The Hon. Noel Hylton (left), president of thePort Authority of Jamaica, addresses participants in the Shipping Association of Jamaica's recent Lunch and Learn seminar on 'Kingston as a leading hub port: competitive and comparative advantage'. - Contributed Photos

"The outlook for the future is excellent, but we must immediately begin to work to realise the objectives ... if we are to become a main global hub port, we need to concentrate on the business service environment, the development of higher capacity, and greater productivity."

So said the Hon. Noel Hylton, president of the Port Authority of Jamaica, during his presentation at last week's Lunch and Learn seminar that took place at the Shipping Association of Jamaica's (SAJ) office in Newport West. He was speaking on the topic, 'Kingston as a regional 'hub port': competitive and comparative advantage', to participants who filled the SAJ's training room last Thursday to hear the PAJ president's prognosis on Jamaica's maritime industry.

Building larger and larger vessels

Mr. Hylton explained, to a rapt audience, the following scenario in global shipping: "As the shipping lines build larger and larger vessels, they will concentrate on the number of rotations around the world that those vessels can achieve each year. More rotations mean greater utilisation; greater utilisation means greater productivity.

"In order to achieve the greatest number of rotations, the lines will select fewer ports of call and will demand shorter turnaround times of vessels. As a result, the status of hub ports will be determined by their ability to substantially increase productivity, and thereby reduce turnaround time to a minimum.

"If you accept my proposition, then it is simple to accept that these ultra-large vessels will call at very few ports, strategically located around the world, and the ports most likely to emerge as global hub ports are those which are closest to the main shipping routes.

"Some of today's main hub ports will then operate as regional ports,and some of the regional ports will operate as either sub-regional main ports or minor ports. Of course, our objective is to upgrade our status to be one of the five global hub ports."

The PAJ president expressed his confidence in Jamaica's capacity to achieve more significant world status and be recognised as a global hub port, but pointed out that "this can only be achieved if every single one of us in the industry works towards this goal".

Mr. Hylton revealed that the Port of Kingston already boasts the following advantages:

(1) Our geographic location is only 32 miles off the main North/South and East/West sea-lanes. Location, location, location - it's all about location.

(2) The international shipping industry recognises Kingston as one of the most stable ports in the world. This is so because of the harmonious labour relations which have been developed and maintained over the last 40 years.

(3) The Kingston Container Terminal's (KCT) performance and productivity levels meet the highest international standards.

(4) KCT operates 24 hours per day, 365 days per year. It is the largest, single trans-shipment facility in the region.

(5) The hub provides a comprehensive range of shipping services:

Feeder services

Container repair services

Logistics facilities

ISPS certified

CSI membership

(6) Our port's rate structure is competitive.

(7) We operate with several of the most advanced technologies and handling equipment currently available in the international industry. In addition, we are working on implementing GPS (global positioning system) on our straddle carriers, and exploring the possibility of introducing automation in certain sections of the port.

(8) Most of the major shipping lines in operation around the world today call at Kingston.

Mr. Hylton said that the programmes being implemented to maintain and increase Jamaica's competitive edge in the region incude:

Working towards greater proficiency/productivity.

Continued improvements and upgrading of equipment capability.

Continued terminal expansion programme to increase to 3.2 million 20-foot equivalent units (TEUs) by December 2008 and five million TEUs by 2014.

Last week's Lunch and Learn seminar was sponsored by APM Terminals (Jamaica) Limited and attracted numerous shipping professionals as well as many Jamaican importers and exporters.

Michael Bernard, president of the Shipping Association of Jamaica (SAJ), introduced Mr. Hylton and the seminar was chaired by Trevor Riley, general manager of the SAJ.

The SAJ launched the monthly Lunch and Learn seminars in July 2006 in an effort to raise the awareness of developments in regional and global shipping forstakeholders in the industry.

Hans Jensen (left), general manager of APM Terminals (Jamaica) Limited, thanks the Hon. Noel Hylton (centre) for his presentation on 'Kingston as a leading hub port: competitive and comparative advantage'. The occasion was last week's Lunch and Learn seminar staged by the Shipping Association of Jamaica (SAJ) and sponsored by APM Terminals. Looking on is Michael Bernard, president of the SAJ.