Private investments in the Port of Constanţa (Romania) are soon to follow, thanks to increased interest in the area from various companies.
The Director of the National Company for the Administration of Seaside Ports (CN APM SA), Nicolae Dan Tivilichi, announced new and massive investments in Romania’s largest sea port. The General Manager declared, as part of a press conference, that private investments are now opened, with a decision like this sure to attract new business. This will, in turn, increase the port’s performance indicator, along with the cargo flow. The rise in investments is also possible thanks to efficient collaboration between the administrative personnel, Port operators, local and regional authorities and the Ministry of Transport.
The investments will most likely unfold over a period of five years. Private companies have already promised 120 million EUR for the Port operations, according to the General Manager. “We expect (total) investments to surpass 180 million EUR by the end of the year”
Much of the business inside Romania’s largest sea port concentrates on grains. Around 20,7 million tons of this type of cargo passed through in 2016, a significant increase from 2012’s 10 million tons. There is also the possibility the numbers will continue to increase, with around 10%, by the end of the year, compared with 2016’s results.
An interesting fact about the Romanian Port, according to Mr. Tivilichi, is that the area is large enough to account for development. Other ports in the area, such as Hamburg have expanded to the maximum possible area and can’t accommodate more business. The Port of Constanţa is estimated to have reached half of its development potential, with its operations able to unfold on 3,5 million square meters of rented surface. The increase in surface also leads to an increase in revenue. The CN APM managed to earn 1,8 million RON (390.000 EUR) in April 2017, just from renting out its land.
Several investments in infrastructure are essential
Despite its worthy performance cargo-wise, the port lacks an efficient infrastructure, at least in some of its areas. A couple of berths tend to fill up with sea debris, which makes them difficult to use. Furthermore, the roads inside the port have potholes and the bridges require maintenance and repair.
This being said, the port will be subjected to around 2,84 million RON (620.000 EUR) of repair work by the end of the year. The work will mostly be completed by the Port’s authority, with its own workers and branches, along with some third-party companies.