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The Groundbreaking Ceremony for the Maritime Channel Upgrade Project to welcome large vessels

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The "Upgrade of the maritime channel from the turning basin of Hai Phong International Container Port to Nam Dinh Vu Port" project has just been officially launched by Gemadept Corporation at Nam Dinh Vu Port, Hai Phong.

Upgrading the maritime channel for large vessels

Given its favorable geographical location and centuries of development history, the seaport system in Hai Phong plays a pivotal role in connecting trade in the North and the whole country, serving millions of TEU/tons of goods annually.

At the groundbreaking ceremony, Mr. Nguyen Anh Vu, Director of Hai Phong Maritime Port Authority, said that currently, the output of goods through the Dinh Vu area makes up a large portion of the total output of the Hai Phong port system. However, with the increasing trend of vessel sizes, the narrow and shallow maritime channel presents a significant bottleneck for maritime activities in this area. Specifically, the current Ha Nam canal section has a depth of only -7 meters, and there are times when sedimentation causes vessels with a draft of -8.5 meters or more to have to wait for the tide and reduce cargo loads. This directly impacts the operational efficiency of shipping lines and import-export businesses. Vessels exceeding 25,000 DWT encounter certain difficulties when navigating the -7-meter-deep channel. Therefore, there is an urgent need to upgrade the Hai Phong maritime channel (Ha Nam Canal section) to accommodate larger vessels entering and exiting ports, contributing to increased cargo throughput and significantly reduced logistics costs.

The Director of the Hai Phong Maritime Port Authority affirmed that the project to upgrade the maritime channel (the section from Hai Phong International Container Port to Nam Dinh Vu Port) is a true breakthrough in Hai Phong's port operation. With Gemadept Corporation’s commitment, this project will remove the biggest bottleneck for vessels entering the port. Gemadept, a leading corporation operating in Hai Phong's prestigious seaport, is investing its own budget in maritime infrastructure. This investment is expected to lead to a significant increase in cargo handling in the near future.

Mr. Nguyen Anh Vu, Director of Hai Phong Maritime Port Authority, affirmed that the "Upgrading the maritime channel from the Hai Phong International Container Port to Nam Dinh Vu Port" project is a breakthrough in port operation for Hai Phong

Mr. Tran Viet Manh, Director of Nam Dinh Vu Port (owned by Gemadept Corporation), explained that as a pioneering enterprise with extensive experience in operating a Port – Logistics ecosystem throughout Vietnam, Gemadept recognizes the importance of its role and responsibility. Therefore, the Company decided to collaborate with the Ministry of Transport and the Hai Phong Maritime Department on the development of maritime channel infrastructure in Hai Phong. Gemadept researched and proposed a project to upgrade the maritime channel, aiming to increase the depth from -7 meters to -8.5 meters to accommodate vessels up to 48,000 DWT at full capacity. This project received approval from the Ministry of Transport, with an official document issued to unify the policy for upgrading the Hai Phong maritime channel from the turning basin of Hai Phong International Container Port to the Nam Dinh Vu Port area.

The motivation for change

The "Upgrade of the maritime channel from the turning basin of Hai Phong International Container Port to Nam Dinh Vu Port" project is part of the socio-economic development plan of Hai Phong City, a key economic region in the North. It also aligns with the development strategy for Group 1 seaports, the development strategy for the Vietnam seaport system, and the 2050 vision of Hai Phong City. This project represents a significant step towards elevating the Vietnamese port system and contributes to the realization of this vision.

Mr. Tran Viet Manh, Director of Nam Dinh Vu Port (owned by Gemadept Corporation), announced that upon completion, the upgraded channel will reach a depth of -8.5 meters. The upgraded channel will be approximately 10.5 kilometres long, enabling Nam Dinh Vu Port to accommodate vessels up to 48,000 DWT with a draft of up to -8.5 meters. Construction commenced on January 31, 2024, and is expected to be completed on an expedited schedule within 3 months, with an operational launch targeted for May 2024.

Mr. Tran Viet Manh, Director of Nam Dinh Vu Port

Since opening phase 2 in May 2023, Nam Dinh Vu Port has doubled its capacity, berth, and yards. Infrastructure, equipment, and technology have been synchronously invested in and built according to international standards, and Nam Dinh Vu phases 1 and 2 can now receive 4-5 feeder vessels simultaneously. The upcoming upgrade of the channel leading to the port will further enhance Nam Dinh Vu's capacity in the coming years, especially with the imminent implementation and operation of the Port's third phase starting in 2025.

The maritime channel upgrading project not only enhances service quality, competitiveness, and performance but also motivates a transformation in the appearance of the entire key port system in North Vietnam.

Enhance the value, promote economic growth

This project is a pioneering example of industry collaboration, promoting resource sharing between the government and private sector to upgrade public maritime channels in Hai Phong.

By leveraging socialized capital for infrastructure investment, this project promotes and attracts further investment in Hai Phong City and the Northern key economic region. This opens doors to develop Vietnam's transportation system and seaports, aligning with the nation's economic growth trajectory. The project is expected to generate significant revenue for the state budget through taxes and increased port activity, building upon the positive contributions of the Ha Nam Canal.

The project's benefits extend beyond infrastructure development. It will stimulate production and import-export activities, thereby boosting import and export for Hai Phong City, the North, and the entire country. As representatives of Nam Dinh Vu Port affirmed, the project will also promote the efficient use and optimal development of land and water resources, contributing significantly to the economy.

Nam Dinh Vu Port (belonging to Gemadept Corporation) received 5 container vessels at the same time

Recognizing the project's benefits for all stakeholders, the Ministry of Transport and the Vietnam Maritime Administration provided guidance, support, and facilitated the approval process. This demonstrates their commitment to the development of Hai Phong City's maritime and marine economy.

Mr. Pham Quoc Long, Vice Chairman of the Vietnam Shipowners Association, also affirmed that the Hai Phong maritime channel is very important for the entire economy of the northern region and Vietnam. The implementation of this project by Gemadept is good news for the Vietnam Shipowners Association. The project will help reduce shipping costs from 20% to 30%. The successful project will attract many large vessels to the port, supporting many import-export enterprises. "By the way, we also propose the Ministry of Transport to implement the Ha Nam canal expansion project soon for a 2-way circulation," Mr. Long suggested.

Source: https://diendandoanhnghiep.vn/khoi-cong-du-an-khoi-thong-luong-hang-hai-cho-tau-lon-258644.html

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