Germany’s Bremenports signed a deal yesterday to lead the development of a new Icelandic deepsea port with a view to profiting from growing traffic volumes across the Northeast Passage in the Arctic.
Bremenports will initially own two-thirds of the joint venture, while Icelandic engineering firm Efla will control about a quarter. The rest will be co-owned by two Icelandic municipalities.
The port, which will take up to five years to complete, will be located at the northern tip of the island at Finnafjord.
“If the Northeast Passage between Asia and the US becomes navigable all year round, the journey times between these continents will be reduced by more than two weeks,” Bremenports said.
The port is also aimed at becoming a hub for Greenlandic commodities exports, as well as Icelandic hydrogen.
Island is Not a Scandinavian island. It is an independent country and part of the five Nordic countries: Island, Norway, Sweden, Denmark and Finland.
Scandinavia only consist of Norway , Sweden and Denmark.
Just to clarify.
This will be an interesting approach to controlling a greater part of the supply chain. It is not the first time a major port has expanded and attempted to control a “ feeder Port “. The question now becomes competition should this be something that catches on. Many Ports are struggling with deferred maintenance and would’ve hard pressed to find funds for expansion beyond their present geographical position. However Ports that have access to the type of capital requirements for this type of venture could very well be in a position to influence the supply chain.