Singapore Port hits 31.6m TEUs in 2012
For the first time in its history, the Port of Singapore's gantry cranes moved more than 30 million TEUs last year, retaining Singapore's position as the second busiest port in the world after Shanghai.
In 2012, Singapore Port moved 31.6 million TEUs, 5.7 per cent more than 2011's 29.9 million TEUs, Maritime and Port Authority of Singapore (MPA) figures show, reported Business Times Singapore.
Shanghai International Port Group reported earlier that 2012 container volumes in Shanghai had risen 2.5 per cent to 32.5 million TEUs from 31.7 million TEUs previously.
"As a key transhipment port at the crossroads of major trade routes, Singapore is not spared the effects of the uncertain global economy and the challenges faced by the global maritime industry," said Transport Minister Lui Tuck Yew. "But I am greatly encouraged that overall, Maritime Singapore has nevertheless registered good growth in 2012."
Jason Chiang, senior manager at Drewry Maritime Services (Asia), noted Singapore posted stronger container growth than Shanghai this past year, thanks to its prospering neighbours in Southeast Asia such as Indonesia, Thailand and the Philippines.
However, "for Shanghai, the recent trend has been towards developing domestic consumption to drive growth. This has seen a slowdown in international containers handled and an increase in the domestic containers," said Chiang, noting that domestic containers carried on barges are not counted in the port throughput.
Singapore's container volumes will probably increase in 2013, buoyed by strong Southeast Asian economic growth, said Chiang.
At the same time, Singapore is unlikely to overtake Shanghai again for the same reason, said Anthonie Versluis, Southeast Asia managing partner at Roland Berger Strategy Consultants.
Indonesia and Malaysia are building up their own port capabilities and capacities because "the larger the volumes in Singapore's competing ports, the easier it will be for them to grow faster", he said.
"Singapore's market share in the regional transhipment trade may slowly erode due to complexities in overcoming the rate differentials with its regional competitors," said Versluis.
"Of course, Shanghai is not without competition either, but the competitive dynamics are different. Here pricing is not key, as competition is mainly driven by size, connections and relative locations."
Even so, Singapore's port has set its sights on an ambitious target for its future.
It has long-term plans to consolidate all its container operations in a mega-port complex in Tuas designed to accommodate up to 65 million TEUs, nearly double what PSA Singapore terminals can currently handle.
In the meantime, it is expanding its current capacity. Lui said that progress for Pasir Panjang Terminal's phase three and four are on track, "with the first berth ready for operation by 2014".
SMF chairman Michael Chia said that Singapore continued to gain prominence as an international maritime hub among the global maritime community.
In November 2012, Singapore was deemed a new seat of maritime arbitration by the Baltic and International Maritime Council and would be listed alongside London and New York on all Bimco forms.
"This recognition by an established organisation like Bimco is a milestone achievement for Singapore as it is a reflection that Singapore is now officially recognised by the international maritime community as a key node of the global maritime network," said Chia.
Despite being its busiest ever, Singapore was still unable to wrest pole position from Shanghai port, which since 2010 surpassed Singapore to become busiest container port in the world.