For a port to increase TEUs (or new port to expand), what are the POSSIBLE strategies to attract main shipping liner to berth?
The first necessary step is to conduct the capacity and growth plan, conduct the feasibility analysis, develop a marketing plan by recruiting professional marketing experts, and have clear statistics available for potential consumers about the ways your port is precisely the one meeting their needs.
Purely theoretical question I belive. No one is building or expanding port without proper analysis. You must be more precise - what expansion is planned?
A port is upgrading its facilities. Now bigger capacities on which can handle more containers (supply driven). In an effort to increase TEUs or utilize the facilities, what possible strategies that can be done to attract shipping liners to berth or change route to this port.
Contradictions in the question - increase utilization & attract shipping lines, vs build more capacity ! surplus capacity exists so why more?
All ports have to make technological upgrades - these are incremental based on capacity usage at present vs emerging trends.
So the problem is incorrectly stated.
Not really. capacity of a port has been expanded. Now, can handle more containers. But, how to attract more shipping liners to berth at a port so that the port expansion in terms of capacity, is justified.
If you expanded in capacity following a common philosophy of "build they will come!" ,then you can only capture traffic on what ever basis you assumed.
On the other hand if you knew where growth would come and built this into your calculations then operationalise these assumptions accordingly.- e.g a marketing strategy on capturing the opportunities you identified in your feasibility.
In my opinion, firstly the needs of line operators should be analyzed. What are their needs; speed, new equipment, warehouse capacity ,storage capacity etc.? And have to analyze regional customers of liners and their needs. Sometimes, a very big customer of line operator can influence the decision.
This is a very long process. As a starting point, I suggest talking to the main operators that call at competing ports in the region and ask them if they would consider shifting to this new (or expanded) port and under which conditions.
Cargo consolidation talk/negotiation with neighboring port is important.
I think good infrastructure to enable ships to make a quick turnaround. A good relationship/connection with ship operators and neighbouring ports is fundamentally essential as well. Good luck!
First the need for added port capacity be ascertained prior investment. Then the requirements of modern shipping lines and terminal operators working in the area be investigated. Accordingly, the handling equipment, berth length/depth, storage capacity, use of technology, HR competence, service reliability, competitive handling charges, smooth processes, quicker ship turnaround time and land connectivity should be reviewed. Efficient working of terminals having compatible infrastructure can attract shipping liners to operate from a port.
Hey Friend Rafiq Idris ,
there are few factors that can help a port to attract shipping lines. If you look at it from a commercial prospective, then location, rates and your access to a busy hinterland could help you anchor shipping lines at your port. Lets say you are in a competitive location where there is other ports competing in the same market, then your Value proposition would be technology or infrastructure etc, the more you spend in your infrastructure/superstructure the harder/expensive you make it for your competitors to compete with you.
For HUB ports or transshipment ports, you can attract customers by location of the Port, rates, and faster turnaround.
So I believe if the port has the right infrastructure, superstructure, location,, access to hinterland, technology then it would be to attract the shipping lines.
Regards
I don't think location is the right answer because the port is already built. So, in my view, advanced equipment and faster turnaround are among the factors that can help attract shipping lines to berth in a new port or a port to grow.
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