DP World eyes the Arctic as ‘one of the last great trading routes in the world to be developed’
DP World will carry out a feasibility study with FESCO, Russia’s largest intermodal transport operator, on developing a new container berth at Vladivostok with an eye on growing Arctic shipping volumes via the Northern Sea Route.
The study follows an earlier agreement between DP World and Rosatom to explore development on the Northern Sea Route.
Sultan Ahmed Bin Sulayem, group chairman and CEO of DP World, commented: “DP World supports President Vladimir Putin’s vision for the Northern Sea Route, which is one of the last great trading routes in the world to be developed. Opening up an alternative route to the Suez Canal between east and west will increase the resilience of world trade. It has great potential to develop economic activity and prosperity in Russia’s far north. It must be done sustainably to protect the pristine waters of the Arctic.”
Opening up an alternative route to the Suez Canal between east and west will increase the resilience of world trade
Under the plan cargo will be brought to Vladivostok by feedering ships and rail from countries in East Asia and loaded onto Arctic-class containerships. Murmansk will be further developed as a transhipment hub in the west to connect cargo to ports in Northwestern Europe. DP World’s feedering operations will serve both Vladivostok and Murmansk.
A record 33m tonnes of cargo was carried along the route in 2020. Putin has set a target of 80m tonnes by 2024. The project cuts some 4,000 nautical miles from voyages between East Asia and Northwestern Europe.
DP World’s keenness to enter the Arctic trades comes at a time where many major global liners have vowed to avoid the area, citing environmental concerns.
