Terminal notes increase in container volume

THE International Container Terminal Services Inc (ICTSI) has noted an increase in container volume in the first half of the year, compared to the same period last year, says general-manager commercial Inigo Nunez Mendibe.
Volumes through the Lae Tidal basin alone have grown to more than 200,000 containers annually.
Productivity too has increased substantially.
“The ICTSI has seen double-digit container volume growth (year over year) for the first half of 2022 versus the first half of 2021,” he said.
“The current supply chain disruptions experienced by businesses was a result of the Coronavirus (Covid-19) breakout in China which strongly impacted the main East-West trading such as the Transpacific, Far East-Europe and Transatlantic trade.
“It had a ripple effect on smaller Pacific Island trades including Papua New Guinea.”
He said the disruption translated into an imbalanced supply and demand, driven by a less service consumption and more goods consumption by companies and individuals during the quarantine stage, that raised freight costs up significantly.
“Since its inception, the ICTSI South Pacific commitment was to facilitate international trade in the country by ensuring smooth and efficient flows in and out of PNG terminals.
“Hence, ensure the cost in the overall supply chain does not spike specifically because of our operations.
“In fact, ICTSI South Pacific only represents a seven per cent of the total cost of a container in the overall PNG supply chain.
“That being said, inflation is highest in years in PNG and that does not help the PNG citizen to be incentivised to consume.”