Business News of Saturday, 19 November 2016

Source: thechronicle.com.gh

Tema Port expansion to save $400m in sea freight charges

Tema Port.     File photo. Tema Port. File photo.

President John Dramani Mahama has cut the sod for work to begin on the Tema Port expansion work.

This ambitious project involves an upgrade and significant expansion of Ghana’s main seaport.

The project is a Public Private Partnership between the Ghana Ports and Harbours Authority (GPHA), representing the Ghana Government and Meridian Ports Services (MPS).

The successful completion of this initiative is set to fundamentally change Ghana’s position in West Africa’s maritime industry by effecting an increase in trade flow and improvement in transport links across West Africa.

The expanded port will have a 1.4 km quay with four deep berths, equipped with sophisticated container handling gantry cranes and Terminal Operating Systems.

Its capacity to accommodate cargo ships will consequently be four times greater than its current capacity. Tema Port will then be able to handle some of the world’s biggest container ships, carrying up to 18,000 containers.

In his inaugural speech, President John Mahama said: “Government’s decision has been to position the ports of Ghana as a trade and investment gateway to the West African sub-region.

“The overall economic impact of this project will translate into 400, 000 jobs along the logistics chain. The investment being made would change the dynamics of the country’s maritime industry over the next 100 years.”

The first phase of this project will involve the construction of a breakwater, dredging the entrance channel to accommodate larger ships, building a quay wall and reclaiming the terminal area behind the quay wall. Mr. Richard Anamoo, Director General of the Tema Port, expressed his delight at this initiative and reiterated the authority’s commitment to contributing relevant and tangible resources to improve the economic status of Ghana.

“GPHA appreciates the harbour expansion project as an important step in achieving the dream of being a regional leader in the maritime industry. We recognize the collaboration of our partners and are grateful for their support,” he stated.

Mr. Mohamed Samara, Chief Executive Officer of Meridian Port Services (MPS) said, “We have selected top contractors and consultants for this project and will be placing a strong emphasis on local content.

“By the time it is finished, this sea port will be a world class port that could match the capacity of world renowned ports and compete most favourably with the largest ports on this continent.”

The Tema Port expansion is in response to increasing trade volumes of export goods and imports into the country as well as the growth in global economic activity. If not for the expansion, Tema Port would have exceeded capacity within the next three years.

“The fourfold increase in capacity will ultimately translate into significantly reduced handling costs, thus making shipping in Ghana more cost effective and competitive.