1105 1567 1289<br />
b) freight rates (USD/mt) II’09 III’09 IV’09<br />
110,000 mt coal, Hampton Roads<br />
– Rotterdam<br />
140,000 mt coal, Richards Bay<br />
– Rotterdam<br />
140,000 mt iron ore, Narvik –<br />
Rotterdam<br />
150,000 mt iron ore, Tubarão<br />
– Rotterdam<br />
10.30 9.11 8.58<br />
9.35 8.50 7.21<br />
4.50 4.05 3.81<br />
10.10 8.61 8.31<br />
Freight market trends in February-April 2009,<br />
as indicated by average daily T/C rates (in USD per day),<br />
reported on specific trading routes:<br />
Cape (170,000 dwt)<br />
II`09 III`09 IV`09<br />
Atlantic round voyages 30700 23900 19200<br />
Continent – Far East 50200 38500 32800<br />
Far East – Continent 15600 11500 9300<br />
Pacific round voyages 33200 20600 17700<br />
Panamax (74,000 dwt)<br />
Atlantic round voyages 12100 17100 10900<br />
Continent – Far East 17800 23400 18700<br />
Far East – Continent 5000 8400 5400<br />
Pacific round voyages 7700 11000 9500<br />
Handymax (45,000 dwt)<br />
Atlantic round voyages 17300 26500 21300<br />
Continent – Far East 17800 27300 23200<br />
Far East – Continent 5500 6300 6100<br />
Pacific round voyages 6600 8400 7500
Tanker Market Report,<br />
March-April 2009<br />
VLCC:<br />
March proved to be another disappointing month. The MEG<br />
rates to Western destinations came crushing down from WS 37.5 to<br />
the WS 24 level, in fact even a single fixture done at WS 22.5 was<br />
reported during the last week of the month. At the same time rates<br />
to the Far East dropped from WS 48.5 to WS 35. The same story<br />
happened in West Africa, where rates to USG fell from WS 55 to<br />
WS 47.5.<br />
In April the MEG market fluctuated between ‘low’ and ‘very<br />
low’ levels. Rates to the West fell from WS 24 to a low of around WS<br />
20, reported prior to the Easter Holidays. This was followed by a<br />
recovery to a high of WS 25. Rates to Eastern destinations followed<br />
the same pattern – a fall from WS 35 to WS 25 was followed by a<br />
rise back to WS 35. In West Africa/West trade the rates fluctuated<br />
– dropped from WS 47.5 to WS 42.5, climbed to a monthly high of<br />
WS 50 and finally fell to slightly above WS 40.<br />
Average monthly freight rates (in Worldscale points),<br />
April 2007 and 2008, February-April 2009:<br />
VLCC<br />
IV’07 IV’08 II’09 III’09 IV’09<br />
Middle East Gulf – West 54 90 36 33 23<br />
Middle East Gulf – Japan 68 128 45 40 31<br />
Suezmax<br />
West Africa – US Gulf 129 193 73 82 54<br />
Aframax<br />
North Africa –<br />
European Mediterranean<br />
157 269 85 73 61<br />
cross UK-Continent 144 202 79 78 70<br />
SUEZMAX:<br />
The beginning of March brought a brief moment of optimism,<br />
with West African rates rising from WS 70 to WS 95. However, it<br />
did not last for long – during the second week dropping activity<br />
caused a steep dive to only WS 55 and this level was there to stay<br />
for the rest of the month. In the Mediterranean and Black Seas the<br />
rise to WS 95 was followed by a drop to WS 62.5.<br />
In April the West Africa to USG rates remained relatively stable,<br />
fluctuating between a low of WS 50 and a high of WS 55, depending<br />
on the level of activity. The Mediterranean and Black Sea<br />
markets mostly hovered around the WS 60 point; however, during<br />
the last week of the month tonnage thinned out and consequently<br />
rates reached WS 75 and WS 72.5, respectively.<br />
AFRAMAX:<br />
<strong>Baltic</strong> Dry Index 2007, 2008 and 2009<br />
Maritime<br />
In March rates paid for 80,000 mt sized ‘cross UKC’ cargoes as<br />
well as for parcels 100,000 mt from the <strong>Baltic</strong> (mostly Primorsk) to<br />
UKC generally fluctuated within the WS 75/80 range; however, the<br />
last days of the month brought a rise to WS 100 in trades ex <strong>Baltic</strong>.<br />
In the Mediterranean and Black Seas an abundance of tonnage<br />
caused a gradual deterioration of rates, which fell from WS 80/85<br />
to WS 57.5/65 by the end of the month.<br />
April was a far cry from what the owners expected to see. The<br />
beginning of the month brought about WS 80/85 in <strong>Baltic</strong>/UKC<br />
trade and this proved to be a monthly high. This was followed by<br />
numerous fluctuations, however, basically with a downward trend<br />
and finally a disastrous WS 50 during the last week. The ‘cross<br />
UKC’ market basically oscillated between WS 65/80, with WS 65<br />
being paid during the last days of the month. In the Mediterranean<br />
rates fluctuated between WS 55 and WS 67.5, with about a five<br />
point premium being paid for the Black Sea. An increase in activity<br />
during the last week pushed the market up to WS 70 and WS 75,<br />
respectively.<br />
80,000 tonnes dirty (Aframax) 2007, 2008 and 2009<br />
3/2009 | <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> |
Overland<br />
Rail transport networks in the BSR<br />
Strategies for the future<br />
There are, to date, no trains directly linking the<br />
following cities: Warsaw, Vilnius (or Kaunas),<br />
Riga and Tallinn. The absence of north-south<br />
infrastructure is determinant here. This lack of<br />
connectivity between the Polish and <strong>Baltic</strong> capitals<br />
is still probably the most serious bottleneck<br />
for the complete integration of the <strong>Baltic</strong> Sea region.<br />
However, in this particular case, bus services<br />
as well as air connections act as a substitute<br />
to the relative weakness of the rail system.<br />
Interestingly, although Tallinn, Riga and Vilnius are barely connected<br />
to each other, they all have direct connections to St. Petersburg, even<br />
if the frequency of the routes is rather low (6 weekly direct trains<br />
each). In this regard, Minsk appears to be central here in acting as<br />
the hub for connections between North West Russia, Kaliningrad<br />
and <strong>Poland</strong> in addition to Belarus itself. Indeed, Minsk not only has<br />
direct rail connections to Warsaw, Vilnius, Kaliningrad and Warsaw, but is<br />
also a necessary way-station for mobility between these cities.<br />
Gaps, gauges and bottlenecks<br />
The most emblematic, and probably the most problematic challenge<br />
in this regard corresponds to the lack of inter-operability of the various<br />
national railway networks. Differing technical solutions and the varying<br />
degree of modernity are limiting factors for enhancing mobility of persons<br />
and goods across the border, and especially on the eastern shore of<br />
the <strong>Baltic</strong> Sea, from <strong>Poland</strong> to North-West Russia.<br />
As for the differing technical solutions, the main challenges remain<br />
the differences in gauges between the Russian (1,520 mm) and European<br />
(1,435 mm) systems. Besides Russia, Belarus and the <strong>Baltic</strong> States<br />
have adopted the Russian gauge, due to their former belonging to the<br />
Soviet Union. Finland also has the Russian gauge system. In <strong>Poland</strong> and<br />
Kaliningrad, both systems can be found. Consequently, these territories<br />
have become central interfaces for enabling the integration of both railway<br />
systems on the eastern shore of the BSR.<br />
The integration of the eastern BSR railway networks bears importance<br />
on two main levels: first, to connect the main metropolitan areas (Warsaw,<br />
Vilnius, Kaunas, Riga, Tallinn and St. Petersburg) and second, to act as an<br />
interface between ‘continental Europe’ and Russia.<br />
The lack of North-South linkages in the eastern BSR can be seen as<br />
mainly due to the historical heritage of the region and the power play<br />
within the former Soviet Union: East-West linkages, connecting each Soviet<br />
republic to the central powerhouse of Moscow, were developed and<br />
inter-regional linkages very consciously avoided. On the eastern shore of<br />
the BSR, this results in a persisting lack of reliable, modern infrastructure,<br />
for instance double and electrified tracks, connecting the main cities.<br />
These ‘missing links’ are well highlighted by visualising the frequency<br />
of transnational (i.e. crossing a national border) rail services between<br />
the BSR’s main metropolitan areas (Figure 1). Indeed, the figure clearly<br />
shows the still poor level of connectivity of the main metropolitan areas<br />
on the eastern shore of the <strong>Baltic</strong> Sea, i.e. between <strong>Poland</strong>, the <strong>Baltic</strong><br />
States, Western Russia and Belarus.<br />
| <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> | 3/2009<br />
Figure 1: Route frequency on main cross-border rail connections<br />
in 2008 (weekly)<br />
Source: Deutsche Bahn (2008), RRG Spatia<br />
Table 1 provides further indications on the implications of the poor<br />
connectivity of the rail system on the Eastern shore of the BSR by assessing<br />
the time it takes to travel between these cities. To date, travelling<br />
from Warsaw to Tallinn takes more than 40 hours and 6 changes to complete<br />
the journey. The main problem related to rail infrastructure is witnessed<br />
between <strong>Poland</strong>, Lithuania, Latvia and Estonia. For the journeys<br />
between capital regions, bus connections are often faster as, for instance,<br />
between Warsaw and Vilnius. There is still, to date, no train connection<br />
between Tallinn and Riga. In an earlier report commissioned by VASAB<br />
(Nordregio et al., 2000), it was already stated that no train connection<br />
was available between these two cities in 1999: nearly a decade after, the<br />
situation is still the same.<br />
The hub-by-nature of the BSR<br />
The second main dimension concerning the necessary integration of the<br />
railway networks on the eastern shore of the BSR lies in its trans-continental<br />
nature. Indeed, the geographical position of the BSR reveals its role as a potential<br />
‘natural’ hub, acting as an interface between Europe and Asia. In this<br />
regard, St. Petersburg is a key hub, as it enables to connect the BSR with the<br />
greater Russian railway system and, due to the immensity of the country, to<br />
countries in Central and Far-East Asia. This trans-continental potential is<br />
even enhanced by the importance of the Tallinn-St. Petersburg railway corridor,<br />
to date the busiest section for freight transportation in Europe.<br />
In addition to this, the importance of Warsaw as a hub between the<br />
BSR railway system and the ‘continental European’ one (see Figure 1), not
only because of its relative territorial location in the BSR, but also because<br />
it is connected to both gauge standards, reinforces the support to a necessary<br />
upgrading of the networks between Warsaw and St. Petersburg in<br />
order to enable the blooming of such trans-continental linkages.<br />
Integration is a must<br />
The further integration of the railway systems on the eastern shore of<br />
the BSR has repercussions not only for the capacity to integrate further its<br />
regional economies and labour markets, but also on the capacity of the<br />
BSR to act as a global player, an interface region between Europe and Asia.<br />
Yet, the persistence of structural deficiencies endangers the achievement<br />
of this potential. In that light, the completion of the TEN-T Rail <strong>Baltic</strong>a<br />
project, running from Warsaw to Tallinn, needs to be regarded as a high<br />
priority project by the European Commission and the governments of the<br />
BSR countries.<br />
Furthermore, it becomes clear that the completion of Rail <strong>Baltic</strong>a<br />
should be connected to future plans for upgrading the Tallinn-St. Petersburg<br />
section of the network, which would ensure a good connection between<br />
the TEN-T and Russian networks. Yet, more than an upgrade, it is<br />
in fact a complete renewal of the section in the European standard (1,435<br />
mm) instead of the current Russian one (1,535 mm) that would only ensure<br />
the integration of Russia within the predominantly EU/EEA BSR<br />
region. The Tallinn-St. Petersburg connection is not only of vital importance<br />
for the future spatial integration of the BSR, as it enables to connect<br />
western parts of Russia to the north-eastern members of the EU, but it is a<br />
key corridor for the transportation of goods from Central Asian markets<br />
to Western European markets (Germany, France, Benelux), and offers an<br />
efficient bypass from the crossing of Ukraine and Belarus.<br />
The geographical location of the BSR, with Russia and Asia to the<br />
East, and the Arctic region to the North, clearly demonstrates its strategic<br />
position for Europe. Consequently, the integration of transport systems<br />
within the BSR has a clear ‘EU added-value’ as it will enhance the capacity<br />
of the macro-region to act as a hub for Europe in a trans-continental perspective.<br />
It is, to my mind, clearly the reason why the European Commission<br />
is currently developing a specific strategy for the <strong>Baltic</strong> Sea Region. It<br />
is unprecedented, as it is the first time that the EU Commission elaborates<br />
a strategy and action plan for a macro-region.<br />
Yet, the strong focus on the BSR as a potential interface between the<br />
EU and its eastern and northern neighbourhoods should not overshadow<br />
the fact that the macro-region is very diverse with an increasing divide<br />
Table 1: Shortest travel times between main cities on the eastern shore of the BSR<br />
Shortest travel time between main<br />
BSR cities in Hours:Minutes (Number<br />
of train changes or Bus connection)<br />
From<br />
Warsaw<br />
8:38 (3)<br />
9:16 (0)<br />
Overland<br />
in the levels of development between the metropolitan areas and more<br />
peripheral parts. Yet, so far, transport strategies in the BSR are essentially<br />
elaborated for connecting the metropolitan areas between them. More<br />
territorially differentiated strategies adapted to the needs of the different<br />
territories that constitute the BSR are urgently needed.<br />
What needs to be done?<br />
The integration of the transport networks of the countries around the<br />
<strong>Baltic</strong> Sea has been perceived, since the emergence of the macro-region<br />
in the beginning of 1990s, as a necessary precondition for improving the<br />
integration between its regional and national economies. Consequently, it<br />
is not surprising that the theme of transport integration has been central<br />
to the work of the Visions and Strategies Around the <strong>Baltic</strong> Sea (VASAB)<br />
organisation, since the adoption of its first ‘vision’ in 1992 (the so-called<br />
“Tallinn Report”).<br />
In an increasingly globalized world economy, the positioning of regional<br />
economies in this ‘space of flows’, as conceptualised by Castells,<br />
ought to be a central concern for national and regional policymakers. The<br />
need for a complementary approach synergizing the development of tangible<br />
(transport networks) and virtual (information and communication<br />
technologies) communication means is blatant.<br />
In that regard, the Gdansk Declaration, the latest document adopted by<br />
VASAB, acknowledges the need for better ‘global positioning’ of the BSR by<br />
stressing the importance of EU policies with regards to accessibility issues.<br />
Improved accessibility is seen as an important part of the Community Cohesion<br />
Policy, and the planned investments in the Trans-European <strong>Transport</strong><br />
Network (TEN-T and TINA) are seen as crucial for improving the connectivity<br />
of the BSR to the rest of the European continent. The development of<br />
the Transnational European Networks represents a key part of the EU’s strategy<br />
to achieve an integrated internal market, and is as well a key platform for<br />
integrating the EU and Russia.<br />
Alexandre Dubois<br />
Research Fellow, Nordregio<br />
alexandre.dubois@nordregio.se<br />
The author would like to thank Carsten Schürmann (RRG Spatial Planning)<br />
and José Sterling (Nordregio) for their support in the compilation of the empirical<br />
data presented in this article.<br />
Minsk Vilnius Kaliningrad Riga Tallinn<br />
9:00 (Bus)<br />
9:26 (2)<br />
TO<br />
8:04 (1) 13:20 (Bus)<br />
24:31 (4)<br />
24:32 (3)<br />
17:00 (Bus)<br />
40:36 (6)<br />
41:18 (2)<br />
St.<br />
Petersburg<br />
22:27 (4)<br />
28:32 (0)<br />
Minsk<br />
4:30(0) 11:03 (0) 14:57 (2) 29:31 (1) 13:33 (1)<br />
13:52 (0)<br />
Vilnius<br />
6:15 (0) 4:20 (Bus)<br />
14:49 (1)<br />
34:26 (2)<br />
9:30 (Bus)<br />
13:08 (0)<br />
Kaliningrad<br />
22:14 (2) 14:10 (Bus)<br />
41:20 (2)<br />
20:33 (1)<br />
25:21 (0)<br />
Riga<br />
4:25 (Bus)<br />
No train route<br />
12:20 (0)<br />
14:20 (Bus)<br />
Tallinn<br />
St. Petersburg<br />
8:02 (0)<br />
8:00 (Bus)<br />
Source: Deutsche Bahn (2008), RRG Spatial Planning Database, Eurolines (2008).<br />
3/2009 | <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> |
Overland<br />
TransRussia impressions and more<br />
On standby mode<br />
The business environment in Russia is not very friendly for private<br />
forwarders and operators. Together with the pressure of competition,<br />
they suffer from shrinkage of the freight market and a lack<br />
of bank loans.<br />
Lower demand has made the activity<br />
of the operator companies<br />
troublesome. Some of them have<br />
already exited the market. Others<br />
have developed lower price programs<br />
practically for all sorts of<br />
cargoes. One company reported discounts for<br />
the transportation of metal by 10%, coal 5%<br />
and ore – up to 10%.<br />
The market is changing deeply<br />
The privately owned container fleet is<br />
mostly idle because of the shortage of domestic<br />
freight and the obligation to pay<br />
for storage at the same time. Moreover, a<br />
lack of domestic freight has eliminated the<br />
| <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> | 3/2009<br />
possibility of cheap relocation of containers<br />
(in loaded transportation) to the Far<br />
East, where they could pick up commercial<br />
freight. Such a situation has disturbed many<br />
business plans which had been working for<br />
years.<br />
Representatives of leasing companies<br />
also report that they are in a difficult situation.<br />
Mass return of the leased rolling<br />
stock because of the competitive prices of<br />
new cars can have a serious impact on the<br />
railcar leasing market (however, it depends<br />
on the provisions of the leasing contract).<br />
Finance leasing companies are really confronted<br />
with the return of the rolling stock.<br />
The banks crediting these leasing contracts<br />
are also in a bad position – the same<br />
wagons of doubtful liquidity are the pledge<br />
of the credit.<br />
According to the official statistics, since<br />
August 2008, the prices of new railcars have<br />
been reduced by 15-20%, but at the same<br />
time, the demand for the railcars has fallen<br />
because of lower traffic. Over 55,600 railcars<br />
have been purchased in 2008, and plans for<br />
2009 include only 9,600 units. As a result,<br />
production of the railcars has also fallen: until<br />
the end of 2008, the car-building industry in<br />
the CIS countries had a total output of 30,000<br />
cars instead of 70,000 as before. Considering<br />
the very high rate of fleet ageing, this can lead<br />
to a significant decrease in the available fleet<br />
in the future, to 670,000 units by 2015.<br />
Demotivated business environment?<br />
Already in 1977, when I participated in an<br />
international transport event as an exhibitor<br />
for the first time, it became clear to me that<br />
the behaviour and reactions of the visitors
was an actual evaluation of the situation in<br />
the industry. The latest experience, TransRussia<br />
2009 (April 21-24 in Moscow), gave<br />
more proof of that. As compared to its previous<br />
exhibitions, the event had good statistics:<br />
over 500 exhibitors from 33 countries,<br />
including large rail networks and ports,<br />
forwarders and logistic service providers,<br />
as well as over 20 000 visitors.<br />
As usual, there were visitors walking between<br />
stands and watching the bright colours<br />
of two-storey stands, the large spaces<br />
of national companies and so on. However,<br />
many of them demonstrated an unusual relaxation<br />
and lack of specific transportation<br />
inquiries. Mrs. Svetlana Minosyants, Rail<br />
Service General Director, says, “They are<br />
asking about possible carriage of specific<br />
shipments; however, there is a feeling that<br />
they are obliged to ask something but have<br />
no real business interest for a while yet. It is<br />
a matter to think about. We have felt it for<br />
the past months, and the TransRussia event<br />
has already confirmed that many potential<br />
consignors are on ‘standby mode’. They<br />
have adapted their business to the current<br />
situation and hope for good prospects.”<br />
Over half of the exhibitors were from<br />
foreign countries, but this was not accidental.<br />
It is evidence of the interest in the<br />
Photo: Kühne+Nagel<br />
Russian freight market and of a wish to compete<br />
for vacant and profitable market niches.<br />
The experts do not have one general<br />
opinion about the status quo of the freight<br />
market. Part of them considers it as a time<br />
of coming out of the recession, others expect<br />
the autumn to be the worst time for<br />
transportation services. Nevertheless, the<br />
crisis will not last forever, and the current<br />
Overland<br />
breathing space must be used to prepare for<br />
future challenges. Intermediate companies<br />
concerned with various aspects of forwarding<br />
and logistic services have become an<br />
integral part of the transport environment<br />
in Russia, and they must be smart enough<br />
to survive.<br />
Vladimir Chernyshev<br />
3/2009 | <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> |
Overland<br />
Soft measures for more sustainable road transport<br />
Eco-driving<br />
Fuel consumption and thus green house gas emissions of road<br />
transport are constantly increasing. The concept of fuel consumption<br />
reduction by means of applying an economical driving<br />
style (so called eco-driving) represents an effective and low-cost<br />
way for partial reduction of fuel consumption and CO 2 emissions<br />
with immediate possible effects.<br />
One of the factors affecting fuel<br />
consumption, apart from the<br />
vehicle’s technical characteristics<br />
and load, etc., is the<br />
driving style. Acceleration,<br />
driving speed, gear shifting<br />
etc., are characteristics of the driving style,<br />
which have an important impact on the volume<br />
of fuel consumption. The results of the RECO-<br />
DRIVE project have proven that with appropriate<br />
eco-driving techniques fuel consumption in<br />
the field of road transport can be reduced up to<br />
10%. The drivers can learn the eco-driving style<br />
with appropriate driver training within one day.<br />
However, it may be stated that in general the<br />
fuel consumption is reduced for a short time<br />
period succeeding the driver training whereas<br />
in the long run, fuel consumption renders to its<br />
previous level if the appropriate stimulation and<br />
consumption control is not applied. In order to<br />
achieve a sustainable reduction in fuel consumption<br />
broader measures should be introduced. The<br />
key to achieving a sustainable reduction of fuel<br />
consumption is the employee’s motivation to behave<br />
in a energy efficient way – for drivers that<br />
means driving according to eco-driving principles,<br />
for maintenance staff keeping the appropriate<br />
maintenance standards, for procurement<br />
understanding a company’s requirements and for<br />
management applying energy saving measures<br />
throughout the company’s operations.<br />
Motivation for a start<br />
The above mentioned problem is dealt with<br />
in Intelligent Energy Europe’s project RECO-<br />
DRIVE – “Rewarding and Recognition Schemes<br />
for Energy COnserving DRIving, VEhicle procurement<br />
and maintenance”. The project undertakes<br />
some of the EU objectives and targets,<br />
starting with the promotion of sustainable fleet<br />
management, and aims at merging existing ecodriving<br />
initiatives with progressive fleet management<br />
and logistics optimization practice to<br />
ensure continuity of the effects of fuel saving<br />
measures. The project RECODRIVE focuses on<br />
0 | <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> | 3/2009<br />
all processes comprising a human component<br />
with special focus on recognition and reward<br />
schemes for drivers, maintenance and procurement<br />
staff. The key to keeping fuel consumption<br />
as low as possible, within the existing vehicle<br />
fleet, is to provide the drivers and other fleet<br />
management staff with training, insight and<br />
motivation. The staff must be motivated for constantly<br />
keeping low fuel consumption in mind.<br />
In contrast to many other eco-driving projects,<br />
RECODRIVE offers a strategy for training and<br />
keeping up the motivation for low vehicle fuel<br />
consumption over a longer period.<br />
One of the most important aims of the RE-<br />
CODRIVE project is the implementation of fuel<br />
saving measures, recognition and rewarding<br />
schemes for drivers and the entire fleet management<br />
into various transport companies acting<br />
as demonstrators in the project. The successful<br />
implementation and manifestation of efficiency<br />
of measures undertaken is the driving force for<br />
further diffusion of RECODRIVE initiative into<br />
general practice.<br />
It is important to stress that companies<br />
introducing the eco-driving schemes, should<br />
carefully plan the following basic implementation<br />
steps, shown in Figure 1.<br />
Based on an analysis of the current situation<br />
in a company, eco-driving goals and<br />
EMPLOYEES<br />
Individual/Team<br />
Goal setting<br />
Situation<br />
analysis<br />
Training<br />
Goal setting<br />
implementation methods should be set. It is<br />
very important to stress that the control mechanisms<br />
and rewarding/recognition schemes are<br />
to be explained to the drivers before the ecodriving<br />
training is performed and implemented<br />
immediately after it. We should keep in mind<br />
that the drivers (besides the appropriate vehicle’s<br />
maintenance and adequate fleet management)<br />
have the greatest impact on fuel consumption<br />
savings. One must always remember that even<br />
the best drivers can improve their driving techniques<br />
and reduce their fuel consumption.<br />
The Slovenian example<br />
In Slovenia, the RECODRIVE eco-driving<br />
concept was practically tested in the following<br />
companies: “Viator&Vektor” – freight transport,<br />
waste management and transport company<br />
“Snaga” and municipal utility transport<br />
company “JKP Radlje”. Waste collection vehicles<br />
(and urban busses) have special different driving<br />
characteristics – they need to stop and start<br />
frequently. Therefore, the eco-driving technique<br />
can have an important impact on fuel consumption.<br />
On the other hand, the need to idle while<br />
the waste is being loaded (the vehicle’s engine<br />
supplies the power needed to operate the refuse<br />
loading system) can abate the positive effects of<br />
eco-driving on fuel savings. The impact of driving<br />
style on fuel consumption is, surprisingly or<br />
not, more significant in long distance haulage.<br />
The drivers taking part in eco-driving trainings<br />
were chosen on basis of their abilities to<br />
adopt new knowledge and to disseminate positive<br />
experiences to their fellow drivers. Drivers<br />
in each company were trained during the period<br />
from November 2008 to January 2009.<br />
Performance<br />
management<br />
Planning and<br />
Implementation<br />
Recognition and<br />
Rewarding<br />
Measuring<br />
Analysis
Table 1: Reductions of fuel consumption achieved by vehicle<br />
Company Vehicle Monitoring period<br />
Viator&Vektor<br />
(long distance freight transport)<br />
Snaga<br />
(waste collection and transport)<br />
JKP Radlje<br />
(municipal utility fleet)<br />
As shown in Table 1, there are several levels<br />
of the achieved fuel consumption reduction<br />
in practice. For example, freight transport<br />
operator “Viator&Vektor” has achieved<br />
on average a 4,52% reduction of fuel consumption.<br />
Fuel savings were also achieved in<br />
waste management/transport company Snaga.<br />
The results show that even in waste transport<br />
with specific characteristics fuel savings are<br />
achievable. “Snaga” has achieved an average<br />
4,2% reduction of fuel consumption. Similar<br />
results were achieved in “JKP Radlje” – on average<br />
a 5,0% reduction of fuel consumption.<br />
Noticeably higher fuel savings in litres in<br />
the freight transport operator in comparison<br />
to the waste management/transport operator<br />
Percentage of<br />
reduction<br />
Iveco Stralis 6 months -3,42% 855 l<br />
Iveco Stralis 6 months -5,53% 1.317 l<br />
Renault Magnum 6 months -4,62% 1.071 l<br />
Mercedes-Benz SKII 3 months -7.02% 330 l<br />
Mercedes-Benz Actros 3 months -1,40% 83 l<br />
MAN TGA 5 months -6,83% 455 l<br />
Mercedes-Benz Actros 5 months -3,22% 254 l<br />
or municipal utility company derives from<br />
the average distance travelled. Vehicles in<br />
long haul operations perform averagely more<br />
kilometres per months than vehicles in waste<br />
collection of municipal service.<br />
The results achieved in the practice have<br />
proven that soft measures in the field of ecodriving<br />
can, to a certain extent, reduce the<br />
average fuel consumption (pollution). Immediate<br />
results of introduced measures are<br />
therefore possible. Costs of introduction of<br />
measures are relatively low. The fundamental<br />
problem is the appropriate solution for ensuring<br />
the consistency of use of eco-driving techniques<br />
over longer period of time in practice.<br />
Recognition and rewarding schemes, based<br />
Overland<br />
Fuel savings in the<br />
monitoring period<br />
on achieved fuel savings, are most probably<br />
the right solution for the drivers and fleet<br />
managers.<br />
Stane Božičnik<br />
Katja Hanžič<br />
University of Maribor<br />
Faculty of Civil Engineering<br />
For more information, please visit<br />
www.recodrive.eu.<br />
3/2009 | <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> | 1
Veterans to the <strong>Baltic</strong><br />
It is rather news than a memory. The Polish branch of the Belgian<br />
company Megamar has bought a piece of British maritime heritage – the<br />
pilot vessel Bembridge built in 1938. Now a veteran of the Trinity House is<br />
lying on the slip in a small Szczecin shipyard and from autumn will serve<br />
as an office for the new owners. They have the ambition to restore her,<br />
except the engine room, to the original – depicted – appearance from her<br />
youth. She is also a “cousin” of the former Trinity House tender Patricia<br />
– now a floating restaurant in Stockholm. Both ships were built by the<br />
famous Smith’s Dock in Middlesbrough.<br />
Flying from a beach (2)<br />
The postcard from the small fishing town and beach resort Leba shows<br />
another forgotten attraction of a summer in the 1930s – it was a place of one<br />
of the best glider schools in Germany. Planes took off from the hillside of the<br />
highest sand dune situated 600 metres from the shore. To make the higher<br />
altitude pilots used a so-called “air wave” created by the north and northwesterly<br />
winds over a range of 40-metre dunes along the coast. The best<br />
could fly up to 18 hours at a height of only 100 metres over their tops!<br />
Photo: Marcin Błuś collection<br />
A forerunner<br />
A missing link in the north-south ferry connections in the <strong>Baltic</strong><br />
has been discovered by Finnlines. Since 1 June their white-blue giant<br />
ro-paxes offer three sailings per week between Helsinki and Gdynia.<br />
Let us remind of the forerunner of the service – the ferry Gryf, then in<br />
colours of the POL. The postcard from 1973 depicts her first departure<br />
from Gdańsk to Helsinki – the notice on the side and fore and aft full<br />
dress are the evidence.<br />
Photo: Zygmunt Grabowiecki<br />
Photo: Tomasz Roliński Photo: Tomasz Roliński<br />
Photo: Marcin Błuś collection<br />
Only child<br />
What joins a unique engine K class from Warsaw with the sea and<br />
shipping? The link is very delicate, but it exists. The vehicle was built in<br />
1939 in Gdańsk as a tram for the Polish capital. In the 1980s it was converted<br />
to a switching engine but its producer – Danziger Waggonfabrik<br />
– was converted earlier, in the 1950s, to a shipyard called Northern, now a<br />
member of the Remontowa Group.<br />
Maersk vessels…<br />
<strong>Transport</strong> miscellany<br />
…in miniature decorate the walls in the company’s headquarters<br />
in Copenhagen. Our presentations usually serve as reminiscences or<br />
benchmarks. In the case of Maersk’s model, it plays both roles – the<br />
editor of the column remembers displays in the POL office in Gdynia<br />
full of their deepsea liners… they are gone forever. But a benchmark<br />
for surviving shipping companies and their agencies is still valid: if<br />
you have only one shop window, please, show a model, and if you have<br />
no window, follow Maersk’s initiative.<br />
3/2009 | <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> |
Who’s who<br />
NTB: New Manager for a New Direction<br />
Air Berlin’s New Executive<br />
| <strong>Baltic</strong> <strong>Transport</strong> <strong>Journal</strong> | 3/2009<br />
North Sea Terminal Bremerhaven has chosen Jan Gelderland as their new Managing Director. He takes<br />
over from Gerhard Wahlers who has been with the company from its very inception in 1998.<br />
With plenty of managerial experience, Gelderland is a well-known figure in the container industry. Before<br />
moving to NTB he was head of the Business Development department at Hutchison Port Holdings. Earlier,<br />
he was for several years involved with the Europe Container Terminal in Rotterdam, where he held, among<br />
others, a position of Chief Operations Officer. In the early 1990s he worked for the American shipping line<br />
Sea-Land Service whose European operations he supervised.<br />
During the 11 years at the helm of NTB Gerhard Wahlers played a major role in helping the operator to<br />
establish its current position. NTB’s shareholders and the Management Board are said to have made a joint<br />
decision to replace Wahlers with Gelderland, confident that, in the words of chairman Emanuel Schiffer,<br />
“the time has now come for a change.” The chairman also stressed that the company is grateful to Gerhard<br />
Wahlers for his years of dedication and expressed hope that, despite the hard times ahead, Jan Gelderland<br />
will prove a “worthy successor” to the retiring director. 1 May 2009 marks the official management change<br />
in the Bremerhaven terminal.<br />
No. 2 Named No.1 at Finnair Finance<br />
Maunu Visuri was appointed head of Finnair Aircraft Finance, the body within the Finnair Group responsible<br />
for the commercial and legal side of Finnair’s aircraft ownership. He stepped in for the retiring director<br />
Colin Molloy and took over the department on May 1.<br />
Visuri began his career at Finnair in 1997 as an engineer in the company’s Technical Services – as he admits<br />
himself, although his new duties are far from his original line of work, he finds his engineering experience “still<br />
of great use” to him. After a period as fleet manager, he most recently held the position of FAF Deputy Managing<br />
Director under Molloy, starting from 2006 and lasting until the latter’s retirement at the end of April 2009.<br />
As the department’s director he is now in charge of all aircraft trade and lease contracts, as well as long-term<br />
fleet planning for Finland’s largest air carrier.<br />
Hapag-Lloyd: Between <strong>Poland</strong> and Hamburg<br />
Global reorganization at the container shipping line Hapag-Lloyd brings changes to the power structure<br />
of its Polish branch. Starting from 1 June 2009, Mark Wottke moves from the post of its Managing Director<br />
to the company’s headquarters in Hamburg to become Senior Director at the Global Account Management<br />
department.<br />
Following Wottke’s departure Alina Angielczyk, who has until now served as the local Sales Director, gets<br />
elevated to take over as head of the company’s Polish office. She will now report directly to Leo Vapalahti, the<br />
Helsinki based Area Manager Finland & <strong>Poland</strong> for Hapag-Lloyd AG.<br />
Air Berlin’s Board of Executive Directors has named its newest member – Christoph Debus, a 38-year old<br />
aviation expert, is set to assume a seat on the board on 1 June 2009. Debus is to be in charge of the company’s<br />
sales, network and IT.<br />
Before joining Air Berlin, Debus was for four years the Managing Director at the Condor airline, and concurrently<br />
a member of the Airline Executive Board of Thomas Cook Group. Prior to that, he was a partner at Roland<br />
Berger Management Consultants, where his responsibilities included areas such as aviation, tourism and<br />
the car industry. Debus holds a degree in industrial engineering from TU Darmstadt and the École Centrale<br />
de Lyon.<br />
Adam Olesiejuk
www.mainport-hamburg.de<br />
Port of Partnership