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Port of Rotterdam and North Rhine-Westphalia – Partners in Logistics for Germany

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The minister made this clear during a parliamentary evening on the theme Transport and Logistics hosted yesterday evening by the NRW Economy Ministry and the Port of Rotterdam Authority in the NRW representative office in Berlin. Mutual relations and federal German transport policy were at the focus of the meeting.

“North Rhine-Westphalia is the hinterland and the extended quayside for the ZARA ports (Zeebrugge, Amsterdam, Rotterdam, Antwerp). Good transport links are key to economic cooperation. We attach great importance to trimodal solutions and properly functioning logistics chains. The Betuwe Freight Railway that links the ports of Amsterdam and Rotterdam with the Ruhr is especially important for NRW,” Voigtsberger said.

Hans Smits, CEO of the Port of Rotterdam Authority: “North Rhine-Westphalia has always been a natural partner for us in Rotterdam through the link along the Rhine. Without the industry and economy over there and in other regions along the Rhine, the port of Rotterdam would never have achieved the status that it has today in Europe. We would like to make this clear through this event in Berlin. We feel ourselves indebted to the German economy.”

The figures on the cargo handled demonstrate this. According to surveys conducted by the Port of Rotterdam Authority, in 2010 around 110 million tonnes of cargo handled in Rotterdam were shipped to and from Germany. Of this, 72 million tonnes came from North Rhine-Westphalia or were destined for industry located in the area.

“For North Rhine-Westphalian industry, the port of Rotterdam, along with the other western ports, is the gateway to the world. We have our own efficient inland ports in NRW and to the west vibrant sea ports right in front of our door. Our exports-based economy is for this reason able to maintain itself in global competition. NRW is also a state with ports – that is this evening’s message,” Voigtsberger said.

Hans Smits: “The announcement from the federal German government that it is to invest an additional billion euros in infrastructure next year is precisely the signal that we need during times of increasingly restrictive budgets. As the Port of Rotterdam Authority, we will ourselves also continue to invest the accessibility of our port, for example through Maasvlakte 2, which is currently under construction. Investment in infrastructure is investment in future growth.”

In the interests of our common customers, the aim is to continue to improve the logistics chain in the future, along with North Rhine-Westphalia and the inland ports located there, Smits said.

Mega ships coming to Hamburg in ever growing numbers

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With a capacity of 14,074 TEU (20-ft standard containers) and operated by China Shipping Container Lines, this vessel is one of the AGF class of exceptionally large containerships and bulkers. This expression covers units with a length of more than 330 metres and/or a breadth of 45 metres. Between January and September 2011 alone, 674 mega-vessels called at the Port of Hamburg, including 621 containerships. Whereas in 2010 ships with a slot capacity of up to 10,000 TEU represented the giants among the containerships seen in Hamburg, even larger craft are now being deployed, in the Asia-Europe trade especially.

The giant ocean-going vessel with a length of 366 metres and a bread of 55 metres was given a commensurate welcome by representatives of the Port of Hamburg: Werner Viessmann, Head of habour master’s division and Bernd Ahlf, Director of Finances for Port of Hamburg Marketing, who presented Anatoliy Borodulin, Captain of the Hong Kong-flag ship with a Hamburg Admiralty plaque. The “CSCL Mars” had sailed on her maiden voyage in the joint Asia Europe Express Service 7 (AEX 7) run by the China Shipping Container Lines and Evergreen shipping lines from Shanghai at the end of October. She continued from there to the ports of Ningbo and Shekou and then on to Hong Kong, Yantian and Port Kelang. The “CSCL Mars” then passed through the Suez Canal and made two stops in ports in Western Europe before berthing at Eurogate Container Terminal in the Port of Hamburg on the afternoon of 7 December.

The increased deployment of larger ships on liner services between Asia and Hamburg is evidence of further growing container traffic between the two regions. In the first nine months of this year traffic with Asia attained a volume of over 3.9 million TEU and was accordingly up by 10.6 percent by comparison with last year. China continues to occupy No. 1 spot in the ranking of Hamburg’s top trading partners for container handling and this is another still growing link. At the end of the first nine months of 2011, around 2.3 million TEU had already been transported between Hamburg and China by sea, representing growth of 11.7 percent. The intensive cargo flows between Hamburg and East Asia are currently catered for by 27 liner services.

Built at the Samsung shipyard in Koje, South Korea, with a capacity of 14,000 TEU the “CSCL Mars” is among the largest of over 140 vessels in China Shipping’s fleet. At a press conference to mark a call by her sistership “CSCL Star”, China Shipping’s Vice President Hangzhou Zhao did not exclude the possibility that in future even larger vessels could play a role for China Shipping.

 The Port of Hamburg also needs to be prepared for calls by larger ships. The European Commission has in the course of the planning process expressed itself in favour of the adjustment of the Elbe navigation channel. “We are delighted that the European Commission has given the green light. We are reckoning on the neighbouring states of Schleswig-Holstein and Lower Saxony also reacting favourably and agreeing. The adjustment of the navigation channel is indispensable for both the infrastructure and the economy of North Germany. The Port of Hamburg powers jobs in the region, making it a leading employer,” said Claudia Roller, Port of Hamburg Marketing’s CEO in emphasizing the urgency of the work. In Berlin and Hamburg it is being assumed that the necessary planning consent can be granted in spring 2012.

 

ICAP Shipping and Saxo Bank involved in world's first electronic container freight swap settled in USD

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The counterparties to the trade were Saxo Bank in Denmark as the buyer and a Netherlands-based trading house as the seller. ICAP Shipping was the broker of the trade. The container freight swap agreement was executed on ICAP’s Webtrader platform, with manual input from ICAP Shipping brokers and cleared by LCH.Clearnet.

The trade was executed by rugby star Lawrence Dallaglio during ICAP’s 19th annual Charity Day. On ICAP Charity, all ICAP revenues are donated to a selection of 200 charities and celebrity patrons are invited to help close deals. Mr. Dallaglio attended ICAP Charity Day in support of Cancer Research and Great Ormond Street Hospital.

Container freight swap agreements lock in the freight exposure for standard containers transported from Asia to Europe, Mediterranean countries and the United States. Cash flow for this sort of freight exposure has been unpredictable for retailers, importers and logistic companies in the past and the concept of pricing container freight against indices and using swap agreements to manage the risk has attracted many industry participants over the last year. Screen execution with the added surety of voice broker assistance was a key requirement of customers.

Henry Liddell, CEO ICAP Shipping said: “The execution of the world’s first electronic container freight swap agreement is an important milestone in the on-going development of the container swaps market. This youngest segment in the shipping industry has seen a rapid growth over the last decade and will become an even more important risk management tool in the current economic environment. Container swaps are a hedging tool for the container industry to manage the price volatility of the physical market.”

Johan Gade, Freight & OTC Derivatives, Saxo Bank said: “We fully support electronic freight derivatives trading and believe that going forward container swaps will be a valuable addition to the electronic dry bulk and tanker freight derivatives offering we are about to launch.”

South San Diego Bay could one day be home to a renewable energy facility

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The topic will be discussed at the December 13 monthly board meeting. The meeting will be held at the Port Administration Building, 3165 Pacific Highway in San Diego, at 1 p.m.

Several renewable energy developers have approached the Port of San Diego about establishing alternative energy facilities on public land administered by the Port. The first proposal, in May 2010, was for a two-acre facility that would produce synthetic natural gas – biogas – from municipal garbage recycling residue.

Biogas is produced when organic matter is broken down through a process, producing a mixture of methane and carbon dioxide that can be safely used as fuel.

The idea was presented to the Port’s Environmental and Maritime Advisory Committees in October 2011. Both committees referred the proposal to the Board of Port Commissioners.

Germany is Europe’s leader in biogas technology and its leading producer of the alternative fuel. In 2010 there were 5,905 biogas plants operating throughout Germany. By comparision, biogas production in the United States is much smaller. It is a source of about 0.6 percent of the nation’s total natural gas consumption.

The idea for an alternative energy facility was presented to the Port’s Environmental and Maritime Advisory Committees in October 2011. Both committees referred the proposal to the Board of Port Commissioners.

Port staff is recommending an area for renewable energy production on Tidelands Avenue in National City between Civic Center Drive and Bay Marina Drive. The area is dominated by industrial maritime uses.

Potential connections exist between the National City waterfront’s marine related industrial uses and the  renewable energy industry, including:

Producing renewable, low emissions fuels for vessels and cargo handling equipment;

Expanding the use of sustainable energy among Port District tenants; and

Reducing solid waste and green house gas emissions from District tenant operations.

As an environmental steward of San Diego Bay, the Port protects San Diego Bay and the surrounding land. It has established a Green Port program to minimize its environmental footprint, and established an environmental fund, which has helped fund more than 60 projects around port tidelands.

The concept of a renewable energy facility supports the Port District’s mission for innovative and alternative uses of Tidelands.

If the idea for an alternative energy facility is approved by the Board of Port Commissioners, the Port could seek proposals from interested businesses during the first quarter of 2012

The Port of San Diego was created by state legislature in 1962 and is responsible for $1.7 billion in public improvements in its five member cities: Imperial Beach Coronado, Chula Vista, National City and San Diego.

The Port District oversees two maritime cargo terminals, two cruise ship terminals, 17 public parks, the Harbor Police Department and the leases of more than 600 tenant and sub tenant businesses around San Diego Bay.