Transcript Slide 1
A REVIEW OF MOMBASA PORT PERFORMANCE, CAUSES OF CONGESTION AND WAY FORWARD Presented by: Eng.Joseph Atonga Chief Operations Manager Kenya Ports Authority. On 25th September, 2008 THE PRESENTATION COVERS: • 1. PORT PERFORMANCE. • 2. CAUSES OF CONGESTION. • 3. ATTEMPTED SOLUTIONS. THE GLOBAL PICTURE The following factors have impacted negatively on ports capacity globally • Global container port throughput has grown substantially in the last few years • Growth in transshipment more rapid than Direct import/export • Increase in hub-and spoke distribution of containers • Increase ship size. Over 70% ships ordered over 7000 TEUs • • Empty containers represent over 20% • Lead time for delivery of STS now close to 2 years IN THE REGION • Economic growth and stability in of the East and Central Africa region • Port of Mombasa strategically placed regionally. • Ongoing Improvement of road infrastructure • Transshipment cargo for Island Regional economies PORT PERFORMANCE – TOTAL THROUGHPUT 2003 - 2007 18,000 16,000 14,000 '000' DWT 12,000 10,000 8,000 6,000 4,000 2,000 0 2003 2004 2005 2006 2007 PORT PERFORMANCE – TOTAL THROUGHPUT – COMPARATIVE ANALYSIS JAN-JUN 2007 / JAN – JUN 2008 The port has already registered a 3% increase compared to the same period last year 7,000,000 Throughput Traffic (DWT) 6,000,000 5,000,000 4,000,000 IMPORT EXPORT 3,000,000 2,000,000 1,000,000 0 JAN -JUN 2007 JAN - JUN 2008 PORT PERFORMANCE – DELIVERIES BY ROAD AND RAIL FOR JANUARY UPTO AUGUST 2008 18,000 16,000 14,000 UNITS 12,000 10,000 8,000 6,000 4,000 2,000 0 JAN FEB MAR APR MAY JUNE JULY AUG CARGO THROUGHPUT JAN – JUN. 2008/07 (‘000’DWT) Change Category 2008 2007 Volume % Total Imports 6,427 6,272 155 2.5 Dry General 2,361 2,376 -15 -0.6 Dry Bulk 1,314 1,107 207 18.7 Bulk liquids 2,752 2,789 -38 -1.3 Total Exports 1,325 1,250 75 6.0 Dry General 1,120 1,018 102 10.0 Dry Bulk 100 136 -35 -26.1 Bulk liquids 105 96 9 9.3 T/Shipment 267 193 74 38.4 8,019 7,715 304 3.9 Total MARKET SEGMENTATION JAN-JUN % JAN-JUN % 2008 SHARE 2007 SHARE Volume DOMESTIC 5,476 68.3 5,387 69.8 89 1.7 TRANSIT 2,276 28.4 2,135 27.7 141 6.6 267 3.3 193 2.5 74 38.4 8,019 100 7,715 100 304 3.9 TRANSHIPMEN T TOTAL CHANGE % CONTAINER TRAFFIC JAN – JUN 2008/07 (TEUs) 2008 2007 JAN-JUN JAN-JUN 209,348 197,043 6.2 69.5 70.3 91,952 83,285 10.4 30.5 29.7 Total 301,300 280,328 7.5 100.0 100.0 Imports 140,842 134,878 4.4 46.7 48.2 Exports 138,187 127,684 8.2 45.9 45.5 22,271 17,766 25.4 7.4 6.3 301,300 280,328 7.5 100.0 100.0 FULL EMPTY Transhipment Total Growth Share 2008 Share 2007 TRANSIT TRAFFIC JAN-JUN 2008/07 (DWT) CHANGE SHARE 2008 2007 UGANDA 1,726,395 1,651,173 75,222 % CHAN GE 4.6 TANZANIA 110,133 111,223 -1,090 BURUNDI 19,403 28,245 RWANDA 151,780 SUDAN D.R.C. VOLUME 2008 2007 75.8 77.3 -1.0 4.8 5.2 -8,842 -31.3 0.9 1.3 128,829 22,951 17.8 6.7 6.0 107,178 79,163 28,015 35.4 4.7 3.7 149,143 128,195 20,948 16.3 6.6 6.0 SOMALIA 11,100 8,277 2,823 34.1 0.5 0.4 OTHERS 1,021 210 811 386.0 0.0 0.0 2,276,152 2,135,315 140,837 461.9 100.0 100.0 TOTAL TRANSIT TRAFFIC JAN,2007 – JUN,2008 (DWT) 500,000 450,000 2007 2008 400,000 CONTAINER TRAFFIC JANUARY 2006 - SEPTEMBER 2007 (TEU'S) 350,000 DWT 300,000 TREND LINE 250,000 200,000 150,000 100,000 50,000 TRA NSIT TRA FFIC JA N 3 0 1,3 5 FEB M AR 3 2 5,2 3 3 7,6 1 3 77,9 8 3 9 6 ,9 A PR M AY JUN JUL A UG SEP OCT 3 9 6 ,10 3 6 7,59 4 2 8 ,75 3 58 ,4 5 3 76 ,4 TRANSIT TRAFFIC NOV DEC JA N 4 4 7,2 3 0 9 ,2 3 3 5,8 FEB JANUARY -JUNE 2008 UGANDA 75.8% OT HERS 0.0% T ANZANIA 4.8% SOMALIA 0.5% D.R.C. 6.6% SUDAN 4.7% RWANDA 6.7% BURUNDI 0.9% M AR 3 2 6 ,71 4 4 9 ,0 A PR M AY 3 8 4 ,6 3 55,15 JUN 4 2 4 ,75 Measures of Performance Jan Jun. 2008/07 BERTH JAN-JUNE, 2008 JAN-JUNE, 2007 % Mombasa Container 85.2 88.8 -3.6 Conventional Cargo 48.4 40.6 7.8 Shimanzi Oil 56.3 64.3 -8.0 Kipevu Oil Terminal 77.9 82.1 -4.3 Mbaraki 49.0 64.9 -15.9 2008 2007 Volume Avg. Turnaround 4.2 4.0 0.2 Avg. Dwell Time 13.1 13.2 -0.1 Moves Performance/24hr Vessel Performance Moves TEUs Gross Net Gross Net Total/Averag 130,745 167,520 228.8 282.7 236.0 270.6 Total 2008 2007 CONGESTION AT THE CONTAINER TERMINAL YARD POPULATION IN UNITS FOR JAN TO SEP 2008. 14,000 12,000 10,000 8,000 6,000 4,000 2,000 0 JAN FEB MAR APR MAY JUN JUL AUG SEP FACTORS AFFECTING CONTAINER TERMINAL PERFORMANCE Rapid increase of container traffic volumes Importers use the port as a storage area Average dwell time of 13.1 days Poor off take by rail. Rail now handling only 6% Lack of adequate capacity by road and poor road infrastructure. Long bureaucratic cargo clearance processes Capacity constraint FACTORS AFFECTING CONTAINER TERMINAL PERFORMANCE Inadequate equipment to handle the growing traffic Changing routing patterns i.e. shorter rotations. Mombasa is now a feeder port. Deployment of additional vessels by shipping lines New shipping Lines Deployment of unsuitable vessels Changing box ratio. More 40 foot containers(45/55) Bunching of vessels & unscheduled arrivals Overbooking of cargo by shipping lines, causing cancellations and Rollovers Late submission of clearance documents Delayed Submission of Ships manifests MEASURES SO FAR TAKEN TO EASE CONGESTION 1. Implemented 24/7 working arrangement in loading, Delivery, Verification and gate operations 2. Appointed 2 private Container Freight Stations (CFS) to handle container overflows as from October 2007. 55,000 TEUs so far transferred to the CFSes 3. Ongoing consultations to include more CFSes 4. Discussions on modalities to transport ICD-Bound cargo on Through Bills of Lading by road are ongoing. 5 Granted stevedoring license to Messina Line 6. Increasing yard capacity from 5000TEUs to 14300TEUs MEASURES SO FAR TAKEN TO EASE CONGESTION 7. Dedication of berth 13 and 14 for use by Mearsk: • All Maersk ships only work at Berths 13 & 14 • Maersk supplemented KPA equipment with their own. • This arrangement took effect 1st June 2007 as a temporary measure to improve on ships turnaround time. • Implementation of Kilindini Waterfront Automated Terminal Operating System(KWATOS) went live 01.07.08 Kwatos Go-live Challenges • • • • • • • • Data Uploads and Migration End-user adaptation Information flow from shipping agents Information flow from Kenya Revenue Authority Network instability Truck registration User registration Five (5) Day working week Deliveries After Go Live Expected Business impact post -kwatos • Improved port efficiency through electronic collection, capture and dissemination of planning and operational data • Integration with CBS will allow for data exchanges and interactions with trade community stakeholders • Overall Results – Faster delivery of cargo & reduced cargo dwell time – Fewer displacements & resources required from port users – Enhanced efficiency of port infrastructure and human resource THE CHALLENGES • Rapid increase of traffic to continue • More dependence on road for off take • Implementation of three axle Rule for road hauliers will lead to more containers in the port • Container dwell time must be reduced MEDIUM/LONG TERM INITIATIVES • Two STS cranes and 10 RTGs to be acquired •To build berth 19 as an extension of berth 18. • Construction of a 2nd container terminal • Expected to be ready by 2015 and will handle 1.2 million TEUs annually. Phase 1 to ready by 2013 •Dredging of the shipping Channel to 15meters •Utilization of small ports •Development of a second commercial ports DEVELOPMENT OF THE 2ND COMMERCIAL PORT • Port capacity to be exhausted by 2020 • Possible Sites: Lamu Kilifi Shimoni Proposed New Container Terminal Plan . THANK YOU