Suez Canal Container Terminal receives Minister of Transport during field visit to view development work

The initial stage of Phase II is planned to be inaugurated during the second half of 2010. Total completion is scheduled for 2011, the annual throughput capacity will be increased to 5.4 million TEU.

SCCT's Managing Director, Mr. Jens Floe, expressed his delight at the Minister's visit, since it is the Ministers first visit since taking up office.

"We hope to continue our fruitful relationship with the Ministry so as to fulfill development objectives for the East Port Said Port, in particular. Not to mention the container handling industry in general," said Jens Floe, SCCT's Managing Director.

"Construction work in this phase includes the expansion of the existing yard area and the quay, as well as creating new maintenance workshops in order to provide outstanding service to our clients," said Jens Floe, SCCT's Managing Director.

Mr. Jens Floe added, "...with the progress we are achieving, and the increase of the terminal's capacity; we need to implement our projects to take advantage of the good corporation with the Egyptian government. These will provide an internal transport network to link the terminal with the rest of the country: railways, tunnel and other facilities to enable container movement to and from the port."

"We are pleased with the productive cooperation with the government. We are taking part in the development of a side channel in the East Port Said Port. This will help improve the throughput of the port," added the Managing Director.

By completing the implementation of Phase II, the Suez Canal Container Terminal, with its excellent location, will secure a leading position in the market by having a major share of the container trade in the eastern Mediterranean and Black Sea. It will also be able to provide more direct and indirect job opportunities, as well as opening doors for economic container-related projects in Port Said and the whole Mediterranean region.

The company generates revenues for the Egyptian economy by means of attracting various international shipping lines. Thereby, port fees and customs contribute to the national income as well as concession and lease fees paid by SCCT.

"SCCT performance has been outstanding when compared to similar facilities. It has gained market share within the East Mediterranean. The company strives to steadily increase its capacity in proportion with the trade volume in the region, taking into account the expected build-up over the coming decades. Most of the current terminals in the market have a capacity over the available and the expected throughput. However, we take this into consideration so as not to over expand," Mr Floe said.

Regarding the consequences of the global economic crisis and its effect on trade movement and competition, Mr. Floe said, "Studies by Drewry revealed a horrifying 18% gap in the supply and demand balance."

The Drewry Consultancy provides commercial, economic, technical consulting and publishing services to the international shipping and logistics industries. It also compiles reports for the Maritime Transport Sector.

Mr Floe added "In 2009, overall port volumes in the Mediterranean went down by 20%, compared to 2008. While East Mediterranean volumes went down on average by 8%."