Container Terminal at Port of Itajaí Faces Uncertain Moment with Termination of Contract with APM Terminals

Written by Ruth Rodrigues

Published on 21/10/2022 at 12:42

Foto: Marcos Porto

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The Contract of Itajaí Port with APM Terminals Will Be Finalized in December and the Complex Is Currently Experiencing Times of Uncertainty. With the Privatization Process Underway, the Management of the Container Terminal Is Still Uncertain at the Location.

Although it is one of the most profitable port complexes in the state of Santa Catarina, Itajaí Port is now going through moments of instability. This is because the management contract for the container terminal by APM Terminals is coming to an end. Thus, the port authority is without contracts for the operation of the terminal. The privatization process still threatens the future of port operations at the site.

Finalization of the Contract with APM Terminals Brings Uncertainty Regarding the Management of the Container Terminal at Itajaí Port

The last months of 2022 are moments of uncertainty for the port authority and the companies present at Itajaí Port.

This is because the management contract for the port terminal, the main cargo handling structure of the complex, is coming to an end.

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APM Terminals will finalize the agreement with the port authority in December, and there are still no substitutes for the continuity of management of the terminal in the following months.

In addition, the privatization process, which is underway but has no timeline for completion, puts the future of Itajaí Port at risk, which could be handed over to the private market next year.

Currently, the main concern regarding the termination of the contract with APM Terminals is the risk of discontinuity of operations and business stoppage at the container terminal of the complex, amid the privatization process.

This would be the biggest problem for the port authority of Itajaí Port, given that the structure is the largest lease for the location.

To resolve this bottleneck, the port administration attempted to reach a temporary agreement with the company, but it remains adamant about finalizing the contract.

Additionally, in August, a simplified bidding process was held, won by CTIL Logística, but the process was halted by Antaq (National Agency for Waterway Transportation).

The CTIL Logística group has experience in bulk areas but has not previously operated a container terminal.

This is the main concern, in addition to the fact that it may not be available for the continuity of operations at the location with the end of the contract with APM Terminals.

APM Terminals Would Be Interested in a Temporary Contract, but Bidding with Antaq Is Hindering Business with the Port Complex

While the privatization process does not advance to finalize the handover of Itajaí Port to the private market, the only solution is the temporary contract with an open bid in August.

Although the contract with APM Terminals is ending and the company has no interest in a new outside agreement, it stated that it would be interested in the temporary contract offered in August.

It also stated that it did not participate in the August bidding because the deadline for submitting proposals was very short, about ten days.

The process was halted by Antaq due to irregularities and the need for adjustments, but the executive Aristides Russi Junior, superintendent director of APM Terminals Itajaí, states that it is essential for the agency to make an urgent decision regarding the future of the container terminal.

“The ship from Asia, which is our main route, takes 45 days to arrive. So, the shipowners need to make this decision now; the cargo needs to leave there with a defined destination,” he emphasized.

Amid the uncertainties regarding privatization and the future of the operation of the container terminal, Itajaí Port can only wait for Antaq’s decision.

Container Terminal at Port of Itajaí Faces Uncertain Moment with Termination of Contract with APM Terminals

The Contract of Itajaí Port with APM Terminals Will Be Finalized in December and the Complex Is Currently Experiencing Times of Uncertainty. With the Privatization Process Underway, the Management of the Container Terminal Is Still Uncertain at the Location.

Finalization of the Contract with APM Terminals Brings Uncertainty Regarding the Management of the Container Terminal at Itajaí Port

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Container Terminal at Port of Itajaí Faces Uncertain Moment with Termination of Contract with APM Terminals

The Contract of Itajaí Port with APM Terminals Will Be Finalized in December and the Complex Is Currently Experiencing Times of Uncertainty. With the Privatization Process Underway, the Management of the Container Terminal Is Still Uncertain at the Location.

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APM Terminals Would Be Interested in a Temporary Contract, but Bidding with Antaq Is Hindering Business with the Port Complex

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