The APM Terminals (APMT) Global Terminal Network will enter China’s fast-growing grain import market as part of a joint-venture with Qingdao Port International where it will hold a 20% share in the Qingdao Port Dongjiakou Multi-Purpose Terminal.
The Qingdao Port Dongjiakou Multi-Purpose Terminal will cater to the rising demand of grain and other general cargo and allow for improved port logistics services into the hinterland markets.
The move signals APMT’s ongoing expansion into port and terminal operations outside containerised cargo handling.
Qingdao’s new Dongjiakou Port area is set to become a national hub of Chinese bulk and energy cargos, with a projected volume of more than 272 million tonnes handled annually in this new complex.
Kim Fejfer, CEO of APMT, said: “China, as the world’s largest population, and second–largest economy, is a crucial center of global trade and logistics, and we are very pleased to advance our multi-port strategy of growth beyond containers in this exciting and fast-growing market.
“We are fully prepared to grow with the grain market in China, and around the world. Approximately one third of all nations are now importing at least a quarter of their grain consumption, according to a Thomson Reuters article released March 13, 2015 “Global dependence on food imports leaves countries vulnerable.”
Francois Delenclos, APMTerminals’ Vice President of Business Development, concluded: “Worldwide seaborne grain shipments have increased to over 362 million tonnes annually according to the World Grain Council, requiring a specialised infrastructure and expertise to keep up with this demand, while helping to improve the quality of life for millions of people around the world.
“This is a high-growth market where APM Terminals can invest and deploy its operational expertise in key locations.”
Fact File: APMT’s Chinese presence includes interests in nine operating terminals in six ports, with a seventh facility currently in development at the port of Ningbo. It is currently a shareholder with Qingdao Port International in five container terminals in the Qianwan section of Qingdao Port.