Acknowledging “challenging times” Khaw Boon Wan, Singapore’s minister for transport, has announced cuts in port dues for containerlines calling at the world’s second largest container destination. Singapore box volumes contracted by 8.7% last year, largely caused by the overall slump in Asia-Europe volumes, Khaw revealed, while speaking at a function this evening convened by the Singapore Maritime Forum.
From January 15, Singapore port will be granting an additional 10% concession on port dues for container vessels, if they are carrying out cargo works with a port stay of not more than five days. The additional concession will be in place for one year, and will be granted on top of existing port dues concessions such as the Green Port Programme incentives and the 20% concession first introduced in 1996.
The gap between Singapore and Shanghai, the world’s largest box port, continued to grow last year and there is now estimated to be about a 6m teu difference between the two Asian giants. Singapore was the largest boxport in the world until it was overtaken by the China’s financial metropolis in 2010.
The minister was speaking at an SMF function where Andreas Sohmen-Pao, chairman of BW Group, was announced as the new chairman of the body designed to promote the city state as an international martitime centre. He takes over from Keppel’s Michael Chia.