Panama Canal Expansion -Inaugural Transit

Panama inaugurated the long-awaited Panama Canal expansion on Sunday, 26 June 2016 with the ceremonial transit of the China Shipping Panama through the new neo-panamax Agua Clara locks on the Atlantic side.

The $5.25 billion Expansion Program is the largest improvement project in the Canal’s 102-year history, and included the construction of new, larger locks on both the Pacific and the Atlantic sides and dredging of more than 150 million cubic meters of material, creating a second lane of traffic and doubling the capacity of the waterway.

Despite challenges facing the global shipping industry, the larger canal is anticipated to open up new routes, services, and market segments, such as liquefied natural gas (LNG). Source: gCaptain.com – Pictures courtesy of Panama Canal Authority

Jamaica plans global logistics hub

The Port of Kingston – ripe for development

The Port of Kingston – ripe for development

The Government of Jamaica has revealed ambitious plans to turn the Caribbean island in to a global logistics hub – and high level talks have already begun with the aim of increasing volumes of sea cargo.

Projects under discussion include developing the Port of Kingston ahead of the expansion of the Panama Canal and the development of a new commodity port to be built in eastern Jamaica which will specifically handle petroleum products, coal, minerals and grain.

At the same time, there is talk of constructing an air cargo airport to help with increased volume of boxes and the construction of large scale ship repair docks to service the increasing volume of post-panamax vessels.

Dr Eric Deans, chairman of the Logistics Task Force, said a market of 800 million people, including the USA and Brazil, can be accessed readily from Jamaica. He said trade opportunities are due to “burst wide open with the expansion of the Panama Canal scheduled to be completed in 2015; the multi-billion stimulus package by Brazil for World Cup 2014 and Olympics 2016; and the growing middle class in Latin America.”

He added that a critical aspect of the global logistics hub initiative is the broadening of bilateral collaborations with Jamaica’s global partners, and encouraging private sector investment and financing through private-public partnerships (PPPs).

Talks regarding the set-up of special economic zones are already underway with local and foreign investors.

The Jamaica Ministry of Industry, Investment and Commerce, which is spearheading the initiative, says that it will help give the country a global logistics supply chain that is able to compete with the likes of Singapore, Dubai and Rotterdam.

Perhaps this initiative could spur on our local authorities to actually move on ‘logistics hubs’ here in South Africa. While the huge expansion plans for our existing harbours, railroads are pursued, it is high time that the likes of Tamboekiesfontein, for instance, and other privately initiated transit hubs are taken seriously, and in an integrated manner to benefit commerce and trade in the Southern African region.

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How much bigger can container ships get?

Check out this superb article – click here – featured on BBC News Magazine‘s website –

What is blue, a quarter of a mile long, and taller than London’s Olympic stadium? The answer – this year’s new class of container ship, the Triple E. When it goes into service this June, it will be the largest vessel ploughing the sea. Each will contain as much steel as eight Eiffel Towers and have a capacity equivalent to 18,000 20-foot containers (TEU). If those containers were placed in Times Square in New York, they would rise above billboards, streetlights and some buildings. Or, to put it another way, they would fill more than 30 trains, each a mile long and stacked two containers high. Inside those containers, you could fit 36,000 cars or 863 million tins of baked beans.

The Triple E will not be the largest ship ever built. That accolade goes to an “ultra-large crude carrier” (ULCC) built in the 1970s, but all supertankers more than 400m (440 yards) long were scrapped years ago, some after less than a decade of service. Only a couple of shorter ULCCs are still in use. But giant container ships are still being built in large numbers – and they are still growing.

It’s 25 years since the biggest became too wide for the Panama Canal. These first “post-Panamax” ships, carrying 4,300 TEU, had roughly quarter of the capacity of the current record holder – the 16,020 TEU Marco Polo, launched in November by CMA CGM.

In the shipping industry there is already talk of a class of ship that would run aground in the Suez canal, but would just pass through another bottleneck of international trade – the Strait of Malacca, between Malaysia and Indonesia. The “Malaccamax” would carry 30,000 containers.

There are currently 163 ships on the world’s seas with a capacity over 10,000 TEU – but 120 more are on order, including Maersk’s fleet of 20 Triple Es. Source: BBC News Magazine