Cambodia: Shipping companies concerned over congestion at PAS

• Aug 06, 2019

The Sihanoukville Autonomous Port (PAS), Cambodia’s sole deep-water seaport and one of its most important links to the outside world, is currently experiencing congestion, which has become a source of concern for some major international shipping companies.

Last week, Hapag-Lloyd, an international transport company based in Germany, issued an advisory to its clients regarding the matter. International maritime authorities and news sites have also reported on the problem.

The congestion could have serious implications for Cambodia, given the port’s importance to the country’s economy. Approximately 70 percent of Cambodia’s imports and exports pass through the port.

“Please be advised that Sihanoukville Port, Cambodia, has been rather congested in recent months. The terminal productivity has deteriorated due to the port and yard congestion. Feeder services and turnaround times are affected and feeder space is tight,” the advisory read.

The company said the problem could persist until construction of a new container yard is completed.

Phase one of the port’s expansion, which is funded by Japan, is underway and will bring online a 350-meter terminal. The new terminal will raise the port’s container-handling capacity from the current 700,000 twenty-foot equivalent units (TEUs) to 1.29 million TEUs by 2023.

“We understand that in an effort for medium-term improvement of this situation, Sihanoukville Port is building an extended yard for additional storage space. Before the new container yard is completed, port congestion may persist,” the advisory added.

Khmer Times tried to contact Lou Kim Chhun, CEO of Sihanoukville Autonomous Port, for comment but has not yet received a reply as of press time.

Source: https://www.khmertimeskh.com/50630492/shipping-companies-concerned-over-congestion-at-pas/