Busan Port is the world’s second largest port in transshipment throughput, handling 11,430,000 TEU transshipment containers, which is 53% of its total throughput. Is there a plan to continue to increase transshipment volume?

The Busan Porth Authority is working to analyze and improve its competitiveness as a transshipment port in areas such as landing charges, port fees, transshipment time, etc.

The Authority will conduct individual networking with shipping companies by identifying the companies that are likely to move to other transshipment ports or likely to increase transshipment volumes. Moreover, vessel arrangement strategies will be analyzed so that customized marketing activities can be conducted for each shipping company. A new inter-terminal transportation (ITT) system will be adopted to improve the efficiency of transshipment cargo transportation."

▲ Diesel transfer crane to minimize fine dust production.

Fine dust reduction is a heated global topic. What are the BPA’s plans to reduce fine dusts produced in the port?

"In line with the Government’s goal to reduce 50% of fine dust as compared to 2017 level by 2022, the Authority has come up with a comprehensive plan for fine dust reduction and is currently implementing detailed plans.

First, major causes of fine dust are tackled: the fuel for yard tractor is planned to be changed from diesel to LNG; AMP facilities will be adopted; incentives will be provided to environmentally-friendly vessels; and all battery e-vessels will be used as a tour boat in the port. Moreover, dust suction vehicle and water spray vehicles were utilized to improve work environment for port workers, and various renewable energies, such as solar, hydrogen, and ocean thermal energies, are being reviewed for adoption."

What are detailed plans to expand businesses in areas in line with New Southern Policy and New Northern Policy?

"As part of New Norther Policy, we are conducting research with the ports in Russian Far East to develop logistics infrastructure and bases in the inland of Russia to strengthen the logistics network between TSR/RCR and Busan Port. For New Southern Policy, we have designated Vietnam and Indonesia as our areas of focus, considering how much demands are there for logistics infrastructures. On January 6, a special meeting was held involving shipping companies from 15 countries. Busan Port is paying attention to Vietnam, in particular, since it became fourth largest partner of Busan Port, contributing to its throughput a lot. Vietnam is highly connected with Busan Port and has a lot of potential as many Korean logistics companies are conducting business there. BPA Southeast Asia Office was established in Ho Chi Minh this April, which will kick-start overseas business of the BPA."

Recently the BPA participated in a shipping & port conference in the Philippines to talk about the development and logistics operation of Busan Port. The trend in point was that port infrastructures are becoming mega-sized. Is the Authority taking any actions in this regard?

"To respond to the continuous increase of number of mega-sized vessels, we need to have a new port design criteria and stable operational foundation. As container vessels and maritime alliances are growing in size, it is not only necessary to combine terminals to secure sufficient berth length, but also to have a comprehensive expansion of relevant services, such as tug boat service. Busan Port is planning to establish an optimal environment for mega-ships by preemptively securing port infrastructures based on flexible and resilient port policies.

The key is to develop the New Port Distriparks. It has attracted 67 logistics & manufacturing tenant companies for the North Container Distripark and Ungdong Distripark so far. Once the West & South Container Distriparks are completed, an 8,460,000 ㎡ logistics complex will be ready. The Authority will work to ease regulation and to support operations for tenant companies so that logistics businesses can flourish in a free environment. Moreover, the Authority will put efforts to create a new logistics business environment with cold chain, Sea & Air, and shared logistics center, in addition to attracting investments from overseas logistics companies from Japan, China, the US, and Singapore."

Global ports are rushing to adopt automation and develop smart ports. Moreover, the 2020 FIATA World Congress will be held in Busan. This means that Busan Port is at the center of global stage. How is the roadmap like for the smartification of Busan Port?

"Busan Port’s strong point is its high flexibility. Port automation needs to be implemented considering such strong point of the port, as well as sufficient consultation with the government and labor union in regard to jobs.

Currently the BPA is pushing forward with opening semi-automated terminals for West Container Terminal (by 2022), with 3 out of 5 berths to be ready for full automation. Moreover, the Authority is developing automated driving technologies for port transportation vehicles. Unlike overseas automated terminals highly relying on automated-guided vehicle (AGV), the BPA is planning to implement different port automation and create new jobs to make the port sustainable.

FIATA World Congress is an annual global event participated by more than 3000 logistics experts from about 160 countries. The BPA worked closely with Korea International Freight Forwarder Association and City of Busan to be selected as a host of the 2020 FIATA World Congress. Holding the event in Busan will not only raise international recognition of Busan Port but also bring benefits to the local economy and domestic businesses related to shipping and ports. We will actively promote Busan Port as a transshipment port and introduce New Port Distripark projects and North Port Redevelopment Project in preparation for the Congress."