The Logistics Sector on the Southern Shores of the Western ... - cetmo

<strong>The</strong> <strong>Logistics</strong> <strong>Sector</strong>on the Southern Shores of the Western Mediterranean October 2010• Training: Although the SPC trains its own personnel, it needs experts in operationsmanagement so its activities can meet European standards and adapt to thetechnological advancements that new equipment brings with it. Maritime pilots alsorequire training, as it is the ports that provide pilotage services.• ICTs: It is anticipated that the PCS will enter into operation in 2011 (along with the LSW).External support from the European Union will be required to aid its development.In terms of the SPC’s strategy, in addition to continuing to improve port services it is alsoconstructing a 14-ha inland port 40 km from Tripoli, which will enter into operation in threemonths’ time. This new facility will help relieve the current congestion at Tripoli port andprovide improved working conditions once the new container terminal begins operation.However, the idea of constructing a rail connection to the inland port, which would solve theproblems of accessing the port, does not seem very probable, given the difficulties presentedby the section of the line that would pass through the city.General National Maritime Transport Company (GNMTC)Founded in 1975, the GNMTC is a State-owned shipping company that is essentiallydedicated to the transport of oil and its derivatives by sea.At present the company boasts capital of 1.2 billion Libyan dinars (697 million euros) and afleet of vessels with an average age of 3.6 years, made up of 24 tankers ranging in capacityfrom 29,000 dwt to 160,000 dwt, which together represent a transport capacity of over 2.1million tonnes. <strong>The</strong> company’s main market is the transportation of Libyan oil, whichaccounts for 80% of the company’s business, although it is also involved in the internationaltransportation of oil products.<strong>The</strong> GNMTC is a modern company that pays a great deal of attention to factors such as thetraining of personnel, quality and respecting the environment. It has ISO 9001 qualitycertification regarding services and ISO 14001 quality certification regarding theenvironment.In the past, the GNMTC was also active in the sea transport of solid bulk cargo, but itabandoned this activity when Italian companies entered the market and instead focused onthe transportation of liquids and liquid gases, where it competed better.While the company has felt the impact of the global economic crisis, it is currently following astrategy of diversifying its activities. Its main strategic lines of action include the following:• Expanding its maritime activities into other markets, including passenger transport andcruises. At present the company operates a mixed cargo and passenger (RoPax) linewith Italy that has a cargo capacity of 2,000 linear metres.• Seeking new alliances for the joint operation of chartered vessels and to provide servicesfor the major projects being implemented in Libya.• Acquiring new vessels and taking advantage of the substantial price reductions in themarket (a ship costing US$85 million before the recession can now be bought for US$60or 65 million, for example). As the company usually has long-term contracts, it is in itsinterests to buy instead of lease.Two key factors should be highlighted, one relating to improvements to its activities and theother to the impact of maritime transport on the coastline:CETMO 143