Contecon Guayaquil moves to strengthen supply chain; Guayaquil logistics community launched

More than just moving goods, Contecon Guayaquil SA (CGSA)—the Ecuadorian unit of International Container Terminal Services, Inc. (ICTSI)—has taken the lead in uniting stakeholders towards boosting the supply chain through the creation of the Logisitics Community of the Port of Guayaquil (Comunidad Logística del Puerto de Guayaquil), aimed at improving the competitiveness of Ecuador businesses in foreign trade.

The first port logistics community in Ecuador and the entire region, CLPG serves as a platform for businesses with connections to the Port of Guayaquil in bringing research-based, technical solutions to optimize logistics capabilities within the supply chain.

“As the leading maritime gateway of Ecuador, we are working hard towards the creation of a community that is representative of the needs and interests of the port community. This collaborative, innovative and pioneering framework in the region will allow us to improve and optimize the supply chain and processes of importers and exporters operating in the Port of Guayaquil," says José Antonio Contreras, CGSA Chief Executive Officer.

With greater logistics collaboration, businesses will be able to maximize the commercial potential of Ecuador’s top commodities, while reducing costs at the same time.

“The creation of the Logistics Community of the Port of Guayaquil creates a unique vehicle to maximize opportunities for growth,” Contreras adds.

The members of the logistic community, companies and business organization, represent more than 83 percent of Ecuador´s non-oil exports. The most important in volume is the banana, which represents 63 percent of the non-oil exports of the country.

Those supporting the needs of Ecuador’s top exports–bananas, shrimps, paper and wood products–are already members of the logistics community: Association of Banana Exporters of Ecuador (AEBE), Agzulasa, Reybanpac, Industrial Pesquera Santa Priscilla, Ecuadorian Association of Teak and Tropical Wood (ASOTECA), Multiteak, Papelera Nacional SA, Soprisa, and Procarsa.

Banco Guayaquil and RSA Insurance, the largest financial service networks in Ecuador, are also part of this new initiative.

Julio Mackliff, Vice President of Banco Guayaquil, lauded the impact of the new logistics community towards improving the competitiveness of Ecuador businesses: “CLPG is an emblematic and innovative project in Ecuador. Banco de Guayaquil is not only supporting this initiative but is and will continue to be an active member. We are convinced about the positive results that this union of big companies will contribute for the economic and social development of our country.”

Eduardo Ledesma, Executive Director of AEBE adds that the collaboration between and among different supply chain stakeholders ensures that the country stays on top as the world’s largest banana exporter: “The opening and approach of Contecon Guayaquil to the export sectors of Ecuador has been seen and is perceived with optimism. We, the banana exporters, see with good eyes that this initiative will allow us to reach competitive improvements for the sectors.”

Contecon Guayaquil, ICTSI’s largest port project in Latin America, recently made strides towards greater trade facilitation, supporting the local economy through various investments in port infrastructure and technology.

Recently, CGSA expressed support for the government’s construction of a 44.2-kilometer road connecting Guayaquil Port with the south-central areas of the country´s coast and the country’s highlands.

In July, CGSA was likewise approved by the Ministry of Transport and Public Works to handle up to 305-meter mega vessels, essentially becoming the first and only container terminal in Ecuador capable of handling two mega vessels simultaneously.

This follows the inauguration of the terminal’s new greenfield development in January—an expanded logistics support area capable of handling more than 6,000 containers.

ICTSI has already invested USD325 million for its 20-year concession period to operate the Guayaquil Container and Multipurpose Terminals at the Port of Guayaquil, which will end in 2027.

CGSA


About CGSA
In March 2007, ICTSI was awarded by the port authority of Guayaquil, Autoridad Portuario de Guayaquil (APG), a 20-year operating concession for the Container and Multipurpose Terminals in Guayaquil, Ecuador. Later in May, a contract was formally signed between APG and Contecon Guayaquil SA, ICTSI’s local operating unit. The terminal handles containerized, general and bulk cargo. (www.cgsa.com.ec)

About ICTSI
Headquartered and established in 1988 in Manila, Philippines, International Container Terminal Services, Inc. (ICTSI) is in the business of port development, management and operations. As an independent business with no shipping, logistics or consignee-related interests, ICTSI works and transacts transparently with any stakeholder in the port community. ICTSI’s portfolio of terminals and projects spans developed and emerging market economies in the Asia Pacific, the Americas, and Europe, the Middle East and Africa. ICTSI has received global acclaim for its public-private partnerships with governments divesting of their port assets to the private sector. (www.ictsi.com)