Port expansion, digitalization and sustainability in Latin American ports
March 16 2021
From 2-4 March, 20 maritime companies from the Netherlands and the Caribbean parts of the Kingdom of the Netherlands (KNL) participated in a regional digital trade mission on port development to Colombia, Peru and Ecuador. Objective of the mission: learning about the new trends and opportunities in Latin American ports, network building and network maintenance. The mission was led by the recently appointed figurehead of the international topsector ‘Water and Maritime’, Ms. Thecla Bodewes.
The Latam region has been hit hard by the pandemic, with GDP contractions up to 20 percent in some countries. The maritime industry, however, has proven to be resilient: export volumes in most countries are growing (Peru even 20 percent growth) and some countries report higher TEU volumes in 2020 than in 2019.
Efficiency, dredging, expansion and modernization through automation and digitalization were recurring topics during the mission. In addition, promising niches markets for KNL companies are in the fields of education, cold chain, sustainability, safety & security and energy transition. During the mission, the companies presented their solutions and expertise to their Latin American counterparts.
This second digital maritime trade mission organized by RBD Latam in close collaboration with Holland House Colombia, followed on a similar mission to Central America in December 2020. The mission focused on business opportunities for KNL companies in Peruvian, Ecuadorian and Colombian ports. Both newcomers, such as Blue 21 (floating constructions), and companies that have been active in the region for a long time, such as Damen (shipbuilding) and Port of Rotterdam International, participated. Twenty companies participated, including Delta Security International, based on Bonaire.
Ambassadors Nathalie Lintvelt (Peru and Ecuador), Ernst Noorman (Colombia), Head of Economic Affairs Caroline Ramaekers (Colombia) and Regional Economic Envoy Marc Hauwert held presentations and moderated meetings between KNL entrepreneurs and their Latin American counterparts. Virtual visits were paid to the Ports of Cartagena, Urabá, Antioquia and Callao, where local stakeholders presented investment plans in port infrastructure and stressed the importance of these investments post Covid. They also mentioned challenges in the port-city relation, such as limited expansion possibilities, congestion, safety and security, and the environment. Lars Vang Christensen (APM Terminals Lima) elaborated on their port-expansion plans in Callao and the complexity of the relation between the port and the adjacent city. Their escape is expansion into the sea through land reclamation.
Rodrigo Salas (Colombian Agency of Infrastructure) elaborated on the Colombian project Canal del Dique, for which Royal Haskoning executed a study that might also generate orders for Dutch companies in such sectors as dredging. Juan Acosta (Contecar Cartagena) stressed the longstanding relation with Dutch maritime companies such as STC and their interest in innovation through collaboration with start-ups and accelerators. All Latam ports and terminals underlined their close relationship with China, either as an investor, equipment supplier and/or as terminal operator. Another overall ‘trend’ are the continuous challenges regarding good hinterland connection; countries lack adequate multimodal systems. No wonder, Latam ports are in need for innovation and very much open to collaboration with start-ups and accelerators.
For many participants, dredging and digitalization opportunities in the Ecuadorian ports of Guayaquil, Bolivar, Manta and Esmeraldas were an eye opener. Holland House Colombia and STC presented their recent port-digitalization study for Ecuador, which was commissioned by RBD Latam prior to the mission. This study is a supplement to the already existing report on digitalization in Latam ports.
Mission leader Thecla Bodewes chaired the evaluation of the mission. Participants were positive about digital missions in general, especially when it comes to first-market contacts, market orientation and time-cost efficiency. 86 percent of the participants indicated to have gained new leads for their company, 29 percent stated these would definitely lead to new deals and 50 percent thought this might be the case. Participants also thought that digital missions were here to stay, though they would prefer a combination of hybrid missions, digital missions and face-to-face missions.
Click here for more information on the mission and the Study on Port Digitalization in Latin America.